MCP 1602 Management and Organizations : Assignment

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 MCP 1602 Management and Organizations : Assignment

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 MCP 1602 Management and Organizations : Assignment

Introduction
“One of the questions most commonly asked by managers is “How can I motivate my
people?””
This is the case, as the Motivation is one of the forces that lead to performance. It could be
explained by the following chart;

Motivation is defined as the desire to achieve a goal or a certain performance level, leading
to goal-directed behavior. When we refer to someone as being motivated, we mean that the
person is trying hard to accomplish a certain task. Motivation is clearly important if someone
is to perform well; however, it is not sufficient.

Ability or having the skills and knowledge required to perform the job is also important and
is sometimes the key determinant of effectiveness.

Finally, environmental factors such as having the resources, information, and support one
needs to perform well are critical to determine performance. At different times, one of these
three factors may be the key to high performance. For example, for an employee sweeping
the floor, motivation may be important, but even the most motivated individual would not be
able to design a house without the necessary talent involved in building quality homes. Being
motivated is not the same as being a high performer and is not the sole reason why people
perform well, but it is nevertheless a key influence over our performance level.

So what motivates people? Why do some employees try to reach their targets and pursue
excellence while others merely show up at work and count the hours? As with many
questions involving human beings, the answer is anything but simple, i.e. they are motivated
to work. In organizational management there are several theories explaining the concept of
motivation. Some of them are as follows;

Maslow's hierarchy of needs, Herzberg's Two-Factor theory, Alderfer's ERG theory,

McClelland’s Achievement etc.

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 MCP 1602 Management and Organizations : Assignment

Employees need motivation to feel good about their jobs and perform their best. Some
employees are money & rewards motivated (Extrinsic) while others find recognition
(Intrinsic) personally motivating. Motivation levels within the workplace have a direct
impact on employee productivity.

Unmotivated employees are likely to spend little or no effort in their jobs, avoid the
workplace as much as possible, exit the organization if given the opportunity and produce
low quality work. On the other hand, employees who feel motivated to work are likely to be
persistent, creative and productive, turning out high quality work that they willingly
undertake.

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 MCP 1602 Management and Organizations : Assignment

Why Motivation is important for an Organization?

1. Improves level of efficiency of employees

The level of a subordinate or an employee does not only depend upon his
qualifications and abilities. For getting best of his work performance, the gap
between ability and willingness has to be filled which helps in improving the level of
performance of subordinates. In order to obtain maximum of the employees,
organization must use motivation to build the willingness in employees to work.

This will result into productivity, reducing cost, and overall efficiency.

2. Leads to achievement of organizational goals

The goals of an enterprise can be achieved only when the following factors take
place:-
a. Maximum utilization of resources,
b. Co-operative work environment,
c. The employees are motivated and goal-directed,

3. Builds friendly relationship

Motivation is an important factor which brings employees satisfaction. This can be
done by keeping into mind and framing an incentive plan for the benefit of the
employees.
a. Monetary and non-monetary incentives,
b. Promotion opportunities for employees,
c. Disincentives for inefficient employees.

In order to build a cordial, friendly atmosphere in a concern, the above steps should
be taken by a manager. This would help in:
- Effective co-operation which brings stability,
- Industrial dispute and unrest in employees will reduce,
- The employees will be flexible to the changes and there will be no resistance to the
change,
- This will result in profit maximization through increased productivity.

Needs, wants and desires are inter-related and they are the driving force to act,
therefore it could be stated that motivation is an internal feeling which can be
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understood only by any manager, since he is key person in close contact with the
employees.

These needs can be understood by the manager and he can frame motivation plans
accordingly. The motivation therefore is a continuous process, since motivation
process is based on needs which are unlimited. The process has to be continued
throughout.

The motivation is important both to an individual and a business. Motivation is

important to an individual as:
1. Motivation will help him achieve his personal goals and job satisfaction.
2. Motivation will help in self-development of individual and to be a dynamic
team player.

