2.4 Motivation

Question 1

Delegation

Answer 1

Delegation refers to managers passing on authority to subordinates to carry out a task or project. This can motivate workers who wish to be entrusted and recognised for their
abilities.

Question 2

Empowerment

non-financial reward AO2

Answer 2

Empowerment is a non-financial motivator that involves developing the potential of workers or teams to achieve the best they can by granting them the authority to make various
decisions and to execute their own ideas to solve business
problems.

Question 3

Fringe payments (or perks)  
financial rewards AO2

Answer 3

Fringe payments (or perks) are the financial rewards paid
in addition to a workers wages or salaries, e.g. free uniforms, subsidised meals, housing benefit, pension fund contributions and company cars.

Question 4

Herzberg’s two factor theory

Answer 4

Herzberg’s two factor theory looked at the factors that motivate employees, namely hygiene factors (that must be met to prevent dissatisfaction) and motivators.

Question 5

Hygiene factors

Answer 5

Hygiene factors are parts of a job that Herzberg referred to that do not increase job satisfaction but help to remove dissatisfaction,
such as reasonable wages and working conditions.

Question 6

Motivators are the factors

Answer 6

Motivators are the factors that Herzberg considered to

increase job satisfaction and motivation levels, e.g. praise and recognition.

Question 7

Job enlargement

non-financial reward AO2

Answer 7

Job enlargement refers to increasing the number of tasks that an employee performs, thereby reducing or eliminating the
monotony of repetitive tasks.

Question 8

Job enrichment

non-financial reward AO2

Answer 8

Job enrichment involves giving workers more responsibilities and more challenging jobs

Question 9

Job rotation

non-financial reward AO2

Answer 9

Job rotation is a form of job enlargement whereby workers are given different tasks, but of the same level of complexity, to help reduce the problems caused by performing repetitive tasks.

Question 10

Maslow’s hierarchy of needs

Answer 10

Maslow’s hierarchy of needs outlines five levels of needs, from satisfying physiological needs to self-actualisation. Lower order needs must be met before people progress up the hierarchy.

Question 11

Motivation

Answer 11

Motivation refers to the inner desire or passion to do something. The driving forces could be intrinsic (e.g. to have a sense of achievement) and/or extrinsic (e.g. due to financial rewards).

Question 12

Performance-related pay (PRP)

financial rewards AO2

Answer 12

Performance-related pay (PRP) is a payment system that
rewards people who meet set targets over a period of time. The targets can be on an individual, team or organizational basis.

Question 13

Wages: Piece rate

financial rewards AO2

Answer 13

Piece rate is a payment system that rewards people based on the amount that they produce or sell. Thus, their pay is directly linked to their level of productivity.

Question 14

Pink’s drive theory

Answer 14

Pink’s drive theory suggests that people in modern societies are motivated by three key factors:
1 autonomy
2 mastery
3 purpose.

Question 15

Productivity link to motivation

Answer 15

Productivity measures the level of output per worker. It is an indicator of motivation as employees tend to be more productive with increased levels of motivation.

Question 16

Scientific management

Answer 16

Scientific management, developed by FW Taylor, suggests that specialisation and division of labour help to increase the level of productivity. This is especially the case if pay is linked to a piece-rate reward system.

Question 17

Wages: Time rate

financial rewards AO2

Answer 17

Time rate is a payment system that rewards staff for the time (rather than output) that they put into work. It is expressed per period of time, e.g. $10 per hour or $5000 per month.

Question 18

salary

financial rewards AO2

Answer 18

employees are paid a sum of money per month, they have the security of receiving a regular income

Question 19

commission

financial rewards AO2

Answer 19

Employees are paid by results when an output can’t be measured.

Question 20

profit-relatad-pay

financial rewards AO2

Answer 20

The amount an employee receives is linked to the amount of profit a business makes.

Question 21

employee share ownership schemes

financial rewards AO2

Answer 21

An employee is given a reward in the form of shares, which guarantees the fact that the employee will stay in the company because they can’t sell the shares until a certain period of time has passed. It can also be employees that are allowed to purchase shares and are given a compensation for the money they spent on those shares.

Question 22

How financial and non-financial rewards may affect job satisfaction,
motivation and productivity in different cultures
AO2

Answer 22

PAGE 190

Question 23

Generic benefits of increased
worker motivation
6

Answer 23

1 Higher morale and job satisfaction (which leads to
improved productivity and quality)

2 Better Industrial relations (reduces the chances of
conflict in the workplace)

3 Lower absenteeism (staff have incentives to turn up for
work)

4 Lower staff turnover (reduces the costs of hiring
replacement staff)

5 Improves corporate image (helps to attract customers
and potential employees)

6 Higher profitability (generated from combining the above benefits).

Question 24

Taylor AO3

2

Answer 24

1 His principle of scientific management assumed that employees are primarily motivated by money and that productivity could be improved by setting output and efficiency targets related to pay.

