Employee Motivation Project Report
Employee Motivation Project Report
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Executive Summary
Motivation in simple terms may be understood as the set of forces that cause
people to behave in certain ways. A motivated employee generally is more quality
oriented. Highly motivated worker are more productive than apathetic worker one
reason why motivation is a difficult task is that the workforce is changing.
Employees join organizations with different needs and expectations. Their values,
beliefs, background, lifestyles, perceptions and attitudes are different. Not many
organizations have understood these and not many HR experts are clear about the
ways of motivating such diverse workforce.
Now days employees have been hired, trained and remunerated they need to be
motivated for better performance. Motivation in simple terms may be understood as
the set or forces that cause people to behave certain ways. People are motivated
rewards something they can relate to and something they can believe in. Times
have changed People wants more. Motivated employees are always looking for
better ways to do a job. It is the responsibility of managers to make employees look
for better ways of doing their jobs.
Individuals differ not only in their ability to do but also in their will to do, or
motivation Managers who are successful in motivating employees are often
providing an environment in which appropriate goals are available for needs
satisfaction. Retaining and motivating workers requires special attention and the
responsibility falls squarely on the shoulders of HR as well as managers and
supervisors at all level. They have to create a work environment where people enjoy
what they do, feel like they have a purpose and have pride in the mission of the
organization. It requires more time, more skill, and managers who care about
people. It takes true leadership.
By giving employees special tasks, you make them feel more important. When your
employees feel like they are being trusted with added responsibilities, they are
motivated to work even harder so they won’t let the company down.
Motivation is essential for any company because employee is Asset of company.
Motivation is important for the growth of employees as well as growth of the
organization.
Introduction
In the organizational setting the word “Motivation” is used to describe the drive that
impels an individual to work. A truly motivated person is one who “wants” to
work .Both employees and employers are interested in understanding motivation if
employees know what strengthens and what weakens their motivation, they can
often perform more effectively to find more satisfaction in their job. Employers want
to know what motivates their employees so that they can get them to work harder.
When people speak of motivation or ask about the motives of person, they are
really asking “Why” the person acts, or why the person acts the way he does .The
concept of motivation implies that people choose the path of action they follow.
When behavioral scientists use the word motivation, they think of its something
steaming from within the person technically, the term motivation has its origin in
the Latin word “mover” which means “to move”. Thus the word motivation stands
for movement. One can get a donkey to move by using a carrot or a stick; with
people one can use incentives, or threats or reprimands. However, these only have
a limited effect. These work for a while and then need to be repeated, increased or
reinforced to secure further movement.
If a manager truly understands his subordinate’s motivation, he can channel their
“inner state” towards command goals, i.e., goals, shared by both the individual and
the organization. It is a well known fact that human being have great potential but
they do not use it fully , when motivation is absent .Motivation factor are those
which make people give more than a fair day’s work and that is usually only about
sixty-five percent of a person’s capacity .Obviously , every manager should be
releasing hundred percent of an individual’s to maximize performance for achieving
organizational goals and at the same to enable the individual to develop his
potential and gain satisfaction. Thus every manager should have both interest and
concern about how to enable people to perform task willingly and to the best of
their ability.
At one time, employees were considered just another input into the production of
goods and services. What perhaps changed this way of thinking about employees
was research, referred to as the Hawthorne Studies, conducted by Elton Mayo from
1924 to 1932 (Dickson, 1973). This study found employees are not motivated solely
by money and employee behavior is linked to their attitudes (Dickson, 1973). The
Hawthorne Studies began the human relations approach to management, whereby
the needs and motivation of employees become the primary focus of managers
(Bedeian, 1993).
Motivation Theories
Understanding what motivated employees and how they were motivated was the
focus of many researchers following the publication of the Hawthorne Study results
(Terpstra, 1979). Five major approaches that have led to our understanding of
motivation are Maslow's need-hierarchy theory, Herzberg's two- factor theory,
Vroom's expectancy theory, Adams' equity theory, and Skinner's reinforcement
theory.
According to Maslow, employees have five levels of needs (Maslow, 1943):
physiological, safety, social, ego, and self- actualizing. Maslow argued that lower
level needs had to be satisfied before the next higher level need would motivate
employees. Herzberg's work categorized motivation into two factors: motivators and
hygienes (Herzberg, Mausner, & Snyderman, 1959). Motivator or intrinsic factors,
such as achievement and recognition, produce job satisfaction. Hygiene or extrinsic
factors, such as pay and job security, produce job dissatisfaction.
Vroom's theory is based on the belief that employee effort will lead to performance
and performance will lead to rewards (Vroom, 1964). Rewards may be either
positive or negative. The more positive the reward the more likely the employee will
be highly motivated. Conversely, the more negative the reward the less likely the
employee will be motivated.
Adams' theory states that employees strive for equity between themselves and
other workers. Equity is achieved when the ratio of employee outcomes over inputs
is equal to other employee outcomes over inputs (Adams, 1965).
Skinner's theory simply states those employees' behaviors that lead to positive
outcomes will be repeated and behaviors that lead to negative outcomes will not be
repeated (Skinner, 1953). Managers should positively reinforce employee behaviors
that lead to positive outcomes. Managers should negatively reinforce employee
behavior that leads to negative outcomes.
WHAT IS MOTIVATION?
A basic principle is that the performance of an individual depends on his or her
ability backed by motivation. Stated algebraically the principle is:
Performance =f (ability × motivation)
Ability refers to the skill and competence of the person to complete a given task.
However, ability alone is not enough. The person’s desire to accomplish the task is
also necessary. Organizations become successful when employees have abilities
and desire to accomplish given task.
Motivation in simple terms may be understood as the set of forces that cause
people to behave in certain ways.
6
Reassess needs deficiencies
5
Receives either rewards or punishment
4
Performs
3
Engages in goal directed behavior
2
Searches for ways to satisfy needs
1
Identifies needs
EMPLOYEE
Framework of motivation
Framework of motivation
The framework comprises six steps.
(step1) Motivation process begins with the individual’s needs. Needs are telt
deprivations which the individual experiences at a given time and act as energizers.
These needs may be psychological (e.g., the needs for recognition), physiological
(e.g., the needs for water, air or foods) or social (e.g., the needs for friendship).
(step2) Motivation is goal directed.
(step3) A goal is a specific result that the individual wants to achieve .An
employee’s goal are often driving forces and accomplishing those goals can
significantly reduce needs.
(step4) Promotions and raises are two of the ways that organizations seek to
maintain desirable behavior. They are signals to employees that their needs for
advancement and recognition and their behaviors are appropriate.
(step5) Once the employee have received either rewards or punishments.
(step6) They reassess their needs.
DEFINITIONS
Some definitions on motivation:
…how behavior gets started is energized, is sustained, is directed, is stopped, and
what kind of subjective reaction is present in the organism while all this is going on’
jones, 1955).
…the term motivation refers to a process governing choices made by person or
lower organisms among alternative forms of voluntary activity”
…motivation is the result of process, internal or external to the individual that
arouse enthusiasm and persistence to pursue a certain course of action.”
…motivation is a process that starts with a physiological or psychological deficiency
or need that activates behavior or a drive that aimed at a goal or an incentive”
Obviously, the first definition covers all stages shown in the motivation model.
The Role of Motivation:
Why do we need motivated employees? The answer is survival (Smith, 1994).
Motivated employees are needed in our rapidly changing workplaces. Motivated
employees help organizations survive. Motivated employees are more productive.
To be effective, managers need to understand what motivates employees within the
context of the roles they perform. Of all the functions a manager performs,
motivating employees is arguably the most complex. This is due, in part, to the fact
that what motivates employees changes constantly (Bowen & Radhakrishna, 1991).
For example, research suggests that as employees' income increases, money
becomes less of a motivator (Kovach, 1987). Also, as employees get older,
interesting work becomes more of a motivator.
IMPORTANCE OF MOTIVATION:
Probably, no concept of HRM receives as much attention of academicians,
researchers and practicing manager’s motivation. The increased attention towards
motivation is justified by several reasons
1. Motivated employees are always looking for better ways to do a job. This
statement can apply to corporate strategists and to production workers. It is the
responsibility of managers to make employees look for better ways of doing their
jobs.
3. Highly motivated worker are more productive than apathetic worker .The high
productivity of Japanese worker and the fever worker are needed to produce an
automobile in Japan than elsewhere is well known. An appreciation of the nature of
motivation is highly useful manager.
The polar Satellite Launch Vehicle’s (PSLV) lift-off has been the result of 12 years of
developmental work, transfer of technology to the private industry, smoothening
the manufacture of components and subsystem .complex project management, and
dedicated work by literally thousands in ISRO. Industry other national laboratories
and research institutes. With this feat, India has joined the exclusive club of half a
dozen nations that can build and, more importantly, launch its own satellites.
The secret behind the success of ISRO has been its employees who are both
capable of using and are willing to use the advanced technology to reach the goals.
Purpose
The purpose of this study was to describe the importance of certain factors in
motivating employees at the Piketon Research and Extension Center and Enterprise
Center. Specifically, the study sought to describe the ranked importance of the
following ten motivating factors: (a) job security, (b) sympathetic help with personal
problems, (c) personal loyalty to employees, (d) interesting work, (e) good working
conditions, (f) tactful discipline, (g) good wages, (h) promotions and growth in the
organization, (i) feeling of being in on things, and (j) full appreciation of work done.
A secondary purpose of the study was to compare the results of this study with the
study results from other populations.
MOTIVATIONAL CHALLENGES
The framework of motivation indicates that motivation is a simple process. But in
reality
, the task is more daunting
One reason why motivation is a difficult task is that the workforce is changing.
Employees join organizations with different needs and expectations. Their values,
beliefs, background, lifestyles, perceptions and attitudes are different. Not many
organizations have understood these and not many HR experts are clear about the
ways of motivating such diverse workforce.
Third, motives can only be inferred, but not seen. The dynamic nature of needs
offend poses challenge to any manager in motivating his or her subordinate. An
employee, at any given time, has a various needs, desire, and expectations.
Employees who put in extra hours at work to fulfill their needs or accomplishment
may find that these extra hours conflict directly with needs for affiliation and their
desire to be with their families
However, there is no shortage of models, strategies, and tactics for motivating
employees. As a result, firms constantly experiment with next motivational
programmed and practice.
Work Motivation
Craig Pinder “echoing the basic definition of motivation, define it as follows:
“Work motivation is a set of energetic force that originate both within as well as
beyond and individuals being, to initiate work – related behavior, and to determine
its form, direction, intensity, and duration.”
