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THE IMPACT OF MOTIVATION ON EMPLOYEE PERFORMANCE IN THE

ELECTRONICS INDUSTRY IN CHINA

Article · November 2015

DOI: 10.24924/ijabm/2015.11/v3.iss2/29.45

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International Journal of Accounting & Business Management
Vol. 3 (No.2), November , 2015
ISSN: 2289-4519
DOI: 10.24924/ijabm/2015.11/v3.iss2/29.45 www.ftms.edu.my/journals/index.php/journals/ijabm

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Research Paper

THE IMPACT OF MOTIVATION ON EMPLOYEE PERFORMANCE IN THE

ELECTRONICS INDUSTRY IN CHINA

Connie Bao
FTMS Alumni,
Master of Business Administration,
School of Accounting and Business
Management,
FTMS Global Malaysia, Cyberjaya
E-mail: conniebao888@gmail.com

Dr. Ismail Nizam

Head of MBA Programs,
School of Accounting and Business
Management,
FTMS Global Malaysia, Cyberjaya
E-mail: nizam@ftms.edu.my

Abstract

Motivation and its impact on performance has always remained highly researched area and have
gone through many discussions and iterations and through this paper a deeper investigation is
made to identify the impact of Motivation on performance of the employees. Independent variables
used to gauge Motivation are Training and Development, Reward and Recognition and Delegation
of Authority whereas the dependent variable is employee performance. Descriptive and
explanatory design has been adopted for this study and the survey questionnaire comprised of 20
questions prepared based on Likert Scale (strongly disagree -1 and 5 for strongly agree). Sample
size consisted of 100 employees from electronic manufacturing company in china and used simple
random probability sampling technique. Collected details were analyzed via SPSS employing
regression and correlation. The most interesting aspect is that result of this study found all the
factors chosen have significant relationship with motivation. Moreover, it found Training and
Development, Reward and Recognition, and Delegation of Authority has significant impact on
performance of employee.

Key Terms: Motivation, Employee Performance, Training and Development, Reward and
Recognition, Delegation, Authority.

Page 29
1. Introduction

With the introduction of automation in all walks of business, survival has become very
challenging as comparisons are made between and machines in productivity in the pursuit of
maximizing profit. Performance of the organization and growth of revenue is considered to be a
great test by the external and internal operating environment factors (Chaudhary & Sharma,
2012). Managing 3M’s i.e., Man, Machine and Materials have become meticulous and to the core.
Of this managing manpower or in another parlor as human resource management have become
very difficult and demanding because that is one factor which is the driving force behind other
activities. Moreover it calls for managing emotions and feelings of the employees at a proper
time and with action which otherwise will become counterproductive (Chaudhary & Sharma,
2012).
Ensuring employees are committed to their work and ensuring they deliver the best output by
working to their full potential to help the organization reach the goal is a herculean task for a
manager (Maduka& Okafor, 2014). There is plenty of evidence to show that in the midst of
competitive labour market, retaining a productive employee is a huge task as the hunt is always
there to find and snatch from one organization to the other. An employee with a vision for
growth requires to be shown clear path on his chances of progression in the organization apart
from the economic benefits they will be availing during the process. Non Availability of skilled
employee results in lack of knowledge, skills and experience which will have a deep impact on
the organization economically (Omollo, Oloko, 2015).

Being a market driven world where every organization envisages reaching the milestone
achievements by overcoming every challenge and by adjusting to the new environments.
Compared to previous decades it is the smart work which is considered important than the hard
work. There is a clear cut benchmarking to judge competency and productivity of employee and
a system in place to reward those who outperform. Thus, it is very important to evolve positive
relationship and bonding between employees and organization and to achieve best result
possible creating a win-win situation in the process (Maduka& Okafor, 2014).

The most common policy adopted by the managers to increase effectiveness of performance is
motivating employees. Hence, motivation helps an organization reach its goals faster because
employees tend to work towards it as a result of motivation. Age old technique of carrot and
stick does not work in today’s environment and managers need to revolutionize the way they
motivate people and get the desired output and reward employee (Forson, 2012).

This research will help researchers, readers and also society by providing a wider perspective
portrayal of literature on motivation from different dimension and the impact on employee
performance.

