PSY 320 Workplace Motivation Paper
Workplace Motivation
Benjamin Enuma
PSY/320
February 9, 2015
Thomas Grebouski
The dictionary Webster's defines motivation as “something inside people that drives them to action.” Motivation (Extrinsic and Intrinsic) plays the essential, but different roles of inspiring and compelling employees to do their tasks and be productive. Using a real-life example, this paper will examine the impact of different motivational strategies on productivity in the workplace, organization's efforts to improve employees’ performance, employees' opposition to increasing productivity, and the management's idea of motivation and its practices. It will conclude with the consideration of the effects of applying motivational theories not currently …show more content…
practiced in the workplace and what impact these motivational theories would have both on management and employees.
Management’s Philosophy of Motivation
In most economies of the world, money remains a foremost factor of motivation, but some researchers think it does the opposite. Recent studies indicate that extrinsic rewards such as salary, job security, work environment, fringe benefits, are too narrow and can no longer guarantee employees’ loyalty and commitment.
I once worked for an organization (Citizens Int’l Bank Ltd) known for its aggressive approach to target achievement and emphasis on payment of stupendous bonuses. Apart from allocating stretching targets for its marketing team, every employee, including those in the back office (operations) must bring deposit customers to earn their annual incentive. The pressure to achieve target was so strong that some employees resorted to the use of unethical and immoral means to get customers. As a member of the operations team, my annual pay could be tripled if I meet my deposit target. Though, the various motivational strategies yielded some immediate results, the long-term effect left much to be desired.
For instance, the company's compensation was very competitive and included a procedure for yearly individual performance evaluations and upward review of salary. Employees’ salaries are reviewed using final rating index given by line managers. The performance index is derived from the percentage of achievement of set objectives. There are four rating scales used in appraising performance. The first is below expectation (those who achieved less than 85 percent of set objectives). Second is mostly meeting expectation (those who achieved more than 85 percent but less than 100 percent of set objectives). Third, is fully meeting expectation (those who achieved 100 percent of set objectives). Fourth, is exceeding expectation (those who achieved more than 100 percent of set objectives). Following the final calibration by management, annual pay adjustments are given based on the employee's overall performance rating. In fact, the company rewarded individuals based on their performance, skills, and contributions. The company's focus was to maintain an overall working environment that was team-oriented yet recognizes individual contribution. Therefore, teams and individuals who achieved their goals and teams which exhibited above average performance received exceptional bonuses. These bonuses could be as high as three times annual salary.
Organizational Efforts to Improve Performance
In addition to compensation and team-based incentives, the company, in recognition of outstanding performance, gives such employee a special award. This award was given once a year to one employee who performed above and beyond normal job expectations and demonstrated a high-level of teamwork and support for others. Whereas, the Employee Suggestion Program awarded $100 to an employee who made a suggestion for improving work safety, the work process, product improvement or any suggestion that management was considered to implement. An additional $500 was awarded to the employee if management decided to adopt and implement the suggestion.
Additionally, the company offered other incentives such as paid holidays, paid vacations, and flexible working schedules for some departments. Health insurance was provided to employees and their dependents as well as dental and life insurance. Besides, the company sponsored contests as well as parties and other social events. To encourage personal development, the company provided capability development programs to improve their functional skills and advance personal development.
Employee Resistance to Increasing Productivity
One aspect of motivation that has received great attention by some scholars is identifying factors responsible for employees’ resistance to increasing productivity.
It appears some organizations are using obsolete forms of extrinsic motivators. For instance, when management pays excessive bonus on achievement of target it encourage employees to go after their target at all cost. This may yield some short-term results but eventually lead to employees’ resistance and demotivation. Employers demand results, and often times the employees are pressured to do everything possible to deliver. The monetary incentive is usually very attractive and this seems to be the only driving force motivating employees to achieve targets. The business gives the impression that it is a win-win situation as employees share bountifully from the profits made. The common mantra is “the more you deliver the more money you make”. Hence, the target just keeps getting bigger and bigger, until frustration and desperation set in for the employee. At this stage, the monetary factor that used to be a motivating source would become de-motivating to him. The normal reaction would be resistance and apathy to increase …show more content…
productivity.
Applying New Motivation Theories
There have been remarkable reviews of traditional motivation theories which seem too narrow and counter-productive for today’s workplace. To meet the current changes and dynamics of the modern business environment, new ideas and theories have been developed. In further developing these theories, other variables have been added. Theses theory proposes that adding, self- achievement, recognition and good work environment, increases motivation. For instance, instead of focusing mainly on extrinsic motivators to get best of performance from people, more attention should be given to intrinsic motivators. Along with maintenance of motivation there is also the need to provide reinforcement. This will help management enjoy the continued commitment and loyalty of its employees.
The point is that employee compensation should go beyond salary and fringe benefits. There is need to include programs that inspire creativity and cooperative efforts within organizations to achieve optimal results. For organizations to sustain the motivation of its employees they must implement strategies that enduring and sustainable. This explains why the reward package should be comprehensive and total; we should move away from the traditional narrow motivators that tend to wane over time. In a recent poll conducted, one of the intrinsic motivators that topped the list of motivating factors is individual “self-actualization”. Such factor should be given focus because it is the “ultimate human goal and is the best means to creating success and security for individuals and organizations”.