While general motivation is concerned with effort towards any goal, Stephen
Robbins narrow the focus to organizational goals in order to reflect singular interest
in work related behavior the effort element is a measure of intensity. The need
means some internal state that makes certain outcomes appear attractive. And
unsatisfied need creates tension that stimulates drives within the individual. This
drives general a search behavior to find particular goals, if attend, will satisfied the
needs and lead to the reduction of tension
Mechanism of motivation
Motivation is the process that starts with physiological or psychological deficiency or
need that activate behavior or a drive that is aimed at a goal or incentive.
The following diagram depicts the motivation process.
Mechanism of Motivation
Needs Drives Goal
Thus, the key to understanding motivation lies in the meaning of, and relationship
between needs, drives and goals,
· Drives: “Drives (Or motives) are set up to alleviate needs. Psychological needs can
be simply defined as a deficiency with direction. Physiological or psychological
drives are action – oriented and provide energizing thrust towards reaching an
incentive or goals. They are at the very heart of the motivational process. The
needs for food and water are translated into hunger and thrust drives, and the need
for friend becomes a drives affiliation. Thus, a drive is a psychological state which
moves an individuals satisfying a needs
· Goals: At the end of the motivational cycle is the goal or incentive. It is anything
that wills that will alleviate a need and reduce a drive. Thus, attaining a goal will
tend to restore physiological or psychological balance and will reduce or cut off the
drive. Eating food, drinking water and obtaining friends will tend to restore the
balance and reduce the corresponding drives food, water and friends are the
incentive are the goals in this example
The terms motives, motivation and motivating which are derived from the Latin
word ‘Mover’ (to move) are important concept which have distinct connotation. In
order to steer the energies of the employees towards organizational goals
accomplishment, it is essential to grasp the meaning and significance of this
concept and also to learn how to apply them intelligently
Motives: Motive is defined as a inner state that energizes, activates (Or moves) and
directs (or channels) the behavior of individuals towards certain goals the strong
motives or needs are fulfill. In order to minimize the restlessness, and keep it under
control, the individual is propelled into action. Thus motive induce individual to
channel their behavior towards such type of actions as would reduce their state of
restlessness are inner disequilibrium. Thus motives can be thought of as drives that
energize people to action.
Motivation: while motives are energizers of action, motivation is the actual action
that is work behavior itself. For instance, when a employee work hard, his level of
motivation may be consider as low. Thus, the level of motivation of employee is
judged by his actual work behavior
Motivating: Motivating it is the term that implies that one person induces another to
engage in action or work. Behavior by ensuring that a channel to direct the motive
of the individuals become available and accessible to the individual.
Managers play a significant role in channeling the strong motive in a direction that
he satisfying to both the organization and the employees. Additionally, managers
are also responsible for awakening or activating latent motives in individuals- that is
the needs that are less strong and somewhat dormant and harness them in a
manner that would be functional for the organization.
Classification of Motives:
Primary motives are unlearned and physiologically based. Common primary motives
include hunger, thirst, sleep, avoidance of pain, sex and maternal concern .The
general motives are also unlearned but are not physiologically based. Competence,
curiosity, manipulation, activity, and affection are examples of general motives.
Secondary motives are products of learning. The needs for power, achievement,
affiliation, security and status are major motivating forces in human behavior at
work. Behavioral science especially industrial.
Socio-psychological motives are neither inborn to him nor are they related directly
to his survival .These motives originate from the training which he acquires from
different social organizations to which he belongs. Socio-psychological motives,
unlike physiological motives, are largely vary from culture to culture .They may be
divided into affiliative and egoistic motives. Affiliative motives deal with
belongingness, friendship or affection with people. Egoistic motives relate to a
position over people rather than with people. Power, status, prestige or esteem fall
under egoistic motives. Socio-psychological motives include acquisitiveness,
security, status, autonomy, affiliation, achievement, dependence, aggression, power
and nurturance.
There are various difficulties in inferring motives from behavior as we have seen
thus far:
· Similar motives may be manifested through different behaviors
· Different motives may be expressed through similar behavior
· Motives may appear in disguised form
· Any single act of behavior may express several motives
· Expression of motives differ from culture to culture and from person to person
within a culture
· Motives vary in strength not only from one individual to another but within the
same individual at different times.
Since it is difficult to know all there is to be known about the various motives that
operate both within the individual and from outside, it is difficult to predict behavior
· Motives: Every individual carries a set of inner motivations and drives that
influence the way he behaves much more radically than he realizes .Individuals
differ not only in their ability to do but also in their will to do, or motivation. Motives
are sometimes defined as needs, wants, drives, or impulses within the individual
.Motives are the ‘why’s of behavior .they arouse and maintain activity and
determine a general direction of the behavior of an individual. In essence, motives
or needs are the mainsprings of action. When we use these two terms
interchangeably- motives and needs-we refer something within an individual that
prompts that person to action.
· Goals: Goals are outside an individual .Goals are something referred to as ‘hoped
for’ rewards towards which motives are directed Psychologists use the term
‘incentives’ for these goals. Incentives include tangible financial rewards such as
increased pay and also the ↓managers who are successful in motivating employees
are often providing an environment in which appropriate goals are available for
needs satisfaction.
MOTIVES
GOALS
· Motive Strength: We have seen that motives or needs are the reason underlying
behavior. Every individual has several needs. All these needs compete for their
behavior. These needs have different strengths. The need with the greatest
strength at a particular moment leads to activities.
A
B
C
D
E
N
Motive strength
Motive B is the highest strength need and therefore .it is this need that determines
behavior.
Satisfied needs decrease in strength and normally do not motivated individuals to
seek goals to satisfy them.
High
Strength
Motive
Attempted Behavior 2
Attempted
Behavior
Success
Blockage
Behaviour
Continued
Coping behavior when blockage occurs in attempting to accomplish a particular
goal
Initially ,this coping behavior may be quite rational .Perhaps the individual may
make some attempts in direction 1 before going to 2.and same in the direction 2
before moving in direction 3, where some degree of success and goal attainment is
finally perceived .
BEHAVIOUR MODIFICATION:
Identification of Critical Behavior: The first step is to identify the critical behaviors
that make a significant impact on the employee’s job performance these are those
5 to10 percent of the behaviors that may account for up 70 to 80 percent of each
employee’s performance.
Measurement of the behaviors: After the behaviors have been identified, they are
measured. A baseline frequency is obtained by determining the number of
determining the number of times that the identified behavior occurs under present
conditions .The purpose of the baseline measurement is to provide objective –
frequency data on critical behavior.
Identify Performance
Related Behavior Events
Measure Baseline the
Frequency of Response
Identify Existing Behavioral Contingencies
Through Functional Analysis
Develop Intervention Strategy
Apply Appropriate Strategy
Measure: Chart the Frequency of
Responses after Intervention
Problem Solved?
Maintain Desirable Behavior
Evaluate for Performance Improvement
1
2
3
4B
4A
4C
4D
5
Yes
No
Steps in OB Mod
Functional analysis of behavior: The goal of a mod programmed is to increase the
likelihood that people will, in fact, engage in behavior which are critical to the
successful performance of their jobs. These involves analyzing (1)
The antecedent cues the factors which seem to instigate the behavior; and (2) the
consequences- the results which accrue to the person as a result of engaging in the
behavior .This process of analyzing the antecedent cues and the consequences if
behavior is referred to as functional analysis in OB Mod.
In his novel Walden tow B. F. Skinner described an idea human community also
known as Walden tow he envisioned a return to a simple culture of towns and
villages that conducted their affairs face –to–face Skinners society rejected
punishment and coercion as ways to motivate good behavior and relied on positive
reinforcement in stead according Skinner the proper behavioral technology would
make it easy to raise citizens who were brave creative happy candid affectionate
humane and conscientious.
Several to communes have taken their inspiration from Walden Two. One each such
is Twin Oaks founded in share a common belief in co-operation, equality, and
nonviolence, as well as a common desire to construct behaviorist theories are no
longer central to the operation of Twin Oaks, the advantages of creating a positive
environment and reinforcing desirable behavior are recognized.
China appears to be using behavior modification principles on a grand scale for
population control. Chinese leaders are conceived that a rapid population growth
will obstruct economic development. Initially, couples having a third baby except as
the result of a multiple birth at the second confinement paid fines, Bearing two
babies was strengthened because by doing so, couples avoided fines- a negative
reinforcement strategy. Families that used contraction after their first child received
positive reinforcement-annual bonuses as well as housing, schooling and
employment priorities .Between the mid-1960 and the mid-1970, china halved its
birth rate. There is evidence, however, of grave abuses among them, forced
abortions and infanticides of the female offspring. Male are valued, in party,
because, in keeping with long established customs, men remain with their
immediate families after marriage, continuing to contribute financial support and
care for elderly parents.
Despite the positive result that OB has demonstrated, it has no counter adverse
criticism. Is it a technique for manipulating people? Does it because it decreases an
employee’s freedom? If so, is such an action on the part of manager unethical? And
do non-monetary reinforcement like feedback, praise, and recognition get old after
a while? Will employees begin to see these as ways for management to increase
productivity without providing commensurate increase in their pay? There is no
easy answer to questions such as these.
GOAL SETTING:
Goal setting is one of the most effective and widely practiced techniques of
motivation. Goals are the immediate or ultimate objectives that employees are
trying to accomplish from their work efforts in organizations. Goal setting is the
process of motivating employees by establishing performance goals. That goal
motivates any individual is an established fact. We tend to relax and siacken our
efforts if we are not clear about what we want to achieve. A student does not do
well in an examination if he or she does not keep a target in mind target may be a
first class or securing distinction. An individual may not rise in personal life if he or
she does not have clear career goals. It does not mean that performance of an
individual is nil in the absence of a goal. The technique emphasizes that with clear
goals, performance tends to increase.
Why goals motivate employees? There are at least five reasons which explain the
correlation between goals and motivation. First, they lead employees to compare
their present performance with the goal. To the extent that individuals fall short of
the goal, they feel dissatisfied and work harder to attain it –as long as they believe
that is possible for them to do so.
Second, when individuals succeed in reaching a goal, they feel competent and
successful; such feelings are desirable and can serve as a strong incentive to extra
effort. Third, the existence of a goal clarifies what level of performance is required.
Once this level is established, individual can focus on developing effective
strategies for attaining it.
