CHAPTER ONE

INTRODUCTION

1.1 Background to the Study

Employee Participation is generally defined as a process in which influence is shared among

individuals who are otherwise hierarchically unequal. Employee participation represents the

combination of task-related practices, which aim to maximize employees’ sense of involvement

in their work, and human resource management practices that aim to maximize employees’

commitment to the wider organization (Bhatti & Nawab, 2015).

Economic changes in recent decades have required employers to seek more efficient and flexible

means of production. Deregulation and privatization have also significantly altered the Nigeria’s

industrial relations climate, with a decline in trade unions’ influence and membership. Mirroring

this has been the growth in ‘new’ forms of work-related participation by employees, under the

banner of human resource management and associated programmes and strategies for partnership

and high commitment (Abdel, 2003). Employee participation in decision making has been

recognized as a managerial tool for improving organizational performance by striving for the

shared goals of employees and managers. This is actualized by way of allowing workers’ input in

developing the mission statement, establishing policies and procedures, pay determination,

promotion, and determining perks. Employee participation in decision making has become a

significant topic in human resource management (HRM), and is regarded as one of the chief

ingredients of employee voice, which many management scholars have observed to be a growing

management concept.

Participation is the mental and emotional involvement of people in group situations that

encourages them to contribute to group goals and share responsibility for them. There are three
important ideas regarding participation in decision making-involvement, contribution and

responsibility. Firstly, participation means meaningful involvement - rather than mere muscular

activity. A second concept in participation is that it motivates people to contribute. They are

empowered to release their own resources and creativity to achieve the objectives of the

organization. Participation especially improves motivation by helping employees understand

their paths towards goals. Finally, participation encourages people to accept responsibility for

their group activities. It is social processes by which people become self-involved in an

organization and want to see it work successfully (Newstrom & Davis, 2014).

According to (Harber, Marriot & Idrus 2018) for instance, employee participation is now

considered a key element in the successful implementation of new management strategies and

plays an important role in determining the degree of job satisfaction. The best employee

motivation efforts will focus on what the employees deem to be important. It may happen that

employees within the same department of the same organization with better job design and

reward systems will show increased longevity with the company, improved productivity and

better morale. Empowerment, creativity and innovation, learning facility, quality of life and

various monetary incentives are popular methods of motivation (Encyclopedia, 2018). Employee

participation is a very important component of operating for the future enterprise. Participating

in goal setting, the employees can play a vital role in achieving business target. Workers can

select their work schedules which ensure workforce diversity in organization. If the enterprise

selects payment and overtime system according to the employees’ opinion, it increases

productivity of them. So, employee participation has a positive effect on performance and

motivation.
Job satisfactions can be defined as psychological state of how an individual feels toward work, in

other words, it is people’s feelings and attitudes about variety of intrinsic and extrinsic elements

towards jobs and the organizations they perform their jobs in. The elements are aspects related

to pay, promotion, benefits, work nature, supervision and relationship with colleagues. Job

satisfaction is a pleasurable or positive emotional state resulting from the appraisal of one’s job

and job experiences. The happier the individual, the higher is level of job satisfaction. It is

assumed that positive attitude towards work and greater organizational commitment increases

job satisfaction which in return enhances performance of the individuals (Aries & Rizqi, 2013).

Employee participation in decision-making has attracted a great deal of interest among

management writers, researchers, and more encouragingly, managers in organizations as well. It

is generally believed to be instrumental in increasing productivity, as the Japanese has shown,

through creating satisfied and motivated employees. Thus in recent years, many participative

programmes were introduced in organizations. Among them are quality circles, total quality

management, work councils, works teams, and so on (Newstrom & Davis, 2014).

In Conclusion, participation is helping management to decide in selecting the courses of action in

enterprise. It gives the employee an opportunity to express their viewpoints about action, while

job satisfaction is when employee is pleased with the state of their job in terms of the benefit and

other welfare packages attached to the job.

