Motivation in organizational behaviour?


The purpose for writing this essay is to describe different motivational theories by concentrating on how managers motivate employees in an industry with a high level of turnover and low levels of motivation. This essay will mainly evaluate Maslow’s hierarchy of needs theory and McClelland’s Needs of Achievement theory and it will include other theories to support the argument.

Many organisations face difficulties when trying to motivate their staff to complete a given task. If the employees are motivated the company is likely to be successful and achieve set goals. To be able to understand motivation and the way it works, first we have to understand human nature itself. In some cases this could be a straightforward process however in others it could be very complex. There has to be an effective management and leadership to guide employees through the motivation stages. Many companies believe that pay is the prime motivator, however nowadays people may want to exceed acknowledgment, participation and heightened sense of worth at the workplace. This is where empowerment plays a very important part in a company’s progression as it is supported by R.French.

“Empowerment is the process by which managers delegate power to employees to motivate greater responsibility in balancing the achievement of both personal and organisational goals”. (French, R., Rayner, 2008, page page 184)

By empowering employees this will make the staff more satisfied, productive and motivated throughout their working hours. Throughout the years many theorists have tried to explain what motivation is by designing theories describing how managers should stimulate their staff.

The two approaches to motivation are Content and Progress theories and they were published in 1950s. Content theories explain the specific factors that may stimulate people within the organisation by analysing the individuals’ needs and trying to assume what can motivate their behaviour. On the other hand a Process theory highlights the thought process by examining how and why individuals decide one action over another at the organisation.  This theory mainly focuses on the person’s beliefs and how certain performances will lead to rewards such as pay raise and promotion. While both content and progress theories are central in helping us to understand motivation this essay will focus on the content approach in particular the classic motivational theory of Maslow’s hierarchy and David McClelland needs for achievement.

Abraham Maslow created the Hierarchy of needs theory in 1940-50s and to this day it’s still popular with managers. He developed the hierarchy to understand human motivation, management training, and personal development by creating five distinct levels. Maslow designed two main strategies lower order needs and higher order needs. Lower order needs includes Physiological needs (these are the most basic human needs such as food, and water etc) moving one level up is safety needs (which would be need for security, protection and stability).

After an individual has exceeded the lower order needs mentioned above, he or she moves on to higher order needs which are Social needs (need for love, affection, relationship with another person), Esteem needs (respect, self esteem, need of esteem from others etc) and after achieving the previous 4 levels the person progresses to the desired level Self actualisation will motivate both employees and employers. (French R, 2009, page160)

However with every motivation theory there has always been disadvantages. Maslow himself has been critical about the theory he created and in a statement he said:“My motivation theory was published 20 years ago and in all that time nobody repeated it, or tested, or really analyzed it or criticised it. They just used it, swallowed it whole with only the minor modification” (Wilson, F.M 2004, page 146)

In approaching this problem Maslow’s work has faced a great deal of criticism to whether or not the concepts are different depending on culture. In countries such as Japan and Greece lower order needs such as security motivates employees to work harder more than self actualisation. (R. Rayner, 2009, page 162). Unfortunately those countries have lower employment opportunities; therefore residents mainly focus on security needs rather than self actualisation.

Whereas some managerial companies disregard the lower order needs and go directly to higher order needs such self esteem and self actualisation. “Hall and Nougaim have found that as managers advanced, safety needs became less important while higher order needs were more important but this could be explained by a process of career change and advancement”. Wilson, F.M (2004, page 147)

The above two statements suggest that people do not follow the traditional process of the hierarchy. Maslow believes that individuals are motivated by unmet needs which are in a hierarchical order; people have to keep moving up the hierarchy in order to succeed, this method has not been followed due to cultural difference and managerial configuration.

Touching onto Alderfer’s ERG theory he argues that Maslow’s theory is not flexible and as a result of this people may become frustrated as they are not able to move to the next stage. Alderfer has minimized Maslow’s 5 stages into 3 levels: existence needs, relatedness needs and growth needs.  This theory is more flexible as people can downgrade a level if they can’t achieve the higher stage.

After having evaluated Maslow’s hierarchy theory, this essay will now focus on McClelland need for achievement theory.