Fourth, the theory calls attention to the important role of self-efficacy – individuals’
beliefs about their ability to perform at given levels. If people do not have
confidence in themselves, their effort and performance will decrease. In contrast, if
they conclude that they can reach the goal, motivation and performance will be
enhanced.
Finally, goal setting theory indicates that goals will guide behavior only when they
accepted by the self and by others. If others (concerned) do not accept the goals,
performance of an employee will not increase similarly, if the goal is not acceptable
to the self, its effect on the behavior of the person will be minimal.
Goals need to fulfill certain requisites if they were to impact employees,
performance.
One requirement is that goals must be specific. Specific goals lead to higher output
than do vague goals such as “Do your best”. Acceptance of the goal and
commitment towards its achievement will have effect on employee behavior and
satisfaction. Similarly, organizational support towards goal attainment supported by
individual abilities and traits leads to goal realization. As result of performance, a
person receives various intrinsic and extrinsic rewards, which in turn, influence
satisfaction.
Goal
Directly
Goal
Acceptance
Organizational
Support
Rewards
Goal-Directed
Effort
Goal
Specificity
Goal
Commitment
Individual
Abilities & Traits
Rewards
Satisfaction
Goal setting requisites
The term ‘quality of work life’ (QWL) has different connotations to different person.
For example, to a worker in an assembly line, it may just mean a fair day’s pay, safe
working conditions, and a supervisor who treats him\her with dignity. To a young
new entrant, it may mean opportunities for advancement, creative tasks and a
successful career. To academics it means the degree to which members of work
organization are able to satisfy important personal needs through their experiences
in the organization.
There are many factors which can contribute to QWL. They are:
1.Adequate and fair compensation, adequacy to the extent to which the income
from a full-time work meets the needs of the socially determined standard of living.
2.Safety and healthy working condition, including reasonable hours of work and rest
pauses, physical working conditions that ensure safety, minimize risk of illness and
occupational diseases and special measures for protection of women and children.
3.Security and growth opportunity, including factors like security of employment,
and opportunity for advancement and self-improvement.
4.Opportunity to use and develop creativity, such as work autonomy, nature of
supervision, use of multiple skills, workers’ role in the total work process and his\her
appreciation of the outcome of his\her own efforts and self-regulation.
5.Respect for the individual’s personal rights, such as application of the principles of
natural justice and equity, acceptance of the right to free speech, and right to
personal privacy in respect of the worker’s off the job behavior.
6.Work and family life, including transfers, schedule of hours of work, travel
requirement, overtime requirement, and so fourth.
It is worth noting that often the conditions that contribute to motivation [equitable
salaries financial incentives, effective employee selection, etc] will also contribute
to QWL some of these activities [like job enrichment] might contribute indirectly to
QWL by tapping the worker’s higher .order needs and motivating them. Still, other
activities may contribute directly to QWL providing for a safer workplace, less
discrimination on the job, and so forth.
The Five-Step PRIDE Model
Today’s workplace is different, diverse, and constantly changing. The typical
employer/employee relationship of old has been turned upside down. The
combination of almost limitless job opportunities and less reward for employee
loyalty has created an environment where the business needs its employees more
than the employees need the business.
Management’s new challenge is to transform a high-turnover culture to a high-
retention culture. Retaining and motivating workers requires special attention and
the responsibility falls squarely on the shoulders of HR as well as managers and
supervisors at all levels. They have to create a work environment where people
enjoy what they do, feel like they have a purpose and have pride in the mission of
the organization. It requires more time, more skill, and managers who care about
people. It takes true leadership.
Managers can improve their leadership position and motivate individuals within
their organizations by following the five-step PRIDE model:
Providepositiveworkingenvironment•
Recognize,RewardReinforceRightBehavior•
Involveeveryone•
Developtheirskillspotential•
Evaluateimprovecontinuously•
STEP 1--PROVIDE A POSITIVE WORKING ENVIRONMENT
You don’t have to be the highest paying employer to provide a positive and
attractive work environment. One of the most important factors is how employees
"feel" about the company. Motivated workers are more committed to the job and to
the customer. On the other hand, de-motivating workplaces force workers to vote
with their feet.Take for example Rodger McAlister who owns a construction
equipment dealership in Kentucky. His turnover is almost nonexistent. His
employees and service technicians share a profit-sharing plan that possibly means
$700,000 upon retirement. Every year employees celebrate their work anniversary
with a cake and receive $100.00 for each year employed. Twice a year employee’s
children receive a $50 savings bond when they bring in their "all A’s" report card. To
minimize the we-they syndrome, every Friday employees rotate jobs. The person in
the parts department becomes a service technician and visa versa. This builds a
stronger team and improves both communication and retention
STEP 2--RECOGNIZE, REWARD AND REINFORCE THE RIGHT BEHAVIOR
Reward and recognition is not just a nice thing to do, but a critical element in the
management toolkit. People have a basic human need to feel appreciated and
recognition programs help meet that need. The second aspect of this science is
management must create consequences for the behavior important for business
success.One of the easiest and most effective recognition programs is "peer
recognition." Peer recognition allows employees to reward each other for doing a
good job. It works because employees themselves know whom works hard and
deserves recognition. Also, workers may value each other’s opinion more than their
supervisor’s. (Peer pressure) Managers can’t be everywhere all the time. Therefore,
the employees are in the best position to catch people doing the right things.
OTHERS
Other motivational techniques used in organizations to influence employee
performance include management by objective (MBO) flexible working hour’s two-
tier pay system flexible benefit and the like.
MBO refers to a formal set of procedures that begins with goal setting and
contributes through performance review. The key of MBO is that it is a participative
process, actively involving managers and subordinates at every organizational
level. Propounded by peter F.Drucker in 1954, MBO has motivational potentials
because the participants become ego-involved in decisions they have made. They
to accept the decisions as their own and feel personally responsible for
implementing them.
A system of flexible working hours, also called flextime, to suit the convenience of
individual employees, has often been pointed out as one of the techniques of
motivation. Various work weeks are being used, all with the aim of lengthening the
leisure between work periods. Most common are the four-day, 40-hour week with
three day off (4\3); the three-day, 36-hour week with four days off (3\4); and the
seven-day, 70-hour week with seven day off (7\7). Of these, 4\3 arrangement is
highly popular.
The benefits claim for flexitime is numerous. They include reduced absenteeism,
increased productivity, reduced overtime expense, lessening of hostility towards
management, elimination of tardiness, and reduced traffic congestion around work
sites.
In terms of motivational theories, flextime corresponds to the diverse needs of the
workforce. It appeals to an individual’s growth needs (ERG theory) or desire for
autonomy (motivation hygiene theory).
The Two-tier pay system provides for offering significantly lower wage rates to
newly hired employees than those already employed in the same job. The two-tier
pay system is seen everywhere in organizations. A junior lecturer in a university is
paid less than a senior-grade lecturer. Similarly, a worker in a factory with 15 to 20
years of experience is put on a higher scale than a beginner.
The two-tier pay system is said to place a premium on experience and loyalty. It will
reduce a new recruit to stick to the same organization.
The two-tier system corresponds to the equity theory, but in a negative way. A
junior worker perceives an inequity or an injustice when he\she is paid less than
his\her senior though; both attend to the same work. This, it is claimed, results in an
increased turnover rate among those newly hired.
Flexible benefits allow employee to pick and choose from a menu from benefit
packages that is individually tailored to his or her own needs and situations. The
idea of flexible benefit operates on the following lines. An organization sets up a
flexible spending account for each employee, usually based on some percentage of
his her salary, and then a price tag is put on each benefit. Option might include
inexpensive medical plus high deductibles; expensive medical plus low or no
deductibles; hearing, dental and eye coverage; vacation options; extended
disability; a variety of savings and pension plans; life insurance; college tuition
reimbursement plans; and extended vacation time. Employees then select benefit
options until they have spent the amount in their respective accounts.
Consistent with the expectancy theory thesis that organizational rewards should be
linked to each individual employee’s goals, flexible benefits individualize rewards by
allowing each employee to choose the compensation package that best satisfies
his\her current needs.
The two most popular and time-tested methods of employee motivation are
participative management and employee communication.
Drive
(Deprivation
With
Direction)
B
Goal
(Reduction of the drive)
Barrier
1. Overt
2. Covert
Needs
(Deprivation)
Frustration
Defense Mechanisms
Blocking of Goal-attainment: Frustration
· Aggression :
· Fixation :
Maintaining a persistent non-adjustive reaction even though all the cues indicate
the behavior is not an appropriate response to the problem. Behavior is repeated
over and without accomplishing anything for instance, unreasonable stubbornness.
· Compromise :
· Compensation :
Individual devotes himself to a pursuit with increased vigor to make up for same
feeling of real or imagined inadequacy. In indirect compensation the individual puts
in hard efforts to make-up for a weakness in one area by becoming outstanding or
excelling in some either area.
· Conversion :
· Displacement :
· Fantasy :
Day dreaming or other forms of imaginative activity provide an escape from reality
and imagined satisfaction. The individual may attempt to daydream that his goals
(for instance, promotion) which are otherwise impossible to achieve in real life, have
been accomplished. The individual tries to reduce frustration by imagining the
satisfaction which he cannot otherwise attain. Temporary escape from reality by
day dreaming is apparently a universal characteristic. It serves many useful
functions because it tends to strengthen aspirations during a period when goals
might otherwise disappear. However, there is danger when the individual relies too
heavily upon fantasy and becomes inactive.
· Rationalization :
· Projection :
· Regression :
Regression is essentially not acting one’s own age. Individual returns to an earlier,
less mature level of adjustment and behave in childish way when exposed to
frustrating situation, for instance, individual may engage in behaviours such as
crying, weeping, sulking or throwing temper- tantrums whenever they are under
stress, annoyed or frustrated.
· Reaction formation :
Individual acts contrary to his real feelings and emphasizes it with force Thus, an
individual who has acquired a reputation as abrasive may behave cordially to
minimize his anxieties arising from past abrasive activities. Urge not acceptable to
consciousness are repressed and in their stead opposite attitudes or modes of
behavior are expressed with considerable force.
· Negativism :
Active or passive resistance operating unconsciously.
· Negative adaptation :
Accepting things as they are, making psychological adaptations unpleasant
situation.
· Identification :
Individual may react to the characteristics and achievements of another person as if
they were his own. The individual wants to become like someone else and thus,
closely associates with his attitudes and actions identification is modeling oneself
after another person imitating his or her characteristics, values, attitudes and other
allied qualities. It is not simply copying another individual. It relates to incorporation
of another individual’s thinking and behavior in one’s own thinking and behavior.
