Indicators of Motivation and Employee Satisfaction in Public Enterprise – Case Study of PE “ Post of Serbia ”

To motivate employees and create conditions for their satisfaction is one of the most important tasks of management aiming to create a successful organization. Employee satisfaction can lead to greater support of employees in achieving goals of the organization and creating a wider and larger market of products and services and higher profits. The paper’s objective was to examine key elements that influence satisfaction and motivation of the employees in public sector, i.e. in PE “Post of Serbia”. Public and private companies are different in material incentives which they provide to their employees, in fact public companies do not provide them, but are replaced by other factors of motivation and satisfaction, such as security. The paper also analyses the interactions between demographic factors-level of qualifications, years of work experience and age, on perception of satisfaction and motivation of employees as well as the consequences of these relations. Perception of satisfaction and motivation of employees is analyzed by using the responses of employees on questions divided into six groups: material conditions, safety, acceptance and social component, respect and status, selfconfirmation and loyalty. The research uses the questionnaire methodology to collect data and it includes 31 questions regarding the satisfaction and motivation of the employees and demographic questions. The statistical analysis of the survey results provides the information on this area’s condition 1 University of Belgrade, Technical Faculty in Bor 2 University of Belgrade, Technical Faculty in Bor 3 National Employment Service, Branch Office Jagodina 4 John Naisbitt University of Belgrade, Faculty of Management in Zajecar, darjankarabasevic@gmail.com Urošević S. et al.: Indicators of Motivation and Employee Satisfaction in Public.. 78 Industrija, Vol.44, No.3, 2016 in Serbia, and first of all it points out the key elements of possible improvements. Instruments for collecting data used in this paper and data analysis gained in this way represent the very useful mechanism for helping the management to achieve better motivated and satisfied employees.


Introduction
One of the important questions that is lately gaining more importance is the question of motivation and satisfaction of employees in the organization.Lawler (2003) in its research states that the prosperity of the organization and its survival in a highly competitive environment largely depends on the manner of treating of human resources.It is indisputable that the human resources in the organization needs to be managed strategically.This fact is known to managers as they increasingly realize that people are a crucial resource in the organization (Mayo, 2001;Dickmann, 2016).Therefore, questions concerning the motivation and satisfaction of employees have become the main object of interest for modern managers, simply because these questions affect the organization's performance.This paper is part of a larger study conducted in order to examine the factors that affect the motivation and satisfaction of employees.The aim of the research is to study the interaction between individual demographic factorslevel of of qualification, years of work experience and age as well as the perception of satisfaction and motivation of employees.
The perception of satisfaction and motivation of employees is examined by using the responses of employees based on the following variables: educational background, years of work experience and age, which were taken as factors, and the respondents' answers on questions are divided into 6 groups of questions (material conditions, safety, acceptance and social component, respect and status, self-confirmation and loyalty) as the dependent variables.In this way, the influence factor is calculated for each of the dependent variables.
In accordance with the problem and the aim of the research, null i.e. basic research hypothesis is formulated as follows: HO-Demographic factors -age structure of respondents, years of work experience of the respondents and qualifications of the respondents have an impact on respondents' answers on questions arranged into 6 groups of questions -material conditions, safety, acceptance and social component, respect and status, self-confirmation and loyalty affect the status of job satisfaction and motivation of employees.
Confirmation of the basic hypothesis will be achieved by using auxiliary hypotheses: H1-The age structure have no significance to the state of job satisfaction and motivation for employees.H2-Years of working experience have no significance to the state of satisfaction and motivation of employees.
H3-Level of qualification has a great significance to the state of satisfaction and motivation at work.
Research was conducted in the public enterprise "Post of Serbia", company dealing with the development of telecommunications and other forms of communication, and from the first post from the 19th century has grown into a modern enterprise which absolutely meets the needs of a modern company (http://www.posta.rs/struktura/lat/o-nama/istorijat.asp) through providing highquality, competitive and reliable postal, logistics and financial services with a high level of customer satisfaction (http://www.posta.rs/struktura/lat/onama/korporativni-profil.asp).In terms of improving the educational structure of employees and professional development of employees, the company makes efforts, and PE "Post of Serbia" has about 15,000 employees, namely 14,969 employees of different educational qualifications (http://www.posta.rs/struktura/lat/o-nama/korporativni-profil.asp).Due to the above facts related to providing quality services, the relationship towards the employees and the desire to help us in the conduct of of this study, therefore PE "Post of Serbia" is selected as a representative of a public enterprise.This paper is based on the results of a study that is conducted on a similar methodology that is given in the literature.Questionnaire about motivation and employee satisfaction has been developed unrelated to economic activity and its character is universal.
The aim of this paper is to analyze and elucidate the important influential factors on motivation and employee satisfaction in the public sector in order to make a positive shift by appropriate actions.Employee satisfaction can lead to greater support by employees in achieving the goals of the organization, creating a wider and larger market products and services and higher profits.
Therefore, the paper is organized as follows: Section 1 presents the Introduction, while Section 2 provides Literature review.Section 3 presents Results of the conducted study, while Section 4 provides Discussion.Finaly, Conclusions are given in Section 5.

