BUS1007 Report: Causes of Demotivation & Motivation Strategies

This report examines the causes of employee demotivation within organizations, particularly focusing on the scenario of ABC Company. It identifies factors such as poor leadership, low or unfair wages, poor communication, incorrect hiring and promotions, and lack of training opportunities as key contributors to demotivation. The report further analyzes strategies to enhance staff motivation, including setting meaningful goals, celebrating milestones, implementing better compensation and reward systems, promoting employee collaboration, and empowering problem-solving and learning. The conclusion emphasizes the importance of motivated employees for organizational success and advocates for the implementation of these strategies to improve productivity and reduce negative outcomes associated with demotivation.

ORGANIZATION BEHAVIOUR 1
ORGANIZATION BEHAVIOR
Student’s name
Course
Professor’s Name
University
City
Date

ORGANIZATION BEHAVIOUR 2
Organization Behavior
Employees demotivation
Employees demotivation is a critical factor which can profoundly impact any
organization. According to studies, employee’s demotivation is a situation where an organization
fails to meet the employees' needs, thus reducing their morale in the workplace (Hossain &
Hossain, 2010). Recent studies show that 48% of employees across the globe don't like their
jobs. Similar studies reveal that more than 80% of workers around the world are stressed in their
workplace (Abur, 2014). However, only 30 % of the employees are satisfied with their jobs.
Therefore, this paper examines the causes of employee’s demotivation in ABC company
scenario. Also, the paper will evaluate and analyze the possible strategies that can be
incorporated into organizations to improve staff motivation.
Causes of staff demotivation in organizations
Poor leadership
Studies reveal that effective leadership is essential in enhancing staff motivation
(Salahuddin, 2010). Therefore, when an organization lacks a strong and effective leader, some
employees may lack morale due to close supervision and unfair leadership practices. Poor
leadership may discourage proper communication with employees due to fear that some leader
may instill to their employees. In other words, lack of upward communication may demotivate
the employees since they lack an opportunity to air their views and grievances. Also, poor
leadership leads to poor management, making the organization to be unproductive, due to
reduced employees’ motivation to work.
Low or unfair wages and salaries

ORGANIZATION BEHAVIOUR 3
Studies point out that low pay to employees and staffs highly demoralized their
motivation to work in an organization (Stringer, Didham & Theivananthampillai, 2011, p.162).
However, although some organizations pay their employees above the market rate, on the other
hand, they practice unfair pay among various employees. For instance, two employees may be
doing similar work but, but one employee is paid high amount than the other employee. These
bring act demotivates some employees and can even create hostility among them. Also, some
organization discriminates various employees because of their sex. For example, in some cases, a
woman is paid less money than man or vice versa, depending on their relationship with
management. Therefore, it demotivates some employees working in the organization.
Poor communication.
McChesney (2015) argue that communication plays a vital role in enhancing employees
motivation. Therefore, when there is unsuitable communication between staff and the
management, the staff fills demotivated while working in the organization. Authors point out
that, absence of information brings about confusion and frustration among employees in the
workplace. Also, lack of clarification from the leaders makes employees struggle to get the
necessary information which brings about exhaustion in the workplace. Therefore, poor
communication highly impacts on employee's confidence and morale.
Hiring and promoting the wrong people
According to Brown, hiring and promotion of wrong people are major demotivation to
current employees in any organization (2011). Promoting the wrong people affects the morale of
the current employees in an organization. Ultimately it leads to job dissatisfaction among the
employees. Most employees work in an organization for an extended period, there they deserve

ORGANIZATION BEHAVIOUR 4
motivation through promotion. However, when the development is done to recent employees, it
demotivates the old employees working in the organization, making them less productive. These
encourage the instances of job turn over in most organization, whereby people leave their job and
run for better employment opportunities in other organizations. In the case scenario of ABC
company employees, demotivation might have been facilitated by the promotion of the wrong
people in the organization.
Lack of training and development opportunities
Development and training opportunities are aimed at maintaining and boosting the
morale of employees (Davis, 2012, p.20). However, when an organization fails to provide
training and development opportunities, its employees fill demotivated. Training aims are
educating and informing the employees about the task involved in a job. On the other hand,
development aims at preparing the employees for promotion and higher managerial position. In
the case scenario of ABC organization, the demotivation of employees may have been facilitated
by a lack of development opportunities. An organization that fails to provide training and
development opportunities discourages professionalism within the workplace, therefore, slowing
down its progress.
Strategies to improve staff motivation
Setting meaningful goals
Studies reveal that the establishment of meaningful goals is significant at enhancing
employees’ motivation (Rosewilliam at el., 2011, p.502). Goal setting enhances employees to be
more engaged in the workforce with an effort of attaining the set goals. Therefore, before setting
goals organization should examine the following:

ORGANIZATION BEHAVIOUR 5
• An organization should establish what is expected from employees
• They should show employees how they contribute to ensuring the organization success
• They should help employees to visualize their success in their role.
Therefore, linking of employees’ objectives and the organization goals are crucial at
enhancing employees’ motivation. However, an organization should recognize that various
employees have different sources of motivation, therefore linking the objectives and goals is an
essential factor in any organization. According to recent surveys, about 55% of employees
regardless of their region, age and sex are becomes more motivated when they realize, their
works are meaningful. In the case of ABC organization goal setting is a crucial factor in
motivating the employees.
Celebrating both small and big milestone
Bagley (2012) argue that an organization should not only celebrate the achievement of
big milestones, but also they should acknowledge the accomplishment of small milestones., both
small and big milestones makes employees fill motivated in their daily assigned roles. The
organization sets either early or quarterly goals and keeps tracks of how their employees are
performing.
Therefore, when the organization acknowledges its employee's achievements, whether
small or big, the employees become motivated in their job roles. Studies show that the
celebration of milestones helps an organization to identify the challenges that their employees
encounter. However, when the employees are unable to meet their milestone, the organization
should examine the barriers to the attainment of those milestones and assess their end goals.