For instance the junior executives take on the vocabulary, style and mannerisms, or
even pomposity of their senior boss who may be highly successful.
· Insulation :
The individual tries to protect himself emotionally by keeping distance from others.
He insulates himself, gets detected, uninvolved, aloof and isolated. He may appear
self-sufficient but he maintains this behaviour as a protection rather than because
he enjoy it. Individuals who learn to fear situations where they will fail or be
ridiculed are particularly apt to adjust by using the mechanism of insulation.
· Sour Grapism :
“The fox and grapes” fable is a classic example of reaction to frustration. Sour
grapism is that reaction where by highly desirable but unattainable goals or
objectives are considered undesirable. Just like the fox who convinced himself that
he never wanted the grapes at all since they were ‘sour’, the individual also tries to
deceive oneself by saying, “I never did want to have this promotion since it involved
transfer to a remote place”. Actually, just like the fox who tries in vain to reach the
bunch of grapes, this individual also tries in vain to get the promotion. The sour
grapes mechanism comes into existence when the individual wants to hide sense of
failure.
· Devaluation :
Since one of the common causes of self rejection is unfavorable social judgments.
One way to defend one’s ego against such judgments is to devalue their source.
This can be done either by minimizing the importance of judgment or by trying to
prove to oneself and others that those who made the adverse evaluation were not
competent to pass judgment or were prejudiced.
However, there are some people for whom lack of frustration is the most frustration
situation of all. To them, the challenge of finding a way to deal effectively with
whatever barriers confront them as they strive for a particular goal is what provides
the “spice” to their job. They actually look forward to meeting these obstacles, and
if they did not occur they would probably find their work very drab and dull.
In this Activation theory, “Scott suggests that human organism needs stimulation
and variety in the environment; without this motivation will suffer and frustration
may result. To the extent, then, that barriers and obstacles to goals provide variety
and stimulation to the employee, they may actually tend to reduce the overall
frustration experienced.
Set Goals
It’s important to help your employees set goals for themselves. These can include
both long-term and short-term goals and they can be both work-related and
personal in nature. Often, goals are set on a weekly, monthly, quarterly, or even
yearly basis. Many companies use “performance management systems,” which get
every employee on the same page, regardless of his or her position. If they
understand the relationship between their specific job and the company’s success,
they’ll often approach their work with a sense of belonging. Frequently, that sense
is all it takes to get that individual to finish a given task. And, of course, rewarding
your employees for achieving their goals goes a long way toward creating a
consistently motivated workforce.
Encourage Creative Thinking
Successful companies promote an environment in which creative thinking by the
employees is allowed, if not encouraged. If you’ve been successful in explaining
your company’s overall objectives in detail, employees will often come up with their
own creative strategies for achieving these goals. In the case of the sales force that
I help manage, I usually tell them the successful tactics that I used while making
sales but I also add that there’s no one correct way. Everyone has a unique
personality that might translate into an effective method of making sales. The
challenge of figuring out an effective method on their own can be liberating and
much more fulfilling. Plus, employees are more apt to listen to future advice if you
let them figure out that you are right on their own.
Devise a System of Teamwork and Trust
Employees are never going to produce the way you expect them to if they think you
don’t care about them. Start off by learning about your employees’ personal lives.
This will give you insights into how to deal with them in certain situations. Your
relationship with your workers should seem like one between partners as opposed
to one between employee and boss. Also, spread specific assignments around
among your workers. By giving employees special tasks, you make them feel more
important. When your employees feel like they are being trusted with added
responsibilities, they are motivated to work even harder so they won’t let the
company down.
Foster an Environment of Fun
Studies have shown that employees are more dependable and productive when
they think their workplace is a fun place to come to every day. I’ve found that one
of the most effective methods of doing this is simply engaging my sales reps in
conversations about topics that we both find interesting. It’s not necessary to talk to
them all day long, but a few minutes here and there throughout the day can work
wonders. Little talks like these allow the employee to see you as a regular person,
and when your employees like you as a person, they are more likely to listen to you
when you need them to get something done.
REWARDS
People join organizations expecting rewards. Firms distribute money and other
benefit in exchange for the employee’s availability, competence and behaviors.
The following diagram identifies four types of rewards: membership and seniority,
job status, competency and performance.
Benefit an employee receives depends on the firm which he or she joins. An MBA
taking up a job in Wipro or Infosys gets more benefits than boy or girl who joins a
state government undertaking.
In the same firm, a senior employee receives more benefits than employee
.Advancement , pay raises, retirement benefits and perquisites depend on seniority
of an employee.
Membership& Seniority
Task
Job Status
Competency
Organizational Rewards
Types of organizational rewards
There are advantages and limitations associated with membership and seniority
based reward .Membership based reward attract job applicants but the problem is
such reward may not directly motivate job performance .Seniority based rewards
tend to reduce turnover but may fail to motivate achievers to perform better.
Another problem with is that they discourage poor performers form leaving the film
voluntarily because al
Every firm rewards employees for the status of the jobs they are holding firms use
job evaluation system which helps establish differentials in status of jobs. Status
differentials are used as the basis for establishing salary / wage differentials. Jobs
that require more skill and effort, have more responsibility and have difficult
working coPayPerformancePerformanceandIntrinsic or the or a job Extrinsic the and
on and a and of and employee to to to the in and
nditions would have more value and consequently would be placed in higher pay
grades. Firms that do not use job evaluation system still reward job status based on
pay survey information about the labor market.
A supervisor will receive higher rewards than purchasing assistant as the job of the
former enjoys better status than the latter. It has more value to the organization
(calculated by job evaluation system or pay survey) and therefore employees in
that job receive more status-based rewards in the organization. High status job
holders are also rewarded with more perquisites.
One advantage of status-based pay is that it helps maintain feelings of equity. Job
evaluation system try to maintain internal equity, that is, to ensure that employees
feel their pay is fair when compared to how much other jobs in the firm are paid.
Pay survey helps maintain external equity, that is, ensure that employees feel their
pay is fair when compared to how much people I other firms are paid. Job-based
rewards also motivate employees to compete for positions higher up the
organizational hierarchy.
Job-based rewards are criticized by man. For one thing, such benefit fails to
motivate achievers to perform better. Just because an employee holds a high priced
job, he or she is rewarded better, not with standing the level of performance
attained by the individual. Further, employees tend to exaggerate their job
descriptions and job specifications to garner higher grading for their job through job
evaluation systems. Higher grades confer higher rewards on the jobs.
Competency-based Rewards
Where rewards are linked to competencies what emerges is the skill-based pay. In
the skill based pay employees are paid on the basis of number of jobs they are
capable of discharging, or on the depth of their knowledge. The purpose of this
system is to motivate employees to acquire additional skills so that they become
more useful to the organization.
Competency-based rewards have merits. They have been praised for developing a
better-skilled and flexible workforce. Customer needs are met more quickly.
Employees can handle any job with felicity, product or service quality tends to
improve because employees who have work experiences in several jobs are more
likely to know where problems originate. Moreover, employees find it easier to
discover ways to improve the work process as they learn more skills and tasks in
the process. Rather than paying for jobs, skill-based pay rewards skills, underlying
the principle that employees are hired for their skills and not just to hold jobs.
Performance-based Rewards
The trend that is emerging recently is to link pay to performance rather than to
seniority or membership. Firms in N.America, Europe and Asia are paying their
employees more for performance than ever before. For instance, in a recent survey
of 210 large firms in Tokyo, Japan, 24 per cent awarded pay increases on the basis
of performance than seniority.
Performance-based rewards are many, but the most common among them are:
Team rewards are common where firms rely in teams to get work done. Some
teams are rewarded with special bonuses or gifts if they collectively achieve specific
goals. A gain sharing plan is a type of team reward that motivates team members
to reduce costs and increase labor efficiency in their work process. Gain sharing
plans use a predetermined formula and calculated cost savings and pay bonus to all
team members. Typically, the company shatters the cost savings with employees.
Individual rewards are quite common in organizations. The most common is the
piece rate which links pay to the units produced by an employee. Commissions are
paid to sales people on the actual sales shown by them. Merit pay is based on the
individual’s performance. This is gradually replaced by retainable bonuses for
accomplishing specific tasks or for achieving certain goals. Although these bonuses
are often determined from team or organizational performance, they may also
result from satisfactory completion of individual goals.
Are rewards, particularly monetary rewards, reality motivators? Put in another way,
does money motivate employees? The answer is ‘yes’ and ‘no’.
Money is understood to be powerful motivator for more than one reason. In the first
place, money is fundamental for completion of task. Work, unless it is voluntary or
“play” involves a contract between two parties “guaranteed” by the payment of
money. The employee takes pay as the reward for his or her work’ and the
employer views it as the price for using the services of the employee.
Second, as a medium of exchange, money is the vehicle by which employee can
buy numerous need satisfying goods and services they desire. Third, money is one
of the hygiene factors, and improving maintenance factors is the first step in effort
directed towards motivation. Fourth, money also performs the function of a “score
card” by which employees assess the value that the organization place on their
services and by which employees can compare their “values” to others. Fifth,
reinforcement and expectancy theories attest to the value of money as a motivator.
In the former, if pay is contingent upon performance, it will encourage workers to
high levels of effort, Consistent with the expectancy theory, money will motivate to
the extent that it is seen as being able to satisfy an individual’s personal goals and
is perceived as being dependent upon performance criteria.
Expects
Pay
Performance
Job
evaluated
The following are examples of true motivators that will help your employees tap into
their natural ability to be motivated. Remember; implement these true motivators
without spending money. Instead of focusing on money, focus on how you can make
some changes within your organization.
· If your employees do routine work add some fun and variety to their routine.
· Provide employees with input and choice in how they do their work.
· Encourage responsibility and leadership opportunities within your company.
· Promote social interaction and teamwork between employees.
· Tolerate learning errors by avoiding harsh criticism.
· Promote job ownership.
· Develop goals and challenges for all employees.
· Provide lots of encouragement.
· Make appreciation part of your repertoire.
· Develop measurement that shows performance increase.
By eliminating demotivators and adding in no cost motivators you are tapping into
your employees' natural human desires to perform at their maximum level of
motivation and productivity. The following are the human desires that you are
tapping into.
