Importance of Human Resource Department and Motivation: A Case Study of Rolls Royce

This report discusses the importance of human resource department and motivation in a company. It includes a case study of Rolls Royce and elaborates on motivational theories such as Maslow's Need Hierarchy Theory and Herzberg's 2-way theory.

Table of Contents
Introduction......................................................................................................................................1
Human Resource Department..........................................................................................................1
Motivation........................................................................................................................................2
Motivational theories.......................................................................................................................2
Case Study of Rolls Royce..............................................................................................................3
Conclusion.......................................................................................................................................4
References .......................................................................................................................................4
Introduction
A company compromises of several different functional bodies working together
smoothly, all intending towards the progression of the enterprise. One of these functional body is
human resource department which deals with all the problems and matters that are related to the
employees of the company. Tasks undertaken by human resource management are such as
motivating employees, recruiting the best staff according to the vacancy, resolving conflicts that
rise among colleagues etc. In order to motivate the employees there are many types of plans and
strategies implied to get satisfactory results. Rolls Royce is an luxurious car providing company
founded in year 1998 which has been using various methods to motive its employees.
Human Resource Department
A part of company which is solely dedicated towards the human resource that is the
workforce of the company be it labours, employees, head of various departments etc is called
human resource department(Rana and Sharma, 2019). It is a very vital and inseparable part of
any organisation in order to work smoothly and prevention from chaos. This management
performs various important tasks for the manpower of the organisation like employees hiring and
training, maintaining managerial and labour relations, communicating goals, motivating staff and
many more.

Motivation
First step towards success is being properly determined and motivated to perform the job
perfectly. Motivation means believing in the reasons towards the job at hand that is having utter
confidence in the job that has been allotted(Grant and Shandell, 2022). For an company the
meaning of motivation for its staff is having clear estimate about the company's goals and
objectives and believing in them. This is done by the human resource department of the company
for its employees, managers, labours etc. A company with demotivated staff is most probable to
fail while on the other hand a company with motivated and determined staff which believes in
their goal will definitely grow.
Motivational theories
Human resource management or HRM uses many types of ideas, plan and techniques for
motivating the employees which are known as motivational theories. There are many types of
motivational theories available for the company such as Maslow's Need Hierarchy Theory,
McClelland's Need Theory, Theory X and Theory Y and a few more. Two of most used theories
are been elaborated below:
 Maslow's Need Hierarchy Theory: Abraham Maslow published his paper in year 1943
in which described about motivating human beings with the help of five different levels
of human satisfaction(Shen and et al, 2021). These five different levels are in order;
physiological needs, safety needs, love and belongings, self esteem and lastly self
acquisition. This theory suggest that for motivating any human being the lower level
should be satisfied first before moving to next stage, and an individual can be motivated
in the order described in five stages by Maslow. This theory has proved out to be most
used and effective strategy so far by HRM for motivating the employees.
 Herzbergs 2-way theory: It is also known as dual factor theory as in this theory two
main factors are focused by the Human Resource Management namely; motivators and
dissatisfiers (Gurunathan, 2021). Both of these elements are the aspects present in the
office or work place which either motivate or demotivate the employees. Motivators
include elements like promotion, job status, opportunities for advancements and many
more while dissatifiers includes low wages, conflict among colleagues, bad supervision
etc.

Case Study of Rolls Royce
Rolls Royce is an United Kingdom headquartered company providing luxurious auto
mobiles since 1998. It is one of the leading company in the auto mobile industry because of it
very strong customer base. Though they have a small target segment of customers but the
customers have been very loyal to the company. Rolls Royce have been able to maintain such
high brand loyalty by its customers because of well trained and impressive staff. This company
has always been oriented towards hiring good engineers, employees, managers etc. They not
only recruit professional staff but pays extra attention towards motivating them and making the
goals of the company known to all of its staff members. For motivating their staff they tries
many different strategies few of which is mentioned below:
 Maslow's Need Hierarchy Theory: Rolls Royce have been now motivating their staff
by following the leads provided in the Maslow's theory. They first analyse each segment
of employees and workers working under them and according to their level of satisfaction
provide the facilities. For example in the company's showroom elite and rich customers
visit hence there such staff members are required which understand self esteem and self
acquisition. Hence the employees present in their showrooms are paid highly so that they
me acquire their self esteem and self acquisition and they are able to attend the customers
accordingly. This theory has proven to be very beneficial for Rolls Royce in all of their
segments.
 Herzberg's 2-way theory: The dual theory was used by the Rolls Royce to motivate
their staff in the office areas and as a result they have been able to motivate their staff
persons highly. According to Herzberg's theory there are two different parts present in all
the work space, one which promotes the work and other which slows down the pace of
work. The company has implemented this theory to their work place by focusing on
elements which are good motivators like giving extra bonus salary to the staff for their
impressive work and paying salaries on time and avoiding the elements which creates
dissatisfaction in staff like mistreatment by seniors and allowing no breaks in working
hour.
Conclusion
This report concludes about the importance of human resource department for the growth
and motivation of its staff. A elaborated and well explained meaning of motivation is also been

present in the report along with plans and techniques that are been used by popular companies
like Rolls Royce in order to motivate their staff. These theories included Maslow's Need
Hierarchy Theory and Herzbergs 2-way theory studied in detail along with suitable example
when ever required for better understanding of these theories.
References
Shen, J. and et al, 2021. A Phenomenological Study on New Care Needs of Maslow’s Need-
Hierarchy Among Disabled Residents at Nursing Homes in Modern Chinese
Society. Journal of Transcultural Nursing, 32(5), pp.501-507.
Gurunathan, A., 2021. Study on the Impact of Organizational Culture on Employee Motivation
in a Steel and Industrial Forgings Company.
Grant, A.M. and Shandell, M.S., 2022. Social motivation at work: the organizational psychology
of effort for, against, and with others. Annual review of psychology, 73, pp.301-326.
Rana, G. and Sharma, R., 2019. Emerging human resource management practices in Industry
4.0. Strategic HR Review.