Business Chapter 3- Motivating employees (Financial motivation strategies,…
Business Chapter 3- Motivating employees
Relationship between employees and business objectives
Human resource Management:
The effective management of the formal relationship between the employer and employees
Human Resource Manager:
Coordinates all the activities involved in acquiring, developing, maintaining and terminating employees from a business's human resources
Maslow's Hierarchy of Needs
Hierarchy of Needs: Maslow's Sequence of human needs in order of their importance
Hierarchy of Needs (1 start, 5 end)
Physiological needs: Food, shelter, clothing.
Satisfactory pay for survival
Safety and Security needs: Physical and emotional.
Safe working conditions, Job security
Social needs: Love, affection, Sense of belonging.
Teamwork, Involvement in decision making, Supportive management
Esteem needs: Respect and sense of accomplishment.
Responsibility, Promotion, Recognition
Self-actualisation needs: Fulfilment, Personal growth and development.
Creative, interesting jobs, Opportunities for advancement
refers to the individual, internal process that directs, energises and sustains a persons behaviour
Locke and Latham's Goal setting theory
5 Goal setting principles (CCCFT)
Important that goals are clear and specific.
"Increase sales by 8%"
More challenging the goal is = more motivation.
Cannot be overwhelming!!!
Employee is committed to achieving the goal which provides more motivation.
Collaboratively setting goals = drive for commitment
Regular feedback maintains momentum and keeps the employee on track towards their goal.
Can be formal or informal
Tasks should be so complex that the employee doesn't expect they can achieve it
Four Drives theory
Includes the desire to own material goods, and economic passes the desire for status, power and influence
Includes the strong need to form relationships with other individuals and groups
Learn (Also seen as comprehend):
Includes our desire to satisfy our curiosity, to learn new skills and to explore the world around us.
The desire to remove threats to our safety and security and to protect what we regard as 'ours'.
Financial motivation strategies
Pay rises for employees who work hard
One-off payment given to an employee for good work
Fixed percentages of sales made
Fixed percentage of profits
Rewarding employees for making suggestions that improve the productivity in a business.
Non- Financial Motivation Theories
May move into a more challenging position
Investment in training:
To increase personal growth
Encouragement to do better
Penalty or punishment