Master Thesis Proposal on

“The Effect of company traits on Employees’ Motivation in the Case of Bahirdar

Textile Share Company.

By Betselot Birhanu

Submitted to:
Dr. Solomon Tsehay
Advisor

DEC 2018

Research Proposal: By, Betselot Birhanu

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 ACKNOWLEDGEMENT
First of all I would like to thank God that pushes & initiates me to join MBA in YIED. I greatly
appreciate & gratitude, my friends those guides, directs and advices me to do this research proposal
giving clear clue about how to write it effectively.

My gratitude is heartfelt for Bahir Dar Textile share company managers; Specially, Human Resource
Administration Department, who helped me giving relevant information and data for mine concern of
paper work with no hesitation and confidentiality Corporate Service Department manager of the
company also gave the whole company profile and overall performance documents to review as my
basic input of this paper preparation.

Finally, I would like to thank you for guides, directs and advices me for the future to do final research
by giving clear clue about how to write it effectively.

Research Proposal: By, Betselot Birhanu

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 TABLE OF CONTENT
SECTION ONE Page
1. Background Of The Study 3
1.1. Introduction 3-4
1.2. Statement Of The Problem 5-6
1.3. Research Questions 7
1.4. Objectives Of The Study 8
1.5. Significance of the study 9
1.6. Scope of the study 9
1.7. Organization of research report 11
SECTION TWO
2. Review of related literature 10
2.1. Motivation 10
2.2. Review of empirical lite 12
SECTION THREE
3. Literature Review 18
SECTION FOUR
3. Research Methodology 21
3.1. Description of study area 21
3.2 Research Design and methodology 22
3.3 sample design 22
3.4 Data Collection 23
3.4.1 Primary data 23
3.4.2 Secondary data 23
3.5 Data Analysis 26
SECTION FOUR 27
4-5 Time Budget and Financial budget 28
6. List Of References 29

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 SECTION ONE
1. Background of the Study
1.1. Introduction

The success of any company is mainly relied on the effectiveness of the employees working in, which
in turn is determined by their motive or wants to do what they are assigned to.

Motivation is the basis for human behavior. In today’s rapidly changing world the need to maintain a
creative, committed & productive workplace is very important which can be determined by the ability
of leadership in motivating others to develop & achieve established goals &a sense of personal
accomplishment & satisfaction (Rocchiccioli T. and Tilbury S., 1998).

The key to improve performance and productivity in any area/endeavour is motivation rather than
ability which is the challenge for today’s management. In order to elicit the best performance from
employees it is necessary to understand what motivates them (Swanepoel B. Erasmus B. Wyk M.
Schenk H., 2003).Along with the employees’ motive, their socio-economic background and value
systems interact with how they perform the work and react to efforts to influence their performance
(Swanepoel B. et al 2003).

Unless the aforementioned employees’ motives, background and value systems are well identified
and cultivated by proper leadership, the anticipated contribution of the employees to the company’s
goal won’t be achieved.
The consequences of poor leadership cost organizations directly and indirectly following by poor
productivity, unhappy employees negative impact on co-workers in turn lost opportunity costs and
time, and money spent to improve staff morale. On the contrary, a well-managed company can
motivate and retain its employees and hence has competitive advantages of reduced turnover; an
increase in productivity; reduced absenteeism; increased revenue; and improved performance.

Motivation is the need or drive within an individual that drives him or her toward goal-oriented
action. The extent of drive depends on the perceived level of satisfaction that can be achieved by the
goal motivation represents an employee’s desire and commitment, which is manifested as effort

Research Proposal: By, Betselot Birhanu

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The researchers at Wilson Learning Worldwide explored a new definition of satisfaction, “Fulfillment
Satisfaction” (or, just “fulfillment”) to differentiate it from the traditional definition of satisfaction as
being comfortable. The new definition of satisfaction is related with the elements fulfillment,
empowerment, and engagement such as: Satisfaction with the job, with relationships, with leadership,
and knowing that others are satisfied in their work and with the organization’s leadership. Managers
and leaders have, therefore, the major impact on the Fulfillment Satisfaction of employees and
consequently, on how well they perform (Leimbach M. 2006).

In relation to this, Bahirdar Textile Share Company (BDTSC), established in 1962 in Bahirdar,
Ethiopia, comprising of spinning, weaving, finishing and small garment processing sections, in most
of its life is generally evidenced to be loss making. Specially, in recent years the financial reports
confirmed the same despite lots of efforts made to improve its performance (BDTSC, recent
performance reports).

This research is expected to identify and analyze the effects of the organizational (company) traits in
motivating the existing employees and the contribution in attaining the objective of the company.

Research Proposal: By, Betselot Birhanu

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 1.2. Statement of the Problem
The periodical reports of the company exhibited, low employees’ motivation that brings about high
absenteeism 150, increased grievances 11, high turnover 132, low productivity and financial profit
loss. As a result, production cost rises because of increased wastage, defective product and
unexpected downtimes beyond of the operational standards. Consequently, the company has been
suffering losses annually.

