This case study analyzes the application of ERG theory and Herzberg's two-factor theory in the context of Jack Stores, a Tesco-owned retail chain. It explores how these theories can be used to motivate employees and improve performance, highlighting their advantages and disadvantages.
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CASE STUDY
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EXECUTIVE SUMMARY Motivation is an essential component that helps in the fulfilled of goal and achievement of set benchmarks by maximising the potential and performing the roles as well as responsibility in an effective manner. Within main body of report various motivational theory are explained such as ERG theory and Herzbery theory. ERG include three different need such asExistence need, Relatedness need as well as Growth need that help an individual to motivate and fulfil them for personal satisfaction. Whereas, Herzbery theory explains that hygiene factor such as working environment or shift can dissatisfy an individual but absence of motivation factor like achievement, personal development can enhance an individual to shift to another organisation. Therefore, organisation must apply these theories in favour of management as well as employee.
Table of Contents INTRODUCTION..................................................................................................................................................3 MAIN BODY..........................................................................................................................................................3 CONCLUSION.......................................................................................................................................................5 REFRENCES..........................................................................................................................................................6
INTRODUCTION Motivation is a derive that encourages the individual to perform their roles and responsibility in a certain manner. It simply pushes the effort of employee through internal or external factor to attain the objective of an organisation. Thus, it helps an individual to stimulate their efforts and take initiative to sustain for longer duration of time(Ryan and Deci, 2017). For better understanding Jack stores has been selected which is discounted retail store of Tesco company. The culture as well as ambiance of Jack store are alike other stores of Tesco which offer wide range of products such as grocery, electronics, cloths, daily utility as well as necessity item under one roof. This report contains various motivational theory along with their application on chosen company. Moreover, each theory has its advantage as well as disadvantage which are explained in the report. MAIN BODY ERG theory: This theory was explained by Alderfer, that include three stages of need that is existence, relatedness and growth. The five need of Maslow need hierarchy theory comes within ERG Needs. Though Alderfer was satisfy with Maslow hierarchy need but additionally gave the process of frustration regression. Within this process if an individual met their needs then it is not necessary that those need will always be met. In that case higher need cannot motivate an individual. Thus, all the needs must be priorities effectively within an organisation(Nicholls, 2017). Application of ERG theory Existence need:Physiological which is the basic need as well as safety needs are the part of existence need. The manager of Jack store must make sure the offer desirable remuneration to their employee along with that job security must be provided. This helps the staff to remain committed towards the organisation. Relatedness need:It is significant for Jack store to form interpersonal relationship with their staff by conducting regular meetings, organising outing for the employees as well as feedback session. This help the employee to generate belongingness need for the retail store which further help to retain the employee and reduce their turnover rate. Growth need:When an employee joins the organisation they look for the growth they can gain in future. Thus, the growth opportunity such as promotion, salary hike and so on must be clearly discussed by the HR executive of Jack store. This helps to bring transparency which enhance the performance of an individual to achieve their target successfully. Therefore, it is the role of HR manager to sequence or prioritize all ERG needs successfully that helps to encourage the effort of employee successfully(Miner, 2015). Advantage
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ï‚·This theory is more consistent, stable and realistic as there are various factors such as family or academic background as well as cultural environment that motivate the individual to perform their task. Disadvantage ï‚·As per respective model an individual has to gratify one of the need amongst three sets(Ertas, 2016). Herzberg two factor theory: It is also referred as motivation hygiene theory which was given by Frederick Herzberg. It include two factorssuch asmotivation factor which causesjobsatisfaction whereasother hygiene factorscreates dissatisfaction(Motivationaltheory,2018).Additionally,motivationfactorincludepersonalgrowth, achievement and if these factors lack in organisation then an individual can leave the organisation. On contrary, hygiene factors include working hour, environment, salary and so on. If these elements lack it will lead to dissatisfaction among employees. Therefore, the factors which can motivate an individual vary from the factors that can cause dissatisfaction. This depict that if organisation eliminate dissatisfying factors then it is cannot encourage employee to enhance their performance. Application of Herzberg two factor theory Jack store must not only make efforts to eliminate or control the factors associated with job satisfaction like issue related to salary and job security. Along with that selected store must make effort to establish the condition that can lead to job satisfaction such as recognition, appraisal. Hygiene factor:Jack store ensure that they develop same package, uniform policy and set standard for all its staff. Moreover, such procedure must be clearly discussed with staff this helps them to put maximum effort in order to attain personal achievements. Furthermore, special offers must be given to employee so that they will feel privileged to be the part of store like if they make purchases from the store then may get the additional discount say of 10%. Hence, these factors makes an employee satisfied. Motivational factor:Such factors include the growth opportunity, advancement and recognition that employee seek in long term. Thus, it is the responsibility of Jack store to take care of the personal growth of an individual because this can help the company to retain the employee which can act as a core competency to build the strategy against its competitors such asAldi and Lidl Advantage ï‚·This theory focuses on intrinsic motivation by enhancing the factors of company that can help the employee to attain their long term objective. ï‚·Application of such theory helps the company to look after the problem of employee by making the environment employee friendly(Wulf and Lewthwaite, 2016). Disadvantages ï‚·The main disadvantage of this theory is that there is no correlation between job satisfied employee and job productivity.
ï‚·It does not include the extrinsic factor that can motivate an individual for instance, if other store offer more package for the similar type of vacancy then employee may not remain satisfied with their existing firm. CONCLUSION From the above report it has been concluded that motivation plays a vital role in as it influences the behaviour of a human being to achieve the task in certain manner. Whether it is intrinsic motivation or extrinsic both pushes the efforts of an individual in order to attain their benchmark successfully. Thus, it is essential for an organisation to apply various motivation theory within work place as it helps to enhance the profitability and minimise the issue related to absenteeism rate. Therefore, this can assist the business to flourish their business successfully and overpower their competitors.
REFRENCES Books and Journal Ryan, R. M. and Deci, E. L., 2017.Self-determination theory: Basic psychological needs in motivation, development, and wellness. Guilford Publications. Nicholls, J. G., 2017. Conceptions of ability and achievement motivation: A theory and its implications for education. InLearning and motivation in the classroom(pp. 211-238). Routledge. Miner, J. B., 2015.Organizational behavior 1: Essential theories of motivation and leadership. Routledge. Wulf, G. and Lewthwaite, R., 2016. Optimizing performance through intrinsic motivation and attention for learning: The OPTIMAL theory of motor learning.Psychonomic bulletin & review.23(5). pp.1382- 1414. Ertas, N., 2016. Millennials and volunteering: Sector differences and implications for public service motivation theory.Public Administration Quarterly.pp.517-558. Online source Motivationaltheory.2018.[Online].Available thorugh:<https://www.tankonyvtar.hu/hu/tartalom/tamop412A/2011-0023_Psychology/030300.scorml>