ERG theory helps to explain why a lower-level need can become activated when a higher-level need cannot be satisfied. E.g., if an individual is frustrated in trying to move forward in their growth needs (career advancement), relatedness needs can become key motivations.
The essence of performance-contingent pay is that you earn more when you produce more, and earn less when you produce less. However, a recent research study has shown that only 48% of managers agreed that this was the reality.
Owning stock options can be financially motivating to employees and serve as an incentive to contribute to the organization’s success.
The incentive value for the employee who has a financial stake in the company is motivating. Considering the expectancy theory of motivation, there is a strong effort>performance>reward linkage.