The objectives of this research are as follows;

• To examine the impact of training and development on employee performance

• To examine the impact of rewards on employee performance
• To examine the impact of career growth on employee performance

2. Literature Review

There has been umpteen numbers of definitions and literatures relating to motivation. Those
literatures relevant to modern day business environment is considered for review. The word
motivation as per Vroom (1964) has been derived from the Latin word “movere” that means “to
move” which refer to the internal force, which is dependent on the need of individual that drive
ones-self to achieve (Tan &Waheed, 2011). According to Webster’s dictionary by looking at the
root of the terminology, motivation starts with motive which means something causes another
thing to act, and thus, motivation simply can be defined as the act of providing motive that

Page 30
causes someone to act. Motivation is responsible for someone to act and someone else self alone
can make someone motivated (Burton, 2012). Motivation is defined in a broad sense by Gredler,
Broussard and Garrison (2004) as the attribute which moves us to do or not to do something.
Guay et al (2010) has referred to motivation as the reason principal to the behaviour.
Researchers have contrasting opinion about intrinsic motivation and extrinsic motivation (Deci
et al., 1999). According to Ryan and Deci (2000) intrinsic motivation is defined as the activities
done for its inherent satisfaction rather than separable consequences. An intrinsically motivated
or self-motivated person takes up challenges by himself and achieves the desired results
without any external pressure or coercion. On the other hand, extrinsic motivation is construed
as an activity done exclusively for the purpose of obtaining reward or non-attached outcome
unlike intrinsic motivation where the activities are carried out for sheer happiness and out of
passion for job (Oudeyer and Kaplan, 2007).

The definition of motivation in relation with employee performance can be simply defined as
the factors, elements, or eagerness which urge employee to pursue and accomplish job goals
and tasks and be the reason why employee act and behave in a certain way which could be
influenced (Heathfield, 2015).

Training and
Development

Rewards & Motivation Employee

Recognition Performance

Delegation of
authority (Power)

Figure 1: Conceptual Framework

Training and Development, Motivation and Employee Performance

Frost, Vos, and Dreyer (2003) claimed that generally employee’s feelings are not considered by
employers on skill-set development. Traditional organizations hierarchy is that of Military style
of downward looking as military is considered as the oldest and the largest organization as a
group. And in response to that, Katcher and Snyder (2003) articulated development and the
effect of training on employees can mostly encourage growth within the workers and the
organization in conjunction with each other (Kum, Cowden, Karodia, 2014). Training and
development helps in acquiring knowledge base and in application of developed knowledge. It
improves individual’s performance in terms of personal and organizational level and hence, it is
considered as one of the imperatives of human resources management (Tahir, Yousafzai,
Jan,Hashim, 2014). Training and development is of dual advantage where individual’s thought
process is stimulated and in turn effective team work possibility is enhanced and ultimately
results in enhancement of leadership qualities as found out by previous researchers and the
most important aspect is employees are self-driven to achieve organizational goals (Rowold,
2007; Switzer et al. 2005). Some new age factors specific to training and development have been
further explored in the following review for better understanding:
Simulation: Training and development in any mean is essential and substantial to any
organization as it is beneficial for the employees and organization alike, one way of augmenting
the training and learning process is setting up a virtual laboratory via interactive simulation
(Koh et al, 2010). The simulation system provides opportunities to investigate situations