Literature review
It is known that the human resources are a crucial factor in business processes.Their development, motivation and job satisfaction have become the main tool of competitive advantage in the global and extremely choosy market.Employee satisfaction is one of the most important prerequisites of any successful economic activity.Job satisfaction can be defined as a pleasant emotional state of the employee in respect of its business tasks, supervisors, situations at work and the organization as a whole (Sarwar & Khalid, 2011).Job satisfaction is actually the satisfaction of an individual with its own work.Job satisfaction can be reduced with the influence of various factors such as: policy of the organization, control, administration, salary and quality of life.Research shows that job satisfaction represents the difference between what people expect from their work and what they have in reality (Farooqui & Nagendra, 2014). However, Sundarminingsih et al. (2016) state that the goal of work for some people i.e. workers is not only to get the salary, but the main goal is to reach the satisfaction at work.They also state, that the satisfaction can be reached if the performance matches the expectations.
Hence, the management sets a series of tasks with a single purpose -to motivate employees and achieve their satisfaction.In this way, organization more successfully accomplish its goals.The link between employee satisfaction and organizational performance is very complex and it is affected by job characteristics, employee conduct, personal value system, and other demographic and organizational factors.(Acuna et al., 2009;Gil et al., 2008) believe that there is a relation between satisfaction of employees and their personal characteristics processes in organization and quality of products/services.Factors and elements of employee satisfaction were analyzed by many authors.Rutherford et al. (2009) emphasize in their study the satisfaction by supervisor, job description, policy and support on the job, the possibility of training and career development, financial conditions, interpersonal relationships, and ultimately customer satisfaction as key elements of employee satisfaction.Bebbe et al. (2009) highlights the special significance of the material conditions on the motivation and satisfaction of employees.Job satisfaction is the essential component for employee motivation and encouragement towards better performance (Raziq & Maulabakhsh, 2015).Very important factors of employee satisfaction are the organizational structure and the perception of employees that are generated based on it Ogaard et al., 2008).Job satisfaction source is not only position held in workplace, but also physical, social environment and relations between managers and colleagues, group culture and management style.All those factors have different effects on individual's job satisfaction levels (Rashidi et al., 2012).According to results obtained from the study (Tepret & Tuna, 2015) there is positive and strong relationship between leadership styles and job satisfaction.Јob security, support from coworkers and support from supervisors were found to have significant influence on job satisfaction (Jo & Shim, 2015).
Research of employee satisfaction provides the basis for defining the concept of motivation, while respecting the needs and level of fulfilment the needs of the organization and the basis for the actions and measures in order to improve of employee satisfaction (Tanasijević, 2011).Job satisfaction can affect various aspects of work, such as efficiency, productivity, absenteeism, abandoning work, as well as the total well-being of the employee (Nagar, 2012).
In this way, by analyzing the influential factors on the employee satisfaction and motivation, it is possible to form method for estimating and measuring of satisfaction, as well as for statistical analysis of satisfaction and all influential parameters (Smith et al., 1969;Weiss et al., 1967).The valid and reliable questionnaire is made by combination of demographic factors and key aspects of satisfaction and motivation of employees.Statistical analysis of data allows obtaining very important informations that management can use as a guide in the direction of increasing the motivation end satisfaction of their employees (Bowling & Hammond, 2008;Cammann et al., 1983).On the other hand, research (Proroković et al., 2009) shows that there is no significant correlation of job satisfaction and variables, such as: age and years of work experience.
Regarding the problem of differences between employees in the private versus public sector, numerous studies were conducted.De Bernardo ( 2008) emphasizes that it is important to compare the employees in these two sectors perceiving several aspects of work: the issue of salaries, job security but also reward system in the public sector.In addition it should be noted that public and private companies are different in incentives given to individuals.Public companies do not offer financial incentives, but they are replaced by other factors of motivation and satisfaction, such as security.Also, Ilić & Živković (2011) state that performance management of public sector and employees' motivation and training of employees are not covered by government regulations.An important factor that can affect the productivity of employees in the public sector is commitment to the organization, and the commitment of employees positively affects motivation and job satisfaction (Slavković, 2014).Frank & Lewis (2002) examined the public sector employees and private sector employees and found three differences between the two sectors: 1. Public and private sectors can offer different types of awards; 2. Employees in the public and private sectors can seek different rewards and they could evaluate them differently.3. Employees in the public and private sectors can differ in work ethics and other personality characteristics that affects the work and dedication.

