2.4 Motivation and Demotivation

motivation

desire, effort and passion to achieve something

warning signs of poor motivation

- High absenteeism rates

- High labour turnover rates

- High wastage level

- Increasing numbers of customers complaints

- Low quality output

- Poor punctuality

- Increasing number of disciplinary problems

benefits of increased motivation

more satisfaction, better work place relations, lower absenteeism, lower turnover, better corporate image

Maslow hierarchy benefits and drawbacks

benefits : Higher employee satisfaction, can motivate their employees by offering incentives that align with their specific needs and desires, Employees who feel valued

drawbacks : approaches needs in linear manner, individualistic (not applicable in collectivist culture), overlooks rewards that overlap,Meeting many individual needs can be costly, difficult to measure

collectivist culture

culture that focuses on communal relationships with others such as family, friends, and community; linear

Maslow hierarchy

Maslow's Hierarchy of Needs is a theory of human motivation that outlines five tiers of human needs that must be met for individuals to reach their full potential

Taylor's motivational theory

theory of scientific management that assumes that employees are primarily motivated by money and that productivity could be improved by setting output and efficiency targets related to pay.

Pros and Cons of Taylor's theory

pros : increased efficiency, clear incentives, easy to implement

cons : not universally applicable, employees may feel dehumanized, reduces intrinsic motivation, stress

Herzberg two-factor theory of motivation

Herzberg's theory suggests that there are two types of factors that affect employee motivation and job satisfaction hygiene factors, their absence can cause dissatisfaction, and motivators,lead to job satisfaction

intrinsic motivation

Comes from the satisfaction derived from working on and completing a task

extrinsic motivation

Comes from external rewards associated with working on a task, for example pay and other benefits

financial rewards

salary, commission, piece rate (wages), performance related pay, profit related schemes, employee share ownership scheme, fringe payments

Salary

A fixed amount of money paid to an employee for each pay period.

commission

An amount paid to an employee based on a percentage of the employee's sales

piece rate

a method of pay where you receive payment based on the number of items produced

performance related pay

rewards employees (as individuals, teams or as a whole workforce) who meet certain goals.

employee share ownership scheme

This payment system rewards workers, managers and directors by giving them shares in the company

profit related pay

A bonus for staff based on the profits of the business - usually paid as a proportion of basic salary

fringe benefit payment

Fringe payments (also known as financial perks) are the

monetary benefits to employees in addition to their wages or salaries. Examples include health insurance, housing allowance, employer's contributions to employee retirement funds, staff discounts, subsidized meals, gym membership, paid holidays and paid sick leave.

job enrichment

gives workers more challenging jobs with

more responsibility, to make their work more rewarding and motivate them.

job rotation

Job rotation is a type of non-financial reward that involves

workers performing different tasks at the same level of

complexity in a systematic way.

job enlargement

increasing the number of different tasks in a given job by changing the division of labor, refers to broadening the number of tasks that an employee performs, although the nature of the job itself remains essentially

unchanged.

pros and cons of salary

pros : regular payment, stable, easy to calculate

cons : hard to incentivize as fixed, difficult to distinguish effort

pros and cons of commission

pros : motivates their employees, make them more productive, generate more sales

cons : high pressure, instable, reduced teamwork

pros and cons piece rate

pro : employees have an incentive to work hard to maximise their earnings, easy to calculate

con : quality problem, supervision and control needed, employee disappointment if machine failure

performance related pay pros and cons

pros Aligns employee goals with the overall objectives, motivates, helps with retention, increases accountability

cons subjective, pressure, competition

employee share ownership scheme pros and cons

pros : good for high level positions, more direct interest in the well-being of the organization, loyalty, retention

cons : amount distributed is hardly enough to sustain their level of motivation and productivity for low level, not liquid, high administrative costs

profit related pay pros and cons

pro : aligns employee objectives with business profitability, encouraged to work harder

con : unpredictable, performance can sometimes be subjective, focused on short term profit

fringe payments pros and cons

pro : help morale and loyalty, employees feel valued, helps esteem and safety needs

con : high costs, affect cash flow, requires significant time and administrative resources

job enrichment pros and cons

pros : feel valued, esteem needs met, increase commitment, help improve skills

cons : time and money to train, workload, too challenging, mistakes

pros and cons of job rotation

pros : less boredom more variety, easy to cover for absent colleagues

cons : training cost and time, workload, complex

pros and cons of job enlargement

pros :less boredom, employees feel trusted

cons : same pay more work so demotivating, stressful, demotivation

job empowerment

involves granting workers the authority to be in charge of their own jobs and to execute their own ideas to solve business problems.

giving purpose

motivated by using their work to help others thereby making a difference to the world we live in, altruistic and make positive difference

team working

Production is organised so that groups of workers undertake a specific functional area or task

job empowerment pros and cons

pros : gives sense of autonomy and ownership, reduces management burden, encourages employees to be more creative

cons : risk of error, decisions that serve personal interests,investment in training

team working pros and cons

pros : many perspective, division of labour, support and teach each other

cons : conflict, slower decisions, poor coordination, dominated by some ppl

giving purpose pros and cons

pros : more driven, more committed, better retention, brand reputation

cons : burnout due to overwork, can slow down decision making, might be dissatisfied by some business actions

training

process of instructing and teaching employees how to perform certain tasks and their job

purpose of training

To enhance the efficiency and productivity of employees.

To improve the quality of work of employees, including the

quality of customer service.

To facilitate the personal and professional development of

employees.

To help employees adapt to change (including

organizational, technological, social and legal changes).

pros of training

higher morale, less turnover, less absenteeism, maintains industry standard, more efficiency It is easier and more likely to achieve business objectives with a more skilled and flexible workforce, less wastage and re-working

induction training

type of training for new employees aimed at introducing new employees to the organization like the organizations protocol, people and culture

on-the-job training

training while at the work place typically by managers or other employees

Off-the-job training

training away from the work place by specialist trainers

pros and cons of induction training

pros : understands values and culture, settle faster work faster, employee feels welcome and motivates (commitment and satisfaction), productive asap

cons : time consuming, trainer is busy, can delay starting work, can be overwhelming

pros and cons of on the job training

pros : cheap, specific to organization, output is still produced, helps get to know other employees and culture, better employee relationships, motivating as more skilled

cons : bad habits passed on, not up to date (managers may lack skills) , trainer not productive, disrupts operations

pros and cons of off the job training

pros : up date, no distractions, good equipment and training, employees feel more confident

cons : loss of output, expensive, not specific to organization, may want to leave due to more skills