Similarly, motivation is important to a business as:

1. The more motivated the employees are, the more empowered the team is.
2. The more is the team work and individual employee contribution, more
profitable and successful is the business.
3. There will be more adaptability and creativity.
4. Motivation will lead to an optimistic and challenging attitude at work place.

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 MCP 1602 Management and Organizations : Assignment

Report on recommendations for improving motivation and performance of

Employees of XinaEX clothing PVT LTD

To : Mr. Anil Jayawaradena Chief Executive Officer

From : Mr, Chinthaka Dissanayake General Manager
Subject : Analysis of performance of Employees and ways to improve motivation
of Employees in the Company

Date : 10 May 2018

Introduction of Organization
XinaEx Started in 2005 as outsource clothing printing company to topnotch suppliers in the country,
where as the company had organic growth to reach as full fledge clothing manufacturing,
embroidering and printing as today which consists of 800 employees. It is a family run business with
lot of industry experience and accredited as ‘Garments without guilt’ movement. And its ISO:9000
certified company.

Vision of the company

To be the top clothing solution providers to the nation.
Mission
To create values and build solid relationships with the all stakeholders and perform in such to
be the best working place of our employees and learning ground to stakeholders.

Aim of the company

To be the market leader in Manufacturing and innovate and develop clothing technology.
Internal and external environment of the organization

Business environment analysis shows the attributes of company’s forces and other
controllable and uncontrollable variables whereas the business environment is divide in to

i. Internal Environment
ii. Task Environment (Micro)
iii. External Environment (Macro)

Internal environment is forces and actions inside the business that affect the business, which
composed of internal stakeholders and other functional areas within the organization. All

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 MCP 1602 Management and Organizations : Assignment

factors which are internal to an organization are categorized into internal environment. These
are identified as 5Ms. They are Men, Materials, Machinery, Money and Markets.

In Nipuni Cleaning Services (Pvt) Limited 5Ms are identified as follows;

Men -Chief Executive Officer, General Manager, Functional Managers,
Operational Managers, Accountant, Accounts Executives, Site Managers,
Supervisors, Cleaners etc.
Materials - All Chemicals and other materials used for cleaning services
Machinery - Cleaning machinery & Office machinery
Money - Funds invested in the Nipuni Cleaning Services (Pvt) Limited
Market - Target market is the all public & private sectors in the Colombo District.

Nipuni Cleaning Services (Pvt) Limited also has different stakeholders in the Micro
environment which directly affects its business, namely;
 Suppliers of the Cleaning products
 Customers who obtain the service of the Company
 General Public who visit the customer Companies

The factors in the External Environment (Macro) also are affecting decision making process
of the Company, but those which are out of direct control of the business.

In Sri Lankan Cleaning / Janiotrial based Business, too all these Political, Economical,
Social, Technlogical, Legal and Environmental (PESTLE) factors affects.

Following tools could be used for to identify the position of the any organization
1. SWOT Analysis 2. Â PESTLE analysis

SWOT Analysis of the Nipuni Cleaning Services (Pvt) Limited

The SWOT analysis takes into account what an organization can and cannot do as well as
any potential favorable or unfavorable conditions related to the products or services offered
by the business.

Strengths - (Can develop strengths)

- Many different types of services, such as Janitorial Services, Tea & Steward Services,
Solid Waste Management services, office support staff
- Commitment to quality service
- Dedication to customer satisfaction

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 MCP 1602 Management and Organizations : Assignment

- Low capital required for the business

- Owner experience in the janitorial industry
- A well designed training program to for tea & steward services and office support
staff.
- There are no formal educational or professional requirements required for recruitment
of bottom level employees and experience within the industry is not deemed
necessary.

