The purpose of this study was to find the motivational factors that promote employee engagement in SMEs. The results of this study showed that health and safety, work environment, financial rewards and benefits, superior management style and work-life balance are important factors related to employee engagement in SMEs. Gallup's “State of the Global Workplace” study (Gallup, Inc., 2013) captures the essence of employee engagement by demonstrating the effects of engagement on performance.
Therefore, it can be concluded that the higher the level of employee engagement the company can achieve, the greater the chances of success (Vosloban, 2013). Gallup's survey (Gallup, Inc., 2013) that focused on measuring employee engagement in Thailand in 2012 also found that only 14% of respondents described themselves as committed employees to the organization, while 84% of employees responded that they were not involved. In response to the low rate of employee engagement among Thai employees, this article attempts to explore the motivational factors that can increase employee engagement.
The reason for linking motivation to engagement is because higher levels of employee engagement will encourage staff to be more motivated (Burton, 2012). Therefore, the importance of SMEs stimulated the research into motivational factors that influence employee involvement in this field.
Research Question
Research Objective
LITERATURE REVIEW
- Definitions
- Small and Medium-sized Enterprises
- Employee Engagement
- Motivation
- Theories of Motivation and Engagement
- Motivation Theories
- Types of Motivation
- Engagement Theories
- Related studies about Motivation and Employee Engagement
- Summary of Motivation Theories and Employee Engagement Drivers
To summarize the definitions of all the researchers; employee engagement can be defined as a positive attitude of the employee towards their work and their organization's goals, which will be expressed through job performance. The 'Institute for Employee Studies' (Robinson, Perryman, & Hayday, 2004), presents a case study of The Royal Bank of Scotland (RBS), which is a company that combines employee involvement in its business strategy. As Peterson and Luthans (2002) found, a line manager's self-efficacy is one of the important factors in building employee engagement.
Similarly, McBain (2007) supported the idea that a line manager requires effective communication skills and good performance management skills to develop employee commitment in a way that makes them realize the importance of their work to the organization and to help them develop . their skills and encourages inspiration. Furthermore, Berens (2013) examined employee engagement in successful organizations from small to medium-sized businesses and found that the roots of engagement are derived from four qualities that compel employees to become naturally involved in the business. This research shows that factors that lead to high employee engagement are feelings of being valued and involved, equal opportunities and fair treatment, job satisfaction, training and career development.
They found that there is positive correlation between intrinsic and extrinsic motivation and employee engagement. According to the literature review, there are links between motivational theories and employee engagement drivers.
RESEARCH METHODOLOGY
Conceptual Framework
Research Hypotheses
Research Methodology
- Population and Sample size
- Research Instrument
Measuring employee engagement level by Interval scales
Specific questions which concern motivation factors from the conceptual framework and transform them into questions. The measurement of this part
- Statistical Treatment of Data
DATA ANALYSIS AND DISCUSSIONS
Descriptive Data Analysis on Respondents’ Characteristics
Employee Engagement Level of Respondents
Hypothesis Testing Part 4.4: Discussion
- Descriptive Data Analysis on Respondent’s Characteristics
- Gender
- Education level
- Marital Status
- Years of Service
- Job level Analysis
- Type of Business Analysis
- Engagement level Analysis
- Hypothesis Testing
- Summary of Hypothesis Testing
- Discussion
From the table above, the Pearson correlation coefficient was calculated to assess the relationship between Belonging and employee engagement. From the table above, the Pearson correlation coefficient was calculated to assess the relationship between Relationship and Employee Engagement. From the table above, the Pearson correlation coefficient was calculated to assess the relationship between Promotion and Employee Engagement.
From the above table, the Pearson Correlation Coefficient was calculated to assess the relationship between communication and employee engagement. From the above table, the Pearson Correlation Coefficient was calculated to assess the relationship between recognition and employee engagement.
