2.4 Motivation Flashcards
Motivation
The intrinsic and extrinsic factors that stimulate people to take action
Taylor
The division of labor and specialization in production improved efficiency
Motivated by pay (extrinsic factor) –> advocated for a piece rate financial reward system
it encouraged employees to produce a greater number of units in a shorter period of time
Maslow
Hierarchy of needs (physiological, security, social, esteem, self-actualization
Once they are satisfied they are challenged with higher order needs to intrinsically motivate them
However, people place different levels of importance on different needs
Herzberg
Two-factor theory
removing workplace dissatisfaction (hygiene factors) does not automatically cause satisfaction, they must actively seek out factors that increase satisfaction (motivators)
ie. pay removes dissatisfaction, but intrinsic motivation is also required
Adams
Equity theory
employees are demotivated in their inputs (effort, loyalty, skill ) are greater than outputs (financial rewards, recognition)
want them to match/ be similar to others of similar rankings
they will respond with positive attitudes and high levels of motivation if they feel equity has been reached
Pink
employees are motivated by intrinsic factors
- autonomy: having control of their work
- mastery: improving their skills through tasks that aren’t too easy/ hard to feel a sense of progression
- purpose: understanding how their role contributes to the greater vision of the business
Intrinsic motivation
Comes from the satisfaction derived from working on/ completing a task
Extrinsic motivation
Comes from external rewards associated with working on a task, for example pay/ other benefits
Salary
A fixed annual income that is usually paid on a monthly basis
Wages (time rates)
Payment to a worker for each hour worked
Wages (piece rates)
Payment to a worker for each unit produced
Commission
Financial reward that provides workers a certain percentage of the sales they are responsible for completing
Profit-related pay
Financial reward system which remunerates workers a certain percentage of the annual profits that the business earns
Performance-related pay
Financial reward system which rewards staff for reaching/ exceeding a set target
Employee share-ownership schemes
Financial reward system that rewards employees with shares in the company