MOTIVATION

Concept
Every manager has a responsibility to get things done by
subordinates. To perform this responsibility in a satisfactory
manner, he performs the management functions and creates
healthy interpersonal with subordinates. For doing this the
manager has to find out what makes people to do things? He
has to discover the source of energy which causes an
individual to behave as they do. In addition, the manager
also attempts to understand how the several individuals
behave in a particular work situation and finally what else is
to be done to force them for producing desirable working
behaviour.

Generally, the motivation refers to state within an individual

that drives his behaviour towards some goals. The drives
come from the need or state of deprivation or ‘sense of not
having’ or ‘lacking’ which compels the individual’s to act or
behave in a particular manner. Thus, the basis of motivation
may be basic needs like hunger and thrust or may be social
and psychological needs of belongingness and achievement,
self – development, etc. Thus, motivation may be regarded
as a set of those wishes, desires, needs and drives which
activate an individual to act.

In simple words, an individual has the need which presses

upon him and create tension in his mind. Thus, to fulfill
unsatisfied need he moves towards the goal enthusiastically.
The degree of enthusiasm depends on how strongly the
need is felt by the individual.

Robert Dublin “Motivation is the complex of forces starting

and keeping a person at work in any organization.”

Stanley Vance “Motivation represents an unsatisfied need

which creates a state of tension or disequilibrium, causing
the individual to march in a goal – oriented pattern, towards
restoring a state of equilibrium by satisfying the need.”

“Process of Motivation”

Needs Desired
Behaviour / Action
& Expectations Goals

Fulfilment

CHARACTERISTICS/FEATURES OF MOTIVATION

1. Motivation is a inner psychological force which activates

and compels the person to behave in a particular
manner.

2. Motivation process is influenced by personality traits,

learning abilities, perception and competence of an
individual.

3. Highly motivated employees works more efficiently and

his level of production tends to be higher than others.

4. Motivation originates from the needs and wants of an

individual. It is a tension of lacking something in his
mind which forces him to work more efficiently.

5. Motivation is also a process of stimulating and

channelzing the energy of an individual for achieving
set goals. Thus, it boosts up the morale of the
employees.
 6. Motivation also plays a crucial role in determining the
level of performance. Highly motivated employees will
get higher satisfaction which may lead to higher
efficiency.

7. Motivation force and its degree, may differ from

individual to individual depending on his personality
triats, needs, competence and other factors.

8. The process of motivation helps the manager in

analyzing and understanding human behaviour and
finding out how an individual can be inspired to produce
desirable working behaviour.

9. Motivation may be positive as well as negative. Positive

motivation includes incentives, rewards and other
benefits while negative motivation implies some
punishment, fear, use of force, etc.

Importance of Motivation

A team of highly qualified and motivated employees is

necessary for achieving objectives of an organization. It is
only through motivation, they contribute maximum for
accomplishing objectives. Importance of motivation in
management may be judged on the basis of the following
factors:

1. Effective use of resources: In business, all physical

resources are to be used through human force.
Effective and efficient use of these resources depends
on the ability and readiness of work force. Thus, team
of highly motivated employees greatly help in making
optimum use of available resources for achieving
objectives.
2. Higher efficiency: Motivation is directly related to the
level of efficiency. Highly motivated employees make
full use of use their energy and other abilities to raise
the existing level of efficiency. They produce more as
compared to other employees.

3. Accomplishment of organizational goals: The process of

motivation helps in shaping the working behaviour of
the employees and making it desirable for achieving
objectives. Highly motivated employees would make
goal – directed efforts. They are more committed and
co – operative for achieving organizational goals.

4. Reduced labour turnover and absenteeism: Highly

motivated employees are more loyal and sincere;
therefore, they remain punctual and regular in their
work schedule and prefer to stay on the job for longer
period of time. These factors help in reducing
absenteeism and labour turnover.

5. Healthy industrial relation: Effectively motivated

employees get more satisfaction and carry high morale
which makes them more disciplined. In such a
situation, the possibilities of industrial relations and
unrest is reduced to minimum and industrial relations
gets improved.

6. Improved corporate image: Motivation helps in

improving an image of organization. If employees are
motivated, they produce more, they maintain self –
disciplined and productive internal environment in the
organization prevails. This in turn gives better
impression to the clients of the organization.
THEORIES OF MOTIVATION/APPROACHES TO MOTIVATION

CONTENT/NEED THEORIES OF MOTIVATION

1. Maslow’s Hierarchy of Needs (1940’s) (IMP)

One of the first behavioural scientists to make management
aware of the complexity of human needs and their effect on
motivation was Abraham Maslow, a famous US psychologist.
Abraham has classified needs in a logical conventional way
that has important implications for managers. in this theory,
he has pointed out and explained how needs influence
human behaviour. Maslow viewed human motivation as a
hierarchy of five needs ranging from most basic
physiological needs to the highest needs for self –
actualization.

