THE EFFECT OF MOTIVATIONAL POLICIES AND PRACTICE ON SALES FORCE IN NIGERIA BANKING INDUSTRY (A CASE STUDY OF FIRST BANK NIGERIA PLC NNEWI)
The role in which adequate and equitable motivational policies in the life of sales force in an organization cannot be overemphasized. It leads to increased in sales productivity which will result to growth and progress of the organization in question. This study is an attempt to investigate on motivational compensation policies and practice in the First bank of Nigeria Plc. Nnewi Brach. This topic was extensively overwhelmed with a view to understanding the subject matter. Data was collected from the members of staffs of First Bank of Nigeria Plc Nnewi Branch using questionnaire. The collected data was duly presented and analyzed using Chi-square method analysis and result showed that compensation policies and practices thereby are very important in managing an organization. If compensation policies is equitable, it will lead to efficiency among employees as work force and hence increased productivity. On the other hand, if a compensation policy is not equitable i.e may be a major source of conflict in the organization. On the basis of the above result, recommendations were made on how to improve the compensation/motivational policies and practices of the organization under study.
1.1 BACKGROUD OF THE STUDY
Fisher, et al (1996) noted that the system that an organization uses to reward employees can play an important role in the organization efforts to gain a competitive advantage and achieve its major objective. It is a known fact that an organization is what it pays, for the ways an organization pays its employees contains a philosophy about how they are motivated.
Hence the need for every employer of labour to have a well worked out compensation system that is able to attract and keep competent and well motivated employees.
An employee offers his service to an organization because he has wants and needs which the organization can satisfy and by so doing he helps the organization to achieve its own goal.
For the service he renders, he is rewarded if the reward is in congnience write the services he renders, he tries to give out his best at the same time retain his job. For this to happen, the employer requires proper and efficient management of their compensation system.
Employee compensations is very important in attaining the objectives of business organizations. The banking sectors are expected to formulate compensations policies which will satisfy the economic needs of their employees so that they can contribute to the attainment of the objective of the organization.
For employees to contribute positively to the fulfillment of the objectives of the banking industry, the bank(s) should formulate compensation policies which will satisfy the economic needs of the employees.
There are basically three types of compensation policies in organizations. They are basic, variable and supplementary otherwise referred to as fringe benefits. They all have different functions in the business organizations.
In the Nigerian banking sector, employees pay package is quite encouraging as compared with other sectors of the economy. It is enough to meet his/her expected expenditure even if they rate boxers. The issue of strikes here and there (every time) is not in the book of the Nigerian banks.
However, it has been noted that the employees level of contentment in his./her job greatly affect his/her productivity.
1.2 STATEMENT OF PROBLEM
The problem of this research bother on the investigation of the compensation policies and practices in the Nigerian banks industry. On the basis of the knowledge gained from this study, some recommendations can be made on how to improve organizations stability and practices. If the workers feel that the compensation policies of the organization are not satisfactory, they usually confront management. This may be major source of instability which may affect the employee productivity and consequently affect the sustainability of the organization.
First Bank engaged in the business of commercial Banking. The mission statement of First Bank is to remain true to their name by providing the best financial services possible.
Incorporate in 1894 and head quartered in marina, the heart of Lagos. First international; branch was opened in Accra in 1896. Opened second branch in Freetown, Sierra leone in 1898. In 1912 Calabar branch was opened by King Jaja of Opobo the second branch opened in today’s Nigeria and Zaria branch was also opened in the same year as the First Bank branch in what is today’s Northern Nigerian. The bank was shown business leadership since, its inception, having acquired Anglo-African Bank in 1912, its competitor in the very first M&A recorded in this region. 1914 saw the amalgamation of Northern and Southern protectorates- First Bank had branches in what would today be Kano, Zaria, Calabar, Lagos, and Ibadan. In 1947 advances the first long term loan to the colonial government. A demonstration of our long term commitment to national development. Changes name from BBWA Bank of British West Africa to bank of West Africa (BWA) to truly reflect the regional identity of the bank. 1960 at Nigerian’s independence advances the first ever loans to the citizens of the independent Nigeria. Birth of true retail banking. 1963 operates 114 branches across West Africa when Nigeria became a republic. In 1955, it adopts the name Standard Bank of West Africa, following its merger with Standard Bank Uk. In 1969, incorporates locally as Standard Bank of Nigeria Limited, in line with the companies decree of 1968. In 1979, changes name to First Bank of Nigeria Limited. 1982, London Branch established to foster international banking relationship for Nigerian and foreign business alike. In 1991, changes names to First Bank of Nigeria Plc, following the Bank and other financial institution decree (BOFID). (1991), first ATM introduced in 35 marina as part of ease of convenience, round the chock Banking. In 1994, the bank is a hundred years old, a feat for any branch even today. Birth of the popular and legendary “First Bank O una well done O, una do well O” (centenary cooperate campaign) URL to jingle and celebrated newspaper article on the centenary. In 1996 commences business transformation project code named “Century 11”, to strategically position for its next century to operations. 1999 a former M.D of First Bank was appointed CBN governor. 2001, revalidates business transformation project code named “Century 11”: the ne frontier to revolutionize the banks operations in line with the banks brand, leverage and strengthen the banks branch, leverage and heighten the customers experience and project Fist bank and sophisticated ad dynamic.
In 2002, establishes FBN Bank (UK), regulated by the FSA, the first Nigerian Bank to own a wholly fledged bank in the Uk. Established first international subsidiary of a Nigerian owned bank in the UK in 2002. 2004, the Nigerian stock exchange annual presidents merit award for the 2003 financial year. In 2005, acquires two banks- MBC international Bank ltd and FBN Merchant Bankers) ltd and increase capitalization to #25 billion. 2007, introduces the innovative finance credit administration software, being the First Bank in Africa the Pioneer the service and also establishes a global custody business, emerging as the First Nigerian owned Bank to offer such services. In 2008. The first Nigerian Bank and indeed the Firs quoted company in the country to hit the #2 trillion market capitalization. In 2010, First Bank becomes the first organization in Nigeria to be granted notable international standardization certification: the prestigious information security management systems (ISMS) which are the world’s highest accreditation formation protection and security. In 2011, establishes First Bank representative office in Abu Dubai, UAE, launches First Biometric ATM in Nigeria etc. announced the successful completion of the acquisition of ICB assets in Guinea, Gambia, Sierra Leone and Ghana in November 2013 as part of an ongoing Pan African expansion programme.