· Desire for activity
· Desire for ownership
· Desire for power
· Desire for affiliation
· Desire for competence
· Desire for achievement
· Desire for recognition
· Desire for meaning
That's it! Remember; don't work to change one individual at a time. Work to change
your organization to decrease the demotivators and thereby increase your
employees’ natural ability to self motivates themselves.
Employee motivation
Principles of improving employee motivation and empowerment
Employee motivation questionnaires or surveys
Staff surveys are usually very helpful in establishing whether staff in your company
is motivated and therefore performing to best effect. Aside from the information
that questionnaires reveal, the process of involving and consulting with staff is
hugely beneficial and motivational in its own right, (see the 'Hawthorne Effect').
Whilst your survey will be unique to your company, your staff issues, your industry
and culture, some useful generic guidelines apply to most situations. Although not
exhaustive, the following ten points may help you cover the relevant subject areas
and help towards establishing facts rather than making assumptions about
motivation when designing your own questionnaires on employee motivation.
Empowerment consist five stages. The first stage involves identifying .The
conditions existing in the organizations that lead to feelings of powerlessness on the
part of organizational members. These conditions manifest through poor
communication, centralized resources, and authoritarian styles of leadership, low
incentive value rewards, low task variety and unrealistic performance goals.
Diagnosis being completed as suggested above, the next stage is to introduce
empowerment strategies and techniques. Use of participative management
implementing merit-Pay systems and job enrichment are example of possible
empowerment practices.
The use of the programmes (stated above) is designed to accomplish two objectives
in the third stage. One is simply to remove the conditions identified in the first stage
as contributing to powerlessness. The second, and more important, is to provide
self-efficacy information to subordinate. Self-efficacy describes a belief in one’s
effectiveness. Individuals high in self-efficacy information to subordinates. Self-
efficacy describes a belief in one’s effectiveness. Individuals high in self-efficacy
tend to be confident and self-assured and feel they are likely to be successful in
whatever Endeavour’s they undertake.
Identifying conditions of
Of powerlessness
1.Delegate responsibility and along with it authority. role with that of ‘partner’ role.
2.Have tolerance for mistakes committed by subordinates. Demonstrate this
tolerance through deeds and words.
3.Share information with subordinates. Empowered employees need sufficient
information to get full perspective.
4.Allow teams to form. Teams are the best vehicles to empowerment.
5.Performance feedback is always important. It is particularly important for newly
empowered employees. Feedback enhances learning and can provide needed
assurance that the job is being mastered.
Naturally, job has become a serious subject for social scientists and practicing
managers. It has become an issue for many workers because it is losing its intrinsic
value. Some workers express dissatisfaction with their jobs, and this dissatisfaction
seems to have an adverse effect on motivation and quality of life general.
Attempts have been made to use jobs for motivating employees in organizations.
Job enrichment and rotation are but example in that direction.
Job Enrichment
It simply means adding a few more motivators to a job to make it more rewarding.
To be specific, a job is enriched when the nature of the job is exciting, challenging,
and creative, or it gives the job holder more decision-making, planning and
controlling powers.
According to Herzberg, an enriched job has eight characteristics. These features are
described as follows and illustrated.
3.New learning: An enriched job allows its incumbent to feel that he\she is growing
mentally. An assistant who clips relevant newspaper articles for his\her boss is,
doing an enriched job.
5.Unique Experience: An enriched job has some unique qualities or features, such
as a quality controller visiting supplier’s place.
6.Control Over Resources: One approach to job enrichment is for each employee to
have control over his\her resources and expenses. For example, he\she must have
the authority to order supplies necessary for completing his\her job.
8.Personal Accountability: An enriched job holds the incumbent responsible for the
results. He or she receives praise for good work and blame for poor work.
2.‘Enriched’ is a Relative Team: As a general rule, job enrichment proposes that jobs
with little responsibility should be improved to provide a greater responsibility for
the incumbent. However, we must remember that describing a job as one with ‘little
responsibility’ carries an implicit assumption about the person occupying that role.
While the job may appear to be boring to the observer, the person actually
performing the job may find it quite challenging.
3.Enriching Jobs may Create a ‘Snowball’ Effect: Given that organizations have a
fixed amount of authority to distribute among its member, enriching one person’s
job means taking authority away from another (most likely the manager). This not
only present system design problems (for example, rewriting job descriptions) but it
can also present a practical barrier since labour unions may resist a scheme that
eliminates jobs.
5.Job Enrichment may have Negative Short-term Effects: For a short time after an
increase I the job responsibility, it is not unusual for organizations to experience a
drop in productivity, as workers become accustomed to the new work systems.
After this initial drop, however, many firms report an increased productivity that job
enrichment is supposed to produce. If an evaluation of a job-enrichment programme
is made too early, the management may erroneously conclude that the programme
is not working.
6.Job Enrichment is a Static Process: People become bored in their jobs because
their capacity to make decisions is not fully utilized. Even though the job is changed
to utilize this capacity, there is ample evidence to suggest that personal capacity is
a dynamic, developing attribute. It is likely, therefore, that after a period of time
(the exact amount varies from person to person) the worker will outgrow the
enriched job. If this occurs, additional enrichment will be required to fully utilize the
individual’s increased capacity. If jobs cannot be changed over time to use this
capacity, the worker could be transferred to another job which has a higher level of
work (promotion).
Job Enlargement
Job enlargement refers to the expansion of the number of different tasks performed
by an employee in a single job. For example, an auto mechanic switches from only
changing oil to changing oil, greasing, and changing transmission fluid. Job
enlargement attempts to add somewhat similar tasks to the job so that it will have
more variety and more interesting.
Figure shows the distinction between job enrichment and job enlargement.
Historically too, job enlargement preceded job enrichment. An enlarged job can
motivate an individual for five reasons:
Job
Enrichment
Job Enrichment
Enlargement
Routine
Job
Job
Enlargement
Variety of Tasks
(Focus on Breadth)
2.Meaningful Work Modules Frequently, jobs are enlarged so that one worker
completes a whole unit of work, or a major portion of it. This tends to increase
satisfaction by allowing workers to appreciate their contribution to the entire project
or product.
3.Ability Utilization: Workers derive greater satisfaction from jobs that best utilize
their physical and mental skills and abilities. Enlarged jobs tend to fulfill this
condition. However, the management must be careful not to enlarge jobs too much,
because jobs that require more skills and abilities than the worker possesses lead to
frustration and present obstacles to task accomplishments. Enlarged jobs with
optimal levels of complexity, on the other hand, create tasks that are challenging
but attainable.
Job Rotation
This involves shifting an employee from one job to another. When an activity is no
longer challenging, the employee would be rotated to another job, at the same
level, that has similar skills requirement. It reduces boredom and disinterest
through diversifying the employees, activities. Other benefits are also available.
Employees with a wider range of skills give the management more flexibility in
scheduling work, adapting to changes, and filling vacancies. Job rotation has
drawbacks. Training costs are increased, work is disrupted as rotated employees
take time to adjust to a new set-up, it can demotivate intelligent and ambitious
trainees who seek specific responsibilities.
ty and authority to your employees so they can carry out certain tasks. However,
you leave it up to your employees to decide how they will carry out the tasks. Skills
in delegation can free up a great deal of time for managers and supervisors. It also
allows employees to take a stronger role in their jobs, which usually means more
fulfillment and motivation in their jobs, as well.
7EmployeeEmployeeand
Methodology
The research design for this study employed a descriptive survey method. The
target population of this study included employees at the Piketon Research and
Extension Center and Enterprise Center (centers). The sample size included all 25
employees of the target population. Twenty-three of the 25 employees participated
in the survey for a participation rate of 92%. The centers are in Piketon, Ohio.
The mission of the Enterprise Center is to facilitate individual and community leader
awareness and provide assistance in preparing and accessing economic
opportunities in southern Ohio. The Enterprise Center has three programs:
alternatives in agriculture, small business development, and women's business
development. The mission of the Piketon Research and Extension Center is to
conduct research and educational programs designed to enhance economic
development in southern Ohio. The Piketon Research and Extension Center has five
programs: aquaculture, community economic development, horticulture, forestry,
and soil and water resources.
From a review of literature, a survey questionnaire was developed to collect data for
the study (Bowen & Radhakrishna, 1991; Harpaz, 1990; Kovach, 1987). Data was
collected through use of a written questionnaire hand-delivered to participants.
Questionnaires were filled out by participants and returned to an intra-departmental
mailbox. The questionnaire asked participants to rank the importance of ten factors
that motivated them in doing their work: 1=most important . . . 10=least important.
Face and content validity for the instrument were established using two
administrative and professional employees at The Ohio State University. The
instrument was pilot tested with three similarly situated employees within the
university. As a result of the pilot test, minor changes in word selection and
instructions were made to the questionnaire.
Self-Actualization
Ego
Social Needs
Safety Needs
Physiological Needs
MASLOW'S HIERARCHY OF NEEDS
Maslow explains the Hierarchy of Needs as applied to workers roughly as follows:
Physiological Needs
Basic physical needs: the ability to acquire food, shelter, clothing and other basics
to survive
Safety Needs
A safe and non-threatening work environment, job security, safe equipment and
installations
Social Needs
Contact and friendship with fellow-workers, social activities and opportunities
Ego
Recognition, acknowledgment, rewards
Self-Actualization
Realizing one's dreams and potential, reaching the heights of one's gifts and
talents.
It is only when these needs are met that workers are morally, emotionally, and even
physically ready to satisfy the needs of the employer and the customers.
Worker motivation must also be viewed from two perspectives:
1. Inner drives
2. Outer (external) motivators.
A person's inner drives push and propel him/her towards an employer, a particular
job, career, line of study, or other activity (such as travel or recreation). It is these
drives that Maslow delineates in his hierarchy of needs, and which we must
understand and internalize, use as guidelines in our efforts to help employees feel
motivated.
The outer (external) motivators are the mirror image the employer or outside world
offers in response to the inner drives. In order to attract the "cream of the crop" of
available workers, same as in his/her dealings with customers, the employer not
only tries to satisfy these basic needs, but to exceed them - taking into
consideration additional extraordinary needs individual workers have.
