IB Business Management HUMAN RESOURCE MANAGEMENT 2.4 Motivation
IB Business Management HUMAN RESOURCE MANAGEMENT 2.4 Motivation
Terms in this set (51)
The intrinsic and extrinsic factors that stimulate people to take actions that lead to achieving a goal
Comes from the satisfaction derived from working on and completing a task
Comes from external rewards associated with working on a task, for example pay and other benefits
actual factors that motivate people
motivates workers. Herzberg, for example, looked at hygiene factors and motivators, whilst McClelland studied the need for achievement, affiliation and power.
Scientific management (
Specialisation and division of labour lead to greater levels of productivity. Taylor introduced a piece-rate payment system to link pay with productivity levels.
: How to improve worker productivity
1. Select workers to perform a task
2. Observe them performing the task and note the key elements of it
3. Record the time taken to do each part of the task
4. Identify the quickest method recorded
5. Train all workers in the quickest method and do not allow them to make any changes to it
6. Supervise workers to ensure that this 'best way' is being carried out and time them to check that the set time is not being exceeded
7. Pay workers on the basis of results
's Hierarchy of Needs
A motivation theory that outlines the five levels of needs, from the requirement to satisfy basic physiological needs through to self-actualisation. Maslow argued that until a lower order need is met, people cannot progress onto the next level of needs.
's Hierarchy of Needs (
ranked high to low
(top of pyramid)
needs (bottom of pyramid)
Reaching one's full potential; e.g. challenging work that stretches the individual - this will give a sense of achievement. opportunities to develop and apply new skills will increase potential.
Respect from others, status and recognition of achievement. Give employees recognition for work done well - status, advancement and responsibility will gain the respect of others.
Trust, acceptance, friendship, belonging to the group and social facilities. Working in teams or groups and ensuring good communication to make workers feel involved.
Protection from threats, job security, health and safety at work. A contract of employment with some job security - a structured organisation that gives clear lines of authority to reduce uncertainty. Ensuring health and safety conditions are met.
Food, shelter, water, rest. Income from employment high enough to meet essential needs.
A sense of fulfilment reached by feeling enriched and developed by what one has learned and achieved
1. Not everyone has the same needs as is assumed by the hierarchy
2. In practice it can be very difficult to identify the degree to which each need has been met and which level a worker is 'on'
3. Money is necessary to satisfy physical needs, yet it might also play a role in satisfying other levels of needs such as status and esteem
4. Self-actualisation is never permanently achieved - as some observers of the hierarchy have suggested. Jobs must continually offer challenges and opportunities for fulfilment, otherwise regression will occur.
's Hierarchy of Needs (the pyramid)
's Two Factor Theory.
Looked at the factors that motivate employees, namely
and maintenance (
Parts of a job that do not increase job satisfaction but help to remove dissatisfaction, such as reasonable wages and working conditions
Factors that increase job satisfaction and motivation levels, such as praise, recognition and responsibility
Aims to use the full capabilities of workers by giving them the opportunity to do more challenging and fulfilling work
Three main features of
1. Assign workers complete units of work
2. Provide feedback on performance
3. Give workers a range of tasks
's Hawthorne Effect
Found that workers are most motivated and productive when they are able to have some social interaction with their fellow workers and management takes an interest in their well-being.
1. Changes in working conditions and financial rewards have little or no effect on productivity
2. When management consult with workers and take an interest in their work, then motivation is improved
3. Working in teams and developing a team spirit can improve productivity
4. When some control over their own working lives is given to workers, such as deciding when to take breaks, there is a positive motivational effect
5. Groups can establish their own targets or norms and these can be greatly influenced by the informal leaders of the group
Theories of motivation
Look at why people behave in a certain manner and how motivation can be maintained or stimulated. These theories look at what people think about when deciding whether or not to put in the effort to complete a task.
