Directorate of distance education master of business administration

Job-Satisfaction and Productivity
 
Many employers set the goal for making employees happy on the 
assumption that this will lead to high productivity. This is possibly a 
misdirected assumption. Managers who follow this strategy could end 
up with a very happy but poorly performing group of employees. While 
unhappy workers might become unproductive, happy workers are not 
always productive workers. If feeling of satisfaction does have a positive 
effect on productivity, it has been found to be fairly small and negligible. 
Peak performance in an individual depends upon a myriad of variables 
like visualization, positive self-concept, intense focus and concentration 
while facing demanding situations. 
Factors affecting productivity would also differ according to 
the nature of the job. An employee’s productivity level on machine-
paced jobs is going to be more influenced by the speed of the tools and 
mechanical devices than by his or her level of satisfaction. However, 
the satisfaction-performance correlations are found to be stronger for 
higher-level employees. Thus, one might expect the relationship to be 
more relevant for individuals in professional, supervisory, executive and 
managerial positions rather than for manual workers.  In front office 
jobs that involve direct face-to-face interaction with customers and 
other visitors, satisfaction could influence the subtle forms of behavior 
of employees including their postures and gestures, which could alter 
their personal effectiveness. 
The more valid conclusion emerging amidst management 
scientists is that productivity would lead to satisfaction than the other 
way round. Managers would get better results by directing their attention 
primarily to the question of what will help employees to become more 
productive. Successful job performance should then logically lead to 
feelings of accomplishment. The secondary outcomes would be in the 
forms of increased pay, perquisites, promotions and other automatic 
rewards which are desirable outcomes of working hard and smart, from a 

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job-holder’s point of view. These feelings would then contribute towards 
satisfaction with the job. 
Based on continuous field experience and experimentation, 
Edward Deming presented his fourteen principles for achieving quality 
and reliability. Some of the principles have a bearing on productivity 
as well. For example, Deming has urged managers to r
educe fear 
throughout the organization by encouraging open, two-way, non-
punitive communication. This was because the economic loss resulting 
from fear to ask questions or reporting trouble was appalling.  Deming 
also appealed to manufacturers to help reduce waste by encouraging 
design, research, and sales people to learn more about the problems of 
production.  Two sources of waste were identified by Deming namely 
system and local faults. He urged the managements to use statistical 
techniques to identify them and strive to constantly reduce wastes.
Deming called for the elimination of the use of goals and slogans 
to encourage productivity, unless training and management support is 
also provided. Close examination of the impact of work standards was 
recommended to ensure if they considered quality or helped anyone 
do a better job as they often act as an impediment to productivity 
improvement.  Institution of rudimentary statistical training on a broad 
scale,  institution of a vigorous program for retraining people in new 
skills, to keep up with changes in materials, methods, product designs 
and machinery were the other principles advocated by Edward Deming.
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