EFFECT OF MOTIVATION ON EMPLOYEE PERFORMANCE: THE CASE OF AWACH SAVING AND CREDIT COOPERATIVE

Abstract

Motivation and performance of the employees are essential tools for the success of any organization in the long run. Previous researches indicated that motivation shows a crucial significant part in all private and public organizations, and there is a positive relationship between employee motivation and organizational effectiveness These findings stressed that organization cannot run and cannot attain their desired goals and objectives without motivating their employees. The main purpose of this research work was to find out the impact of motivation on employee performance and job satisfaction at Awach Saving and Credit Cooperative (ASCC). The study followed Mixed Methods approach, where both qualitative and quantitative researches were applied. Closed ended questionnaires and interview were data collection instruments used for this study. A 61% response rate was obtained from the ASCC respondents. Data were analyzed by using descriptive statistics focusing on the frequency, mean, standard deviation and percentages and the data were processed by using statistical package for the social sciences(SPSS) version 20. Moreover an inferential statistics was also applied to see relationships and effects of the independent variables on the dependent variable. To analyze the qualitative data, content analysis was conducted and finally it was triangulated with the quantitative data. The study finding showed that relationship between the enterprise’s management and its employees, job security, reward and praise system motivate employees more than others motivating variables. The employee performance interms of job knowledge, employees attendance and ownership and their compliance are positively impacted by the motivation scheme of the company. To make motivation an integral part of the company the researcher therefore recommended that motivation should be management’s topmost priority in order for employees to deliver excellent service to its valued customers. The study also recommends ASCC to embark an initiatives to use an integrated approach towards developing motivational scheme so as to instill good motivational practice for improving employee performance.