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Course: BTEC Level 7 Extended Diploma in Strategic Management & Leadership (QCF) Unit Title: UNIT 16: Research methods for Strategic Managers Date of Submission: First Marker Name: Review Marker Name: Candidate Statement: I hereby declare that this assignment is my own work and any use of materials from other sources has been referenced accordingly. Candidate Signature : Date :

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TABLE OF CONTENTS: TOPICS 1 1.1 1.2 1.3 1.4 1.5 1.6 1.7 1.8 1.9 1.10 1.11 2 2.1 2.2 2.3 2.4 2.5 2.6 2.7 2.8 2.9 2.10 2.11 2.12 3.1 3.2 3.3 3.4 LITERATURE REVIEW Employee Motivation Need Theories Maslows Theory McClellands Theory Adams Theory Vrooms Theory Hackman & Porter Herzbergs Two Factor Theory Goal Setting Theory Job Characteristics Model Side Bet Theory Retention Strategies METHODOLOGY Selection of Research Problem Methods of the research Methodologies for collecting the data Research design Primary and secondary data Collection of secondary data Design of the Questionnaire Data Sorting The Finished Questionnaire Checking Methods of Statistics Ethical Consideration Reflection Background Aim and Objectives of Research Research Question Areas of Research References and Bibliographies PAGES 04 04 04 05 05 05 06 06 07 08 08 09 11 11 11 11 11 12 13 13 14 14 15 15 15 16 16 16 17 18

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1.

LITERATURE REVIEW

The research study cannot be completed without reviewing available theories and literatures. However, it is hardly possible to incorporate entire available literature, since the literature availability is more than expected. Researcher tried to incorporate the literature from different school of thoughts are important in terms of employee motivation and employee retention strategies. 1.1 EMPLOYEE MOTIVATION NEED THEORIES Simon & Enz (1995) argued that motivation of employees mainly relies on the forces to choose a specific employment alternative, sticking to the same employment and strive for achievement. Certain behavioural characteristics of inadequacies which are evolved from both physiological and psychological aspects can be the prime factors for arousing a particular need as reiterated by Ramlall (2004). The needs which are unsatisfied by group of employees should be given priority in addressing the motivational issues in organizations. As shown by Ramlall (2004) stimulation of drives resulting tension within the employees can be defined as unsatisfied need. In these circumstances the tensions transformation to a goal setting for the workers and he begins a search to satisfy the need of deficiency resulting in reduction of tension.

1.2 MASLOWS THEORY As shown by Maslow, needs of humans can be organized hierarchically along with needs which are at lower level should be the requirement for satisfying the higher order needs. The level at the extreme bottom is of needs which are physiological. Once the needs which are psychological are achieved the progress to the next tier results for security and safety needs. Maslow doubts that full satisfaction is a difficult proposition as this self actualised and esteem needs can never be fulfilled with full satisfaction. In the book, Motivating Strategies for Performance and Productivity: A Guide to Human Resource Development (explained in Ramlall, 2004), McAfee and Champagne demonstrates an employee need list relying on need hierarchy of Maslow. Needs variation depends upon the firm and the employee in question as shown by Ramlall in 2004.

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1.3 MCCLELLANDS THEORY The Achieving Society of McClelland in 1961 opines that it was Freud who projected and pioneered a belief that a particular need might be satisfying other motives. A three categories classification was preferred by McClelland and he classified need as 1) achievement needs 2) affiliation needs 3) power needs. Combining with inducement of needs, need for achievement explained at the same time as attaining desire intended for achieving. The need for affiliation is the establishment, enhancement and maintenance

of relationships of positive directions and McClelland shows that an employee with the needs of affiliation will tend for approval seeking. A Superior or commanding person is visualized in a person who is with power needs who can control or dominate or influence his or her subordinate. McClelland believes that the style of management can be influenced by these needs.

