MOTIVATION IN PUBLIC AND PRIVATE ORGANIZATIONS: A COMPARATIVE BY PG/MBA ...

[Pages:103]MOTIVATION IN PUBLIC AND PRIVATE ORGANIZATIONS: A COMPARATIVE STUDY OF NTA & AIT, ENUGU

BY EZEUGWU LINUS OBIORA.

PG/MBA/08/53074.

A PROJECT SUBMITTED IN PARTIAL FULFILMENT OF THE REQUIREMENTS FOR THE AWARD OF MASTER IN BUSINESS

ADMINISTRATION (MBA) IN MANAGEMENT.

PRESENTED TO DEPARTMENT OF MANAGEMENT FACULTY OF BUSINESS ADMINISTRATION UNIVERSITY OF NIGERIA, ENUGU CAMPUS.

C.O. CHUKWU.

MARCH, 2010.

CERTIFICATION I, Ezeugwu Linus Obiora, registration number PG/MBA/08/53074, hereby certify that this project was carried out by me in fulfillment of the requirements for the award of Master of Business Administration in the Department of Management, Faculty of Business Administration, University of Nigeria, Enugu Campus. I also state that the research work is original and has not been submitted in partial or in full for any degree or diploma of this or any other university.

--------------------------EZEUGWU LINUS.O PG/MBA/08/53074

--------------------------------Date

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APPROVAL PAGE This is to certify that this research project has been approved by:

---------------------------C.O CHUKWU (Project Supervisor)

---------------------------C.O CHUKWU (Head of Department)

-------------------------------Date

-------------------------------Date

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DEDICATION This work is dedicated to my parents, Mr. /Mrs. Felix Ezeugwu, whom God has kept alive and supportive in prayers for my development. May the Almighty God, who gives long life, continue to protect and guide them. Amen.

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ACKNOWLEDGEMENTS First of all, my unalloyed gratitude goes to God for his abundant grace in my life. My special thanks to my supervisor and H.O.D, Mr. C.O Chukwu for his guidance and patience with me until the completion of this work. My appreciation also goes to Professor Uche Modum, Dean of the Faculty of Business Administration, University of Nigeria, Enugu Campus and associate Dean Dr.U.J.F Ewurum I also thank my lecturers, Prof. J.A. Eze, Dr. E.K. Agbaeze, Dr. Onwumere, Mr. C Nnadi, Mr. B.I. Chukwu, Mr. U. Ugbam, and Mrs. Okpala. I also appreciate the assistance and understanding of Mrs. Helen Chime and other non-academic staffs in the department of management, who were all good to me in my academic pursuit. God bless you all. I sincerely acknowledge the understanding and support of my wife, Angela, my daughter, Adaeze and my parents Mr. and Mrs. Felix Ezeugwu. I also appreciate my siblings, Paulina, Samuel, Augustine, Victoria, Stella, Rose, Fidelia, Clifford, Ngozi and Ifeoma, all of Ezeugwu family. May God's banner be over us. I cannot forget some of my course mates and friends whose encouragements kept me going in the school. Among them are Festus Nwabueze, Ifeoma Nebeokike, Obijuru Emmanuel, Anthony Ohuawunwa, Precious Nnaji, Obeta Aloysius Okoye Romanus and many others. Thank you all.

EZEUGWU LINUS OBIORA.

