TOPIC: ORGANISATIONAL BEHAVIOUR AND MOTIVATION
TITLE: Motivating Employees through Incentive Programs ISSUE: Lack of an effective incentive program pertaining to work motivation
EXECUTIVE SUMMARY Motivated employees are the cornerstone of any successful organization. The objectives of this research are to explore the motivational factors and the effectiveness of these incentive programs pertaining to work motivation. The thesis consists of two main components: theoretical and research. The first part is the theoretical framework, which examines the various motivation theories and the different categories of incentives. Information for the theoretical background was collected from ...view middle of the document...
Over the past years, many theorists have attempted to explain the complexity of motivation in the workplace. Each theorist‟s perspective illuminates how motivation influences work performance. The theoretical perspective illuminates how motivation influences work performance. The theories can be broadly classified into content theories (Maslow‟s Hierarchy of Needs and Aldefer‟s ERG Theory). In this section, theories related to the purpose of this research will be presented. b. Theoretical Perspective Content theories attempt to explain what drives individuals to act in a certain manner based on a universal understanding that all human beings have needs to satisfy. However, there are several limitations these approaches can contribute in practice due to the complexity of human nature. As such, it is important for organisational managers to know what employees need and also their needs will evolve over time while bearing in mind that needs differ considerably among employees. Subsequently design a flexible reward system (McShane, Von Glinow 2000, 74) to adapt to various needs of the employees. In this case, the needs of employees will determine the effectiveness of incentives used to motivate them.
Content Theory: Maslow‟s Hierarchy of Needs One of the most well-known easily comprehensible motivational theories was propounded by American psychologist Maslow, who conceptualized the infamous five stages of needs that influence human motivation as illustrated below:
FIGURE1: Maslow Hierarchy of Needs (Griffin 2008, 438.) Physiological needs such as food, air, water and shelter outline the basis for motivation and are necessary to ensure the continuation of human life. Safety needs are required by individuals to feel protected from emotional and physical jeopardy. Organisations can satisfy these needs by providing safe working environment, job security and retirement benefit package.
Belongingness needs refer to the need for affiliation and group identification individuals obtain from family members, friends, colleagues etc. This includes, but not limited to friendship, social interaction, belongingness, or acceptance by others.
Esteem needs can be simply described as feeling good about oneself. Self-esteem and personal accomplishment through challenging assignments are part of internal esteem needs while nice jobs titles, recognition, rewards and reputation are external esteem needs.
Self-actualization is the pinnacle level of attainment in the need hierarchy. It implies that the full potential of an individual has been realized. This need, however, is hard for a manager to address as it is completely up to the employee‟s desire to achieve. Griffin (2008, 439) suggests that managers can help foster an environment where attaining selfactualization is possible for instance empower employees to make decisions about work and providing opportunities for self-development. As observed by Maslow, this need is...