Introduction
Our task for the Engstrom Auto Mirror Plant case analysis was to identify the main problems of the company as well as it’s managers’ decisions and to find reasonable solutions by taking into account roots from where they have been appearing. This case is extremely relevant because it looks at organizational behavior everyday problems and analyses issues of building relationships with employees. All our assumption will be based on Organizational Behavior theoretical background in order to find solutions and alternatives for the particular company’s case. The main aim was to figure out how to increase company’s productivity, employees’ motivation and management strategy.
It cannot be denied that the main goal of every manager
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Possible theoretical framework is given below.
First of all, when analysing the situation of Engstrom, Maslow’s Need Hierarchy Theory could be applied in order to find out why people stopped being motivated. Maslow’s Theory works in hierarchical manner and if lowest needs are not fulfilled the needs from higher layers could not be satisfied as well. In case to satisfy the psychological needs from the pyramid bottom the organization should engage individuals with an adequate salary. Workers from Engstrom company were used to get bonuses and were able to afford better living conditions, so after the downturn occurs they get less for the same job and they become unsatisfied. This leads to an inability to activate needs from other layers. People in the Engstrom company feel distrust and lack of fairness, therefore they do not satisfy safety needs. Moreover, Scanlon plan gives an opportunity for all workers to participate in communication meetings but social needs there not fulfilled fluently because the company was not building good relationship between members of organization. However, the first layers of human needs which together are known as deficiency needs are not the main motivators at work.
According to the Two-Factor theory (Herzberg’s motivation-hygiene theory), which is closely related to the Maslow’s theory of motivation, such factors as salary or safe and pleasant working conditions (hygiene factors)
Factors such as recognition, achievement, advancement, and growth can trigger motivation. They call these factors motivators. Motivators, such as salary, working condition, status, and security are called hygiene factors, which tend to eliminate dissatisfaction" (Robbins, 1996).
Herzberg’s two factor theory of motivation at the workplace shows the difference between two factors of motivation. The two factors being satisfiers, which are the main causes for job satisfaction (motivation), from hygiene factors which are the main causes for job dissatisfaction (demotivation to stay in the job). Examples of motivating factors are achievement, recognition, responsibility and the work itself. Hygiene factors include: working conditions, salary, relationship with colleagues, supervision, etc. An organisation needs to influence satisfiers through performance management using range of tools such as: job descriptions, supervision, performance appraisals, continuous development/training, rewards and career development.
This is achieved by applying ‘hygiene factors’ and ‘motivators’ (Herzberg, 1978). Hygiene factors such as remuneration must be present if employees are to perform at all, but these factors alone do not generate high levels of commitment and enthusiasm; motivators such as career development may however turn satisfactory performers into good or excellent performers.
In May 2007, the Engstrom Auto Mirrors plant was facing the crisis. The business was doing badly and the sales had started to decline in 2005. Thus, there was a steep reduction in plant productivity and employee morale was all time low. The company used Scanlon Plan as an incentive for staff. The core element or foundation of the plan was concept of participative management, where management and staff together will decide the bonuses based on revenues for that year.
All organization goes through issues during a period of time. The majority of the time they exist because management did not identify them on time. Whether or not if they are minor or malignant, these issues, if they are not solved in a timely manner can have a detrimental effect on the organizational structure of any company. As stated earlier in this case study, Engstrom Auto Mirror Plant faced organizational issues (lack of trust and employees’ low morale) that are clearly disturbing their social structure. They were too focus on implementing the Scanlon plan that they forget on how to prevent other issues from arising. There are a few measures that the plant could have taken to either avoid the issues from existing or improve their outcomes. By applying human behavior theories and concepts, organizational improvement outcome and strategic action for the plant will be
Based the Hertzberg’s Hygiene and Motivating theory, the author of this article collects data showing that the incomplete motivators may be the reasons why the workers and employees are not satisfied at work and decide to leave and emigrate. Data also show that opinions concerning hygiene and motivating factors are very different amongst the employees with different age, educational level and work position. In general, Almonaitiene’s research matches Hertzberg’s dual factor theory. In order to retain employees, employers need to find out what are the hygiene and motivating factors for different employees. This research helps my essay in small business motivation issues and provide suggestions on motivating factors in small businesses.