1.2 Statement of the Problems

Often, workers or employee are attracted into certain organization not only because of the pay

package that are in the advert but also because of the benefits attracted to them. These benefits

usually include housing, transport and medical allowance together with pension or retirement

benefits to mention but a few. This attraction may constitute a consideration objective for which
such individuals make up their minds in such organization. The absence or reduction in these

primary attractions of such individuals into the organization will certainly lower the morale as

well as the efficiency of such individual’s performance, which will in turn reflect on the

organization productivity.

Many examples abound where organization in recent times have been faced with incessant

agitation from the worker-union and staffs Association because of the inadequate employee

welfare services. Poor management of the existing ones or total withdrawal of those benefits.

The dissatisfaction expressed by the employee either on the provision or management of these

benefits needs proper investigation and examination in order to find lasting solution to these

numerous problems. These assertions will be examined with respect to Nestle Nigeria Plc.

The problem mainly lies on the fact that participation though obtained has not been clearly

understood as well as its benefits. Some of the managers feel that the decision making process is

their sole prerogative and as such should be protected. Again top management likes to remain

aloof from its employee as to build an all-important air around them.

Also, the organization is faced with several labour related problems which affects its productivity

capacity adversely and increase production cost. Most of organizations face human resource

management problems, almost on a daily basis leading to resignation of workers. Is high salary a

determinant of Job Satisfaction? If the salary is good but the work environment is harsh, would

workers have job satisfaction?

In the light of the above, this study therefore is set to determine the employees’ participation in

decision making and its effects on job satisfaction in Nestle Nigeria Plc and few other firms

and its influence on productivity as well as ascertaining the benefits and problems arising

from such practice.

The overall aim of the objective of this study is to examine the nature of relationships between

selected independent variables with employee participation in decision-making and how it

affects job satisfaction. The study was conducted to determine the effect to which employee

participation is related to job satisfaction using Nestle Nigeria as a study. The study shall aim at

the following: Other objectives include to:

i. Examine the perception of workers towards employee’s participation in decision making

in an organization and how it affect job satisfaction.

ii. Ascertain the level of workers participation in decision making of the organizations on

employees satisfaction.

iii. The type of decisions employees are involved in.

iv. Verify if employee’s opinions are made use of after being collected.

v. Determine if employee’s participation is considered as a major factor in decision making

towards job satisfaction.

1.4 Research Questions

It is expected that the following questions would be answered in the course of this work.

i. What is the perception of workers participation in decision making in an organization and

how it affects job satisfaction?

ii. How can we ascertain the level of workers participation in decision making of the

organizations on employees satisfaction?

iii. What type of decisions employees are involved in?

iv. Can we verify if employee’s opinions are made use of after being collected?
v. What determine if employee’s participation is considered as a major factor in decision

making towards job satisfaction?

1.5 Research Hypothesis

Hypothesis (I)

Ho: Workers participation in decision making does not enhance job satisfaction.

Hypothesis (II)

Ho: Workers participation in decision making and employee’s satisfaction are not related.

Hypothesis (III)

Ho: The types of decisions employees involved are not differ from management decision.

Hypothesis (IV)

Ho: Employee’s opinions are not considered in decision making in Nestle Nigeria Plc.

Hypothesis (V)

Ho: There is no relationship between employee’s participation in decision making and job

satisfaction

1.6 Significance of the Study

This study is designed to provide information on the perception of workers towards employees’

participation in decision making and job satisfaction. It also contributes to employee

participation in decision making is considered a major factor for productivity by management

and its effect on job satisfaction. To identify the problem encountered in the practice of

employee participation in decision making. Make clear to managers what employee’s

participation in decision making stand for. Workers, students of business Administration and the

society at large are equally the potential beneficiaries of this study. It is equally my hope that the

study would provide a basis on which further research could be carried out.
1.7 Scope of the Study

The scope of this study is to work on employee’s participation in decision making and its effect

on job satisfaction using NESTLE NIGERIA PLC as a case study.

