The simpleness of the inquiry is really rather lead oning. Different professions call for different agencies to actuate and do employees productive, therefore it is impossible for one reply to suit all. It must besides be noted that the definition of productiveness can besides be challenged. However, for the intent of this paper, I would wish to take the autonomy of replying the inquiry in a straightforward mode, looking at one profession. Therefore I would wish to paraphrase the inquiry: what makes an analyst of an investing bank productive?
The HR section of investing Bankss recruit people with the right accomplishments to suit the profile of an analyst, every bit good as the administration. This involves finding the features most of import to public presentation, mensurating the features that determine public presentation, every bit good as measuring appliers ‘ motive degrees. Investing Bankss are bureaucratic administrations with carinate constructions, deficiency of communicating channels and power battles exist which encourages stiff competition. Harmonizing to Saigal ( 2009 ) , a former analyst, during the interview procedure, interviewers look for campaigners who are extremely intelligent, aggressive and whizz-kids by nature, in order to suit the administrations nature. Oyer ( 2008 ) discusses two theoretical accounts depicting the properties of an investing banker. The first is that “ Investment Bankers Are Born ” , while the 2nd describes “ The Making of an Investment Banker. ” Model 1 provinces that bankers ( or analysts ) “ will be extremely productive investing bankers because their accomplishments match the production map good… ( and that a ) … correlativity between get downing in banking and working at that place ( exists ) … there is no causal consequence of first occupation on subsequent occupations ” ( Oyer, 2008 ) . The 2nd theoretical account says that accomplishments are acquired in school and therefore a individual can larn to suit the profile of an analyst. Regardless of the theoretical account an single falls under, as the application procedure involves application signifiers, mention cheques, letters of recommendations, personality trials, drug trials, among many other cheques, by the clip a choice has been made, the successful campaigner will experience an inert sense of accomplishment and hence will hold a encouragement even before he really starts working. At this phase, it is the company ‘s undertaking to gain the potency of the freshly hired employee, every bit good as to guarantee that he has been socialised with the administration successfully. This will bring forth motive, satisfaction, morale and productiveness amongst the newly recruited analysts. The following phase is to direct the analysts for intensive preparation, for a couple months, where they can larn required accomplishments. Training Sessionss continue throughout the occupation rhythm of an analyst, assisting the employees to beef up their skill-set, every bit good as addition a deeper grasp of the house ‘s civilization. This occupation enrichment, along with occupation rotary motion among different sections within the bank, will actuate the analysts.
Motivation is the driving force that energizes, directs, and sustains an person ‘s behavior ( Marvel et al, 2007 ) . An employees ‘ internal desire to execute the best possible occupation or to exercise the maximal attempts to put to death assigned undertakings make him productive. Productivity, in bend, refers to the quality of end product achieved. That is, how much an employee plants and how efficient he is at with occupation. It is besides of import to observe that the employee must hold the ability, capableness in order to be motivated and therefore productive. For illustration, an analyst must hold good bid over research databases tools, the dedication to work long hours, etc. “ Since motive influences productiveness, direction demands to understand what motivates employees to make peak public presentation ” ( Marvel et al, 2007 )
Using Ritchie and Martins ( 1999 ) theory, in the book Organizational Behaviour, an analyst would be classified as a high demand single, measuring accomplishment, acknowledgment, power, money and touchable wagess. Money strains greed and this motivates analysts more than anything. The chief ground for being in this industry and working overtime is to gain more money. “ … Monetary inducements can impact behavior in diverse ways… these all stem from their influence on one of three factors… ‘cognitive effort ‘ , the inducement increases the sum of idea put into the undertaking ; ‘motivational focal point ‘ , the inducement changes the agent ‘s ends ; or ’emotional triggers ‘ , the inducement is a requirement for the agent to foretell or breathe their response. ( Reed, 2005 ) . Leading off from the base wage, the fillip is a major driver. At the terminal of every twelvemonth, analysts are divided into quartiles harmonizing to their public presentation. Those in the underside quartile either gain a low fillip or are fired. This encourages a Darwinist environment in the bank. Therefore in order to avoid this hazard, analysts aim to be productive and successful. Pay for Performance systems are in topographic point for analysts, where “ … the quality of each employee ‘s occupation public presentation should, harmonizing to virtue rules, be recognised through the wage system ” ( Milkovich & A ; Wigdor, 1991 ) . Banks reward public presentation based on the sum the single analyst and his work squads contribute to the bank and the quality of this work. An analyst typically earns $ 60,000 a twelvemonth, with a fillip of up to 100 % ( Saigal, 2009 ) His truth, public presentation, productiveness and attitude will earn him a higher fillip, every bit good as the overall public presentation of his squad. Deal squads normally consist of three members ; the analyst who does the land work, the associate who checks the work of the analyst, and the VP who runs the minutess and studies to the manager. Large investing Bankss have 100s of these little squads and the analysts chief end is to execute good along with his squad, as finally his squad will back up and contend for his larger fillip. Therefore high degrees of group coherence, coupled with high public presentation norms, will take to high public presentation. Pay-Performance Plans for an analyst is single, but mostly influenced by the squad. The advantages of individual-based programs are that public presentation that is rewarded is likely to be repeated, nevertheless it is of import to observe that one time pay for-performance is implemented, the employer can non take it off as the analyst will go on to anticipate it.