Research Methodology
The method of the questionnaire is used to collect the data in this study.The structured questionnaire still has great significance despite the many innovations that cover this area.The emphasis is on detailed and complex cross-analysis of data collected in order to understand the motivation of employees.The first phase of this research was surveying the examinees and data collection.The second phase of the research involves the analysis of the obtained results, outlining findings and making models.The research model was tested by a software package for statistical analysis SPSS v18.
The questionnaire (Appendix 1) is composed of two parts.The first part consists of three questions regarding demographic data.The second part is a questionnaire consisting of 31 questions divided into 6 groups (marked from SC1 to SC6), which are related to employee motivation.This model was developed on the basis of the literature review and sublimation of previous studies.Five-point Likert scale was used for gradation of received responses, where 1 is the least important and 5 is most important.The survey was anonymous and conducted in the Public Enterprise "Post of Serbia" which can be considered as a representative company of the public service in Serbia.700 questionnaires was distributed to employees.Feedback was received from 328 employees (the number of correctly completed questionnaires), which is 46.85% of total number of questionnaires.This level of response was within the expected and this is in line with the results given in the literature (Das et al., 2000;Kayank, 2003).
The basic information about the participants of the survey are presented in Table 1.

Analysis of indicators reliability
Validity and reliability of testing reflect the internal consistency, both within the group of questions, and among the items of the questionnaire.In this study, the reliability and validity of the results was performed by the Cronbach alpha test (Allen et al., 2002;Kupermintz & Lee, 2003).According to this test, the values of the coefficient α (coefficient of coexistence) above 0.7 represent a good possibility of modeling the survey results in the considered population.Cronbach alpha coefficient of the total population (GSC) was 0.953, while the values of α coefficient for the group of questions (SC1 to SC6) are shown in Table 2.These values of Cronbach alpha test suggest that the obtained results about the motivation of employees are valid and reliable.

The factor analysis
The factor analysis was performed in order to confirm the one-dimensionality of the sample.When observing a specific set of questions, it is important that their biggest factor (loading factor) is in the same column, confirming the onedimensional set of questions.Accordingly, correctness of the chosen model is confirmed by checking the one-dimensionality of the sample (Gorsuch, 1983;Sheppard, 1996;Sternberg, 1990;Stills, 1989;Velicer & Jackson, 1990).
Table 3 presents the results of factor analysis of the studied sample.
Table 3 shows that the factor (loading factor) has the highest value in the first column (factor 1) for all the questions of first five groups (SC1-material conditions, SC2-security, SC3-acceptance and social component, SC4respect and status and SC5-self-confirmation).These groups show onedimensionality, and thus proving the correctness of their conception.
In the sixth group of questions (SC6-loyalty), the highest factor value is in the third column (factor 3) for questions SC6-1 (I am ready to invest effort to have a share in success of the organisation), SC6-3 (I care about the organization's destiny) and SC6-4 (I am highly loyal to the organization).Only in question SC6-2 (I am planning to build career in this company) is the highest factor value in the first column (factor 1).
In this way, one-dimensionality of questions in sixth group is not confirmed (SC6-loyalty) by factorial analysis of the entire sample.However, when we exclude the impact of questions of other groups, ie. by factor analysis of sixth group separately, its one-dimensionality is confirmed.This has confirmed a good selection of model for survey.