1.4 ADAMS THEORY Adams (1963, 1965) influence has made the employee motivation equity theories with solid foundation. Relying on the Cognitive Dissonance theory, two postulates have been put forward by Adams while explaining cognitive dissonance. Tension will be arising if inequity exists. The amount of tension varies according to the extent of inequity. The second premise is that the employee will try to reduce the tension .The prime three aspects of theory of equity is that the contributing employee should be recognized and rewarded in a fair and reasonable way and the corresponding employee should get noticed on this support (Carrell & Dittrich, 1978; Ramlall, 2004). But it is true that for achieving the equity, the correction should be very close to the desire of the customer as confirmed by Susskind.

1.5 VROOMS THEORY The development of the expectance theory of work motivation was the contribution from Vroom in 1964 with the 3 different components. 1. Valence

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2. 3.

Instrumentality Expectancy

Valence was moulded on the lines of work carried out by Lewin and Tolman representing the Preferences or affective orientations towards

outcomes. As shown by Vroom Outcome is explained as approach outcome which are positive and avoidance outcome which are negative. Preference of the employee in getting result to not attaining the outcome is regarded as positively Valent outcomes and preference of the employee not to achieve the outcome to attain the outcome is regarded as negatively Valent outcome.

1.6 HACKMAN & PORTER Attitude theory of Fishbein has been seen as the base for testing the expectations of effort in happening work. Expectancy theory has been tested on this basis as shown by Hackman & Porter in 1968. This has been regarded as an attempt to alter and diagnosing the level of motivation among employees as explained by Hackman & Porter. Relying on two factors an equation has been formulated in measuring the expectancy and its parameters were namely, the strength level of expectation on outcomes and attractiveness of the outcomes which are expected.

1.7 HERZBERGS TWO FACTOR THEORY Herzberg developed his two factor theory in the middle of fifties relying to the work of Mayo and Coch & French (Cited by Herzberg, 1959). Mayo strongly believed that the supervisor and worker relationships had a significant influence on the output of the work irrespective of whatever manipulated the environment are or not. He also pointed out the value of relationships which are informal and its influence on the levels of productivity. Herzberg are of the view that the employees provided with the opportunity of setting goals and adopting

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decisions affecting their work to themselves are willing to accept changes and flexible in their approach as compared to those individuals who has not been provided with such opportunities.

The factors of hygiene are responsible for dissatisfied job results which are extrinsic and not so job related. Steers (cited in Ramlall in 2004), while defining the factors hygiene lists the factors as the policies of the firm, salary of the employees, the relationships with colleague, and styles of supervision. It is pertinent to mention here that removing the dissatisfying factors of job will not result in a state of satisfied factors; it will only bring the situation to a neutralised position. But it is true that the satisfying factors of jobs are varied from dissatisfies as the increased motivation is expected by enrichment of the job and also reiterated by Ramlall (2004). He also says that removal of dissatisfying factors of job will only reduce the job dissatisfying factors and will not influence an increased motivation.

1.8 GOAL SETTING THEORY Sarah believes that the theory of Goal setting contains goals of specified form and is regarded as one of the specialized factors on motivational and performing aspect of the employees. Based on Ryans study and confirmed by Locke & Latham consciously derived forms of goals will influence the outcomes. Locke & Latham demonstrates that these goals are consciously designed, acting from one end to other end, carried out regularly to a level of expertise or a specified limit of time. Self-efficacy which is regarded as the prime notion has been developed inside the purview of theory of goal setting as demonstrated by Locke. Without considering the motivational aspects subconsciously, this theory is focusing on individuals motivational aspect consciously and its impact on improved outcomes and satisfied job at the end.

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1.9 JOB CHARACTERISTICS MODEL This is regarded as another method to analyze job design as indicated by Hackman & Oldham. This model proposes few built in sets of forms to the corresponding work in order to the resulting satisfaction and motivation of the incumbents. This model demonstrates the connection with in the three variables of core job dimension, personal work out comes and critical psychological states as shown by Ramlall. Lee Rose believe that the above three psychological states should be brought by below listed by five core job dimensions namely variety of skills, identity of tasks, significance of task, autonomy and feedback. The variety of skills is the various actions to be performed and depend on the level of skill and talent of the skilled individual. The identity of task demands for completing a work with an outcome visibly. Task significance is the implication of work on others life or own life. Autonomy is the extent of independency and operational freedom that one experience whiles the completion of the job. Feed back is where the individual receives a vivid knowledge directly on their performed outcome of the job. A surveyconducted by Lee-Ross and he selected the job diagnostic survey of Hackman as this particular survey was utilized least in the industries which provides services. Lee-Ross feels that for measurement of motivational aspect and attitude towards the job the instrument of job diagnostics is the most efficient one in the particular aspect of this analysis of seasonal incumbents. As per Lee-Ross the relations of variables are strong or weak as compared to the original analysis. Growth need strength showed a lower range in incumbents as shown by Hack man and Oldham and its utility is not that important in the service industry. Lee Ross are of the view that few of the major variations of the study was the mode in which the incumbents reacted toward these core job dimensions transforming the interrelations among states which are psychological in form which is regarded as not certain.