As a share company of governmental & Tiret corporate company, to improve its effectiveness the
government committed huge amount of investment to replace the old and obsolete machineries by the
contemporary modern and new ones at different periods in the past ultimately without success and
after transition to Tiret corporate for share hold, employees salary increased by 30-40% and after
some months all the organization employees salary increased and gets promotion with their education
and adequate experience.

In addition it was also leased to Chinese investor before six years intending technology, marketing,
and management knowledge transfer there by to reverse the inherent poor performance. However, the
lease terminated his contract after twenty months operation only though the validity of the contract
was for five years with the possible extension of another five years. The government, in line with the
privatization policy in the country, recently further floated a series of tenders to transfer fully or
partially the company ownership to private investors followed with little interest of any buyer and in
case Tiret Corporate buys to hold a share with government in last June, 2017 and hence the company
is currently administered by share of government &Tiret Corporate.

The company used to restructure jobs and revised the salary scale by complementing with the piece rate
for performances beyond the periodically preset targets for the core process staffs, i.e. the production and
maintenance staffs. A reward for the top ten performers of the operators is also applied. To discourage
absentees, some money is paid as incentive for those who attend regularly in the workplace in all
working days monthly. Moreover, the relative importance of compensation compared to other factors
such as job design, supervision, work relation, working condition is unknown. Some studies have shown
that all of these factors are equally responsible for motivation while others have resulted conflicting
findings.
The aim of this study will be to advice there is the impacts of financial benefits on motivation.
As a coping mechanism of high employees’ turnover, the company is providing in- house technical
trainings and put them aside as a reserve with pay.

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Regardless of these all endeavours, high turnover, low productivity, absenteeism and grievances with
subsequent poor financial performance continued to happen in the company.

On the other hand, the annual plan is prepared at the top by the senior managers with consult of
government privatization agency &Tiret corporate directors and forwarded downwards hierarchically
for execution. That means the involvement of the staffs at the bottom in planning process is
overlooked that affects their feeling of belongingness to what they are expected to do. Most of the
operators with relatively long service are performing the same tasks for many years that lead them
bored of the monotonous job. Although the daily, monthly, quarterly, semi-annually & annually
performances of each operator are posted, the overall company’s performance results are not
communicated to all employees regularly this doesn’t give a chance to the employees to know their
respective contribution to the overall goals.

Furthermore, each processing section usually tries to externalise their failure to meet targets to the
poor performances of the preceding processing sections or other supporting units of the company that
shows lack of team spirit. Hence, the trust among employees and employees with their respected
bosses is highly eroded which resulted in the dissatisfaction of employees.

In today’s rapidly changing world, the biggest task of the management is to motivate and retain
employees. A well-managed company can motivate and retain its employees and hence has the
competitive advantages of reduced turnover; an increase in productivity; reduced absenteeism;
increased revenue; and improved performance (Lin Y. 2007).

Therefore, the purpose of this study is to identify and analyze the effects as well as the missing
elements of the company traits practices on the employees’ motivation in Bahirdar Textile Share
Company.

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 1.3. Research Questions
 What company trait practices are exercised to motivate the employees in the company?
 How are the company traits affecting the level of employees’ motivation in the company?
 Which of the company trait practices are more significant than others in motivating various
groups of employees?
 What are the perceptions of the bosses and subordinates towards the degree of importance of
trait practices in the company?
 What major missing company traits practices are there in motivating the employees in the
company?

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 1.4. Objectives of the Study
-General objective
 To identify company factors that affect the level of motivation,

-Specific objective
 To analyze the level of the employees’ motivation
 To compare the strengths of each company trait practices in motivating various groups of
employees in the company,
 To analyze the attitudes or beliefs of the leaders towards the trait practices in motivating
employees in the company,
 To explore the major missing company trait elements to motivate employees in the company.

1.5. Significance of this Research

This study is done in view of the overall poor performance of Bahirdar Textile Share Company and to
understand in depth the level of employees’ motivation related to the nature of company traits.

The findings of this study will be important to improve the employees’ motivation by recommending
better company trait practices and changing the attitudes and perceptions of leaders at each level
towards their relationship with their subordinates so as to curb the overall inherent ineffectiveness of
the company.

This study may also benefit the researchers as partial fulfilment of the Masters of Business
Administration at Yom Institute of Economic Development.

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 1.6. Scope of the study

The research will be limited to Bahirdar Textile Share Company of the internal leadership practices
cumulatively. For the purpose of this study, the formal distributed company leaders/managers at each
level is taken into account, not the actions of individual leaders separately. Thus, design of formal
structure, programs, systems, shared beliefs and values in motivating exclusively internal members to
achieve the common goals are considered.

This research focuses on company traits processes at organizational level how many designated
leaders influence human relations and human capital in the organization. Influence of processes on
the external stakeholders is not considered in this research.

It excludes emphasis on traits, behaviors, skills and knowledge of individual leader. Moreover, the
study doesn’t cover the influence processes on intra-individual, dyadic, and group level of leadership.
And the results cannot also be generalized to other companies even within the same sector.