People’s needs keep changing as well as their career occupations. Some seek the need for achievement as a way of motivating themselves at the workplace. Over the years this observable fact has fascinated David McClelland. After spending 20 years studying at Harvard University McClelland and his associates tried to identify the urge to achieve. They began a long research using Thematic Apperception Test (TAT) as an evaluation of individual needs of different people. This is a technique that asks people to develop a spontaneous story for each photo. David McClelland used the feedback from people and collected data and facts on motivation. After a series of tests using the TATs technique, David McClelland was able to identify three needs, which he believes are important in understanding human motivation and behavior yiuboimpsdf. These are; the need for achievement (nAch), need for affiliation (nAff) and need for power (nPower).

Need for achievement is concentrating on those individuals who seek to excel and therefore tend to avoid low and high risks situations. They have a desire to achieve something superior and get to the bottom of problems as well as completing difficult tasks. They need regular feedback from managers in order to view their progress of their achievement. On the other hand need for affiliation is about creating harmonious connections with other individuals. This group of people may perform well in customer service and consumer interactions situations. Last of David McClelland needs is need for power, this assemblage of people are mainly focused on taking control over others, manage their behaviour or be in charge.

Like Maslow’s Hierarchy theory, David McClelland’s acquired needs theory has its disadvantages and criticism from other theorists. Erikson proposes that ‘The need to achieve is a behaviour that is only acquired and developed during early childhood’ therefore if it’s not mastered at an early stage it cannot be achieved in adult life. French, R. Rayner C, Rees. G, Rumbles.S, Organisational Behaviour, 2009

However on the other hand McClelland argues that the need to achieve is behaviour and it can be done through training in adulthood Ref: R, French, Organisational Behaviour, 2009, page 164

McClelland has already put into practice training in countries such as Kakinda and India and taught people to think, talk and act as high achievers.

Other critics have disagree with the influencing attributes of entrepreneurs are dominant. High needs of achievement individuals are continuously competing with standards of excellence’. Further, they are involved with tasks of moderate difficulty.

‘The argument that need for achievement is the dominant motive disposition for entrepreneurs may be in conflict then with other research’ (Langan- Fox and Roth 1995)

Wilson, F.M (2004). Organisational behaviour and work. Oxford University press, page146 (Lowry 1982:63)

TAT test was also criticised by organisations due to the length of the examination and the complexity in conducting it.

Taking an overlook at the most well know motivational theories, I have been overwhelmed by the demand and expectations each author expects from the individuals.

Theorists such as Maslow believe that individuals are motivated by unmet needs which are in a hierarchical order; people have to keep moving up the hierarchy in order to succeed.  Whereas Herzberg states that satisfaction and dissatisfaction are not on the same range. He believes motivation can cause satisfaction or no satisfaction, as well as hygiene factors can cause dissatisfaction when absent and no dissatisfaction when present. McClelland’s need for achievement takes it future as he underlies Maslow’s Hierarch theory – self-actualization. However McGregor’s Theory Y equals much of Maslow’s self-actualization level of motivation. His theory focuses on self-direction, self-control, and maturity control motivation. Reward systems are an important factor when managers want to motive their staff.  I believe that fulfilling extrinsic aims is a very common method used to motivate individuals at their work place.

Managers can not follow just one of the above theories as each individual has different ways in which they are motivated. I believe that motivation cannot be forced onto an employee; it has to come within them. If a certain person does not enjoy their work environment it will be impossible for them to be motivated. Over the years theorists have tried to create a theory to accommodate the needs both employers and employees, therefore at the present time we have a huge variety of motivational theories to choose from.

Having closely looked at Maslow’s hierarchy of needs theory and McClelland’s acquired needs theory ,I have come to a conclusion that both theories demonstrate people’s motivation needs, however this a complex process because most individuals are not aware of their motives, their needs and expectations keep chancing.  Each of the above theories has its advantages as well as disadvantages; it’s up to the individual to choose which one of them works best.

Leadership and motivation

This paper tells about roles of leadership and motivation in the field of management, how it plays, what kind of role it plays, how it is useful in getting success of the team and theories of leadership and motivation.