Page 31
consider impractical to explore in actual or real settings or hitherto deemed difficult is
replicating the realism (Tan, 2008). The advantage of simulation system is that it replicates
realism and has a substantial benefit such as learner engagement, safe space, and importantly
improved motivation. The use of simulation is to improve and develop learning such as flight
simulation training or any field which may lead to a better and comprehensive understanding
and result in effective performance, it has also been used in military circumstances training and
decision making based on application of the simulation training (Koh et al, 2010). Simulation is
used for engineering to help in project management analysis apart from health care and medical
education as it gives training for critical care. Simulation, due to its near real life experience
boosts confidence and motivate them to approach any situation and apply the learning
experience and excel in what employees do (Kohet all, 2010).
Computer-based training: Usually training refers to some special skills, knowledge and abilities
to perform job tasks in a better way by utilization of available resources judiciously (Sharma &
Shirsath, 2014). Computer technology training has caught many educators’ attentions; it is
considered an effective alternative to conventional methods of training. The computer training
setting in today is numerous and used to develop and improve young and adults (Varank, 2006).
The computer-based training is required for employees in sourcing and material handling and
stores as it helps to ensure better understanding of all production and service features and in
maintaining higher level of work quality and standards. Computer-based training improves
employee performance in such a way that they can work from anywhere and at any time and
under any circumstances which is a core to improved capability, confidence and create fluency
in interactions in all directions like with colleagues, managers, subordinates and customers at
any given point of time (Noe, Peacock, Harper, 2007).
Team-building exercises: As a manager or director, teamwork and team building are essential
and critical for the effectiveness of the organization as well as for the success of the team. A
detailed and comprehensive understanding of team building will make employees perform
more effectively and fuel organizational growth. A proper training and exercise on team
building will stimulate and motivate employees to get initiative and confidence to face
situations fearlessly (Online management training series, 2009). It is a known fact that through
team work employees work towards a common goal and achieve targets efficiently and in a
faster time. This is because, when team building process is executed proficiently communication
in an office between employees and superiors, professional relationships and work quality
improves drastically. This contribute in motivating employees and building trust and these
factors results in ensuring better efficiency and productivity thereby exponential growth
potential and hence it is very much important to build efficient teams within organization for
better prospect and for long term sustainability (Buzzle.com, 2016).
Soft skills training: Soft skills are considered to the human attribute which determine how the
person can get along with others. Soft skills such as common sense, motivation, responsibility,
leadership, and sense of humor are considered broader and much more critical arguably
compared to hard skills like computer programming, a certificate or a degree, or even a
proficiency in any foreign language. Soft skill training is a fundamental requirement for
sustainable work environment and better work relation (Mikoluk, 2013). The soft skills allow
maintaining a positive attitude towards employees, colleagues, and superiors. Soft skills can be
enhanced and developed only through nurturing self-development unlike hard skills which is
developed in colleges and institutes. The purpose of the soft skills training and practicing isn’t
only to interact with colleagues at work, but clients also. By undergoing soft skills training a
person will have self-confidence and motivation to approach people. Superiors and managers
need not hire employee by the technical capabilities but by judging on how they get adjusted to
the new environment and be a team player because even a single player in a team non co-
operates overall efficiency and output will be affected and will get demotivated (Mikoluk, 2013).
Managerial training: Manager is the key to success of the team and it is he/she who shows light
to the subordinates to reach goals and makes them perform by becoming a leader by example.
In the critical situations the onus is on the manager to take critical decisions which may be a
tough one at that instant. Mangers motivate team and extract maximum output. But, the
question here is do all these managers possess the inborn talent and acumen to achieve desired
output from the team members? Even though rewards and incentives may be some of the
motivating factors it is ultimately the manager who knows how and when to use it. A shrewd

Page 32
manager may be able to identify what are the motivating factors in each employee and apply the
required pressure and rewards as and when required. A good manager may even re arrange
work schedule, change duties and responsibilities break down teams or reconfigure them and
improve working environment to reach targets. Burke & Day’s (1986) state that managerial
training is effective and has an impact on employee performance and productivity (Noe, 2010).
Many companies have reported that it is a challenge to identify talents train and develop them
for a managerial position. Mostly, managers perform most basic managerial skills such as
organizing, planning, leading, and controlling to contribute to the engagement of employees.
Identifying and training potential employees will inspire and motivate employees to put extra
efforts to be in the elite class of trainees and will ultimately lead to successful accomplishment
of desired results (Noe, 2010).

