Motivation And Extrinsic Motivation

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Motivation is defined as the driving force or the reason behind any action. There are two types of motivation:-

1. Extrinsic Motivation:
Extrinsic motivation is defined as the type of motivation in which the person is motivated by external benefits. These benefits can occur in tangible or intangible forms. Extrinsic motivation that is in tangible nature includes money, medals and trophies while intangible forms of extrinsic motivation includes praise, recognition etc. For example a student who works hard only to gain highest marks is considered to be extrinsically motivated.

2. Intrinsic Motivation:
Intrinsic motivation is defined as a type of motivation in which the person is motivated to perform a certain activity without any desire of
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High employee motivation helps businesses to achieve high levels of productivity and eventually more profits. A highly motivated workforce is energetic, creative and committed to organization’s goals. Therefore it is important for the management to achieve highest levels of motivation of their employees by using extrinsic and intrinsic motivational strategies to form a profitably organization.

Extrinsic Motivational Strategies

Extrinsic motivational strategies includes:

• Payment Methods:
Money is an important motivator for people who are extrinsically motivated. To increase extrinsic motivation in an employee, the management can use different payment methods according to the nature of their organization. These payment methods include time rate, piece rate or simply an increment.

Time rate:
Time rate is a type of payment method in which the employee is paid according to the amount of time she spends at the workplace while piece rate is the kind of payment method in which the employee is paid according to the number of goods that are produced by that specific employee.
For example, a bus driver will be motivated to spend more hours at work, driving bus so that she is able to earn more. This will act as an extrinsic motivator.

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