1. Lincoln Electric Company case By The Groupwork n°3

2. The strategy of Lincoln is to remunerate his employees with their productivity: More they produce, more they are paid. Lincoln offers what some say are the best paid factory jobs in the world. The consequences of these practices for employees is that they have more efficiency, but they don’t have holydays and sick day. They have to pay their own health insurance. For the company, there is less absenteeism so the production is more efficiency, they have more autonomy.

3. The first motivation sources fort the employee is to answer of the physiological need. In Lincoln Electric, they have a high pay to answer this need. On the company, they have a safe working condition and job security due to the low turn over and the carrier plan. For the social need, we can say that employee have a lot of free time due to the work. But on the other side, there is no cohesive work group or friendly supervision. we can say that they are recognize with the pay but there is no evolution for a employee in the company, there is no feedback from the job itself and less opportunities for creativity. The fact that they are more autonom emplifie their responsibility senses, it is improve their motivation. the Lincoln company is based on essential motivation.

4. Lincoln Electric gives to the employees the possibility to work more. The salary is better if the employees are more performants « there is a direct connection between an employee’s performance and the bonus paid out ». It is the Goal setting theory the aim of the firm, to do profit. The workers try to give their maximum to earn more money « an intricate piece-rate pay plan that rewards workers for what they produce and a merit-based profit-sharing plan that provides a yearly bonus ». If the worker is older, he received less pay. In this case, we can see that the workers are motivated to be the best and lead the market. There is a low turnover in Lincoln Electric and the employees are estimated, so they are more productive and motivated. It is the expectancy theory. In regards to the equity theorie, the employees work hard but the firm is « the world’s largest producer of arc welding equipment, and it also makes electric motors ». Lincoln has a good income, through its employees. The qualities of this employees show the result.

5. We think that the methods used by Lincoln Electric is not really the best model to apply in the other company. Because it’s not the best way to motivate the employed. They need more than a bonus in a year. For example, workers in European countries use to have health insurance, paid holidays. So, I think if they had a changement to get this system they won’t be motivated at all and could leave the company to go in another one. We think the employee want more recognition, in Lincoln Electric they need to work hard to get paid but no one take care of them, even the old persons have to make a good productivity and don’t have promotions for their seniority. Moreover the overtime and unexpected work are mandatory and that’s not really matches with some values in some countries and way of life. But that’s system have few advantages and could be used anywhere like the lifetime warranty job, the company try to fire the less of employee. So that leads to the high motivation of the employee which are not stressed to quit their job and so have a very good production per days.

6. What does this tell us about the cross-cultural limitations of the theories of motivation? It's tell us the theorie of motivation can be completly different in a country with a different culture, We need to adapt consideraly the theories of motivation.That implies we need to study the country and the culture. And then establish a theorie of motivation for be sure to be in a good way to motivate your team. The study of culture is usefull. Without it, it's can be like the Lincoln Electric factory of Germany, it was close down,  ✔ North America and Australia ✔ Germany ✔ There are still attract with the money ✔ They don't care about the health insurance ; most of the company in North America and Australia don't have company's insurance but take in charge by the employees ✔ ✗ Evolution of lifestyle : they are not attract by the wage but the life's quality ✗ Rules of work is too strong ✗ Employees are attached to the health insurance : most of the company in Europe have a company's insurance ✗ The social advantages is higher in Germany than North America and Australia

7. We can see that the company is process full with this type of management. To have a very high productivity from their employees is a good way to pay them according to their productivity of the day. And the Lincoln Electric company is the world’s largest producer in their industry. We need to respect all the employee to get a good job from them. And they need to be accepted and respected in their company. They want to growth and perform their competence too. So the company should propose formation and promotion at the good employee that we can see their made good job. They need esteem too so we have recognize their post, their quality in the company and in their team. They need to feel useful and get feedback from their manager to understand what is good and bad to be better in their tasks and so growth in the company.