Interest in the potential and quality industry services are increasingly importance both in the industry itself and academic field over past 20 years. Both the industry and academic field started to emphasize on services since many countries shifted from manufacturing base towards a service based economy (Fitzsimmons & Fitzsimmons, 2006). Malaysia is progress towards high service industry which have places high expectation on their employees to provide excellent services to customers. Malaysia also experiencing new challenges due to commitment towards regional liberalization, globalization and privatization demands. Moreover, there are also rising demand for Malaysia to produce world class products, services and management.
Financial institutions are playing an important role toward economic development and financing the consumer. They provides excellent financial services to the potential customers which leads to loyalty and commitments. According to Daud, Ishak, Yunus &Hussain (2013), banks known for its importance as financial institutions in every country since the institutions has responsibility in controlling the establishment of economic growth (Coelho-Rodriguez, 2001). Banks plays an important role as a financial service in any country such as credit extensions, deposit taking and payment services which is essential for the well-functioning economy (Hupkes, 2000; Goodhart, & Charle, 1998). The banking sectors provide an important role in the worldwide economy and the employees in these financial institutions. Hence, banking sectors considered as the largest and fastest growth industry in Malaysia. According to Marimuthu & Hong (2014), this industry encouraged the development of new infrastructure which leads to new income earning opportunities.
Front line service employees of today known as the part of marketing efforts of organization so they play an important role in order to provide the best services and retaining the relationship with customers. Front line employees also are the people who understand about the demand and expectation of customers since they are the communicators and marketing agents responsible for influencing the sales, maintaining and promoting the image of organization. Thus, treating the service employees well is known as important aspect since they are essential intellectual property of organization. In modern management, it has been believed that employees are not only as worker but the sources of intelligence and wisdom provided by them to move the organization to the next level which is beyond their target and sustain competitive advantages in the industry (Khairuddin & Sapuan, 2016). The lasting and effective competitive advantage of the organization is employees despite of the rapid development of, free flow information, science and technology. It can be found that a sustainable competitive advantage depends on the availability of wise and capable employees (Naserian & et al, 2013). This shows that one of the essential factors which influence the satisfaction of organizations’ customers is based on the quality services provided to them. Therefore, service issues in the organization depends on the level of motivation and job satisfaction to achieve customers’ satisfaction. The biggest challenge for today’s managers are dealing with lack of motivation and irresponsible employees. Studies revealed that the key for success of employees depends on 20% efforts and 80% of motivation (Abadi ; Sabokro, 2016).
Motivation is the most important aspect in every public and private organization. For the success of any organization, motivation play an important role. According to Chintallo ; Mahadeo, (2013), all organization understand the matter of motivation whether they are in private or public sectors (Zameer , Ali, Nisar ; Amir, 2014). According to Chaudhary ; Sharma (2012), basically motivation word derived from Latin word as “Motive” (Ali, 2016). The meaning of motive is needs, wants and desire of a person. So, motivation is a process of directing the employees towards goal attainment. Both intrinsic and extrinsic motivation plays an important role in influencing employee work performance. High level of motivation increases productivity because employees are enjoy performing their work and satisfied with organization. However, motivation is become the major challenges for management since need to ensure every employees are committed and motivated towards performing their work and be a good role model for others (Manap ; Hussain, 2016). So, motivating people is not an easy task because lack of standard methods due to the difference of individuals’ needs. Thus, managers has the responsibility to identify employees’ motivational factors and implementing it.