Motivational methods and theory - assuming people and organization are aligned
Motivational and inspirational quotes, poems, posters, motivational speakers and
stories, team building games and activities, all develop employee motivation for
sales and business staff in all kinds of organizations. Motivational and inspirational
experiences improve employees' attitudes, confidence and performance. Good
leadership demands good people-motivation skills and the use of inspirational
techniques. Motivational methods are wide-ranging, from inspirational quotes and
poems, to team building games and activities, as ice-breakers, warm-ups and
exercises for conferences, workshops, meetings and events, which in themselves
can often be helpful for staff motivation too. See the motivation principles and
template for staff motivation questionnaires and surveys. Motivation is an essential
part of life coaching processes and techniques too. Motivated people perform better
- see McGregor's XY Theory for example. People playing games or competing in
teams learn about each other, they communicate better and see each other in a
new light. Mutual respect grows. See the Johari Window theory for example. People
often enjoy events which include new non-work activities, especially when bosses
and superiors take part in the same teams as their junior staff, which also helps
cohesiveness and 'can-do' culture. Inspirational quotes, stories and poems all help
motivation too. Powerful positive imagery stimulates visualization in the conscious
and sub-conscious brain, which encourages self-motivation, developmental
behavior, confidence and belief. Playing games enables people to experience
winning and achieving in a way that their normal work might not. People become
motivated to achieve and do better when they have experienced the feelings of
success and achievement, regardless of context. This is why fire-walking and
outward-bound activities have such powerful motivational effect. All of these ideas,
and more explained below, contribute to improving motivation, inspiration and
performance. Here is the theory of how team building games, activities like juggling
develop motivation, positive images in quotes and stories, inspirational posters,
quotations, motivational speakers, team workshops and brainstorming, etc., all help
to strengthen relationships, build understanding, increase motivation and improve
performance:
How games and other inspirational references and activities help motivation and
motivational training
Work and business-based training commonly concentrates on process, rules, theory,
structure and logic, all of which tend to develop and use the left-side of the brain.
However, modern successful organizations rely just as heavily on their people
having well-developed 'soft' skills and attributes, such as self-motivation,
confidence, initiative, empathy and creativity, which all tend to use the right-side of
the brain. For more information about brain type and bias see the Benziger theory
section, for example. Using games and activities like juggling helps to unleash right-
side brain skills, because these activities necessarily draw on a person's intuitive,
spatial and 'feeling' capabilities - found in the right-side of the brain.
Also, using activities and references that take people out of their normal work
environment creates new opportunities for them to experience winning,
achievement, team-working, learning and personal development, in ways that are
often not possible in their usual work context. Experiencing these positive feelings
is vital for the conscious and sub-conscious visualization of success and
achievement, essential for broadening people's horizons, raising their sights, setting
new personal standards and goals, and increasing motivation. The use of role
playing games and role play exercises is an especially effective motivational and
visualization technique, despite people's normal aversion to the practice (see the
role playing games and activities tips to see how to manage role-playing activities
successfully).
Inspirational references, stories, quotes and examples also help the life coaching
process.
Ice-breakers and warm-ups for motivation
When a group or team of people assembles for a conference, or training course,
there is always a feeling of uncertainty and discomfort. Even if people know each
other, they feel uncomfortable in the new strange situation, because it is different.
Mankind has evolved partly because of this awareness to potential threats and fear
of the unknown. Games and team building activities relax people, so that they can
fully concentrate on the main purpose of the day, whatever it is, rather than
spending the morning still wondering what everyone else is thinking. See the stress
theory section for examples. Activities and games are great levelers - they break
down the barriers, and therefore help develop rapport and relationships.
Building confidence for motivation
Learning something new and completely different liberates the mind. Facing a
challenge, meeting it and mastering it helps build confidence.
Motivational team building
When you break down barriers, misunderstandings, prejudices, insecurities,
divisions, territories and hierarchies - you begin to build teams. Get a group of
people in a room having fun with juggling balls or spinning plates and barriers are
immediately removed. Teams unite and work together when they identify a
common purpose - whether the aim is the tallest tower made out of newspapers, or
a game of rounder on the park. Competition in teams or groups creates teams and
ignites team effort.
Motivational coaching and training motivation
Learning to juggle or some other new activity demonstrates how we learn, and how
to coach others. Breaking new tasks down into stages, providing clear instructions,
demonstration, practice, time and space to make mistakes, doing it one stage at a
time..... all the essential training and coaching techniques can be shown, whether
juggling is the vehicle or some other team-building idea, and the learning is clearer
and more memorable because it is taken out of the work context, where previously
people 'can't see the wood for the trees'. Games and activities provide a perfect
vehicle for explaining the training and development process ('train the trainer' for
example) to managers, team leaders and trainers.
Personal motivation styles and learning motivation
Everyone is different. Taking part in new games and activities outside of the work
situation illustrates people's different strengths and working style preferences.
Mutual respect develops when people see skills and attributes in others that they
didn't know existed. Also, people work and learn in different ways, see the Kolb
learning style model and Benziger thinking styles model for examples.
Continual development and motivation
Learning and taking part in a completely new activity or game like juggling
demonstrates that earning is ongoing. The lessons never finish, unless people
decide to stop learning. Juggling the basic 'three ball cascade' pattern doesn't end
there - it's just a start - as with all learning and development. Master juggler Enrich
Rastelli practiced all the daylight hours juggling ten balls. Introducing people, staff
or employees to new experiences opens their minds to new avenues of personal
development, and emphasizes the opportunity for continuous learning that is
available to us all.
Improving empathy and communications for motivation
"Seek first to understand, and then to be understood." (Steven Covey). See the
Seven Habits Of Highly Effective People summary and review.
To communicate we must understand the other person. Empathy and intuitive skills
are right-side brain. Conventional classroom training or distance learning do nothing
to address this vital area. Juggling and playing spontaneous or creative games
definitely promote development and awareness in the right-side of the brain, which
we use when we communicate and understand others. Team activities and games
promote communications and better mutual understanding - essential for good
organizational performance (see the Johari Window model and theory).
Motivation and creativity
Creativity and initiative are crucial capabilities for modern organizational
effectiveness. Juggling and other games activities dispel the notion that actions
must be according to convention and that response can only be to stimulus.
Successful organizations have staff that initiate, create, innovate, and find new
ways to do things better, without being told. Using mind and body together in a
completely new way encourages pro-active thought and lateral thinking, which
opens people's minds, and develops creative and initiative capabilities. See the
brainstorming process, which integrates well with team building activities and
workshops. See also the workshops process and ideas.
Motivation for problem-solving and decision-making
Problem-solving is integral to decision-making - see the problem-solving and
decision-making section. Learning to juggle or taking part in new challenging
stimulating activities uses the intuitive brain to solve the problem, the same part
that's vital for creatively solving work problems. People who can solve problems
creatively can make decisions - and organizations need their staff and employees to
have these abilities.
Physical activity is motivational
Team building activities like juggling, construction exercises, or outdoor games, get
the body moving, which is good for general health and for an energetic approach to
work. A minute of juggling three balls is 200 throws, the equivalent of pumping over
20 kilos. Physical activity also provides significant stress relief, and stress
management is part of every organization's duty of care towards its employees.
People concentrate and work better when they have had some light exercise and
physical stimulus. Physical activity energizes people and reduces stress and
tension. See details on the stress section.
Team building workshops are empowering and motivational
See the section on workshops. Workshops are good vehicles for team building
games and activities, and also great for achieving team consensus, collective
problem-solving, developing new direction and strategy, and to support the
delegation and team development process (see the Tannenbaum and Schmidt
Continuum for example).
Team building games and activities are motivational
Learning new things - even simple skills like plate-spinning - help to build
confidence, promote team-working and unleash creativity. Taking part in workshops
and brainstorming sessions are empowering activities. Combine all three and it's
even more effective for team building, development and motivation. See
particularly the 'Hellespont Swim' case study and exercise.
If you think about it, all manner of left-side-brain conventional training and business
skills can be integrated within an innovative, participative right-side-brain activity-
based approach, to increase interest, participation, involvement, retention and
motivation.
Saying thanks is hugely motivational
Saying thanks and giving praise are the most commonly overlooked and under-
estimated ways of motivating people. And it's so easy. Saying thanks is best said
naturally and from the heart, so if your intentions are right you will not go far
wrong. When you look someone in the eye and thank them sincerely it means a lot.
In front of other people even more so. The key words are the ones which say thanks
and well done for doing a great job, especially where the words recognize each
person's own special ability, quality, contribution, and effort, whatever. People
always appreciate sincere thanks, and they appreciate being valued as an individual
even more. When you next have the chance to thank your team or an individual
team-member, take the time to find out a special thing that each person has done
and make a point of mentioning these things. Doing this, the praise tends to carry
even greater meaning and motivational effect.
Motivational quotes - using inspirational quotations and sayings is motivational
Inspirational quotations, and amusing maxims and sayings are motivational when
used in team building sessions, conferences, speeches and training courses.
Inspirational quotes contribute to motivation because they provide examples and
role models, and prompt visualization. Inspirational quotes stimulate images and
feelings in the brain - both consciously and unconsciously. Powerful positive
imagery found in motivational quotations and poems is genuinely motivational for
people, individually and in teams, and can help to build confidence and belief.
Inspirational examples motivate people in the same way that the simple 'power of
positive thinking', and 'accentuate the positive' techniques do - people imagine and
visualize themselves behaving in the way described in the quotation, saying, story
or poem. Visualization is a powerful motivational tool - quotes, stories and poems
provide a very effective method for inspiring and motivating people through
visualization, imagination and association. See the stories section, and 'If', Rudyard
Kipling's famous inspirational poem.
Here are a few motivational quotes, relating to different situations and roles, for
example; achievement, management, leadership, etc. When using quote for
motivation it's important to choose material that's relevant and appropriate.
Motivational posters showing inspirational quotes or poems can be effective for staff
and employee motivation, and in establishing organizational values. There are more
quotations about inspiration and achievement on the quotes section. These quotes
all make effective motivational posters, and are excellent materials for motivational
speakers:
Motivational quotes
"We cannot solve our problems with the same level of thinking that created them."
(Albert Einstein)
"It is amazing what you can accomplish if you do not care who gets the credit."
