Organization Behaviors MBA 651

Presented to
Dr. Patricia
Prihodova

Prepared By:
Ruwaida Mohammed : ID # S1415002741
Sali Shawki Al_Assi
Maryam Mohammed

: ID # F1414002449
: ID # 20150004054

Contents
Introduction .2
Research Aims and Objectives..2-3
Hypothesis....3
Rationale of the Research.4
Limitations of the Study.........5
Literature Review.5-12
Analyses..12
Population and Sample..12-13
Methods...13
Data Analysis...13
Philosophical Perspective.13
Research Ethics....14
Example of how Etihad Motivate their employees14-15
Discussion ..15-17
Conclusions and Recommendations...17-18
References19

1 Etihad Airways

Introduction
Etihad Airways is considered as one of the premier airlines in the world and the leading
United Arab Emirates National airline transporter. Since it was set up in 2003, Etihad Airways
soon picked momentum and rose to being among the worlds biggest airlines employing a vast
number of workforces (Abumaizar, 2009). Notably, the companys employees are drawn from
more than 120 countries throughout the world. Situated in Abu Dhabi, the company has a client
base of more than 6.4 million and its annual revenues are over $2.4 billion (Abumaizar, 2009).
The main services offered by Etihad Airlines include offering flight services. Besides, Etihad
provides Etihad holidays, international contact center, and crystal cargo. Moreover, the airline
offers its customers with premium lounges and chauffeur services (Abumaizar, 2009). Since
employees are responsible for ensuring the airlines operations are executed, keeping them
motivated is a critical question to the organization. Particularly, keeping the companys
employees motivated is essential to promoting and maintaining their levels of productivity to
ensure they execute their roles effectively. This paper will highlight the steps taken by Etihad
Airways in regards to promoting motivation amongst its employees.

Research Aims and Objectives

This paper is aimed at evaluating the HR practices at Etihad Airlines with the purpose of
assessing the factors that possibly enhance or stall motivation amongst its employees. Notably,
this paper will seek to advance on the adopted philosophies used by this airline in regards to the
HR management and the degree to which human resource is factored in the overall adoption of
the airlines business strategy. Additionally, this study will assess the motivational levels
2 Etihad Airways

exercised by the companys workers, and will further seek to ascertain a link between the levels
of motivation and the motivational factors adopted by Etihad. Moreover, this study will seek to
ascertain the relative position of this airline in the global aviation industry. Therefore, this study
will attempt to find the answers to the following questions:
1. What is the existing HRM philosophy and central motivational theory in this airline?
2. How effective has Etihads central philosophy has contributed to motivating the
employees?
3. What is the position of Etihad in the global aviation industry in regards to the employees
motivation?
4. What are the motivational factors being advanced at Etihad?
5. What is the significance of these motivational factors to the employees?
6. Is there any employee objections regarding the HR practices at Etihad?
7. Are there any theoretical weaknesses this research unearths about the HR practices at
Etihad?
8. If there are HR weaknesses at Etihad Airlines, how can they be solved to enhance
employees motivation?

Hypothesis
This study is aimed at seeking the correctness of the assertion that the various
motivations strategies practiced at the Etihad airways have been effective in promoting
motivation amongst the employees.

3 Etihad Airways

Rationale of the Research

In the recent past, there has been a substantial amount of debate amongst economic
scholars regarding the role of motivational programs towards promoting the productivity of
employees (Tampu, 2015). A relative number of these scholars are of the view that motivational
programs are effective in promoting employee performance by raising their desire to work. The
present study is aimed at assessing the various motivational practices being practiced at the
Etihad Airlines with the view to ascertain their correctness towards enhancing employees
productivity (Tampu, 2015). The ever-changing business environment as well other changes
witnessed in the current world have made the business world to be unpredictable, and in
extension making the previous recorded information irrelevant if they are not revised time and
again.
To mitigate this challenge, this study will rely on the most current information based on
the present practices at the Etihad Airways. While undertaking this study, it is expected that it
will be able to contribute to the already existing knowledge regarding the role of motivation
towards enhancing the productivity levels of the employees in organizations (Bhuvanaiah &
Raya, 2015). Also, this study may prove critical to other researchers who may seek to use its
findings and conclusions as a guide to undertaking further studies on the same topic. In order to
generate unbiased results, this study will be undertaken soberly, therefore, making its findings
and conclusions valuable to the Etihad or any other aviation organization seeking to design
effective HR practices (Bhuvanaiah & Raya, 2015).

