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Fuad Ahmed Mahamud, Somalia
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The Effect of Motivated Employees on Profitability
There are straightforward and direct relationships between employee motivation and the performance of an organization.
The chain of these relationships is the following
1. Motivated employees work well
2. The quality of their work becomes better
3. The customers are attracted to the products / services of the organization
4. Sales and revenue increase
5. The organization makes more profit and its goodwill increases
I welcome any reactions to this topic, thank you.
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Falah , United Arab Emirates
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The Effects of Employee Motivation I see this subject from the strategic perspective. A motivated employee will increase the capability of the organization to achieve its mission, goals, objectives.
It will also engage all to build a strong organizational culture. Motivated employees will feel as having a strategic partnership with this organization, and their commitments and loyalty will increase from day to day.
Both of these factors will improve the performance and have a positive impact on the market share. This means an increase of profitability.
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ANTONIO BARRANCO RUIZ
Director, Spain
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DESIRE is the Basis of Motivation and Performance Every person needs a reason to work. Normally, this reason comes from inside, and it has to do with a personal plan, desire, even a fantasy or dream. This is the basis of motivation.
When people have´t any cause to work for, they feel empty and their brain feels dry, useless.
It will be enormously difficult to improve their performances without a motif. Many theories analyse the objectives, the focus, the development, the engine of the motivation. But the first origin lies, takes root or is situated in human´s desire.
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Bob Kohn, United States
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A Little RESPECT Goes a Long Way and Returns Even More I have been in the business world for 30 years and have seen how businesses treat their employees. I am also graduating with my sustainability degree and here is the common thread that keeps coming up.
It is called Corporate Social Responsibility and in a nut shell it is how a business treats its employees, environment, and its profits and is often said to be the 3 P's, People, Profit, & Planet which are also called the Triple Bottom Line.
I have seen that when a company treats its employees with respect and does not treat them as a number, but rather a human being or even better as a part of the family, how much more production they get from them and less sick time they use, because they feel like a part of the business and not a number.
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Siddharth Prabhu
Manager, India
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When Employees Breathe the Business... I agree fully but with a small twist. For me motivation comes from an urge to do something either for yourself or for the product/concept/service which resounds potential.
All efforts put in a product / service actually reflects the people and passion behind those efforts, and customers feel this warmth. It reflects in your interaction with your customers. It reflects in every improvement you make on the offering.
Employees start to consider the product's success or failure as their triumph or fall and when that happens.... You know, you rarely fail.. You wouldn't allow failure to touch you...
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Rene Herlaar
Management Consultant, Belgium
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Service Profit Chain and Human Needs In 1994 the Harvard Service Profit Chain was developed. To me this is the archetype of business models. Based on research the direct link has been proven between employee satisfaction and revenue growth and profitability.
Very powerful.
One the main drivers of employee satisfaction is found in how the employer addresses basic human needs in its workplace and job design. This is very much dependent on the geographical culture the company operates in and the corporate culture the company wants to live. A genuine interest in people drives the success and makes employees score high in yearly employee surveys.
Both employers and employees have the responsibility to create this environment. It's not either or. Both have to be in the listening mode to genuinely address corporate and human needs to drive a even greater result. There is always a choice: whether as an employee or an employer. Take a look at Appreciative Inquiry, a successful method which may help.
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abiola ajayi, Nigeria
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Employees are Greatest Assets Motivation is an integral part of Human Resource Management, therefore it should be taken seriously by the management of an organisation. Organisations should see their employees as their greatest assets and their backbone.
If they are well-motivated to perform well, in so doing profitability will increase.
Well-motivated employees tend to:
- Put in all their best in the work.
- They come out with improvement ideas for the organisation.
- Above all, a well-motivated employees will be happy doing the job, and will not leave the organisation for a less motivating firm.
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Marcel Wiedenbrugge
Consultant, Netherlands
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Happy Employees and Productivity Employee happiness and productivity most of all depend on the company culture. Happiness or satisfaction is not a guarantee for profitability, but just like customer loyalty, in the long run it may lead to sustained profitability, growth and continuity. A positive and stimulating working environment contains elements of:
- Shared values
- A major common goal, that applies to everyone and can be accepted / adopted by everyone
- Everyone is included (from the janitor to the CEO)
- Long term (customer) value is more important than short term profitability
- Transparency
- Consistency across the full supply chain
By the way, I don't know many (big) companies who fit in this profile :-).
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R Sreenivasan, India
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Motivation and Productivity There can be no doubt a motivated employee can contribute significantly to accelerate productivity.
Remember this motivation is the consequential effect of a healthy work-life balance and a peaceful family environment.
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Sharon Chua
Manager, Singapore
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Motivation of Employees in Asia A motivated employee will go the extra mile in helping the company achieve its goals. However in Asia there are companies who still think that it is the employees responsibility to ensure they are motivated; this is not a corporate responsibility.
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Thobile Mkhize, South Africa
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I Am the Enterprise! ... I am the enterprise ... could be the highest form of motivation and employee can feel about their work and employer. It is the responsibility of both the employee and employer (but more the employ...
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Kemoli A Teddy
Student (MBA)
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Motivation and Organization Performance Employees are socio-technical beings and require amicable relationship with their supervisor. Motivation can significantly improve a firm's performance, since a motivated employee will not only be foc...
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Laurent Trudel
Student (University), Canada
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Motivation not per se Positive. Other Traits of Employees Effect Profitability I respectfully suggest that motivated employees do not necessarily work well: a motivated employee who lacks judgment can do more harm to a business than a less motivated employee who has more judgmen...
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Gary Stead
Director, United Kingdom
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Converting Employees from Engaged to Motivated @Laurent Trudel: I do think you are right to point to other components of performance, of which motivation is just one. From a leadership and management perspective, I find it fascinating to understan...
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Madhukar Sakorkar
HR Consultant, India
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The Effect of Motivated Employees on Profitability I agree with you FA Mahamud. I remember having seen research that clearly establishes the link you indicate between employee engagement and organizational result.
I also look at it at a more deeper ...
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Jagdish B Acharya
Consultant, India
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Motivation May Have Positive But Low Correlation with Profit At a microscopic level motivation improves output. This is clear and was observed by Mayo experiments. On a macro, organizational level it may not have a significant correlation with profit.
There ar...
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KATHRYN STEINER, MBA
Entrepreneur, United States
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Employee Motivation Must Include an Aesthetic Component Hawthorne's experiments included both a psychological and environmental component, the latter which should not be underestimated.
Contemporary work conditions reflect the shift from an industrial soc...
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JOSEPH SOLA ONIFADE
Manager, Nigeria
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Motivation and Productivity: Any Direct Relationship? To some extent Hawthorne effect is an academic way of looking at the relationship between motivation and productivity of an employee. In my own opinion things have significantly changed from the posit...
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Adedayo Adebesin
Student (Other), United Kingdom
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Effect of Motivated Employees on Profitability One must also consider the capability and competences the employee has or should he be supported in order to perform as required.
Here I recommend the expectancy theory. This model indicates that ev...
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Peter Jetter
Coach, Germany
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A Non-quantifiable Impact of Motivation is Worthless In my experience, managers must justify their decisions, especially when spending money. So far I experienced mainly a (pseudo) fact based reasoning. "Facts" seem only acceptable, when they're measure...
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