“Maslow’s Need Hierarchy”

1.Physiological needs: these are most basic needs including

food, shelter and clothing. These needs are the most
powerful motivators as individual can’t survive without
them. Physiological needs must be satisfied to some extent
or partially satisfied, before the individual moves to satisfy
other higher category needs.

2.Safety and Security Needs:include the needs for protection

against physical and psychological threats in the
environment and confidence that physiological needs will be
met in the future. Buying an insurance policy or seeking a
secure job with a good pension plan are manifestations of
security needs.

3.Social Needs/Need for Affiliation: include a feeling of

belonging, of being accepted by others, of interacting
socially and of receiving affection and support.
4. Esteem Needs: include self respect, achievement,
competence, respect of others and recognition.
5.Self actualization Needs: include fulfillment of one’s
potential and growth as a person. It is an open – ended
need because it relates to the need to become more and
more of what one is capable of becoming.

Observation/Characteristics of Maslow’s theory

1. Hierarchy of needs has been prepared in logical sequence
and needs have been put into different levels according to
their effect and dominance on human behaviour and his
performance.

2.Individulas generally attempt to satisfy their basic needs

first which are lying on the lower side of hierarchy.

3.Maslow made it clear that need or deprivation of some

thing affects and dominate one’s behaviour.

4.Lower category needs require prior attention as compared

to higher order needs; lower level needs are more powerful.

5.Relative satisfaction of one category needs give rise to

another level of needs and it continues till the last level.

6.If the need is satisfied, it remains no more a motivator

and it is only unfulfilled needs which affect human
behaviour.

Limitations of Maslow’s Theory

1.The behavioural scientists pointed out that the entire
theory lacks empirical validation.
2. They also argue that it does not explain complexities
involved in human behaviour.
3. It has been pointed out that the order in which various
needs come into play can’t be predicted.

II Herzberg’s Two Factor Theory (IMP)

Herzberg, a US behavioural scientist, has proposed a theory
of employee motivation based on satisfaction. Herzberg
research has discovered two sets of factors associated with
satisfaction and dissatisfaction of the employee, therefore, it
is known as ‘Herzberg’s Two Factor Theory’.

The first set of factors known as ‘satisfiers or motivators’ are

responsible for self motivation of employees. These factors
include job, its importance, opportunity it provides for
advancement, achievement, recognition and sense of
responsibility, etc. These factors are known as ‘Job content
factors’ and are real motivators because they are capable
of providing satisfaction to the employee. These are known
as ‘Intrinsic Factors’.

The second set of factors called ‘hygiene or maintenance

or dissatisfier which include working conditions, job
security, salary, quality of supervision, organizational
policies, inter – personal relationships and other factors in
the immediate work environment. They are job context and
extrinsic to the job. Any deficiency or absence of these
factors would simply create dissatisfaction, demotivation and
low performance but their presence does not motivate the
employees. They have been considered as hygiene or
maintenance factors because their role is supportive just to
maintain healthy and congenial atmosphere in work setting.

“Maintenance and Motivational Factors”

Maintenance/Hygienic Motivational Factors

Factors
Company policy and Possibility of growth.
administration.
Technical supervision. Achievement
Inter – personal relations Recognition
with supervisor.
Inter – personal relations Advancement
with peers.
Inter – personal relations Work itself
with subordinates.
Salary Responsibility
Job Security
Personal life
Working conditions
Status

Criticism of Herzberg’s Model:

1.Herzberg drew conclusions from a limited study covering
engineers and accountants. Engineers, accountants and
other professional may like responsibility and challenging
jobs, but the general body of workers has a different
inclination. They are motivated by pay and other set of
benefits.

2.Thus, like Maslow’s Theory, Herzberg’s Two Factor Theory

of motivation has also been criticized on account of lack of
empirical validation.

Herzberg and Maslow – a comparison (IMP)

Herzberg’s theory of motivation has much in common with

Maslow’s. Herzberg’s hygiene factors correspond to the
physiological, safety, and security needs of Maslow.

As shown in the diagram, Maslow’s physiological, security

and social needs come under Herzberg’s maintenance
factors whereas self fulfillment under motivating factors. It
may further be noted that a part of esteem needs comes
under maintenance factors and another under motivating
factors.
McGREGOR’S THEORY X AND Y(IMP)

Douglas McGregor, a US behavioural scientist, has

developed approach to manage and motivate based on set
of various assumptions relating to human behaviour. It has
been formulated as Theory X and Theory Y. Theory X is
related to philosophy of traditional management,
assumptions about employees and the way to manage them.
Theory Y is based on humanistic assumptions about
employees’ and describes the approaches to manage nad
motivate them.