Leadership and motivation, from the definitions leader means that who leads the team then he will be the leader for that team. But clearly, the leader does not always go first and he develops the effective ideas and implements those ideas by motivating the team members. So leader ship and motivation both are linked together. Now leader will be the person who motivates the team and that will be his leadership. The leader to accomplish their responsibility has to be familiar with how to inspire people and be obliged to search for ways to do this so as to preserve their position has leader. A good leader must posses a vision and having a vision provides a leader with purpose. This vision can help each employee to see what the future holds and what is the results of today’s extra efforts and hard work. It also display what future offers as a rational extension of today’s efforts. To a leader, vision is a reality that is in the reach in the near future. Vision is not a dream, it is reflect of breadth of understanding that enables an organization to advance and compete. A good leader designs and directs a precise plan for how to make a vision reality. The best vision is generated through discussion and debate with employees who carry and implement the vision. If employees are convinced about the purpose and reasons of implementing the plan, they will do extra effort in the reaching the shared vision. The vision should have a direct link with the objective of the organization. Finally, a shared and accepted vision is the critical link to high commitment and performance by every members of organization. A shared vision not only ties individual employees with together and leadership, but also generates a positive and constructive relationship between management and employees. The main steps in the creating of the shared vision are; employees and leaders must establish a working relation for the generation of shared vision; they proactively seek out for change rather than wait for a crises that demands action; they should define a shared vision for improvement of products and services; and they implement vision with the team work and group efforts.


“Actual leaders contemplate resting on undertaking the accurate obsession, not resting on deed possessions correct.” With the aim of recommendation as of managerial board of advisers comes seeing with the aim of refusal bolt from the blue in the direction of respective firm leaders, according to what actives are crammed by means of easier said than done principled dilemmas.

Principals knowledge suchlike uncertainties taking place an every day basis. Having ethical liabilities in the direction of the social order, on the road to the line of work, en route for the institute panel in addition to students, they come across with the intention of “this frequently is not comprehensible what is correct or incorrect, or what individual have to carry out, or else which point of view is spot on within ethical stipulations.”

Unluckily, comparatively a small number of chairpersons have been skilled in the direction of agreement in the midst of these contrasts. In anticipation of awfully newly, principled issues were agreed modest concentration within grounding structures.


A senior fellow in the leadership field comments so as to school leader countenance an only one of its kind set of moral difficulties. Academies are ethical associations, premeditated to endorse communal criterions, in addition to chiefs are ethical assistants those have to time and again create resolutions with the intention of good turn single honest worth in excess of a different. In addition, even though schools are devoted on the way to the welfare of kids, students contain practically refusal authority into what appears close at hand. Intended for all such kind of contemplates. The privileged behaviour “has got to be intentionally ethical.”

Influential’s ethical sense of duty asserts develop not merely into the palpable everyday principled confusions, other than in the routine actions and structured networks with the aim of might encompass concealed moral casual remarks. A senior fellow in managing field comments that each communal preparation settlements several persons next to the outlay of the rest of persons; merely to suppose so as to schools exemplify pleasing values are “morally inexperienced, if not in the incorrect.” consequently, the chief has got to not simply perform dependably at the same time as an human being, other than be obliged to produce an moral foundation or society.

Since influential’s, cardinals have a particular accountability on the way to put into consequence influence into a principled technique. A senior fellow in Leadership studies adverts out that much of a principal’s authority is moral; that means, tutors have got to be persuaded so as to the principal’s indicate of spectacle reflect principles they prop up. Compulsion from side to side self-important influence will hardly ever encompass an optimistic, permanent consequence or result.


Since distinct by a senior fellow, a “moral predicament” is not a selection between correct and incorrect, although an alternative flanked by two privileges. If suppose, allowing for an inducement would be an “ethical enticement”; conclusive if insufficient possessions have to set off on the way to an outstanding set of courses or a dissenter-avoidance structure would comprise a quandary.

Confusions happen when exquisite standards divergence. A main who standards in cooperation educator self-sufficiency in addition to scholar attainment will countenance a tight spot while tutors wish for endorse a guiding principle so as to push down opportunities. This variety of disagreement is finely tuned for the reason that discipline best are unrestricted administrators by means of commitments to a lot of individuals those frequently encompass challenging principles or comforts. Must guardians be well-versed if an analyst apprentices with the intention of guardian’s spawn is making an allowance for an aborting? Must a learner assemblage be talented to manuscript a congregation presenter and that presenter attitudes will hurt somebody’s feelings several in the commune? Should the chief hold up an educator who has completed doubtful marking pronouncements? Several educational programmers put forward those commitments towards managers or chiefs set particular weight resting on principled executive. Meant for case, a fellow asked chiefs to approximation how “a characteristic co-worker” would act in response to theoretical confusions. Compassionate frequently announced that equals or co-workers would obtain “the pathway of smallest amount confrontation” with adjourning to admirable or captivating place of safety in bureaucrat actions, that the theoretical social group in point of fact reproduce the standard.

