Motivation and Reward System

What does it mean to be motivated? Questions: What motivates you? What demotivates you? How is one motivated? Why is one motivated to do x or y?

What is Motivation
is

derived from the word motive A motive is an inner state that energizes, activates or moves and directs or channels behaviour towards goals.

Motivation theory
Need

Hierarchy theory Mc. Gregors Theory X & Theory Y ERG Theory Herzbergs Motivation Hygiene Theory Mc Clelands Theory of Needs

Need Hierarchy Theory

originated

by Abraham Maslow and is popular as Need Hierarchy Theory.

5. Self-actualization and Fulfillment needs 4. Esteem and status needs 3. Belonging and Social needs. 2. Safety and Security needs.
LOWER ORDER NEEDS HIGHER ORDER NEEDS

1. Physiological needs.

 Physiological

needs: These are important needs for sustaining human life. Food, water, warmth, shelter, sleep, medicine and education are the basic physiological needs which fall in the primary list of need satisfaction or Safety needs: These are the needs to be free from the physical dangers such as the fear of losing a job, property, food or shelter.

Security

 Social

needs: Since people are social beings, they look for social acceptance. needs: According to Maslow, once people begin to satisfy their social needs, they want to be held in esteem both by themselves and by others. for self-actualization: Maslow regards this as the highest need in his hierarchy.

Esteem

Need

Douglas McGregor Theory X and Theory Y

Douglas

McGregor proposed two different motivational theories which are popularly known as Theory X and Theory Y

ERG Theory
The

ERG need theory, developed by Clayton Alerter, is a refinement of Maslows needs hierarchy. Instead of Maslows five needs, ERG theory condenses these five needs into three needs.

These three needs are those of Existence, Relatedness and Growth.

Existence

needs: These needs are roughly comparable to the physiological and safety needs of Maslows model and are satisfied primarily by material incentives

 Relatedness

needs: Relatedness needs roughly correspond to social and esteem needs in Maslows hierarchy. needs: These are the needs to develop and grow and reach the full potential that a person is capable of reaching.

Growth

Herzbergs Motivation Hygiene Theory

Fredrick

Herzberg and his associates developed the Motivation Hygiene Theory, commonly known as the Two Factor Theory These two factors are described

Hygiene Factors Motivational Factors

 Hygiene

Factors: Hygiene factors or the maintenance factors do not motivate people, they simply prevent dissatisfaction and maintain status quo. Such factors do not produce positive results but prevent negative results. Factors: These factors are basically related to the job. The motivational factors have a positive effect on job satisfaction and often result in an increase in total output.

Motivational

Mc Clelands Theory of Needs

Harvard

psychologist David McClelland used the Thematic Aptitude Test (TAT) to measure people in three dimensions:

the need for power, achievement, and affiliation

ROLE OF MANAGER IN MOTIVATION

The

key role of a manager is to hire selfmotivated employees. Apart from this manager has to create a positive motivational climate in which employees are willing to take full responsibility for their own motivation.

 Get

to know every employee: It is virtually impossible for a manager to motivate his/her employees without getting to know them. respect by asking employees for their feedback: When management asks employees for feedback about their management style and practices, they communicate respect and concern.

Show

 Give

employees as much control as possible over their work: The more control and autonomy employees have over their work, the more they are able to use their minds. them to improve the operation: One way for managers to make it clear that they welcome input and suggestions is to give each employee a clear mandate in their work requirements and make recommendations for improvements.

Challenge

 Give

employees who serve the customer, the power to please the customer: If frontline customer service professionals have the power to please the customer, the predominant tone of their interactions is one of appreciation and delighted surprise. great idea award: It is also important to find a way to reward or recognize employees whose suggestions help improve the operation.

The

 Do

not force employees to check their brains at the door: Few things kill the spirit more quickly than mind-numbing work. not forget the implementation: A crucial part of this whole equation is the actual implementation of the great ideas generated by employees.

Don

REWARD SYSTEM
Rewards

are incentives for the work performance of the employee. Procedures, rules, and standards associated with allocation of benefits and compensation to employees.

 Rewards

may play an important role in employee motivation. Motivation of employees is critical for the success of Organization. It refers to procedures, rules, and standards associated with allocation of benefits and compensation to employees. rewards system generally consists of

The

monetary incentives and non monetary incentives.

 The

purpose of monetary incentives is to reward the employees for excellent job performance through money. Monetary incentives include profit sharing, project bonuses, stock options and warrants, scheduled bonuses (e.g., Christmas and performance-linked), and additional paid vacation time. Traditionally, these have helped maintain a positive motivational environment for employees.

 The

purpose of non-monetary incentives is to reward the employees for excellent job performance through opportunities. Nonmonetary incentives include flexible work hours, training, pleasant work environment, and sabbaticals.