motivation
Managed Essay
To what extent do you agree that financial remuneration is the key motivating factor for employees?
Z
04/09/2014
One of the reasons why most people work is that they want to live, thus they need money, which can also be named as financial remuneration, as reward. Although money is important, the topic of how important is financial remuneration as a motivating factor for employees has long been the subject of debate.
Although some experts argue that financial remuneration is the key motivating factor for employees as money can elevate employees’ purchasing ability and has an influence on employees’ life satisfaction, others take a different view and claim that compared with money, which is a tangible reward, intangible “psychological” rewards such as recognition and achievement are more important as they can motivate employees in an internal way. Many past studies focused on whether or not financial remuneration is the key motivating factor for employees, only a few studies mentioned that this can be varied because of employees’ different circumstances. Thus, this essay is an attempt to argue that to what extent financial remuneration is the key motivating factor for employees depends on employees’ different personal circumstances such as age, level of income and the personality of “love of money”.
In order to demonstrate this, this essay will first focus on Maslow and Herzberg’s theories which regard money as a low level motivator for employees and then introduce Prather, C and Zweig, D’s finding about the key motivating factors, such as the climate for innovation and responsibility. Second, this essay will bring in the concept of “love of money” to argue that for some
To what extent do you agree that financial remuneration is the key motivating factor for employees?
Z
04/09/2014
One of the reasons why most people work is that they want to live, thus they need money, which can also be named as financial remuneration, as reward. Although money is important, the topic of how important is financial remuneration as a motivating factor for employees has long been the subject of debate.
Although some experts argue that financial remuneration is the key motivating factor for employees as money can elevate employees’ purchasing ability and has an influence on employees’ life satisfaction, others take a different view and claim that compared with money, which is a tangible reward, intangible “psychological” rewards such as recognition and achievement are more important as they can motivate employees in an internal way. Many past studies focused on whether or not financial remuneration is the key motivating factor for employees, only a few studies mentioned that this can be varied because of employees’ different circumstances. Thus, this essay is an attempt to argue that to what extent financial remuneration is the key motivating factor for employees depends on employees’ different personal circumstances such as age, level of income and the personality of “love of money”.
In order to demonstrate this, this essay will first focus on Maslow and Herzberg’s theories which regard money as a low level motivator for employees and then introduce Prather, C and Zweig, D’s finding about the key motivating factors, such as the climate for innovation and responsibility. Second, this essay will bring in the concept of “love of money” to argue that for some
Bibliography: Berl, R.L., Williamson, N.C., Powell, T., (1984) Industrial Salesforce Motivation: A Critique and Test of Maslow’s Hierarchy of Need. Journal of Personal Selling & Saes Management, May, pp.33-39 Prather, C. (2009). The Manager 's Guide to Fostering Innovation and Creativity in Teams. McGraw Hill Professional. Renko, M., Kroeck, K.G., Bullough, A., (2012) Expectancy theory and nascent entrepreneurship. Small Business Economy, 39, pp.667-684 Teck-Hong, T., Waheed, A., (2011) Herzberg’s Motivation-Hygiene Theory and Job Satisfaction in the Malaysian Retail Sector: The Mediating Effect of Love of Money. Asian Academy of Management Journal, Vol. 16, No. 1, 73–94 Tonks, G.R., Nelson, L.G., (2008) HRM: A Contributor to Employee Alienation? Research and Practice in Human Resource Management Vol. 16, Issue 1 Zweig, D., (2014) Managing the “Invisibles”. Harvard Business Review, May, pp.97-103