1.8 Definition of Terms

Employee/Worker: A person who has undertaken to place his gainful activity in return for a

remuneration, under the direction of another person who may be an individual, a private or

public company or a corporation, who is styled the employer.

Employee Participation: This will be taken to be when those below the top of an enterprise

hierarchy take part in the managerial function of enterprise.

Decision Making: This could be taken to mean an art considering and making a judgement

concerning a particular issue or issues.

Management: Act of getting things done through other people. (Mary parker follet).

Participative management: means coming together of employees – employer in decision

making process.

Job Satisfaction: This has been defined as a pleasurable emotional state resulting from the

appraisal of one’s job, an effective reaction to ones job and attitude towards.

Job Specification: It refers to human qualities required for successful performance of a job.

Job Simplification: To simplify a job it entails trying to make a job more specialized by looking

at the various task, that make a job, identifying unneeded tasks, and eliminate them.

Organization: This is the association of people with common purpose.

Supervisor: He/she is the one who is to ensure that the tasks performed by other are efficiently

carried out.
 CHAPTER TWO

REVIEW OF LITERATURE

2.1 Introduction

To achieve the quality of work life, regular effort is required by the organizations which offer the

employees more opportunities for their effectiveness and collaboration on the overall

effectiveness. Therefore, this chapter will discuss more on the concept, theoretical and empirical

of employees’ participation in decision making and its effects on job satisfaction in Nestle

Nigeria Plc

2.1.1 Conceptual Review

2.1.2 Concept of Employee Participation

According to Northouse (2014), Employee Participation in Decision Making (EPDM) is rooted

in the ‘‘theory Y’’ perspective of management. He therefore suggests that employees are

fundamentally interested in performing well at work and will be more attached and committed to

a work organization if their seniors value their contributions in making decisions that affect the

nature of work. Although the effects of EPDM may vary with the nature of participation, higher

levels of EPDM have been found to be positively related to higher levels of organizational

commitment, lower employee turnover, and higher employee productivity. EPDM may also lead

to better labor-management relations, stronger employee attachment to organizations, better

quality decisions, and improved productivity (Northouse, 2014) EPDM as a Human Resource

practices acts as a signal to the employees that their contribution is valued by the management.

In their review of review of employee participation. Employees most often will have more

complete knowledge of their work than even their senior or supervisors. Decisions made in

consultation with employees will be made with more information. Employees who are involved
in decision making subsequently are better equipped to implement such decisions. Employees

may also perceive their managers as valuing their contribution or that the managers are

recognizing that employees are intelligent. This can lead to employee satisfaction and

subsequently greater productivity.

Cotton et al. (2018) categorized EPDM as: direct employee participation with management in

making work-related decisions, consultative participation where employee opinions are

considered by managers in making decisions, employee partial ownership of the organization,

and representative participation through a union or staff association. However this study

concentrated on employee direct participation and not indirect participation through

representatives. Employee direct participation in decision making can cover a broad spectrum

ranging from briefing groups to board level representation. Involvement can be direct where

employees participate direct in discussion or indirect through representatives. It can take the

form of suggestion schemes, joint consultation, project teams, empowerment through delegation,

staff meetings, partnership schemes and the share option/profit related pay (Cole 2017).

Employee participation in decision-making can be classified in terms of three properties (Locke

and Schweiger, 2017). These are formal-informal, direct-indirect, and amount of inf1uence.

Formal participation has a system of rules to be followed, while informal participation can be

casual like a conversation with a supervisor.

Direct participation involves immediate personal involvement, while indirect participation

involves some sort of employee representation. Cotton, Vollrath, Froggatt, Lengnick- Hall, and

Jennings (2018) classified the types of employee participation in decision making into six

different combinations- participation in work decisions, consultative participation, short-term

participation, informal participation, employee ownership, and representative participation.

participation. In consultative forms, workers provide information or advice, but management

retains the right to make decisions, while in substantive participatory system, workers have

greater autonomous control over methods and pace of work.

