TABLE OF CONTENTS
1. INTRODUCTION
Company introduction
The current situation of company
2. OBJECTIVES
3. LITERTURE REVIEW
Motivation
The role of Human Resources Mange
The Individual in Motivation
Maslow’s Need Hierarchy Theory
The Job In Motivation
Application of the Maslow’s Need Hierarchy Theory
Herzberg’s two factor theory
Application of Herzberg’s two factor theory
4. Methodology
Research Procedures
literature review
Measuring Instruments
Interviews
Questionnaires
5 A list of Reference
Topic: How parsons music limited manage employee to retain, attract, motivate and its effectiveness.
1. Introduction
This studies the emergence of Human Resource Management as a core business function in the contemporary context by referring to the historical development of Human Resources policies which is hierarchy at work and Herzberg’s two-factor model in the expanding operations of Parsons Piano Limited, a leading music business in Hong Kong.
A focus on process is necessary to understand the important reasons why Human Resources practices have changed overtime and how those motivation theories have emerged in tandem with transformations in corporate philosophy.
While Parsons approached to the ways of motivating them and retaining the talent employee among them are examined; its association of motivation factor to practices in contemporary theories of Human Resources Development and Capacity Building is examined in this studies.
How managers at Parsons have emerged with insights into the conundrum of labor relations with every successive response to changing situations in its ever diversifying operations and how these insights have been translated into sound integrationist management approaches, is also examined in the literature review section in this report.
A fairly mixed range of references to opinions and theories have been used to situate Parson’s achievements in a larger context of modern corporate leadership.
In the methodology part, it approaches to method coving deduction and induction. In deduction part, it explains important analysis of causal relationships and explanation. This parts used of quantitative data. It used questionnaires methods.
In induction part, it explains of subjective meaning systems and understanding, it generation and used of qualitative data. It allow minimize reactivity among the subject of research. It used interview methods.
1.1 Company Introduction
Founded in 1986, Parsons Music Limited (Parsons) is now one of the largest music stores in Hong Kong selling musical instruments and offering music education. The company has 21 outlets throughout the territory as well as branches in Mainland China. The sale employees have 3000 for customer’s service in Hong Kong brands. The company has established by Mr. Ng lam wing. His two daughters is being the senior brand managers. Year after year, the company established promotion on salespeople by senior manager. The talent sale force employees can promotion to the middle level manager position. The company has not established promotion at the top-manager position for the sales peoples. (Parsons Music Limited, 2007).
1.2 The current situation of company
The employee turnover rates hit record highs at 4.22% during the second quarter this year, reflecting an optimistic hiring outlook. The figure was 1.37 percentage points higher than in the previous quarter, and 1.14 percentage points higher than in the same period in 2006 according to the Second Quarter 2007 Survey of Manpower Statistics conducted by the Hong Kong Institute of Human Resource Management (HKIHRM).
A total of 137 companies participated in the second-quarter 2007 survey, covering over 130,000 employees. Key data included turnover, vacancy and absence rates collected on a quarterly and annual basis. This was also higher than that for the same period last year. Overall, the current turnover rate is the highest of all half-year turnover rates recorded since 2003. In the company, Parson Music manager report in annual said that their staff resigns frequency. Simultaneously, their employees are always overtime working because of understaffed. Their employees always argue that they did not have a holiday per week. Employee did not have increase the overtime salary or reward. Yet a general feeling of declining motivation was perceived. Manager faced the fact that employee are not willing to retain and doesn’t have motivation to work hard because of tiring. (Parsons Music Limited, 2007).
2. Objective
A focus on process is necessary to understand the important reasons why employees retain or leave in the company and how motivation theories have emerged in attract talent employees. Secondly, it assesses all levels of salesperson satisfaction and to draw forth major area of salesperson dissatisfaction. Finally, it measures effective of a system of these two motivation theory which are Maslow’s Need Hierarchy Theory, Herzberg’s two factor theory and Vroom’s expectancy theory to see the job satisfaction factor.
