EMPLOYEE MOTIVATION IN RETAIL INDUSTRY

Are Non-Compensatory Employee Rewards as Efficient in Fostering Motivation as Cash Incentives in retail industry?

Table of Contents

CHAPTER 1: INTRODUCTION3

Background of the study3

Problem Statement5

Purpose of the Study6

Rationale of the Study6

Aims and Objectives6

Research Question7

Scope and Significance of the Study7

Reliability and Validity7

Ethical Concerns8

CHAPTER 2: LITERATURE REVIEW9

Concept of Motivation9

Theories of Motivation10

Employee Motivation13

Measuring Performance15

Compensatory rewards15

Non-cash incentives16

CHAPTER 3: METHODOLOGY18

Research Design18

Sampling18

Sample of Participants19

Instrument19

Data Analysis20

Projected Time Table / Gantt chart20

REFERENCES21

APPENDIX - A23

Sample Questionnaire23

Are Non-Compensatory Employee Rewards as Efficient in Fostering Motivation as Cash Incentives in retail industry?

(Proposal)

CHAPTER 1: INTRODUCTION

Background of the study

Businesses today encourage their workforce to work in teams as part of the management policy to ensure greater commitment, participation, recognition and motivation. The retail business is the fastest growing industrial sector in Britain today. Experts anticipate that in the next five years, the retail sector will experience a growth of around five percent. Currently, the retail sector accounts for £325 billion in revenue with 11 percent of total British workforce working in this ever growing sector. The prevailing competition among the retail sector companies has had profound positive impact employees. Now, companies are moving towards implementing such rewards system that can cater to the needs of employees, who tend to perform beyond their capacities. That is why there exists a gap between levels of motivation among employees, working in different capacities. It is a fact that employees showing good performance tend to get both compensatory benefits and non-cash incentives. This practice continues in every organisation let alone the one which is playing in the retail sector. It is a fact that without motivation, employees will not do what an organisation expects from them. If an organisation wants to motivate its employees, the management should come up with effective compensation plan.

It is a fact that every human being is born with a different set of capabilities. Every individual possesses a peculiar sense of thought process and that is why, in early stages of professional development, employees are distinguished on the basis of their individual differences, including comprehension skills, personal traits, and their approach to organisational learning. It is a vivid case that one employee can pick up and understand a concept faster as compared to another employee, who takes time to absorb the meaning of the same concept within an organisational setup (Alderfer, 2002, 44).

Companies enjoy success in different ways such as by being profitable, competitive, and prestigious. Every company has its own vision and mission which defines the path that it has to work on and achieve all its targets and milestones (Alderfer, 2002, 45).

Moreover, to achieve those particular targets set by the company, it should keep motivating its employees through various gestures, compensations and benefits. These gestures definitely motivate the employees for their particular job and as a result, they become more productive and beneficial for the organisation (Alderfer, 2002, 46).

To bring all the above mentioned systems into practice properly, a human resource management helps the company. It is a system that evaluates and ranks an employee's performance in a particular span ...