Employee Motivation and Reward Systems

This assignment delves into the concept of employee motivation, examining various theories such as Herzberg's two-factor theory and Maslow's hierarchy of needs. It discusses how both internal (e.g., organizational values, challenging tasks) and external reward factors (e.g., minimum wages, inflation rates) influence employee performance. The assignment highlights the importance of rewards in motivating and retaining employees, ultimately contributing to organizational success.

Employee Motivation: Motivation is an urge to perform better with in corporation. It is a process of encouraging, appreciating and
inspiring individual for their effective performance at workplace. It assists in developing a well-defined impact on business growth and
development.
Maslow's theory- As per this theory, individual
required five kinds of needs that are
physiological, safety, love belongings, self-esteem
and self-actualization. Maslow's stated that people
are motivated only when these mentioned needs is
satisfied. In order to satisfy these desires,
enterprise provides special arrangements in
corporation. Physiological needs can be satisfied
by natural resources such as air, water, food, sleep
and shelter (Peng and Zhao, 2012). For this cited
venture provides effective working environments
where proper arrangement of these aspects is
there. If employee’s basic needs are not met, they
will get demotivated and leads to decline in their
productivity
Herzberg theory- As per this concept,
employees can be motivated by two
components that is hygiene and motivator
factor. According to hygiene factor, employees
can be motivated by effective salary, fringe
benefits, job security, perquisites etc (Liu and
et.al 2016). Cited venture has successfully
attempted to this factor of motivation because
there has special arrangement of reward system
for those personnel s who perform effectively
in the company. On the other hand, As per
motivator factor, human resource can be
satisfied and motivated by appropriation,
recognition, challenging task and growth
opportunity
Significance of Reward system: In Particular, human resources management is one of the most important parts of management strategies
because it plays a significant role in organizations in improving organization performance. In the business area, there are many ways in which
employers and managers have sought methods to influence and motivate their employees and it is true to say that in terms of all the techniques
and methods available, the remuneration and proper reward payment system, have been widely used in contemporary society.
The aims of rewards are to motivate
and retain people. While basic annual
salaries play a role in attracting people
to companies, rewards in the form of
financial and non-financial payment
keep them there. The aims of reward
management can be divided into two
distinctive parts; one is "participation
of organization" and another is
"performance in organization"
Rewards provide a special payment
for a special activities or results. This
is distinct from the general meaning of
payment such as wage or salary which
fixed payment based on a regular
basis. On the other hand, the term of
'reward' is used to identify the
additional payment related to
performance or job skill.
EMPLOYEES MOTIVATION
External Reward Factors
National culture
Minimum wages
Inflation rates
Education and skill
Social and political trends
Taxes
Internal Reward Factors
Team factors
Organisational values
Task essentials
Time frame
Tools
Work standards
Decision making