Rewards and Recognition, Motivation and Employee Performance

In the human resources literature, it is widely recognized that promotion of the worker’s
motivation leads to a higher quality of human resources in both private and public organisation
and results in optimum performance (Stella, 2008).The system of the rewards and promotions
regarding employee motivation is an important tool that management should consider to direct
and channel the employee’s motivation on their desired scheme. The system of rewards and
promotions comprise of all components in the organisation, which include decision making
activities involved in allocating benefits and compensation to the employees for their
contribution to the organisation (Prateepkanth, 2011). The purpose of rewards and promotions
is to provide a systematic approach for delivering positive consequences and attracts people to
join the organisation and ultimately be motivated to deliver higher level of performance
(Pratheepkanth, 2011). Employees perform when they are rewarded and when they exceed the
expectation and limits and surpass the target, as a way to motivate them they should be
immediately rewarded. The practices of quick reward on performance will generate self-
motivation and set higher standards by employees themselves as they will take the tasks
positively and put all efforts to achieve targets. The system of rewards in the organisation
should be properly designed and implemented to reinforce positive behaviour which will
directly impart positivity on the employee’s performance (Njanja, Maina, Kibet, Njagi, 2013).
Barton (2002) argues that rewards at job enhance the performance and the productivity level
whether it is for the first time or for frequent achievements (Ibrar, Khan, 2015).
To measure rewards and promotions, some fundamentals have been considered which is
narrated below:
Pay: Pay can be categorised into two parts, a fixed pay, and performance linked pay. Fixed pay
can be described generally as the amount of money given to an employee irrespective of the
performance and is expected to achieve the bare minimum requirement and even if the
employer is a super achiever no additional rewards will be given. On the other hand, in the case
of performance based pay, rewards is in direct proportion to the performance at least to a small
extend. Bishop (1987) has interpreted that size of the firm plays an important role in
productivity related pay while deciding on productivity and also explained that monetary and
non-monetary pay has a high impact on employees in any organization and motivate them to
reach higher growth and productivity (Bishop, 1987).
Incentives: Incentives and rewards are considered to be different. Incentive can be defined as a
thing which triggers certain course of action, while rewards are given as a token of appreciation
following a behavioral desire particularly to increase the probability of behavioral repeat (Lai,
2009). In other words, employees are likely to put in more effort and energy into the job when
incentives are offered for a particular goal and they will consider it as a reward once the goal is
accomplished. Organizations use rewards as incentives to extract the desired behavior.
Pattanayak(2005) has classified incentives in to three categories namely; 1) Monetary
incentives, 2) Tangible non-monetary incentives and 3) Intangible non-monetary incentives
(Lai, 2009). As it is difficult to identify what type of incentives influence an employee to perform
better, the organization itself should discover which of the action motivates employees through
two communication process and deep drill discussions with employees and how find out

Page 33
employees would like to be rewarded. Many previous researches show a significant impact of
incentives on employee motivation and better productivity (Lai, 2009).
Acknowledgement (Recognition): The program of recognition for keeping employees passionate
and maintain high self-esteem is construed as the most contingent factor (Ibrar, Khan, 2015).
Managers and superiors have the ability to make an influence on motivation of employees
through acknowledgement and recognition of employee’s efforts and accomplishment.
Employee recognition is a very important aspect of keeping them. Employers usually pay
attention and concentrate more on monetary incentives as a primary solution for employee
retention even though that is a short-sighted assumption and employees consider less
intangible aspects for the job as important and motivating (Nelson, 1994). Employees desire to
feel as they are a part of an organization, and giving importance to them and take them along
with the growth story by trying to establish a concrete, transparent communication system. It is
equally important to appreciate employees on their achievements and acknowledge their
performances. Every organization may not have the financial resources to use it as a
motivational tool and hence it is important to seek chances and opportunities to acknowledge
and value the employees to ensure their retention and higher productivity (Laliberte, Hewitt,
Larson, 2003)
Allowances: Allowances are considered being a very crucial factor to employee motivation.
Many forms of allowances such cash allowance, travel allowance, overtime allowance, and
generally individual bonuses are all considered to be an important and significant factor to
motivate and retain employees (Aamir et al, 2012). Armstrong (2008) proposed that the
difference between allowance and pay is that allowance can be a pay for overtime or maybe
adjustment towards increased cost of living, whereas the pay is the rate that could be hourly,
monthly, or annually. Allowance can be considered under the benefits category, and DeNisi and
Griffin (2008) claimed that most of the allowances can be classified under benefits which are
designed for all employees with various levels of hierarchy. Allowances are a significant element
of financial rewards for employee motivation as it boosts the employee’s morale and also a
feeling of belongingness as employees will live their lives with stability and dignity (Yousaf et al,
2014).
Compensation: Organizations which evolves innovative strategies to motivate their employees
are the ones generally recognizing the importance of employee motivation for more
productivity and target achievement (MWANGI, 2014). Compensation can be referred as the
package of quantifiable rewards received for the efforts put in by the employee and is also
known as benefits (Gomez et al, 2012). According to Bowen (2000) compensation is the primary
way of motivating employees to ensure the need of the employee’s requirements are met.
Compensation is the key driver of motivation as it is a known fact that humans naturally tend to
perform better when they perceive something in return will be received for their efforts
(MWANGI, 2014). Compensation by any form is considered to be the most extrinsic reward and
an attraction to subside the desires for most people. Compensation is the set of rewards that is
provided by the organization to their employees in return for performing various tasks and jobs
willingly DeNisi & Griffins (2008). According to Nelson & Spitzer (2003), the most significant
aspect of any plan of compensation is the existing relationship between reward and
performance, and therefore, any organization involves a cost effective structure of payment
structure which will motivate and retain competitive employees (Decenzo et al, 2007).