The impact of demographic factors on respondents' answers
During the survey, some demographic factors about respondents were obtained.Thay include the age, years of experience and finally, education level of respondents.It was necessary to do the adequate testing in order to determine whether these demographic factors influence the respondents' answers.For data that may have more than two possible values (in the case of all three demographic factors, the number of possible values is five), most favorable is the use of ANOVA (Analyzes of variaces) (Kirk, 1995).The variables in this test were taken as factors (age, years of experience and education of the respondents).Also, the respondents' answers to questions in the group were taken as the dependent variable (dependent list).Accordingly, the influence of factors is calculated on each of the dependent variables.Statistical influence exists if the probability of p <0.05.
Table 4 shows the results of ANOVA test, and the impact of age, years of work experience and education of the respondents to the job satisfaction and motivation.
Based on the results shown in Table 4, it is evident that the age structure has the statistical significance on the answers to questions in two groups -SC2 (security) and SC5 (self-confirmation).On the other hand, the age structure has no statistical significance (no significancen.s.) on the answers to questions in the remaining groups -SC1 (material conditions), SC3 (acceptance and social component), SC4 (respect and status) and SC6 (loyalty).
Also, years of experience has no statistical significance on the answers to questions in the all groups (no significancen.s.).On the other hand, analyzing the statistical significance of education college, it is evident that there is such an impact on the questions of all groups except group SC6 (loyalty).

Structural analysis-setting the theoretical model
The indicator that can be used for non-competitive strategic analysis is approximate error RMSEA (root-mean-square error of approximation), taking into account the absolute congruence model.RMSEA indicator is based on the approximate error that occurs due to the expected degree of freedom in the population.The lower the value of the indicator, the better the congruence.The congruence is acceptable for values below 0.10 (Molina, 2007).In our model, the indicator has the value 0.084, so it demonstrates a very good congruence.
In our case, this value is 1308.19/394= 3.32, which is slightly above the upper-lower possible limits defined by the mentioned group of authors, but it is within the upper limit.The cost of the proposed model is the final aspect that must be considered.
From the proposed measurements, only the average shi-square is used in valid analysis (value 2 /d.f.).This measured value has to be above 1 and less than 3, or even 5 to ensure correct data fitting and to get the representative data (Hair et al., 1998;Molina, 2007).In our case, this value is 1308.19/394= 3.32, which is slightly above the upper-lower limits defined by the mentioned group of authors, but it is within the upper limit.The results of structural analysis are shown in Figure 1.

Correlations between individual groups of questions
Correlation indicates whether there is a link between variables, and if such a link exists, it shows its intensity and direction.Correlation between the variables exists when two variables vary together.Coefficients of correlation range from -1 to + 1, and both of these values indicate that there is a strong relationship between the variables.If the coefficient is equal to zero, then there is no correlation.In the case where the coefficients are positive, if the value of one variable increases, the value of the other increases, too, or vice versa, when the value of one variable decreases, the value of the other decreases.The values of the coefficients of correlation are given in Table 5, while Table 6 shows the covariance of the overall model.