1.10 SIDE BET THEORY Ritzers studies indicates that the accumulated side bets over a period of time and its age is the clear pointer in finding out the methods adopted in gambling of a side bet inside organizations (Cited in Mayer & Allen). The type of instrument utilized in the measurement of Beckers side bet theory was in the form of saturation along with the commitment of affective form which left an insufficient testing on the theory. Mayer believes that more

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opinions for the subsequent analysis in the theory of side bet is in existence as this will help in measuring the assessment of incumbent assumptions on to what extent or level the side bets exist.

1.11 RETENTION STRATEGIES As per IDS (2004) whenever the companies face a critical financial problem, they very often view realistically and aim their work and fully engage their staff. This may result in taking various measures such as: 1. Improved method of recruitment of candidates, who get to know the current financial

position of the company and their job requirement. 2. To give the newly recruited employees full support during the initial crisis period in

their employment. 3. Giving then a clear cut idea of their future, to make the work interesting for them, and

give them personal development oriented work. 4. 5. 6. 7. 8. Balancing between their work and their family life. Maintaining their salaries as per the existing market scale. To offer a beneficial remuneration to the employees. The create an attractive working atmosphere. To have an effective communication and consultation with the employees.

Computation of a not less than figure is possible by finding out the average cost in replacing a resigning employee by a new one in each and every categories of employment CIPD (2004). The total yearly costs of turnover can be worked out for a particular group of employees by multiplying this figure by a nearly accurate turnover rate. The major turn over costs as suggested by CIPD is as follows:

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1. also. 2. 3. 4.

How the resignation is administered by the organisation that includes Exit Interviews

Cost incurred while recruiting that also includes advertisement. The cost ofselecting employees. The extra costs involved in employing temporally employees or giving over time to

existing employees while on vacancy. 5. The administration costs involved in the process such as separate office premises and

recruitment agencies for selecting the right candidates. 6. The initial training costs for fresh employees.

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2.

METHODOLOGY

This is the section speaks about the methodologies used to carry out the research. Consequently choosing an appropriate methodology and its elaboration is plotted in this section. This section also speaks about collection of required information, questionnaire creation as well as the different techniques used to complete the research study. 2.1 SELECTION OF RESEARCH PROBLEM The researcher has selected the topic on employee motivation and retention in retail sector, taking Marks and Spencer as the case company. 2.2 METHODS OF THE RESEARCH Every researcher has to follow, to perform a research study, some basic principles. According to Saunders et al (2007), to perform these forms of research, best method is Onion approach, which is very effective and systematic. Same as the reliability of data, it is very important to understand the importance of choosing reliable and effective methodology. In this research, the researcher is going to use Onion model of approach. 2.3 METHODOLOGIES FOR COLLECTING THE DATA Researcher has carried out the collection of information by using both qualitative as well as quantitative methods. Researcher had performed personal

interviews with different store managers of Marks and Spencer and questionnaires research has done with the staffs of M&S in varied stores. For performing the interview, researcher booked appointment with the experts or managers of the store with a fixed time. 2.4 RESEARCH DESIGN The given research study with the influence of the Onion research process formulated and developed by Saunders (2003) has divided the topic in to different sub topics with elaborate description of the process of research. Different variables of context influence the knowledge which is complex and this philosophy of research ventilates the perception of the research and the mode in which the construction of knowledge is carried out.

