The objective of this research is to find out if there is any correlation between work performance and job satisfaction through a sample study of sales personnel working in different banks. Additionally, this research sought to understand whether job satisfaction is linked to both work motivation and employee’s perceived style of leadership by Managers. With the help of surveys and interviews conducted with the participants, it was established that job satisfaction was positively related with work productivity. Work motivation and employee’s perceived style of leadership were also established as positively related with employee job satisfaction. These findings suggest that to increase work productivity, managers may be required to elevate the level of job satisfaction in employees, which may be potentially accomplished via a participative approach to leadership and effective motivation of employees. However, as the study is correlational in nature, the limitations of the current research are indicated under Discussion.
Relationship between Job Satisfaction and Productivity
The most-used research definition of job satisfaction is by Locke (1976), who defined it as “a pleasurable or positive emotional state resulting from the appraisal of one’s job or job experiences”. There are other researchers and studies that support this notion of relationship between job satisfaction and productivity indicating that organizations increasing job satisfaction is not only to benefit its employee but also for the organization financial advantages.
As cited by Edward E.Lawler, job satisfaction is related to productivity as this comes from a path goal theory of motivation that has been stated by Georgopoulos, Mahoney and Jones, Vroom, Lawler and Porter. According to them, people are motivated to do things which lead to rewards that they value. In this case, a path-goal theory would predict that high satisfaction will lead to low turnover and absenteeism because the satisfied individual is motivated to go to work where his needs are being satisfied. As quoted by Dailey and Kirk, 1992, job satisfaction and organisational commitment share an inverse relationship with absenteeism and turnover intention, factors that can sharply cut bottom line. Adverse consequences include lower productivity and morale, and higher cost of hiring, retention and training. Thus, the reverse holds true whereby lower frequencies of absenteeism and turnover could lead to potentially higher contribution to organisational economic productive gains.
In a research done by National Research Institute for one of the largest Food Services providers in the United States, it was suspected that employee satisfaction was the cause for high employee absenteeism, ruling out other tangible factors. Findings showed that low job satisfaction was evident; the National Business Research Institute (NBRI) Root Cause Analysis indicated that a gap existed between employees and the organization's short and long term goals, vision, and mission. Proposed recommendations from NBRI included several measures to relay management's strategic plans to the lowest-ranked employee and ensuring each and every employee’s daily activities were aligned according to such plans. Thereafter, subsequent employee survey results showed significant increases on employee satisfaction, enhancing Total Company Employee Satisfaction dramatically. Employee Satisfaction Scores took a turn for the better, from a Weakness (below the 50th percentile of the NBRI Normative Database) to being Strength (above the 75th percentile of the NBRI Normative Database) in only six months. What’s more, employee absenteeism was reduced by more than 60%.
With this correlation, Organ (1988) found that the job performance and job satisfaction relationship follows the social exchange theory in which employees’ performance constitute a giving back to the...