AISAT COLLEGE DASMARIÑAS

AISAT Building Emilio Aguinaldo Highway, Dasmariñas City, Cavite

Employee Motivation: Impact of Incentives to Employee Productivity in Harmo

Submitted to the Faculty of the Accounting and Business Department of AISAT

College- Dasmariñas City of Dasmariñas Cavite

In Partial Fulfillment of the Requirement for the degree in Bachelor of Science in

Office Administration

ESMEN, MERYLL FAYE C.

GALVE, DIANA C.

JOVES, MELBEN C.

SANGO, MARIA TERESA M.

TEMPLADO, ARIEL C.

MAY 2022

CHAPTER 1

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AISAT Building Emilio Aguinaldo Highway, Dasmariñas City, Cavite

BACKGROUND OF THE STUDY

INTRODUCTION

Incentives are something that motivates or drives a person to do

something or behave in a certain way. Incentives are given to some employees in

order to increase a person’s productivity and determination to work. This gives a

motivation to a person by giving rewards such as an increased pay for achieving a

certain result. Incentives increase productivity by enhancing the following elements;

Employee Work Performance, Employee Engagement, Innovation and Creativity,

Organizational Commitment and Job Satisfaction. It is often held that different

mental states compete with each other and that only the strongest state determines

behavior. Improvement of organizational productivity is one of the principal

functions of the top management in any institution.

One of the critical faces of contemporary adaptation is employee motivation.

Motivation is undertaken to ensure the commitment of human resources and other

members is enduring. As a human psychological trait, motivation influences the level

of engagement in a person’s behaviors. In general, motivation involves imparting on

individuals in a way that the impact can act as a primer to exceptional performances.

Employee motivation encourages individuals to adopt purposive behaviors and have

the desire to put in an effort and achieve specific goals and objectives. This level of

motivation, a variety of dynamic factors is considered as well as an appreciation of

different theories of motivation. Motivation refers to the force that encourages

individuals to garner their objectives. The concept can be extrinsic where

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AISAT Building Emilio Aguinaldo Highway, Dasmariñas City, Cavite

motivations are harnessed from outside the person or intrinsic where motivation is

derived from the person instead of external influence. The positive results associated

with motivation have led organizations to continuously seek to motivate their

employees and in tandem, increase their productivity.

The Researchers chose this topic because it is related to their course and they

want to know how incentives affect the motivation of an employee to work and how

it reflects on the employee’s productivity. The research will be conducted at Harmo

Technology Corporation which is located at FCIE Main Road, Langkaan, Dasmariñas

City, Cavite.

OBJECTIVES OF THE STUDY

1. To determine the demographic profile of the respondenttis in terms of:

a. Age

b. Gender

c. Civil Status

d. Designation

e. Length of service, and

f. Educational Background

2. To determine the incentives the employees receive in Harmo

Technology Corporation.

3. To determine the impact of incentives on employees’ productivity in

Harmo Technology Corporation.

4. To determine the effect on employees’ productivity with regards to

unequal incentives they used to receive.

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AISAT Building Emilio Aguinaldo Highway, Dasmariñas City, Cavite

STATEMENT OF THE PROBLEM

1. What is the demographic profile of the respondents?

In terms of:

a) Age

b) Gender

c) Civil status,

d) Designation,

e) Length of Service, and

f) Education Background?

2. What are the incentives do the employees receive in Harmo

Technology Corporation?

3. What is impact of incentives to the employee’s productivity in Harmo

Technology Corporation?

4. What is the effect on employees’ productivity with regards to unequal

incentives they used to receive?

HYPOTHESIS

ALTERNATIVE HYPOTHESIS

1. Employees’ of Harmo Technology Corporation receives incentives.

2. Incentives has an impact towards employee productivity in Harmo

Technology Corporation.

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AISAT Building Emilio Aguinaldo Highway, Dasmariñas City, Cavite

3. Unequal incentives employees’ received have an effect towards

employees’ of Harmo Technology Corporation.

NULL HYPOTHESIS

1. Employees’ of Harmo Technology Corporation do not receive any

incentives.

2. Incentives has no impact towards employees’ productivity in Harmo

Technology Corporation.

3. Unequal incentives employees’ received have no effect towards

employee’ productivity in Harmo Technology Corporation.

THEORETICAL AND CONCEPTUAL FRAMEWORK

INDEPENDENT
VARIABLE

 Age
 Civil status
 Designation
 Length of service
 Education background EMPLOYEES’
MOTIVATION
DEPENDENT
VARIABLE

 Incentives of employees’
 Employee’s Productivity

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AISAT Building Emilio Aguinaldo Highway, Dasmariñas City, Cavite

Employee’s play very important element within side the everyday operations

of any company mainly in which the markets are very aggressive and feature

ever-converting surroundings that is supported through majority of the theorists.

The fate of a company is usually determined through its employee’s so it sounds

logical to understand how employees can be motivated. As far as the employee’s

motivation is concerned, employee motivational incentive packages were located

to be the maximum generally followed approach among organizations. The

motive of the software is to reward efficient employee’s productiveness, make

stronger high-quality behavior and stir hobby in employee. Employee’s

productiveness and the way it can it can be more suitable is significant to the

priority of industries and organizations, consequently many organizational

scientists, are very much fascinated in distinct schemes and strategies associated

with employee’s productiveness and its increase incentives are one of these

strategies utilized in places of work to stimulate employee’s to be able to get

favored employee’s productiveness.

The term “incentives”, “Rewards”, and “Recognition” are used

interchangeably within side the agency putting and there is no broader

distinction amongst them. However, the essential category is the incentives.