4 Etihad Airways

Limitations of the Study

In most cases, research studies involve a number of limitations that they need to
overcome if their findings and conclusions are to be accurate. In particular, this study will gather
information from a few employees due to the scarcity of time and resources. However, to ensure
that the information gathered from this small sample is representative, it will carefully select the
participants using the most representative method of sampling. Another challenge that would
likely affect the validity of the findings is the issue of finding the commonness in motivational
degrees amongst employees. Nonetheless, it would be assumed that the results from the selected
sample shall be a reflection of what other employees think of about motivation practices at
Etihad Airways. Another way to overcome biased data, the study shall employ an independent
party who is unfamiliar within the company to conduct the survey. However, the use of
unfamiliar party to conduct the survey may also lead to another limitation, lack of confidence in
sharing some critical information. To ensure that this limitation is not an issue in the present
study, it shall be ensured that the participants are well prepared and promised for the safety of
their privacies. In regards to time constraints, the present study will use clearly phrased questions
in the interviews.

Literature Review
The present study is based on the role various practices at work environments play
towards motivating employees and subsequently resulting in high levels of productivity.
Abeysekera and Dawson (2015) define motivation as the innermost force that enhances
employees to develop greater interest to perform their relative tasks as envisioned by their
relative organizations. Though there have been a myriad of theories trying to explain the role of
motivation in regards increasing employee productivity, the dominant ones were recently
5 Etihad Airways

advanced. Notably, the dominant theories were developed and advanced by a few scholars who
had carried extensive studies about the role motivation plays in influencing the productivity of
employees. Besides, these leading theorists were also responsible for developing other theories
related to employee performance. The five theorist whose theories are commonly used and are
named after them include Abraham Maslow, Fredrick Herzberg, Victor Room, John Adams,
and Burrhus Skinner (Viorel et al., 2009).
On his part, Maslow advanced a theory that argued that the most motivational factor for
individuals is their unsatisfied requirements and that these requirements would have to be
satisfied in a manner that follows a ascertain hierarchy that he developed. Particularly, Maslow
proposed that the lowly ranked needs need to be satisfied the highly ranked needs are satisfied in
order to enhance the motivational programs achieve their intended purposes (Viorel et al., 2009).
According to Maslow, needs such as physiological needs, security needs, self-respect, esteem
needs, and self actualization ought to be satisfied in an ascending order ending with selfactualization needs.

6 Etihad Airways

Based on this Maslow theory of need, employees needs change and move to the next
phase once the current phase is satisfied, and keeps on progressing until the last level needs is
met. Nonetheless, Maslow further argued that unlike the rest of the levels needs, the last level
needs, self-actualization, is not entirely met (Viorel et al., 2009). The main reason for the
inability to fully meet the self-actualization needs is because human beings constantly develop
fresh psychological ambitions, making them to adjust their self-actualization requirements.
However, according to other scholars, the understanding of the needs of the employees by the
management is critical to helping the management design effective motivational programs
(Viorel et al., 2009).
Due to the obvious weaknesses and criticisms of the Maslow theory from other scholars,
many theories about the role of motivation in employees productivity emerged. In particular, the
Maslow theory was criticized on its inability to adequately explain the role cultural backgrounds
have in regarding to the position of needs. The criticisms were mainly based on the fact that
some different cultures place social needs in different levels (Viorel et al., 2009). Also, criticisms
to Maslow theory of hierarchy was faulted on the lack of enough evidence showing that one level
of needs had to entirely get satisfied before moving to the next level of needs.
Attempting to advance his understanding of the concept of motivation and employees
productivity, Herzberg proposed a theory that was based on two types of factors, which include
motivation and hygiene factors. Simply known as the motivator-hygiene theory, this theory
asserts that motivation has factors that promote it and those that prevent an individual from being
dissatisfied. The motivator-hygiene theory recognizes factors such as the provision of such