High wages translate into a new expensive life style. Expense histories and other fringe benefits are besides a ground to desire to be in and remain in the industry. Analysts of large investing Bankss have entree to chauffer driver autos to take them place after working tardily, gym rank, expense histories to entertain clients, etc. This adds to the glamor associated with the profession and makes an employee excess productive. Bing an analyst means that short term ends are engrained in the system. If one is successful, they can be promoted to an associated after three old ages. This seeable end makes is an inducement to make better. In add-on, one wants to execute good in order to acquire a strong recommendation either for using to concern school or for another occupation. Large investing Bankss normally gain changeless media attending. Knowing that you are an employee of such a bank generates trueness and pride and this is besides a driver to do employees more productive. The duty an employee feels towards his company motivates him. The industry is cut-throat, exciting and competitory. There are 1000s of acute appliers looking to get down a calling as an analyst every twelvemonth. There are besides analysts looking to procure their occupations. The competition itself, and hazardous work environment, are frequently considered to be exciting amongst analysts and hence actuate them.
There are legion motive theories which have been developed over the decennaries, all which seek to understand why employees are motivated, and hence productive. Taking analysts into consideration, we will now look into these theories.
Maslow ‘s Need-Hierarchy Theory possibly is the best tantrum for the profession of an analysts behaviour. The high wages can take attention of the physiological and security demands, the rich life style can guarantee societal demands are met, every bit good as esteem demands. Analysts so need to gain their possible. The demand to accomplish these phases encourage productiveness. The more an analyst earns, the better the life style he can afford, the more confident he becomes, etc. It is interesting to observe that this theory reveals that “ … a satisfied demand is non a incentive of behavior ” ( Tripathi & A ; Reddy, 2009:260 ) . However “ it is hard to cognize about the demands and motivations of an person from the analysis of behavior… behavior is multi-motivated ” and this makes the observation and survey of motive really complex ” ( Tripathi & A ; Reddy, 2009:260 ) .
The biggest incentive of Two-Factor Theory is internal occupation factor that leads to occupation satisfaction. “ Hawthorne experiments have shown that the clime of an administration besides plays an of import portion in finding worker ‘s motive ” ( Tripathi & A ; Reddy, 2009:257 ) . Peoples who chose a profession in the banking sector are normally really passionate about the work environment, the fast paced life, the big fiscal trades and the acknowledgment associated with them, every bit good as the chances for promotion. If these incentives did non be, the analysts would most probably be unsatisfied to execute and this would interpret into low productiveness. Investment Bankss normally provide their employees with plentifulness of Hygiene factors such as a antic wage, benefits and working conditions. These all guarantee that the analysts are non dissatisfied with their occupations, nevertheless it should be noted that they will besides non promote motive. To guarantee that the analyst perform to their full potency, incentives must be. “ Harmonizing to Herzberg, one of import manner to increase intrinsic occupation satisfaction is through occupation enrichment ” ( Tripathi & A ; Reddy, 2009:262 ) and this, for analysts, is achieved through the legion preparation Sessionss conducted by the Bankss. Enrichment leads to increased employee battle and in bend, is a signifier on control used by the direction. It should be noted that this “ … theory suffers from the undermentioned failings built-in in the critical incident methodological analysis which was used by Herzberg ” ( Tripathi & A ; Reddy, 2009:263 ) . These include the fact that
“ individuals, when satisfied, impute the causes of their feelings to themselves… ( but blame dissatisfaction to external causes ) … the classification of factors into incentives and hygienes requires… the reading of the rater which vitiates the consequences… ( in conclusion ) the methodological analysis has the prejudice of being able to remember merely the most recent occupation conditions and feelings ” ( Tripathi & A ; Reddy, 2009:263 ) . Lahiri and Srivastava, in their diary “ Determinants of satisfaction in in-between direction forces ” partly back up this theory. The believe that “ … satisfied and disgruntled feelings are unipolar but both intrinsic and extrinsic factors contribute to satisfied and disgruntled feelings ” ( Tripathi & A ; Reddy, 2009:268 ) .
The Work Adjustment Theory suggests that employees ‘ motive degrees and occupation satisfaction depend on the tantrum between their demands and abilities, as mentioned before, every bit good as the features of the occupation and the organisation. For analysts, these demands may be a publicity to tie in, or a good recommendation for concern school, whereas the feature of the occupation may be a occupation design which is disputing and competitory, which feeds the nature of a typical analyst.
