THE EFFECT OF EMPLOYEE MOTIVATION ON ORGANIZATIONAL PERFORMANCE: A CASE OF FEDERAL CIVIL SERVICE COMMISSION, ETHIOPIA

Abstract

Motivation, nowadays, is getting crucial for organizations to function. The situation is even more serious in developing countries where working conditions are unattractive. Employee motivation is the key factor to boost up the function of an organization. Without motivation, employees will not put up their best efforts, and the organization's performance would be less efficient and effective. Highly motivated employees are considered as a core element in running a successful organization. The primary purpose of this study is to identify employee motivation factors and their effect on organization performance. This study adopted both descriptive and casual research methods. A well-structured self-administered questionnaire was used as the main tool for data collection and was administered to 201 respondents, out of which 185 were retrieved and appropriately filled. Reliability of the research instrument was calculated and the Cronbach's alpha coefficient was 0.94. The data were analyzed using both descriptive and inferential statistical tools. Moreover, the result was described using mean, frequency and standard deviation, and the researcher was also applied parametric statistical test (correlations, and multiple regression analysis to interpret and analyze the data, using Statistical Package for Social Science version 25. The results also revealed that extrinsic factors were considered to have more significant effects on organizational performance than intrinsic factors. From the hypotheses tested, the result indicated that employee motivation has a significant effect on organizational performance. Furthermore, this study also recommended that organizations should figure out factors that motivate their employees and seek ways of ensuring their performance level. The more employees are motivated the better the organizational performance will be. Finally, the study also suggested that future studies should focus on public sectors' employee motivation and improving organizational performance.