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Top 9
Factors that impact
employee motivation
Receiving regular payment, especially in reference to permanent employees,
is considered a basic need that is expected to be satisfied by an employer.
However, salary on its own is a short term satisfied. In the longer term salary
isn’t a factor that increases performance and a promise of getting a pay rise
frequently has only a temporary impact.
However, if the salary is lower than an employee would expect, it could cause
dissatisfaction and disengagement. While earning an ‘equitable’ salary might
not motivate employees to perform better, it will reduce the risk of them feeling
resentful or frustrated by the job.
SALARY
Non-financial rewards are a way of satisfying employees’ ego and self-actualization needs.
These are often used to:
• Acknowledge extraordinary performance.
• Recognize achievement.
• Increase morale.
• Create a positive work environment.
• Motivate high performance.
According to research conducted by the Industrial Relations Services, non-monetary rewards
help to fulfil organisational objectives at a relatively low cost. What’s more, some non-financial
incentives can be executed almost immediately as opposed to financial rewards, which can take
weeks or months to take effect.
NON-MONETARY INCENTIVES
There is a wide range of different non-financial incentives that can be used by managers:
• Simple “thank you” - either said directly to an employee or, better still, sent in written
form and preferably hand-written.
• Public appreciation and acknowledgement of a job or task well done.
• Rewarding an employee with a title of a “star of the month” or employee of the month”.
• Vouchers or tangible goods.
• Flexible working arrangements.
• The opportunity to work from home.
• Free or subsidized meals, fruit or drinks.
NON-MONETARY INCENTIVES
As employees spend one-third of their day at work, relationships and interactions they
have with their colleagues can significantly impact their mood and outlook. Negative
experiences or attitudes will eventually lead to isolation and loneliness, making it more
difficult to find satisfaction from work, which in turn will decrease motivation.
Employee’s social needs linked to their desire to be accepted and to belong to a community
can be used to build strong and loyal teams that will achieve higher results by cooperating
on the basis of common understanding.
To stimulate the development of positive work relationships, it’s advised to focus on team
building activities that will allow employees get to know each other better:
Brainstorming sessions in or outside of the office that allow anyone to speak freely,
openly and honestly.
Team lunches or dinners, and social events such as Christmas parties.
Bowling, river cruises, comedy clubs, physically challenging activities or other activities that
the team could attend together. Care should be taken to select and plan events taking into
account all team members’ abilities. Using an external facilitator for team building who might
offer: ice breakers, discussion topics, games or similar techniques.
RELATIONSHIP WITH COLLEAGUES
Each employee has a hierarchy of needs that should be addressed and the
responsibility of understanding those needs lays with their line manager.
The basis for effective communication between the two parties is two-sided
trust. Relationships built on this foundation will help employees to honestly
and openly talk about their needs, thoughts and feelings, which in turn will
give the line managers clear direction on how to support and motivate their
team members.
RELATIONSHIP WITH LEADERSHIP
According to survey conducted by the Harvard Business Review, the reasons
behind why employees work determines how well they perform. Employees
are conscious of their company’s culture and learn and align their professional
goals with the organization’s goals, which becomes their answer to the
question: “why we do what we do”. The extent to which employees align with
the goals set by their employer is directly impacted by the strength and clarity
of their employer’s mission statement and values.
Any lack of belief or understanding of the employer’s goals is one of the major
causes of low job satisfaction, negative attitude and lower commitment. On the
other hand, employees who are aligned with the culture are generally more
happy in their roles, achieve better result and fulfillment.
A company’s culture comes down to 6 main elements: work environment,
company mission, value, ethics, expectations and goals. In practice, the culture
is just a set of rules or accepted behaviours that help employees make decisions
everyday. While every company would have their own unique set of features,
values and beliefs, culture is always about making sure that the employees have
a productive and enjoyable working environment.
COMPANY’S CULTURE
Self-actualisation is a natural by product of high performance. Most employees
Naturally want to do a good job to feel they are achieving their full potential.
Learning & Development (L&D) is a way of educating and guiding your employees
on the areas and aspects that will help them develop and progress.
The subject of personal and professional development is especially important to
Generation Y - a recent M3S survey has shown that the desire to learn, acquire new
skills and continue personal development is one of the reasons millennials choose
toleave their employer. According to the research, the lack of professional and/or
personal development is one of the main causes of job dissatisfaction among
this group.
On the other hand, L&D can stimulate higher performance and improve engagement
as long as the company offers development opportunities at every level - from
learning on the job, through mentorship, shadowing and specific internal or external
training programmes.