7 Etihad Airways

benefits as work safety, health cover, and safe working environment as some of the hygiene
factors that prevent employees from getting dissatisfied (Viorel et al., 2009).
On the other hand, the theory recognizes factors such as rewarding the workers hard
work, and their responsibility as the factors that increase the levels of motivation in workers,
making them to work hard in their respective roles. In other words, the motivator-hygiene theory
is based on the enrichment principle. Most proponents of this construct argue that organizations
ought to ensure they have promoted motivational factors to ensure their employees are highly
motivated, and they should at the same time ensure the hygiene factors are promoted as well to
prevent the erosion of any benefits that may have resulted from the promotion of the
motivational factors.
While studying on the same concept of motivation in regards to the role it plays in
promoting the productivity of employees, Vroom proposed a theory that he referred as
expectancy theory to try to explain how he understood it. According to the Vroom, the degree
of an individuals enthusiasm is directly related to his or her perception of how a certain move
can result in the achievement of a given outcome and his or her desire to achieve the identified
outcomes (Viorel et al., 2009). Vroom in this theory, factored in an equation that makes it easy
for organizations to make a comparative analysis that is aimed at developing effective
motivational factors.

8 Etihad Airways

Vroom Theory

In developing his argument, Vroom used an equation that argues that motivation is equal
to Valence, Expectancy, and instrumentality multiplied. In this formula, Vroom used Valence to
refer to the degree of desire for an anticipated reward. On the other hand, he referred expectancy
as the likelihood of the action to be undertaken to yield anticipated outcome. Finally, Vroom
referred instrumentality to mean the degree to which a worker believes that achieving the
intended action may ultimately result in the anticipated reward. Many scholars have tended to
agree with the assertions of this theory as they feel it has effectively identified and recognized
individual differences that exist in particular sets of staffs in organizations (Viorel et al., 2009).
Also, many scholars argue that this theory has tended to offer a relationship between the
organization mission as well as individual workers goals; therefore, providing a basis to
harmonize the two variables. Moreover, Vroom theory is praised for giving the management
personnel the opportunity to recognize the degree of significance that the workers ascribe to
various elements of their job recognition structures enhancing the companies to emphasize on the
most crucial areas to increase the organizations performance.
9 Etihad Airways

Adam, in his studies on motivation, advanced a theory that he referred as equity theory.
Adam in his theory loots for a harmonization of a workers input in the company and the output
he or she receives as a return from the company. A workers input includes factors such as
adaptability, skills, and individual sacrifice. On the other hand, output includes such factors as
wages and promotions. The balance between the two variables for workers is directly linked to
their motivational levels, and they subsequently determining how hard the workers works
towards achieving the set goals of the organization (Viorel et al., 2009). In other words, a balance
between inputs and outputs is critical to motivating the workers to work hard because their
expectations for outputs (rewards) are increased.
Skinner is another theorist whose theory is heavily referred to when the concept of the
workers motivation is spoken about. On his theory, Skinner through his reinforcement theory
argued that peoples decisions are a product of supposed impacts of such decisions. This theory
attempts to create an understanding on how peoples behaviors can be controlled. Based on this
basic tenet, the theory completely disregards the internal state of mind of people when
influencing peoples actions. Advancing on its assumption, Skinner identified Positive
Reinforcements Factors as being responsible to promoting employees desire to work hard in
their relative roles (Viorel et al., 2009). The theory also identifies negative reinforcement factors
as responsible for curtailing the efforts or the desires of the workers to work hard in their
capacities within organizations. In order to discourage the presence of negative reinforcements,
Skinner proposes the application of punishment within organizations to ensure undesirable
behaviors are not repeated by the workers (Viorel et al., 2009).
Effective understanding and application of Skinners arguments ensures that the workers
learn to uphold positive behaviors, ensuring there are higher levels of productivity in the

