CHAPTER ONE INTRODUCTION

1.1              Background to The Study

Employee performance simply is the target and goal achievement of an entity facilitated by the contributions – labour which is skilled or unskilled and possible suggestions to decisions or policies made by the entity the employee works for. That is to say, the extent to which an organization‟s objective (goals) are being achieved courtesy to the role played by the employee is what employee performance is all about. Consequently, employee performance include all of the employees efforts in terms of his/her commitment to work, punctuality, willingness to work extra hours, exerssion of innovation in the execution of task to mention but a few directed at goal achievement at effective cost.

However, this performance of employee which is desired by entities in both private and public sectors is a function of employee motivation. These motivations are broadly referred to as monetary and non-monetary incentives. It is a general belief that reward system seek to attract people to join an organization, to keep them coming to work and motivate them to perform to high levels (Puwanenthiren Pratheepkanth, 2011).

Evidently, both employers and employees do have their needs intertwined or dependent on each other. It is however mostly use one that the employees performance depends on the corresponding compensations, recognition and benefits. Studies have shown that organizations are increasingly realizing that they have to establish a blend or balance between the employee‟s contribution to the organization and the organization‟s

contribution to the employee. Whereas, the compensation to the component of the rewards content is monetary and is mostly believed as major motivator of employees, no doubt, the role played by non-monetary incentives – promotions, flexible work hours, recognition, awards, healthcare, off-day, leave, free bus services to mention but a few in motivation employees cannot be relegated to the background.

Indeed, the environment in which an employee works, how he or she is made to contribute towards decision/policy making of the organization, un-biased promotion and the expectations of career advancement can greatly motivate an employee to perform or put in his or her best towards organizations goal/objective achievement.

Consequently, in this study, the researcher seeks to ascertain the impact of non- monetary incentives and employee performance (productivity) in the public sector.

1.2              Statement of Problem

The general belief about performance of employees in the workplace is that; performance of an employee is a function of his or her motivation by the employer. Although what motivates an employee at any point in time may be very difficult if not impossible to find, generally; one of the widely accepted motivators of employees has been money.

Whereas, money seemed to be the greatest or better still, the only reason for which employees many choose to work, experience has shown that money alone is not enough. This fact is buttressed by the variants of motivational theories the researcher has been exposed to – Abraham Maslow‟s need hierarchy, Herzberg‟s hygiene theory, theory X and Y of William Ochi to mention but a few.

Infact, in Maslow‟s pyramids of human needs, are belongingness and self esteem/actualization as needs which motivate one. Theories X and Y aver that, the average man is not willing to work except he/she is coerced. The hygiene theory considers the environment of the workplace as being conducive hence motivating to the worker to put in his or her best.

It is against this backdrop that the researcher seeks to assess the impact of non- monetary incentives on the performance of employees of the Nigeria Communications Commission.

1.3              Objectives of the Study

The primary reason for this study is to examine the impact of non-monetary incentives on employee performance (productivity) in Nigeria Communication Commission. Other specific objectives are:

To bring to light the fact that the JULIUS BERGER CONSTRUCTION FIRM indeed implements other than money, non- monetary incentives in motivating their staff. Besides, in this study the application of these incentives and how they have actually improved on employee performance is given due attention. The study also brings to the fore specific non-monetary incentives used by the management of JULIUS BERGER CONSTRUCTION FIRM in their quest for employee motivation geared at enhancing employee performance.

The researcher is particularly concerned whether indeed other than money, there are other incentives put in place by JULIUS BERGER CONSTRUCTION FIRM to motivate her employees. Besides, whether or not those non-monetary incentives have enhanced performance of the employees

particularly in bringing about increased productivity of employees, their commitment to work, punctuality to mention but a few.

1.4              Research Questions

Consequently upon the research problem stated above, the following research questions are considered pertinent:

1.                  Are there functional non-monetary incentives in Julius Berger Construction Firm?

2.                  How has non-monetary incentives affected workers in Julius Berger Construction Firm?

3.                  How related are non-monetary incentives and employee performance?

4.                  What specific non-monetary incentives have been adopted by Julius Berger Construction Firm so far?

1.5              Statement of Hypothesis

From the research questions rated above, the following research hypothesis being a tentative answer to one of the research questions is hereby stated below in the null and its alternate formats respectively:

H0: There is no significant relationship between non-monetary incentives and employees performance.

H1: There is significant relationship between non-monetary incentives and employee performance.

1.6               Significance of The Study

This study apart from helping us meet up with academic programme will also broaden our knowledge and expose her to real practical experience and training in the field of research for the purpose of problem solving.

The study will give more light into the effectiveness of the use of non-monetary incentives in motivating employees meet in their work environment, especially where incentives are emphasized. It will also help organizations to know the likely incentives to put in place in motivating employees.

In addition, it will assist management to engage in staff welfare development in order to improve the output of productivity of employees. This study will also serve as a useful tool for those in the management sciences discipline who would like to carry out further research in this area.

Besides, management will learn how best to assess and apply the various patterns of Non-Monetary Incentives in Julius Berger Construction Firm, that is the study becomes necessary because it is going to point out ways of how the management will maintain their workers, towards improving their performance so as to increase the productivity of the organization.

1.7              Scope of The Study

Whereas, there are both monetary and non-monetary incentives in existence, we cannot in this single study take cognizance of both. We are particularly concerned with the non-monetary incentives in existence in Julius Berger Construction Firm.

Besides, in this study, we are confining ourselves to the public sector rather than the private sector hence the choice of Julius Berger Construction Firm was based on the researcher due to proximity of the firm to the researchers’ location.