Theory X
1. Average employee in the organization is lazy, dull, self –
centered, resist change and does not want to take
responsibility.
2. He has limited number of needs, mostly physical needs
and to some extent security needs.
3. Average employee lacks responsibility and has little
ambitions.
4. The responsibility of getting things done by others for
achieving organizational goals lies on the managers and the
managers must use coercive measures to control the
workers and they must be threatened and punished as to
get them to work.
5. To get the things done by the employees, McGregor
suggested rigid, bureaucratic and rule based organization.
6. Narrow span of management, one – way communication,
close supervision, more concentration on monetary
incentives and centralization of managerial authority should
be followed.
7. It is necessary to guide, direct and control the employees
in a strict manner and the approach of ‘carrot and stick’
should be used for motivating them.

THEORY Y

1. Work is as natural as play or rest for the workers.

2. Average worker likes work, is capable of assuming
responsibility and accepting challenges.
3. They are ambitious, achievement – oriented and
capable of exercising self – control.
4. They have wide range of needs, economic and non –
economic.
5. They have potential and they can learn to assume
responsibility. They have imagination and creativity
that can be applied to work.
6. In view of these assumptions, the role of management
is to develop potentials and help the employees to use
it for achieving common objectives.
7. Organizational structure should be marked by open
communication, flexibility, informal relation and
decentralization of authority.
8. The approach of management should include
participative management, supportive style, self
direction and control, opportunity for creativity and
 innovativeness and package of both monetary and non
monetary incentives.

OUCHI THEORY Z

The management scholar, William Ouchi has developed

theory Z. he began his study by identifying certain
contrasting features of Japanese and American companies.
In this study he discovered that some USA based successful
companies have adopted the style of management which
combined the characteristics of American as well as
Japanese companies. These hybrid companies are known as
‘Theory Z organizations’.

The main features of theory Z are as under:

1. Theory Z recognizes cultural differences in the
countries which must be taken into account by the
manager at the time of developing motivation
mechanism for the employees.
2. It implies the environment of mutual trust in the
organization. According to Ouchi for the successful and
effective functioning of organization mutual trust and
openness among employees, various groups and trade
unions is necessary.
3. It stresses that long term employment should be
granted to the employees which should be backed by
effective training programmes so that they must be
retrained in the organization.
4. Theory Z emphasizes on the implementation of a
balanced control system. Along with personal judgment
and feeling, certain rules should also be followed by
the employees.
5. According to this theory, a holistic approach should be
followed for making all round development in the
personality of employee so that he can contribute
maximum for the achievement of organizational
objectives.
 6. Theory Z also recognizes the importance of
participative decision – making, as it creates a feeling
of commitment and co – operation among the
employees. According to it all the employees who are
likely to be affected by the decision should be involved
in decision making.

Importance of Rewards & Punishment in Motivation

All individuals joining organization devote their time, energy
and effort for performing assigned job. In return of that they
expect to be rewarded for their contribution. Broadly, reward
may be defined as material and psychological pay – offs for
performing task in the work situation. In other words, it may
be considered as an incentive, monetary or non – monetary
which is given to the employees for their performance at a
particular level. It is found that job performance and
satisfaction can be improved by properly designed and
administered reward system in the organization. Rewards
may be classified as under:

1. Extrinsic and Intrinsic Rewards

2. Monetary and Non – Monetary Rewards

1. Extrinsic and Intrinsic Rewards

Extrinsic Rewards are those which are offered to the

employee by his employer, supervisor, colleagues or
subordinates. These rewards, are of course, external to job
and job performance, they are the pay – offs granted to the
individual by other people. Such rewards may include
money, employees’ benefits, promotion, recognition, praise,
status, etc.

Intrinsic rewards refer to those rewards which the individual

gives to himself. These rewards are internal to job and job
performance. These rewards include job satisfaction, sense
of achievement, sense of accomplishment, self esteem, self
– development, etc.

Usually, extrinsic as well as intrinsic rewards are

intermingled on the job. For example, if the employee
completes a big and challenging project he experiences
psychological satisfaction, his need of achievement is
fulfilled and on the other hand, he may get some additional
monetary benefit from the organization.

2.Monetary and Non – Monetary Rewards

Monetary/Financial Rewards and Incentives are very

commonly used in modern organizations to motivate the
employees, to increase their productivity. These include
wages and salaries, bonus, insurance, medical allowance,
housing facilities, retirement benefits, etc. It is generally
said that higher these benefits, higher is the productivity of
workers. However, this is not always so. Monetary benefits
have only limited utility in increasing the motivation of
employees. After the basic needs have been met, its role of
motivating the employees is generally decreased. The
management has to make use of non – financial incentives
also to motivate the employees.