Weaknesses - (Can implement strategies to eradicate these weaknesses)

- New position in the market
- Shallow resource base
- Labor-intensive industry
- The difficulty of establishing brand equity as a start-up company Customer
perception, as well established companies more than 30 years of experience are
existed in the industry
- Cost of materials used in the cleaning business for providing quality services
- The employment of competent & experienced professional staff
- Public Perception of the category of jobs lead to recruitment problems

Opportunities - (Can use strategies to take advantage of potential opportunities)

- New market with unlimited opportunities ƒ
- Market is showing consistent high growth
- A large percentage of the market that is unaware of quality services
- A business model that is easily scalable and Increasing market demand for outsource
based cleaning services
- New trend in the Green Environment Concept

Threats- (Can use strategies to ward off these potential problems)

- High Employee turnover
- Government taxes
- Emerging trend of cleaning businesses and low barriers for entry of competitors
- Possibility of lawsuits from customers who experience a reaction to a chemical

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 MCP 1602 Management and Organizations : Assignment

PESTLE Analysis
PESTLE is an ideal tool to strategically analyze what influence different outside factors –
political, economic, socio-cultural, technological, environmental and legal – use on a
business to later chart its long term targets.

PESTLE analysis for Nipuni Cleaning Services (Pvt) Ltd

Political
Political factors can create advantages and opportunities for organizations. Conversely they
can place obligations and duties on organizations. Political factors which would affect the
Nipuni Cleaning would be as follows;
 Legislation on recruiting people for Cleaning / Janitorial based businesses
 Market regulations for Cleaning / Janitorial based businesses
 Tax levies

Economical
All businesses are affected by national and global economic factors. Accordingly, the Nipuni
Cleaning Businesses would also affect with following factors due to economic condition in
Sri Lanka,
 Economic growth  Inflation rate
 Interest rate  Disposable Income
 Exchange rate  High Net worth

Social
When conducting a pestle analysis on cleaning services, the area of socio-culture depends on
following factors;
 cultural aspects  Life Style Change
 population growth rate,  emphasis on safety
 age distribution,  Outsource based activities in
 Income distribution businesses
 Social Mobility  Green Concept

Technological
Technological shifts can affect costs, quality, and lead to innovation and it will provide new
methods of cleaning services which would affect any Cleaning / Janitorial based businesses.

Legal

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 MCP 1602 Management and Organizations : Assignment

New legislations on Cleaning / Janitorial Industry would affect the Cleaning / Janitorial
based businesses as chemicals used in cleaning services gets affect due to the same.

Environmental
Environmental factors include ecological and environmental aspects such as cleaning
services would depend on following factor too;
 Weather
 climate and climate change
 Waste disposal

Structure of the organization

The best way to understand a company's organizational structure is to look at an

organizational chart, a graphic that depicts the hierarchy by placing managing departments or
people above their subordinates. There are many ways in which a small business can
organize its structure, but some lend themselves to motivation more than others.

Organization Structure of the Nipuni Cleaning Services (Pvt) Ltd

Chief Executive
Officer

General Manager

Deputy General
Manager

Senior Operation Human Resources

Finance Manager Marketing Manager
Manager Manager
Operation Manager
Division I Operation Manager Operation Manager
Division II Division III Human Resources
Accountant Sales Executive
D Manager

Division Site Manager Site Manager

Sales
Site Manager Accounts Executives Welfare Manager
Representative

Supervisor Supervisor
Supervisor Accounts Assistants

Janitors / Cleaners Janitors / Cleaners Janitors / Cleaners

As per the existing Organization structure of the Nipuni Cleaning Services (Pvt) Ltd, it
indicates a general formal reporting relationship. There are nearly 1000 janitors /cleaners
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work under 400 supervisors. Nearly 100 Site managers are managing supervisors and
janitors.

Three operational managers are leading according to area-wise of the clientele. Four
operational managers are directing the sites located in the country. Deputy General Manager
is responsible for overall strategic approaches of the company.

Apart from that, there is a Deputy General Manager and 4 functional managers under me
directly.

In our Company, the functional structure type exists, i.e. Operation, Finance, Marketing
& Human Resource with different departments for each. Four managers (under me) are in
charge of these. Departments operate autonomously, and employees report to their
Department manager.

Employees do not communicate across department lines. One of the largest benefits of this
structure is focus. Each manager is in charge of just one function of the company, and each
employee concerns himself / herself with only one task in achieving that function. In
functional structures, clarity and focus may motivate employees to work more efficiently
because there are fewer distractions and less confusion about roles.