LEARNING AND DEVELOPMENT OPPORTUNITIES
While processes on their own aren’t a motivational tool, they are closely
linked to the areas that impact desire, enthusiasm and willingness of the
employees. The workload, division of responsibilities, access to resources
and accountability all depends on the structure and efficiency of the
processes on which the business runs.
Efficient processes stimulate workers, allowing them to work effectively and
efficiently and by reducing the amount of potential blockers. At each stage of
the process an individual should be aware of what’s expected from them and
what resources are available. Making sure that an employee feels responsible
for the outcomes of their work is crucial in building work engagement and
stimulating higher performance.
PROCESSES WITHIN THE COMPANY
According to a research by Bensinger, DuPont & Associates, 47% of employees state that
problems in their personal lives affect their work performance. Personal challenges can
cause issues with concentration, poor attention, lack of engagement and even
absenteeism.
As employees spend ⅓ of their days at work, there’s a lot that an employer and/or a
manager can do to support members of their team who are going through a tough time.
Being patient and understanding towards them is the first step.
Most organisations have clear policies, procedures or guidelines that specify how
employees can be supported during difficult times. These often fall under “work-life
balance” umbrella and are especially helpful in situations when bereavement or grief
strikes, including flexible working, paid time off or Employee Assistance Programs.
By offering support and understanding, as well as guiding employees through the hard
times, it is possible to build trust and loyalty within people who frequently will return
stronger and more committed. Making their professional career another challenge to
deal with and manage might create the opposite result and as an employer, you may
never regain their trust and commitment.
PERSONAL LIFE
As in case of non-monetary incentives, motivation through meaning targets the need of
self-actualisation. Finding meaning is an existential question and according to research,
including Deloitte’s Talent 2020 series, performing meaningful work is one of the top 3
motivational drivers.
Finding the meaning behind work turns out to be linked to being able to make a difference
to humanity through the job. By creating a culture of ethics, morals and establishing a CSR
strategy, companies can encourage and guide their employees in the search of meaning.
Another element to consider is educating employees on the values and the mission of
the organisations they work for - the foundation of seeing the meaning is understanding
why the company does what it does and how it makes a difference. Another aspect is
showing how the employees the role they play within the company links to the Company’s
vision, mission and values. By helping employees understand how they make an impact
on the business and through that how they contribute to society is a clear and simple
way of giving them a purpose.
PERFORMING MEANINGFUL WORK
Created by M3S Total Talent Solutions
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Top 9 factors that impact employee motivation

  • 1. Top 9 Factors that impact employee motivation
  • 2. Receiving regular payment, especially in reference to permanent employees, is considered a basic need that is expected to be satisfied by an employer. However, salary on its own is a short term satisfied. In the longer term salary isn’t a factor that increases performance and a promise of getting a pay rise frequently has only a temporary impact. However, if the salary is lower than an employee would expect, it could cause dissatisfaction and disengagement. While earning an ‘equitable’ salary might not motivate employees to perform better, it will reduce the risk of them feeling resentful or frustrated by the job. SALARY
  • 3. Non-financial rewards are a way of satisfying employees’ ego and self-actualization needs. These are often used to: • Acknowledge extraordinary performance. • Recognize achievement. • Increase morale. • Create a positive work environment. • Motivate high performance. According to research conducted by the Industrial Relations Services, non-monetary rewards help to fulfil organisational objectives at a relatively low cost. What’s more, some non-financial incentives can be executed almost immediately as opposed to financial rewards, which can take weeks or months to take effect. NON-MONETARY INCENTIVES
  • 4. There is a wide range of different non-financial incentives that can be used by managers: • Simple “thank you” - either said directly to an employee or, better still, sent in written form and preferably hand-written. • Public appreciation and acknowledgement of a job or task well done. • Rewarding an employee with a title of a “star of the month” or employee of the month”. • Vouchers or tangible goods. • Flexible working arrangements. • The opportunity to work from home. • Free or subsidized meals, fruit or drinks. NON-MONETARY INCENTIVES
  • 5. As employees spend one-third of their day at work, relationships and interactions they have with their colleagues can significantly impact their mood and outlook. Negative experiences or attitudes will eventually lead to isolation and loneliness, making it more difficult to find satisfaction from work, which in turn will decrease motivation. Employee’s social needs linked to their desire to be accepted and to belong to a community can be used to build strong and loyal teams that will achieve higher results by cooperating on the basis of common understanding. To stimulate the development of positive work relationships, it’s advised to focus on team building activities that will allow employees get to know each other better: Brainstorming sessions in or outside of the office that allow anyone to speak freely, openly and honestly. Team lunches or dinners, and social events such as Christmas parties. Bowling, river cruises, comedy clubs, physically challenging activities or other activities that the team could attend together. Care should be taken to select and plan events taking into account all team members’ abilities. Using an external facilitator for team building who might offer: ice breakers, discussion topics, games or similar techniques. RELATIONSHIP WITH COLLEAGUES