Delegation of Authority (Power), Motivation and Employee Performance

Stupendous way of motivating an employee is by delegating the authority. Delegation of

authority is considered recently as a modern way and a trend to motivate employee and is
commonly practiced by managers (Al-Jammal, Al-Khasawneh, 2015). As per Koontz & Weihrich
(2003) delegation of authority is a process of the organization to transfer authority from
superiors to subordinates and it involves assigning responsibilities also. It empowers
subordinate to use available resources, take decisions regard to designated duties and make
commitment (Agada, 2014). Delegation is a key to success for any organization that ensures
efficient and effective functioning because it is a common notion that a person alone cannot
discharge all responsibilities single handedly and the subordinates or juniors are appreciated

Page 34
and expected to use their own intuition and decision making skills to demonstrate capabilities
and thereby motivated (Agada, 2014). The ultimate purpose of delegation authority is to adopt
best usage of resources to enable and facilitate the rise and appearance of agility of the
organization, and therefore to enhance total performance of the organization (Ortiz, Gorita,
Vislykh, 2004).
Delegation of authority can be measured in the following:
Leadership: Definition of leadership referring to Yukl (1994) as the process of effectively
influencing, and inspiring subordinates and colleagues to focus and direct their entire focus
towards the target to accomplish by maintaining an absolute integrity and cooperation within
the group by taking support from external support wherever possible and required to reach the
final destination and target efficiently. Likewise, Fry (2003), Belonio (2012) has explained
leadership as the use of a technique or strategy for the reason of development and growth
which by leading to offer inspiring motives to stimulate and enhance the potential of employees
for development and growth within the organization. Leadership can be described as a
primarily action as an input to team to enrich for process and performance, focused on the
importance of functional leadership in teams (Day, Gronn, Salas, 2004).
Assignment of responsibilities: Responsibility assignment can be characterized as an
arrangement of tasks, occupations and capacities that is official or business or relating to any
other form of responsibility an individual can genuinely request (Department of Health, 2010).
Requests in general are consummately been given reasonably and effectively to transfer
obligation and duties energize representatives. It makes them more conceived to do a particular
thing which likewise making them assigned on a thing which is vital. Obligation may
demonstrate accountability. Obligation might be said to connect with self-portrayal of what a
man has been told to perform and what that same individual has been accomplished (Bivins,
2012). It is implied by obligation as the assignment of energy to guarantee and affirm the assets
praised to a money related instrument are mechanized decently so as to maintain a strategic
distance from demotivation in a few circumstances and conditions and rather to be skillfully
and efficaciously which will make the execution of works high (Ballesteros, 2010).
Accountability: According to Everest (2010) the accountability is considered to be the key to
attain superiority in terms of what is performed. Accountability as a term is responsible for
most part mentioned as an open agreement in the intrinsic shell of managing through
responsiveness of association, ethics, and the authoritative execution (Gibson, 2005). Basically,
the perception of accountability can be verified as to confirmation and ensure that all
employees have the extreme and ultimate comprehensive understanding of the expectation of
the managers and superiors (Haneberg, 2012). How brilliance in action accountability looks
like, and so will reflect positively of the attitude of managers and therefore will stimulate their
subordinates to achieve not down from expectation (Haneberg, 2012). An employee’s
performance can be raised by motivation and coercion and can put in more time and efforts to
exert more deliverables which may lead to an excellent performance and get the tasks done
within minimum of time. Managers prefer to hold accountable employees because to the
premium aim is not to deliver any punishment or place any blame but just to increase and
improve performance. If any organization lacks accountability it will lead to demotivating of
employees in which it will reflect performance and outcome (Haneberg, 2012). When there is a
concerted effort is made in group of people and associations to be accountable and excel there
comes a will to work and perform along with inherited responsibility (Artley, 2001).
Contributing in developing good will: By performing out the capacities like making great
workplace, making arrangements for execution, measuring execution, providing performance
feedback, giving performance criticism, planning reasonable remuneration, acknowledgment
and prize framework for the administration helps in change of the performance in all. The
business related representative's issues are sorted out and give a feeling of certainty and
motivation among people. Creating good will of the organization is so important that it stands
for longer period time and results in getting the best human resources for the organization and
it is equally important to give leisure and open door atmosphere to employees (McLeod, 2000).

