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Business > UNIT 2 - Chap 6: Motivating employees > Flashcards

UNIT 2 - Chap 6: Motivating employees Flashcards

1
Q

What is the definition of motivation?

A

Motivation is the reason why employees want to work hard and work effectively for the business​

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2
Q

Why do people work? (5)

A
  1. For money- To pay for necessities and luxuries ​
  2. Security- knowing that your job and pay are safe ​
  3. Social Need- Feeling part of a group/organization and meeting new friends ​
  4. Esteem Needs- feeling important and needed ​
  5. Job Satisfaction
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3
Q

What are the benefits of a well motivated workforce​?

A
  1. High output per worker. Increasing efficiency, decreasing average costs and therefore increasing profits. ​
  2. Willingness to accept change. For example, new working methods​
  3. More willing to communicate effectively with managers e.g on suggestions how to improve quality​
  4. Decreased labour turnover, leading to lower recruitment and selection cotss ​
  5. Lower absenteeism, increasing output and efficiency
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4
Q

What did Maslow’s ​studied?

A

Abraham Maslow studied employee motivation and proposed this hierarchy of needs people and employees need to stay motivated. ​

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5
Q

What is Maslow’s structure pyramid? (top to bottom) (5)

A
  1. Self Actualisation ​
  2. ESTEEM NEEDS ​
  3. Social needs ​
  4. Safety/Security Needs ​
  5. Psychological Needs
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6
Q

What is the F.W Taylor’s Theory ? (2)

A
  1. how productivity can be increased​
  2. He believed workers were quite simply, motivated by money ​
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7
Q

What was F.W Taylor’s method of motervation?

A

break down jobs into simple processes and set target outputs for employees- if they reached these targets, they would be paid more money ​

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8
Q

What are the benefits of F.W Taylor’s theory? (1)

A
  1. If employees are paid based on output, they may be more motivated by money and therefore be more productive, increasing efficiency for the business ​
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9
Q

What are the drawbacks of F.W Taylor’s theory? (2)

A
  1. Employees are not necessarily only motivated by money. If employee’s do not provide good working conditions and relationships, employees may become demotivated ​
  2. It if often difficult to measure output in a business. E.g. if the business provides a service (solicitor, teacher) ​
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10
Q

What does Herzberg believe?

A

Humans had two sets of needs​

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11
Q

What are Herzberg 2 basic needs? (2)

A

Set 1: Basic Needs, he named these Hygiene factors​

Set 2: Needs which enabled humans to grow psychologically, he named these motivators​

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12
Q

What are the types of Hygiene Factors (Basic Needs) ​in Herzberg theory? (4)

A
  1. Good working conditions​
  2. Good relationship with supervisor and work colleagues​
  3. Salary/wage ​
  4. Job Security ​
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13
Q

What are the types of Motivators in Herzberg theory? (4)

A
  1. Recognition ​
  2. Achievement ​
  3. Promotion ​
  4. The work itself ​
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14
Q

What is a wage? (2)

A
  1. Paid every week​
  2. Wages can be paid in two ways
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15
Q

What are the 2 types of wages? (2)

A

​1. Time Rate ​
2. Piece rate

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16
Q

What is the definition of Time-Rate?

A

Paid by the hour ​

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17
Q

What is the definition of piece rate?

A

Workers are paid depending on the quantity of products made. The more they make, the more they get paid. ​

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18
Q

What are the benefits of time-rate? (2)

A
  1. Easy to calculate by the company ​
  2. Employee knows exactly how much they should be paid ​
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19
Q

What are the drawbacks of time-rate? (1)

A
  1. Good and bad workers get paid the same amount of money. Leads to demotivation of good workers​
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20
Q

What are the benefits of piece rate? (1)

A
  1. Encourages workers to work faster and produce more ​
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21
Q

What are the drawbacks of piece rate? (1)

A
  1. Workers may focus on making a large amount of products and so rush their work, impacting the quality of the products ​
22
Q

What is a salary?

A

Salaries are paid Monthly. It is an amount of money paid per year and divided and paid in 12 monthly amounts. ​

23
Q

What are the benefits of a salary? (2)

A
  1. Only has to be distrusted once a month so less time consuming for the HR and finance department ​
  2. Employer has the money in their account for longer than If they were paying wages (weekly)- Improves Cashflow​
24
Q

What are the drawbacks of a salary? (2)

A
  1. Workers may prefer to be paid weekly ​
  2. No payment for extra time worked- demotivating employees​
25
Q

What is the definition of a bonus?

