4.2 Motivating staff 4 P EOPLE IN B USINESS 4.2 M OTIVATING STAFF Can you make a link between these 3 pictures?

4.2 M OTIVATING STAFF  In this topic you will learn about  Benefits to the business of motivated staff  Methods of motivation used by small businesses 4.2 M OTIVATING STAFF What is the difference between motivation and movement? What motivates you to do a piece of homework or class work? What forces you to do a piece of homework or class work? Is there a difference?

M OTIVATING STAFF Motivation can be defined as the reasons why a person does something Businesses will try to motivate workers to meet targets that will benefit the firm Motivated staff are vital to the success of a small business 4.2 M OTIVATING STAFF Bored at work! Are different people motivated by different things? What might motivate someone in each of the following jobs? Nursery nurse Solicitor Shop assistant Charity worker Musician

30 S ECOND C HALLENGE End Write a list of all the things that could help motivate you in a part time job. Starting NOW

B ENEFITS TO THE B USINESS OF A M OTIVATED S TAFF  Greater commitment from the workforce  Increased quantity of output  Improved quality of work  A happier workforce  Lower levels of absenteeism  Less disputes in the workplace  Higher profits 4.2 M OTIVATING STAFF Is there a direct relationship between motivation and customer service?

M ETHODS OF M OTIVATION USED BY S MALL B USINESSES 4.2 M OTIVATING STAFF MethodBenefitDisadvantage TrainingImproved skills of the workforce Costs in terms of time and money Greater ResponsibilitySense of achievementMistakes may be made – costly in a small firm Financial Rewards e.g. Bonus, commission Makes employees work harder Cost; Demotivated staff if targets not met We can distinguish between non-financial and financial methods at a small business

M OTIVATED STAFF 4.2 M OTIVATING STAFF Rick runs a fish and chip shop on the sea front at Scarborough. Competition is tough but so is recruitment. Rick has found in recent years that staff only stay on average 3 months before leaving. He provides staff with a smart uniform, pays for taxis home if they work late and believes that he provides a friendly working atmosphere. He is thinking about offering higher wages than his competitors to try and improve motivation. Question time 1.What is meant by the term ‘recruitment’?(2 marks) 2.What is meant by the term ‘motivation’?(2 marks) 3.Explain 2 benefits to Rick of having motivated staff.(4 marks) 4.Do you think that offering higher wages is the best way for Rick to motivate his staff? Justify your answer.(9 marks)

M OTIVATION AND YOU A DD 2 MORE FACTORS OF YOUR CHOICE TO THE FINAL 2 ROWS R ANK EACH FACTOR IN TERMS OF IMPORTANCE TO YOU, 1 BEING MOST IMPORTANT, NOW, IN 5 YEARS, IN 10 YEARS D OES YOUR RANKING CHANGE ? W HY ? FactorsNow5 years10 years Training Praise Money Responsibility Recognition Team work Challenge Achievement Social factors 4.2 M OTIVATING STAFF