Evaluating the Practices of Motivation in Hatton National Bank Essay

Hatton National Bank PLC, your Partner in advancement emerged as a commercial bank to supply efficient banking services with a position to bettering the socio-economic development of the state.

Today, HNB has the largest web from among private commercial Bankss consisting 200, with more in the grapevine and an ATM web in surplus of 275 machines.

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Human Resource are the most of import assets of an organisation, a concern can non be successful without efficaciously manage this resource. Another of import rule, articulated by Michael Armstrong in his book “ A Handbook of Human Resource Management ” , is that concern success “ is most likely to be achieved if the forces policies and processs of the endeavor are closely linked with, and do a major part to, the accomplishment of corporate aims and strategic programs. ” And besides HR ‘s duty to happen, secure, usher, and develop employees whose endowments and desires are compatible with the operation demands and future ends of the company.

Armstrong says, “ HRM is a strategic attack to the acquisition, motive, development and direction of the organisation ‘s human resources. It is devoted to determining an appropriate corporate civilization and introducing plans which reflect and support the nucleus values of the endeavor and guarantee its success ” .

Any successful organisations have motivated and enthusiastic employees. Motivated employees are more productive, efficient, happier, and remain with the organisation longer. Interesting work, company policies, employee wage, occupation expansion, occupation enrichment, publicities, pecuniary and non-monetary compensation should be of import links to higher motives.

Designation of bing patterns in motive & A ; Critical rating
To motive factor, organisation has to understanding employee demands, what rewards to utilize to actuate them. HNB is a bank ; therefore HNB has an advantage actuate their employees without any effects. Because HNB is the 1 of the taking bank in Sri Lanka, every bit good as it is big and good established. Brand and occupation security are the first think employees are self motivate. And societal acknowledgment of when they are working in the bank, another factor to employees are motivate without any effects. Harmonizing to the Abraham Maslow ‘s hierarchy of demands theory ( 370-396 ) , Safety, Social and Esteem Needs fulfill above factors. In other words, they feel safe becace the organisation will non ruin, concerned with societal interaction with others and credence of the people.

HNB introduced some of the schemes for motivate their employees. Salary and Allowances are one of the scheme HNB introduced to actuate their employee. Harmonizing to the Fredrick Herzburg ‘s two-factor theory, hygiene factor, salary can be act as de-motivators, but if satisfactory, their motivational affect is limited without incentives. Basic salary in any class is much higher than any other industries similar places. And to boot other allowances, Medical, Dental and Vision for you and eligible household members, Paid and auxiliary Life Insurance for you and eligible household members, Paid and auxiliary Long-Term disablement insurance, retirement nest eggs pension program feel safety from employees. And besides fixed periodic salary reappraisal is another motive factor introduced by the bank. Every three old ages, bank reappraisal employees wages and increase maximal 30 % of their wages. Using these schemes will get the better of the unsatisfactory of the hygiene factor, and increase the satisfaction and motive.

Bonus is other important scheme bank usage to actuate their employees. Three types of fillip class are available in the bank, the first class, up to executive degree employees are available to maximal three month fillip, critically measure their public presentation by the section caput. The 2nd class, above the executive degree have ‘performance fillip ‘ , it will critically measure by the bank top direction. And last fillip type is ‘profit fillip ‘ , this type of fillip eligible for all employees in the bank, that will give, merely for bank manager board decide. That fulfills the Herzburg ‘s two-factor theory ; the satisfactory is referred to as incentives which include promotion, and public presentation acknowledgment.

Career way is another motive factor bank introduce. HNB has clearly defined way to advance the employee.

Trainee Banking Assistant – & gt ; Banking Assistant – & gt ; Executive1 – & gt ; Executive2- & gt ; Executive3- & gt ; Manager- & gt ; Senior Manage- & gt ; Chief Manager – & gt ; AGM – & gt ; DGM – & gt ; CEO

To travel through this way, any employee can go the CEO of the bank. Employee can advance three ways – Upon their services, public presentation and faculty members and professional making. Besides has that is the major motive scheme because of, all worlds are like to travel at least one measure at today ‘s measure. And including anticipation theory of Victor Vroom, he says, single gives a certain degree of public presentation, and so a desirable result is expected called ‘instrumentality ‘ .

Low involvement rate loans, holiday and personal leave system, societal activities, work environment, occupation enrichment and sweetening, Job rotary motion, squad work, yearend party and trips, employee award system are some of the other motivational schemes to actuate their employees utilizing Human Resource division.

Motivational Strategy
Software developers in the bank are assigned the ‘Research & A ; Development ‘ unit in ‘ISD ‘ . They are involved in the Non-main strategy before, but that ‘s way is broken now in the bank some ground. Already Information Technology fresh grade holders appointed as ‘Trainee package applied scientist ‘ designated in two twelvemonth contract basic. There basic wage was Rs.20000/= and no banking allowances are allowed. After contract is finished, their contract is extend another one twelvemonth and salary addition Rs.26000/= and no their appellation alteration. NO way to absorb them in to banking strategy. Normally, single package developer had to develop at least six month for banking systems. They all in the contract basic, hence no banking installations are allowed to them in HNB or any other bank. And normal banker wage is much higher than those.

Comparing with package developing company, as a novice package developer basic wage is Rs.40000/= . Very gifted Software developer BASIC wage at least one deficiency after 3 old ages in package developing company. But bank give them to Rs.26000/= , and after 3 old ages their occupations are non certain.

Harmonizing to two-factor theory ‘s work environment, direction, wages and company policies become them in to unsatisfactory. Unsatisfactory hygiene factors can move as de-motivators.

To actuate them and acquire their upper limit, they must necessitate to clearly specify way. The construction must alter. I purpose contract period is must cut down to two twelvemonth to six month. After the six month over, if they perform good, they are absorbed in to banking strategy with ‘Junior Executive ‘ degree and alter their appellation as ‘junior package applied scientist ‘ . And after three twelvemonth they perform good, they promote in to ‘Executive degree ‘ with designate with ‘Software applied scientist ‘ . And after every three old ages, sing their public presentation continuously advancing them, bank will can actuate them and acquire their upper limit.


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