CONCLUSIONS AND RECOMMENDATIONS
- Conclusions
- Recommendations
- Limitations
- Suggestions for Further study
The last factor is work-life balance, which refers to the state in which employees can reduce stress and maintain a good balance between work and personal activities. This can lead to a higher level of staff commitment to the company (Aguenza & Mat Som, 2012). It can be said that if the impact of work on the employee's lifestyle increases, the employee will show a lower level of commitment to the company.
The findings of this study are fundamental instructions for SME employers that can help them motivate employees to become involved in the business, leading to a greater chance of business success (Vosloban, 2013). Regarding the work environment, management should promote a friendly and supportive way of working among employees to encourage a sense of involvement in the company. In addition, salary should not be the only focus, but other financial benefits and rewards should be considered.
The business owner should pay special attention to the special add-ons and support facilities in order to connect the employees with the company. Finally, work-life balance should be adjusted to help employees relax when away from the office. Management staff must limit their working hours according to labor law and must offer employees breaks on public and traditional holidays.
Due to the limited number of existing papers that study engagement drivers in SMEs, the framework of this study was developed from the literature review that focused mainly on employee engagement in large organizations. Therefore, the existence of additional motivational factors that were not included in the hypothesis testing in this study can be assumed. Moreover, the results of this study are based on only 100 SME employees in three sectors, resulting in output that is not specific to each SME sector.
However, the findings may offer useful insights for employers to understand the drivers of engagement in order to improve the performance of SME companies. In order to obtain results that could be more representative of the overall picture of employee engagement in SMEs, the sample should be larger and broader, and the sampling criteria should be specially designed for accurate screening of respondents, as their personal characteristics will also affect employee engagement. In addition, qualitative research could be conducted to further examine more complex issues related to human behavior, emotions, and personality characteristics to promote participation in SMEs.
An investigation of the relationship between work motivation (intrinsic and extrinsic) and employee engagement: A study on Allied Bank of Pakistan. Psychological conditions of meaningfulness, security and availability, as well as engagement of the human spirit at work.
Appendix A: Definition of Variables
Promotion can change attitudes toward a job in employee engagement (Khan & Iqbal, 2013) as it serves as a motivational tool to create stronger employee commitment (Robinson, Perryman, & Hayday, 2004). Leaders not only tell employees what to do, but also offer them a chance to express ideas about the job and comment on their own performance (Robinson, Perryman, & . Hayday, 2004). Job characteristics include the idea that the job can allow employees to have freedom and independence in matters of schedules and processes (Aguenza & . Mat Som, 2012; Tomlinson, 2002).
The organization's performance evaluation process is fair, reliable, transparent and validated by the employees. Human Resources and line managers fairly apply company rules and regulations to each employee, such as paying a fair salary. Individuals feel good about themselves and their organization after their contributions are recognized by others (Aguenza & Mat Som, 2012).
Employees want to reduce the stress and impact of their work on family life by achieving a better balance between work and personal activities. This can result in a higher level of staff commitment to the company (Aguenza & Mat Som, 2012). Employees are satisfied with their work, because the work corresponds to their abilities.
Leaders must provide employees with opportunities to perform challenging tasks that are meaningful to the success of the company (Berens, 2013). Employee engagement can be defined as a positive attitude of the employee towards his work and the objectives of his organization, which is reflected in his work performance.
Appendix B: Questionnaire
Personal engagement with the company
The factors effect employee engagement with the company
Salary and salary are the main factors that make me want to work with the company. I will be happy if I get the right to save money with the company as a pension savings e.g. Facilities is for me to consider how much the company cares about the employees.
Working in a good team that always helps me makes me want to cooperate with the company for a long time. I don't want to resign if my supervisor is worried about my career progression. Verifiable evaluation tools are the factor that makes me want to work with the company.
Having an opportunity to share my opinion about my work makes me give more intention to my work. My work comes out well when I don't have to follow my supervisor's instructions every step of the way. I feel more like working when I get the right to make a basic decision about my own work.
I will be satisfied if I don't have to take my work home with me or be stressed about my work at the weekend.
Demographic