and Equity Theory
A theory that states that people will be motivated when they perceive that they are being treated fairly; the idea that employees try to maintain equity between inputs and outputs compared to others in similar positions
Hourly wage rate
Payment made to a worker for each hour worked
A payment to a worker fro each uniot produced
Annual income that is usually paid on a monthly basis
A payment to a sales person for each sale made
A bonus scheme to reward staff for above-average work performance
A bonus for staff based on the profits of the business - usually paid as a proportion of basic salary
Any financial extras beyond the regular pay cheque, such as health insurance, life insurance, paid vacation and/or retirement
Employee share ownership schemes
Employee benefit scheme intended to motivate employees by giving them a stake in the firm's success through equity participation.
1. Encourages greater effort and faster working
2. The labour cost for each unit is determined in advance and helps set a price for the product
1. It requires output to be measured and standardised (which is difficult if each product is different)
2. It may lead to falling quality and safety levels as workers rush to complete units
3. Workers may settle for a certain pay level and won't be motivated to produce more than a certain level
4. It provides little security over pay level
1. Gives security of income
2. Gives status compared to time rate or piece rate payment systems
3. Aids in costing (salaries won't vary for one year)
4. Is suitable for jobs where output isn't measurable
5. Is suitable for management positions where staff are expected to put in extra time to complete tasks and assignments
1. Income is not
related to effort and productivity levels
2. It may lead to complacency of the salary earner
3. Regular appraisal may be needed to assess whether an individual should move up a salary band (can be an advantage if positive appraisal)
1. Staff are motivated to improve performance if they are seeking to increase financial rewards
2. Target setting can help to give purpose and direction to the work of an individual
3. Annual appraisal offers the opportunity for feedback on the performance of an individual
1. It can fail to motivate if staff are not driven by the need to earn financial rewards
2. Team spirit can be damaged by the rivalry generated
3. Claims of manager favouritism may undermine relationships
4. Less autonomy for workers as they need to conform to the system that generates bonuses
methods of motivation:
+ Job enlargement
+ Job enrichment
+ Team working
Attempting to increase the scope of a job by broadening or deepening the tasks undertaken
Production is organised so that groups of workers undertake complete units of work
Involves the restructuring of a job - usually with employees' involvement and agreement - to make work more interesting, satisfying and challenging
Managers passing on tasks or responsibilities to their subordinates. This can motivate workers who wish to increase their responsibility and be recognised for their abilities
A non-financial motivator which involves a line manager giving her subordinates some autonomy in their job and the authority to make various decisions
Measures the level of output per worker. It is a measure of motivation because employees tend to be more productive with increased levels of motivation
The overall package of pay and benefits offered to an employee
A form of
that involves giving workers a number of different tasks at the same level of complexity in a prescribed order. It helps reduce the problems of repetition and boredom in a job.
1. Workers are likely to be better motivated as social and esteem needs (c.f. Maslow) are more likely to be met
2. Better motivated staff should increase productivity and reduce labour turnover - both will help reduce business costs
3. Teamworking makes fuller use of the talents of the workforce. Better solutions to problems will be found as those most closely connected with the work participate in suggesting answers
4. Teamworking can reduce management costs as it is often associated with delayering an organisation - fewer middle managers will be required
5. Complete units of work can be given to teams - a key feature of job enrichment
1. Not everyone is a team player. Some individuals are more effective when working alone. Training may need to be offered to members who are not used to working collaboratively in groups.
2. Teams can develop a set of values and attitudes which may contrast or conflict with those of the organisation itself, particularly if their is a dominant personality in the group. Teams will need clear goals and assessment procedures to ensure that they are working towards the objectives of the organisation at all times.
3. The introduction of teamworking will involve training costs and there may be some disruption top production as the teams establish themselves.
Pink's Drive Theory of motivation
- the desire to direct our own lives.
— the urge to get better and better at something that matters.
— the yearning to do what we do in the service of something larger than ourselves.
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