Analysts by and large associate with the demand of association and accomplishment in McClennand ‘s Need for Achievement theory. The demand to tackle societal dealingss help the opportunities of an analyst acquiring a good recommendation and referral by higher-ups, while the demand for achievement motivates him to be productive and hence likely to acquire a publicity to tie in.
Job satisfaction is “ is the extent that a individual ‘s occupation fulfils his dominant demands and is consistent with his outlooks and values… . ” ( Tripathi & A ; Reddy, 2009:273 ) . To explicate this construct better, Herzberg ‘s X Y theory may be applied, every bit good as the need-fulfilment theory and the societal mention group theory. These theories explain that occupation satisfaction positively correlated to “ the grade to which the assorted incentives or satisfiers are present… the grade to which 1 ‘s personal demands are fulfilled in the occupation… the grade to which the features of the occupation are met with the blessing and the desires of the groups to which the… ( analyst ) … looks for counsel in… specifying societal world ” ( Tripathi & A ; Reddy, 2009:273 ) . Tripathi & A ; Reddy ( 2009 ) use Korman ‘s correlativities of occupation satisfaction, which include wage and promotional chances are straight related to occupation satisfaction, and are besides relevant to analysts. It is of import to observe that harmonizing to Tripathi & A ; Reddy ( 2009 ) , every bit good as Vroom, small correlativity exists between occupation satisfaction and productiveness. It should besides be noted that Vroom ‘s theory faces a job as it “ efforts to foretell the sum of attempt… there is limited understanding about the significance of attempt ” ( Steers et Al, 1996 ) . Tripathi & A ; Reddy ( 2009 ) province that the ground for low correlativity is because occupation satisfaction is affected by the sum of wagess derived from a occupation, every bit good as his public presentation being affected by the footing for attainment of these wagess. Therefore, an accent should non be placed on maximizing satisfaction, instead accent should be placed on heightening the “ relationship between public presentation and wages ” ( Tripathi & A ; Reddy, 2009:276 ) . An analyst will execute between with a higher salary and fillip.
Morale and productiveness portion a positive relationship. “ Where the work involves the entire adult male… low morale will take to… decreased productiveness ” ( Tripathi & A ; Reddy, 2009:276 ) . In order for an analyst to be recognised and rewarded, he must see production-oriented morale, where “ there is a complete individuality between the person and the administration ends ” taking to a satisfied analyst, every bit good as a happy foreman. This may besides be achieved thru occupation rotary motion, occupation preparation, retirement programs, etc. Morale surveies in India, as described in by Tripathi & A ; Reddy ( 2009 ) province thehigher the instruction, the lower an employee morale. Analysts are extremely educated and academically bright, so this shows that many attempts must be made by the employees house to actuate them and raise productiveness.
It is of import to recognize that theories and findings, though being applied to one profession, may differ amongst analysts in different states. Most of the motive theories were concluded by U.S. bookmans and tend to “ hold two implicit in premises that reflect Ameriacn values of free will and individuality ” ( Champoux, 2000:149 ) .. “ Many U.S. workers respond to self-actualisation ( and Need for Achievement ) … Gallic and German workers have a strong demand for security… belongingness and love demands are at the top in the Norse states ” ( Champoux, 2000:128 ) . Evidence is strong that the demand theories of motive, every bit good as other related to occupation satisfaction and morale, “ … are civilization edge and do non use universally ” ( Champoux, 2000:128 ) . Understanding this fact besides leads to ethical issues when multinationals attempt to actuate and raise productiveness amonst their employees. The Utilitarian position is that “ if peoples demands affect their motive and occupation public presentation, so pull offing a transnational operation congruent with local people ‘s demands could take to high public presentation ” ( Champoux, 2000:129 ) . As per the rights-based sentiment, “ people merely have the right of congruity with their demands in their work experience ” ( Champoux, 2000:129 ) .
Frey and Osterloh ( 2002 ) believe that employees are either driven by extrinsic motive, such as wages, or intrinsic motive, which include occupation satisfaction and associating to organizational values, and that both types of motive are in struggle with another. Edward Lawler ( 1973 ) , in the book Organizational Behaviour, argues that extrinsic wagess and public presentation are non every bit direct as intrinsic wagess and public presentation, as the latter is more immediate. After analyzing an analyst ‘s motive, I find that both types do be harmoniously. In add-on, I do believe that analysts should be inherently motivated and this will take to satisfaction and high morale, which all translate into high productiveness. One should besides maintain in head that the work environment of the industry is intense and frequently breaks the employees ‘ motive, taking to emphasize and high rates of burnout. Therefore direction must do a witting attempt towards understanding motive and implementing steps to hike employee morale and occupation satisfaction, to derive from the benefits of productiveness.