Ethical confectioners in general are in agreement close at hand is no moral “recipe book” with the intention of provides trouble-free solutions to multifaceted dilemmas. Other than a numeral of academicians encompass recommended a number of guiding principles.

1. Influential persons must have and live enthusiastic in the direction of take action lying on an unambiguous intelligence of principled values.

A fellow asserts that a completely well-versed principled awareness will be full of arguments of compassionate like what perform our affairs stipulate of us? Means that a leader should know that what he is going to perform; impartiality and it tells that how can we administer ourselves fairly? Because as a leader we should administer ourselves in order to perform requirements; and assessment Where do we go down diminutive of our have possession of principles? Like these type of questions has to be developed by an ethical leader.

2. Guider should look at problems commencing dissimilar attitudes.

A senior fellow described that there can be three kinds of dilemmas in any organization. One is to look forward to the momentousness of every preference and endeavor towards make out who is going to be pretentious, with in what kind of conducts. One more come up to have ethical regulations, presumptuous with the intention of the humankind would be a recovered position if populace for eternity helped definite extensively conventional principles (such as influential the genuineness). And final viewpoint accentuates thoughtful, which is comparable in the direction of the fair-haired imperative: How would we in the vein of to be appraised concealed by comparable state of affairs?

3. Superiors can frequently reassemble principled or moral issues or arguments.

A lot of noticeable confusion fluctuations are in point of fact “confusion fluctuations or dilemmas,” contributing a third pathway so as to abstain the either-or thoughts. If we take an example like, double-dealing with a parent who substance in the direction of a meticulous coursework assignments on spiritual justification, a most important chief or principal might be capable to discuss an substitute project, by this means cherishing educational truthfulness devoid of circumventing on guardian privileges.

4. At long last, privileged individuals have to maintain the practice of mindful indications, anywhere it possibly will show the way them.


Here I am explaining about a group and how the leader motivates the group. Here is a brief description about leadership and motivation by taking a group as an example. This example is my past experience when I worked in the group during my graduation project work.

We are five people formed as a group and our topic was how to make a successful organization and how individual should work in groups. So we searched a lot books and we collected a number of journals and we read successful manager’s autobiographies and we finally came up with a great subject that was a “Belbin’s profiles” and in that we found a very much information regarding leadership and motivation in order to get success a group or an organization should make an assembly and they should choose a leader. Here controversy comes in to the group who is going to be leader and how to choose a leader and there we found important key roles to choose a leader.

Those key roles are divided like resource investigator, team worker, plant, complete finisher, monitor, evaluator, coordinator and shaper. So every individual has their own personalities or profiles like explained above. If any individual want to become leader to a respective group he should fulfill all the requirements and achievements of those profiles like resource investigator deals in investigating of resources required to achieve a success of that group or an organization, team worker should maintain healthy relationships among the coworkers and walk on the road with coworkers to get success, plant this role is very important to the team because plant means base to the team or an organization. This role links with every role in the organization, complete finisher is the role deals in completing a project of a firm or a group.

Complete finisher’s main duty is to complete the project without loopholes. He gets a copy of the project and stars investigation from plant to every profile’s role and eliminates unnecessary factors and includes if there is a need to include a particular concept in order to finish like closed chain, monitor role plays a vital role in the group that is this role duty is to monitor every individual’s work from starting the project onwards till closing of the project and he should present a daily base report or feedback to the team workers and to every individuals taking part in the project, evaluator’s role is to evaluate the drawbacks or loopholes of the respective project, having healthy relationship with monitor and resource investigator, shaper , team worker. And about shaper this role deals with maintenance, performance of coordinator, monitor, and the structure of the project and team.

So any individual wants to become leader he should have experience in the entire roles and fields witch I just explained above and also if any group wants to choose its leader that group should consider all the roles. Because leader and his leadership is everything for an organization or a group and he should have capability to motivate his group.

Key factors to choose a perfect leader

Leader should have the aim on to improve workplace efficiency and also to diminish the minor problems with workplace he should come with his own creative ideas in order to motivate his team. And the successful leader has a goal like in any task to get the work completed and his leadership controls efficiency and by controlling efficiency he gets control on competitive value of service and finally achieves the success

“Leadership Innovation – Today, fast growing organizations are built on leadership innovation, that is, they are not built by product visionaries but by social visionaries — those who invent entirely new ways of organizing human effort.”