  • 6. Each employee has a hierarchy of needs that should be addressed and the responsibility of understanding those needs lays with their line manager. The basis for effective communication between the two parties is two-sided trust. Relationships built on this foundation will help employees to honestly and openly talk about their needs, thoughts and feelings, which in turn will give the line managers clear direction on how to support and motivate their team members. RELATIONSHIP WITH LEADERSHIP
  • 7. According to survey conducted by the Harvard Business Review, the reasons behind why employees work determines how well they perform. Employees are conscious of their company’s culture and learn and align their professional goals with the organization’s goals, which becomes their answer to the question: “why we do what we do”. The extent to which employees align with the goals set by their employer is directly impacted by the strength and clarity of their employer’s mission statement and values. Any lack of belief or understanding of the employer’s goals is one of the major causes of low job satisfaction, negative attitude and lower commitment. On the other hand, employees who are aligned with the culture are generally more happy in their roles, achieve better result and fulfillment. A company’s culture comes down to 6 main elements: work environment, company mission, value, ethics, expectations and goals. In practice, the culture is just a set of rules or accepted behaviours that help employees make decisions everyday. While every company would have their own unique set of features, values and beliefs, culture is always about making sure that the employees have a productive and enjoyable working environment. COMPANY’S CULTURE
  • 8. Self-actualisation is a natural by product of high performance. Most employees Naturally want to do a good job to feel they are achieving their full potential. Learning & Development (L&D) is a way of educating and guiding your employees on the areas and aspects that will help them develop and progress. The subject of personal and professional development is especially important to Generation Y - a recent M3S survey has shown that the desire to learn, acquire new skills and continue personal development is one of the reasons millennials choose toleave their employer. According to the research, the lack of professional and/or personal development is one of the main causes of job dissatisfaction among this group. On the other hand, L&D can stimulate higher performance and improve engagement as long as the company offers development opportunities at every level - from learning on the job, through mentorship, shadowing and specific internal or external training programmes. LEARNING AND DEVELOPMENT OPPORTUNITIES
  • 9. While processes on their own aren’t a motivational tool, they are closely linked to the areas that impact desire, enthusiasm and willingness of the employees. The workload, division of responsibilities, access to resources and accountability all depends on the structure and efficiency of the processes on which the business runs. Efficient processes stimulate workers, allowing them to work effectively and efficiently and by reducing the amount of potential blockers. At each stage of the process an individual should be aware of what’s expected from them and what resources are available. Making sure that an employee feels responsible for the outcomes of their work is crucial in building work engagement and stimulating higher performance. PROCESSES WITHIN THE COMPANY
  • 10. According to a research by Bensinger, DuPont & Associates, 47% of employees state that problems in their personal lives affect their work performance. Personal challenges can cause issues with concentration, poor attention, lack of engagement and even absenteeism. As employees spend ⅓ of their days at work, there’s a lot that an employer and/or a manager can do to support members of their team who are going through a tough time. Being patient and understanding towards them is the first step. Most organisations have clear policies, procedures or guidelines that specify how employees can be supported during difficult times. These often fall under “work-life balance” umbrella and are especially helpful in situations when bereavement or grief strikes, including flexible working, paid time off or Employee Assistance Programs. By offering support and understanding, as well as guiding employees through the hard times, it is possible to build trust and loyalty within people who frequently will return stronger and more committed. Making their professional career another challenge to deal with and manage might create the opposite result and as an employer, you may never regain their trust and commitment. PERSONAL LIFE
  • 11. As in case of non-monetary incentives, motivation through meaning targets the need of self-actualisation. Finding meaning is an existential question and according to research, including Deloitte’s Talent 2020 series, performing meaningful work is one of the top 3 motivational drivers. Finding the meaning behind work turns out to be linked to being able to make a difference to humanity through the job. By creating a culture of ethics, morals and establishing a CSR strategy, companies can encourage and guide their employees in the search of meaning. Another element to consider is educating employees on the values and the mission of the organisations they work for - the foundation of seeing the meaning is understanding why the company does what it does and how it makes a difference. Another aspect is showing how the employees the role they play within the company links to the Company’s vision, mission and values. By helping employees understand how they make an impact on the business and through that how they contribute to society is a clear and simple way of giving them a purpose. PERFORMING MEANINGFUL WORK
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