New.motivation[1]2

1
A
BBA (HRD)
Submitted by
ADITI
GOSSNER COLLEGE RANCHI
TRAINING PROJECT REPORT
SUBMITTED IN THE PARTIAL FULFILLMENT OF THE
Graduation in Bachelor of Business Administration
UNDER THE GUIDANCE OF
MR UMESH SINGH
General Manager (P&IR)

2
INTRODUCTION
TYPE : - COAL SERVICE PROVIDER
AVAILABILITY : - COUNTRYWIDE
OWNER : - GOVERNMENT OF INDIA (U/T)
KEY PEOPLE : - CHAIRMAN –CUM-MANAGING
DIRECTOR- SRI GOPAL SINGH
FOUNDED : - 16TH CENTURIES INCORPORATED IN
1ST
NOV 1975
WEBSITE : - WWW.CCL.IN

3
WINTER TRAINING PROJECT REPORT
(From 02.12.2019 to 25.01.2020)
Submitted by
ADITI
Under the guidance of
P. K. Lala
MANAGER (P)/IR-L, CCL,
RANCHI
In Partial Fulfillment for the award of the Degree
Of
BBA IN HR
GOSSNER COLLEGE RANCHI
(2017- 2020)

4
ABOUT THE SUBJECT :
Organizational studies, organizational behavior, and organizational theory
Is the systematic study and careful application of knowledge about how people – as
individuals and as groups - act within organization. An organizational
study encompasses the study of organizations from multiple viewpoints, methods,
and levels of analysis.
Whenever people interact in organizations, many factors come into play.
Modernorganizational studies attempt to understand and model these factors.
Like all modernist social sciences, organizational studies seeks to control, predict, a n d
explain

5
WINTER training is the most vital part of a UG course, both as a link between
theory and actual industrial practices as well as an opportunity for hands on
experience in corporate environment. I therefore, consider myself fortunate to
receive the training in an esteemed organization viz. CENTRAL COALFIELD
LIMITED. Yet the opportunity could not have been utilized without the guidance
and support of many individuals who although completion of my summer
training.
Sri P.K.Lala, Mgr(P)/IR-L, along with Faizaan Ullah and also thanks to all my
faculty members and my Parents and friends. However, I accept the sole
responsibility errors of omission and would be extremely grateful to readers of
this project report if they bring such mistake to my notice
ADITI
( 3RD
YEAR)

6
DECLARATION
I ADITI , student of UG , declare that I have done the project on “ A Study of “EMPLOYEE
MOTIVATION” at Industrial Relation-Legal Department of Central Coalfields Limited Ranchi” under
the guidance of MANAGER SRI P.K.LALA, CCL,RANCHI alongwith, Faizaan Ullah in fulfillment of
BBA Program- during academic year-2017-20. All the data represented in this project is true & correct to
the best of my knowledge & belief. I also declare that this project report is my own preparation and not
copied from anywhere else. I take this opportunity to express my deep sense of gratitude, thanks and
regards towards all of those who have directly or indirectly helped me in the successful completion of this
project.
I present my sincere thanks to Sri Umesh Singh, General Manager (P&IR)/IR-L, who allowed me to take
training at CCL. I would also like to thank IR-L, DEPARTMENT‘s Staffs for their wonderful€ support &
inspirable guiding. I also thank Pushpak Kumar Lala, Manager (P) IR-L. DEPARTMENT who has
sincerely supported me with the valuable insights for the completion of this project.
Date: -
Place: - Signature

7
STUDENT’S DECLARATION
I hereby declare that this report, submitted in partial fulfillment of the requirement of
the requirement for the award for the BBA (HRD), to GOSSNER COLLEGE
RANCHI is my original work and not used anywhere for award of any degree.
Place: Ranchi
Date: __________________ ___________________
Signature
Name: ADITI
Class: BBA
YEAR: 3rd
Roll No.: 132
RAGISTRATION NO.:
18BC8690180

8
BBA-HR Project Reports Acknowledgement
“It is not possible to prepare a project report without the assistance & encouragement
of other people. This one is certainly no exception.”On the very outset of this report, I
would like to extend my sincere & heartfelt obligation towards all the personages who
have helped me in this endeavor. Without their active guidance, help, cooperation &
encouragement, I would not have made headway in the project. I am ineffably indebted
to ADITI for conscientious guidance and encouragement to accomplish this assignment.
I am extremely thankful and pay my gratitude to my faculty FAIZAN ULLAH for
her/his valuable guidance and support on completion of this project in it’s presently. I
extend my gratitude to GOSSNER COLLEGE RANCHI for giving me this opportunity.
I also acknowledge with a deep sense of reverence, my gratitude towards my parents
and member of my family, who has always supported me morally as well as
economically. At last but not least gratitude goes to all of my friends who directly or
indirectly helped me to complete this project report. Any omission in this brief
acknowledgement does not mean lack of gratitude.
Thanking You
(ADITI)

9
ACKNOWLEDGMENT
The Project Report on various types of case studies and company’s work, Rules
offered a great learning experience during the tenure of this project I was
fortunate to have interacted with people who in their own capacities have
encouraged and have guided me.
It is an exhilarating experience to do my training at IR-L, department of Central
Coalfield Limited. I express my deep sense of gratitude to CCL for the same.
I owe my regards to Sri S.K. Singh, GM, HRD and HR Dept of CCL Ranchi for
providing me this opportunity to undergo my training at such a reputed
organization.

10
BOARD OF ORGANIZATIONAL SETUP
PERSON DESIGNATION
Sri Gopal Singh CMD, CCL, Ranchi
Sri. R.S. Mahapatro Director (Personnel)
Sri. V.K.SRIVASTAVA Director (T)(Operation)
Sri. N.K.AGARWAL Director (Finance)
Sri.BHOLA SINGH Director (T)(P&P)

11
CERTIFICATE
THIS IS TO CERTIFY THAT PROJECT ON “EMPLOYEE MOTIVATION”
IN CCL, RANCHI HAS BEEN CARRIED OUT BY ADITI FROM 02.12.2019
TO 25.01.2020 UNDER MY SUPERVISION IN PARTIAL FULFILLMENT
OF HER BBA(HR) AT GOSSNER COLLEGE RANCHI.
I AM SATISFIED WITH HER SINCERE PERFORMANCE AND STUDY
CONDUCTED BY HER AT CCL.
UMESH SINGH P.K. LALA
G. M (P&IR) MANAGER (P)IR-L
CCL, RANCHI CCL, RANCHI

13
CONTENT
Chapter Title
1.INTRODUCTION
a) Types of coal
b) Production of coal in other parts of world
c) Objective
d) Gradation of coal
2.REVIEW OF LITERATURE
▪ Meaning of Motivation
▪ Process of Motivation
▪ Characteristics of Motivation
▪ Types of Motivation
▪ Importance of Motivation
▪ Motivation and Morale
▪ Theories of Motivation
3. RESEACH METHODOLOGY
• OBJECTIVE OF THE STUDY
• NEED OF THE STUDY
• RESEARCH PLAN
• DATA COLLECTION
• SAMPLE PLAN
• IMPLICATION OF THE STUDY
• LIMITATION OF THE STUDY
4. DATA ANALYSIS
5. FINDING, SUGGESTION & CONCLUSION
BIBLIOGRAPHY
APPENDIX

14
EXECUTIVE SUMMARY
INDUSTRY OVERVIEW
There are 21 coking coal washers in production both in private and public sectors. Production of
clean coal in these wateriest during 1989-90 was 12 million tons and it is expected to go up to 14
million, tone during 1990-91. There are 2 wateriest under construction now and these are expected to
be completed by 1995.
Present wateriest face problems in optimum production more on quality aspects than on quantity and
it appears that trend of using imported coking coal of low ash to blend with indigenous high ash coal
for steel sector requirement, may continue for some time to come on considerations of optimized
steel production. Besides the above coking coal washeries.
Future prospects of wateriest for non- coking coal beneficiation, appear to be bright as, in view of
sharp rise in demand for coal, there is increasing trend in mechanized mining of inferior seams
resulting in deterioration in quality and consequent reluctance by consumers to accept the same.
Planning Commission has taken the decision that non-coking coal meant for Thermal Power Plants
situated far away from feeding coalfield, should be beneficiated. The benefits of low ash coal
burning in boilers are realized but reimbursement of extra cost of beneficiation for washed non-
coking coal needs to be considered.
The highlights of the outcomes from this study are:
o The major role CIL is the price fixation of the coal according to their grade to achieve
business results.
o A number of pricing challenges were found, These include Government rules and
international market competition.

15
Major consumers of coal are public sector undertakings like
• Thermal power station
• Bricks industries
• Agriculture
• Steel industries
• Cement
• power
ABSTRACT
The project work entitled “A STUDY ON RECRUITMENT & SELECTION PROCESS” with
special reference to the CENTRAL COALFIELDS LIMITED, RANCHI, JHARKHAND the
various factors that are concerned towards the attitude of the employees.
The analysis has been made mainly based on the primary data that is by the employees’ opinion
survey method. The researcher has taken a sample size of 180 and has used the stratified random
sampling method to select the samples from the total population.
The study gives the opinion of employees about all the H.R. functions of CENTRAL
COALFIELDS LIMITED, employment conditions, wages and incentives, interpersonal
relationship, working conditions, management practices, etc.
The researcher has used percentage analysis and CHI-Square test, and the study reveals that there is
no relationship between JOB ENRICHMENT educational Qualification of the respondents, and there
is no relationship between length of service of the respondents, and welfare facilities, and there is no
relationship between the salary of the respondents and welfare facilities. The study has also revealed
that most of the respondents have a positive attitude towards the welfare facilities, management
practices and employment conditions, WELFARE FACILITIES, INTER PERSONAL
RELATIONSHIP, WORKING CONDITION the researcher has given suggestions for its
improvement which includes suggestion schemes which may be transparent and promotions which
may be made both based on seniority and performance to a certain level in the organizational
hierarchy.

