Question

1.To what extent are Acuity’s and the Container Store’s approach toward motivation consistent with need theories of motivation? Discuss.

2.To what extent is The Container Store’s pay and reward system consistent with equity theory?

Answer 1

1) Acuity's and Container Store's approach towards motivation are consistent with need theories of motivation to a larger extent. If one considers Maslow's hierarchy of needs, he/she can easily gauge that their approach is one of the best to motivate employees. Maslow's hierarchy of needs has 5 stages :-

• Psychological
• Safety
• Love/Belonging
• Esteem
• Self-Actualization

In these 5 stages, most companies struggle to give their employees a platform to achieve the stage of self-actualization. Managers, there, have an idea as to help the employees with the first 3 stages, but they themselves don't understand the last 2 stages properly. This is where both Acuity and Container store's approach different.

Programs like Acuity's wellness program, Lunch with an officer and Container store's competence building program and medical initiatives are the ones that help an employee reach the third stage. These initiatives sends a message to the employees that their company cares about them and wants them to stay safe and feel confident in company's environment. With that Acuity's 'Magic Happens' and Container Store's 'Salary in line with your contribution' are the programs that really give the employees a push towards 4th and 5th stage. These initiatives help in growing employees confidence in their own abilities and make them come out with them and get recognised by displaying them to the people. This gives a person a platform to achieve self actualization.

Therefore, their approach is completely in line with the need theories of motivation.

2) These two companies pay and reward system too are consistent with equity theory. According to equity theory, individuals are motivated by equality, and this is what is shown by these two companies pay and reward system. In case of container store, the employees can discuss about their pay with their managers, and based on that their salaries would be decided. This gives each employee an equal and fair opprtunity to put his contribution forward. Similarly, in case of Acuity, they share their profits with there employees and have a robust reward system to acknowledge stand out performers. Such an initiative gives every employee an equal opportunity to work towards his goals and get recognised.