Benefits of Extrinsic and Intrinsic Motivation

The assignment discusses the benefits of intrinsic and extrinsic motivation, exploring their effects on employees' work performance, productivity, and overall well-being. It also highlights the differences between these two types of motivation and provides examples of their applications in business and personal contexts.

Running head: BENEFITS OF EXTRINSIC AND INTRINSIC MOTIVATION
Benefits of Extrinsic and Intrinsic Motivation
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1BENEFITS OF EXTRINSIC AND INTRINSIC MOTIVATION
Table of Contents
Introduction................................................................................................................................2
Discussion..................................................................................................................................2
Benefits of intrinsic motivation..............................................................................................2
Benefits of extrinsic motivation.............................................................................................3
Conclusion..................................................................................................................................3
References..................................................................................................................................3

2BENEFITS OF EXTRINSIC AND INTRINSIC MOTIVATION
Introduction
It is to be noted that Motivation is one of the major sources of an individual’s action
and it determines the reason behind their behavior. It inspires people to work more effectively
towards achieving their goal that are either set by them or by organization. It is something
that plays a very vital role in making an individual goal oriented. There are two types of
motivation- intrinsic and extrinsic (Robbins and Judge, 2016). This is report is going to
elaborate on the business and personal benefits of these motivations.
Discussion
Intrinsic motivation refers to the type of motivation which brings an interest within a
man to complete his task and as sense of satisfaction after completing the task. He gets
motivated by his own interest rather than any kind of external force. For example, reading a
book as reading is fun. On the other hand, extrinsic motivation refers to the type of
motivation by which man gets motivated by an external force. Here, he gets rewarded with
money and is forced to do his task. For example, beating the competitors in a competition
brings trophies and recognition.
Benefits of intrinsic motivation
In business context, the employees with higher level of intrinsic motivation could help
in reducing the total labor costs (Becchetti, Castriota and Tortia 2013). As the managers need
to invest very less time motivating the intrinsically motivated employees, they get more time
focusing on the more productive tasks. This helps the business in operating with fewer
numbers of managers. Furthermore, the employees who prosper on personal career
development and accomplishment are more likely to make innovative and valuable
contributions to the strategic initiatives. In personal intrinsic motivation helps in motivating a

3BENEFITS OF EXTRINSIC AND INTRINSIC MOTIVATION
person and promote his learning and achievement. Here, he does not do anything for the sake
of others, but for himself. He can achieve each of his life’s goals and aspirations for the sake
of his own satisfaction and happiness. Other advantages of it includes, increased
responsibility, inquiry based learning and self-improvement.
Benefits of extrinsic motivation
In the workplace, using extrinsic motivation can enables a greater degree of control
over the operational processes (Lazaroiu 2015). In this type of motivation, employees are
given constant encouragement and guidance from their supervisors. While some look into
this matter as intolerable but there are many employees who thrive in such situations where
they are constantly guided and encouraged by their supervisor. Furthermore, giving rewards
and incentives can really help in boosting the motivation of all the employees by pushing
them towards breaking their personal records and reach a new performance levels (Chintalloo
and Mahadeo 2013). The personal advantages of extrinsic motivation include personal praise,
public recognition and rewards. This will make an individual feel good about him-self and
enable him to take more interest in working harder than before.
Conclusion
From the above analysis, it can be stated that an employees’ motivation can be
developed in one of the two ways, either intrinsically or extrinsically. Intrinsic motivation
comes from within, whereas the extrinsic motivation comes from the external sources. Both
of the types of motivation carry different advantages and different employee display distinct
motivational characteristics.

4BENEFITS OF EXTRINSIC AND INTRINSIC MOTIVATION
References
Becchetti, L., Castriota, S. and Tortia, E.C., 2013. Productivity, wages and intrinsic
motivations. Small Business Economics, 41(2), pp.379-399.
Chintalloo, S. and Mahadeo, J.D., 2013, July. Effect of motivation on employees’ work performance
at Ireland Blyth Limited. In Proceedings of 8th Annual London Busin8ess Research Conference
Imperial College, London, UK (pp. 8-9).
Lazaroiu, G., 2015. Employee motivation and job performance. Linguistic and Philosophical
Investigations, 14, p.97.
Robbins, S. and Judge, T. (2016). Essentials of organizational behavior. Harlow: Pearson
Education Limited.