2.1 Motivating Workers

Motivation

Desire to achieve a result

The more desire that someone have the harder they will work to achieve that

Importance of motivated workforce

Increase the productivity

Improve the quality

Loyality in the business reduces labour turnover

Commitment to the busines reduces absenteeism

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Financial rewards

Piece rates

System that pays workers for each product they produce

It is mainly used in manufacturing industries

"the harder someone works the more they get paid"

Time rates

Workers are paid for the amount of time they work

Mainly used in the retail sector

This system encourage employees to produce a higher quality of work than the quantity produced

Salary

Workers are paid a sum of money for a year´s work

There is a flexibility of when and how long a employee works during a day, week or month.

Salaries don´t provide incentive to work hard

Incentive schemes

Business use various ways to improve motivation, to encourage people to work harder

Bonuses

PRP

adicional financial reward to a worker

is a bonus scheme that provides a financial reward

Profit share

Share ownership

Encourage workers to work as a team to benefit the organization

Mainly use for executives

The company provides share as a rewward (similar to a profit share)

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Non-Financial rewards

Called as fringe benefits

discounts

a car company car

private medical insurance

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