Henry Ford’s automobile giant was the beginning of HRM in organizations. Then from the World War I and until the Great Depression in 1930’s the Hawthorne experiments revealed certain facts (RANKIN, 2006).
The study says that the organizations improved the lighting and hygiene (motivational or satisfaction factors) so the employee performance improved but later it was found out that it was the concern and that care shown by the organization that actually motivated the employees to work better (MILSOME, 2006). The theory also talks about dissatisfiers and that the absence of these factors is not enough because there have to be effective motivational factors. But although the presence of dissatisfiers can cause dissatisfaction among employees and that will result in poor performance and eventually increasing turnover (PURCELL, 2007).
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