16
OBJECTIVES OF THE STUDY
➢ To analyze the process of recruitment & selection.
➢ To present conceptual frame work relating to recruitment & selection.
➢ To find out the various recruitment sources use by the industries.
➢ To study employee satisfaction level with the existing recruitment policy.
➢ To suggest appropriate measures for improving recruitment & selection process.
INTRODUCTION
INTRODUCTION OF COAL:
Coal from the Old English term “coal”, which has meant "mineral of fossilized
carbon" since the 13th century is a combustible black or brownish-black sedimentary
rock usually occurring in rock strata in layers or veins called coal beds or coal seams.
The harder forms, such as anthracite coal, can be regarded as metamorphic rock
because of later exposure to elevated temperature and pressure. Coal is composed
primarily of carbon along with variable quantities of other elements, chiefly hydrogen,
sulfur, oxygen, and nitrogen.
Coal is a combustible sedimentary rock composed mostly of carbon and hydrocarbons.
It is the most abundant fossil fuel produced in the United States, but it is a
nonrenewable resource. The energy in coal comes from the energy stored by plants
that lived hundreds of millions of years ago in swampy forests. Over time, layers of
dead plants at the bottom of the swamps were covered by layers of water and dirt,
trapping the energy of the dead plants. The heat and pressure from the top layers
turned the plant remains into coal.

17
FORMATION OF COAL
At various times in the geologic past, the Earth had dense forests in low-lying wetland areas.
Due to natural processes such as flooding, these forests were buried underneath soil. As more
and more soil deposited over them, they were compressed. The temperature also rose as they
sank deeper and deeper. As the process continued the plant matter was protected from
biodegradation and oxidation, usually by mud or acidic water.
This trapped the carbon in immense peat bogs that were eventually covered and deeply buried
by sediments. Under high pressure and high temperature, dead vegetation was slowly
converted to coal. As coal contains mainly carbon, the conversion of dead vegetation into coal
is called carbonization.
The wide, shallow seas of the Carboniferous Period provided ideal conditions for coal
formation, although coal is known from most geological periods. The exception is the coal gap
in the Permian–Triassic extinction event, where coal is rare. Coal is known from Precambrian
strata, which predate land plants — this coal is presumed to have originated from residues of
algae.
USES OF COAL
Coal is the most important & abundant fossil fuel in India and accounts for 55% of India's energy
need. India's industrial heritage was built upon indigenous coal, largely mined in the eastern and the
central regions of the country. India is, however, poorly endowed with oil assets and has to depend
on crude imports to meet a major share of its needs (around 70 percent).
A large population of India in the rural areas depends on traditional sources of energy such as
firewood, animal dung and biomass. The usage of such sources of energy is estimated at around 155
mtoe per annum or approximately 47 percent of total primary energy use. Coal has been recognized
as the most important source of energy for electricity generation in India. About 75% of the coal in
India is consumed in the power sector. In addition, other industries like steel, cement, fertilizers,
chemicals, paper and thousands of medium and small-scale industries are also dependent on coal for
their process and energy requirements.

18
In the transport sector, though direct consumption of coal by the Railways is almost negligible on
account of phasing out of steam locomotives, the energy requirement for electric traction is still
dependent on coal converted into electric power.
The coal reserves of India up to the depth of 1200 m have been estimated by the Geological Survey
of India at 247.85 billion tons as on January 1, 2005 of which 92 billion tons are proven. Hard coal
deposits spread over 27 major coalfields, are mainly confined to eastern and south central parts of
India.
COAL INDIA LIMITED
Coal India Limited (CIL) is an Indian state-controlled coal mining company headquartered in
Kolkata, West Bengal, India. It is the largest coal producer company in the world and
contributes around 81% of the coal production in India. It produced 452 million tonnes of coal
during FY 2012–13 and earned a revenue of INR 882.81 billion from sale of coal in the same
financial year. As on 30 January 2015,Union Government of India owns 89.65% of the shares
in CIL and controls the operations of CIL through Ministry of Coal. In April 2011, CIL was
conferred the Maharatna status by the Union Government of India. On 31 March 2013, its
market capitalization was INR 1.952 trillion (US $35.9 billion) making it India's 5th most
valuable company by market value.
History and formation
With dawn of the Indian independence a greater need for coal production was felt in the First Five
Year Plan. In 1951 the Working Party for the coal Industry was set up which included
representatives of coal industry, labor unions and government which suggested the amalgamation of
small and fragmented producing units. Thus the idea for a nationalized unified coal sector was born.
Integrated overall planning in coal mining is a post-independence phenomenon. National Coal
Development Corporation was formed with 11 collieries with the task of exploring new coalfields
and expediting development of new coal mines.
Formation of Coal India Limited
With the Government's national energy policy the near total national control of coal mines in India
took place in two stages in 1970s. The Coking Coal Mines (Emergency Provisions) Act 1971 was

19
promulgated by Government on 16 October 1971 under which except the captive mines of IISCO,
TISCO, and DVC, the Government of India took over the management of all 226 coking coal mines
and nationalized them on 1 May, 1972. Bharat Coking Coal Limited was thus born. Further by
promulgation of Coal Mines (Taking over of Management) Ordinance 1973 on 31 January 1973 the
Central Government took over the management of all 711 non-coking coal mines. In the next phase
of nationalization these mines were nationalized with effect from 1 May 1973 and a public sector
company named Coal Mines Authority Limited (CMAL) was formed to manage these non coking
mines.
A formal holding company in the form of Coal India Limited was formed in November 1975 to
manage both the companies.
CIL having fulfilled the financial and other prerequisites was granted the Maharani recognition in
April 2011. It is a privileged status conferred by Government of India to select state owned
enterprises in order to empower them to expand their operations and emerge as global giants. So far,
the select club has only five members out of 217 Central Public Sector Enterprises in the country.
Unmatched Strategic Relevance:-
1. Produces around 81.1% of India's overall coal production
2. In India where approximately 52% of primary commercial energy is coal dependent, CIL alone
meets to the tune of 40% of primary commercial energy requirement
3. Commands nearly 74% of the Indian coal market
4. Feeds 82 out of 86 coal based thermal power plants in India
5. Accounts for 76% of total thermal power generating capacity of the Utility sector
6. Supplies coal at prices discounted to international prices
7. Insulates Indian coal consumers against price volatility
8. Makes the end user industry globally competitive
Thus, plays a key role in "India Growth Story" and making India incorporate globally competitive.

20
Major Coal Producing States in India
Vision:
To emerge as a global 1player in the primary energy sector committed to provide energy security to
the country by attaining environmentally & socially sustainable growth through best practices from
mine to market.
Mission:
To produce and market the planned quantity of coal and coal products efficiently and economically
in an eco-friendly manner with due regard to safety, conservation and quality.
Subsidiary Companies Of Coal India Limited
Coal India is a holding company with seven wholly owned coal producing subsidiary
companies and one mine planning &consultancy company. It encompasses the whole gamut of
identification of coal reserves, detailed exploration followed by design and implementation and
optimizing operations for coal extraction in its mines. The producing companies are:
1. Eastern Coalfields Limited (ECL), Sanatoria, West Bengal
2. Bharat Coking Coal Limited (BCCL), Dhanbad, Jharkhand
3. Central Coalfields Limited (CCL), Ranchi, Jharkhand
4. South Eastern Coalfields Limited (SECL), Bilaspur, Chhattisgarh
5. Western Coalfields Limited (WCL), Nagpur, Maharashtra
6. Northern Coalfields Limited (NCL), Singrauli, Madhya Pradesh
7. Mahanadi Coalfields Limited (MCL), Sambalpur, Orissa
8. Coal India Africana Limited, Mozambique
9. The consultancy company is Central Mine Planning and Design Institute Limited (CMPDIL),
Ranchi, Jharkhand.
North Eastern Coalfields (NEC) a small coal producing unit operating in Margherita, Assam is under
direct operational control of CIL.
Coal India's major consumers are Power and Steel sectors. Others include Cement, Fertilizer, Brick
Kilns, and small scale industries.