And we have variety kinds of leaderships here like

Visionary Leadership in this decision making management plays an important role because for every success and failure of a management there should be an effective or ineffective decision making skills behind that success or failure. And this decision making visionary leadership puts an eye on work efficiency by moving decision-making responsibility to the frontline and there by achieves an increased efficiency. Efficiency is achieved with limited supervision. To make frontline responsibility effective, leadership must give workers opportunity to develop quality decision-making skills and learn to trust them.

Standard leadership , in this standard leadership leader only concentrates on the employees work like what he said and what is going on their? And what employees are doing to get work done? And workers to be robots to get work done, this is all about leader’s nature in their qualities of making decisions and makes creative quality decisions. “This is called as command and control leadership. Low efficiency is caused by the disconnect between management and the frontline. Management is busy dealing with problems that affect them while ignoring problems that affect the frontline. Front line problems are only dealt with when they explode into a major problem. K-Mart stores use standard leadership.”

Policies – the style of Leadership is monitored by workplace policies. “Leaders will adapt their style to the organization priorities and its goals.”

  • High efficiency workplaces are based on visionary leadership, where workplace policies authorize decision-making responsibility at the frontline. Limited supervision is needed with worker responsibility.
  • Standard leadership is based on man’s instinctive desire for control, which is leadership by default. A leader’s changing mood controls policy of the moment and no one knows what the priorities are – mood-changing priorities reduce efficiency. Standard leadership requires a high level of supervision.


Ethical policies – Ethical policies at the organization’s top filter down to the frontline. It is not possible to have unethical policies at the top and enforce ethical policies at the bottom. Leaders’ ethical policies become the mindset of the organization. A person with high ethical standards will not stay long in an organization with low ethical standards, they will quit or be fired. A potential whistle blower becomes a threat, yet, this type of person makes an organization efficient. Success of workplace responsibility requires high ethical policies from top to bottom.

Exception to the rule – The military uses command-and-control leadership, yet the troops are highly skilled, motivated and morale is high. This is opposite the statements stated above. The difference – military organizations are team orientated with continuous training. Troops expanding their skills and experiencing capabilities they never dreamed possible, produces a highly motivated and efficient organization. Learning opportunity and responsibility is the key.

Motivating Business Students to the Entrepreneurial Sector

An Empirical Study on Factors Motivating Business Students to Move to the Entrepreneurial Sector

Abstract. This exploratory study is attempts to examine how employable individuals turn their focus to start-ups. Today, majority of employees still practise a more or less self-protective strategy. In this paper we would report on the results of an empirical study of factors motivating degreed potential employees to move to self enterprising. The deciding factors to become an entrepreneur and of sustainable employment-oriented factors to be analyzed in order to discover how they differ. Participants consisted of 200 students from Malaysia entered final year of business undergraduate and postgraduate programs. Self-administered questionnaires were used to gather data on factors and types of relationships influencing career choice and entrepreneurial intention. The results of the analysis will serve as a basis for the development of employment practices designed to support start-ups in adopting sustainable business practices.


Today, employees still act in accordance with employers’ legal obligations and try not to attract special attention from local independent business owners. This paper’s main aim is to take a fresh look into graduates’ expectation on the factors motivating employees when considering switching jobs if employed and to identify the level of interest as they commence and develop entrepreneurial ventures. The study principally examined why employees decide to become entrepreneurs, therefore, seven main issues associated with graduates’ enterprises as they established, operated and grew their businesses, these being chosen following a process of brainstorming with a pilot group of graduate entrepreneurs.



A number of researchers have attempted to consider factors such as gender, grade point average, duration and field of study and entrepreneurial family background as important factors affecting students’ perception and attitudes towards the prospect of new own business formation, and some of these factors clearly enhance or inhabit such tendency (Oakey, Mukhtar and Kipling, 2002). However, Cooper, Woo, and Dunkelberg (1989) suggested that the various objectives identified by other researchers can be reduced to three factors: challenge, wealth and autonomy. Using cluster analysis Woo, Cooper, and Dunkelberg (1991) identified two types of entrepreneurs depending upon their purposes at the time of commencing the business: firstly “self-regulating” who placed high priority on not having to work for others, and secondly, “company-men.” who builds the organization.