3. Literature Review
Viewed through the lens of the concerns most prevalent in Human Resources Management theories today, the first couple of decades of Human Resources were seen almost ancient, paternalistic and domineering. Organizations were likely to be run like a fiefdom. No women or Black people were promoted to senior positions during this period and the employees were prevented from registering themselves with any union (Ellwood, 1998). In the company, while their employee have talent sales, well management customers and best performance, the employees was not be promoted at top-manage positions (Parsons Music Limited, 2007).
The symbiotic relationship between people and success in an organization has been finally acknowledged. Diversification, expansion and growth are only possible if employees grow in skills, confidence and opportunities. Ghosal (Handy, 2006) has eloquently observed:
It is important to escape the logjam of owners versus employees
to build a partnership with workers and build new capacities in
new fields. In order to reinvent itself, a business must first reinvent
the social contract with the workforce. (Handy, 2006:4)
Contemporary Human Resources philosophy does not view employees as merely assets. It sees them as voluntary investors, choosing to invest their talents in the organizations they have joined. This perception of the worker as stakeholder in the fortunes of the enterprise has led to a redefinition of the scope of Human Resource practice. In the company, chief executives claim in annual reports “our staffs are our greatest assets”. A little acknowledgement is made of the factors which motivate staff and the condition required to ensure that companies obtain the best possible performance from their staff assets. Motivation programmed is not deciding in the company. The company use bones, a system of inducement to encourage workers as a reward. It has established incentives promotions system. (Parsons Music Limited, 2007).
3.1 Motivation
A much deeper analysis is needed of the factors which affect employee’s performance, retain and attract and how effective of these two motivation theory which are Maslow’s Need Hierarchy Theory, Herzberg’s two factor theory, it can or can not work in the company while it practice at work and suitable to give job satisfaction to employees. firstly, a analysis the motivation. Motivation means to move (Villere and Hartman, 1990). Robbins(1991) who identify motivation as the willingness of salesperson to use high levels of efforts to reach company goals.
Motivation also is our wants and demands. Motivation is the initiation, direction (I am motivated our classmate to go to read rather than to go shopping), intensity and persistence of behavior (Geen, 1995). Schuler and MacMillan (1984) viewed motivation is a strategic standpoints. They stated that organizations can retain the best qualified salesperson and to motivate them to perform at high level of gain influence.
3.2 The role of Human Resources Manger
In the company, the Human resource managers have helped to raise employee’s self-esteem. The three objectives for HR managers nowadays, are:
. Accumulating: getting the right people to start with.
. Linking: building relationships that encourage individual development
. Bonding: trying to connect individuals’ activities and beliefs to the core vision of the organization. (Handy, 2006)
Human Resources Manager is at the root of all improve sales performance, retain. It imparts methodical and sustained retaining workers on in-house relations between the management and the employees, and takes their help to define its overall business priorities. The ideas that senior employees come up with in the course of their education further defines the basic direction of an organization’s Human Resources policies. These are mainly recognize and support employees as whole people by openly acknowledging and even celebrating the fact that they have roles outside the office, and continually experiment with the way work is done, in order to minimize monotony (Ballou & Godwin, 2007).
Managers and potential leaders must be trained to learn the emerging trends in the industry, behavioral patterns of customers, their changing demographics and values, and finally, the external environmental effects. Managers must also be taught to perceive problems and accomplishments from the customers’ points of view, and thereby determine client-interest (Jerome & Kleiner, 1995).
The importance of a suitable induction program in sound Human Resources management cannot be overstated. The Chartered Institute of Personnel and Development (2006) has recently pointed out that without an effective induction program, employees never really understand the organization itself or their role in it. As a result, morale, productivity and achievement suffer. In a Retention and Turnover Survey of 2006 conducted by the Institute, 45% of the respondents claimed that the greatest source of motivation for them was increased earning and development opportunities, while 49% workers felt that an improved induction process in companies was the best motivational aid. The scope and importance of the induction program widens in the case of the marketing and frontline staff that is to be entrusted with ensuring satisfactory client-relations. It is at this stage that companies can also invite their agencies and public stakeholders to be a part of the internal process, as valuable introductions and inputs can be resourced from these groups. As Knox (Centaur Communications, 2006), has observed that it is important to ensure newcomers do not feel their first job should be to re-pitch everything. Organizations need to focus on communicating the “emotional content of work” to its fresh employees, while at the same time, reassuring them that skills can be learnt on the job and in training.