Effects on Employees and Management
Organizations applying the various new motivational strategies highlighted above have testified to its effectiveness. This was the case in my previous company (Citizens Int’l Bank Ltd). Following it repositioning and implementation of these new theories, we experienced a reduction in employee “dissatisfaction, labor turnover, a decrease in customer complaints and dissatisfaction and an increase in company growth and profits”. Every employee felt the impact of having an alternative and better source of motivation other than the bogus end-of year bonuses. Some things initially considered to be less important in the scale of motivation, such as, a conducive office environment, recognition, self-satisfaction, and personal growth and advancement, turned out to have the biggest impact on employees’ performance. Though not initially visible, but the long-term results was a workforce that was truly motivated to work efficiently and effectively. An effective intrinsic motivation can be instrumental in increasing productivity and quality of work.
Conclusion
Studies show there is a positive relationship between intrinsic motivation and productivity.
Employees can be positioned for higher productivity through the provision of extrinsic motivators such as job security, salary fixation, reward for good work, recognition, a specially tailored compensation, and fringe benefits etc. However, intrinsic motivators play more critical role in the quality of work produced. To make the employee more loyal & produce quality job, it has been suggested that more attention be given to intrinsic motivators.
The best way to ensure employees’ commitment and quality of work is to identify and properly address the intrinsic factors that motivate them and bring out their best. Where employees are given “opportunities for self-actualization they are likely to remain with the organization and the company image is consequently improved and enhanced.” Seeing that everyone has individual personality, there are many different ways one can be motivated. Some are self-determined individuals with inner drive and passion to be the best at what they do just because they would like to be the greatest. Applying new motivation theories not currently in practice provides an avenue for leaders to “examine alternate avenues of approach before making decision that affects the individual and organizational
productivity.”
`
References
Reeve, J. (2009). Understanding motivation and emotion. (5th ed.). New York: Wiley
Scott T. Rabideau (2012) Retrieved on February 2014 from http://personalityresearch.org/papers/rabideau.html
Butler, Judith (1997). Excitable Speech: A Politics of the Performative. New York: Routledge. pp. 129–33
Elliot, A.J. (1999). Approach and avoidance motivation and achievement goals. Educational Psychologist, 34, 149-169.
Locke, Edwin; Gary Latham (2006), "New Directions in Goal-Setting Theory", Association for Psychological Science.
Benjamin Enuma
PSY/320
February 9, 2015
Thomas Grebouski
The dictionary Webster's defines motivation as “something inside people that drives them to action.” Motivation (Extrinsic and Intrinsic) plays the essential, but different roles of inspiring and compelling employees to do their tasks and be productive. Using a real-life example, this paper will examine the impact of different motivational strategies on productivity in the workplace, organization's efforts to improve employees’ performance, employees' opposition to increasing productivity, and the management's idea of motivation and its practices. It will conclude with the consideration of the effects of applying motivational theories not currently …show more content…
practiced in the workplace and what impact these motivational theories would have both on management and employees.
Management’s Philosophy of Motivation
In most economies of the world, money remains a foremost factor of motivation, but some researchers think it does the opposite. Recent studies indicate that extrinsic rewards such as salary, job security, work environment, fringe benefits, are too narrow and can no longer guarantee employees’ loyalty and commitment.
I once worked for an organization (Citizens Int’l Bank Ltd) known for its aggressive approach to target achievement and emphasis on payment of stupendous bonuses. Apart from allocating stretching targets for its marketing team, every employee, including those in the back office (operations) must bring deposit customers to earn their annual incentive. The pressure to achieve target was so strong that some employees resorted to the use of unethical and immoral means to get customers. As a member of the operations team, my annual pay could be tripled if I meet my deposit target. Though, the various motivational strategies yielded some immediate results, the long-term effect left much to be desired.
For instance, the company's compensation was very competitive and included a procedure for yearly individual performance evaluations and upward review of salary. Employees’ salaries are reviewed using final rating index given by line managers. The performance index is derived from the percentage of achievement of set objectives. There are four rating scales used in appraising performance. The first is below expectation (those who achieved less than 85 percent of set objectives). Second is mostly meeting expectation (those who achieved more than 85 percent but less than 100 percent of set objectives). Third, is fully meeting expectation (those who achieved 100 percent of set objectives). Fourth, is exceeding expectation (those who achieved more than 100 percent of set objectives). Following the final calibration by management, annual pay adjustments are given based on the employee's overall performance rating. In fact, the company rewarded individuals based on their performance, skills, and contributions. The company's focus was to maintain an overall working environment that was team-oriented yet recognizes individual contribution. Therefore, teams and individuals who achieved their goals and teams which exhibited above average performance received exceptional bonuses. These bonuses could be as high as three times annual salary.
