Question

Part-1

1. Define motivation and explain three motivational theory from the chapter. What kinds of needs motivate employees? Is a good reward good enough? How do other factors affect motivation?

2. What are the types of incentives I might use to influence employee behaviour? How can I use compensation and other rewards to motivate people?

Use at least 3 scientific references to support your answers. Follow APA-style when referencing.

Answer 1

(1): Motivation can be defined as that impulse that causes or that propels a person to act. For instance a student studies with the motivation of getting good grades, an employee works with the motivation of being appreciated and getting promoted.

Three motivational theories are explained below:

· Maslow’s need hierarchy theory – This theory states that a human being has different levels of need and once a given level is satisfied then that level of need no longer serves to motivate human beings. The next level, then, will serve as the motivating factor. The different levels of needs are – physiological needs, safety needs, social needs, esteem needs and self-actualization.

· Herzberg’s motivation hygiene theory – As per this theory there are job satisfiers that are called motivators and there are job dissatisfiers that are called hygiene and maintenance factors. Motivators consist of achievement, recognition, advancement, growth etc. Hygiene of maintenance factors consist of supervision, working conditions, status, security etc.

· Participation theory – This theory is based on two sub theories, one is negative and one is positive. As per the negative theory people would like to work as little as possible, they lack ambition, are mostly self-centered. The positive theory states that people are capable of directing their own behavior and are capable of assuming responsibility.

As such we can see that different kind of needs motivate employees. A good reward is not enough. It will have to be coupled with other motivational factors like the opportunity to advance and grow, promotions, recognition etc. All these factors will affect motivation.

(2): To influence employee behavior you should use both monetary incentives as well as non-monetary incentives. The monetary incentives should be in the form of bonus, higher commission, etc. The non-monetary incentives should be in the form of rewards and recognitions, promotions, better fit, good and safe working environment etc. Compensation can work as a short term incentive and if in the long run you only rely on compensation without using any other form of incentive then it will no longer be as effective as it was in the short term. It is important to align incentives with organizational goals. Moreover employee incentives needs to be tailored to the job roles.