1.7 Organization of the research report

This research proposal paper is organizing in four sections. Section one gives an introduction of the
study by highlighting the background to the study, statement of the problem, research questions,
research objectives, significance of the study, scope of the study are sum up by the organization of the
study. Section two presents a review of related literature from other studies from which existing gaps
on the study of employees’ motivation are identified. Section three outlines the methods the research
adopted to collect, analyze, interpret present and disseminate the study information. Finally section
four time budgets, cost budget of a research proposal and reference.

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 SECTION TWO
2. REVIEW OF RELATED LITERATURE
This Section reviews literature relevant to the study. Our current focus is on employee motivation and
motivation strategy. And also, presents employee motivation as a concept and definition, theories
related to motivation and review of related literature under themes that are derived from the
objectives as follows; the influence of perceived corporate image, job satisfaction, and finally,
conceptual frame work of the study, and the research hypothesis is included in this part. Accordingly,
the review looks at the concept of employee motivation and job satisfaction. These areas are
adequately discussed in this chapter.

2.1 Motivation

According to Swanepoel B, et al (2003), motivational theories are classified on the basis of answering
the questions what motivates people, how are they motivated and how do they learn to exhibit the
desired behavior named as content, process, and reinforcement theories respectively.

Maslow’s hierarchy of five need levels theory postulates as a lower-level need becomes substantially
fulfilled the next higher-order need increases in strength and thus becomes a powerful motivator.
Alderfer adapted a three core needs: Existence needs , Relatedness needs, and Growth needs named
as ERG Hierarchy of needs. This theory suggests two or even all the three needs categories can
influence behaviour simultaneously and if one level of needs remain unsatisfied for a period, the
person may regress to a lower-order needs category whereas Maslow held that a person will remain
fixed on a particular need level until that need has been satisfied. In ERG theory needs do not present
themselves in a neat, linear, chronological order from lower to higher levels.

Herzberg’s two factor theory of motivation suggests that removing dissatisfying aspects called
hygiene factors from the job doesn’t necessarily make the job satisfying which in this case means the
opposite of satisfaction is not dissatisfaction. Job satisfaction is a function of challenging, stimulating
activities or work content called as motivators and on the other hand dissatisfaction is a function of
the environment, supervision, coworkers and general job context termed as hygiene factors. The
presence of hygiene factors will not lead to a state of job satisfaction but simply a state of no
dissatisfaction Therefore, motivators to serve as motivators the hygiene factors must be present which

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in other words means hygiene factors are a necessary but insufficient prerequisite for a motivated
workforce.

When employees enjoy their jobs, find the work challenging, and like the work environment, they
will usually put forth their best efforts and perform their tasks enthusiastically. The three needs theory
of David McClelland also proposes the needs for achievement, power and affiliation which are the
desire to be successful, the need to control others and the need to be liked and accepted by others
respectively are operative in the workplaces. (Swanepoel B, et al. 2003)

The research on Employee Motivation, A Powerful New Model, by Nohria N. Groysberg B. and Lee
E. (2008) suggests that people are guided by four basic emotional needs or drives such as:
 The drives to acquire which can be satisfied by an organizational reward system,
 The drives to bond which promotes teamwork, collaboration openness, and friendship;
 The drives to comprehend met by designing meaningful, interesting and challenging jobs;
 The drives to defend against external threats and promote fair, trustworthy, transparent
processes for performance management and resource allocation.
Even though the four drives are hardwired into our brains in affecting our emotions in turn our
behaviors and certain motives influence some motivational indicators more than others, a company
can best improve overall motivational levels by satisfying four drives in concert.

Edwin Locke in his Goal setting theory which is a cognitive theory suggests that, all other things
being equal, people will perform better if they strive towards an explicitly identified goal than if they
are expected to perform without a specific objective in mind. Whereas reinforcement theory holds
consequences, such as rewards or punishments, shape subsequent behaviors where behaviors that
result in a desirable outcomes are rewarded in monetary forms and undesirable outcomes
extinguished by withholding the reinforcement.

In McGregor’s theory like that of Maslow’s, theory X assumes the lower order- needs dominant
individuals whereas theory Y assumes the higher-order needs are prevalently dominant in persons.

Generally in every theories of motivation the further up the scale an individual moves, the more the
rewards or motivators move from the external environment to an internal need. (Swanepoel B, et al
2003).

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There is no single theory best suited for every situation except an underlying theme to all of the
theories of two key items: respect and participation which are almost always more important than
monetary compensation that employees tend to appreciate. But theories are often combined to
provide the best possible combination to motivate employees

The finding of a research conducted by Lin Y. (2007) in his dissertation for the partial fulfilment of
the requirements for The Degree Magister Commerce II at the University Of Pretoria showed there is
a strong correlation between management and employee motivation, all employees have their own
motivational factors that motivate them to perform their bests. And the research further confirmed
interesting work; good wages; appreciation for job well done; job security; good working
conditions; promotions and growth in the company; feeling of being in on things; personal loyalty to
employees; tactful discipline; sympathetic help with personal problems are important motivational
factors for the employees in the Polypropylene Business in Sasol.

The aforementioned Lindner's ten motivational factors and Nelson's ten things to do to motivate
today's employees were used as a foundation in his research to test the motivational level of the
employees at Sasol's Polypropylene.