ORGANIZATION BEHAVIOUR 6
Better compensation and reward system
Better compensation and reward system is crucial at enhancing employees’ motivation.
According to studies, most employees are motivated by money to work to meet their basic needs
(Osibanjo at el., 2014, p.66). Also, salaries are essential to employees since it is a measure of
their value at the organization. Compensation to employees should be based on industrial rates.
Furthermore, organizations should ensure fair pay to all employees doing similar jobs.
On the other hand, compensation should also be determined in terms of professionalism
and roles. Suitable compensation policy programs should be established at all levels of the
organization. Compensation can be in terms of monetary rewards such as commissions,
performance bonuses, and profit sharing. Also, gift vouchers, vacation, and the non-monetary
gift should be awarded to employees to motivate them. ABC company should establish fair pay
to all employees to motivate them and reduces the instance of employee’s turnover.
Promote employee's collaboration
Maslach, Leiter & Jackson (2012) argue that collaboration is a crucial factor that makes
employees work together, thus enhancing their motivation. For instance, when some individuals
are assigned to a particular project, it brings them to work together to achieve the project goals.
The collaboration motivates them when they can attain their set goals and objectives. Also, the
corroboration created when doing a similar task, boost their motivation by assisting one another
in the attainment of the organization goals and objectives
. However, the managers should reduce their strict supervision, which facilitates to
perform better when they fill that the management has some trusts on them. An organization
willing to create a maximize their output and increase their profit margin should establish a

ORGANIZATION BEHAVIOUR 7
collaborative culture within the workplace. Collaboration solidifies and enhances teamwork
among the employees. Also, it improves transparency in various departments of the organization.
Enhancing and empowering problem-solving and learning
Problem-solving is a significant aspect of any organization. Lack of proper problem-
solving techniques lowers the motivation of employees (Yang & Chang, 2013, p.336). Therefore,
an organization should establish suitable problem-solving procedures to help the employees
solve various issues in their jobs. Also, the management should provide support and guidance to
employees in case of problems in the workplace.
Furthermore, an organization should enhance the employees to present their ideas and
solution to various issues in their job roles. Such an opportunity motivates the employees to work
hard in the organization to come up with better solutions. ABC company should create a
problem-solving culture to facilitate problem-solving among the employees. Problem solving
and learning is encouraged through:
 Listening to the employees' ideas.
 Embracing employees’ skills.
 Creating a friendly environment where failure is viewed as learning opportunities.
 Giving the employees an opportunity to take ownership if their work.
Conclusion
Employees motivation is a critical aspect of any organization. Motivated employees can
push the organization to the next level and help it to attain the sets goals. On the other hand,
employees, demotivation should be avoided at the highest priority at all levels of the
organization. Demotivation leads to employees’ absenteeism, labor turn over, low productivity,

ORGANIZATION BEHAVIOUR 8
and boredom. Therefore, it is essential for the organization to motivates their employees through
various ways such as fair pay, proper management, the setting of valid goals, promotion of
employees’ collaboration, training and development, and acknowledgment of small and big
milestones. Thus with implantation of such strategies, employees will be motivated, thus
increasing the organization's productivity.

ORGANIZATION BEHAVIOUR 9
References
Hossain, M.K. and Hossain, A., 2012. Factors affecting employee’s motivation in the fast food
industry: The case of KFC UK Ltd. Research Journal of Economics, business and ICT, 5.
Abu-Jarour, S.F., 2014. Person demotivation in organizational life. International Journal of
Business and Social Science, 5(1).
Salahuddin, M.M., 2010. Generational differences impact on leadership style and organizational
success. Journal of Diversity Management, 5(2).
Stringer, C., Didham, J. and Theivananthampillai, P., 2011. Motivation, pay satisfaction, and job
satisfaction of front-line employees. Qualitative Research in Accounting & Management, 8(2),
pp.161-179.
McChesney, R.W., 2015. Rich media, poor democracy: Communication politics in dubious
times. New Press, The.
Brown, J.N., 2011. The complete guide to recruitment: A step-by-step approach to selecting,
assessing and hiring the right people. Kogan Page Publishers.
Davis, P.J., 2012. The global training deficit: the scarcity of formal and informal professional
development opportunities for women entrepreneurs. Industrial and Commercial
Training, 44(1), pp.19-25.
Rosewilliam, S., Roskell, C.A. and Pandyan, A.D., 2011. A systematic review and synthesis of
the quantitative and qualitative evidence behind patient-centred goal setting in stroke
rehabilitation. Clinical rehabilitation, 25(6), pp.501-514.
Bagley, R., 2012. Small business= big impact. Forbes Magazine, 15.

ORGANIZATION BEHAVIOUR 10
Osibanjo, A.O., Adeniji, A.A., Falola, H.O. and Heirsmac, P.T., 2014. Compensation packages:
a strategic tool for employees' performance and retention. Leonardo Journal of Sciences, (25),
pp.65-84.
Maslach, C., Leiter, M.P. and Jackson, S.E., 2012. Making a significant difference with burnout
interventions: Researcher and practitioner collaboration. Journal of Organizational
Behavior, 33(2), pp.296-300.
Yang, Y.T.C. and Chang, C.H., 2013. Empowering students through digital game authorship:
Enhancing concentration, critical thinking, and academic achievement. Computers &
Education, 68, pp.334-344.