Explain the potential impact on organisational performance if employee motivation levels are low

One of the largest costs to an organisation is its employee’s, and consequently the livelihood of the company lies in the employee’s hands.

It is important for an organisation to invest in its employee’s motivation, without motivated staff the organisation is destined to fail.

Lack of motivation leads to an increased turnover of staff, this in turn will increase costs for recruitment and training. Where there are staff shortages, outsourced consultants are brought in to fill the gaps, these are generally very expensive and their motivation is not in line with the company’s aims and goals.

Employees with low motivation levels are less productive, so the productivity of the organisation decreases. This then feeds low esteem among staff, which boosts increased absence rates, this further depresses productivity.

This low motivation level will cause poor service levels and have detrimental effect on the businesses reputation, which will result in a loss of existing customers and lack of new customers.

Managers are busy recruiting; filling the posts created by staff turnover and they have little time to put into the motivation of existing staff. They are constantly firefighting the staff issues, this increases stress and health problems for all, which furthers low morale, feeding low energy and low productivity.

Low motivation levels among staff, is extremely detrimental to any organisation and unless it is recognised and dealt with, the organisation is very unlikely to succeed.

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