Employee Motivation: Extrinsic Factors Influencing Performance

This essay explores the impact of extrinsic motivation on employee performance, highlighting its role in improving productivity, retention rates, and overall organizational success. It contrasts extrinsic motivation with intrinsic motivation, emphasizing the importance of both monetary rewards and no...Read More

Employee motivation 0
EMPLOYEE MOTIVATION
Extrinsic Motivation Improves Employee Performance & Factors Influences Employee Motivation
STUDENT NAME
10/31/2018

Employee Motivation 1
Motivation is an essential element, which ensures smooth functioning of every individual. In
employee concern, the types of motivation, which values their performance, are the intrinsic
motivation which, generates enough satisfaction along with the improvements in their
presentations while extrinsic motivation that empowers them to earn enough money.
Accordingly, the combination of both leads a positive effect over the working conditions of
the employees (Jian, Ying, Yahui, and Zhenxing, 2016). While intrinsic motivation is within
the individuals in a form of intangibles, which simply strive towards a goal for personal
satisfaction, whereas extrinsic motivation drives from external monetary rewards and praise,
which are required for an achievement gained in a particular goal. Subsequently, a motivation
within employee generates and maintains stability, helps organisation for incrementing their
reputation and leads to improve productivity and future trends (Kimberly, 2017). This
discussion is focusing on highlighting the amalgamation of these aforementioned concepts of
employee performance and Motivation.
Before going into the detailed analysis of stated topic, it becomes important to attain clarity
on what exactly employee performance and motivation stands for. Employee performance
can highly be effective through extrinsic motivation because it highlights the reward driven
behaviour, which entails a positive relation between work motivation and job performances
(Buckley, 2018). In an organisation concern, it is mandatory to motivate employees, if they
are motivated during their working hours their performance, attitude and interest will
improve. The main goal of an organisation is to generate profit and this can only happen
when, workforce will be motivated to achieve specific organisational goals (Burrage, 2016).
Job performance measures the profit turnover earned by organisation; it also reflects the
performance of the employees as it has the direct relationship with it. If performance of
employee is low in an organisation then the turnover will also be low and if the performance

Employee Motivation 2
increases it will ultimately double the profits of an organisation. Therefore, to make
employee more motivated they are rewarded monetarily and on the other hand the employee
who do not perform well are communicated privately and further encourages them to perform
efficiently (Rich, Lepine, and Crawford, 2010).
Biggest challenge all over the world is doing business, one can start with their business but
over time, positive results are mandatory. The highly challenging competitive global market
affects the productivity in long run and motivates employees, which helps in delivering a
huge value to organisation. Along with this, firming and maintaining the revenue growth of
the organisation. Hence, Managers have to apply creative ideas to consistently keeping their
employee motivated as much as possible (Llopis, 2012).
Problem background states that extrinsic motivation has positive impact on employee
performance including increments in retention rates, customer satisfaction, profitability,
productivity and overall successful organisation performance (Bell, 2017). Motivated
employee will always be willing to take assignments that will generate high quality of work,
which will be creative enough, persistent and productive. Similarly, motivation is that energy
which flows from managers to employees towards performing certain action. This ensures
that extrinsic motivation strengthen the willingness of the employee towards their work and
increments the organisations effectiveness and competence. Insiders of organisation want an
assurance that the direction of their employees behaviour and performance should go, hand in
hand within organisation (Robescu and Lancu, 2017).
In current competitive business environment, organisation faces many challenges, getting the
right employee and retaining them is the most important one. Thus, Motivation is a single
factor out of many, which wholly affects the performance of the employee and makes it
easier for the organisation to retain them. In addition, if an employee is having a high