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ABSTRACT

The research is on "Motivation in Public & Private sector organizations: A comparative study". The main objective of the study is to compare motivation in public and private sector organizations. The researcher analyzed the data collected based on the responses from the questionnaire distributed. The chi-square test was used to test the hypotheses. The major findings of the study were as follows: Both public and private sector employees in Nigeria are not adequately motivated. There are some differences between the factors that motivate public sector employees and those that motivate the Private sector employees. Efficient and capable civil servants are not exiting the public sector organizations to the private sector organizations. The conclusion drawn from the study is that Lack of highly motivated workforce has been a major problem facing the public and private sector employees in Nigeria. Private sector employees are envious of their public sector counterparts on issues including job security, responsibility and individual growth, especially as it relates to opportunity for study leave. Salary/incentives ranks highest on the motivating factors for private sector employees at 40%, followed by achievement at 35% while responsibility and individual growth ranked only 15%. However Job security, which ranked second highest for the public sector employees at 28.6%, was not even considered at all by the private sector employees. For the public sector employees, recognition and service ranks top at 31% followed by job security at 28.6%. Salary and incentives also ranks high in the factors that motivate the public sector employees. The only difference is that it is ranked 3rd by the public sector employees as against 1st priority by the private sector employees. Interestingly, majority of both the private and public sector employees interviewed seem not to be interested in cross sector employment. It is only when considering pay and financial packages do public sector employees feel themselves to be worse off than if working in the private sector. Even then, some private sector employees still think the public sector has it better when it comes to remuneration. Statistical analysis provides strong evidence of a blurring between the two sectors on several key issues. Overall, public sector employment is seen as more attractive, especially at this new era of implementation of federal government monetization policy across the civil service. There is also the issue of uniform salary scales. Based on the findings from this study, the following recommendations were proffered: Both public and private sector organizations in Nigeria should adopt suitable and effective motivational strategies to increase productivity and also to avoid brain drain. Employers of labor should evolve effective and efficient human resources development strategies that would carefully study the motivational needs of their employees and apply same to be able to compete favorably in the international labor market, improve the national economy as well as the living standards of the people.

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TABLE OF CONTENTS

PAGES

Title page ------------------------------------------------------------------------------ i

Certification --------------------------------------------------------------------------- ii

Approval ------------------------------------------------------------------------------- iii

Dedication ----------------------------------------------------------------------------- iv

Acknowledgments -------------------------------------------------------------------- v

Abstract -------------------------------------------------------------------------------- vi

Table of Contents --------------------------------------------------------------------- vii

List of Tables -------------------------------------------------------------------------- x

CHAPTER ONE

1.0 INTRODUCTION -------------- ---------------------------------------------- 1

1.1 Background of the Study ----------------------------------------------------- 1

1.2 Statement of the Problem ----------------------------------------------------- 4

1.3 Objectives of The Study --- ----------------------------------------------------4

1.4 Research Questions -------------------------------------------------------------5

1.5 Research Hypotheses ---------------------------------------------------------- 5

1.6 Significance of the Study ----------------------------------------------------- 6

1.7 Scope of the Study ------------------------------------------------------------ 6

1.8 Limitations of the Study ------------------------------------------------------ 7

1.9 Historical Background of the Organizations ------------------------------ 8

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CHAPTER TWO: REVIEW OF RELATED LITERATURE 2.0 Introduction ------------------------------------------------------------------------- 14 2.1 The Role of Motivation ------------------------------------------------------------ 14 2.2 Motivation Concepts --------------------------------------------------------------- 17 2.3 Motivation Theories -----------------------------------------------------------------19 2.4 Motivation Strategies-----------------------------------------------------------------31 2.5 Basic Principles about Employee Motivation-------------------------------------37 2.6 Factors that Motivate Public Sector Employees ----------------------------------39 2.7 Factors that Motivate Private Sector Employees ---------------------------------40 2.8 Comparison of Motivation in the Private and Public Sector Organizations - 41 2.9 Problems Associated with lack of Motivation-------------------------------------43

REFERENCES ------------------------------------------------------------------------44 CHAPTER THREE: RESEARCH METHODOLOGY 3.0 Introduction-----------------------------------------------------------------------------47 3.1 Sources of Data ------------------------------------------------------------------------47 3.2 Population ------------------------------------------------------------------------------48 3.3 Sample size Determination ----------------------------------------------------------48 3.4 Instrument Used for Data Collection -----------------------------------------------49 3.5 Data Analysis Techniques -----------------------------------------------------------50 3.6 Validity of Data -----------------------------------------------------------------------51 3.7 Reliability of Data --------------------------------------------------------------------51

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