Commerce

Unit 4: Motivation
 Motivation
• Motivation is the process of simulating employees in order to perform functions and
accomplish organizational goals.

Money
• Why do people work: Community
Career
 Importances
1. Better Productivity

2. Low levels of absenteeism

3. Lower levels of staff turnover

4. Improved Industrial relations with Trade Unions

5. Improve product quality

6. Good reputation
Hirency of Needs
1. Self Actualization
a) Need for achieving full potential
2. Self Esteem
b) Need for internal esteem factors
3. Social needs
c) Need for love, affection and belongingness

4. Safety and Security

d) Need for protection physically and mentally
5. Basic Survival needs
e) Need for survival needs.
 Ways of Motivation
• There are 2 main ways of motivation

1. Monetary motivation
2. Non-Monetary motivation
 Financial motivation
• Monetary motivation or financial motivation is a type of motivation done in terms of money.
1. Wages and Salaries
A wage is an amount of money given to daily/weekly/hourly work. It is normally given to blue collar workers
(Workers who do the physical work such as engineers). A salary is an amount of money given to monthly work.
It is normally given to white collar workers. (Workers who work with a computer like a CEO)
2. Commissions
A commission is an amount of money generally paid to salesmen to motivate them more,
3. Bonus
A bonus is a sum of money paid to workers when they or the company have performed
well and earned more profit. It is usually paid at the end of the year.
 Non-Monetary
motivation
• Non-Monetary motivation or financial motivation is a type of motivation done without the
terms of money.

1. Usage of company car and fuel

2. Housing
3. Expense accounts
4. Discounts on the organization’s products
5. Trips and holidays abroad
6. Mobile phones
7. Health insurance policy
8. Promotion