2.1.3 Concept of Participation

Several management strategies have been developed to enable organizations attain their

objectives, one of which is employees’ participation in Decision making. Participation in

decision making is generally regarded as a sign of enlightened and democratic management. It

may be through of the giving and receiving of information, achieve and suggestion and the

sharing of experience among members of an organization.

In management, "participation particularly applies to allowing the employees) to have a voice in

shaping policies, procedures and processes that directly or indirectly affect". It is therefore a

process of sharing among managers and employees. Though the use of participation also,

individual members are involved in a wide range of objective setting, problem solving, and

decision-making activities of the organization.

Davis (2016) stated that participation is a mental and emotional involvement of persons in group

situations that encourage them to contribute to group goals and share responsibility for them. It

as a mode of organizational operation in which decision as to activities are arrived at by the

person, who are to execute those decisions.

However, participation from my own point of view, I can say is a process in which two or more

parties influence each other in making decisions. The parties to the decision making process may

be in their capacities as individuals or as groups. In participatory management, management

selectively shares, some of its powers with employees.

Participative management is management style, which has had the greatest success in developed

countries. In cases where the leaders decided to share with other members of their monitor, in

fact is applied the participatory style. Participative management system is one of dynamic

management systems and plays important role in human resource development and therefore in

the process of national development. This system of management as optimal systematic and

efficient in terms of both theoretical and practical have successfully passed tests and now in

developed countries and developing countries are fully utilized and have appropriate role.

Experts believe that risk of poor implementation of this system is very high.

So if the system implement by using manage defects, the results can lead to weaken employee

morale. Weakening the participative management is involving employees in the decision making

process, invite everyone to take personal responsibility for improving the quality of their

products and services and reward employee behavior that will satisfy their clientele and

improves organizational performance (Davis, 2016). Participative management philosophy that

implied the decision should be made so that the information within the organization and

responsibilities can be delegated to the lowest class of its decision.

One of the strongest tools of participative management is recommendation system. In this

system, anyone associated with the organization, including employees, customers and suppliers

are given the opportunity to make recommendations of individuals or groups order to improve

the organization and regarding the benefits (material or moral) receive right reward.

2.1.5 Impacts and Benefits of Participation and Participative Management

Locke and Schweiger (2017) impacts and the benefits participation and participative

management stated as follows:

them, increase creativity of employees, increasing futurist spirit of staff, staff cooperation

to solve various problems of organization, cooperation of employee in organizational

changes and increasing employee responsibility.

ii. Economic aspects of participation impacts: higher cooperation in production, improving

quality and quantity of production, waste reduction, optimal use of the equipment,

cooperation in solving economic problems and reduce conflicts. The benefits of

participation found promotion and growth of products and services, diversifying products

and services, supply conditions continuous improvement, increasing individual and

organizational efficiency, increasing job security and mental, increasing employee and

customer satisfaction, promote cooperation and collaboration method, enhancing

motivation and spirit of work, reduced absenteeism and poor work atmosphere promotion

spirit of creativity and innovation, and improving communication between managers and

employees their interactions and relationships.

(Cole et al 2018), have noted several benefits to participation:

i. Voluntary participation gives the best results and can lead to self-discovery and human

integrity.

ii. Improving human capital through education encourages.

iii. Provide appropriate strategy for the integration of independent tasks.

iv. Makes it possible for employees to have share in improvement of work performance.

v. Low levels of staff will be responsible for the maintenance and improvement of work

processes.
2.1.6 Effective Employee Participation and Organizational Productivity

Employee participation is defined as range that employees have a sense of control on their work.