Organizational Efforts to Improve Performance
In addition to compensation and team-based incentives, the company, in recognition of outstanding performance, gives such employee a special award. This award was given once a year to one employee who performed above and beyond normal job expectations and demonstrated a high-level of teamwork and support for others. Whereas, the Employee Suggestion Program awarded $100 to an employee who made a suggestion for improving work safety, the work process, product improvement or any suggestion that management was considered to implement. An additional $500 was awarded to the employee if management decided to adopt and implement the suggestion.
Additionally, the company offered other incentives such as paid holidays, paid vacations, and flexible working schedules for some departments. Health insurance was provided to employees and their dependents as well as dental and life insurance. Besides, the company sponsored contests as well as parties and other social events. To encourage personal development, the company provided capability development programs to improve their functional skills and advance personal development.
Employee Resistance to Increasing Productivity
One aspect of motivation that has received great attention by some scholars is identifying factors responsible for employees’ resistance to increasing productivity.
It appears some organizations are using obsolete forms of extrinsic motivators. For instance, when management pays excessive bonus on achievement of target it encourage employees to go after their target at all cost. This may yield some short-term results but eventually lead to employees’ resistance and demotivation. Employers demand results, and often times the employees are pressured to do everything possible to deliver. The monetary incentive is usually very attractive and this seems to be the only driving force motivating employees to achieve targets. The business gives the impression that it is a win-win situation as employees share bountifully from the profits made. The common mantra is “the more you deliver the more money you make”. Hence, the target just keeps getting bigger and bigger, until frustration and desperation set in for the employee. At this stage, the monetary factor that used to be a motivating source would become de-motivating to him. The normal reaction would be resistance and apathy to increase …show more content…
productivity.
Applying New Motivation Theories
There have been remarkable reviews of traditional motivation theories which seem too narrow and counter-productive for today’s workplace. To meet the current changes and dynamics of the modern business environment, new ideas and theories have been developed. In further developing these theories, other variables have been added. Theses theory proposes that adding, self- achievement, recognition and good work environment, increases motivation. For instance, instead of focusing mainly on extrinsic motivators to get best of performance from people, more attention should be given to intrinsic motivators. Along with maintenance of motivation there is also the need to provide reinforcement. This will help management enjoy the continued commitment and loyalty of its employees.
The point is that employee compensation should go beyond salary and fringe benefits. There is need to include programs that inspire creativity and cooperative efforts within organizations to achieve optimal results. For organizations to sustain the motivation of its employees they must implement strategies that enduring and sustainable. This explains why the reward package should be comprehensive and total; we should move away from the traditional narrow motivators that tend to wane over time. In a recent poll conducted, one of the intrinsic motivators that topped the list of motivating factors is individual “self-actualization”. Such factor should be given focus because it is the “ultimate human goal and is the best means to creating success and security for individuals and organizations”.
Effects on Employees and Management
Organizations applying the various new motivational strategies highlighted above have testified to its effectiveness. This was the case in my previous company (Citizens Int’l Bank Ltd). Following it repositioning and implementation of these new theories, we experienced a reduction in employee “dissatisfaction, labor turnover, a decrease in customer complaints and dissatisfaction and an increase in company growth and profits”. Every employee felt the impact of having an alternative and better source of motivation other than the bogus end-of year bonuses. Some things initially considered to be less important in the scale of motivation, such as, a conducive office environment, recognition, self-satisfaction, and personal growth and advancement, turned out to have the biggest impact on employees’ performance. Though not initially visible, but the long-term results was a workforce that was truly motivated to work efficiently and effectively. An effective intrinsic motivation can be instrumental in increasing productivity and quality of work.
Conclusion
Studies show there is a positive relationship between intrinsic motivation and productivity.
Employees can be positioned for higher productivity through the provision of extrinsic motivators such as job security, salary fixation, reward for good work, recognition, a specially tailored compensation, and fringe benefits etc. However, intrinsic motivators play more critical role in the quality of work produced. To make the employee more loyal & produce quality job, it has been suggested that more attention be given to intrinsic motivators.
The best way to ensure employees’ commitment and quality of work is to identify and properly address the intrinsic factors that motivate them and bring out their best. Where employees are given “opportunities for self-actualization they are likely to remain with the organization and the company image is consequently improved and enhanced.” Seeing that everyone has individual personality, there are many different ways one can be motivated. Some are self-determined individuals with inner drive and passion to be the best at what they do just because they would like to be the greatest. Applying new motivation theories not currently in practice provides an avenue for leaders to “examine alternate avenues of approach before making decision that affects the individual and organizational
productivity.”
`
References
Reeve, J. (2009). Understanding motivation and emotion. (5th ed.). New York: Wiley
Scott T. Rabideau (2012) Retrieved on February 2014 from http://personalityresearch.org/papers/rabideau.html
Butler, Judith (1997). Excitable Speech: A Politics of the Performative. New York: Routledge. pp. 129–33
Elliot, A.J. (1999). Approach and avoidance motivation and achievement goals. Educational Psychologist, 34, 149-169.
Locke, Edwin; Gary Latham (2006), "New Directions in Goal-Setting Theory", Association for Psychological Science.