In Parson music limited now have faced new challenges in creating and maintaining satisfactory employee profiles, upholding motivation and translating the business goals into local languages and beliefs. There are many other competitors (Tom Lee) to recruit talent sales employees, how Parsons approached to the ways of motivating them and retaining the talent employee among them are examined.
3.3 Compare the policy of Disney
To take Disney as an example, as Burgoyne (2004) points out in her study, the establishment of Euro Disney in Paris was a difficult affair from the start as people in France did not immediately warm up to Disney’s established employee relations’ codes and its working atmosphere. To address this, Euro Disney embarked on an extensive and demanding training program for prospective employees, imparting the linguistic, cultural and technical wherewithal needed to run an international entertainment and hospitality business. Burgoyne evaluates the process as a landmark in the history of modern Human Resources Management:
Once the candidates were hired, Euro Disneyland’s challenge was to train
the Europeans, half of them French, to be Disney Cast Members. Every
person had to go through human resource training, then additional training
in requirements of specific jobs. The key to success in Disney parks’ repeat
guest-visits is the employee customer rapport. Thus, the largest challenge Euro
Disneyland succeeded in was implanting a ‘have-a-nice-day’ mentality.
Nowadays, employees, even the ones who had no front-office or marketing profiles, are all trained in all-round aspects and the basic psychology of customers. To take again Disney as an example, the experiment is an immense success as the employees began to see themselves as important faces of the organization and each one actively assumed the responsibility of fostering fulfilling customer relations and external goodwill. Simultaneously, employee participation in planning and initiative grew. Many innovations like the popular after-meal parades at Disney restaurants and the Prince-Princess Parades, were suggested by the employees themselves. Most spin-off and merchandizing ideas come from the front-office staff that is in close association with consumer interests and desires. Such examples show the extent to which Disney started relying on its employees for the ideas and designs that constitute effective brand management (Cooper, 2006)
The Individual in Motivation
In this section, individual’s needs are a critical determinant of what people want from the environment, at work and firms.
3.4 Maslow’s Need Hierarchy Theory
One of the major theories of motivation was developed by Maslow. He proposed a theory that explained human behavior in terms of a hierarchy of the general needs. These needs are arranged in a hierarchy of importance. The needs, listed from basic (lowest, earliest) to most complex (highest, latest) are as follows:
Lower-order needs
i) Physiological needs are the basic needs of person for their lives. They include the needs for food and drink. People try to satisfy these needs before others.
ii) Safety and security needs include the needs for protection and stability of their job.
Higher-order needs
iii) Social needs are the needs for friendship, belongings.
iv) Self esteem can be internal and external. Internal factors such as self-respect.
v) Self-actualization needs are the level of develop individual’s capable. Employee need to have their growth, self-fulfillment.
Given the intent of Maslow’s work, an inductive exercise has been created. This age-old, philosophic focus on our true nature has been a way to successfully engage and inspire both our students and our pedagogy. In the spirit of Maslow, the meaning of self-actualization is explored, and the understanding and managing of motivation is embedded into the larger context of leadership, for example, quality, spirituality, ethics, self-awareness, and personal growth. (Dennis O’Connor 2007).
Maslow speak directly to the topics in current leadership writing and pedagogy: knowing oneself, personal mastery, and emotional intelligence (Bennis, 1989; Boyatzis, 1994; Drucker, 1999;Dupree, 1990; Goleman, 1997; Senge, 1990); values, meaning, spirituality, and ethics (Bolman & Deal, 2001; Daniels, Franz, & Wong, 2000; Similar to the way that the overarching process of self-actualization reshapes and guides the meeting of lower order needs, the leadership helps us better understand motivation and use the tools of management.
