Nowadays, in the active economic world, the management of the company should have a clear aim to improve the relationship with employee. Employee retention is critical for the success of any company and studies conducted now clearly suggest that the well being of employees is in the best interest of the employer. So the company must develop and manage an effective engagement program.
Today, most people spend a quarter or more of their life working while as much as a fifth to a quarter of the variation in adult life satisfaction can be accounted for by satisfaction with work (Campbell, Converse & Rodgers, 1976). This clearly shows that employees need job satisfaction and desire greater meaning and personal development from their work (Avolio & Sosik, 1999). It has also been shown that maintaining healthy relationship with employees is advantageous to the company as they spend substantial resources and money in hiring employees. To succeed in hiring, employers must provide more than a simple stable job and include incentives that would guarantee personal satisfaction of the employee.
One of the most important factors that regulate good relationship between the company and the employee is motivation. Motivation refers to an internally generated drive to achieve a goal or follow a particular course of action to achieve specific goals and needs of the organization. It’s the employer’s job, especially the manager’s job to motivate employees and keep them focused in their work. Motivation is the set of forces that lead people to behave in certain ways under any given circumstances. Motivated employees are those whose needs would ideally match with the needs of the organization for which they work.
There are a number of major studies and theories of employee motivation. Employees gain involvement and satisfaction in work environment by four specific motivation inducement systems – reward, task, managerial and social (Leonard, Beauvais, & Scholl, 1995, as cited in O’Connell, 1999). According to psychologist Abraham Maslow’s hierarchy-of-needs theory, employees’ needs start from the satisfaction of lower level needs to higher level needs, that is from physiological needs, safety and security needs to social, self esteem and self actualization needs (Aldag & Kuzuhara, 2002). Hertzberg’s two-factor theory on the other hand describes job motivation of employees to meaningful work, recognition and growth opportunities. Job dissatisfaction of employees is regulated by hygiene, pay, status and security (Gordon, 2002).
Matching People and Job
Another important aspect that the company should look upon is to match the right person for the right job. This leads to increased efficiency of the employee and is a good strategy to reduce absenteeism and employee turnover. Suitably placed workers are much happier and satisfied with their work compared to those who are working without any interest in the work. Studies have revealed that matching people and jobs effectively may well involve more than simply selecting someone who fit a job’s demands; it may also involve designing jobs so that they fit the characteristics of available job candidates (Kotter, 1982).
Respect and Support of Employee
To gain the respect of their employees, leaders, must first respect those who work for them. Successful leaders treat each employee with respect. They know that a loyal, dedicated work force is a company's most valuable resource, and they treat their employees that way. Maintaining an effective relationship between management and employees involve credibility, respect and fairness in dealing with everyday work. When employees are listened to and their ideas are sought by the company then they feel respected. Companies should also try to support their employees in moments of crisis.
Communication between Company and Employees
Leaders recognize that workers to see the company's overarching goal is just one part of effective communication; encouraging employee feedback and then listening is just as vital. In other words, they know that communication is a two-way street. Open communication takes on even greater importance when a company faces a difficult or uncertain future. Studies have revealed that effective communication has a positive impact on employee satisfaction that in turn leads to better productivity, turnover and growth of the company. Many employers make the mistake of treating communication as an after-thought, a follow-up. However, by maintaining effective communication through various methods, such as surveys, communication audits and emails, the company can create a healthy business environment that would allow the company to grow and thrive.
Salary and Bonus
According to the classical theory of motivation, employees are motivated solely by money. Paying workers more money would prompt them to produce more. Financial rewards can also make the motivation of the employees. The use of monetary or other financial incentives to motivate workers is based primarily on reinforcement theory (Skinner, 1969). According to this theory relationship between a target behavior (e.g., work performance) and its consequences (e.g., pay), and is primarily premised on the principles and techniques of organizational behavior modification (Stajkovic & Luthans, 1997). However, today, employees look for much more than a good pay at the work place and if they are not satisfied with their job environment then are bound to leave.
The relationship between job satisfaction and job performance has been studied extensively throughout the history of industrial/organizational psychology (Judge, Thoresen, Bono, & Patton, 2001). Job satisfaction has been defined as “feelings or affective responses to facets of the (workplace) situation” (Smith, Kendall, & Hulin, 1969, p. 6). Job satisfaction implies doing a job one enjoys, doing it well, and being suitably rewarded for one's efforts. The Harvard Professional Group (1998) sees job satisfaction as the keying resident that leads to recognition, income, promotion, and the achievement of other goals that lead to a general feeling of fulfillment. And the stable, secure work environment that includes job security/continuity. Good management has the potential for creating high morale, high productivity, and a sense of purpose and meaning for the organization and its employees to let them got the job satisfaction.
From the above discussion it is clearly evident that maintaining company employee relationship is a two-way method that helps both the company and the employee to attain satisfaction, profits and growth. Employees may be motivated by several factors and it is for the company to look into the employee needs so that they can retain them in their business for continued growth and success. Today, employers need to create workforce that plans to stay for years, or even decades, and stop hunting for more talent and instead concentrate on people who are already inside the company.
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