21
CORPORATE STRUCTURE
Central Coalfields Limited
Central Coalfields Limited (CCL) is a subsidiary of Coal India Limited (CIL), an undertaking of the
Government of India. CCL manages the nationalized coal mines of the Coal Mines Authority,
Central division. The registered and corporate office is at Darbhanga House, Ranchi, Jharkhand.
It presently has 62 mines (22 underground, 40open cast) in the Coal belt of East Bokaro, West
Bokaro, North Karnpura, South Karnpura, Ramgarh and Giridih. Their facilities include seven coal
preparation plants, three for non-coking coal and four for medium coking coal. They earned their
Mini Ratna status in 2007.The majority of coal field is in Khalaricommonly two branches are
Piparwar-area and Asoka coal field.
Central Coalfields Limited is a Category-I Mini-Ratna Company since October 2007. During 2009-
10, coal production of the company reached its highest-ever figure of 47.08 million tones, with net

22
worth amounting to Rs. 2644 core against a paid-up capital of Rs. 940 crore.
Formed on 1st November 1975, CCL (formerly National Coal Development Corporation Ltd) was
one of the five subsidiaries of Coal India Ltd. which was the first holding company for coal in the
country (CIL now has 8 subsidiaries).
Early History – Formation of NCDC
CCL had a proud past. As NCDC, it heralded the beginning of nationalization of coal mines in India.
National Coal Development Corporation Ltd. (NCDC) was set up in October, 1956 as Government-
owned Company in pursuance of the Industrial Policy Resolutions of 1948 and 1956 of the
Government of India. It was started with a nucleus of 11 old state collieries (owned by the Railways)
having a total annual production of 2.9 million tons of coal.
Until the formation of NCDC, coal mining in India was largely confined to the Raniganj coal belt in
West Bengal and the Jharia coalfields in Bihar (now in Jharkhand), besides a few other areas in Bihar
(now in Jharkhand) and a part of Madhya Pradesh (now Chhattisgarh also) and Orissa.
From its very beginning, NCDC addressed itself to the task of increasing coal production and
developing new coal resources in the outlying areas, besides introducing modern and scientific
techniques of coal mining.
In the Second Five Year Plan (1956-1961) NCDC was called upon to increase its production from
new collieries, to be opened mainly in areas away from the already developed Raniganj and Jharia
coalfields. Eight new collieries were opened during this period and the production increased to 8.05
million tons by the end of Second Plan.
During Third Five Year Plan (1961-1966), though the Corporation had built up a much larger
production capacity, it could not be utilized due to a sluggish domestic coal market. Production had,
therefore, to be pegged down and the development of several collieries undertaken from the early
part of the Plan period, had to be suspended. By this time, the contribution of NCDC to the nation’s
coal production (67.72 million tons) increased to around 9.6 million tons.
Vision of CCL:
"Committed to create eco-friendly mining"

23
• The Mission of CCL is to produce and market the planned quantity of coal and coal
products efficiently and economically with due regard to safety, conservation and quality.
• The main thrust of CCL in the present context is to orient its operations towards market
requirements maintaining at the same time financial viability to meet the resource needs.
Mission of CCL:
"To become a World class, Innovative, Competitive &ProfitableCoal Mining Operation to achieve
Customer Satisfactionas top priority."
Objectives Of CCL:
• Coal Mining through efficiently operated mines.
• Besides fulfilling coal needs of the customer in terms of quantity, focus on quality, value
addition and beneficiation to the satisfaction of the customers.
ORGANISATIONAL STRUCTURE OFCENTRAL COALFIELDS LIMITED

24
Formation of CCL
The CMAL, with its three divisions continued up to 1st November 1975 when it was renamed as
Coal India Limited (CIL) following the decision of Govt. of India to restructure the coal industry.
The Central Division of CMAL came to be known as Central Coalfields Limited and became a
separate company with the status of a subsidiary of CIL, which became the holding company.
SWOT Analysis Of Central Coalfields Limited
This is SWOT analysis for Central Coalfields Limited:-
Strengths
-High growth rate
-Barriers of market entry

25
1. The Meaning of Motivation:
Generally people work to satisfy their needs— biological social and ideological. They also work
to attain prestige in society and maintain self-respect. Further, society expects them to work and
work contributes to social development.
Apart from these reasons for working of people, many theories have been propounded to explain
work behavior and these theories attribute work behavior to certain forces called motives, which
could be traced to the Latin work “Movere”, which means “to move”.
Bernard Berelson defined motive as “an inner state that energies, activities or moves and that
directs behavior towards goals”. In other words it can be said that motives are expressions of a
person’s.
Motivation may be defined as propensity, or the level of desire of an individual to behave in a
certain manner at a certain time and in a certain situation.
-Weaknesses
-Tax structure
Opportunities
Global markets
-New markets
Threats
Rising cost of raw materials
-Government regulations
-Price Changes
-External Business Risks
-Increasing Costs
-Financial Capacity
-Growing Competition And Lower Profitability
-Increase In Labor Costs
-Global Economy

26
According to Vitiles Murrits, “Motivation represents an unsatisfied need which creates state
of tension or disequilibrium, causing the individual to move in a goal- directed pattern
towards restoring a state of equilibrium by satisfying the need.”
Vance Stanley defined, as motivation implies any emotions or desire which so conditions one’s
will that the individual is properly led into action.
According to Dubin Robert, “Motivation is the complex of forces starting and keeping a person
at work in an organization.”
Motivation refers to the inner conditions that arouse, sustain and direct behavior in response to
the situations and objects in an environment, defined by Evans.
According to Likert, “It is the core of management which shows that every human being
earnestly seeks a secure, friendly and supportive relationship which gives him a sense of
worth in face-to-face groups which are most important to him. A supervisor should strive
to treat individuals with dignity and recognition of their personal worth.”
It is observed from the above definitions and from other definitions that motivation implies any
emotion or desire which so conditions, one’s will that the individual is properly led into action. It
explains way a person elects to channel his energies in one direction rather than in another.
It sets in motion actions of the people. It activates dormant energies. It shows that willingness to
expand energy to achieve a goal or reward.
In short management is the art of extracting work from other persons. Hence, for taking proper
work from the persons to create interest in them for the work and to maintain I hat interest and
develop and instigate them to development is in reality motivation.
This aspect of motivation is clearly expressed by Micheal J. Jucius as “the act of stimulating
someone or oneself to get a desired course of action, to push the right button to get desired
action.”
Thus, numerous definitions are given for the word motivation, involving such concepts as aim,
desire, end, impulse and purpose. All these inner striving conditions described as wishes, desires,
drives etc. may be called as motivation. It is an interstate that moves or activates, it is a
stimulates leading to an action that satisfies the need.

27
2. The Process of Motivation:
In management parlance, motive and need are used interchangeably. In fact, need is a good point
to begin discussion on motivation. A need represents the lack, or absence, deficit of something
within the system or organism.
When an individual experience lack or deficit of something, he looks around his work
environment to see if there are any incentives or reward for performance of a task which would
lead to satisfaction of that need. Thus, a need is personal or internal to a person, while incentives
are external.
The needs give rise to wants or goals sought, which cause tensions (that is, unfulfilled desires),
which give rise to actions toward achieving goals, which Finally result in satisfying actions. This
process is shown in Figure 8.1.
3. The Characteristics of Motivation:
Motivation is the reported urge a tension to move in a given direction or to achieve a certain
goal.
Motivation is the process consisting of the three parts:
(a) Motives,
(b) The needs, drive, desires, aspiration etc. which are the motivating factors,

28
(c) Attainment of the objectives.
These description reveals the following characteristics of motivation.
(i) Motivation Should Come from Inside Each Individual:
There are two desiring factors in motivation:
(i) Fundamental needs, such as food, cloth and shelter and
(ii) Ego-satisfaction, including self-esteem, recognition from others, opportunities for
achievement, self- development and self-actualization, which act as powerful though
unconscious motivator of behavior. Inner motivation can be more decisive for behavior than any
external influence. Thus motivation is a psychological concept.
(ii) The Whole Individual is Motivated, not Part of Him:
A person’s basic needs determine to a great extent what he will try to do at any given time. All
these needs are interrelated because each individual is an integrated organized whole.
(iii) Motivations Change:
Motivation of each individual change from time to time even though he may continue to behave
in the same way. For example, a temporary worker may produce more in the beginning to
become permanent. When made permanent he may continue to produce more this time to gain
promotion and so on.
(iv) Motivations are Expressed Differently:
The ways in which needs are eventually translated into actions also vary considerably between
one individual and another. One individual with a strong security need may “Play it Safe” and
avoid accepting responsibility for fear of failing and being fired. Another individual with the
same security need may seek out responsibility for fear of being fired for low performance.
The reactions of individuals to successful or unsuccessful fulfillment of their needs may also
differ. Some individuals who fail to train their goal (say, promotion at a university) may become
frustrated and give up trying. Others may be motivated to redouble their efforts.
(v) Motivation is a Complex:
It is difficult to explain and predict the behavior of an individual. The introduction of an
apparently favorable motivational device may not necessarily achieve the desired ends if it
brings opposing motives into play. In a factory when blue-green lighting was introduced to
reduce eye strain, the output of men workers increased but that of women workers decreased.

29
On investigation it was found that the latter disliked the change in lighting because they felt that
the new types of lighting had made them look “simply ghastly”.
4. The Types of Motivation:
Motivation can be divided into the following four types:
(i) Positive Motivation.
(ii) Negative or fear Motivation.
(iii) Extrinsic Motivation.
(iv) Intrinsic Motivation.
(i) Positive Motivation:
Positive Motivation makes the people induce to do their work in the best possible manner they
can and improve their performance, it provides better facilities and rewards for their better
performance. Such reward and facilities may be financial and non-financial.
Financial or Monetary motivation may include different incentives wage plans, bonus etc. Non-
financial or non-monetary motivation may include promotion, raise for the work, participation in
decision making, recognition etc.
Monetary incentives provide the worker a better standard of life while the non-monetary
motivation satisfies the “ego” of the man. Heedless to say, positive motivation seeks to create a
brighter, more cheerful and optimistic atmosphere in the enterprise.
(ii) Negative or Fear Motivation:
Negative Motivation aims at controlling the negative efforts of the workers and seeks to create a
sense of fear or an uncongenial and unhelpful environment for the worker where he has to suffer
for lack of good performance. So, management induces him to work positively in the interest of
the organization.
It is based on the concept that if they man fails in achieving the desired results, he should be
punished. Punishments, reprimands, fear of loss of job are some of the methods which are
usually taken as a means to direct the man in the desired direction.