Employee Motivation 3
performance due to high extrinsic motivation, it will leads to generation of more and more
profits for the organisation and thus, improvises the reputation of the organisation. However,
more of extrinsic motivation can majorly affects the intrinsic behaviour, as they will not
receive the expected rewards and thus, it will lead to discouragement and dissatisfaction
among the employees and eventually it will hamper growth and goodwill of the organisation
(Law, 2016).
In relation to the above paragraphs, extrinsic motivation helps the employees in satisfying
their basic needs and with time, the level of needs keeps on increasing. Therefore, it has
examined that the extrinsic motivation helps in fulfilling the basic needs of employees
whereas inclusion of intrinsic motivation helps to fulfil the other needs of employees (Rath,
2015) this is further, explained through two-factor theory by Herzberg.
(Source: Teeboom, 2018)

Employee Motivation 4
This theory highlights the two factors, which are motivation and job satisfaction. Herzberg by
critically analysing that people is experiencing their good time with the bad time in their jobs.
In addition, based on this he developed a theory, which depends on two factors. Factors for
satisfaction are the motivators and satisfiers whereas; factors for dissatisfaction are the
hygiene factor and dissatisfiers. Performance, recognition, job status, responsibility and
opportunities all fall under motivators and satisfiers. Hygiene factor is all about salary,
internal relationships with colleagues and affects the relationship between the supervisor and
employees.
During analysing Herzberg theory says that is not conclusive because the professional and
the well skilled workers likes more responsibility and challenging jobs whereas the unskilled
and the lower class people they are more relied on pays and the other factors. Other factor is
job enrichment in which company gives more focuses on giving responsibility to their
employees and ignores job satisfaction. However, managers should restructure their jobs in
order to increase job satisfaction (Teeboom, 2018).
According to me, company at initials should focuses on hygiene factor of motivation in order
to improve the employee performance and as the employees job get secured they should start
focusing on motivational factor. It is every important at the starting stage of employees to
have motivational hygiene factors.
From the above paragraphs, it is determined that, in monetary term employee performances
will definitely airstrike the stars because when they are motivated extrinsically it highlights
the reward driven behaviour, which entails a positive relationship between work motivation
and job performances. Accordingly extrinsic motivation is not enough to gain other benefits
of the organisation, intrinsic motivation within employees is must because they have more
purposeful and meaningful job drives. Therefore, extrinsic motivation has a great impact over

Employee Motivation 5
the employee’s performance, which not only benefits them individually in monetary terms,
but also they help the organisation to earn more and more profits. Consequently, extrinsic
motivation within employee generates and maintains stability, helps organisation for
incrementing their reputation and leads to improve productivity and future trends (Ingram,
2009).
People think that earning money is the only motivational tool, which an organisation uses to
upgrade the employee as well as organisation performance but other than this, there are many
other factors, which influences the employee’s motivation. Along with this, they ensure that
the work done by them is on time and better quality of work (Srivastava, 2016). She states
that only earning money cannot be the tool of motivation, at some particular time employee
do need recognition, job status, responsibility and better performances. Hence, after
analysing, even I think at particular point, for an employee, job status and recognition matters
the most in comparative to the salary and internal relationship with supervisors. Status and
recognition acts as a good motivator for improving the employee performances within an
organisation. By giving a prominent view, money at initial stage is require by every
individual but contradictory to it certain satisfactory motivation aspects cannot be ignored
likewise,
Good relationship with the co-workers directs them to work in unity, have respect for each
other, and add values to the organisation. It directs employee to feel more relaxed and entails
a proper authority and responsibility towards work. Other factor is about leader key role, in
which leader who performs leadership maintains a conducive environment. Basic motive of
the leader is to support, respect, and honour, maintains culture within the organisation and
with its work force; too this motivates the leaders to work with more responsibility (Tracy,
2013).

