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Theo Haimann defines morale as "a state of mind & emotions affecting the attitude & willingness to work which, in turn, affect individual and organizational objectives."The perception of employees about the organization, its philosophy, feeling towards co-workers and supervisors are some of the factors which affect employee morale. High morale leads to high degree of employee interest in the job and in the organization, willingness for the attainment of organizational objectives, loyalty to the organization etc. If you are interested to know more, take a look at Employee Morale. On the other hand low morale of an employee adversely affects the quantity, quality and cost of product. It deteriorates the initiative, enthusiasm, discipline and cooperative nature of employees, which leads to reduced productivity of an organization. This is not acceptable for any organization. Now question may arise, what is meant by productivity? Productivity is nothing but ratio of output to the input.Morale is theoretical concept. There is no direct method to measure or evaluate the morale of an employee. However by systematic observation of worker, surveys through questionnaires and records relating to the absenteeism, labor turnover, late arrivals, and work done by employees can give you clear idea about morale of an employee.Once management comes to know about the low morale of an employee, it is prime duty of the management to promote and maintain high morale. High morale is created by continuous motivation, good working environment, good leadership, employee's participation, rewards for new ideas, job evaluation for fixing higher wages and promotions, good recreational, canteen, transport, housing facilities etc. High morale of employee leads to better quality and quantity of the product, thereby increasing the overall performance and productivity of the organization.There are so many other parameters to increase the productivity but morale of an employee plays an important role in increasing the productivity of an organization. For more info, visit Employee Morale.