A

A lump sum paid to workers when they have worked well or reached a certain target. ​

26
Q

What are the benefits of a bonus?

A
  1. Motivating for employees to try and achieve the bonus ​
  2. Workers like being recognized for their achievements (Maslow & Herzberg support this) ​
27
Q

What are the drawbacks of a bonus?

A
  1. Bonuses can become ‘expected’ every year and if they are not paid employees can become disappointed ​
  2. Resentment may occur if some employees get bonuses and others don’t​
28
Q

What is the definition of Commission?

A

Commission is a payment relating to the number of sales made. The more sales an employee makes, the more money they make ​

29
Q

What are the benefits of commission? (1)

A
  1. Motivates employees to sell more products, increasing sales for the business ​
30
Q

What are the drawbacks of commission? (2)

A
  1. Often employees working on commission can put pressure on customers to purchase products in order to get their commission, leading to customers not returning. Leading to a negative brand image​
  2. If there is a recession, sales will be low, and so commission will be difficult to achieve. ​
31
Q

What is the definition of profit sharing?

A

A system where a proportion of the company’s profits is paid out to employees in addition to their wage/salary ​

32
Q

What are the benefits of profit sharing? (1)

A
  1. Motivates employees to work hard and reach the objective of profit as they will all receive a share of the profit ​
33
Q

What are the drawbacks of profit sharing? (2)

A
  1. # If a business makes a loss or low profits, then employees will be disappointed ​
  2. Profit share is usually calculated based on a percentage of your existing salary/wage which may mean conflict between higher paid and lower paid staff.​
34
Q

What is definition of Fringe benefits?

A

Fringe benefits are perks that employers give to their employees and are non-financial rewards. ​

35
Q

What are the non-finacial rewards? (6)

A
  1. Fringe Benefits ​
  2. Job rotation ​
  3. Job Enrichment ​
  4. Team-work ​
  5. Training ​
  6. Opportunities for Promotion
36
Q

What are the financial rewards? (7)

A
  1. Wage ​
  2. Piece Rate ​
  3. Time rate ​
  4. Salary ​
  5. Bonus ​
  6. Commission ​
  7. Profit Sharing ​
37
Q

What is definition of job rotation?

A

Job rotation involves workers swapping around and doing each specific task for only a limited time and then changing around again. ​

38
Q

What are the benefits of job rotation? (2)

A
  1. More variety for workers so they will not get bored as easily. ​

​

39
Q

What are the drawbacks of job rotation? (1)

A
  1. Expensive to train all staff in different task ​
    ​
40
Q

What is the definition of job enrichment?

A

Involves looking at jobs and adding tasks that require more skill and responsibility. ​

41
Q

What are the benefits of job enrichment? (1)

A
  1. Workers given more responsibility will make them feel more empowered and trusted which leads to motivation. ​
42
Q

What are the drawbacks of job enrichment? (1)

A
  1. Employees may be unhappy if they have extra responsibility with no extra pay. ​
43
Q

What is the definition of team work?

A

Team-work involves using groups of workers and allocating specific tasks and responsibilities to them. ​

44
Q

What are the benefits of team work? (1)

A
  1. Working as a team can give better sense of belonging to the company, leading to increased motivation (Maslow supports this) ​
45
Q

What are the drawbacks of team work? (1)

A
  1. Employees may clash, leading to arguments and a distraction from working ​
46
Q

What is the definition of training?

A

Training is the process of improving a worker’s skills. ​

47
Q

What are the benefits of training? (2)

A
  1. If a workers achieves new skills they will gain a sense of achievement, leading to motivation. ​
  2. By being trained, employees are able to take on new responsibilities which is job enrichment leading to increased motivation​

​

48
Q

What are the drawbacks of training? (1)

A
  1. Training is expensive. ​
49
Q

What is the definition for opportunities for promotion?

A

Promotion is the advancement of an employee in an organization, for example to a higher level in organization structure. ​

50
Q

What are the benefits for opportunities for promotion? (1)

A
  1. A promotion will lead to employees feeling recognized and given more challenging work. This leads to motivation and is supported by Maslow’s top level- Self actualization. ​
51
Q

What are the drawbacks for opportunities for promotion? (1)

A
  1. Conflict may occur if one employee is promoted and another is not. ​

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