| Summary: | The motivation of employees is a topic that has become popular in the business
world and is a “centuries-old puzzle”. It is hard to argue with accepted wisdom
(backed by empirical evidence), that a motivated workforce means better
corporate performance. It leads to low rates of employee turnover and retention
of key skills. However, this has not been the case in many companies, since
many managers are either still reluctant to spend their company’s resources on
motivating their employees, or lack the know-how and skills to be effective. The
broad objectives of this study were to determine the effectiveness of the
management practice within a Durban Manufacturing Plant’s Production and
Logistics Division (DMP) in lieu of low employee morale resulting in high turnover
and to grasp the motivation factors that would influence the retention of their
salaried employees and improve performance. The methodology used
encompassed data collection techniques using an electronic close-ended
questionnaire. The design-approach of the research was quantitative. The
sample of 207 salaried employees was drawn from the DMP, with a total
population size of 207 salaried employees, representing a confidence level of
100%. The sample was composed of 77.5% males and 22.5% females. Of the
sample, 18% were managers and above and 82% were sub-ordinates (14.5%
assistant managers, 7.5% principal engineers and 60% other administrationsupport
members). There were 200 respondents, resulting in a response rate of
96.62% and the data collected was validated-analysed using both descriptive
and inferential statistics, with a Cronbach’s alpha of 0.82. The salient findings
from the study were that motivation can significantly increase the performance of
employees, whilst the management practice in the DMP was inconsistent and
ineffective as they did not employ the process of motivation in their company.
The study revealed that while there are many ways of motivating employees, the
management of the DMP did not employ these methods to motivate their
employees, resulting in low morale, leading to high turnover. The
recommendations offered to the management of the DMP, actions to ensure
sustainable motivation of their employees that will assist with future retention as
well as significant improvements in their morale, and to create a consistently
high-performing-thriving workforce, thereby boosting overall performance. === Thesis (MBA)-University of KwaZulu-Natal, Durban, 2012.
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