Generation of start up ideas have been explored by a number of researchers. Opportunity recognition is dependent on whether the entrepreneur was extrinsically stimulated. A leading entrepreneurship text has recognised the “important implications for entrepreneurs who need to be creative in their thinking” and of the concept that creativity can be learned or enhanced (Timmons & Spinelli, 2008). The three types of opportunities identification to the field of entrepreneurship as established by Sarasvathy, Dew, Velamuri, and Venkataraman (2003) are recognized, discovered and created. There are various motives to start a new venture. According to Amit, McCrimmon, Zietsma and Oesch (2001), money is important but not necessarily most important. They argue that some of the key non-monetary motives for starting up a business include the wish to be independent and the combination of work and household responsibilities. These start-up motives may have important consequences for the degree of (over)optimism that characterizes (promising) entrepreneurs. For example, if an entrepreneur is mainly driven by wealth creation, it may be expected that (s)he is more likely to be disappointed if the turnover in the first year is relatively low. If the entrepreneur is driven by the wish to be independent, (s)he may be unpleasantly surprised by the strong reliance upon a limited number of clients or the bank. If the primary start-up motive is exploiting a perceived opportunity, the entrepreneur may be faced with other people who came up with the same idea or possibly an overestimated market demand for the (new) product.

Gilad and Levine (1986), agreed in their analysis on intrinsic and extrinsic that there are discrimination between start-up motives. Intrinsic motives include the desire for independence and combining work with care for family members. Entrepreneurs who are driven by such motives will probably be less inclined to set unrealistically high pecuniary goals. Extrinsic motives include two categories: pull and push factors. An opportunity of perceived profit is an important pull factor of entrepreneurship, while (the threat of) unemployment is a well-known push factor. Regarding the exploitation of opportunities, Hayward, Shepherd and Griffin(2006) argue that overoptimistic founders will commit too many resources to the opportunities that are the bases of their ventures. If entrepreneurs are ‘blinded’ by their own ideas and fail to adequately assess the competition and the (potential) problems to transform the opportunity into a profitable venture, over optimism is around the corner.

The creation of a new organization, however, is contingent upon the belief that self-employment promises more expected utility than either employment within an existing organization or unemployment (Douglas & Shepherd, 2000; Van Praag & Cramer, 2001).


Gartner (1989) proposed that a common limitation of studies into the predictors of entrepreneurial intentions is the failure of investigators to choose samples that are (1) comprised solely of people who are serious about entrepreneurship and (2) who are in the process of making the decision to become involved in creating a new business.

Krueger, Reilly and Carsrud (2000) find that studies comprising samples of upper-division college students can uncover job-related preferences at a time when respondents are struggling with important career decisions. Therefore, it is acceptable and appropriate to investigate entrepreneurial intent utilizing a sample of upper-class college students. (Brice and Nelson, 2008), it is important to note that the population of interest in their study consists of individuals who perceive that they will become entrepreneurs and not necessarily only those who will actually become entrepreneurs. This difference is significant because while actions has been demonstrated to be predicted by intentions. Therefore, the focus of this research remains at the entrepreneurial intentions level of analysis.

The sample chosen consists of postgraduate and undergraduate business degree program students who were nearing graduation. When students contemplate graduation, they may also develop immediate career plans and long-range goals. The respondents are those from the business disciplines because, based on their discipline interest, they have already decided to pursue business-related careers. For that reason, a homogeneous sampling of university college students was included in this study.

In this study, we follow the method tested by Brice and Nelson. This study sample consisted of 200 students from University Colleges in Malaysia who participated utilizing a structured questionnaire data collection methodology. Subjects consisted of final (3rd) year business undergraduates and final year Master of Business Administration (MBA) students in the concentrations of management.

They were appropriate primarily because their academic concentration implied that they had serious interest in pursuing a business career. The main themes covered by the survey questions include firm and owner characteristics; interest to start-up; motivation to switch jobs; career preferred timing and industry; medium for seeking employment: desire and likelihood of rewards and opportunity; criteria of choosing employers. The two researchers’ contacted students directly via targeted groups of respondents list originating from the Faculty of their academic major program.

Five questions adapted from Chen, Greene, and Crick (1998) was used to assess start up intentions. Responses were gathered on a 5-point Likert scale and total scale score was obtained by averaging the five questions. Brice and Nelson have reported a Cronbach’s alpha of 0.92 for this scale, which implies strong reliability. Information pertaining to each respondent’s age, gender, and class was obtained to use as control variables in the analysis. Each of these control variables was recorded as non-continuous, categorical predictors.


