1. Motivation at Work ◦ the act of giving somebody a reason or incentive to do something ◦ a feeling of enthusiasm, interest, or commitment that makes somebody want to do something, or something that causes such a feeling

2. Why do people work? Money is probably at the top of your list! Earn money to buy food and the basic necessities for life.

3. Money is probably at the top of your list! Other Reasons include ◦T◦T o make new friends ◦T◦T o have Job Security ◦S◦S ense of Achievement / Importance ◦S◦S ense of Identity ◦S◦S atisfying Ambition

4. Motivation It’s the reason why employees want to work hard and work effectively for the business. Employees are a firm’s greatest asset!

5. Motivational Theories People ◦ work for themselves ◦ work hard & effectively because ◦ see the direct benefits. People ◦ working for someone else ◦ may not work as hard or effectively as a result ◦ not seeing THEIR benefits Motivation ◦ Task of Management ◦ Needed for success of the business

6. Motivational Theories TaylorMaslowHerzberg Locke 1911 1954 1959 1968

7. F.W. Taylor Started as a Factory Labourer in America in the 1880s Rose to Chief Engineer Conducted Experiments on how Labour Productivity could be increased Devised Piece Rate system to increase productivity

8. F.W. Taylor’s Assumptions Assumption ◦ “all individuals are motivated by personal gain” Stated ◦ paid more ◦ individuals work more effectively.

9. Maslow’s Hierarchy of Needs

10. Self- Actualization Esteem Needs Social Needs Safety & Security Needs Physiological Needs Wages high enough to cover bills Job Security Support from work colleagues Recognized for your efforts Promotions & increased responsibility The top two are higher- order needs. The first three are lower-order needs. -----------------------

11. Herzberg - Two-Factor Theory 1. Hygiene factors- salary and security. Improving these lowers dissatisfaction but doesn't improve motivation or satisfaction 2. Motivators- recognition, responsibility, work itself, achievement, advancement - these lead to increased motivation

12. Herzberg – Human Needs

13. Why do people work? Why Work? Money Security Social Needs Esteem Needs Job Satisfaction

14. Motivating Factors Monetary Rewards Non-Monetary Rewards Job Satisfaction

15. Monetary Rewards Pay Wages

16. Time Rate Disadvantages ◦ Takes time ◦ Good/bad workers paid the same ◦ More supervision needed  Costly / Expensive ◦ Constant supervision needed  Production amounts & quality ◦ Clocking in system Wage Calculation

17. Piece Rate

18. Wage Calculation Piece Rate Advantages & Disadvantages

19. Salaries

20. Salary Calculation Yearly Income / 12 Extra Work ◦ included ◦ usually not paid for Calculated once a month Standard Rate ◦ Set amount of money ◦ Basic Salary

21. Salary Rewards Commission Bonus Profit Sharing Performance Related Pay Share Ownership

22. Non-Monetary Rewards Perks / Fringe Benefits Vary – Seniority ◦ Factory Worker  Discounts on products ◦ Senior Manager  Company Car  House  Expense Account

23. Non-Monetary Rewards Discounts on Products Health Care Company Vehicle Fuel Card Free Accommodation

24. Non-Monetary Rewards Housing Allowance Share Options Expense Accounts Pension Schemes Free Trips / Holidays

25. Job Satisfaction Happy Workers ◦ Employees enjoy their work/job ◦ More committed to their work ◦ Work more effectively ◦ Motivated Positively Unhappy Workers ◦ Poor Management ◦ Employees treated badly ◦ Factors perceived badly  Fringe Benefits, Rate of Pay

26. Job Satisfaction Ideas PayOpportunity for Promotion Working Conditions Fringe Benefits Employee ManagementWorking Hours

27. Job Satisfaction Colleagues Nature of WorkResponsibility Sense of Achievement Status Recognition Training

28. Increasing Job Satisfaction Job Rotation ◦ Workers swap duties ◦ Specific Task for a period of time ◦ Increases Variety ◦ Easier for Managers to move workers for cover ◦ DOES NOT make tasks more interesting

29. Increasing Job Satisfaction Job Enlargement ◦ Extra Tasks ◦ Similar level of work ◦ Added to job description ◦ Adds variety ◦ Do not add extra work ◦ Do not increase responsibility

30. Increasing Job Satisfaction Job Enrichment ◦ Add tasks with more skills / responsibility ◦ Additional Training may be needed ◦ Redesigning jobs ◦ Scope for fulfilling higher human needs ◦ Workers more committed ◦ Raises Productivity

31. Increasing Job Satisfaction Autonomous Work Groups & Teamworking ◦ Group given responsibility for a particular process, product or development ◦ Decide  how to complete the task  organize jobs

32. Increasing Job Satisfaction Autonomous Work Groups & Teamworking Workers ◦ more involved ◦ decision making ◦ responsibility ◦ control – jobs & tasks ◦ more committed

33. Motivating Factors at all Levels