For the comprehensiveness of these motivational factors and their relevancy to this proposal, this
model is found to be appropriate to adapt in this research to test the effect of company traits on
employees’ motivation in Bahirdar Textile Share Company. The motivational factors are relatively
comprehensive because intrinsic and extrinsic factors, explained in one way or the other in different
theories of motivation, are incorporated in. It is relevant and appropriate to this study for the reason
that the researchers of this topic are interested in analyzing the internal and external employees’
motivation in relation to the organizational leadership practices in the company.

2.2 Review of empirical lite

Motivation Strategies Differ For Each Worker
The level of employee engagement can differ based on variables such as occupation or industry or
more personal characteristics such as an employee’s education level, age, gender and duration of
service at the company. So, managers face the challenge of matching their workers with the right

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motivation strategy. Given below are a few of the conclusions drawn from studies Gallup conducted
in the period between 2010 and 2012 with different sections of the U.S. population:

Employees in possession of a college degree have engagement levels that are lower than those seen
among employees in possession of a high school diploma or even less than that. This indicates that
managers need to improve on their investment in the employees with higher degrees by identifying
ways by which they can capitalize on and honor all that they have achieved.
Employees in production and manufacturing are among those business sector employees who are
the least engaged. The reason could be that the management culture in these sectors concentrates
more on process than on people. So, if some more management culture could be devoted to people
with respect to these industries, considerable benefit in employee motivation and engagement can be
expected. The job-hopping tendency is particularly common among millennials (Gen Y). As such, it
would be wise if the manager offered this group lots of opportunities to learn and progress. This
would contribute to increased retention of the millennial generation.

2.3 The Best Ways To Motivate Employees

The best methods of motivating employees may be grouped into six sections, each of which are
described in detail in the ensuing paragraphs.

1. Effective Communication
There are two key aspects to effective communication for employee motivation,
Communication of information that affects an employee’s work. This is essential and would make the
employee feel that he belongs to the in-crowd (people who are aware of the happenings at work the
moment their colleagues become aware of it). Make it a point to keep your employees up-to-date on
things like customer feedback, changing due dates, product improvements, new interaction structures
or departmental reporting, and training opportunities. By doing so, your employees would be able to
make better decisions about their work as and when there are changes. A good rule to follow would
be to share more than you consider necessary, at least till you get the hang of it. If there are
employees who would be particularly affected by one or more changes, spend additional time
communicating with them in terms of how the change would affect their decisions, job, time
allocation and goals.

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 More attention and an open-door policy
As per information from a 2012 Global Workforce Study, when compared to immediate supervisors,
senior managers had a greater role in attracting discretionary effort from employees. The study
incorporated close to 90,000 staff from 18 countries. So, it shows that if an employee gets to spend
extra time with his boss, he would feel rewarded by the attention.

It is a good idea to initiate an open-door policy so that employees can feel free to share their
legitimate ideas, concerns or complaints with their manager(s). Even if an idea cannot be
implemented or a particular complaint or concern cannot be resolved wholly to the employee’s
expectation, the employee would appreciate the fact that it was looked into or addressed by the
management.
Show interest in the employee’s life events by asking about vacation trips, congratulating on a baby’s
arrival and things like that.

2. Appreciation
Employees deliver parts of the overall picture and every part is important. So, appreciation of hard
work and projects delivered extremely well will make employees feel good about themselves and also
valued, while giving them the drive to keep putting in their best. It is good to recognize individual
employees as well as show appreciation for all employees as a group when their team effort resulted
in some accomplishment. Just a few minutes of recognition can create a great change in an
employee’s attitude to work.

Individual Recognition
If a particular employee has accomplished something really exceptional, his manager can invite the
employee into his office and personally commend him for the good job, or, send him an email of
appreciation or, praise him with a public announcement or, post the employee’s achievement on the
bulletin board. Group Recognition
Here are two ways to show appreciation for the dedication and solid work contributed by the
company’s employees as a group:

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Once in a week, employees can be sent emails, newsletters or updates that let them know their hard
work is bearing fruit.
A meeting can be held which incorporates talk about how employee efforts are helping the
company achieve its goals.
It is okay to be open with employees about room for improvement in their work. However,
ideally, it is good to provide employees with more praise than negative feedback.

3. Rewarding Your Employees

Rewarding your employees is a great way to show them just how happy you are with their
dedication, impressive behavior (with a customer or client) and outstanding efforts. While on the one
hand, an effective reward system will make your employees feel on top of this world, on the other
hand, it is also a tool by which you can make known the behaviors or actions which you repeatedly
expect from your employees. So a suggestion would be to set aside a certain kind of reward or
recognition that comes with specific information about the requirements (or targets) to be achieved to
get that reward or recognition. Only a person who performs at the standard or level described in the
qualifying criteria would get the reward.