However, it should be mentioned that in decentralized structures, employees as well as

employers can benefit from their own decisions and take credit for their successes; they may
be more motivated to be innovative and efficient.

Employee motivation

Every organization’s productivity is basically depending on the effectiveness of the

workforce. The organization can replace productive physical resources such as machines and
equipment easily, but it is difficult to replace skilled and qualified employees at once. So the
organization’s major responsibility is to retain the qualified employees within the
organization, in order to achieve it job satisfaction of the employees must be guaranteed by
motivating them to perform their best.

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Accordingly, since employees are treated as vital components of providing a professional,

quality cleaning/janiotrial service; Nipuni Cleaning Services is providing adequate pay, and
additional employee benefits, to extract the highest quality of customer service from all
employees.

At present the motivation methods used in the Nipuni Cleaning Services are as follows;

Positive or Incentive Motivation - This type of motivation is generally based on reward.

Eg. Pay for additional hours & working on holiday
Reward / Incentive system for additional shifts

Negative or Fear Motivation - This type of motivation is based on force and fear
Eg. Cutting No Pay
Vacation of post if leave is taken for more than 3 days without informing

Communication and decision making

Without efficient communication, the company is unable to exchange essential information

to daily operations and create a communication network to carry new product data.
Understanding examples of workplace communication issues can help you to create policies
that will address problems and create an efficient communication network in the office. If an
organization is having communication problems, it can cost the company productivity and
money.

In the our Company, Nipuni Cleaning Service the following facts were observed;
- Most of the decisions are taken by the top management and communicated to the top
to bottom
- Feedback is taken only from the Operation Manager in charged with the relevant
Division
- There is a language barriers between employees come from different ethnic
backgrounds, people of different ages and people with different levels of industry
experience.
- Cleaners have lots of personal issues, but there is less chance them to speak with
Human Resources Manager, due to the Functional Structure.
- No induction programmes are given for new employees about the company or the
service they should provide.

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Leadership and management style

If leadership problems exists in a business it can suppress creativity, reduce productivity and
cripple a company to the point it can no longer remain viable. These problems stem from a
variety of sources, from individual personality conflicts to dysfunctional group.

As per the existing structure of the Nipuni Cleaning Service (Pvt) Ltd, it is seen that more
Autocratic oriented leadership & management style exist mainly due to the Function
structure of the Company.

In order to identify whether the employees prefer existing Leadership and management style,
I have interviewed employees from each level of the structure, and the former employees of
the Nipuni Cleaning Services (Pvt) Ltd,who had resigned from the company during the last 5
months.

Organizational Culture and Organizational Change

A positive culture, in which professionalism, high achievement and team-building is

concentrated, will propel employees to work at a higher level. Likewise, a poor company
culture that is too causal, disorganized and or even unethical in its values and practices will
adversely affect your employees' performance.

In the Nipuni Cleaning Service, the culture is very rigid, as the bottom level employees are
working with low self-confidence and at high stress levels.

Identification of major sources for inefficiency of the organization

Due to the recruitments & resignations were made during the last 5 months

Recommendations - Way Forward to future : Nipuni Cleaning Services (Pvt) Ltd

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 To change the organization structure gradually in order to provides bottom level

employees to reach middle manager level & top management in order to express their
ideas
Eg. Divisional Structure, as employees may be motivated by drives to be the
best division
 Introduce following new motivation methods apart from existing;
- Reward/Incentive system for leave taken
- Continuous Appreciation for good performance
- Recognition system for employees of the month
 Introduce more participatory management style with changing leadership to more
democratic style.
 Empower employees to go the extra mile by making sure they have all the resources
necessary to do their jobs and meet their goals. This may mean extra training, new
equipment, outside assistance or other requests from employees
 Set team goals and reward the entire team when members meet their goals.

Signature
Diandra Perera
General Manager

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References

1. Gregory, P., Smith, (2000). “Happy Employees Make Productive Employees”

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