(President Harry S Truman)
"In the midst of winter, I finally learned that within me there lay an invincible
summer." (Albert Camus, 1913 - 1960, French author & philosopher)
"If you're not part of the solution you must be part of the problem." (the commonly
paraphrased version of the original quote: "What we're saying today is that you're
either part of the solution, or you're part of the problem" by Eldridge Cleaver 1935-
98, founder member and information minister of the Black Panthers, American
political activist group, in a speech in 1968 - thanks RVP)
"A dream is just a dream. A goal is a dream with a plan and a deadline." (Harvey
Mackay - thanks Brad Hanson)
"I have learned that success is to be measured not so much by the position that one
has reached in life as by the obstacles overcome while trying to succeed." (Booker T
Washington, 1856-1915, American Educator and African-American spokesman,
thanks for quote M Kincaid, and for biography correction M Yates and A Chatterjee)
"Most people never run far enough on their first wind to find out they've got a
second. Give your dreams all you've got and you'll be amazed at the energy that
comes out of you." (William James, American Philosopher, 1842-1910 - thanks Jean
Stevens)
"Whatever you can do - or dream you can, begin it. Boldness has genius, power and
magic in it." (Johann Wolfgang von Goethe, German writer, 1749-1832 - thanks
Yvonne Bent)
"A dwarf standing on the shoulders of a giant may see farther than the giant
himself." (Didacus Stella, circa AD60 - and, as a matter of interest, abridged on the
edge of an English £2 coin)
"If I have seen further it is by standing on the shoulders of giants." (Sir Isaac
Newton, 1676.)
"The most important thing in life is not to capitalise on your successes - any fool can
do that. The really important thing is to profit from your mistakes." (William Bolitho,
from 'Twelve against the Gods')
"Out of the night that covers me, Black as the pit from pole to pole, I thank
whatever gods may be, For my unconquerable soul. In the fell clutch of
circumstance, I have not winced nor cried aloud: Under the bludgeoning of chance
my head is bloody but unbowed . . . . . It matters not how strait the gait, how
charged with punishments the scroll, I am the master of my fate: I am the captain of
my soul." (WE Henley, 1849-1903, from 'Invictus')
"Management means helping people to get the best out of themselves, not
organizing things." (Lauren Appley)
"It's not the critic who counts, not the one who points out how the strong man
stumbled or how the doer of deeds might have done them better. The credit
belongs to the man who is actually in the arena; whose face is marred with the
sweat and dust and blood; who strives valiantly; who errs and comes up short again
and again; who knows the great enthusiasms, the great devotions and spends
himself in a worthy cause and who, at best knows the triumph of high achievement
and who at worst, if he fails, at least fails while daring greatly so that his place shall
never be with those cold and timid souls who know neither victory nor defeat."
(Theodore Roosevelt, 23 April 1923.)
"The world is divided into people who do things, and people who get the credit. Try,
if you can, to belong to the first class. There's far less competition." (Dwight
Morrow, 1935.)
"What does not kill us makes us stronger." (Attributed to Friedrich Nietzsche,
probably based on his words: "Out of life's school of war: What does not destroy me,
makes me stronger." from The Twilight of the Idols, 1899)
"A life spent in making mistakes is not only more honorable but more useful than a
life spent doing nothing." (George Bernard Shaw, 1856-1950.)
"I praise loudly. I blame softly." (Catherine the Great, 1729-1796.)
.
Motivational ideas for sales managers for sales teams
(These principles are applicable to all job roles subject to the notes at the end of
this item.)
Motivation of sales people commonly focuses on sales results, but nobody can
actually 'do' a result. What matters in achieving results is people's attitude and
activity and the areas of opportunity on which the attitude and activity is directed.
What sales people can do is to adopt a positive and creative attitude, and carry out
more productive and efficient activity, directed on higher-yield strategic
opportunities. By doing these things sales people and sales teams will improve their
results.
However the tendency remains for sales managers, sales supervisors and team
leaders (typically under pressure from above from executives who should know
better) to simply direct people to 'meet the target', or to 'increase sales', or worse
still, to pressurize customers into accelerating decision-making, which might work in
the short-term but is extremely unhelpful in the medium-term (when business
brought forward leaves gaps in the next months' forecasts), and damages the long-
term (when as a result of supplier-driven sales pressure, the customer relationship
is undermined or ruined).
Instead think about what really motivates and excites people, and focus on offering
these opportunities to sales people and sales teams, on an ongoing basis. Don't
wait until you find yourself 25% behind target with only half of the year remaining,
and with targets set to increase as well in the final quarter.
People will not generally and sustainable improve their performance, or attitude
when they are shouted at or given a kick up the backside. People will on the other
hand generally improve their performance if empowered to develop their own
strategic capability and responsibility within the organization. Herzberg, Adams,
Handy, Maslow, McGregor, and every other management and motivation expert
confirmed all this long ago.
Sales teams generally comprise people who seek greater responsibility. They also
seek recognition, achievement, self-development and advancement.
So if we know these things does it not make good sense to offer these opportunities
to them, because we know that doing so will have a motivational effect on them,
and also encourage them to work on opportunities that are likely to produce
increasing returns on their efforts? Of course. So do it.
If you are managing a sales team try (gently and progressively) exploring with the
team how they'd like to develop their experience, responsibilities, roles, status,
value, contribution, within the business. Include yourself in this. Usually far more
ideas and activity come from focusing on how the people would like to develop their
roles and value (in terms of the scale and sophistication of the business that they
are responsible for), rather than confining sales people to a role that is imposed on
them and which is unlikely to offer sustainable interest and stimulation.
All businesses have many opportunities for new strategic growth available. Yours
will be no different.
Most employees are capable of working at a far higher strategic level, developing
ever greater returns on their own efforts.
Performance improvement is generally found through enabling people and teams to
discover and refine more productive and strategic opportunities, which will lead to
more productive and motivating activities.
For example: reactive sales people are generally able to be proactive account
mangers; account managers are generally able to be major accounts developers;
major accounts developers are generally able to be national accounts managers;
national accounts mangers are generally able to be strategic partner and channel
developers; strategic partner and channel managers are generally able to be new
business sector/service developers, and so on...
Again include yourself in this.
If necessary (depending on your organizational culture and policies seek approval
from your own management/executives for you to embark on this sort of
exploration of strategic growth. (If you are unable to gain approval there are many
other organizations out there who need people to manage sales teams in this
way....)
Obviously part of the approach (and your agreement with your people - the
'psychological contract') necessarily includes maintaining and meeting existing
basic business performance target levels. This is especially so since strategic
growth takes time, and your business still needs the normal day-to-day business
handled properly. But people can generally do this, ie., maintain and grow day-to-
day performance while additionally developing new higher-level strategic areas,
because genuinely motivated people are capable of dramatic achievements. The
motivation and capacity to do will come quite naturally from the new responsibility
and empowerment to operate at a higher level.
N.B. The principles described above generally apply to most other job roles. People
are motivated by growth and extra responsibility, while at the same time the
organization benefits from having its people focus on higher strategic aims and
activities. Be aware however that people in different roles will be motivated by
different things, and particularly will require different types of support and
guidelines when being encouraged to work at a higher strategic level. For example,
engineers require more detail and clarification of expectations and process than
sales people typically do; administrators are likely to require more reassurance and
support in approaching change than sales people typically do.
For sure your should encourage and enable people to develop their roles, but make
sure you give appropriate explanation, management and support for the types of
people concerned.
Case studies
Severn Trent Water chooses Capital Bonds to ‘Say Thanks’ to employees
Background
Severn Trent Water serves over 8 million people in the heart of the UK, supplying
nearly 2 billion liters of drinking water a day in Europe. Since privatization in 1989,
Severn Trent Water has invested nearly £5 billion in improving the quality of its
service to customers.
As a company, they wanted to enhance the quality of their service to employees by
improving employee satisfaction and motivation.
ObjectivesSevern Trent Water required an employee motivation and incentive
scheme that empowered managers at a local level to recognize individuals for their
exceptional contribution to the company, which directly or indirectly related to
improving customer service.
It was essential that the provider that undertook the administration of the scheme
did so in a cost effective manner as the business operates in a tight regulatory
environment. It was also important that rewards offered would appeal to all across
the wide spectrum of business processes.
SolutionSevern Trent Water turned to Capital Incentives and Motivation to
implement a cheque book based reward and recognition incentive scheme called
‘Saying Thanks’.
To launch the campaign, each Business Manager was given a ‘Saying Thanks’
branded cheque book with a range of serial numbered cheques ranging from £25 -
£250 with a covering letter and instructions confirming their reward & recognition
budget. The cheques are presented with a personal letter of thanks at the discretion
of the Business Manager, to employees who have provided an exceptional
contribution. The recipients simply return the cheque to Capital Incentives in a pre-
paid envelope, specifying their choice of voucher from a selection on the rear of the
cheque.
RewardsSevern Trent Water chose Capital Bond vouchers to provide recipients with
unlimited choice as they can be spent at over 140 famous high street stores from
fashion and accessories, home and DIY, leisure and travel to food and drink.
To complement the Capital Bond voucher and ensure the employees have
maximum choice, vouchers from Argos, Kingfisher, Leisure Vouchers, M&S, Next,
Toys R Us and WH Smith were also recommended.
‘Saying Thanks Awards’ are distributed to the recipient in a ‘Saying Thanks’
personalized voucher wallet, accompanied by a letter of Congratulations.
Capital Incentives & Motivation also manages the administration of the scheme
including the implementation of comprehensive audit procedures for every cheque
received the processing of cheques and the distribution of vouchers; this is
supported by provision of detailed management information.
ResultsThe scheme proves to be an ongoing success according to the Pay &
Benefits Manager,:
"The 'Saying Thanks' scheme has helped develop the manager and employee
relationship as there is a significant 'feel good factor' due to the fact the award is a
personal one made by the manager. The scheme has definitely been one of the
factors in helping the company improve its customer service levels reported to the
industry regulator. The overall company perception has also dramatically improved
through the introduction of the scheme.
“Employees’ achievements are now recognized upstream in the management
hierarchy and as a result this has increased job satisfaction and increased
motivation".
The employees were also impressed with the scheme as one recipient comments -
“I always really appreciate receiving a 'Saying Thanks' award. It's nice to be
recognized for doing a bit extra and the Capital Bonds are useful as they can be
spent in so many different ways."
What is motivation?
For many years, management theorists have tried to understand what makes some
people work harder than others. Some of the motivation factors identified by
theorists can be seen at work in RBS.
Early theorists on staff motivation always looked at factors outside the individual.
Taylor and the 'piece rate'
Frederick W. Taylor (1911) was the creator of 'scientific management'. He felt that
every job was measurable and each element of a job could be timed. All managers
had to do was pay for every item the workers produced and they would work harder
to get more money. This led to a long established pay scheme called the 'piece
rate', where workers received a fixed amount for every unit of output. Schemes like
this are usually associated with manufacturing industries and are not appropriate
for a complex service-led organization like RBS.
