Motivation

Motivation

1. What is motivation?

   • motivation refers to the desire, internal need, effort and passion to achieve something.

2. Motivation is important because…

   • the more motivated an employer is, the more productive he is, leading to an increased revenue
   • it improves corporate image helping to attract customers and employees
   • it brings better relationship between management and employers
   • results in lower absenteeism and turnover of staff

3. Poor motivation can result in…

   • high rate of absenteeism and labour turnover
   • low productivity and low quality of output
   • increased number of disciplinary problems and levels of conflict

4. Intrinsic Motivation

   • occurs when a person engages into an activity out of his own desire because he finds the activity challenging

5. Extrinsic Motivation

   • occurs when a person participates in an activity because of the benefits associated with this activity
   • rewards can be tangible or intangible

6. Financial reward systems

   • hourly wage rate: payment made to work depending on hours work
   • piece rate: payment to worker for each unit produced
   • salary: annual income paid on monthly basis
   • commission: a payment to a sales person for each sale made
   • performance-related pay: bonus scheme t foreword staff for above-average work performance (advantages: staff are motivated to improve performance, target setting can help give purpose and direction, annual appraisal offers the opportunity for feedback on the performance of an individual) (disadvantages: it can fail to motivate if staff are not driven by financial awards, team spirit can be damaged by the rivalry generated, claims of manager favouritism may undermine relationships, less autonomy for workers as they need to conform to the system that generates bonuses)
   • profit-related pay: bonus for staff based on the profits of the business
   • fringe benefits: financial extras beyond the regular pay cheque
   • employee share ownership schemes: employee benefit scheme intended to motivate employees by giving them participation in the firm

7. Non-financial rewards:

   • Job enrichment: aims to use the full capabilities of workers
   • job rotation: multi-skilling a worker by moving them into another position at a similar level
   • job enlargement: attempting to increase the scope of a job by broadening the tasks undertaken
   • empowerment: non-financial motivator which involves a line manager giving her subordinates

8. purpose/opportunity to make a difference

   • team working: production is organised so that groups of workers undertake complete units of work
   • financial and non-financial rewards may affect job satisfaction, motivation and productivity in different cultures.

9. Taylor’s Scientific Management

   • taylor believed specialisation and division of labour lead to greater levels of productivity
   • introducing a piece-rate payment system to link pay with productivity
   • select workers to peform a task, observe them performing the task and note the key elements of it, record the time taken t do each part of the task, identify the quickest method recorded, train all workers in the quickest method and do not allow them to change it, supervise workers to ensure that ‘the best way’ is working, pay workers based on results
   • disadvantages- very task orientated and does not meet people’s needs, system goes hand in hand with an autocratic management style.

10. Maslow Hierarchy of needs

    • needs consist 5 levels
    • Maslow said that people tend to satisfy their needs systematically, higher levels cannot be addressed if lower levels are not met.
    • (highest) self actualisation- refers to the needs for fulfilment of a personal potential, businesses can encourage this by providing opportunities for personal development
    • Maslow’s Hierarchy is important because it helps managers clearly identify the variety of workers needs that must be satisfied if employees are to be motivated, workers would not be motivated by higher level needs if lower ones are not satisfied. If a worker paid starvation wages in unlikely to be motivated by praise from managers.
    • However, levels of needs are difficult to measure
    • it is not consistent form of behaviour for many people

11. Herzberg’s Two factor Theory

    • Hygiene Factors
      • Supervision
      • poor working conditions
      • lack of job security
      • low pay
      • organisational policies and procedures
      • - hygiene factors will not motivate you to work harder but they will stop you from being unhappy
    • Motivating Factors
      • achievement
      • recognition
      • personal development
      • stimulating work
      • responsibility
      • advancement
      • motivational factors or satisfiers encourage personal development and pride.
      • when they exist, motivating factors create job satisfaction and high performance
      • Herzberg’s theory allows managers to see clearly two simple categories of factors
      • can then motivate workers by making the work rewarding and also ensure that hygiene factors are presented so that workers are not de-motivated.

12. Adam’s Equity theory

    • states that people will be motivated when they perceive that they are being treated fairly
    • the idea that employees try to maintain equity between inputs and outputs compared to others in similar positions
    • Inputs- time, effort, ability, loyalty, tolerance, flexibility, integrity, commitment, reliability, heart, soul, personal sacrifice
    • Outputs- pay, bonus, perks, benefits, security, recognition, interest, development, reputation, praise, responsibility, enjoyment

13. Daniel Pink’s Motivation Theory

    • Autonomy- desire to direct our own lives
    • Mastery- urge to get better and better at something that matters
    • purpose- the yearning to do what we do in the service of something larger than ourselves