30
Under this method, man works in fear and tend to produce minimum enough to get safety. The
negative motivation may also be classified into monetary and non-monetary motivation.
Wages may be cut in case he produces below the standard fixed, keeps himself away the work if
he creates indiscipline in the organization. The non-monetary negative motivation may include
reprimands, cut in facilities and greater control on the activities etc. This is based on the
presumption that man works out of fear.
(iii) Extrinsic Motivation:
This motivation is induced by external factors which are primarily financial in nature. These
incentives and rewards have been a subject of debate, whether I hey really motivate the
employees or simply move them to work and perform. These motivations include higher pay,
fringe benefits like retirement plans stocks options, profit sharing schemes, health and medical
insurance, maternity leave, paid vacation etc.
(iv) Intrinsic Motivation:
This is concerned with the state of self-actualization, in which the satisfaction of accomplishing
something worthwhile motivates the employee further. These are primarily non-financial
rewards. For instance, there are many retired doctors who work free in the hospital because it
gives them a sense of accomplishment and satisfaction.
Some of the intrinsic motivations are praise, recognition, responsibility, esteem, power, status,
participation etc.
5. The Importance of Motivation:
Motivation is very important function of human resource management. It is one of the methods
to induce the man on the job to get the work done effectively to have the best results towards the
common objectives. It is necessary for the better performance.
Thus the significance of the motivation are listed below:
(i) Accomplishing Organizational Goals:
Motivation is the process of stimulating people to action to accomplish desired goals. Proper
motivation inspires the people to contribute their best toward the realization of organizational
objectives and goals.

31
(ii) Making Job Satisfaction:
While people are motivated, they contribute their best in achieving organizational goals and
individual goals. It results in job satisfaction and higher morale.
(iii) High Level of Performance and Productivity:
Motivation induce the subordinates to give their best in achieving their goals and thereby
organizational goals. It helps to achieve the high level of performance and productivity.
(iv) Best Utilization of Resources:
Even though there are several resources like physical and human resources, in an organization,
the human resource is considered as an important one. Because, all other resources are handled
by human resources. Hence, utilization of resources is possible to their fullest extent when
people are induced to contribute their efforts to attain the organizational goals.
(v) Create a Congenial Environment and Friendly Relationships:
Motivation creates a anginal working environment in the organization in which subordinates and
all give their willing co-operation. It will create a congenial environment and friendly
relationships among the members of the organization.
(vi) Reduction in Labor Problems:
All the members try to concentrate their efforts to achieve the objectives of the organization and
carry out the plans in accordance with the policies and programmed laid down by the
organization if the management introduces motivational plans. It reduces the labor problems like
labor turnover, alsenteeism, indiscipline, grievances etc. because their real wages increase by the
motivational plans.
(vii) Acceptance of Organizational Change:
An organization has to incorporate changes which is to be occurred, to cope with the requirement
of the time. If people are effectively motivated, they gladly accept, introduce and implement
these changes without reserving any resistance to change and negative attitude, thus, keeping the
organization on the right trade of progress.
(viii) Improvement upon Skill and Knowledge:
All the members will try to be as efficient as possible and will try to improve upon their skill and
knowledge so that they may be able to contribute to the progress of the organization as much as

32
possible because they know that they, in turn, will get what have been promised and ultimately
they will be able to satisfy their needs-personal and social both.
6. Motivation and Morale:
Morale refers to a combination of employee attitudes towards employment. It is a synthesis of
how employees think and feel about their jobs, working conditions, the job situation,
organizational climate etc.
According to John F. Mee “Good employee morale is the mental attitude of the individual or
the group, which enables the employee to realize that the maximum satisfaction of his
drives coincide with the fulfillment of the objectives of the company.”
In other words, the employee identifies his objectives with those of the company, not merely
subordinates his own desires, to those of the company”. It is the possession of a feeling on the
part of an employee or a group of employees of being accepted and belonging to the work group
and the organization, identifying himself or themselves with common goals having confidence in
the desirability of these goals.
All port is of the opinion that morale is an individual attitude in a group endeavor. Attitude is
closely linked with approaches and hence morale has both personal and social features.
As a matter of fact high morale of an individual may necessitate that:
(i) The individual must possess from convictions and values which make life worthwhile for him
so that he has the energy and confidence to face the future.
(ii) He must be aware of a job to be done to defend or extend his store of values.
(iii) His values must be in essential agreement with those of his group, and there must be a
coordination of effort in attaining objectives. Katz on the other hand, believes that morale
involves two factors, viz., the presence of a common goals among the group members and the
acceptance of socially recognized pathways towards the goal.
Sometimes morale can be used as a group concept though it is generally associated with
individual behavior.
Morale, as a group concept, can be applicable under three general conditions:

33
(i) The extent to which the members of a group have a common goal.
(ii) The extent to which the goal is regarded as worthwhile.
(iii) The extent to which members feel that the goal can be achieved.
When these conditions are fulfilled in a higher magnitude, morale is supposed to be high. Higher
morale keep the people in higher spirit concerning the given task.
Following characteristics can be associated with high morale:
(i) A higher team spirit, and concerted efforts;
(ii) Staying in a high quality of efforts;
(iii) A zest enthusiasm and a high spirit.
(iv) A general resistance to frustration.
(v) A sincere involvement in the task and
(vi) A higher achievement motivation.
It may then mean that group with high morale accomplish things with a minimum of bickering
and that they do things because they want to do them. It is then evident that people with low
morale can be characterized by apathy, bickering, jealously, disjointed effort and pessimism.
In situations of high morale, on the other hand, members of a group think in a “we” spirit rather
than trying to grab or win from one another; and the success of one is reckoned as a gain for all.
Thus, one would be able to notice, that morale and cohesiveness are positively related.
However, cohesiveness and morale are not static qualities. These are bound to change in
accordance with the variations in the environment: failures of successes. Morale, has a positive
relation with individual behavior, also, since morale is an indicator of need satisfaction.
Obviously job satisfaction and job involvement will be greater when the morale is high. This is
the reason why morale is related to productivity.
7. The Theories of Motivation:

34
Motivation is defined as the force that energizes, directs and sustain human behavior. Theories of
motivation basically belong to two categories, i.e., content theories and process theories. Content
theories try to explain the needs and need formation. Process theories try to explain how
motivation takes place.
A. Content Theories of Motivation:
Content theories of motivation focus on the inner needs that motivate behavior. In an effort to
reduce or satisfy their needs, people will act in certain ways. It can be shown in figure 8.2. This
approach is associated with such thinkers as Maslow, Alderfer, McGregor, Herzberg, Alkinson
and McClelland.
1. Maslow’s Hierarchy of Needs:
One of the most widely mentioned theories of motivation Is the hierarchy of needs theory put
forth by Abraham Maslow in 1943, based upon his clinical experience. Maslow saw human
needs in the form of a hierarchy, ascending from the lowest to the highest and he concluded that
when one set of needs is satisfied, this kind of need ceases to be a motivator.
According to Maslow there are five need-clusters viz., physiological needs, safety needs, social
needs, esteem needs and self-actualization needs. Thus, the basic human needs placed by
Maslow in an ascending order of importance and shown in figure 8.3.
Physiological Heeds:
These are the basic needs for sustaining human life itself such as food, water, warmth, shelter
and sleep. Maslow took the position that until these needs are satisfied to the degree necessary to
maintain life, other needs will not motivate people.

35
Safety Needs:
Safety needs begin to manifest themselves as soon as physiological needs are fulfilled. These
needs are also called as security needs. These take many forms viz., protection from physical
dangers, economic security, desire for an orderly, predictable environment etc.
Management attempts to satisfy the need for protection from physical damages such as fire or
accident by providing instructions like “Beware of Fire”, “Ho smoking in this area”, etc.
Similarly, fringe benefits such as life insurance, accident insurance, health insurance etc. help to
fulfill the need for economic security.
Also there is the desire for an orderly, predictable environment. This may be understood only if
one realizes that people often feel threatened by work changes or are afraid to voice their opinion
on a particular matter for fear of losing their job. Security is the intention to survive through the
job as an adequate income source.
Social Needs:
After the needs of the body and security are satisfied then a sense of belonging and acceptance
becomes prominent in motivating behavior. These needs are for love, friendship .and social
interaction. We look for an environment where were understood, respected and wanted.
That is one reason for “Polarization” where people of similar background and beliefs tend to
group together. “Love the neighbor” has perhaps a profound meaning.
Esteem Needs:
Maslow described two types of esteem needs—the desire for achievement and competence and
the desire for status and recognition. In organizational terms, people want to be good at their
jobs; they also want to feel they are achieving something important when they perform those
jobs.