2 His theory is criticised for ignoring non-physical contributions of workers which can motivate the employees.

Question 25

Herzberg (motivation-hygiene theory) AO3

Answer 25

1 He believed that company should use a democratic leadership style.

2 He also suggested that managers could motivate workers by using non-financial rewards (job enlargement, job enlargement, job empowerment)

Question 26

Hygiene factors (cause of dissatisfaction)
Herzberg
8

Answer 26

1. Organisational policies, rules, and regulations
2. Relationship with peers, subordinates, supervisors etc.
3. Pay- salaries and wages
4. Status
5. Job security
6. Physical security
7. Supervision and coordination
8. Physical working condition

Question 27

Motivators (cause of satisfaction)
Herzberg
8

Answer 27

1. Achievement
2. Advancement
3. Interesting tasks
4. Opportunities for promotion
5. Personal growth
6. Recognition
7. Responsibility
8. Work itself

Question 28

Maslow AO3

Answer 28

1. Psychological needs
2. Security needs (safety needs)
3. Social needs (love and belonging needs)
4. Esteem needs (ego needs)
5. Self- actualisation

Question 29

Psychological needs

Maslow

Answer 29

They refer to needs that must be met for people to survive, such as food, water etc. In business, they refer to the level of pay and the working condition. (the level of pay determine whether the workers will be able to meet the basic needs or not)

Question 30

Security needs (safety needs)
Maslow

Answer 30

They are demands that make people feel safe and stable. This includes predictability (daily structure and routines) and order (protection from human). Business can provide job security, sick pay, maternity leave and pensions(retirement fees).

Question 31

Social needs (love and belonging needs)
Maslow

Answer 31

They refer to human desire to be accepted as part of a friendship group or a family. In business, it means the opportunity to work in teams and compliance with antidiscrimination laws that help promote a sense of worth and belonging at work.

Question 32

Esteem needs (ego needs)
Maslow

Answer 32

They refer to the desires for recognition and self- respect. Internal esteem needs indicate that people need to feel good about themselves, sense of achievement. External esteem needs represent the desire for recognition by others, such as having status at work, position.

Question 33

Self- actualisation

Answer 33

It refers to the forces that drive people to become the best that they can be. Business can enhance this by providing opportunities for personal development and promotion, such as training and challenges that help reach the potential and self-fulfillment

Question 34

Pink AO3

Answer 34

1 He argues extrinsic factors no longer work because humans are not the same as horses so managers cannot get(force) people to move.

2 His theory is based on three innate factors that drive(motivate) people at work.

1. Autonomy: self-sufficient to direct our own lives
2. Mastery: self-improvement to learn and create new things
3. Purpose: self-esteem and drive to do better by ourselves

Question 35

Autonomy
Pink
4 Ts

Answer 35

To have control of their own lives

1. Tasks— what the workers need to do
2. Time— when the workers should do their works
3. Technique— what way should the workers do their tasks
4. Team— whom the workers work with to compete the tasks

Question 36

Mastery
Pink
3 + !

Answer 36

1 To learn new things and enhance competence in what we desire to do.

2 This driver of motivation allows people to become better at something that matters to them as individuals.

3 Four essential elements: autonomy, crystal clear goals, immediate feedback, and

! Goldilocks tasks (not too hard or too simple tasks)

Question 37

Purpose
Pink
2 + !

Answer 37

1 To do better by ourselves and for others.

! Purpose maximisation is as important as profit maximisation to inspire and guide people.

2 Pink argues that employees who understand how their individuals roles contribute to the purpose(vision) of their organisation are far more likely to be satisfied in their work.

Question 38

Adams (equity
theory) AO3
4

Answer 38

1 He suggested that workers will naturally compare their efforts or rewards to those of others in the workplace.

2 Each worker should receive remuneration(salary and fringe benefits) that reflects their efforts.

3 The degree of equity is an organisation is based on the ratio of inputs (contributions made by employee, ex: efforts, experience) to outcomes (financial and non-financial rewards).

4 Workers will only be motivated if their input to outcome ratio is seen to be equitable (fair) in relation to others in the workplace.

Question 39

Adams

3 ways

Answer 39

1. Equity norm: business needs to ensure that staffs feel equity.
2. Social comparison: workers determine what is fair based on comparison of their inputs and outcomes with others.
3. Cognitive distortion: when employee feels their input is greater than outcome, they will be demotivated.