Employee participation shows job competencies and job autonomy and is closely linked with

perceptions of service quality and job satisfaction. One of the predictions for better service

performance is employee participation. Employee participation provides opportunities for

employees to enhance their skills and it authorize to them about their job in order to enjoy work.

Employee participation is human resources action that helps to employees in providing effective

services. Effective participation provides opportunity in order to share information about to

evaluate customers, solve problems and generate new ideas for employees. When customer

demand is met, customer may allocate a higher level to service performance. Once employees

effectively participate in decision-making they will more likely to hear comments in order to

improve service performance. When senior management listens to personnel comments and

accepts comments, thus satisfies the self actualization need of employees and have incentives to

work hard in order to the customer expectations.

Effective participation means that personnel have a certain amount of job autonomy. When

personnel are empowered to performance independently and about customer make key decisions

without management approval, they have control on their work and thus will lead to job

satisfaction. Furthermore, effective participation in work provides opportunities for employees to

interact with others. When staff offers are passed, they will enjoy this feeling of compliance.

This will lead to greater job satisfaction (Cheung & To, 2015).

2.1.7 Basic Requirements for Employee’s Participation in Decision-Making

Certain conditions must be met before participation will exist in their environment. Cheung & To

(2015) listed the major prerequisites as follows:

situations.

ii. There should be a systemic balance of cultural, ideological and labour relations

environment by ensuring there is no conflict of interest whatsoever that has the tendency

to create fear and distrust.

iii. There is need to ensure that employees feel that their job are not at risk when they

express their opinions, which should be based on a cordial working relationship with

respect to employees right in the organization.

iv. A well-structured human resource policies that seeks to recognize performance and

encourage improve performance.

v. There should strategic organizational measures imbedded in the leadership style that

creates team spirit, group cohesiveness and teamwork.

vi. There should be a manufacturing strategy that is conducive to participation.

2.1.8 Issues in Employee’s Participation in Decision Making

There a number of factors that can seem to affect participation of employees in the decision

making in the organization.

i. Fear and distrust: when there is fear and distrust from management that it’s carrying

along of employees in the decision making of the organization can be viewed as

weakness on its part and may prevent them from taking corrective disciplinary measures

when necessary on employees. The lack of trust that employees will want to make

decisions that will only favour them and not considering the interest of the organization

which primarily is to make profit can pose a challenge to employee’s participation in

decision making process of an organization (Engelen, 2014)

geographical distribution is another constraint to participation. Some managers have very

limited subordinates, which makes participation impracticable. Similarly, the wide

geographical dispersion of the organization may make a system of participation in

decision making impossible. The structure of the organization may determine the extent

to which the manager can initiate his own idea to accomplishment of task that invariably

will be in operating matters only (Mizrahi 2015).

iii. Employees skill: a major plausible excuse for excluding employees in the decision

making process of an organization is the lack of administrative and technical skill on the

part of the employees that is required for the job. A critical part of decision making is

availability of the requisite knowledge and skill on the subject matter, as a poor skill will

only amount in making decisions that are not applicable to the operations of the business.

For example, an employee that has not been able to understand the business environment

may not be able to take decisions as it affects the expansion of a business.

iv. Time: a critical element in decision making is time, as it goes a long way to determine a

good decision from a bad one. Therefore, most organizations will not be patience to

create the opportunity for employees to come up with their input as the action may

require their immediate action on the subject matter. These are the many observable

constraints that have necessitated research in this field of study with diverse results as

benefits and constraints to decision making in organizations.