Given below are some ideas for monetary and non-monetary rewards.
Monetary rewards
 Free lunch/dinner for just the employee or for him and his better half too,
 Sponsored car wash and a tank of full serve gas,
 Tickets to a popular sports event.
Non-monetary rewards
 Allowing the employee to work from home for a day,
 Letting him come in casual dress on a specific day,
 A plum assignment – let your employee choose the assignment he can work on next,
A vacation day,
Another suggestion is to personalize the rewards by thinking about what kind of reward would make
a particular employee most happy.
4. Realistic Work Load

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 The workload for each employee should be balanced and realistic. Too much on an
employee’s plate can demotivate him and too little can make him lazy and/or result in attention
lapses. To come up with a suitable workload, it would help to analyze how much work an employee
usually performs, the work environment, mental and physical requirements for the job and how much
time is there on hand to get the work done. Deadlines should be practical too. One can consider
encouraging employees to be open about when they feel their workloads are too much for them to
bear so that the workloads can be adjusted accordingly.

Apart from the quantity of work, it would be ideal if employees get projects that incorporate
aspects of personal interest to them. According to a Philips Work/Life Survey, close to half of the
American population (47 percent) claims that the motivation for coming to their present job is the
ability to live their passions and this shows in their work.

5. A Pleasant Work Environment

As employees spend a fair amount of their day within the walls of their office, it would really be
worth it to make the office look and feel as welcoming and comfortable as possible. When employees
feel happy in their work environment, they feel motivated to work. Here are some tips for creating a
pleasant work environment:

6. Social Outings and Events

These kinds of events will help the company’s employees get better acquainted with their co-
workers and possibly establish friendships with them. The friendly relations thus developed with their
colleagues are again, fuel for motivation. Given below are some suggestions for team and social
outings and events:

Establish a softball league or bowling team: This is great for fostering team spirit as well as
colleague-colleague bonding
One can allow employees to have lunch together outside, once a month
One can encourage employees to join volunteering causes in teams. This again helps in
creating team bonding while making the employees feel a sense of satisfaction at doing something for
society.

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 The surprising truth about what motivates us
The power of employee motivation should never be underestimated. Devoting time and effort to
improving employee engagement is definitely worth it considering the rewards you’ll reap from
doing so, in the long term.

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 3. Literature Review

As provided in Yuki G. (2010) success as a manager or administrator in modern organizations also

involves leading. There are many definitions of leadership out of which what Yuki G. (2010) broadly
defined as “a process of influencing others to understand and agree about what needs to be done and
how to do it and the process of facilitating individual and collective efforts to accomplish shared
objectives” is taken into consideration by the researcher to contextually fit this study.

Job satisfaction is, in fact, predictive of performance, and the relationship is even stronger for
professional jobs. The first places for practitioners to focus on, to understand what causes people to
be satisfied with their jobs, is the nature of the work itself which includes job challenge, autonomy,
variety, and scope.

Employees are paid for the job that they are hired to do, which generally is the function of the
compensation policy of a company. Monetary rewards have some drawbacks. Cash awards in some
instances have a de-motivating effect in reducing teamwork as employees primarily concentrate on
individual cash gains(kamery H., 2004b).Satisfaction with pay is less powerful as a predictor of job
satisfaction or employee engagement and is less likely to predict whether an employee stays or goes.
Engagement also affects the physical and psychological wellbeing of employees (Kimball S. and
Nink E., 2005).If employees are paid based on the amount of output that they generate, the employees
might try to increase their output but it may not be of as good of quality (Edward R. & James A.,
1992).Even though individuals who are very poor financially demonstrate increased happiness when
their income rises, intensity of desire for wealth remains negatively correlated with psychological
wellbeing. So, companies must balance financial considerations with other non-financial
reinforcements to maximize job quantity and quality. Monetary incentive is simply one piece of a
larger mosaic of issues. Obviously, employees want to earn fair wages and salaries, and employers
want their workers to feel that is what they are getting. And it is, therefore, logical that employees and
employers alike view money as the fundamental incentive for satisfactory job performance.

Managers need to demonstrate a sincere sense of caring about employees and what is important to
them. If employees feel their supervisor, or someone at work seems to care about them as a person
they may be satisfied and engaged with their jobs (Kimball S. and Nink E., 2005a).

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It is very important to involve employees in every aspect of their work activities and matters that
affect them because people really have keen interest to be involved and engaged all along, otherwise
imposition of decisions made in isolation and rules which people didn’t understand just lead them to
step back and disengage. If employees are clear with the line of reasoning and shared the way of
thinking about their leaders, they will have a chance to learn the decision criteria and decision-making
strategies so it will be possible to effectively delegate them when it is appropriate to do so (Suckling
S., No Date)

3.1 Conceptual frame work

salary pay

benefit bonus pay

employe
motivation

boss
overtime
relation to
pay
employees

incentive
pay

The above model shows that the dependent variable is employee motivation, which is the variable of
primary interest, in which the variance is attempted to be explained by the six independent variables
of

1. Salary pay

2. Bonus pay

3. Overtime pay

4. Incentive pay

5. Benefits

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6. boss relation to employeews

3.2 Research hypothesis

After constructing the conceptual frame work the researcher develops the following research
hypothesis

H1- salary pay influences employee motivation positively

H01-salary pay influences employee motivation negatively
H 2- Bonus pay influences on employee motivation positively
H02- Bonus pay influences on employee motivation negatively
H 3- There is a significant impact of overtime pay on employee motivation
H03- There is no a significant impact of overtime pay on employee motivation
H 4- There is a significant impact of benefit on employee motivation
H04- There is no a significant impact of benefit on employee motivation
H5- There is a significant impact of incentive on employee motivation
H05- There is no a significant impact of incentive on employee motivation
H 6- There is a significant impact of boss relation to employees on employee motivation
H06- There is no a significant impact of boss relation to employees on employee motivation

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 SECTION THREE
3. Research Methodology
This chapter highlighted the study area, the research design, the study population, sample size ,
methods of data collection and data analysis techniques used in this research.