Herzberg and 'two-factor' theory
Another theorist, Frederick Herzberg (1959), carried out a large-scale survey into
motivation in American industry. The results of his survey led him to develop a 'two-
factor' theory of motivation. Firstly, he established that if an employee's basic
needs (such as a suitable working environment and a basic rate of pay) were not
met, then this creates a source of dissatisfaction. Herzberg termed these 'hygiene
factors'. On the other hand, the presence of less tangible factors, such as the
provision of challenging work and recognition for doing well, can create or increase
work motivation. Herzberg termed these 'motivators'.
RBS has put in place several of Herzberg's 'motivators':
· employees get recognition for good work
· they have a collective sense of achievement when the whole business does well
· they gain extra responsibility and advancement through regular performance
reviews
· when RBS people do well in their work, the company rewards them.
Maslow's Hierarchy of Needs
The theory of Abraham H. Maslow (1943) on staff motivation is also evident at RBS.
Maslow referred to a 'Hierarchy of Needs' which is usually drawn as a pyramid.
According to Maslow, the most basic needs on this hierarchy had to be satisfied
before workers could look to the next level. Basic physical needs were things like
shelter, food, warmth and bodily functions. Next, people had to feel safe in their
environment. RBS provides these basic needs wherever it creates jobs.
Maslow's higher levels of need are less obvious and less easy to describe but of
great importance. Social needs refer to the fact that we want to feel part of
something we share in. RBS creates the opportunity for its community of employees
worldwide to share in its common goals and vision for the group. It does this by
rewarding the people who contribute to its success through their commitment and
hard work.
RBS provides 'self actualization' by offering recognition, promotion opportunities
and the chance to develop a lifelong career with the Group.
The next level – 'esteem' - refers to our need to feel valued, that what we do
matters. The RBS mindset is that employees can 'make it happen' for themselves. It
provides opportunities for all employees through promotion or training and then
recognizes their achievements. Through this RBS employees can improve their self-
esteem.
At the very top of Maslow's hierarchy is our human need for 'self actualization'. This
means we work hard in order to be as good as we possibly can be. RBS meets this
by offering recognition, promotion opportunities and the chance to develop a
lifelong career with the Group.
How Auditing Company X Works with Retaining Valuable Employees : Swedish Case
study
University essay from Högskolan i Jönköping/IHH, EMM (Entrepreneurskap,
Marknadsföring, Management)
Author: Josip Bogic; Elina Armanto; Maja Cassel; [2008]
Keywords: Retention; Auditing;
Abstract: Today, neither employees nor employers seem to take for granted that a
person will stay with the same firm until retirement. Yet, keeping employees for
longer periods is an imp-ortant challenge for firms. One industry where retention is
interesting is the auditing industry in Sweden, this because certain requirements
are needed to become an auditor. Firstly, the employee needs to have a Swedish
university degree, including specific courses within au-diting/accounting.
Furthermore, the person needs practical experience for a specific period of time.
Due to these statements the challenge of retaining and motivating valuable em-
ployees is crucial for the auditing firms, which is why we have chosen to do a case
study at Auditing Company X to see how they work with employee retention. We
have compared the findings to our chosen theory, which consist of four categories:
the hiring process, in-ternal labor market and career, motivation and performance,
and finally culture and leader-ship. These four categories are initially based on Leigh
Branham?s book: ?Keeping the people who keep you in business: 24 ways to hang
on to your most valuable talent? (Bran-ham, 2001).In our conducted case study, at
Auditing Company X, we have been able to conclude that the firm’s retention
practices are to a great extend in line with the theoretical framework. There are
some areas that need further attention from the company, such as an individua-
lized reward system and communication between managers and employees. Even
though there are some parts to work on the most important
niversitet/Ekonomihögskolan
Author: Sanna Paulsson; Linda Lindgren; [2008]
Keywords: retention; remuneration; reward; leadership; leadership style;
management; motivation; employee;
Abstract: Introduction: Companies today are forced to function in a world full of
change and complexity, and it is more important than ever to have the right
employees in order to survive the surrounding competition. It is a fact that a too
high turnover rate affects companies in a negative way and retention strategies
should therefore be high on the agenda. When looking at this problem area we
found that there may be actions and tools that companies could use to come to
terms with this problem. Research told us that leadership, remuneration and
elements like participation, feedback, autonomy, fairness, responsibility,
development and work-atmosphere is important for job satisfaction and retention.
Object: The main objective is to increase the understanding regarding employee’s
retention in relation to leadership style, remuneration and elements such as
participation, feedback, autonomy, fairness, responsibility, development and work-
atmosphere in the Swedish financial
Sector. Method: We wanted to investigate how employee of the Swedish financial
sector prefers to be retained, and how they consider and react to the chosen areas.
The survey has a quantitative approach with a web based questionnaire and
includes 129 respondents from banks, insurance and finance companies. The
theoretical framework includes leadership and leadership style, financial as well as
non-financial remuneration and research done in later years regarding participation,
feedback, autonomy, fairness, responsibility, development and work-atmosphere
connected to retention.
Conclusion: The result shows that regarding leadership the respondents prefer
leadership based on relations were they feel appreciation. Both appreciations from
the closest manager as well as the company management influences employee job
satisfaction in a positive way. More money was the most common reason for
wanting to change jobs, and when asking how the remuneration system should be
designed, base pay with additional bonus and benefits were preferred. But also non
financial factors such as participation, feedback, autonomy, fairness, responsibility,
development and work-atmosphere must be taken in consideration to satisfy since
they seem to increase employees? Willingness to stay in the company.
He can suggest developing the idea further with the involvement of those who
offered it. He can make sure the employees in question are acknowledged and
rewarded. This results in high employee motivation and even leads to additional
input by others. Employees now realize that they themselves can do something to
help secure their place of employment. Upper management realizes the value of
their employees. Through this example, management's stance may change to one
of sharing and joint problem-solving.
Whatever their level of education, the people who perform the actual work come
across situations which trigger thoughts for improvement. Supervisors must realize
this, and so should upper management. They should also realize that company
secrets are hard to keep. The busy grapevine keeps even the lowest ranking
employee informed of higher-up decisions and plans. Instead of letting fears and
doubts pervade the workplace, managers and supervisors can share future planning
with employees and help prepare them for opportunities and different scenarios.
In his book Job Shift - How to Prosper in a Workplace without Jobs, William Bridges
explains the employment and training needs of the new economy. He says that the
traditional concept of "job", as related to a specific position within a company, is
fast disappearing, being replaced by temporary team projects and task forces with
specific mandates. He advocates cross-training and advises employers to work
together with labor unions to create a multi-skilled work force who can dynamically
respond to company and market needs.
William Bridges goes even further, recommending that employers train employees
in business management and entrepreneurship. Their understanding of business
principles will help them contribute effectively to the company's success. Should
they lose their job, it will also help them establish their own independent businesses
to provide contracting services to the organization for which they worked. His
reasoning is that through this investment companies will gain efficient, loyal
contractors, attuned to the needs of the company. This concern for, and investment
in, future scenarios will ingrain unshakable trust and loyalty towards the company.
Before embarking on such a course, supervisors and managers must discover the
specific qualifications and shortcomings of all employees. Some of them may be
born leaders, coaches, facilitators, mediators, or may perform best when given clear
directives and placed in "active" roles. Shortcomings can be remedied. The entire
philosophy here is to share and help each other's survival and growth. The approach
is a caring one, as expected in a family setting. In the long run, it works out for the
best interests of all parties.
Organizations may not be ready yet for such a heavy commitment in employee
training and a sharing of responsibility for the future. However, this philosophy has
its merits and can inspire the supervisor in his quest for solutions within the present
work environment. If convinced of the need to care for employees' future, the
supervisor will find the solution which will best fit the organization and its people.
He will succeed in influencing management thinking one step at a time. Employees
will sense this and will acknowledge him as leader. He will find his motivational
problems resolved. Employee motivation is closely related to the quality and style
of leadership. By creating a "caring" and participative environment, the supervisor
succeeds in motivating his employees even when the organization is not yet ready
to face work force realities.
Conclusion
Motivation is an important concept that has been receiving considerable attention
from academicians, researchers and practicing HR managers. In its essence,
motivation comprises important elements such as the need or content, search and
choice of strategies, goal-directed behavior, social comparison of rewards
reinforcement, and performance-satisfaction.
The increasing attention paid towards motivation is justified because of several
reasons. Motivated employees come out with new ways of doing jobs. They are
quality oriented. They are more productive. Any technology needs motivated
employees to adopt it successfully.
Several approaches to motivation are available. Early theories are too simplistic in
their approach towards motivation. For example, advocates of scientific
Management believe that money is the motivating factor. The Human Relations
Movement posits that social contacts will motivate workers.
Mere knowledge about the theories of motivation will not help manager their
subordinates. They need to have certain techniques that help them change the
behavior of employees.
One such technique is reward. Reward, particularly money, is a motivator according
to need-based and process theories of motivation. For the behavioral scientists,
however, money is not important as a motivator. Whatever may be the arguments,
it can be stated that money can influence some people in certain circumstance.
Being an outgrowth of Herzberg’s, two factor theory of motivation, job enrichment is
considered to be a powerful motivator. An enriched job has added responsibilities.
The makes the job interesting and rewarding. Job enlargement refers to adding a
few more task elements horizontally. Task variety helps motivate job holders. Job
rotation involves shifting an incumbent from one job to another. This reduces
boredom and disinterest.
OB Mod uses the reinforcement principle of B.F. skinner to give the management a
powerful technique to change employee behavior. Several reputed organizations in
a America have used OB Mod programmes successfully to achieve positive results.
Recommendation
Motivation is essential for each and every organization because its helps in avoiding
the frustration and it also create the healthy work environment. . This concern for,
and investment in, future scenarios will ingrain unshakable trust and loyalty towards
the company. The word motivation stands for movement. Every manager should
have both interest and concern about how to enable people to perform task willingly
and to the best of their ability. Motivation is essential for any company because
employee is Asset of company. Motivation is important for the growth of employees
as well as growth of the organization.
Motivated employees help organizations survive. Motivated employees are more
productive. To be effective, managers need to understand what motivates
employees within the context of the roles they perform. Motives can only be
inferred, but not seen. The dynamic nature of needs offend poses challenge to any
manager in motivating his or her subordinate. An employee, at any given time, has
a various needs, desire, and expectations. Employees who put in extra hours at
work to fulfill their needs or accomplishment may find that these extra hours
conflict directly with needs for affiliation and their desire to be with their families.