The use of money as a motivator
The use of money as a motivator.
Money can influence the performances of people only under certain conditions. Different things motivate people. Some employees have monetary goals, others have professional goals, and others have personal goals. The identical incentives cannot work for all.
Money is a good motivator when: -Like in the Herzberg’s theory when people are given a reward like a merit bonus because of their performances, it motivates the people to keep up the good work.
-The equity theory is also another motivator where the person will perceive the ratio of his inputs to his outcomes in a momentary reward that they value highly. -The reinforcement theory explains that money is a reward to strengthen behaviour that leads to an encouragement in job performance. -Sometimes people believe they have enough skills to be promoted and would feel that they work performance is been ignored so this is why to make those individuals satisfied, the manager will reward them with money instead of promoting them which means the worker would be earning more so to avoid that they just give them bonuses. -Essential necessities are needed for basic survival.
Money is not a good motivator when:
-Employees are already earning a lot of money and may demand more benefits like an expensive car for their personal use or a travel ticket. -Conflicts are formed due to one employee been paid less then the other and this can lead them to competing with each other and they will have no choice but to do so. -Money can be demeaning, trivializing, and bad for morale. -No matter how much money you earn, people are still dissatisfied and may even become greedy. -Sometimes getting more experience and/or knowledge does not make you more valuable for the company when you keep trying to perform well to get a raise especially in the long run because people may get tired of the standards of the work level and may realize money is not everything. -You do not know
Money can influence the performances of people only under certain conditions. Different things motivate people. Some employees have monetary goals, others have professional goals, and others have personal goals. The identical incentives cannot work for all.
Money is a good motivator when: -Like in the Herzberg’s theory when people are given a reward like a merit bonus because of their performances, it motivates the people to keep up the good work.
-The equity theory is also another motivator where the person will perceive the ratio of his inputs to his outcomes in a momentary reward that they value highly. -The reinforcement theory explains that money is a reward to strengthen behaviour that leads to an encouragement in job performance. -Sometimes people believe they have enough skills to be promoted and would feel that they work performance is been ignored so this is why to make those individuals satisfied, the manager will reward them with money instead of promoting them which means the worker would be earning more so to avoid that they just give them bonuses. -Essential necessities are needed for basic survival.
Money is not a good motivator when:
-Employees are already earning a lot of money and may demand more benefits like an expensive car for their personal use or a travel ticket. -Conflicts are formed due to one employee been paid less then the other and this can lead them to competing with each other and they will have no choice but to do so. -Money can be demeaning, trivializing, and bad for morale. -No matter how much money you earn, people are still dissatisfied and may even become greedy. -Sometimes getting more experience and/or knowledge does not make you more valuable for the company when you keep trying to perform well to get a raise especially in the long run because people may get tired of the standards of the work level and may realize money is not everything. -You do not know