36
As managers, we can fulfill both types of esteem needs by providing challenging work
assignments, performance feedback, performance recognition, and personal encouragement as
well as by involving subordinates in goals setting and decision making.
Self-Actualization Need:
Employees will become motivated by the need for self- actualization, when all other needs have
been adequately met. They will look for meaning and personal growth in their work and will
actively seek out new responsibilities. Maslow stresses that individual differences are greatest at
this level.
For some individuals, producing work of high quality is a means for self-actualization, while for
others, developing creative, useful ideas serves the same needs. By being award of the different
self-actualization needs of their subordinates, managers can use a variety of approaches to enable
subordinates to achieve personal as well as organizational goals.
Maslow’s need-hierarchy model essentially says that people have needs they wish to satisfy and
that gratified needs are not as strongly motivated as unmet needs. Employees are more
enthusiastically motivated by what they are currently seeking than by receiving more of what
they already have. A fully satisfied need will not be a strong motivator.
Interpreted in this way the Maslow hierarchy of needs has had powerful impact on contemporary
managers, offering some useful ideas for helping managers, think about motivating their
employees.
As a result of widespread familiarity with the model, today’s, managers should be more
able to:
1. Identify and accept employee needs.
2. Recognize that needs may differ among employees.
3. Offer satisfaction for the particular needs currently unmet.
4. Realize that giving more of the same reward (especially one which satisfies lower-order
needs) may have a diminishing impact on motivation.
Limitations of Maslow’s Model:

37
Although the Maslow’s Model has some significant contribution, it has many limitations, and it
has been sharply criticized. As a philosophical framework, it has been difficult to study and has
not been fully verified. From a practical perspective, it is not easy to provide opportunities for
self- actualization to all employees.
In addition, research has not supported the presence of all five need levels as unique, nor has the
five-step progression from lowest to highest need levels been established. There is, however,
some evidence that unless the two lower needs (physiological and security) are basically
satisfied, employees will not be greatly concerned with higher-order needs. Further, Maslow
didn’t consider the age of the employees.
2. Herzberg’s Two-Factor Theory:
Maslow’s need approach has been considerably modified by Frederick Herzberg and his
associates. Frederick Herzberg has given a theory of work motivation and this is referred to by
different names such as motivation-maintenance, dual factor, or motivation-hygiene theory.
Frederick Herzberg brought out his theory after conducting interviews with two hundred
engineers and accountants from eleven industries in the Pittsburgh areas. The research were
conducted by him and his associates Bernard Mausner and Barbara Snyderman in 1959.
The two factor hypothesis suggested that the factors involved in producing job satisfaction were
separate and distinct from the factors that led to job dissatisfaction.
The factors giving rise to satisfaction were called motivators. Those giving rise to dissatisfaction
were called hygiene factors. Thus, Herzberg’s theory is one of the most prominent theories of the
content theories of motivation. The two factors which Herzberg projected in his hygiene theory
are “Satisfiers” and “Dis-satisfiers”.
The factors like:
a) Achievement,
b) Recognition for achievement,
c) Intrinsic interest in the work,
d) Responsibility, and

38
e) Advancement.
Which led the workers to satisfaction, are mostly unipolar; i.e. they contribute very little to
job dissatisfaction, conversely the dis-satisfiers like:
a) Company policy and administrative practices,
b) Supervision,
c) Interpersonal relationship,
d) Working conditions, and
e) Salary.
Contribute Very Little To Job Satisfaction:
Factors like the kind of administration and supervision received in performing the job, the nature
of interpersonal relationships and working conditions that surround the job and the amount of
salary that accrues to the individual for doing his job, suggest the distinction with
the “satisfiers”, rather than describing man’s relationship to what he does, the “dis-
satisfiers” describe his relationship to the context or environment in which he does his job.
One cluster of factors relates to what the person does and the other to the situation in which he
does it, as Herzberg suggested in his paper. According to him, it is the hygiene factors which
affect job dissatisfaction and the motivators that affect job satisfaction.
Thus, two-factor theory has formulated by Herzberg and his team on the basis of two main
questions asked in the survey viz.:
(i) Can you describe in detail, when you felt exceptionally good about your job?
(ii) Can you describe, in detail, when you felt exceptionally bad about your job?
On the basis of the answers of 200 informants grouped under two general categories, Herzberg
identified two factors, viz., motivators and hygiene factors. Hygiene factors result in
dissatisfaction while the motivators result in satisfaction.
Thus, Herzberg’s contribution is identical to Maslow’s motivation theory. His hygiene factors
are comparable with Maslow’s physiological needs and safety needs. Maslow’s higher needs are

39
identical to Herzberg’s motivators. When the worker perceives that hygiene factors are
inadequate their satisfaction and efficiency go down.
On the other hand, motivators make positive improvement in efficiency according to Herzberg.
But Maslow has presented all these factors in a positive hierarchy. Maslow needs can be divided
into two sets of factors viz., higher level needs and lower level needs, which .According to
Herzberg, are hygiene factors and motivators. It ran be shown in the figure 8.4.
Limitation of Herzberg’s Theory:
There is a criticism against Herzberg’s theory also. There are some elements of truth in
remarking that there cannot be a generalization about hygiene factors or motivators because one
factor which causes satisfaction to one person can be dis-satisfier for another.
“A given factor can cause job satisfaction for one person and job dissatisfaction for another
person and vice versa.” Hence, it is not proper to make a clear-cut distinction of either hygiene
factors or motivators. It depends on the individuals and their situations.
Similarly, Herzberg assumes a positive relationship between satisfaction and productivity which
can hold good. However, this cannot be established beyond doubt. Despite the criticism against
the need theories, there cannot be any two opinions about the validity of the role played by need
factor in motivation.

40
The two questions asked by Herzberg to the respondents are inadequate for a deep study and the
findings, generalizations, and deductions based on the response to these periphery level problem
references are bound to be inadequate to throw light on the deep areas of human behavior.
The two-factor model which Herzberg propounded, on the basis of such a superfluous exercise,
therefore, need not be fully revealing. However, one cannot fully invalidate the conceptual
framework formulated by Herzberg.
Herzberg’s study was conducted in I950’s among 200 engineers and accounts in USA. Reactions
of these categories of people (higher classes or higher middle class) in the situations existed in
the United States of America fifty years ago may not be appropriate today in India or even in
USA. This need not be applicable to the working class people also.
Dynamic changes took place in the business environment and in the approach to work place.
Political changes, technological changes, human approach to work place, and management’s
approach to people, all such factors have undergone tremendous changes, resulting in spectacular
changes in human needs.
Herzberg’s two factor model has, therefore, become obsolete. Despite the criticisms, Herzberg’s
theory is not fully refuted.
3. McGregor Theory X and Theory Y:
Douglas McGregor brought his book “The human side of Enterprise” which provides important
insights into the area of managerial assumptions.
He has divided the thoughts of management philosophy in two parts:
(i) Traditional Theories.
(ii) Modern Theories.
They are respectively known as Theory X and Theory Y. both these theories are mutually
opposite. Traditional view is old and pessimistic while the other modern theory presents
optimistic and modern views. McGregor suggests that managers have in the past and still do take
managerial actions to motivate their employees that one consistent with what they think of
human nature.

41
Theory X:
Theory X is based on assumptions and beliefs, which are based on the study of many people at
work, and the nature and structure of many organizations and their style of supervision. These
assumptions imply that the supervisor has low opinion of the workers and still lower expectation
from I hem. Such beliefs reduce the supervisor’s efforts to enhance satisfaction in work, which in
turn confirms, a worker’s view that work is a necessary evil.
Theory X suggests that the role of managers and organization is to control human behavior to
attain organizational goals.
The following are the assumptions of theory X:
i. Work is inherently distasteful to most people.
ii. Most people are not ambitious, have little desire for responsibility, and prefer to be directed.
iii. Most people have little creativity in solving organizational problems.
iv. Motivation occurs at the social, esteem and self- actualization levels as well as physiological
and security levels.
v. People can be self-directed and creative at work if properly motivated.
vi. The intellectual potentialities of the human being are only partially utilized.
McGregor says that though its application would be slow, it would bring about progress in both
personal performance and improvement in the effectiveness of industrial organizations.
Participative management and management which to a large extent are based on McGregor’s
Theory Y.
Limitation of Mcgregor’s Theory:
Theory Y is also subject to criticisms. While Theory X is outmoded. Theory Y is unreasonably
idealistic. It may be observed that many workers wish to enjoy security and shun responsibility.
It may also be seen that not all the workers are self-directed and self-controlled.
George Strauss feels that in some areas workers wish restrictions, although they want to enjoy
freedom in some situations and areas. Again need satisfaction may not occur on the job. This

42
means many workers try to satisfy their needs off the job. As the theory Y assumes the primary
place of need satisfaction is not on the job.
ERG Theory developed by Psychologist Clayton Alderfer. Alderfer agreed with Abraham
Maslow that worker motivation could be gauged according to a hierarchy of needs.
However, his ERG Theory differs in two basic ways:
1. Alderfer broke needs down into just three categories.
2. Existence needs:
Existence needs (Maslow’s fundamental needs plus such factors as fringe benefits in the
workplace)
3. Relatedness needs:
Relatedness needs (needs for interpersonal relations)
4. Growth needs:
Growth needs (needs for personal creativity or productive influence.)
The first letter of each category from the new familiar acronym ERQ.
2. Alderfer stressed that when higher needs are frustrated lower needs will return, even though
they were already satisfied. Maslow, in contrast, felt that a need, once met, lost its power to
motivate behavior. Where Maslow saw people moving steadily up the hierarchy of needs.
Alderfer saw people Moving up and down the hierarchy of needs from time to time and from
situation to situation.
Alderfer suggested that employees are initially interested in satisfying their existence needs,
which combine physiological and security factors. Pay, Physical working conditions, job security
and fringe benefits can all address these needs.
Relatedness needs are at the next level, and these involve being understood and accepted by
people above below and around the employee at work and away from it.
Growth needs are in the third category, these involve the desire for both self-esteem and self-
actualization.

