Moral Of Employees In A Profit Driven Organization

Project and Seminar Material for Accountancy / Accounting

Abstract

The aim of this study was to establish the Impacts of moral of the employees in a profit driven organization, amongst the objectives of the research were to investigate if rationalization affected the productivity of the staff, to find out whether rationalization has brought about uncertainty and poor attitude to work. In pursuance of the above objectives, the researcher expected to establish whether the rationalization exercise as a reform strategy affected the delivery of services by the employees and their general wellbeing. Finding revealed that employees were of the opinion that their employer did not prepare them adequately before rationalization and they were uncertain about the future of their jobs. For rationalization to work, as a reform strategy, it must be care/idly planned and managed. Workers who remain after rationalization must be reassured about the security of their jobs and trained to gain necessary skills to meet the challenges of their increased workload.

Chapter One

Introduction

1.1 Background of the Study

There is no doubt that human resources are the most important in all organizations. But to gain maximally from their services, it is necessary to pay much attention to the relationship that should exist between the human being and the content of the jobs.

It is common feature that employees in organization from time to time develop some kind of attitude about their job, pay supervisor, promotions, co-workers etc though the average worker does not enjoy the privilege of having his salary up graded frequently, he finds himself daily designed by fresh financial responsibilities which he does not envisaged and can hardly accommodate.

This has negative effects on his morale and psychological balance leading to distributions characterized by lower productivity which will in turn affect long-term corporate goals.

It is known that the primary reason for the existence of any business organization is profit maximization as this is what ensures the continued growth and survival of that organization. Also, there is no gain saying that of the factors of production, labour is by for the most volatile. The volatility of labour is not unrelated to the fact that human being are rational, responding to a range of environment stimuli. Therefore, the most common problem faced by managers has been how best to stimulate and motivate other employee for higher productivity.

In the competitive world of business the efficient utilization of human resources for profit maximization can only be attained through adequate and effective use of motivational technologies and strategies.

To achieve it’s pre-determined goal of profit maximization, therefore, an organization must be able to develop an organizational structure where managers supervisor can through understand what motivate a worker to behave positive and the mechanics of causing a change from negative be behavior to positive. This is all about employees morale in a profit driven organization.

Employees morale consist of cognition, (knowledge, belief, expectation) emotion (likes and dislikes, feeling, sentiments) and also behvourial tendencies. Warsh 2002 defined morale as having employee feel good about working for the company and respecting it the employee with good morale likes his work and is wiling to cooperated in moving from job to job explained Warsh.

Employee (staff morale is more of various attitudes posses by employees partly related to specific factors like wages, supervision, conditions of works, recognition of ability fair evaluation of work, steadiness of employment, prompt settlement of grievances, advancement opportunities, social relationship on the job, fair treatment by employers, other factors include labour/social activities temperament, level of aspiration, employee age, desire health, social status and industries are mush concerned with the level employee morale because these attitude have been shown to be strongly related to objective measures like performance since “A happy worker is a productive worker.

Therefore, this research is going to look into morale of employee in a profit oriented organization.

1.2 Statement of Problem

However large or small company or business is it is employee at all levels that can make or break it. This holds true not only for the employee organization hire on a regular basis but also for temporary and casual workers. It is as important to research and study the needs, drives and expectations of people, the organization hire or employ and aim at responding to an satisfying them, as it is with regard to customers.

In actual fact considering the role each employee play in s company’s success, analyzing and planning and adequate response to employees motivation deserves first place in the order of business.

Before going any further, let us shift our approach from grouping people the generic category of employee to individual human beings and term them as hired workers. This is what they are we must acknowledge them as human beings with individual needs, driven, characteristic/personalities and acknowledge their contribution to the business success.

Though each person has specific needs, desire, characteristic personalities, aspirations, and capabilities, at varying degrees of intensity people’s basic needs are the same as illustrated by Abraham Maslow (Hierarchy of needs). Experience has shown that man always behaves in a way that will lead him to attain some goal. It is not always that the specific goal may be consciously known. This is why man ponder over their past behaviour and wonder why they ever took such actions. The urge or drives that induce or motivate individual behavioural pattern are mostly sub-conscious.

Having known the relationship that exist between individual morale of employees and (productivity) profit, then what is important to a manager is how he/she can understand predict and /or cause a change in the activities of his subordinates. Certainly, this cannot be done unless the manager knows which motivate or needs that can induce his subordinates to take certain actions at any given time.

Therefore, the focus of this research will be on the analysis of morale in profit oriented organization.

This study will enable management to know how best to deal with the human element at any point in time and under changing circumstances.

1.3 Research Objectives.

This research have the following objective.

To know whether good working relationship between the subordinate and their superior lead to high employee morale.
This study intends to know if greater satisfaction will be derived by worker, if their management gives them a free hand to participate in their organization decision making than when they are allowed to participate in decision.
Whether workers would have greater morale when given recognition to heir contribution(s).
To know the effect of employee high and or low morale on the profit level of the organization.
Recommendations will also be given on how to increase or boost the morale of employees in a profit orientated organization.

