Greater the satisfaction level less will be turnover rate and thus, greater employee retention.
One of the most important factors, that govern the employee retention within the organizations, is motivation level of the employees. There are many other factors such as pay, compensation packages and good environment but motivation is the one that serves the purpose. Employees work with innovation and uniqueness only when they are motivated to do so. Successful completion of the tasks depends not only upon the intrinsic rewards but extrinsic as well, such as appreciation by the supervisor that ultimately leads to employee satisfaction and makes them motivated. There is an old saying ‘you can take a horse to the water but you cannot force it to drink’; it will drink only if its thirsty - so is the case with people.
Organizations operating in strong economies like UK and USA have considered employee motivation as their foremost and important task to carry out. Their focus is to motivate the employees to such an extent that they work in the best interest of the organization and towards the successful completion of tasks. Human resource department is trying their level best to introduce such policies and strategies that are coherent with the needs and demands of the employees in order to keep them motivated. This paper will shed light on motivation theories with their practical implications in the organization and on the literature dealing with motivation in organizations.
One of the most important theories related to motivation is Goal Setting theory proposed by Edwin Locke in 1960. Findings made by Edwin said that intention to work towards a common goal is a major source of work motivation (Robbins, S. and Timothy, J., 2001), however, in order to understand the motivation in the work place there are several dimensions of goal setting theory that explains the motivation. Supervisors in contemporary times motivate