43
Comparison of the Maslow Herzberg and Alderfer:
The similarities among the three models of human needs are quite apparent, but there are
important contrasts, too. Maslow and Alderfer focus on the internal needs of the employee, while
Herzberg also identifies and differ entitles the conditions (job content or job content) that could
be provided for need satisfaction.
Popular interpretations of the Maslow and Herzberg models suggest that in modern societies
many workers have already satisfied their lower-order needs, so they are now motivated mainly
by higher order, needs and motivators.
Alderfer suggests that the failure to satisfy relatedness or growth needs will cause renewed
interest in existence needs. Finally, all three models indicate that before a manager tries to
administer a reward, he or she would find it useful to discover which need or needs dominate a
particular employee at the time.
In this way, all need models provide a foundation for the understanding and application of
behavior modification.
4. McClelland’s Achievement Motivation:
McClelland has also made an appreciable contribution to the need concept in motivation. The
need of power is considered as a desire to influence others which can be reckoned between
Maslow’s esteem needs and self-actualization needs.
A psychologist of Harvard, McClelland is closely associated with the achievement motive
concept, which goes with need for power, and need for affiliation. Thus, he proposed that only
three needs are most important in classifying people. They are need for achievement (aAch),
need for affiliation (nAff), and need for power (nPow).
Need For Achievement:
Heed for achievement can be placed between Maslow’s esteem needs and self-actualization
needs. It is a desire to accomplish a task or goal more effectively than in the past. This need is
satisfied not by the manifestation of success which confer status, but with the process to
successfully complete the work meant for achievement.
People with high achievement motivation must be given tasks and powers enabling them to
make their full potential effective resulting in achievement at the expected level. Giving

44
opportunities to make their efforts for higher achievements can be considered as motivation for
them.
Some general characteristics of high achievers are:
a) Moderate risk bearing.
b) Immediate feedback.
c) Accomplishing a task is intrinsically satisfying.
d) Preoccupation with the task.
McClelland developed training programmed to teach the trainees to think like high need
achievers, increase personal feedback to them and develop a group esprit de corps that reinforces
high effort and success. In other words, training was designed to create group feelings that
reinforce the characteristics of high-need achievers.
Need For Affiliation:
Need for affiliation refers to the needs for human companionship. Individuals high on need
for affiliation, when compared to those who are low on need for affiliation, show following
characteristics:
a) Are generally concerned about the feelings of others.
b) Are able to establish friendships easily.
c) Tend to seek reassurance and approval from others and hence most of time show socially
desirable behavior.
d) Tend to spend time on making themselves presentable, particularly to those whose friendship
they seek.
Organizationally, high need for affiliation individuals make ad hoc decisions. They have little
concern for procedures and hence leave others in a state of uncertainty.
Need for Power:
McClelland has found that people with a high need for power have a great concern for exercising
influence and control. Such individuals generally are seeking positions of leadership; they are

45
frequently good conversationalists, though often argumentative, they are forceful, outspoken,
hardheaded and demanding, and they enjoy teaching and public speaking.
B. Process Theories of Motivation:
The process theories consider needs as just one element in the process by which individuals
decide how to behave. Other elements are the individual’s abilities, his or her role perception, or
understanding of what behaviors are needed to achieve high performance, and his or her
expectations concerning the results of certain behavior.
According to the process theories, Individual perceptions, expectations, expect outcome of a
given behavior, and situational factors also play a very vital role in motivation. The most
important process theories are expectancy theory, equity theory, goal-setting theory and Porter-
Lawler Model.
1. Vroom’s Expectancy Theory:
Expectancy theory of motivation developed by Victor. H. Vroom in 1964. Vroom’s theory is that
people’s motivation toward doing anything will be determined by the value they place on the
outcome of their effort, multiplied by the confidence they have that their efforts will materially
aid in achieving a goal.
In other words, Vroom makes the point that motivation is a product of the anticipated worth that
an individual places on a goal and the chances he or she sees of achieving that goal.
Thus, Vroom’s theory may be stated as follows:
Valence x expectancy x instrumentality = Motivation.
The above relationship indicates that the motivation is a product of three factors; how much one
wants a reward (valence), one’s estimate of the probability that effort will result in successful
performance (expectancy), and one’s estimate that performance will result receiving the reward
(instrumentally).
Valence is a worker’s preference for a particular outcome. If, for instance, his desire for
promotion is very high, is will be positive. If he is indifferent to promotion, it will zero. If he
does not want a promotion, it will be negative.
Expectancy is the probability that a particular action will lead to a desired outcome. Since
expectancy is the probability of a connection between effort and performance, its value range

46
from 0 to 1, If an employee sees no chance that effort will lead to the desired performance the
expectancy is 0.
At the other extreme, if the employee is totally confident that the task will be completed, the
expectancy has a value of 1. Normally employee estimates of expectancy lie somewhere between
the two extremes.
Instrumentality represents the employee’s belief that a toward will be received once the task is
accomplished. Here the employee makes another subjective judgement about the probability that
the organisation values the employee’s performance and will administer rewards on a contingent
basis.
The value of instrumentality effectively ranges from 0 to 1. If an employee sees that promotions
are usually based on performance data, instrumentality will bearated high. However, If the basis
for such decisions is unclear or managerial favoritism is suspected a low instrumentality estimate
will be made.

47
2. Porter-Lawler Theory of Motivation:
Another expectancy theory of motivation has been developed by Lyman Porter and Edward
Lawler. It implies that individuals are motivated by future expectations based on previous
experience.
The five important variables have been considered in their model.
Such factors are:
i. Efforts,
ii. Perceptions,
iii. Performance,
iv. Rewards, and
v. Satisfaction.
Performance is determined by an individual’s effort abilities, traits and perception of his role.
Effort is influenced by the perceived value of the reward and the expectation that a certain level
of effort will result in a certain reward. Thus a positive relationship is established between
rewards and performance. An individual received rewards for his performance, while his needs
are satisfied through the rewards. This is shown in figure 8.5
The figure portrays a relationship between the variables in the motivation process. An
individual’s performance (number 6 on the figure) is dependent on three variables viz., abilities
(4), role perceptions (5) and efforts (3). Effort, in turn is dependent on an individual’s expectancy
of the relation between effort and potential rewards (2) and the value of the reward to the
individual.
Accomplishment of the desired level of performance (6) may result intrinsic rewards (7s) like a
feeling of accomplishment, competence, and self- esteem and extrinsic rewards (7b) such as
praise from the manager or work group, incentives, promotion etc. Though performance (6) and
extrinsic rewards (7b) may have some relationship, such a relationship need not always be
prevalent.

48
There is a dashed line between performance (6) and perceived equitable rewards (8), which
indicates that individuals have their own perception of how equitable the reward attained for
performance i.e., satisfaction (9) is a result of perceive equity (8) and intrinsic and extrinsic
rewards (7a) and for performance. It enables the subordinate to perceive how valuable is the
reward for him.
Among the important variables, effort, performance, rewards and satisfaction are directly
involved in the motivation process. Effort represents the amount of energy exerted by a person
on a specific task. The interaction between the value of the reward and the perceived efforts a
reward. Probability determines the actual effort to be exerted by an employee.
It means that the degree of desirability of the reward determines the value of reward which in
turn determines the effort to be exerted. The value which an employee assigns to a reward
depends on his perception and judgement. Hence, perception is important too in determining the
efforts.
The expectancy model has a number of clear implications for how managers should motivate
subordinates. As outlined by Nadler and Lawler,
These are given below:
1. Determine the rewards valued by each subordinate:
Managers can determined what rewards their subordinates seek by observing their reactions in
different situations and by asking them what rewards they desire.
2. Determine the performance manager desire:
Managers must identify, what performance level or behavior they want so they can tell
subordinates what they must do to be rewarded.
3. Make the performance level attainable:
If subordinates feel the goal they are being asked to pursue is too difficult or impossible, their
motivation will be low.
4. Link rewards to performance:
The appropriate reward must be clearly associated within a short period of time with successful
performance to maintain motivation.
5. Analyze what factors might counteract the effectiveness of the reward:

49
Conflicts between the manager’s reward system and other influences in the work situation may
require the manager to make some adjustments in the reward.
6. Make sure the reward is adequate:
Minor rewards will be minor motivators.
As regards implication of managers, the expectancy model of expectation also has a number of
implications for organizations.
As outlined by Nadler and Lawler, these include:
1. Organizations usually get what they reward, not what they want:
The organizations reward system must be designed to motivate the behavior desired.
2. The job itself can be made intrinsically rewarding:
If jobs are designed to full some of the higher needs of employees, such as independence or
creativity, they can be motivating in themselves.
3. The immediate supervisor has an important role in the motivation process:
The supervisor is in the best position to define clear goals and to provide appropriate rewards for
his or her various subordinates the supervisor should therefore be trained in the motivation
process and given enough authority to administer rewards.
Equity theory developed by J. Stacy Adam. It is one of the popular social exchange theories that
evaluates social exchange relationships. According to this theory, the people are motivated to
maintain fair relationships with others and will try to rectify unfair relationships by making them
fair.
This theory assumes as follows:
i. Employees would perform better and make contributions (input) for which they expect certain
outcome (rewards.) Normally, inputs, here refers to person’s past training and experience, special
knowledge, personal characteristics etc. outcomes include pay, recognition, promotion, prestige,
fringe benefits etc.
ii. Employee have to ascertain whether a particular exchange is satisfactory, by comparing their
inputs and outcomes to those of others in the form of a ratio. Equity exists when an individual
concludes that his or her own outcome or input ratio is equal to that of other people.