Employee Motivation 6
The other contradictory point of view talks about significant power of success, which is
career advancement, if an employee is more dedicated towards his/ her work for an
organisation over years he/she should be definitely be rewarded for job performances. In
addition, organisation should give them a chance to upgrade corporate ladder so they can
push themselves towards their achievements along with the accomplishment of organisation
goals. This provides the opportunities to the employees to explore globally and enhance their
personal growth. Main heads or the supervisors should ensure by taking notes in
consideration the efforts of employees and generate opportunities of growth for them
(Thomas, 2009).
According to me, Job security is also generally needed by people in their life which gives
them a sense of stability, this can be achieved when people with their proper efforts towards
their work generates appreciation and an image of stability. Workplace incentives also
generate or influence the employee motivation and add to the tranquillity of the organisation.
A culture, which affects the knowledge sharing, proper communication, respect, helping
hands, leads to the flexibility to engross mistakes and make more elasticity in working within
an organisation and motivates employees to remain associated with the organisation (Turner
and Cheng, 2017).
Other factor, which affects motivation, is learning and development opportunities. This helps
in guiding and educating employees. Thus, progress for positive relationship between
employees and the organisation is must. This entire thing requires desire of learning, craving
for acquiring new skills, which helps in continuing personal development, stimulate higher
performance and improve engagement with company. They also opt for different
development opportunities which company offers at every level, right from learning and
adopting positive results from internal and external programmes and mentorship to which
not only benefits to individual at large but also the company (Michael, 2011).

Employee Motivation 7
Business runs on responsibilities, efficient structure and processes, which are diversified
within employee, which in turns the business conditions upside down and encourages the
higher performance not only for themselves but for company too. Wholly and entirely if an
individual sees, employees spent almost one–third of their day at work, for this the company
is highly responsible for the personal challenges and tough time which an employee faces.
Consequently, company should support its employee members through different motivation
techniques, understand them and their problem and take relevant steps to solve their issues
(Stallion, 2017).
Certain companies have their own regulations and codes of conduct, which are predestined to
support employees in their difficult times like when grief strikes which falls under “work-life
stability” umbrella. All such acts made by the company build trust and generates loyalty
within employees. With such assistance, employees return stronger and more committed
towards work. Other than monetary benefits, company do appreciates non- monetary aspects
by targeting the need of self-actualization, this highlights the meaning behind the work
performed by the individual, creation of ethics, morals and CSR strategy encourages and
guide the employees in search of the meaning towards their work. They have shown the role,
which they play is so mandatory for the organisation and their overall working are considered
and are linked with the organisation’s vision, mission and values, which completely and
positively contributes to the society (Stallion, 2017).
This proofs that a balancing work and personal life that motivates more to employees towards
their work. However, it varies from person to person, some employee need monetary
satisfaction to get motivated and some need more career advancements opportunities to get
motivated so every individual have their different motivation techniques to get linked with
the organisation and to achieve success in both the personal and the organisational aspects.
Some researchers have highlighted that if the current success of an employee is at star,

Employee Motivation 8
company should promote them for promotion that automatically motivates them to work even
harder for themselves for star airstrike (Thomas, 2009).
Certain guidelines, managers and one on one-communication sessions with their employees
also helps in maintaining motivation. Spending quality time with the employees act as huge
enabler for understanding their current motivator’s traits and helps in clarifying the
techniques to be opted to ensure more dedicated employee in future. An overall achievement
made for the organisation, along with this company should also know about the individual’s
strength and weaknesses and thus the company’s culture should formulate so completely that
they should act as good motivation and winning team too (Tracy, 2013).
Overall motivation of employees has entirely based on the success of the organisation. A
current accomplishment of business generates trust in the mind of the employees, where will
the business go in near future surely motivates employees. On personal grounds, individuals
do think of the organisation’s name and fame, which motivates them to work even harder for
the company so that it can enhance its personal growth and leads to the increment in
recognition of the organisation (Rath, 2015).
From the discussion of the above paragraphs, it is determined that extrinsic factors partially
motivate the employees. In order to improve, the overall efficiency of the employees the
company needs both intrinsic (inside motivation comes from promotion, rewards) as well as
extrinsic motivation (outside motivation comes from monetary benefits, fame, praise), which
ultimately leads to the success of the organisation.

Employee Motivation 9
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