Chp 6 Motivating Employees Flashcards
5 points
Why do people work ?
- Money
- Social needs
- Esteem
- Security
5.Job satisfaction
5 points
Benefits of motivated employees
- Higher output per worker(Productivity)—> Lower unit costs—> Increased profit
- Increased willingness to change
- Reduced absenteeism
- Lower labour turn-over
- Improved quality
Maslows Theory
Self actualisation
Esteem needs
Social needs
Security needs
Physiological needs
FW Taylor’s theory
Higher pay—> Higher motivation
4 each, 8 total
Herzeberg
Hygiene factors (basic needs):
1. Job security
2. Status
3. Salary
4. Good working conditions
If these aren’t satisfied it acts as a demotivating factor
Motivators:
1. Achievements
2. Recognition
3. Growth
4. Promotions
5 points (again)
Financial Methods of Motivation
- Salary
- Wages
- Bonus
- Comission
- Profit sharing
Definition, Advantages(4), Disadvantages(5)
Bonuses
Definition: An additional amount of payment above the basic pay as a reward for good work
Advantages
1. Workers feel recognised –>Increased motivation
2. Taylor’s theory
3. Maslow’s theory
4. Only paid when target is reached (not all the time)
Disadvantages
1. money is not the only motivator
2. May only have a short-term boost to motivation–> productivity may only be temporary [an]
3. Increases costs —>reduces capital available for other purposes [an]
4. If some employees receive a bonus and others don’t this may lead to conflict
5. Employees may be demotivated by unrealistic targets.
Commision
Definition:Is a payment relating to number of sales made (usually for salespeople)
Profit-sharing
Definition: A system whereby a proportion of the profit is paid out to employees
5 points (yet again…)
Non-financial methods of motivation
- Job rotation
- Job enrichment
- Teamwork
- Training
- Opportunities for promotion
4 and 3 points
On-the-job training
Advantages:
1. Done at workplace so lower transport costs
2. Production is not halted
3. Specifically tailored to the needs of the business
4. Less costly than off tjt
Disadvantages:
1. Bad habits from trainer may get passed on to employees
2. Trainer will be less prductive
3. Could lead to defects
3 and 3 points
Off-the-job training
Advatages:
1. Usually taught by experts in the feild
2. Can be done after working hours (no loss of output)
3. Wide range of skills taught–> They become more versatile
Disadvantages:
1. Costs are high
2. Workers are being paid for no output(if done during work hours)
3. Makes it easier for workers to find a new job