10 Etihad Airways

organization for long-term success. The understanding of these motivational theories within the
academic realm is crucial to assessing the degree of workers motivation in any company. In
particular, these theories help scholars to identify the most important areas for assessment when
undertaking their analysis.
A study involving a variety of organizations carried out by Hauser (2014), showed that
most of them still exhibited various practices that contribute to the demoralization of employees.
Particularly, lack of career growth and personal development, poor working culture, poor
working conditions, lack of effective team work, and negative management behaviors were some
of the factors that led to the dissatisfaction of employees in those surveyed organizations.
Hauser (2014) proposed a number of suggestions that they deemed appropriate in
improving employee motivation in organizations, and they included the following: promoting
employees career development, designing the organizational practices that are recognized by the
workers, providing training and mentoring support, providing employees autonomy, and
enhancing open communication between the workers and the management. These suggestions
are consistent with Samuel (2001) who in his study proposed employee training, safe working
environment, clear aims, friendly management practices, appreciation of workers efforts as the
critical factors that enhance motivation amongst the workers in organizations. Also, Samuel
(2001) agrees with the assertion that effective reward systems and fairness are critical indicators
that promote workers retention and motivation, which ultimately result in high levels of
productivity in any organization.
Recently, many scholars have been of the opinion that human resources can be used as
effective means of gaining competitive advantage in the ever-increasing competitive world. Like
any other organizations, employee motivation is critical to Etihad Airways. Most studies indicate

11 Etihad Airways

that motivation is one of the greatest factors that result in employee satisfaction. In other words,
motivated employees are by far more likely to be satisfied than the unmotivated employees.
Therefore, motivation amongst the employees is a core indicator in any organization that seeks to
grow or survive in this competitive world. To achieve this competitive world, it requires
organizations to incorporate human resources in their overall business strategy. Notably, the
motivating factors ought to have some levels of synergy centered on the companys generic
strategies for them to result in the anticipated outcomes. The information in the above reviewed
theories will play a critical role in guiding the analysis of motivational factors practiced by the
Etihad Airways as well proposing some changes that can result in improved motivational
programs.

Analyses
This study will be carried out using both primary and secondary data methods. The use of
an interview with some of Etihad Airways employees will primary method that shall be used in
collecting data. Therefore, this study will ensure that the interview questions are clearly spelled
out for better understanding. On the other hand, secondary sources will provide a basis by which
the theoretical background will be laid. Academic sources such Peer Reviewed Journals and
industry publications will be the main sources through which secondary data will be collected.

Population and Sample

This study will aim to collect data from employees target population in different
department working at Etihad Airlines. The decision for this sample is informed by the fact that it
is enough to provide a reliable representative data while at the same enhancing high degrees of

12 Etihad Airways

manageability. In particular, this study will collect information from lower level employees, and
supervisory level employees, and middle level employees.

Methods
This study will utilize the methods that will be critical in enhancing data reliability. To
ensure the respondents participate in the interview by providing accurate information, this study
will adopt an inside link with the management to motivate the employees in participating in the
interview.

Data Analysis
This study will adopt qualitative methods to analyze data collected from the interview.
Notably, spread the interview methods will views on motivational programs at the airline.

