Abstract
Research relevance: This research is relevant as it addresses a critical gap in understanding how specific human capital indicators influence employee motivation in the fast-food industry, a sector characterised by high turnover and performance pressure. By applying the Integrated Reporting (IR) framework, the study provides practical insights for aligning non-financial indicators with employee engagement strategies. The findings can support decision-makers in developing targeted human capital initiatives that enhance motivation, productivity, and long-term value creation.
Research goal: The research aimed to identify which human capital indicators are associated with employee motivation in fast food restaurants in Sri Lanka within the integrated reporting framework.
Research methods: This study employed a quantitative survey method to examine the association between human capital indicators and employee motivation in Sri Lankan fast food restaurants, using the Integrated Reporting Framework. A structured questionnaire, based on key performance indicators developed by Uzule et al. (2024), was distributed to 106 employees. The questions focusing on key performance indicators and staff motivation were measured on the 5-point Likert scale. Data were analysed using descriptive statistics and Spearman’s rho correlation to identify significant associations between human capital factors and employee motivation.
Main findings: The study revealed that employee motivation and satisfaction were at a moderate level, with average scores of 2.93 and 3.02 on a 5-point scale. Among the eight human capital indicators assessed, communication and value creation in companies received the highest average ratings from respondents. Correlation analysis using Spearman’s rho showed significant positive associations between motivation and five indicators: value creation in companies, communication, sustainability, performance, and financial aspects. In contrast, employee competences, risk estimation, and employee well-being did not show statistically significant associations with motivation in this context.
Originality / Value / Practical implications. This research explores the relationship between human capital indicators and employee motivation within the fast-food industry in Sri Lanka, using the Integrated Reporting Framework. The findings reveal that communication, value creation, and sustainability are key drivers of motivation, while traditional factors like employee competencies and well-being show weaker associations. The study contributes to the development of IR by highlighting motivation as a measurable and strategic component of human capital performance.