2.1.9 Tools to Worker's Participation

i. Co-partnership: this form of worker's participation involves employee participation in

the share capital of their own company. "Worker's participation in management through
 co-partnership was approved in India by the Supreme Court in its judgment in Navneet

R. Kamani vs. R.K. Kamani in 1984 by permitting workers to takeover a sick unit"(6).

As per a study prepared by the Inter-university Center for European Commission's DG

MARKT in which a pilot project was conducted throughout 31 countries concluded that

"thirty years of research have confirmed that companies partly or entirely owned by their

employees are more profitable, create more jobs and pay more taxes than their

competitors without employee ownership". Mostly researches revolve around pros and

cons of co partnership and the question of extent of this partnership is yet to be explored

more.

ii. Suggestion Scheme: under this scheme, a committee is formed that consist equal number

of representatives from both of the parties i.e. Management and workers and they

scrutinizes the suggestions so given by the workers. This scheme works by the way of

installing suggestion box at an appropriate place in the organization. Under this system,

valid suggestions are implemented and rewarded. Milner, Kinnell, and Usherwood (2015)

defined suggestion scheme as a "formalized mechanism which encourages employees to

contribute constructive ideas for improving the organization in which they work"(8).

Suggestion scheme make the employees more committed towards their organizations and

thus must be encouraged in all business units. But it's not always easy to retrieve desired

outcomes from such tool as demonstrated by Income Data service report (2013). This

report conclude that "the greatest obstacle to implementing a suggestion scheme in

organizations is the fear by middle managers that such schemes will undermine their

importance in the organization"(9). Continuing the flop side, Carvenale and Sharp (2016)

"also reports that suggestion schemes can backfire on the organization if they become
 overtly bureaucratic". In an another study, correlation between the number of suggestions

submitted and the time taken to give feedback was ascertained. The conclusion of such

study was "the initial view should be the assumption that all suggestions are beneficial

until the evaluation proves otherwise". Suggestion scheme is incomplete without

conclusion of proper feedback system. Such feedback to the suggesters will encourage

them to express even more which is better for any organization.

iii. Joint Consultation: this concept came into existence in 1958 and are also popular as

Joint Management Councils (JMC's). These councils are formed at plant level with equal

number of members from employer and employee side. These joint consultations were

formed to manage matters related to working conditions, health & safety, discipline, etc.

The First Five Year Plan document in India (2015) "emphasized the importance of

such committees as a forum for participation". This tool certainly benefit organizations in

many ways. In his research concluded that " joint consultations have positive effect on

employee attitudes, reassuring employees that their interests are not being ignored when

key decisions are taken". On the flop side, a report by Ministry of Labour and

Employment (2013) revealed "the limited success of these councils in India after

conducting extensive research in 99 industrial units out of which 65 were private units

and 34 were public corporations". In extension to this, Bates and Murphy (2018) noted

that "joint consultations continued to survive in the organizations partly because of the

lack of consensus as to its function by organization members and partly as the result of

what amounted to a conspiracy of vested interests". According to Armstrong (2016) "for

joint consultations to work well, it is necessary to first define, discuss and agree on its
 objectives". The scope of such objectives must be wide enough to accommodate all

significant aspects of the job and overall Organizational practices.

iv. Management by Objective (MBO): Drucker (2014) first advocated MBO as a

"systematic approach to setting objectives that would lead to improved Organizational

performance and employee satisfaction"(17). Management by objective is a conventional

form of employee participation. Components of MBO are studied in details by many

researchers as failure or success of this system majorly depends on identification of its

vital influential component. In this regard, a research by Uma (2015) is worth mentioning

here that concluded as "goal setting component improves performance of this system and

to some degree satisfaction. Participation and knowledge of results component can

improve performance and satisfaction but there are moderating variables that effect the

results". "Criticism of the MBO process often points to the presumed infallibility of the

objectives"(19). In addition to this goal setting problem.

2.1.10 Relationship between Employee Involvement in Decision Making and Firms’

Performance

There is growing evidence that firm performance rests increasingly on the involvement of

workers in decision making (Arthur, 2014; Daft & Lewin, 2015; Deninson & Mishra, 2015;

Spreitzer & Mishra, 2019). Scholars have argued that employee involvement contributes to

organisational efficiency because it has the capacity to enhance the quality of decision making by

increasing the inputs and promotes commitment to the outcomes of the decision making process

in the workplace, workers who have greater choice concerning how to do their own work have

been found to have high job satisfaction and consequently high performance. A significant
relationship between frequency of employee’s consultation and organisation commitment has

also been established (Noah, 2018).

