Application of Motivation Theories: Pepsico Report

This report examines the application of motivation theories within the context of Pepsico. It begins by defining motivation and its significance for organizational success, emphasizing the importance of a motivated workforce. The report then delves into two key theories: Herzberg's Two-Factor Theory, which distinguishes between hygiene and motivational factors, and Vroom's Expectancy Theory, which focuses on valence, expectancy, and instrumentality. It provides a detailed analysis of each theory, including practical examples of how Pepsico can implement them to enhance employee morale and productivity. The report also includes a comparison between the two theories and concludes by highlighting the importance of motivation for effective employee performance and organizational goal achievement. The report utilizes resources such as books, journals and online publications to support its findings.

Motivation Theories

Table of Contents
INTRODUCTION...........................................................................................................................1
PROJECT 1 .....................................................................................................................................1
Concept of Motivation............................................................................................................1
Herzberg Theory of Motivation..............................................................................................1
Vroom's Expectancy Theory..................................................................................................3
Comparison Between Herzberg and Vroom Theory..............................................................4
CONLCUSION................................................................................................................................5
REFERENCES ...............................................................................................................................6

INTRODUCTION
Motivational Theories can be defined as the theories which enhances and motivates an
individual's will to work so that the goals of an organisation can be achieved in an efficient and
effective way. The following assignment is based on two parts. In the first part it will focus on
the motivation of employees with the application of two motivational theories, and how the
manager can enact upon them for enhancing the morale of their employees.
PROJECT 1
Concept of Motivation
Motivation can be defined as the process with the help of which helps in making the
individual to work by self by providing with some factors that develops self desire to work. Like
every other organisation, it is also important for Pepsico to have a motivated workforce for the
accomplishment of different tasks performed in the company. The employees can be motivated
with the help of application of different motivational theories in their working. Two theories
related which help in the motivation of employees are explained as under:
Herzberg Theory of Motivation
The following theory was propounded by Frederick Herzberg in 1959. This theory
focuses on tow factors which help in the motivation of an individual. Herzberg divided his theory
in two parts which are the Hygiene Factors and the Motivational Factors. On the basis of these
two factors the following theory is dependent. The explanation of these two factors are provided
as under:
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(Source: Hezberg's Theory of Motivation, 2019)
Hygiene Factors:
These are the factors which are essential for the motivation of employees at the
workplace. However these factors do not provide long term satisfaction to the employees but
they eradicate the dissatisfaction from employees. The discussion of these two are provided as
under:
 Pay: It can be defined as the compensation that a company provides to their employees
for the services provided by them to the company.
 Fringe Benefits: In these factors, services provided by the company such as the medical
benefits to their employees as they also help in the motivation of their employees (Reiss,
2012).
 Job Security: Another factor with the help of which Pepsico can motivate their employees
by providing them with the job security.
Motivational Factors:
These factors create a real sense of motivation for the employees as they lead to superior
performance of the employees. The discussion of the factors covered under this part of
Herzberg's Theory are discussed as under:
 Recognition: It can be defined as appraisal or recognition provided through managers to
their employees for their special work or achievement.
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Illustration 1: Hezberg's Theory of Motivation, 2019

 Growth and Promotional Opportunities: Pepsico must provide chances of growth and
development to their employees as growth will increase their morale and make them to
work at their own.
 sResponsibility: Responsibility here means delegation of authority which can be provided
by managers to their employees and make them to feel special in the organisation so as to
increase their morale.
The theory can be applied in the working of Pepsico as the company can provide these
benefits easily to their employees and increase their motivation level. It will also help in
individual development which will result in an increase in the efficiency of the company as a
whole.
Vroom's Expectancy Theory
Another theory of motivation is of Vroom's Expectancy Theory which his also explained as
under:
(Source: Vroom's Expectancy Theory, 2019)
The following theory was propounded by Victor Vroom in 1964. According to this
theory, the motivation of an individual is based upon the when they are provided with rewards
according to their effort and performance that they made and achieved in the task. The following
theory is also important for the motivation of employees of an organisation. The key components
of the theory are explained as under:
Valence:
Valence according to Vroom, can be defined as the value or strengths that an individual
places on a particular outcome.
Expectancy:
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Illustration 2: Vroom's Expectancy Theory, 2019

It relates to the efforts made by an individual to bring the performance.
Instrumentality:
It refers to the belief of an individual that rewards will be provided to them on the basis
of their performance.
With the help of this theory employees will be motivated by providing them with the
rewards in accordance with their performance (Chevallier and et. al., 2012).
Motivated employees are important for the success of every organisation. It is so because
they will get a reason to work such as for the fulfilment of their unsatisfied needs. It can also be
done with the help of Vroom's Theory as the rewards provided them will be their motivation key
and enhance their level of working. It will make them to work more efficiently and effectively
and with full dedication to their job which in turn help the company in achieving their goals and
objectives.
Comparison Between Herzberg and Vroom Theory
Basis Herzberg Theory Vroom's Theory
Theoretical Prominence Herzberg was an American
Psychologist who developed
the tow factor theory.
Victor Vroom is a Canadian
professor developed the
Expectancy Theory.
Answer and Application According to this theory,
employees can be motivated
only through two factors
which will give them long
term satisfaction and
dedication towards their job.
(Cheng, Ioannou and Serafeim,
2014).
In this theory, motivation is the
result of valence, expectancy
and instrumentality. For
reaching to motivation, these
three ideas must be met. The
application of this theory is
focused more on performance
of an individual in the job role
provided.
Concept of Motivation:
The term motivation has been derived from the word “motive”. Motivation can be
defined as the process of rousing the work of an individual to the best of their capabilities by
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providing them motives to work such as the unfulfilled needs of those individuals. According to
Flippo, Motivation is the process of attempting the influence on others with the help of reward.
As the Manager of Pepsico, the motivation of employees will be done with the help of
Vroom's Theory of Motivation. Monetary incentives and promotion will be provided to the
employees fro their good work and performance so as to maintain and enhance their motivation
level (Aguinis and Glavas, 2012). It will also increase their dedication to work so that efficiency
and effectiveness can be created in their work which will help in the achievement of the
organisational goals of Pepsico.
CONLCUSION
From the above given data it can be concluded that motivation is very necessary in order
to make employees to work effectively and efficiently. For motivation of the employees the use
of theories is also helpful. Additionally, it is also concluded that the application of these theories
will provide the organisation with the means of motivating their employees in the way which
will motivate them to work using their full efficiency.
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REFERENCES
Books and Journals
Aguinis, H. and Glavas, A., 2012. What we know and don’t know about corporate social
responsibility: A review and research agenda. Journal of management. 38(4). pp.932-
968.
Brammer, S., Jackson, G. and Matten, D., 2012. Corporate social responsibility and institutional
theory: New perspectives on private governance. Socio-economic review. 10(1). pp.3-
28.
Cheng, B., Ioannou, I. and Serafeim, G., 2014. Corporate social responsibility and access to
finance. Strategic management journal. 35(1). pp.1-23.
Chevallier, C. and et. al., 2012. The social motivation theory of autism. Trends in cognitive
sciences. 16(4). pp.231-239.
Crowther, D. and Seifi, S. eds., 2018. Redefining Corporate Social Responsibility. Emerald
Group Publishing.
Online
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Corporate Social Responsibilities For Pepsi Cola Commerce Essay. 2019. [Online]. Available
Through: <https://www.ukessays.com/essays/commerce/corporate-social-
responsibilities-for-pepsi-cola-commerce-essay.php>
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