Learning organization and employee motivation: a case study of Equity bank, Kenya

Abstract

The purpose of this study was to find out the relationship between learning organization and employee motivation. The study was guided by two objectives; to establish the elements of learning organization that are employed at Equity bank and to find out whether there is a relationship between the elements of a learning organization and employee motivation at Equity bank. The respondents included bank officers in selected branches in Nairobi. The theories employed as the theoretical framework for this study were the Watkins and Marsick‟s framework of learning organization, Kolb‟s experiential learning theory and the expectancy theory of Victor Vroom. The research adopted a case study research method with Equity bank being the subject of study. Data was collected using questionnaires and analyzed using both descriptive and inferential statistics. The analyzed data was presented using frequency tables .A correlation analysis was conducted to measure the level of significance between the two variables of study. The study found out that some of the learning organization practices at Equity bank were leaders empowering employees, having a shared vision, communicating business directions and challenges to employees, encouraging and supporting learning, working as a team, building trust among others. On motivation the study found out that the feeling of being involved , job security , supervisors help on personal problems , wages ,discipline ,promotions and career development , good working conditions , gratitude for job well done as well as public celebration for job well done were rated as important motivating factor by the respondents. The study further found out that learning organization practice had a strong influence on employee motivation with a significant positive path coefficient and therefore concluded that there is a strong relationship between learning organization practices and employee motivation which in turn influences performance. The study recommends further research to be done on the relationship between employee motivation and financial performance in the banking sector. Further study should be done on the level of contribution of each of the dimensions of learning organization on employee performance.