1.4 Relevance of the Study

The study if examined will be of immense benefit to management of organization, employees, students and the general society. To management the study will give them an indication of the general level of their employees morale in the company. It will equally indicate specific areas that can create high or low employee’s morale it will also help the management of organization by guiding them in formulating good policies for it’s personnel towards morale.

To employees, it is going to be a way of improving their attitude through emotional release, since they are given a chance of getting things of their chests (repressed feelings) educationally it will also serve as a continuity of study in line with the principles of science. Serving as a work of reference for other scholars who would embark on the subject matte r in future time.

Other groups that will also benefits from this study include:

International organization
General society
Consultants etc.

1.5 Scope of the Study

In this project work, the researcher decided to concentrate on corporate institution being union bank of Nigeria Plc Abakaliki branch. This study is therefore restricted to all the staff of the branch.

The bank have been chosen because of it’s long acquaintance with the banking industry in Nigeria. They fall within first three largest bank in Nigeria (source: financial standard vol. 28, January 27 2004).

1.6 Research Questions

In the process of carrying this research the following question will be looked into.

Does good working relationship between the employees (subordinate) and superior leads to high morale?
To what extent do workers participate in decision-making?
Are the employees contributions considered and valued?
What is the effect of employees morale (whether high or low) on the organizational profit level?

1.8 Definition of Terms

1. Personality:

This is refer to the sum total of individual’s behaviour.

2. Motive:

The drive, desires, needs wishes similar forces that channel human behavior towards goal.

3. Motivator:

Force that induce individual to act or perform forces that influences human behaviour.

4. Hierarchy of needs:

Psychologist Abraham Maslow’s theory that basic human needs exist in an ascending order of importance.

5. Ethics:

Sets of generally accepted standards of social conduct.

6. Objective:

The ends towards which activities is aimed thje end points of planning.

7. Profit:

The surplus of sales over expenses.

8. Feed back:

An information input in a system transmitting messages of system operation of indicate whether the system is operating as planned.

9. Rationality:

Analysis requiring a clear goal a clear understanding of alternative by which a goal can be reached.

1.9 Organization of the Study

This research work is organized in five chapters, for easy understanding, as follows

Chapter one is concern with the introduction, which consist of the (overview, of the study), historical background, statement of problem, objectives of the study, research hypotheses, significance of the study, scope and limitation of the study, definition of terms and historical background of the study.
Chapter two highlights the theoretical framework on which the study is based, thus the review of related literature.
Chapter three deals on the research design and methodology adopted in the study.
Chapter four concentrate on the data collection and analysis and presentation of finding.
Chapter five gives summary, conclusion, and recommendations made of the study

Chapter Five

Summary, Conclusion and Recommendation

5.1 Introduction

It is important to ascertain that the objective of this study was to evaluate the moral of employees in a profit driven organizations.

In the preceding chapter, the relevant data collected for this study were presented, critically analyzed and appropriate interpretation given. In this chapter, certain recommendations made which in the opinion of the researcher will be of benefits in addressing the challenges of employees moral in a profit driven organization.

5.2 Summary

The main objective of this study was to examine the moral of employees in a profit driven organization, with emphasis on MTN Nigeria. Having gone through the whole length of data analysis hypothesis testing and summary, the following conclusions are hereby drawn most of the varied problem encountered, have been unvested since most of these problem is as result of poor management of the researcher deem it appropriate to examine the effect of good working relationship between superior and subordinate and how it enhanced profitability.

5.3 Conclusion

It was clear from the findings that rationalization/downsizing has had a negative effect on employees who are currently serving the organization. Also staff rationalization may not necessarily be worse but the way in which the exercise was implemented was wrong. The research revealed that rationalization results in making employees not to derive much satisfaction in the job he/she does. This confirms the works of Smith, 1972 and Flippo, 1971 that defines the relationship between Morale and job satisfaction. Rationalization leads to low morale for employees and subsequently job dissatisfaction. Also it was revealed that rationalization results in a decline in the commitment of the employees to job objectives. This does not however agreewith the works of Strauss and Sayless (1980) that noted that there is little evidence that high morale leads to high productivity

5.4 Recommendation

Having carried out this research work on the employees morale, the researcher wishes to give some recommendation that can lead to improvement in employees morale and which may eventually lead to a higher productivity in the organization especially at a time of rationalization process. Since the organization is involved with the creation of job especially as it concerns self-employment, care must be taken concerning wrong signals to the public as regards employment situation in the country. Formulation of a clearly defined policy on redundancy which should incorporate the position of the 1974 labour law on it. Section 19 of that law requires the management to intimate workers representative and negotiates redundancy benefits with them before they can effect retrenchment. The law further recommends the application of the principle of last in first out, though with due regard to merit, based on relative ability and reliability. The criteria should be strictly adhered to in future rationalization.

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