Meridith (2015) defines incentives as any source or medium that encourages a

worker or organization of worker’s to carry out higher and to exert greater

attempt past expectations. Basically incentives are divided into essential groups:

Financial incentives and non-economic. Financial incentives consist of direct

AISAT Building Emilio Aguinaldo Highway, Dasmariñas City, Cavite

charge of coins whilst non-economic incentives can be within side the shape of

advertising of worker’s, bendy time, autonomy and involvement in selection

making. Hartman, Kurtzand and Moser (1994) country that incentives are one

technique with the aid of using which worker’s‟ perform their stop of the

employment contract, that is, compensating worker’s for his or her efforts. In

general, an incentive scheme (charge or programme) is any repayment that has

been designed to recognize some particular accomplishment on the part of an

worker. It is expected that the prospect of the incentive charge will „trigger‟ the

preferred worker’s productiveness behavior within side the worker. Incentives

are either person or organization (agency wide). In this study, economic

incentives are designed to inspire worker’s to enhance their worker’s

productiveness – to growth attempt and output and with the aid of using

generating higher consequences expressed in such phrases as goals for profit,

productiveness, income turnover, value reduction, exceptional customer support

and on time delivery. This economic repayment affords extra cash for fulfillment

in phrases of contribution or output. The emphasis in economic repayment is on

equity, within side the feel of paying humans consistent with their just „deserts‟.

Incentive schemes relate repayment to productiveness. A number one purpose

of an incentive scheme is to inspire more productiveness from individuals and

paintings groups. The assumption commonly made with the aid of using control

is that cash or coins on my own won't inspire employees. In designing incentive

schemes, output requirements have to be established. The fashionable is a

degree of labor that average, well-educated workers, running at an everyday

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pace, have to have the ability to perform in a given duration of time. In addition

to motivating worker’s to growth their degree of productiveness, incentive

schemes may also lessen turnover amongst accurate performers or efficient

workers. Incentive schemes also are value powerful due to financial savings that

regularly resulted from productiveness improvements.

SIGNIFICANCE OF THE STUDY

EMPLOYER- this study is significant towards the employers of several companies

because they will know how to motivate their employees more and also give

them ideas and knowledge on how to increase their company’s productivity.

EMPLOYEE: Company employee will benefit in this study because they can gain

ideas about Incentives as motivation in their work in order to enhance more their

skills which they can use to contribute more in the productivity of their

company.

FUTURE APPLICANT: They will benefit in this study by knowing how Employee

benefits and Company Productivity relationship works. They will also gain

knowledge on how an employee is motivated in order to enhance its skills at

work and its productivity.

FUTURE RESEARCHERS: Future researchers will gain ideas and knowledge about

the topic and will be a basis of information for a related study.

SCOPE AND DELIMITATION

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AISAT Building Emilio Aguinaldo Highway, Dasmariñas City, Cavite

This study mainly focused on the Impact of Incentives to employees’

productivity at Harmo Technology Corporation.

DEFINITION OF TERMS

EMPLOYEE- a person employed for wages or salary, especially at nonexecutive

level.

EMPLOYEE PRODUCTIVITY- an assessment of the efficiency of a worker or group

of workers. Productivity may be evaluated in terms of the output of an employee

in a specific period of time.

EMPLOYER- A person or organization that employs people.

INCENTIVES- a thing that motivates or encourages one to do something.

MOTIVATION- the word derived from the word 'motive' which means needs,

desires, wants or drives within the individuals. It is the process of stimulating

people to actions to accomplish the goals. In the work goal context, the

psychological factors stimulating the people's behavior can be - desire for money.

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AISAT Building Emilio Aguinaldo Highway, Dasmariñas City, Cavite

CHAPTER III

METHODOLOGY

This chapter covers the research design and methodology, including sampling,

population, establishing rigor during and after data collection, ethical considerations,

and data analysis.

LOCALE OF THE STUDY

The study will be conducted at Harmo Technology Corporation. This is

located at Unit 3 Metrocco Export Corporation, Main Road, First Cavite Industrial

Estate Brgy. Langkaan, City of Dasmariñas, Cavite and can be reached through any

means of land transportation.

Industrial robots (automated pick-up equipment for injection molded

components) and streamlined auxiliary machines for plastic molding machines are

developed and manufactured by HARMO Technology Corporation. HARMO

technology corporation, a comprehensive manufacturer of molded parts removal

robots and related peripheral machines develops, manufactures, and delivers high-

quality products by understanding their customers' sophisticated yet diverse needs for

automation and labor-saving systems, which necessitate high speed, precision,

efficiency, and safety.

RESEARCH DESIGN

The descriptive research design is used where the researcher is primarily

interested in describing the topic that is the subject of the research. A survey

questionnaire will be conducted on a selected sample from a specific company. The

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survey involved the administration of a questionnaire that sought to obtain data on the

sensory evaluation of the data.

RESPONDENTS OF THE STUDY

This study focused mainly on how to determine the impact of incentives on

the motivation of employee productivity.

The respondents of this study are the employees of HARMO Technology

Corporation. The sampling method is used to pick the participants. This technique of

selection is used when each member of a population can participates in the research.

In HARMO Technology Corporation, the chosen respondents are 50 females and 50

boys, for a total of 100 respondents.

TREATMENT OF DATA

The researchers will use the Slovin Formula in which is used to calculate the
sample size (n) given the population (N) and a margin of error (e)

SLOVIN’S FORMULA:

N
n=
1+ N e 2

Where:

n = Sample size

N= Population

e = desired margin of error

COMPUTATION:

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N
n= 2
1+ N e

100
n=
1+100 ¿ ¿

100
n=
1+100(4)

100
n=
1+ 400

100
n= =0.25∨25 %
400

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