3.5 Application of the Maslow’s Need Hierarchy Theory
This theory is state that the individual satisfy the low level need before the next level is coming. Thus, for managing talent salesperson in this theory are clear, the managers can determine in the need hierarchy best fits for their talent salespeople and use the well appropriate motivation strategy.
The Job In Motivation
The concerns are what an employee does at work. Factors required to do the job, the significance of the tasks, and the type of feedback receives as a consequence of performing the job, all have a role to play in motivation.
3,6 Herzberg’s two factor theory
Frederick Herzberg’s motivation-hygiene theory is one of the most controversial theories in the history of management research (Behling, Labovitz, & Kosmo,
1968, p. 99; Pinder, 1998, p. 26). Herzberg challenged basic assumptions about what satisfies and motivates employees by claiming that pay contributes little to job satisfaction, all employees need to grow psychologically, and interpersonal relations are more likely to lead to dissatisfaction than satisfaction. (Herzberg, 1966; 1982; 1991; Herzberg, Mausner, & Snyderman, 1959)
Consistent with the motivation-hygiene theory, positive psychologists are showing that happiness is more than the absence of unhappiness (Aspinwall & Staudinger, 2003; Seligman & Csikszentmihalyi, 2000). Motivator factors are essential to intrinsic motivation (Csikszentmihalyi, 1975; Deci, 1971; Deci and Ryan, 1985). Hygiene factors contribute more to life dissatisfaction than to life satisfaction, and money cannot buy happiness (Kahneman, Diener, & Schwarz, 1999; Kasser, 2002; Myers & Diener, 1996). Both are interested in enhancing skills, increasing interest, elevating satisfaction, encouraging ethical behavior, improving performance, and fostering creativity. (Herzberg, 1966; 1982; 1991; Herzberg, Mausner, & Snyderman, 1959)
3.7 Application of the Frederick Herzberg theory
The motivation-hygiene theory is still useful for Parson music limited and can serve as a framework on happiness, intrinsic motivation, and materialism. This theory can help to evaluate satisfaction and productivity programs in the company. Take Greek hotel for example, its employees are more that 50% are not professionals in the hotel industry. It is because of lack of other employment opportunities or to earn extra money to supplement the income from another job (Chitiris, 1984). The existing level of job security is very low and the rate of the labor turnover is very high (Wasmuth &Davis, 1983).
The situation need to be present to help with the intrinsic motivation of a person, making the workers is experienced meaningfulness in the job, experienced responsibility for the job that they perform. A person must feel that their work is worthwhile in order for them to commit much effort into the job, and the job must fit into the system of values that they hold. In addition, they must also feel some sense of personal responsibility for the work, for example, they can help customers or managers. Finally, a person must be able to get regular feedback about the work they do in order to be able to determine whether the outcomes of the work are worthy of the effort put forth in the job (Hackman, Oldham, Janson, & Purdy, 1975; Hackman & Oldham, 1976).
Truly, if Parson music limited establish a well job intrinsic motivation programmed, their salespeople must know their meaningful of the job. They will experience their responsibility on their job. Feeling happy to sale or service everyone in a daily. The outcome will be decrease the turnover rates and retain the talent employees in their company.
The “People-environment interaction in Motivation
3.8 The final set of the motivational process is concerned with the nature of the organizational, or work, environment. This factor is about the response of the environment in behavior of individual.
Vroom’s expectancy theory
Expectancy theory is in the 1930S originated. Jones, Mahoney were the frist to apply the theory in a work environment. There are five parts of the theory: job outcomes, valence, instrumentality, expectancy and force. Each part is described briefly as follows: Job outcomes—it is the end product of a particular behavior that an organization can provide for the individual. Valence—it is the individual’s feelings about the outcomes provided it can be positive or negative. Instrumentality—is defended as the perceived degree of relationship between performance and outcome attainment, the degree is conditional the individual’s performance on the job. Expectancy—is the perceived relationship between effort and performance. It is the strength of belief that work-related effort will result in the task.