Once all the related information from the respondents was entirely obtained, the students’ motives leading to start-up were analyzed. From the mean of all motivation constructs, it could be argued that the main motive for start-up is the need for achievement (average value = 14.3), followed by economic reasons (mean value = 12.89) and the need for independence (average value = 12.89). In order to establish instrument reliability, Cronbach’s coefficient alpha was computed. The reliability coefficient was 0.71 which indicates that the instrument was reliable in its measurement of determinants for start ups. Data reduction technique is used to unfold the information embedded in our data.


After elimination of subjects with survey questionnaires were only partially completed, the final sample totalled 196 students. As shown in Table 2, this sample was equally represented between the genders, consisting of 107 (54.6%) males and 89 (45.4%) females. Subjects were primarily graduating undergraduate business students (65.8%) and graduating postgraduate students (34.2%). In fact, there were 129 bachelor degree students who aged below 25 years than MBA students who aged 26 and above. The majority of subjects were expecting salary between RM5001- RM15000 (56.2%) which is not in accordance or earnable with employment even in established firms.

Since the mean, median and mode values are very close to each other, it shows the data is symmetrical. The mean for the 196 students is 2.08 with a standard deviation of 1.088. The Trimmed mean value of 2.01 is similar to the mean above. Hence, shows there are no outliers in the data set. In this survey, since the sample size is 196, the Kolmogorov-Smirnov test is used. The p-value of the test is less than 0.001. Hence, the data is not distributed normal.

Of the 196 students, 77 (39.3%) very enthusiastic towards start-ups, 52 (26.5%) eager to start-up, 46 (23.5%) open to any opportunity, and 16 (8.2%) to consider start-up option. Out of total, 5 (2.6%) prefer employment.

Since the correlation value is within 0.5 to 0.8, start-up intention among degree students is said to correlate “adequately” with at least one other variables in the construct. In this survey, the KMO value is 0.819, which is considered good.

Bartlett’s test of sphericity is used to analyse whether the correlation matrix is an identity matrix. Identity matrix can be ruled out if the p-value of the test is less than 0.05 (Karuthan and Krishna, 2009). In this model, since the p-value is less than 0.001, the researcher proceeds with factor analysis.

Since the researcher wanted to study the underlying construct among the six variables: Curiosity, Interest, Consideration, Preparation, Setting Up and Start-up Timing. This is a single underlying concept; therefore, it is called the “Start-up Intent Structure”. Since the “Start-up Intent Structure” varies from person to person, it is a variable too. However, it cannot be measured by physical means. Hence, it is called a latent variable or just factor. The model for “Start-up Intent Structure” is given in Figure 4.

In Figure 4, one can visualize six simultaneous regression functions: Curiosity, Interest, Consideration, Preparation, Setting Up and Start-up Timing as the dependents and “Start-up Intent Structure” as the independent.

In the table above, since there are 6 variables in this analysis, 6 components (or factors) are listed in the first column. The respective eigen values and percent of variance explained are provided in the next two columns. For Factor 1, the eigen value is 3.109 and the variance is 51.811% of the total variance. For factor 3, 4,5 and 6 the eigen value is less than the default value of 1. In the same table, under “Extraction Sums of Squared Loadings”, only two factors are listed, corresponding to the factors for which the eigen values is more than 1. Based on the cumulative % column, these factors explain 68.792% of the total variance in the 6 original variables. According to Karuthan and Krishna, (2009) established that, in social sciences, at least 50% of the total variance in the variables in analysis must be explained by the factor of factors. In this survey, a single factor extracted explains more than 50% of the total variance in the original variables.

Hypothesis 2: Motivations to switch job if employed in established firms associated with independent business start-ups

We use multivariate data analysis to recognize the association between different motivation variables. The analysis has shown the variables in a scatter plot and quantifying the strength of association using correlation analysis. An association is established, both empirically and theoretically, therefore we pursued to obtain a regression model. This model, used to predict the value on entrepreneurial intention (outcome), given the values on the motivations to switch job if employed variables (predictors).

Table 6, the p-value for the Levene’s test for equality of variance is 0.000, which is less than 0.05. Thus, equality of variances is not assumed.

Table 7 depicts that the F-value is 3.933 and the degrees of freedoms are 7 and 188. The p-value of the test is 0.000, which is less than 0.05 and the eta-squared value of 0.128, which is less than 0.15,hence, at least one pair of means differ significantly. Therefore there is a need to identify the pair that differs significantly. In this case, the researcher has performed posthoc tests.