Philosophical Perspective
In enhance success of this study in regards to the present hypothesis; this study adopted
the positivist perspective. This perspective comprises the testing and assessing the hypothesis by
using practical social practices. Because of its stand regarding the aim and observable realities, it
stands out as the perfect one in this present study. Johnson (2015) argues that knowledge is only
considered valid is it is founded on observed practical reality. Also, positivist purposes that
universal laws are capable of expounding on the causes and effects of relationships. In regards to
the role of motivation in Etihad, the positivist position will be crucial effectively addressed by
this philosophical position.

13 Etihad Airways

Research Ethics
The incorporation of ethics in any research study is crucial in ensuring the validity and
legitimacy of the collected data (Johnson, 2015). For instance, most employees would not want
their respondents published in a manner that exposes their identity. Therefore, this research study
shall ensure that respondent anonymity is provided, and the right to abstain from the interview at
any time will be respected.

An example of how Etihad Motivate their employees (Etihad Website)

A UAE national employee has won the prestigious Chairman of the Executive
Council Medal for Best Employee in Technical Field Award for Excellence in
Government Performance 2015.

Another employees Mr. Mohamed Abdulla Al Katheeri, worked as Head of

Aircrafts Warranty and Guarantee, was promoted to his current position as a result
of his high ambitions, excellent professional achievements and support to realise
his potential.

14 Etihad Airways

Discussion
Recent developments in the aviation industry regard the Etihad Airway as one of the
premier employers in the 21st century. Since it was founded, Etihad has been striving to attract
top talents to ply their services within their airline operations. In 2015, the airline attracted 57
times more applications than the opening vacancies that it had advertised. Rankings and awards
by the Middle East HR Awards indicated Etihad as employer of the year, and was also named by
LinkedIn as one of the top 100 in demand employers in the world (Raeespoor et al., 2015). A
survey conducted in 2014 that targeted the opinion of employees indicated that 93 percent of the
employees at Etihad are satisfied to work at the company. A survey by Raeespoor et al., (2015)
indicated that employee engagement score at the company had improved 18 times compared to
previous years. These figures are an indication that Etihad is a responsible and desirable
organization when it comes to employee affairs.
Of the various theories of motivation, Maslow theory best describes the motivational
practices at Etihad. For instance, findings from the current survey showed that the employees
expected the Etihad Airway to offer promotions and career development as a reward towards
their hard work. 70% of the employees that were interviewed indicated that they were impressed
with the way Etihad Airways is practicing its HR functions, and as a result they are extremely
motivated. Most of the interviewed employees cited the introduction of online training programs
as one of the many programs that made them to be satisfied. This was particularly so because of
the realization that their knowledge needs had been rewarded. Nonetheless, 32% of the
interviewed employees intimated that though there were some efforts to promote motivation
amongst the employees at Etihad Airways, there was still a substantial percentage of potentiality
that is yet to be exploited to enhance the highest levels of satisfaction.
15 Etihad Airways

Moreover, a study By Raeespoor et al. (2015) indicates that the Etihad Airline still
exhibited various practices that contribute to the demoralization of employees. Notably, lack of
career growth and personal development, poor working culture, poor working conditions, lack of
effective team work, and negative management behaviors are some of the factors that led to the
dissatisfaction of employees in those surveyed organizations. The authors of the survey proposed
a number of suggestions that they deemed appropriate in improving employee motivation in
organizations, and they included the following: promoting employees career development,
designing the organizational practices that are recognized by the workers, providing training and
mentoring support, providing employees autonomy, and enhancing open communication
between the workers and the management (Raeespoor et al., 2015)
These suggestions are consistent with Samuel (2001) who in his study proposed
employee training, safe working environment, clear aims, friendly management practices,
appreciation of workers efforts as the critical factors that enhance motivation amongst the
workers in organizations. Viorel et al. (2009) agree with the assertion that effective reward
systems and fairness are critical indicators that promote workers retention and motivation, which
ultimately result in high levels of productivity in any organization. Of the various theories of
motivation, Maslow theory best describes the motivational practices at Etihad. According to the
Vrooms theory, the degree of an individuals motivation is directly related to his or her
perception of how a certain move can result in the achieve
ment of a given outcome and his or her desire to achieve the identified outcomes (Viorel
et al., 2009). Vroom in this theory, factored in an equation that makes it easy for organizations to
make a comparative analysis that is aimed at developing effective motivational factors.

