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Analysis of the Impact of Motivation on Employee Performance

Yuying Guo

Abstract


Employees are the foundation and the core of a company, and their performance is the key to supporting the operation of the company.
For company managers, how to improve employees’ performance is their major working objective. Only when employees improve their
performance, can the company maximize its benefi ts and achieve continuous growth and development. One of the most important ways
to stimulate employees’ performance is to offer them proper motivations. A survey of 126 large companies found that employees had
higher morale and more productive work and the companies had higher customer satisfaction if employees believed that they were paid a
competitive salary (Sabramony et al. 2008). The annual growth rate of stores of Walmart U.S. was only about 1% in 2011, while the growth
rate of one of its main competitors, Costco, reached 8%. The average annual salary of a Costco employee is USD 45,000, while the average
annual salary of an employee of Walmart Sam's Club is only USD 17,500. Costco’s strategy is that the more we pay, the more we get - the
higher salary could increase productivity while reducing the resignation rate of employees (Isidore, 2015). Therefore, proper motivation are
conducive to improving employee’s performance. However, unlike other management elements, people's diff erent personalities, autonomy,
subjective initiative and other aspects make it much more diffi cult to manage people than manage other management elements. Given the
complexity of people, it is obviously insuffi cient to stimulate employees with only simple motivation, and some wrong motivations may
even reduce their internal impetus. In this analysis paper, I will illustrate this view based on various motivation theories, specifi c examples
and empirical data.

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References


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DOI: http://dx.doi.org/10.18686/modern-management-forum.v7i1.7444

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