(Money as a Motivator – short note)

Money is a real motivating factor when the physiological
(food, shelter and clothing) needs of the workers have not
been satisfied. Money helps in satisfying the social needs of
the workers to some extent because money is often
recognized as a basis of status, respect and power. Money is
also an important means of achieving a ‘minimum’ standard
of living although this minimum has the tendency to go up
as people become more affluent. However, it can’t be
concluded that money loses its importance after a certain
stage.
People in higher positions, who get monetary rewards, are
not motivated by monetary benefits. They may be motivated
by money only if the increase is large enough to increase
their standard of living and status in the society. However,
in case of operative employees, money certainly plays a
significant role in motivating them because their basic needs
have not been completely fulfilled.

From the above discussion, it can be said that money is not

the only motivator and it is not always a motivator. A good
management should devise a motivational system which is
capable of satisfying the different human needs. Many of the
needs could be satisfied by providing non – financial
incentives.

Non – Financial / Non – Monetary Rewards (IMP)

Non monetary incentives can’t be measured in terms money.
They are concerned with the satisfaction of social and
psychological needs of the employees. These needs can’t be
satisfied by money alone. The non – monetary rewards are:

1.Status: Status, in the organizational context, means the

ranking of positions in the formal structure. The status
system is an important instrument of motivation as it can
satisfy the social and egoistic needs of the people. The
management often tries to satisfy these needs by
establishing status symbols in its organization. Costly
furniture, carpets, separate cabinets, a personal assistant,
etc are provided by the management for this purpose.

2.Job Security: means that an employee would continue on

the job in the same organization and he shall enjoy
economic and social security. Management should also
provide security to its employees against sickness, old age,
death and unemployment. Organization should arrange
various social insurance schemes to provide security to the
employees and their positions.
3.Performance feedback: Knowledge of the results leads to
employee satisfaction. A worker likes to know the results of
his performance and he gets satisfaction when his superior
appreciates the work done by him.

4.Praise: Praise satisfies one’s ego needs. Sometimes,

praise is more effective than any other incentive. However,
this incentive should be used with greater case because
praising an inefficient employee would create resentment/
hostility / frustration among competent employees.
Occasionally, a pat on the back of an incompetent employee
may act as an incentive to him for improvement.

5.Opportunity for growth: Providing opportunities to grow in

status and responsibility helps the organization in effective
utilization of intellectual ability, experience and knowledge of
employees.

6.Participative and Consultative Management: A good

motivational system should make provision for participated
and consultative management. Opportunities provided to the
employees for participation makes them feel that they are
part and parcel of the organization. If the employees are
given a chance to be heard and offer their views and
suggestions, it will create a feeling of participation and act
as a motivational tool. Thus, proper utilization of human
resources would be possible.

7.Career Development Plan: A good motivational system

provides for well – designed career development plan for all
levels of the employees. it inspires the employees to use
their skills, intelligence and wisdom for future growth and
development.

8.Job Enrichment: implies enriching contents of job or the

deliberate upgrading of responsibility, scope and challenge
in work. Job enrichment is a motivational technique which
emphasizes the need for challenging and interesting work. It
suggests that jobs be redesigned to provide intrinsic
satisfaction to the employees. it leads to a vertically added
job by adding functions from other organizational levels,
making it contain more variety and challenge and offer pride
to the organization.

9.Job Enlargement: is the strategy adopted by many

managers to remove the mal effects of division of labour. It
focuses on enlarging jobs by adding tasks and
responsibilities. It involves expansion of the scope and width
of the job by means of horizontal loading of certain closely
related operations.

“CARROT & STICK APPROACH”

For the smooth functioning and successful accomplishment

of organizational goals it is necessary that conductive work
environment should be built. Among other factors it should
be accompanied by appropriate system of reward and
punishment. All individuals who join organization carry some
goals, interest and expectations along with their abilities,
competence, knowledge and skill. To make them committed
and involved in work – setting, it is necessary that those
who are working efficiently should be rewarded and those
who are not working efficiently they should be punished. For
treating the employees in this way policy of “carrot and
stick” is followed. This approach is simplistic in assumptions
and conservative in nature because it recognized reward and
punishment as only means to motivate employees. It is
based on the assumption that the individuals may be
motivated by hope of getting reward or with a fear of being
punished. Thus, only the expectation of getting reward or
fear of being punished will motivate the employees to
produce as per standard or performance and to behave in a
desirable manner. This approach generally succeeds in
motivating people as long as their physiological and safety
needs remain unsatisfied.
In this regard, McGregor has rightly pointed out that carrot
and stick approach does not work well at all once an
individual has reached an adequate subsistence level and is
motivated primarily be higher needs. While making use of
this approach, the manager should concentrate more on
positive aspect. The stick should be used by him only when
it is unavoidable or necessary for setting the erring
employee right in terms of performance and desirable
behaviour.