4. Methodology
A focus on study the motivating factors of salespeople, methodology including of 4 steps will be used, namely: research procedures, literature review, measuring instruments: interviews with manager of firms and use questionnaires.
4.1 Research Procedures
The procedures for data collections were basically as follows:
1) Co-operation with the sale department and staff members were provided to be responsible for the administration of questionnaires.
2) The questionnaires were distributed to all staff in group of 5 to 10 people during regular working hours.
3) The way and purpose to answer the questionnaire were explained to the respondents. They were told not to talk or compare the answer. They were told to protect their answer and encourage honest of the responses.
4) The staff members remained in the room to answer any question they had while completing the questionnaires
5) It took 10 to 20 minutes to complete a session.
4.2 Literature Review
View through the concept of prevalent in motivation theories today. This forms the basis for application of those theories in real situations of Parsons Music Limited.
As Parsons approaches to the problem of recruiting able employees, motivating them and retaining; its association of motivation factor to practices. In the section, research studies will be chosen for comparison: Disneyland and Parsons Music Company. This combination enables us to compare difference practice in motivation factor. A focus an idea of the trends in motivation factors within the parsons music context which is effective or limitations basic on three motivation factor.
Measuring Instruments
4.3 Interviews
In this part of the study, after getting an idea of staff motivation factor, different sales and marketing managers of marketing lines will be interviewed with leading questions to verify the findings and understand what the actual situation inside their company is. All data came from primary source, i.e. the respondents were chosen randomly (random numbers’ method) and interviewed individually at the work place, most of them during a break and the rest while on the job. The companies will chose for interview is based on two criteria sector: natural of company and size of the company.
(i) Natural of company:
The sales force marketing line and educational sales force management department have different areas will be interviews. For example, Johanna wrong for the former of marketing sale force, Mr. Joe for the latter area of education promotion sale force.
(ii) Size of Firm:
Firms have a large sales team is better sales management system and the motivation factors are expected to be different from small firms. Large firms are means that firms with more than 10 salespeople in marketing line and education promotion line. If a smaller firms, it is with less than 10 salespeople.
4.4 Questionnaires
In this part of the study, getting an idea of basic concept of sales will be make 50 questions to examine. A questionnaire asked them to indicate their level of satisfaction and the concomitant level of importance of certain job factors. Among these, were examined hygiene factors and motivators closely related to the company.
The set of questions of hygiene factors included: salary, payment for overtime work, physical job demands, and physical working conditions, system of supervision, job security and leadership style.
The set of motivation questions included: merit bonuses, advancement, initiative, content of the work itself. Merit bonuses were included as a motivator rather than a hygiene factor.
5. A list of Reference
1) Robin B. DiPietro, Steven J. Condly, ‘Employee Turnover in the Hospitality Industry: An Analysis Based on the CANE Model of Motivation’ vol.8, pp.10-20.
2) Hugh Parker, ‘The effective manager—what is he worth’, Management company, pp.12-20.
3) Lynda J.Ames, ‘When sense is not common: Alternatives to hierarchy at work’, states university of New York.
4) Priacens,Greece, ‘Herzberg’s proposals and applicability to the hotel industry’, Piraeus Graduate school of Industrial studies.
5) Dennis O’Connor, Leodones Yballe, ‘MASLOW REVISITED: CONSTRUCTING A ROAD MAP OF HUMAN NATURE’, Le Moyne College,pp.12-23
6) Steven J.Condly, Robin B, ‘Employee Turnover in the hospitality Industy: An Analysis Based on the CANE model of motivation’, pp.21.
7) DANIEL A. SACHAU, ‘Resurrecting the Motivation-Hygiene Theory: Herzberg and the Positive Psychology Movement’,Minnesota State University, Mankato,pp.10.
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