The intent of this milestone is to analyze the case study entitled “Engstrom Auto Mirror Plant: Motivating in Good Times and Bad”. Throughout the case study numerous known organizational issues were presented. Human behavior theories are connected with reasonably information to explain the numerous root causes related to the issues from a human conduct point of view. By investigating these causes I will acknowledge the breakdown with tenacious research proof. I went into depth with my examination of three noteworthy issues, lack of motivation, Individual moral, and inadequate communication between management and employees. The resulting impact of each of these root causes is clarified with the support of human behavior theories. The theories ultimately gave reasons for why people behave the way they do in an organizational setting.
Salaries play an important role especially in the first two stages of the hierarchy; we all need money to survive. Another theory is the Alderfer's ERG Theory; Alderfer has modified Maslow's hierarchy and has shortened the five needs into three, existence, needs, relatedness needs and growth needs, existence needs: refer to basic survival needs that everyone needs to satisfy. Relatedness needs: relate to interpersonal contact, social and emotional acceptance, status and caring. Growth needs: are development and sense of self worth. Herzberg’s Theory of Motivation Herzberg's theory of motivation is quite different than the other motivational theories. Herzberg stated that there were only to kinds of factors in any job, hygiene and motivation, the motivation hygiene model is based on the idea that one set determines dissatisfaction (hygiene) and the other set determines positive satisfaction (motivational theory). The hygiene set contains the company policy, administration, working conditions and job security. According to Herzberg’s findings he suggests that if these conditions were unsatisfactory they would most certainly be heading towards physiological or psychological withdrawal from the job. These conditions must be met for an individual to be motivated in work, however, other conditions and factors must be met, this proves that in order for an employee to perform his or her work in an
During May 2007, the Engstrom Auto Mirror Plant faces a low employee morale issue. The newly appointed manager, Ron Bent, sees a decline in work place productivity and culture throughout his recent years of working at the plant. When Bent joined the company, it was facing a similar issue of low morale. He then decided to introduce the Scalon Plan, an incentive program for the employees, to raise morale. The program was successful when it was first introduced but ran into problems time after. Bent was faced with many challenges with the Scalon Plan that caused him to ask many
Herzberg, a pioneer in motivation theory, determined that there are two factors that motivate employees: high-order needs and low-order needs. Those high-order needs are met by intrinsic motivation, such as fulfilling our personal needs and growth: achievements, recognition, promotions, work itself, and responsibility. He refers to low-order needs as hygienic factors; those needs cannot motivate employees but can minimize dissatisfaction in the work-place. Hygienic factors include, pay, company guidelines, quality of supervision, working conditions, relationships with co-workers, and job security (Damij, 2015, p.2).
The subject of motivation has been an important component in both theoretical and applied literature. There are many reasons why the motivational theories have generated so much discussion. In an organization motivation has been considered an important factor because employee motivation is considered essential for an organization 's status within the business environment and the community. The two motivation theories selected for this paper is Maslow’s Hierarchy of Needs and Herzberg hygiene factors.
Herzberg’s model (1956) is the most used in business. It splits hygiene factors from motivation factors. Hygiene factors are related to salary, working conditions, policies and administration are not managed well lead to dissatisfaction in the employees when they are not satisfied. (Saiyadain, 2009)
According to Herzberg, the factors leading to job satisfaction are distinctly different from those that lead to job-dissatisfaction. Therefore, the managers who seek to eliminate factors that create job-dissatisfaction can bring about peace at the workplace but cannot motivate the employees. These factors are termed as hygiene factors comprising administration, supervision, working conditions, salary and wages etc. While absence of hygiene factors will lead to dissatisfaction, mere presence of these factors will not satisfy (i.e. motivate) the employees. In order to motivate the employees, managers must resort to ‘motivators’ (those factors that motivate the employees towards better performance) such as recognition, challenging assignment, responsibility, opportunities for growth and self-fulfillment etc.
Herzberg’s two-factor theory Psychologist Frederick Herzberg developed a ‘two-factor’ theory for motivation based on ‘motivators’ and ‘hygience factors’. Hygience factors are basic human needs at work. It do not motivate but failure to meet them causes dissatisfaction. The hygience factors
It is difficult to satisfy individual demands because everyone would move to the next more advanced platform of the hierarchical pyramid that Maslow created frequently once the prior need is met, especially in modern society. Meanwhile, when setting Maslow’s model into the business to understand the motivation behind employees’ behaviours, it is not amazing to find that there are also have similar five levels of needs which including wages, safety, social belongingness, self-esteem and finally self-actualization. Maslow and Stephens (2000) have posited out that individuals will not spend an inordinate amount of time to think about their salaries if they are fairly paid. After being paid adequate salary, employee seeks safety physically and mentally on the jobs. And then the stage of needs moves to the third level subsequently-seeking social