Trust relationship: Trust is defined as per Mayer et al. (1995) as “The willingness to be
vulnerable” and which played a central role in many conceptualizations. The essential of trust in
motivation and employee performance is highly significant and positive relationship (Mickan,

Page 35
Rodger, 2000). Trust additionally had an impact on behavioral aspect among a team and
between superiors and subordinates and this will result in a synergy in the organization and
better performance of employees. Trust is slowly built-up among members of a group in work
place with a differential competencies and assumptions, but will grow high through
constructing and develop the self-assurance within each-others (Mickan, Rodger, 2000). As
trust exist, it won’t simply improve the performance of the group but where an excuse of trust
will cause a lack of questioning may increase the willingness to take responsibility and stimulate
employees as they trusted to complete their tasks in the best possible way (Manz, Neck, 1997).
According to Sabel (1993) lack of trust will jeopardize the initiative of an employee and none of
the employees will risk taking a different move first. Trust relation within managers and
subordinates are crucial in work place as when a manager trust it shows how managers
depends on their decision by choosing a certain employee to trust which in return will increase
the motivational level to take responsibility and utilize ultimate effort to be up to the
expectation when a decision is taken to trust (Sabel, 1993).

Employee Performance

Level of commitment: The affiliation of employees within the organization is regarded as

commitment of organization. In general, the commitment to the organization can be extracted in
three dimensions. 1) The continuous commitment. 2) The normative commitment and 3) The
affective commitment (Allen and Meyer, 1996; Karrasch, 2003; Turner and Chelladurai, 2005;
Greenberg, 2005; Boehman, 2006; Canipe, 2006). According to Meyer and Allen (1997) these
three types are demonstrated by dissimilar people at different levels of management in the
organisation and these are totally independent. Porter (1974) has explained that commitment
towards organization is considered to be the extent in which employees admit and accept the
aims, values and morals of organization and are keen to continue and remain in the
organization. If granted by the organization it will increase level of motivation towards the
organization and employee therefore will comply and obey organizational requirement. The
higher the commitment the higher the motivation at personnel level and the same will reflect in
work place (Ahmad, Iqbal, Javed and Hamad, 2014).
Attendance: It is very crucial for any organization to track the attendance of employees as it
affects the productivity of the organization. It may become burden to the organization as well as
for the team and the rest of the staff (Scott, 2016). Frequent absence by employees from the
work place prevents team and group from continuity of being productive. Absenteeism of
employee at his/her station will add extra work to the rest of the staff to adjust the missing part
which may end up omitting the original flair of the absent employee. Attendance is very
important to ensure sustainable performance to complete the required tasks and avoid
management conflict and diminished performance (Root, 2016)
Quality: The most important metric is perhaps the quality of work the employees put out, but is
the most difficult one to define also. Members of the team who are engaged at work and care
about what they do will perform better. The quality of work and how is it done and
accomplished can be considered as an art as it reflects how employees are committed and have
passion to what doing quality can be a very delicate aspect of employee performance (Scott,
2016).
Initiative: Taking initiative assist companies in anticipating the changes in the market place
besides creating additional dynamic and energetic work environment. Additionally, initiative
employees will participate in assistance in identifying best practices to ensure the company still
remains in a position of competition without losing its target (Fan, Yen and Volz, 2005). One of
the most unique aspects and characteristic that many employees may pursue is initiative.
Members of a team or individual who is considered to have capabilities to take initiative have a
positive impact on overall team and the organization alike (Cao, Volz, Ioerger and Miller, 2005).
Efficiency: According to Low (2000) how input is successfully transformed into output is
efficiency which itself shows the relationship between input and output. According to Campion,
Medsker & Higgs (1993) efficiency is the ultimate outcome in the eyes of managers, customers,
employers and colleagues. As per Hackman’s (1990) the efficiency can be three dimensional:
1) the cluster of output that meets the standards of quality 2) the ability of the group to

Page 36
interdependently work in advance or the future, and 3) the potential growth and the well-being
of members of the team (Tohidi, 2010).