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Recognition of research philosophies can be grouped as three in the dissertation namely positivistic, realistic and interpretivistic. The development of the knowledge and its distinctive form are specifically indicated by these three forms of philosophies. It is significant here that there should be a vivid establishment of process of research as it has specific implications on the frame work of methodology adopted and implemented in this study. 2.5 PRIMARY AND SECONDARY DATA Malhotra and Birks (2003) are of the view that suitable ascertainment of the data has significant contribution on the accomplishment of the research project. According to Ghauri et al, (1991) two different types of data are available data of primary form and data of secondary form. Data which are primary in nature are collected by the researcher himself for carrying out the research study. Data which are secondary in nature are ascertained and studied by some others. Both the primary and the secondary data could be effectively utilised for achieving objectives of research. Since the secondary data provides the opportunity to save time periods and finances, researchers should be collecting these data at the beginning while carrying out the research study rather than collecting the data which are new. Ghauri (1991) reiterates that the collection of primary data is also significant as it not possible to provide all the necessary information by the secondary data alone. While answering the questions of research, both the primary data and the secondary data are utilised in the research. At the beginning, for discussing the justifications on the hypothesis a detailed review of the literature were carried out with the analysis of data of secondary form. The ascertained data included different resources form varied academics and practicing specialists. Since the data availability were scarce among the literatures which are in the academic forms majority of the valued data were gathered among the communities of varied bloggers of marketing and specific organisations reports of research works. For the creation of a wider outlook on the topic, various academically oriented articles, papers of research works, case studies that are published, books, magazines of industries and scholarly individual articles etc.

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2.6 COLLECTION OF SECONDARY DATA According to Chisnal (1997), there are, in general, two types of secondary data. (a) Internally collected and (b) externally collected. The data collected from inside the case company or within the organisation is generally called internal secondary data. However, the data collected from outside of the organisation or case company is generally called the secondary data of external nature. Both qualitative as well as quantitative methods are used to gather information concerned to carry out this research study. Primary information is collected by performing interviews with M&S (Case Company) store managers and secondary data is collected by circulating questionnaires within the organisation.

2.7 DESIGN OF THE QUESTIONNAIRE Easter by-Smith (1991) opines that a shorter time period and the scares resources force the researcher to choose a questionnaire in the form self administered type and it could be the best possible method given the scenario while collecting the information for carrying out the research. The method of data design and efficient plan is vital for the suitable data collection with the questionnaires as suggested by Maylor and Blackmon (2005). According to Sekaran (2003), for producing the questionnaire with reliability and with the minimum research bias the data design should provide emphasis to three significant parameters, namely, research questions words, suitable variables of categories , outlook of the questionnaire in general. Different questionnaire

like Technorati (2008), Forecaster (2008), Razorfish (2008) and Cone (2008) were referred for developing the contents of the questionnaire while carrying out the study. For avoiding confusion among the interviewees, the utilised words were very simple and specific. For the questionnaires over all look, some pre-developed themes were referred along with some surveys from varied thesis models provided by some portals with the facilities of services among surveying. In educational research there are different types or forms of questionnaire are used. They are

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(a) Dichotomous form (b) Choices of multiple natures and their significance (c) Likert scale (d) Bipolar The research is in need of different reactions and comments or opinion for the analysis. In this research researcher has used Likert Scale method of questionnaire. In general, scale of five points is used for asking the respondent to rate the choices from 1 to 5. 1 being extremely satisfied and 5 is for extremely dissatisfied. Regarding the questions framed for the questionnaire, to gather the best result, out of fifteen top eight questions were on the line of extrinsic reward level of motivational questions. However, the last seven questions were directed towards intrinsic reward forms of motivational aspect. 2.8 DATA SORTING To begin with, the information collected are scrutinised well to categorise separately. The researcher separates questionnaires responses to different sections, say uncompleted, completed, wrongly completed, or any special

instructions provided in the questionnaire by the respondent. Uncompleted questionnaire or wrong responses were not used for the research study for analysis. Extra care has given to scrutinise the information collected since it is very important for the research to have reliable and valid data. To make sure of the information is reliable and valid, researcher has taken intensive care since the questionnaire formulation and the corresponding possible manipulated areas. 2.9 THE FINISHED QUESTIONNAIRE CHECKING When the respondents staffs of Marks and Spencer completed the questionnaire survey, its been processed in a highly secured and reliable way to perform analysis.