The population of this research consisted of total employees working in various departments and one
liaison office in Addis Ababa of the company.

While determining the sampling frame, directors, the whole managers and the rest of internal staff
members at each level in different departments including employees working in Addis Ababa liaison
office will be included to make sure the representativeness of the whole staff and to triangulate the
result of the study.

3.1 Description of the study area

This study focused on the bahirdar textile share company which is now set in as one of the
competitive textile industries in Ethiopia. Bahirdar textile Share Company was established on 1962
with a capital of Birr 9,650 and over 536 employees, now a days no mean feat, considering the fact
that it is long time which is 55 years old.

In logit model of data analysis, explanation of dependent variable employee motivation and
independent variables are as follows:-

Y =𝛽0+𝛽1X1+𝛽2𝑋2 + 𝛽3𝑋3 + 𝛽4𝑋4 + 𝛽5𝑋5 + 𝛽6𝑋6 + 𝛽7𝑋7 + 𝛽8𝑋8 + 𝜀

Where: -𝜀=error

Y= employee motivation (EM)

X1=salary pay

X2= bonus pay

X3=overtime pay

X4=benefit

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 X5=incentive pay

X6=boss relation

3.2 Research design & methodology

This study uses exploratory and descriptive research designs. The research problem, research
questions and objectives in this study have been identified through exploratory methods, such as, by
assessing financial statements, management minutes on periodical performance evaluation,
maintained performance report documents and discussion with some managers and experienced
professionals who are curious to see the pertinent problems of the company solved. And the data to
be collected in the research process will be analyzed using the descriptive method.

3.3 Sampling Design

The sampling units in this study will be individual staff members including all managers and non-
managers currently working in any hierarchal level of the company including Textile & Garment
director of Tiret Corporate,16 top managers, 52 middle level managers and the remaining one
thousand three hundred seventy three non-manager staff members organized in ten departments and
four services of the company are considered as a base to formulate population for this study as
sourced from the Human Resources Administration Department data base. After determining the
population, the sample size and the means to select only production department sample have been
specified in the following section.
Table 1: Number of Staff Members in each Units of Bahirdar Textile Share Company in
Gender, Managers and Non Managers current allocation
No Departments/Services/Uni Managers Non- Managers Total in gender S/Total
ts Male Female Male Female Male Female
1 Production Department 34 1 612 530 646 531 1177

Source: Human Resource& administration Department, BDTSC

As indicated in the above table the research takes only production department, in the production area
1177 employee units of the company comprising of 1441 total number of employees including the
Director is taken as population of the study. Out of which 531 of them are female and the rest 646 are

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therefore male staff members. And 1142 of them are in non-managerial and 35 of them in managerial
positions. According to the management manual adopted in the company since December 30, 2018,
In this study multistage sampling method will be conducted to select the sample of the employees i.e.
stratified sampling and systematic sampling methods. First the whole employees will be stratified as
in managerial and in non-managerial positions and then sample members will be chosen at regular
intervals after a random start from both strata proportionally. In this process the representativeness of
the participants in gender, and at least in two groupings of educational level, service year in the
company, staffs in production and non-production units of the company will be further ensured.

As Paul D. Leedy and Jeanne E. Ormrod quoted Gay and colleagues for selecting sample sizes “for
smaller population less than or equal to 100, no need of sampling and if the population size is around
1500, 20% should be sampled”. Thus, out of the total 1142 employees in non-managerial, of 35 in
managerial positions, by applying fixed20%sample size, employees will be included in the sample
respectively to respond to the questionnaire designed to ask all the employees. In spite of the fact that
the basic rule is the larger the sample, the better, the sample size is fixed on by considering the
population size, budget and time constraints without sacrificing the representativeness and reliability.

Thirty five employees in managerial positions for the purpose of triangulation the research result.

After the sample has been clearly identified, the data collection process has been designed in the next
section.

Sample size
3.4 Data collection

The researcher will be collected the data both primary and secondary.

3.4.1 Primary data

The primary data will be collected through a survey of employees of BDTSC. To get the required
primary data, questionnaire and focus group discussion are the main instruments of data collection to
be applied.

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The questionnaire, along with the secondary data, which is going to be developed to collect the
required data for this study, will be designed to identify what type of leadership practices are utilized
by the company to motivate the employees and to evaluate the attitudes of the subordinates about the
leadership practices exercised at the company level in relation to their expectations to be motivated.