3. Research Design and Methodology

The research based on quantitative is to statistically establish essential conclusion, and it

consist of a group being studied by looking at a representative sample of the population
(Lowhorn, 2007). Quantitative research tends to maximise objectivity for the purpose of
generalizing the findings and further the prediction is interesting as per Harwell (2011).
Quantitative research can be split into experimental and survey researches, as experimental
research seeks to determine if specified treatment have any influence on an outcome, and it was
assessed by the researchers by providing a specified treatment to a group and determine the
outcome of how that comes out (Creswell, 2013). For the survey research, it describes the
trends numerically or quantitatively and opinions and attitudes of a specific population by
studying a sample and it comprises longitudinal studies and cross-sectional by applying a
questionnaire for collecting data to be garnered from the sample to the population (Fowler,
2008).

According to Saunders (2003) there are three means of designing targeted questionnaire. 1)
Using an existing questionnaire which have been previously established, 2)By adapting
questions that have been previously established in another questionnaire, and 3) Constructing
and creating a new questionnaire. To allow participants to understand and comprehend easier,
the terms in the questionnaire should be familiar and simple to use and hence, the response will
improve the validity and also for a higher degree of probability.
The reason for using questionnaire depends on the large number of data that can be collected at
a lower-cost, Standardization of target group, easier to reach. More information can be collected
which will result in straight forward answers to the questions and no ambiguity will prevail
(Siniscalco & Auriat, 2005).
For this research, a quantitative method of data collection will be applied to test theories and
hypothesis by collecting responses from 100 employees which is sufficient. The ultimate aspect
of data collection from good quantity is to avoid any vague result and erase confusion which is
possible to achieve through quantitative method (Abeyasekera, 2000). As noted previously,
quantitative technique apply test and examine the cause and effect and the interaction between
the independent variable and the dependent variables will be explained (Hassan, 2014).

Table 1: Measurement Variables

Employee Motivation Key Variables
Training and development Simulation
Computer-based training
Team-building training
Soft skills training
Management training
Rewards and promotions Pay
Incentives
Acknowledgement
Allowances
Compensation
Delegation of authority Leadership
Assignment responsibilities
Accountability
Development of employee
Trust relation
Employee performance Level of commitment
Attendance
Quality
Initiative
Efficiency

Page 37
 4. Results and Discussion

Regression is used as the analytical technique in this study. The purpose of using regression
analysis is to investigate the relationship among the variables. Generally, the investigator or
researcher seeks to ascertain the causal effect of a specific variable on another, and assess the
statistical significance of the relationship (Rawlings, Pantula, Dickey, 1998). For this research,
regression is performed to investigate the motivation dimensions and its impact on the
performance of employee constructed on three independent variables. And employee
performance is the dependent variable.
b
Model Summary
Model R R Adjusted Std. Error of Change Statistics Durbin-
Square R Square the Estimate Watson
R Square F df1 df2 Sig. F
Change Change Change
a
.919 .845 .840 .2382773045 .845 174.301 3 96 .000 1.773
1 14467

a. Predictors: (Constant), Delegation, Training and Development, Rewards and Recognition

b. Dependent Variable: EP (Employee Performance)

The above table indicates the fitness of the model. According to Zygmont& Smith, (2014) the
standard adjusted R-square should be more than or equal to 60% (Zygmont& Smith, 2014).
Hence, this model is considered to be a good fit as the adjusted R-square is 0.840 (84.0%) fit.
Therefore, it means that the variables of motivation (training and development, rewards and
recognition, and delegation of authority) represent 84.0% variance in performance of
employees.
The model indicates that the Durbin Watson is 1.773 which indicates there is no auto-
correlation. Thus, multi Co-linearity among the variables doesn’t exist.

a
Coefficients
Model Unstandardized Standardized t Sig. Collinearity Statistics
Coefficients Coefficients
B Std. Error Beta Tolerance VIF
(Constant) -.990 .239 -4.145 .000
Training & .648 .091 .426 7.146 .000 .456 2.195
1 Development
Rewards & 1.303 .088 1.124 14.832 .000 .281 3.554
Recognition
Delegation -.749 .137 -.521 -5.475 .000 .179 5.596
a. Dependent Variable: EP