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2.10 METHODS OF STATISTICS Researcher has used SPSS software to analyse the data collected. This research study includes graphs as well as tables and that is used for indicating scores of absolute frequency. 2.11 ETHICAL CONSIDERATION: While carry out the survey, researcher handed over a consent form to the participants explaining about the research study and their consent to participate the research. In the research, researcher is very vigilant that the data is not fabricated at any part of the research, intentionally or without intension. Researcher has done proper reference against the information presented in the analysis.

2.12

REFLECTION

Since the topic is motivation and retention, researcher is personally interested about the significance of the topic at this recession time. Researcher has tried to find out the answers to the question posed in the introduction.

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3.1

BACKGROUND

Employee motivation speaks about the issue which assures a good positive working atmosphere for the staffs, indirectly lead in the direction of enhanced organisational performance. This also lead on the way to increase healthier human behaviour and understandings within an organisation, which can happen some times by satisfying the basic needs of employees or by helping to achieve specific goals or objectives. There were times when staffs were treated just like an object for profit and production. As Dickson (1973) says, later on employers changed their approach towards staffs. Such changes in management attitude towards their employees helped management o increase employee motivation level, in turn increase in productivity. Increase in productivity and growth made the management to think there are multiple factors that can motivate employees to increase productivity. However, according to Elton Mayo, pay is one of the important, probably the prime factor for employee motivation. So, devoid of an obvious and solid understanding in terms of motivating employees as well as contributing reasons along with existing theories, the objective of this study cannot have a meaningful end. 3.2 AIM AND OBJECTIVE OF THE STUDY

This paper scrutinises what can be the reason that add up to employee motivation. Taking Marks and Spencer as a case company, how important is to have good operational characteristics to motivate employees. For this reason, before analysing the influencing factors towards employee motivation within Marks and Spencer, and strategies practised by Marks and Spencer towards higher employee retention. So, the prime objective of this paper is to find out techniques adopted by Marks and Spencer in motivating its employees and to supplement the main objective.

3.3

RESEARCH QUESTIONS

How can M&S management implement successful human resource retention strategies?

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3.4

AREAS OF THE RESEARCH The researcher aims to perform the research by taking Marks and Spencer as the case

company in relation to the focussing areas such as HR and Management system Working atmosphere (both internal as well as external) Employee management relationship Organisational model engaged by management for employee motivation Analysis of M&S implementation of employee retention strategies

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REFERENCES AND BIBLIOGRAPHIES Azar, O. (2003). The implications of tipping for economics and management. International Journal of Social Economics, 30 (9/10), 1084-1094. Bandura, A. & Cervone, D. (1983). Self-evaluative and self-efficacy mechanisms governing the motivational effects of goal systems. Journal of Personality and Social Psychology, 45 (5), 1017-1028. Bobic, M. & Davis, W. (2003). A kind word for theory x: or why so many newfangled management techniques quickly fail. Journal of Public Administration Research and Theory, 13 (3), 239-264. Carrell, M.R. & Dittrich, J.E. (1978). Equity theory: the recent literature, methodological considerations and new directions. The Academy of Management Review, 3 (2), 202-210. Dickson, D., Ford, R., & Upchurch, R. (2005). A case study of hotel organizational alignment. International Journal of Hospitality Management, in press. Durham, C., Knight, D., & Locke, E. (1997). Effects of leader role, team-set goal difficulty, efficacy, and tactics on team effectiveness. Organizational Behavior and Human Decision Processes, 72 (2), 203-231. Elster, J. (1989). Social norms and economic theory. Journal of Economic Perspectives, 3 (4), 99-117. Hackman, J.R. & Oldham, G. R. (1980). Work redesign. Mass: Addison-Wesley. Hunt, S., Chonko, L., & Wood, V. (1985). Organizational commitment and marketing. Journal of Marketing, 49 (1), 112-126. Isaac, R., Zerbe, W. & Pitt, D. (2001). Leadership and motivation: the effective application of expectancy theory. Journal of Managerial Issues, 13 (2), 212-226.

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