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How Employee Motivation Is Important For Organizations

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Employee motivation is important for organizations to produce the desired results needed and function effectively. In this essay we review rewards and recognition, trust, and employee development, as motivational issues that are challenging Cummins Western Canada today. These challenges are affecting the environment, the performance, and the culture of the organization. Looking at some motivation theories, we will analyze the issues identified and provide some ideas for improvement to this challenge.

Cummins Western Canada (CWC) employs around 400 people that are located throughout 14 branches. Many significant changes to the business took place in the last five years, one significant change was due to ethical issues with the president
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The bonus structure for mid-management leaders are based on total CWC performance, unfortunately there is no individual reward for the department that outperforms their forecasted expectations, but carries the load for others that do not perform well.

Second, we look at the issue with trust in the organization. Many changes took place in the last five years and many tactics, including fear were used to motivate and manipulate employees to do what management wanted. The result of this fear environment also created silos where many people only focused on their own individual tasks, not to risk raising their hand or sticking out in any way that may bring attention. Wiener’s theory (1974, Lam 2014, p.59) focuses on the interpretation of success and failure based on events that have taken place. As we can see, these events that have happened to tear down the trust in our organization were internal, unstable and uncontrollable. McClelland’s theory of needs (Lam 2014, p.52) discusses the need for affiliation, achievement and power which focus on satisfying the manifest needs. Employees that have a need for affiliation, seek a harmonious work environment with sharing, communication, and cooperation. This type of environment did not take place under our previous leadership team, so now the task is to gain the trust back by intently listening to the employees and following up. Building relationships with all employees will also help foster an
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