Referring to the above table, a positive and significant effect and influence between training and
development with performance of employees. As Beta coefficient is 0.426 with a p value of
0.000 which (< .05) which indicate to a moderate and significant influence of training and
development on employee performance. Therefore, if training and development increase,
employee performance will increase. Previous researchers have also come out with similar
findings (Tahir, Yousafzai, Jan, Hashim, 2014; Asfaw, Argaw, Bayissa, 2015).
A very strong and positive influence of rewards and recognition on the performance of the
employees is visible since beta coefficient is 1.124 with a p-value of 0.000 (< .05). This indicates
that the influence of rewards and recognition is very high and strong on the employee
performance and it also shows that there is a direct proportion between the increase in rewards
and recognition towards better performance of the employee.
Delegation of authority has a significant negative impact on employee performance, as beta
coefficient is -0.521 and p-value 0.000 (< .05) which tells that the influence of delegation of
authority on employee performance is negative and significant. Also it tells that if delegation of
authority increased the level of performance will decrease.

Page 38
5. Conclusion

As per the findings, there is a positive and significant relationship between training and
development with performance of employees. Thus, training and development in the industry of
electronics in China is a powerful method or tool to be used that can extract best results out of
the employee. Training and Development is showing such a powerful relationship with
performance that it is always worth investing money to get excellent training and also on having
a detailed training schedule in place. It helps develop their skills to assist the organization and
in self-development alike and to achieve the ultimate target or tasks. More importantly, as
training and development’s main purpose is to enhance and reduce the barriers to accurate
amount of stimulation and clarity towards organizational objectives. Sustainable future
progress of employees and the organization depends on the depth of training and development
of employees. Referring to regression part, there is a significant and positive impact of training
and development on performance of employees. Therefore, the more planned training and
development process takes place the better employee performance will be. Similar findings as
per previous researches such as (Tahir, Yousafzai, Jan, Hashim, 2014; Asfaw, Argaw, Bayissa,
2015) have substantiated this claim categorically.
Similarly, regarding rewards and recognition, a positive and significant relationship is
shown with the performance of employees. Therefore, rewards and recognition in the industry
of electronics in China is very crucial and important scheme that can be initiated which will
increase the employee desires towards completing objectives. It is the best possible way to
motivate employee as they will have the thirst to achieve target for getting rewards and
recognition. Referring to regression, a strong and positive impact of rewards and recognition on
the performance of the employees shows that if rewards and recognition increased same
proportion of increase is visible in performance of the employee also.
In the case of Delegation of Authority, a positive and significant relationship with the
performance of employees is observed and that is a good sign. Thus, delegation of authority
plays a significant role in employee performance. Regarding regression, it is obvious as per the
result that Delegation of Authority has a significant and negative impact on performance of
employees, and it tells as mentioned previously that delegation of authority is misused as
managers and supervisors use their control and influence for their wellbeing and it may be
limiting and restricting the employee performance. Due to this, their freedom of expression and
team building initiative and level of motivation might be come down.
As far as the electronics industry in China is concerned, result of the analysis generated
from this report clearly shows that motivation is an important factor that plays a vital-role of
improving and sustaining the performance of the employees which reflects positively on the
company performance. Regarding the training and development, it is considered a concrete
factor as employees feels more secured once they learn more, increases the motivation level
which will lead them to develop more knowledge and thus, managers and supervisor should
increase the level of confident among employees to approach which may reflect positively on
the working environment as employees seek higher rank and retention in the organisation, it
may be a pleasant factor while performing their duties and tasks as it brings more comfortable
atmosphere and excellent work-place environment.
Employees always seek to be recognised and rewarded. As rewards and recognition are
important factor which reflect positively on the performance of employees, it is recommended
for managers and supervisor not to disregard such a critical element. When the employee
realizes that he/she is recognized for the work performed, that improves motivation and results
in delivering more than the required amount of output and result in higher degree of efficiency.

Since the report has been done on industry of electronics in China, it is suggested for
further researchers to focus and cover a different industry or multiple industries. A bigger
sample size and target population on how motivation is beneficial for the performance of
employees essentially and how it will reflect on the performance of the organisation in huge
samples sizes will pave way for more accuracy in the research in this field.

Page 39
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