Discussion
The survey of satisfaction and motivation of employees can be validly and reliably made on the basis of data obtained using a questionnaire consisting of 31 questions.Questions were divided into six groups: material conditions, security, acceptance and social components, respect and status, selfconfirmation and loyalty.
Analyzing the obtained results of the survey, it is concluded that there is a quite high level of job satisfaction.An interesting finding of this survey is that the age of the employees has very little effect on responses to questions, i.e. the age has very little impact on employee satisfaction and motivation.Also, an interesting finding from the research indicates that years of experience has no effect on respondents' answers.Employee satisfaction tends to increase with years of experience and Hajdukova & Klementova (2015) in their study confirm the theoretical assumption about the variability of the level of employment during their working life.It is fully equal to the attitude of employees about satisfaction and motivation, whether they are at the beginning of their working careers, or before its completion.On the other hand, research has shown that college education has a huge impact on the state of satisfaction, motivation at work, etc. Acuna et al. (2009) analyzed similar demographic factors in their study.
Group of questions called security and self-confirmation were the most sensitive elements of employee satisfaction.Employee security is an element that shows the highest sensitivity and diversity of responses of employees.This result is logical.Employees with lower education and lower positions in the hierarchy of the company, due to the description of their jobs, certainly have attitudes different than employees with a university degree and appropriate positions in the company.Hence, this area gives to managers plenty of room for improving the organization, work tasks and etc., in order to increase the security of employees in their workplaces.Consequently, this actions can increase job satisfaction, and employee motivation.Another very sensitive and crucial element is the self-confirmation.As with the previous element, self-confirmation is greatly affected by education of the employee, his/her position in the hierarchy of the company, then years of experience, and finally, the managers should take into account that young and old people have very different views on the self-confirmation in the work.For this reason, self-confirmation is proved as a very important element in terms of achieving the full satisfaction of employees and increasing their motivation to work.Similar to that element, Ruttherford emphasizes the importance of training opportunities.
Certainly, it would be wrong to neglect other elements affecting the satisfaction and motivation of employees.Based on the research, previously emphasized two elements can be considered as a suggestion about the widest fields of activity of management, but to achieve the best results, any of the elements cannot be overlooked.It is up to the management of the company how they will create the mix of elements in terms of fostering motivation and increase employee satisfaction.Therefore, it is necessary to emphasize the crucial role of management in this regard.Cheung et al. (2008) highlight this attitude and conclusions.
The absolute congruence of models of employee satisfaction and motivation is noticed by analyzing the structural analysis.The conclusion is that the perception and the level of satisfaction and motivation of employees can be reliably measured by six factors: material conditions, security, acceptance and social components, respect and status, self-confirmation and loyalty.Also, it is possible to form the six hypotheses in future research.The hypotheses are as follows: H1: material conditions -poor material conditions lead to reduction in employee satisfaction, H2: security -increased security at work increases employee satisfaction, H3: acceptance and social componentsmore developed organizational culture has a positive effect on employee satisfaction, H4: respect and status -reduced ability to self-actualization of employees leads to decrease in their satisfaction, H5: self-confirmationemployee satisfaction is higher if climate for planning and career development is more suitable, H6: loyaltyhigher level of employees satisfaction corresponds to a higher degree of loyalty to the company.

Conclusion
The success of organization largely depends on the level of employee's satisfaction and motivation to work.They are a decisive factors in the development of social relationships and increasing business efficiency.In Serbian practice, adequate attention is not given to these factors, regardless of being well known and accepted facts.Sure, it's wrong, just because the level of achievement of the organizational objectives depends on the satisfaction and motivation of employees.
Motivation of employees depends on the ability of managers, their behavior and skills to foster motivation and ability to create such organizational climate that will result in employee satisfaction.The employees motivation and satisfaction have become the basis of interest of management in modern business conditions.The only quality motivational system can help organizations to increase their competitive ability and preference.Of course, we need to know the key elements of the area in order to act in practice in this direction.For this reason, there is the importance of researches.Practical research such as this study can contribute in a positive way as individual cases (companies), and in terms of the formation of a general pattern of managers' activity in the field of employee motivation and creating their satisfaction.
In order to achieve higher motivation of employees on the basis of actions on influential elements, it is necessary to gain theoretical knowledge and, of course, the ability of utilization of this knowledge in practice.Such a capability of managers is something that can not be much affected, but it can certainly be improved through the process of learning and practical action.
Based on the research conducted among employees in PE "Post of Serbia", it was concluded that the age of the employees has very little influence on the answers to the survey questions, i.e. that age has very little influence on employee satisfaction and motivation, and that years of working experience has no influence on respondents' answers.On the other hand, research has shown that the level of qualifications has a strong impact on satisfaction and motivation at work, which confirms the proposed research hypotheses.Also, it can be concluded that the perception of the state of satisfaction and motivation of employees can be reliably measured by using six factors: material conditions, safety, acceptance and social component, respect and status, Self-confirmation and loyalty.
This and similar studies can serve as a means of education in terms of the guidelines, and the questionnaire used in this study may be a useful tool for periodically checking the state of the employees satisfaction and motivation.
Based on the obtained results in this study, the management of the company can accurately determine which are the areas where action is needed.It is not possible to define what exact measures will be taken in a particular company in this way, and it is the task of its management, but it will certainly give the basic guidelines for achieving the company's objectives.

Figure 1 .
Figure 1.Structural model of research results

Table 1 .
The structure of surveyed enterprises by number of employees

Table 2 .
Coefficients of internal coexistence of questionnaire

Table 3 .
Results of the factor analysis

Table 4 .
The impact of demographic factors on job satisfaction and motivation of employees

Table 5 .
Correlations between groups of questions

Table 6 .
Covariance of the overall model