Advantages Of Money As A Motivator

Work signifies an important aspect of human being’s life owing to the outcomes related with it, such as economic outcomes (salary, financial incentives), social status and fulfillment of needs. This had inspired organizational scholars to explore, what motivates one to work, leading to tremendous research on work motivation. Motivation theories can be classified through three predominant approaches (Chalofsky, 2003):

Employees are motivated by both intrinsic and extrinsic rewards. In order for the reward system to be effective, it must encompass both sources of motivation. Studies have found that among employees surveyed, money was not the most important motivator, and in some instances managers have found money to have a de-motivating or negative effect on employees.  This research paper addresses the definition of rewards in the work environment context, the importance of rewarding employees for their job performance, motivators to employee performance such as extrinsic and intrinsic rewards, Herzberg’s two-factor theory in relation to rewarding employees, Hackman and Oldman model of job enrichment that

Pay and Rewards – pay and rewards attract, motivate and retain staff. The employment contract which lists rewards, whether it be pay, bonus or benefits, can remove animosity amongst employees and employers. However, recent research reveals that employees are no longer motivated by a financial reward alone, but

There are five major components of job satisfaction, one being monetary benefits (Ghillyer 2010). According to Ghillyer (2012) an employee’s behavior towards their pay may affect their work performance. The issue that arises with employee motivation is that management is unable to satisfy all (Ghillyer 2010). This becomes an even larger problem when employees being joining unions, resigning and being frequently absent (Ghillyer 2010).

Motivation is something all humans want. We like to feel appreciated but not everyone is motivated by money. Money is a good tool but if the company gave money to every employee, the company could go bankrupt. So employers need to find ways to motivate people besides

Motivation is the force that makes us do things, whether accomplishing personal goals or completing tasks at work. Most people are motivated as a result of their individual needs being satisfied, which gives them the inspiration to perform specific behaviors for which they receive rewards (Kinicki & Williams, 2011). These needs vary from person to person, as everybody has specific needs to be satisfied. When we consider factors that determine the motivation of employees, many of us think of a high salary. This answer is correct for the reason that some employees will be motivated by money, but mostly wrong for the reason that it does not satisfy other needs to a lasting degree (Bizhelp24, 2010). This supports the idea that human

Extrinsic motivation e.g. Money is the critical incentive to motivation in today's work environment However , motivation differs from individual to individual and with their respective beliefs and values, circumstances and culture. It is important for mangers to identify which motivation factor works with which employee and apply it respectively In any environment, both Intrinsic and Extrinsic motivations are needed for work satisfaction and work performance

So often we find that unsuccessful firms have staff that does not perform well according to their bad working conditions. The motivation factors include a sense of achievement, recognition, advancement, enjoyment of the work itself, the possibility of personal growth, and a sense of responsibility. Increasing job satisfaction and motivation and improving mental health, therefore, lead to increase productivity. Herzberg has called for attention to the need for increased understanding of the role of motivation in work organizations. He advanced a theory that was simple to understand and offered managers specific recommendations for actions to improve employee motivational levels. He also argued that money is not the most potent force on the job. According to this theory the most effective way to stimulate motivation is to improve the work itself. Herzberg argues that the most appropriate technique for building in motivation factors to enrich jobs. Job enrichment means expanding the critical functions and challenges of individual jobs (2/205). There are so many different ways to motivate employees. Employers can motivate their workers as individuals, groups, teams, or the organization as a whole. Motivation takes forms like offering rewards and employee recognition. Team-based reward systems have been raised as an issue in work management areas. Many employees prefer team-based reward systems to an individual approach. In a business journal in San Diego published an

Money has become a large part in every man’s life, Maslow, a motivational theorist, set out the human needs in the form of a pyramid from their level of importance, the bottom of the hierarchy is basic/physiological needs (InnerWisdom, 2015), this is where money is needed to fulfil the basic needs (food, clothing and shelter). A basic pay rate is the starting salary/wage an individual would be on when starting with the company, they would know this before they begun their job. An increase in basic pay would motivate an employee, they would be receiving more money per hour, a reason an individual may received an increase in pay is due to promotion (non-financial incentive), this would give them the feeling of doing a good job.

There are very many factors that motivate employees to do outstanding work in their jobs. Though most of them are non-monetary factors like participative decision making, work teams, challenging jobs, goals in life or in the company, power and other factors. Most of the employees that emerge in their workplace, either in a small cubicle or a mega office have got some drive that enable them to perform in their work, but the key question is, is money is the key motivation in their workplace? In this essay both sides will be argued in order to find the answer to this (Robbins, Odendaal & Roodt, 2003).

In most organisation, money is often seen as a prime motivator for employee in the government and corporate sectors. It empowers them to perform better and contribute to the organisation objective goals and productivity, however, following the shifting of economic conditions and social values, people's desire is dramatically changing. Most employee may feel that they are affected by internal and external

Pay and pay incentives: it is an important factor for the employee when deciding to accept a job offer at a company. Incentives are a great way to motivate staff to achieve goals, and it becomes a reward for great achievements.

Keeping employees motivated in addition to creating incentives and/or additional ways for employees to receive more compensation will create better performance overall within an organization. Contrary if company B gives their employees incentives to perform, without any motivational tactics they probably will not have as many top performances as company A, in addition the company may only seek short term rewards verses have long term success. Lack of motivation for employees within an organization, can cause long term damage for the company’s success. Different things motivate everyone; therefore there should be a system in place to keep employees motivated for the long term success of the company. In the MBM textbook under the concept of incentives, compensation, and motivation, there are a couple of different views of how it should be applied within an organization. We will discuss The Social Role of Profit, Personal Profit and Losses, and the way Market-Based Management view how incentives, compensation, and motivation should be applied and the things that effectively drive employees’ actions while at work.

This essay identified motivation theories and showed that there are more than financial ways to motivate employees and that effective leadership is also a great motivation for the workers. Unfortunately, the

One of the first authors that dealt with the sources of motivation was Frederick Taylor who focussed on the overall productivity of an organisation. He linked this productivity to the effort an employee puts into their work which in turn is dependent on monetary rewards (Taylor, 1911). This theory was established in the context of the industrial age and thus is outdated for today’s analysis but it still provides a basic assumption which is often referred to by other authors. The total neglecting of a worker’s intrinsic motivators is a starting point for discussion for authors that conducted research in that area after Taylor.