50
Adams has received a great deal of credit for the formulation of the equity (or inequity) theory.
The essential aspects of the equity theory may be shown as follows.
There should be a balance of the outcomes-inputs relationship for one person in comparison with
that of another person.
If people feel they are inequitably rewarded, they may be dissatisfied, reduce the quantity or
quality of output, or leave the organization. They also can ask for a greater reward. If people
perceive the rewards as equitable, they probably will continue at the same level of output.
If people think the rewards are greater than what is considered equitable, they may work harder.
It is also possible that some may discount the reward. These three situations are shown in figure
8.6.
As explained above, exchange relationship between a person’s inputs/outcomes in relation to
those of other persons may be of three types: overpaid inequity, underpaid inequity, and equity.
These can be shown as follows:
Overpaid Inequity:
Here, the person perceives that his outcomes are more as compared to his inputs in relation to
others. This relationship can be expressed by
Underpaid Inequity:
In this case, the perceives that his outcomes are lower as compared to his inputs in relation to
others. This relationship can be expressed as follows.

51
Equity:
Mere the person perceives that his outcomes in relation to his inputs are equal to those of others.
This relationship can be expressed by
The impact of inequity on the person is as follows:
i. Perceived inequity creates tension in the person.
ii. The amount of tension is proportional to the magnitude of inequity.
iii. The tension created in the person will motivate him to reduce it.
iv. The strength of the motivation to reduce inequity is proportional to the perceived inequity.
Equity theory makes managers realize that equity motive tends to be one of the most important
motives of the people in the organization. Therefore, equity concept should be given adequate
considerations in designing motivation system.
“Equal pay for equal work” principle is based on his theory. Further, feelings or perceptions in
work setting are important factor in work setting. Therefore, management should take this aspect
into consideration and attempt should be made to develop the perceptual skills of the people.
However, there are some practical difficulties in applying equity theory due to many
qualitative and cognitive factors involved:
i. It is difficult to assess the perception of people about inputs/outcomes relationship.
ii. Equity is a matter of comparison. The relevant question in this context i.e., “how does a
person choose the comparison person? The process by which the person decides whom to
compare himself with is not clearly understood as yet.
iii. Equity theory does not specify the actions which a person will take to re-establish equity if he
perceives inequity, notwithstanding the concept of equity has its relevance in motivation which
has been recognized both in theory and practice.
3. Goal Setting Theory:
Psychologist Edwin Locker developed a goal-setting theory a cognitive theory of work
motivation. Goal-setting theory focuses on the process of setting goals themselves.

52
According to Locker the natural human inclination to set and strive for goals is useful only if the
individual both understands and accepts a particular goal. Moreover, workers will not be
motivated if they do not possess and know they do not possess—the skills needed to achieve a
goal.
When goals are specific and challenging the function more effectively as motivating factors in
both individual and group performance. Research also indicates that motivation and commitment
are higher when subordinates participate in the setting of goals.
Employees need accurate feedback on their performance, however, to help them adjust their
work methods when necessary and to encourage them to persist in working toward goals.
4. Reinforcement Theory:
Psychologist B.F. Skinner developed an interesting but controversial technique for motivation.
This approach called positive reinforcement or behavior modification, holds that individuals can
be motivated by proper design of their work environment and praise for their performance and
that punishment for poor performance produces negative results.
Skinned analyses the work situation to determine what causes, workers to act the way they do;
and then they initiate changes to eliminate trouble some areas and obstructions to performance.
Specific goals are then set with workers participation and assistance, prompt and regular
feedback of results is made available and performance improvements are rewarded with
recognition and praise.
Even when performance does not equal goals, ways are found to help people and praise them for
the good things they do. It has also been found highly useful and motivating to give people full
information on a company’s problems, especially those in which they are involved.
Thus the content and process theories emphasize the motivational technique to inspires workers
to achieve the individual as well as organizational goals.

53
THE DEPARTMENTS ARE:
Human Resource Development.
Personnel Management.
Electronic Data Processing.
Executive Establishment Cell.
SC Education Society. Main Hospital.
Safety.
Transport. Industrial Relations.
Welfare Wing.
Main Workshop
Central Workshop
PERSONNEL MANAGEMENT The Personnel Management is that part of management
function, which is primarily concerned with the human relationships within the organization. Its
objective is managing all those relationships on a basic by consideration of well being of the
individual and to enable all those engaged in the undertaking to make Maximum personal
contribution in effective working of the undertaking, Thus motives of the functions are:
• Recruitment of NCWA employees and Executives.
• Departmental promotions of NCWA employees.
• Vacancy and time bound promotions.
• Reversion of NCWA employees.
• Confirmation of NCWA employees on appointments/ promotions/ placement/ up-gradations.
• Pay fixation and rectification of pay anomalies.
• Maintenance of roster registers as per rule of reservation by the Government and sending
periodical returns to the Government.
• Attending to the AP Legislative Committees on welfare of SC/ST and BC from time to time
. • Verification of character and antecedents of employees on appointments.

54
• Verification of certificates provided by the employees for appointment/ promotion with the
concerned.
• Sanction of allowance.
• Forwarding applications of employees for outside employment and issue of No objection
Certificates/ Service Certificates etc.
• Issue of circulars on policy matters.
• NCWA – National Coal Wage Agreement
• Issue of clarifications on the maters dealt at personal management section.
• Participating in the departmental enquiries.
• Court matters.
• Correspondence with Central Government and State Government including Honorable
Ministers, MPs., MLA’s on various matters.
• Attending union representations.
• Maintenance of records of staff members.

55
MOTIVATION OF EMPLOYEES IN CENTRAL
COALFIELDS LIMITED
There is a provision of motivation in CCL. The employee of CCL are being
motivated time to time towards achieving target in coal production. By the
following methods the employee are motivated:-
1. Promotion.
2. SLP
3. Incentive.
4. Awards and Rewards.
5. Prayer
1. Promotion:- The employee of CCL are promoted in the next higher grade
time to time so that they can motivated towards their work. On promotion
they are getting 3% of wage increment and also enhancement of their
official designation.
2. SLP: SLP means Service Linked Promotion, it means if any employee does
not get promotion for 7/8 years then he will get service link promotion to
the next high grade along with 3 % promotional benefit. Hence, at any
stage , they will get promotional benefits within 7/8 years.
3. Incentive: Time to time , the employee of CCL got incentive on the basis of
their performance. The incentive is in cash modular.
4. Awards and Rewards: On the occasion of May day , the employee of CCL
and concerned area are being awarded for their outstanding performance.
5. Prayer: In the Headquarter, the official duties starts with the prayer and
after completion of the prayer , the higher official of the company
motivates to the employee of the company towards honesty, loyalty and
liability of the duties. So that a good work culture could be developed.

56
RESEARCH METHODOLOGY FOR MY PROJECT
TIME OF RESEARCH DESGIN : Descriptive
SAMPLE SIZE : 30
SAMPLE UNIT : Executive and non-executive
SAMPLE AREAS : head office, Darbhanga house, CCL
DATA COLLECTION
Primary data- In CCL, Primary data & information have been collected through questionnaire. A set
of questionnaire was prepared with well structured questions.
Secondary data- Secondary data were collected from books, website and annual reports and official
records of the CCL.
SAMPLING METHOD:
Survey was done by QUESTIONNARE method.
SAMPLE AREA: RANCHI
SAMPLE UNIT: Officials and Employees of C.C.L

57
DATA ANALYSIS AND INTERPRETATON
FINDINGS
• Most of the respondent 37.5% (n=15) were belongs to age group of 26-35 years.
• Most of respondent 45% (n=18) had their educational qualification up to s.s.c.
• Majority of the respondent 35% (n=14) works in span of (1-5) years.
LIMITATION OF THE SURVEY
• As the sample size was small hence conclusion cannot be generalized.
• Unwillingness and inability of respondents to provide information.
• As the strength of the company is big it was not possible to draw sample from each
and every department.
• Time constraint was one of the limitations during the data collection.
• Responses received were not free from respondent biases because of their
apprehension that it might affect their career.
SUGGESTION AND RECOMMENDATION
❖ In CCL employees feel that the salary structure is very good but give amount is not
satisfactory. 55% of the employees are satisfied by their salary and increment, financial
reward as it is very low rate.
❖ The higher number of employees (85%) has given strongly agree. It means in CCL the
belongingness of employees are very good. They have a gooed relationship with everyone.
❖ 65% of employees are satisfied with recognition programs and performance appraisal system.
But 35% of the employee is still feeling that the performance appraisal system and
recognition programmer are not proper. Hence HR department should know why the
employees are not satisfied with the performance appraisal system and which type of
recognition program me they want in future.
❖ The higher numbers of employees have given positive but still there is scope for
improvement.
❖ The HR department should make the job more challenging. Exciting and meaning by the
factor like goal setting. Creative work, Job rotation, Skill diversity.