Based on Kruskal Wallis Test, the p-value of this test is 0.000, which is less than 0.05. Thus, at least one reason differs in terms of motivation towards self-employment rather employment. Based on Kruskal Wallis Test (Table 5) for the mean ranks, obviously, the degreed students are looking for a more challenging career in terms of expanded scope of work, more responsibilities and change in career path rank much higher compared to the students who looking to join a more established and stable organisations.

On the other hand, 82.20% students feel that they need to escape from unfavourable office environment such as not happy with peers, bosses, office politics and etc. Based on Table 3.1, this supports students interest, whereby 97.4 cumulative percent and mean rank shown in table below of probability of considering the new business start-up.

What motivates employees

Gaining the knowledge of what motivates employees and how they were motivated was the focus of many researchers following the publication of the Hawthorne Study results (Terpstra, 1979). The literature review on this research intends to discover the current theories and issues in relations to work motivation throughout the literature sources. It is important to understand what motivation actually is, and more specially the term ‘work motivation’.

The literature review will look at four major motivational theories. They are:- Maslow’s need-hierarchy theory, Herzberg’s two- factor theory, Adams’ equity theory and Vroom’s expectancy theory.

They are Maslow’s need-hierarchy theory, and Herzberg’s two- factor theory are needs based motivational theory, commonly known as content theories. These theories explain that human needs change with time. People have certain needs and desires to achieve and those needs and desires change over a period of time. Adams’ equity theory and Vroom’s expectancy theory are collectively known as cognitive theories. These theories will examine the employee’s behaviour in terms of performance and compare their performance and rewards with others.

According to Maslow, employee’s needs have five levels (Maslow, 1943). It is based on the hypothesis that human needs are capable of being exhaustible. Satisfactory achievement of the first level of needs leads to the next level. Once a particular need has been satisfied, that need will no longer be a driving force of motivation.

Herzberg’s considered motivation into two factors: motivators and hygiene (Herzberg, Mausner, & Snyderman, 1959). According to this theory people are influenced by two factors. These factors are “Motivators and hygiene”. Achievement, recognition, the work itself, responsibility, advancement and growth were included in the motivation factors and dissatisfying factors largely from non-job related factors such as company policies, salary, co-worker relations and supervisory styles (Steers and Porter 2001). These theories will help to understand the various factors which influence the employees of the organisation.

Adams equity theory focuses on people’s reactions to the fairness of outcome they receive in relations to their perception of the inputs they provide, especially when compared to the perceived outcomes/inputs that others receive. (Porter et al., 2001). According to Adams theory equity is achieved when the ratio of employee outcomes over inputs is equal to other employee outcomes over inputs (Adams, 1965). This theory will provide more understanding towards motivational difference between permanent and temporary staff of the organisation.

Vroom’s theory supports that employee effort will lead to performance and performance will lead to rewards (Vroom, 1964). The rewards can be either positive or negative, but the more positive reward will lead the employee to work more motivated and conversely, the more negative the reward the less likely the employee will be motivated.

In M&S money call centre (M&S), permanent and temporary staffs are performing the same duties, expected to meet the same target and trained to perfume the duties in the same way, reword system is different in terms of bonus, pension, company discount card and other non monetary rewards.

By taking this into consideration and applying the selected four theories in this environment. Both groups employees must show a difference in motivation in line with Adams equity theory and also will be on different stages in relations to Maslow’s need-hierarchy theory. The research will also explain what they expect as a permanent / temporary employee working for M&S in line with Vroom’s expectancy theory. Two factor theory will explain how much influence each motivation factor have on all the employees.


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After the literature review and background study of the call centre environment, a positivist approach has been adapted to the research. Even though, motivation is considered as a subjective factor, the background study of the call centre environment is compared and addressed similar to battery- farming condition (Arkin 1997) with characteristic of tailorism. The most important reason for selecting positivist approach is, that this research is testing the four theories of motivation mentioned in literature review in call centre in permanent and temporary employees, which falls in line with Myers, M.D (2002) argument that positivist generally attempt to test theory.

The research method used to collect primary data is a semi structured questionnaire with open and closed questions. Secondary data will be gathered from organisation through human resource department on recruitment statistics and also from survey results previously conducted by the organisation.

The questionnaire includes open and closed questions, both categorical and quantifiable. All the questions are statistically analysed by using codes and excel spreadsheet and will be presentable through bar charts/pie charts.

The positivist approach of testing theory and using quantifiable data collecting methods falls into the deductive approach which falls in line with positivism (Saunders et al. 2007)