While employee involvement may reside at the core of many contemporary practices and

research, the extent to which organisational-level performance gains are actually achieved

through decentralizing decision-making authority to lower level employee remains unclear

(Richardson et al., 2015). Latham et al. (2014) contend that there is much less research evidence

for the value of employee involvement on quality decision making. Scholars have also argued

that employees’ involvement in decision making may primarily serve to make them feel good

about their jobs and organizations but do little to increase firm’s performance (Wagner, 2014).

2.1.11 Concepts of Job Satisfaction

Factors That Influence Job Satisfaction

i. Environmental Factors: Communication overload and communication under load. One

of the most important aspects of an individual’s work in a modern organization concerns

the management of communication demands that he or she encounters on the job.

Demands can be characterized as a communication load, which refers to “the rate and

complexity of communication inputs an individual must process in a particular time

frame. Individual in an organization can experience communication over-load and

communication under-load which can affect their level of job satisfaction.

“Due to this process, “given an individuals style of work and motivation to complex a

task, when more input exist than outputs the individual perceives a condition of overload

which can be positively or negatively related to job satisfaction. In comparison,

communication under load can occur when messages or inputs are sent below the

individual’s ability to process them.

important influence on job satisfaction in the work place. The way in which subordinates

perceive a supervisor’s behaviour can positively or negatively influence job satisfaction.

Individuals who dislike and think negatively about their supervisor are less willing to

communicate or have motivation to work where as individuals who like and think

positively of their supervisor are more likely to communicate and are satisfied with their

job and work environment. A supervisor who uses non verbal immediately, friendliness

and open communication lines is more likely to receive positive feedback and high job

satisfaction from a subordinate.

Individual Factor

i. Emotion: Mood and emotions form the effective element of job satisfaction. Moods tend

to be longer lasting but often weaker states of uncertain origin, while emotions are often

more intense short-lived and have a clear object or cause.

ii. Genetics: It has been well documented that genetics influence a variety of individual

differences. Genetics also play a role in the intrinsic direct experiences of job satisfaction

like challenges or achievement (as opposed to extrinsic, environmental factors like

working conditions).

iii. Personality: Specifically, this research describes the role of negative affectivity and

positive affectivity. Negative affectivity is related strongly to the personality traits of

neuroticism. Individuals high is negative affectivity are more prone to experience less

job satisfaction. Positive affectivity is related strongly to the personality trait of

extraversion.
Those high in positive affectivity are more prone to be satisfied in most dimensions of their life

including their job. Differences in affectivity likely impact how individuals will perceive

objective job circumstances like pay and working conditions. Thus affecting their satisfaction in

that job.

2.2 Theoretical Review

Theories on T & D

Psychologists have given a number of theories that put light on the individual learning patterns

and explain that how motivation plays its role during the learning process in training &

development programs. The theories also tell us about the employees’ perceptions and individual

characteristics involved in learning. Here, as emphasized by Reynolds et al., (2002, as cited in

Armstrong, 2009), we also need to know that learning is a broader context for capacity

enhancement through the acquisition of varied skills and knowledge while training is only one of

the ways for carrying out learning in organizations.