Furthermore, the attitudes of the respondents about the relevant missing leadership activities will be
measured from the data to be collected by questionnaire. The various leadership efforts and the level
of employees’ motivation will be measured by asking relevant questions via the questionnaire. The
factors of organizational leadership that will be included in the study are related to the intrinsic and
extrinsic motivational factors.

The questionnaire will be prepared both in English and in local language Amharic so as to increase
somehow response rates by making the intentions of the questions more understandable to
respondents. In addition, the self-administered questionnaire will be accompanied by questionnaire
interview as the case may be.

Managers will be asked two types of questionnaires to respond: one as employees to measure what
motivates them and their perception towards the organizational leadership practices in relation to their
motivation level and secondly as leaders to measure their beliefs and feelings to what motivates their
subordinates most. The director will also be asked the same questions for the managers as leaders
about what they think about the motivational factors which employees are motivated most/least in the
company to triangulate the results.

In this study, the employees’ motivation level in relation to the organizational leadership factors:
structures, systems, values and beliefs in terms of their educational level, age, gender, the length of
services and their positions in the company will be measured. Each organizational leadership factors
mentioned above will be further specified in the questionnaire and in the agendas in the focus group
discussion sessions.

The first part of questionnaire will be designed in close ended manner. In this part, section one will
consist of demographic questions like sex, years of service, position, length of service, department
participants working in, and related issues. In section two, participants will be asked their level of
agreement to the statements in five likert scale ranged as “1 for strongly disagree” to “5 for strongly

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disagree”. Each statement in the questionnaire will be related to one of the general motivational
factors indicated hereunder. In section three, the ten motivational factors identified by Lindner and
Nelson will be asked the respondents to value their attitudes/beliefs about the degree of importance of
each factors in motivating them in three likert scale as not motivated, motivated and highly
motivated.

The following are the motivational factors identified by Lindner and Nelson which are found to be
relevant to this particular study.

1. Interesting work;
2. Good wages;
3. Appreciation for job well done;
4. Job security;
5. Good working conditions;
6. Promotions and growth in the company;
7. Feeling of being in on things;
8. Personal loyalty to employees;
9. Tactful discipline;
10. Sympathetic help with personal problems.
The second part questionnaire will be the same as the third section of part one questionnaire except
the managers and director will be asked to compare and rank the motivational factors to what extent
they believe that each factors can motivate their employees or subordinates.

Focus Group discussion is also planned to be held with the senior managers, council of workers and
key informants such as labor union officers to reaffirm the information acquired via questionnaire
from the sampled respondents. In both cases the data will be collected by using structured and
unstructured questions.

The questionnaire for this study used closed questions and Likert scale questions. The studies
variables are measured using a five point Likert scale ranging from strongly agree, agree, neutral,
disagree, to strongly disagree as responses from respondents.

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 3.4.2 Secondary data

The secondary data will be assessed and used as one of the basis for this research. It includes
collective agreements, administration, management, and incentive manuals, periodical reports,
management minutes, human resource databases, records of feedback on types of complaints,
turnovers, and discipline cases, past related studies, organizational structures and related documents.
Existing organizational leadership practices such as the type of incentives, the overall performances
of the company, the fairness of procedures in promotion, training, disciplinary measures, the number
of turnovers and the causes, the way jobs are designed, the nature and causes of disputes and the likes
will be gathered from such sources. This will help as a base to measure the level of employees’
motivation and to compare the significance of the motivational factors adapted in the company.

3.5 Data Analysis

Data collected using the questionnaires was inspected, edited and cleaned for coding. Analysis
of the data is doing to get meaningful statistics for interpretation as findings of this study.
Microsoft excels to generate quantitative reports. The data will be analysis by using Logit
model. Before processing the responses, data preparation will doing on the completed
questionnaires by editing, coding, entering, and cleaning the data. Data collected is analyzed
using descriptive statistics. The descriptive statistical tools help in describing the data and
determining the respondents` degree of agreement with the various statements under each factor.

3.6 Post estimation tests

At the end of preparing this paper, I will be finding out the critical factors of employee motivation
expected on evaluating their company traits greatly. Because to studying the most critical factors in
the industry. The data will be valid and verified become on secondary data for past researches.

Research Proposal: By, Betselot Birhanu

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 SECTION FOUR
4. TIME BUDJET PLAN

Time table to conduct the research work should be clearly formulated and designed in research
proposal as frame work including the activities to be done, specific date of performance with remarks
like “activities completed”, “ready”, “expected timely”, “will be done timely” and the likes to
announce the time schedule.

Look an example of time table designed here under table for show.
No. Activities Dates Remark
1 Submit research Topic ----------- Completed
2 Receive research topic Acceptance ----------- Completed
Completed
3 Prepare research proposal plan -----------
4 Develop research problem, Objectives, research
questions, etc ----------- Completed
Completed
5 Literature review -----------
6 Compile the research proposal ----------- Completed
7 Submit the research proposal ------------------- Ready
8 Receive comment from study leader and correct
Expected timely
accordingly ----- to--------
9 Submit the revised Data collection Will be done
timely
Tools to the study leader ------, ------- Will be done
10 Further literature review ------- to -------- timely

Will be done
11 Data collection -------- to -------- timely
Will be done
12 Data Analysis -------- to -------- timely

Will be done
13 Submit the 1st draft research report -------------- timely
Will be done
timely
14 Repair the report according to the study leader --------to --------
comment
Will be done
15 Request permission from the study leader for timely
submission of the final report -------- to ---------

Research Proposal: By, Betselot Birhanu

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 Compilation of the final report Will be done
timely
16 Submit the final research report -------- to ----------
Will be done
17 Examination and Evaluation of the research ---------- or ------- timely
Will be done
18 report
timely
Receive result notification -------- to --------- Will be done
19
timely

5. Financial Budget plan

The required budget for research work should be clearly & economically calculated to assign an
amount to be consumed by each input items and activities that cost be incurred.

