Motivation

Question 1

What are the financial methods of motivation?

Answer 1

• Wages
• salaries
• piecework rate
• commission
• profit sharing
• bonus

Question 2

Why is it important to keep employees motivated

Answer 2

• High staff retention
• staff feel valued
• more productivity
• more output

Question 3

What are the non financial methods of motivation?

Answer 3

• More responsibility
• training
• fringe benefits

Question 4

Explain wages

Answer 4

• Paid according to hours worked
• pros: motivation if payed more
• cons:pressure to hit targets (piecework ) , not work as hard if being payed the same(hourly)

Question 5

Explain salaries

Answer 5

• Payed monthly as an annual sum
• pros: employees know exactly how much they will get payed
• cons: Doesn’t link directly to performance so doesn’t motivate

Question 6

Explain profit sharing

Answer 6

• Where a percentage of the companies profits are divided up between workers
• pros :motivates majority to work harder = bigger share
• cons : some employees may work harder than other employees but still get the same dividend

Question 7

Explain bonuses

Answer 7

• Paid for achieving targets/when business is doing well
• pros : encorge employees to work hard and do well
• cons may put pressure on employees

Question 8

Explain commissions

Answer 8

• Payment based on sales made
• pros : encourages employs to make more sales if they get additional money on top of salary
• cons:Some hours in the business more busy than others meaning sales will be diffrent

Question 9

Explain training

Answer 9

• Improve skills & knowledge of employees
• Pros Workers feel they know the job better and work more efficiently and motivated + confidence
• cons: expensive

Question 10

Explain more responsibility

Answer 10

• Giving employees more challenging complex tasks
• pros:Employees feel more valued in the business
• cons:It may be a lot of pressure or employees may not do it right

Question 11

Explain fringe benefit’s

Answer 11

• Aditional goods and perks
• Gives employees ways of savign money instead of additional money so it motivates them by not having to worry about costs

Question 12

Explain democratic management style

Answer 12

• Democratic where workers have more responsibility and are able to contribute choices
• pros feel more motivated and valued in the business when they know they are being taken into account
• cons It may make the business less efficient and slower in deciscon making