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INTERDEPENDENCE BETWEEN MOTIVATION OF EMPLOYEES AND PRODUCTIVITY IN A COMPANY

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Author(s): Marko Šarčević | Goran Balotić

Journal: Zbornik Radova Ekonomskog Fakulteta Istočno Sarajevo
ISSN 1840-3557

Volume: 5;
Start page: 17;
Date: 2011;
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Keywords: motivation | the modern corporation | organization | behavior | productivity.

ABSTRACT
This paper defines motivation asone of the key factors of productivity and businesssuccess of enterprises. The competitiveness ofcompanies in the market is one of the preconditionsof their long-term success and even survival. Toachieve the necessary level of competitiveness, thecompany must fulfill a multitude of prerequisites, ofwhich one of the main ones is - productivity. It isreflected in the request to get the maximum fromthe available human resources of the companies,which is physically manifested in high volume ofproduction, revenues and profits. Labourproductivity depends directly on the degree ofmotivation of employees. The intensity ofmotivation determines the amount of effort thatsomeone would invest in a unit of time to meethis/her needs. The greater the intensity ofmotivation, the more efforts the employees in acompany will invest in achieving their tasks and itsperformance will be better. How to motivateworkers to invest maximum of their abilities is thequestion that arises as a central problem of modernbusiness. The theory of motivation describes whatcompanies can do to encourage people to investtheir effort and abilities in a manner that willensure achievement of the company goals andsatisfy their needs. Motivation improvesproductivity, efficiency and creativity of work,improvement of the quality of working life inenterprises and strengthening the competitivenessand efficiency of enterprises.
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