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Methods of Motivation - Coggle Diagram
Methods of Motivation
Financial
Salary Schemes
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Benefits:
- appropriate where nature of work is not time specific or hard to quantify
Disadvantages:
- Not linked to performance, little incentives to increase productivity
Commision
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Benefits:
- appropriate for sales jobs, incentive to increase sales revenue for the business
Disadvantages:
- focus taken away from other areas of the job such as customer service, little attention to aspects of job that do not already directly impact commissions earned
Piece rate
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Benefits:
- appropriate for production jobs, incentive to increase output
Disadvantages:
- employees may ignore factors such as quality
Performance related pay
A salary or bonus scheme linked to job related targets.
targets and performance may be reviewed every 6 months or annually
Disadvantages :
- can be expensive if large proportion of workforce achieve their targets; some areas of performance can also be very subjective, difficult to ensure PRP is fair across the organisation
Benefits:
- links to pay to measurable targets specific to the nature of the job, encourages review of employee performance
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Non-financial
Job design
designing the role, tasks and responsibilities in a way that maximise employee motivation
Benefits:
- improving job design can create new challenges and give employees autonomy over their work
Disadvantages:
- remedial/ monotonous tasks are still required in most jobs, there will always be aspects that employees don't like
Appraisal system
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Benefits:
- allows a business to recognise the achievements of employees and provides positive feedback when employees meet their targets, appraisal may create opportunities for promotion
Disadvantages:
- time devoted to appraisal takes employees away from doing their actual job
Team working
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Benefits:
- meets employees social needs and encourages a sense of belonging, helps employees develop a connection to the organisation through their colleagues
Disadvantages:
- individual performance is harder to identify in a team situation, ineffective workers may not be identified
Employees recognition
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Benefits:
- recognises achievement, encourages positive competition and boost self- esteem
Disadvantages:
- only the best employees usually benefit