Sample model budget allocation is described here under table for show as an example.

S/No. Description Amount Sponsor

1 Stationery 2000 Self

2 Printing cost 3500 self

3 Other costs 5300 Self

4 Contingency 10% 1080 Self

Total 11880

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 6. REFERENCES
Bahirdar Textile Share Company (BDTSC). Periodic Reports retained & maintained documents from
planning and programming service. Bahirdar, Ethiopia. BDTSC 2008/9/10. .
For this research proposal work done, i brows different web sites concerning the topic as per i put in
brackets of entirely justified and clarified important issues used for the study as frame work. But for
the case of final research work each reference will be clearly identified and put separately like the one
that is put as BDTSC source reference of this proposal.

Carleton K,. 2011 p463. How to Motivate and Retain Knowledge Workers in
Organizations. A Review of the Literature. International Journal of Management Vol.
28 No. 2. Edmonton, Canada
Diamantoppoulos, A. and Schelegelmilch B.B2000. Taking the Fear Out of Data
Analysis. Seng Lee Press, Singapore. South Western Cengage Learning EMEA.

Edward, F. R. & James, S. A. 1992. Management 5thEdition. Englewood Cliffs:

Prentice Hall.

Kahya, E. 2007. The effects of job characteristics and working conditions on job
performance. International Journal of Industrial Ergonomics Available from:
www.sciencedirect.com accessed on 01/06/2011
Kamal1, S, Khan B, Khan M. B. & Khan A. B. (No date). Motivation and Its Impact on
Job Performance. Accessed on 01/06/2011

Kamery, R. H. 2004a Employee Motivation As It Relates To Effectiveness, Efficiency,

Productivity, and Performance. Allied Academies International Conference. Nova

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 Southeastern University. Available From: robhkamery@yahoo.com. Accessed on:
01/06/2011

Kamery, R. H. 2004b. Motivation Techniques for Positive Reinforcement. Nova

Southeastern University. Allied Academies International Conference Available from:
robhkamery@yahoo.com Accessed on 30/06/2011.

Kimball, L. S. and Nink, C. E. 2005a. ‘Money and employees Motivation’, 20/20 Skills
Assessment. Available from www.2020skills.com accessed on 19/05/2011

Kimball, L. S. and Nink, C. E. 2005b. How to Improve Employee Motivation,

Commitment, Productivity, Well-Being and Safety. Gallup research Conference Board
Report accessed on19/05/2011

Leedy, P. D. and Ormrod, E.J. 2010. Practical Research Planning and Design. Pearson
Education, Inc., Publishing as Merrill, Upper Saddle River, New Jersey 07458
Leimbach, M. 2006. Redefining Satisfaction. Research and Design Wilson Learning
Worldwide Inc. Available from www.wilsonlearning.com, Accessed on 05/06/11
Lin, P. Y. 2007. The Correlation between Management and Employee Motivation in
Sasol Polypropylene Business. The Degree Magister CommercII University of
Pretoria, South Africa.

Nohria, N., Groysberg, B. and Lee, L. E. (2008). Employee Motivation A Powerful New
Model. Allied Academies International Conference July–August 2008. Harvard
Business Review.
Rocchiccioli, T. and Tilbury, S. 1998. Clinical Leadership in Nursing. 1 st edition
Motivation and Motivational Leadership. Philadelphia: Saunders available from:
www.angelfire.com/ns/southeasternnurse accessed on 02/05/2011

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Saari, L. M. and Judge, T. A. 2004. Employee Attitudes and Job Satisfaction Human
Resource Management. Wiley Periodicals, Inc. published online in Wiley Inter
Science. Available from: www.interscience.wiley.com accessed on 01/06/2011

Smith, J. 2004. Motivation Questionnaire. Available from www.myskillsprofile.com.

Accessed on: 13/07/2011.

Suckling S. 10 Ways to Motivate Safe Behaviors, speaker. Accessed on 01/07/2011

Swanepoel, B. Erasmus, B. Wyk, M.V. and Scenk, H.(2003) Theory and Practice 3 rd
edition. Human Resource Management.

The Training Source, 2008 Leading for Loyalty. How Poor Leadership Impacts
Employee Motivation Westwood Drive Winnipeg, Manitoba, Canada R3K 1G7
available from: www.LeadingforLoyalty.com accessed on 11/02 2011

th
Yuki, G.2010. Leadership in Organizations. 7 edition. Pearson Education Inc. Upper
Saddle River. New Jersey.

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