Rationale of T & D

The changing business practices and broadened organizational scope strongly put stress on the

importance of training & development in transforming the human resource into human capital

(Gusdorf, 2009) for incorporating a culture of team work, innovation, and continuous learning

(Paton, Peters, & Quintas, 2005) at the work place. The term human capital is associated to

Garry Becker’s workforce reforms in terms of investment in training and development of the

employees to give a boost up to the organization’s human capital (Paton et al., 2005). The similar

concept is put forward by Saleem et al., (2011) in the way that T & D allows the organizations to

maintain a collection of employees for promotion and replacement purposes. This confidence to

replace and promote employees comes due to the advancement and change management
attributes rightly imparted into the workers by virtue of T & D. Karl, Alan, & Nigel (2010, as

cited in Qayyum et al., 2012) in the same way advocate T & D practices by putting light on the

benefits gained in terms of improved competencies engrossed into the employees thus changing

their work behavior as well. Similarly, as given in the mission of Nestle Business Academy,

“Training will play an ever more critical role, as organizational excellence can only be assured in

a lifelong learning environment

Classical Organization Theory

Classical organization theory was developed in the first half of the 20th century as a way of

bringing together scientific management, bureaucratic theory and administrative theory,

scientific management focus n getting the best people equipment and scrutinizing each

production task.

Bureaucratic theory involves establishing labor in a company and recognizing the importance of

specification. Administrative theory worked to establish a set of management principle that

applied to all organizations, classical organization work because describes motivation only as a

function of economic rewards.

2.3 Empirical Review

Obasan (2016) believed that employee satisfaction is important to an organization’s success. It is

a widely studied construct in organizational behaviour as it influences other organizational

variables like productivity, turnover and absenteeism. Many organizations are spending much

time on employee satisfaction initiatives in an effort to reduce turnover, improve productivity

and to help organizations succeed.

rewarding and satisfying, there are at least three reasons why managers must focus on the job

satisfaction of its employees:

i. Evidence suggests that unsatisfied individuals leave organizations.

ii. Satisfied employees are in better health and have longer life expectancy.

iii. Job satisfaction in the workplace also affects individuals’ private lives which in turn has

an effect on absenteeism and other important work-related attitudes and behaviour.

In the views of Aries et al. (2013) variable of job satisfaction is measured from the level of

satisfaction of employees working in the company and the absence of the desire of the

employees to leave the company.

There were some element to measure employee’s job performance, i.e: able to achieve target of

production as set by the company, able to produce high quality product accordance with the

company’s standard, able to achieve target of production under time constraint, able to show

high productivity, always come to the office in accordance with the time specified, always follow

the instruction that give by the supervisor, and try to always accurate in completing the work.

Benham (2017) examined the relationship between the employees and quality of work life and

also the effectiveness in service organization like banking sector. In the study, seven quality of

work life variables are considered to determine the present status of quality of work life on the

employees. They are healthy and secure work environment, salary and benefits, job security,

autonomy at work, providing the basis for skills education and determining the job development

direction.

Anwar (2019) revealed that, the most frequently used quality of work life drivers are reward,

benefits and compensation, followed by career development, communication, and safety and
security respectively in order of frequency. The other important quality of work life drivers is top

management involvement, cohesion of work life, job satisfaction and employee motivation

which are not considered in many of the research. Kanta (2017) examined the variables that play

a vital role in influencing the quality of work life in the manufacturing organizations in the state

of Andhra Pradesh. The variables selected for the study were, working conditions, inter personal

relations, trust among employees, autonomy and freedom, participation in decision making,

career advancement, training, superior support, safety conditions, top management support,

conflict management, amenities, performance linked pay system, communication,

implementation of organizational policies, participative management, transparency system,

nature of job, rewards and recognition, value system and job satisfaction.

Wikipedia (2019), employee participation and job satisfaction is central Human Resource

Management and modern management practices. Employee participation and its effect on job

satisfaction in business decision making serves to create a sense of belongingness among the

employees as well as congenial working environment where both the management and the

workers can voluntarily contribute to better industrial relations. It increases employees’

commitment and improves the work performance. Successful Entrepreneur schemes need to be

embedded in the organizational culture. If employee participation and job satisfaction of

employee is implanted effectively its benefits are wide ranging. Thus, participation of

employees and job satisfaction is considered as a tool of employee motivation leading to a

positive work attitude and high productivity.