58
CONCLUSION :
Employee motivation is very important for a successful organization, so the company should
focus on it in order to stay competitive in the market and avoid some problems such as
employee high turnover that will affect the business. Thus, effective motivational techniques
should be practiced at the workplace. Through this study, companies will be able to
understand better ways to motivate employees and the importance of employee
motivation at the workplace. As a result, the job satisfaction of employees will increase then
they will get motivated at the workplace. The result from this study had shown that
motivator factors such as achievement, recognition, responsibilities and
advancement play an important role in motivating employees at the workplace.
Through this study, we can conclude that different research gave rise to different results for the
most influential intrinsic factors. For example, a research done by Lundberg et al. (2009)showed
that responsibilities is the most influential factor for employee motivation in hospitality and
tourism industry while a research done by Jamieson et al. (2015) revealed that recognition is the
most influential factor in nursing industry. On the other hand, some research gaps are worth to
be highlighted too. There is one motivator that is not mentioned in this study which is the
growth of employees such as training program provided by the company. Employees feel valued
when the company provides training programs to strengthen their skills, they will be
motivated to exert effort in attaining organizational goals. Besides that, the work itself
also can motivate employees to work. Therefore, the employer should make the work
interesting and let them enjoy at the workplace in order to motivate them .Finally, the
contribution of this study is it will definitely benefit employers,
administrators and companies who lack of well-motivated employees by guiding them to have
better ways to motivate their employees at the workplace in order to have a successful business.

59
DATA ANALYSIS AND INTERPRETATON
1. DOES YOUR JOB PROVIDE AN OPPORTUNITY FOR PERSONAL GROWTH AND
DEVELOPMENT?
INTERPRETATION:
• 80% EMPLOYEES ARE AGREE WITH THE OPPORTUNITY FOR PERSONAL
GROWTH AND DEVELOPMENT.
• 20% EMPLOYEES ARE DISAGREE WITH THE OPPORTUNITY FOR PERSONAL
GROWTH AND DEVELOPMENT.
2. DOES YOUR JOB PROVIDE YOU PERSONAL SATISFACTION AND SENSE OF
ACCOMPLISHMENT?
80%
20%
70%

60
INTERPERTATION:
• 300% PEOPLE DISAGREE FROM PERSONAL SATISFACTION AND SENSE OF
ACCOMPLISHMENT.
• 70% PEOPLE AGREE FROM PERSONAL SATISFACTION AND SENSE OF
ACCOMPLISHMENT.
3. IS THERE A CONGENIAL ATMOSPHERE IN YOUR ORGANIZATION?
INTERPRETATION:
• 9% EMPLOYEES FEEL POOR ABOUT THE ATMOSPHERE IN ORGANIZATION.
• 12% EMPLOYEES FEEL SATISFIED ABOUT THE ATMOSPHERE IN ORGANIZATION.
• 24% EMPLOYEES FEEL GOOD ABOUT THE ATMOSPHERE IN ORGANIZATION.
• 55% EMPLOYEES FEEL EXCELLENT ABOUT THE ATMOSPHERE IN ORGANIZATION.
4. ARE YOU CO-OPERATIVE AND HELPFUL?
1
82%
18%
55%
24%
12% 09%
1st Qtr
2nd Qtr
3rd Qtr
4th Qtr

61
INTERPRETATION:
• 82% EMPLOYEES ARE AGREE WITH CO-OPERATIVE AND HELPFUL..
• 18% ONLY EMPLOYEES ARE DISAGREE WITH CO-OPERATIVE AND HELPFUL.
5. DOES YOUR ORGANIZATION PROVIDE YOU AN ENCOURAGEMENT FOR TRAINING AND
LEARNING?
INTERPRETATION:
• 24% EMPLOYEES ARE DISAGREE WITH THIS SATEMENT.
• 76% EMPLOYEES ARE AGREE WITH THIS SATEMENT.
6. :DOES YOUR JOB PROVIDE SECURITY AND STABILITY IN YOUR LIFE?
INTERPERTATION:
➢ 80% IS. AGREE WITH THIS STATEMENT.
➢ 20% Is DISAREE WITH THIS STATEMENT.
76%
24%
80%
20%

62
7. ARE YOU SATISFIED WITH THE WELFARE AMENITIES PROVIDED BY THE ORGANIZATION?
INTERPRETATION:
Every organization recruit employee from different method.
➢ 30% employees are agree with the statement.
➢ 40% employees are strongly agree with the statement.
➢ 7% employees are don’t know with the statement.
➢ 23% employee are disagree with the statement.
8. IS THERE A NEED FOR BETTER PHYSICAL WORK CONDITIONS IN THE ORGANIZATION?
INTERPRETATION:
• 58% EMPLOYEES ARE SATISFIED WITH THIS STATEMENT.
• 42% EMPLOYEES ARE UNSATSFIED WITH THIS STATEMENT.
40%30%
23%
7%
Sales
1st Qtr
2nd Qtr
3rd Qtr
4th Qtr
42%
58%

63
9. ARE THE WAGES AND BONUS YOU RECEIVE COMMENSURATE TO YOUR JOB?
(1 Being the highest)
C0MMUNICATION:
INTERPRETATION:
10% employees rank is 1st.
23% employee rank 2nd.
37% employee rank 3rd.
20% employee rank 4th. And
10% employee rank 5th
10%
23%
37%
20%
10%
0%
5%
10%
15%
20%
25%
30%
35%
40%
1 2 3 4 5
NUMBEROFRESPOND
RANK

64
QUALIFICATION:
INTERPRETATION:
10% rank 1st
0% respond on 2nd rank.
3% employees rank 3rd.
10% rank this 4th. And
24% rank qualification 5th.
63%
3%
10%
24%
0%
10%
20%
30%
40%
50%
60%
70%
1 2 3 4 5
NUMBEROFRESPOND
RANK

65
BIBLOGRAPHY
BOOKS REFERED:
Human resource management (C.B. GUPTA)
WEBSITE REFERED:
www.google.com
www.wikipedia.com
www.centralcoalfield.in
www.ccl.gov.in

66
QUESTIONNAIRE
A STUDY ON EMPLOYEE MOTIVATION
Respected Madam/Sir,
As a part of my project I would like to gather some information from you
which will help me in an in depth study of project. I would be obliged if you co-operate with me
filling the questionnaire. Since the questionnaire is being used for academic purpose, the information
gathered will be strictly confidential.
Aditi
Kindly fill the following:
(Please put a tick mark in the appropriate box)
1) Are you satisfied with the support from the HR department?
a) Satisfied ( )
b) Dissatisfied ( )
c) Neutral ( )
2) Management is really interested in motivating the employees?
a) Agree ( )
b) Disagree ( )
c) Neutral ( )
3) Which type of incentives motivates you more?
a) Financial incentives ( )
b) Non-financial incentives ( )
c) Both ( )
4) How far you are satisfied with the incentives provided by the organization?
a) Satisfied ( )
b) Dissatisfied ( )
c) Neutral ( )
5) Please provide the following rates.
(5- Strongly agree, 4- Agree, 3- Neutral, 2- Disagree, 1- Strongly disagree)

67
No Factors Rates
i. Reasonable periodical increase in salary
ii. Job security exist in the company
iii. Good relationship with co-workers
iv. Effective performance appraisal system
v. Effective promotional opportunities in the organization
vi. Good safety measures adopted in the organization
vii. Performance appraisal activities are helpful to get motivated
viii. Support from the co-worker is helpful to get motivated
ix. Company recognize and acknowledge your work
6) Rank the following factors which motivates you the most?
(Rank 1,2,3,4…. Respectively)
No Factors Rank
I. Salary increase
II. Promotion
III. Leave
IV. Motivational talks
V. Recognition
7) Do you think that the incentives and other benefits will influence your performance?
a) Influence ( )
b) Does not influence ( )
c) No opinion ( )
8) Does the management involve you in decision making which are connected to your
department?
a) Yes ( )
b) No ( )
c) Occasionally ( )
9) What changes can be made to improve the work place environment?...........

68
Questionnaire on Employee Motivation
1) Is the present employer the first employer?
a) Yes ( )
b) No ( )
2) Since when are you working with the present job?
a) 1-6 months ( )
b) 6-12 months ( )
c) 1-2 years ( )
d) 2-3 years ( )
e) More than 3 years ( )
3) As an employee what do you think motivates the employee most?
a) Achievement ( )
b) Recognition ( )
c) Responsibility ( )
d) Advancement ( )
4) Is salary the most important attribute towards employee motivation?
a) Yes ( )
b) No ( )
5) Is management interested in motivating the employees?
a) Agree ( )
b) Neutral ( )
c) Disagree ( )
6) What types of incentives motivates the employees more?
a) Financial ( )
b) Non-financial ( )
7) Is performance appraisal activates helpful in motivating?
a) Agree ( )
b) Neutral ( )
c) Disagree ( )
8) Does incentives and other benefits influence employees performance?
a) Influence ( )
b) No opinion ( )
9) Does management involves you in decision making connected to your
department?
a) Yes ( )
b) Occasionally ( )
c) No ( )

69
10) Does career development opportunities motivate you the most?
a) Agree ( )
b) Neutral ( )
c) Disagree ( )
11) Is job security in the existing company a good attribute to motivate
employees?
a) Agree ( )
b) Neutral ( )
c) Disagree ( )
12) Does periodical increase in salary motivates you the most?
a) Agree ( )
b) Neutral ( )
c) Disagree ( )
13) Are you satisfied with the support you are getting from the HR
department?
a) Agree ( )
b) Neutral ( )
c) Disagree ( )
14) Are employees motivated with the job that provides variety, interest and
stimulation?
a) Agree ( )
b) Neutral ( )
c) Disagree ( )
15) Does employees get motivated by being given scope to organize own
approach to work?
a) Agree ( )
b) Neutral ( )
c) Disagree ( )
Thank you for your kind co-operation .

New.motivation[1]2

Recommended

Recommended

More Related Content

What's hot

What's hot (20)

Similar to New.motivation[1]2

Similar to New.motivation[1]2 (20)

Recently uploaded

Recently uploaded (20)

New.motivation[1]2