16 Etihad Airways

Conclusions and Recommendations

Conclusion
In sum, it can be argued that Etihad has been committed to ensuring their employees are
motivated by embracing some HR practices. As indicated by various surveys, Etihad Airway
offer promotions and career development as a reward towards to employees, resulting in
motivations amongst employees. Most of the interviewed employees cited the introduction of
online training programs as one of the many programs that made the employees to be satisfied
due to the realization that their knowledge needs had been rewarded. However, results from the
present study indicate that though there are some efforts to promote motivation amongst the
employees by the Etihad Airways, there is still a substantial percentage of potentiality that is yet
to be exploited to enhance the highest levels of satisfaction.

Recommendations
The fact that there are some gaps that are yet to be filed in regards to employee
motivation at Etihad Airways, it is the considered opinion of this research to propose the
following recommendations, which will enhance the company to achieve the highest level of
motivation amongst its employees.
1. Consistent conversations. For high levels of motivation to exist, there is need for the
management to ensure there is consistent communication between themselves and their
employees. Lack of consistent communication is one area that Etihad is clearly missing
from their overall strategy to promote motivations amongst their employees. It is
important to note that these conversations need not to take hours, but they should rather
take place regularly even though they are relatively short.

17 Etihad Airways

2. Prioritize relationships: The fact that front-line managers are busy people, the best way
to motivate their employees is to prioritize relationships to maximize individual
productivity. Notably, it would be better for the front-line mangers to listen to their
employees in regards what they want for them to be motivated.
3. Increasing touch points through technology: The use of technology is an effective way
for front-line mangers to improve on the current relationship with their employees.
Though Etihad has done well to incorporate technology in various capacities, it has yet to
take advantage of technology in regards to increasing touch points between management
and employees. Particularly, the management at Etihad should optimize their efforts to
promote employee motivation by using technology to implement measures that revolve
around employees and suit them over the interests of the managers.

18 Etihad Airways

References
Abeysekera, L., & Dawson, P. (2015). Motivation and cognitive load in the flipped classroom:
definition, rationale and a call for research. Higher Education Research & Development,
34(1), 1-14.
Abumaizar, R. (2009). The worlds fastest growing airline. Retrieved from
http://www.sabreairlinesolutions.com/pdfs/WorldsFastestGrowingAirline_APR_2008.pdf
Bhuvanaiah, T., & Raya, R. P. (2015). Mechanism of Improved Performance: Intrinsic
Motivation and Employee Engagement. SCMS Journal of Indian Management, 12(4), 9297.
Hauser, L. (2014). Work motivation in organizational behavior. Economics, Management &
Financial Markets, 9(4), 239-246.
Johnson, J. S. (2015). Broadening the application of mixed methods in sales research. Journal of
Personal Selling & Sales Management, 35(4), 334-345.
Raeespoor, A., Loghmani, S.A., Rashidi, V., Noshadian,A., Khani, A.M., & Ansari, M. (2015).
Survey in Evaluation Outcome of Motivation in Organizations. Advances in
Environmental Biology, 9(2), 863-868.
Tampu, D. L. (2015). Impact of human motivation on employees performance. Internal
Auditing & Risk Management, 10(1), 43-53.
Viorel, L., Aurel, M., Virgil, M. C., & Stefania, P. R. (2009). Employees motivation theories
developed at an international level. Annals of the University Of Oradea, Economic
Science Series, 18(4), 324-328.
Etihad website. www.etihad.com

19 Etihad Airways