Today, organization can easily exchanges goods and services to other organizations and countries but the only resources which is not easily exchangeable is human resources. So, we can emphasizes that human resources is the very important and most competitive assets of any organization that can be known as exchangeable. Companies spend a huge amount of expenses to gain customer loyalty but ignore to enhance motivation level of their employees based on their financial and non-financial goals of the firm. So, the motivation is an important factor that affects human resources in any organization. Thus, organization should be motivating their employees for the best performance or achieving the organization goals. Today, there are plenty of studies has been conducted on motivation and the relationship of employee’s efficacy and the organization efficiencies. According to Bartol & Martin (1998), stated motivation is an influential tool that emphasizes a person’s behavior and generates the tendency to continue (Dobre, 2013). In other words, motivation known as an internal initiative to satisfy an unfulfilled needs and to accomplish the organization goal. It is also a process that creates a psychological need that encourage performance which has been acknowledge by objective. According to Wright (2003) mentioned that it is obviously vital for the managers to keep the employees motivated and focused (Emara, Hidayat, Fawaz, 2015). This implies that understanding the motivational factors that influences the overall job satisfaction of employees is very crucial in order to sustain the organization. As a result, it has become a common practice for companies to identify the ways to take care the employee’s well- being and understand the both intrinsic and extrinsic motivational factors that affecting the overall work performance. Ryan & Deci (2000) emphasized that both intrinsic and extrinsic motivational are equally important (Hidayat et.al 2015). According to Chowdhury (2008), both intrinsic and extrinsic motivation plays a significant role which leads to employee work performance. It is clearly stated that employees are generally value both intrinsic and extrinsic factors of motivation in organization setting.
According to Dyne & Pierce, (2004), the idea of psychological ownership for the organization has received increasing attention from the scholars and practitioners as an important predictor of employee behaviors and attitudes (Erkmen & Esen, 2012). Ahluwalia, Khanin & Mahto (2014) mentioned that many organization focus on employee attachment to organization in order to achieve competitive advantage. According to Khanin, et.al (2014), there are multiple studies have established the positive impact of employee’s attachment towards organization’s outcomes such as performance, turnover and absenteeism. Mahto, et.al (2014) stated that strong attachment to an organization will bring the employee to go to extra mile and develop contribution which leads to overall performance. Psychological ownership as the state in which an individual feels the target of ownership is his (Vandewalle, Vandyne & Kostova, 1995). Brown (1989), stated that psychological ownership provides the competitive difference in order to improve performance. Employees with PO assume that targets as their extension, defend the organization voluntarily and feel responsible towards organization goals and the result is improvement of organizational performance (Pierce et.al, 2001). Mayhew et al., 2007; Van Dyne & Pierce, 2004) supported this view, mentioned that it can be expected in-role performance positively influenced by PO. An empirical research that investigated this relationship concluded that PO affected positively on job satisfaction and performance (Md-Sidin et al., 2010; Avey et al., 2009).
As stated by Sayej (2015), the term “performance” is utilized to focus attention towards total behavior on his or her organization with the use of specialized knowledge and attitude attained from training as well as organization and integration of practice (Bargagliotti, 1999). Productivity of companies increases based on the employee performance towards their job. Sayej (2015) stated that performance related behavior is directly related to job tasks and intention to accomplish the jobs objective (Awases, 2006). Moreover, WHO Health Report (2006) mentioned that performance also known as combination of staff being competent, available, productive and responsive (Sayej, 2015). Work performance play an important role for organizations to gain competitive advantage and productivity. Effective work performance is the outcome of valid result in a work organization. As mentioned by Ekpang (2015), it is when employees able to achieve the expected result that may increases the productivity in the work organization setting (Clark, 2000). In other hand, Strebler (2004), revealed that poor performance known as a condition which the employees behavior or performance might be fall below the required standard (Ekpang, 2015). Poor performance is a major issues for managers and employees in any organization. It is a serious concern for senior managers due to their authority to measure the effectiveness of the organization perform. It is also an emotive issues which become quite personal since the productivity and working environment are affected (Strebler , 2004) . Organizational productivity often seriously affected when job performance of employees are declining (Ekpang, 2015). Based on this awareness, many organization still struggle from lacking of organizational productivity due to employee job performance. Shaffril (2010) stated that employees believe work performance is beneficial for them, customers and importantly to their organization (McKendall and Margulis, 1995 and Cook and McCaulay, 1997). According to Waldman, (1994), Individual of work performance is an issue that is not only grasped companies all over the world but also extensive research in field of management, occupational health and work and organizational psychology (Koopmans, 2011). So, work performance defined by Campbell (1990) as behavior or action that align with goals of the organization. Worker performance based on their level of motivation which clearly encourage them to come to work regularly, be flexible, work diligently and be willing to take out necessary task (Sarpong, 2016). In addition, the performance of banking service based on quality and motivation of employees.