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MOTIVATION
Motivation is derived from the Latin word “movere” which means 
‘to move’ , ‘to energize’ or ‘to activate’. 
Motivation refers to all the internal conditions that stir up activity 
and sustain activity of an individual 
GUILFORD 
It is an inner drive that causes you to do something .It controls and 
sustains certain goals directed behaviors. 
Example : HUNGER IS A MOTIVATION THAT ELICITS A DESIRE TO 
EAT. 
A person who is motivated enjoys the work that he/she does. 
EXAMPLE : A STUDENT WHO IS EXCITING ABOUT LEARNING.
MOTIVATION 
POSITIVE NEGATIVE 
also known as INCENTIVE 
MOTIVATION. 
INCENTIVES 
PROMOTIONS 
RECOGNITION OF WORK 
EMPLOYEE OF THE MONTH 
AWARD 
BENEFIT PACKAGES 
ORGANIZED ACTIVITIES 
also known as FEAR 
MOTIVATION. 
DEMOTIONS 
LAY-OFFS 
DISMISSALS 
TRANSFERS 
PENALITIES 
GROUP REJECTIONS
HIGH PERFORMANCE 
motivated employee will put max. 
efforts. 
 high productivity. 
Cost of production can be brought 
down if productivity is raised. 
LOW EMPLOYEE TURNOVER 
 Dissatisfaction leads to increase 
absenteeism. 
 negative image of the company in the 
market. 
BETTER ORGANIZATIONAL 
IMAGE 
 Companies having better image 
are successful in attracting better 
and qualified persons
BETTER INDUSTRIAL 
RELATIONS 
No reasons for conflict. 
 cordial relations among both sides. 
 motivation in employees will lead 
to better industrial relations. 
ACCEPTABILITY TO 
CHANGE 
 If the employees are satisfied 
with their work and are offered 
better avenues then they will not 
things that are suggested by the 
management
Because of rapid globalization over recent years, competition around the world becomes more 
intense, especially for the service industry with similar products. The most critical point for 
business to achieve success is not only the quality of products they supply, but the atmosphere 
of cooperating and the amount yielded from teamwork in retail sales. Therefore, it turns out to 
be essential for companies to motivate, reward and train their employees to be the best quality 
personnel. 
Theturnover rate of employees at Starbucks was 65% and the rate of managers was 25% a 
year However,the rates of other national chain retailers are 150% to 400% and 50% 
respectively. Compared with them, the turnover rate of Starbucks is much lower than other 
industries on average. As a result, Starbucks is one of the optimal business models for 
strategies of employee motivation, customer satisfaction and cooperation of teamwork 
Starbucks Corporation, the most famous chain of retail coffee shops in the world, mainly 
benefit from roasting and selling special coffee beans, and other various kinds of coffee or tea 
drinks. It owns about 4000 branches in the whole world. Moreover, it has been one of the most 
rapid growing corporations in America as well. The reasons why Starbucks is popular worldwide 
are not only the quality of coffee, but also its customer service and cozy environment. 
Starbucks establishes comfortable surroundings for people to socialize with a fair price, which 
attracts all ages of consumers to come into the stores. Besides, it is also noted for its employee 
satisfaction.
The CEO of Starbucks corporation, Howard Schultz, considers that the reason for 
success in Starbucks is not coffee but employees. He firmly believes that the spirit of 
Starbucks is employees and feels honoured about the value of Starbucks employees. 
Starbucks offers an interactive structure that makes personnel throw themselves into 
their job. 
1) Equal treatment: The managers in Starbucks treat each employee equally and 
all of the staff are called ‘partners’, even the supervisors of each branch. In 
order to narrow the gap between managers and employees. 
Due to this, they can create a much closer and more familiar atmosphere than 
other places. Not only do employees enjoy their job but customers are 
also affected by their enthusiasm. 
2) Listen to employees: Starbucks has a well organized communication 
channel for employees. It places great importance on labour. 
For example, managers plan the working hours per workers and arrange the 
schedule of time off, according to the workers wants in order to meet 
their requirements. There are interviews weekly to see what 
employees needs are. The partners have the right to figure out what is the 
best policy for them, and the directors show a respect for each suggestion. 
Starbucks even wants every employee to join in making and developing plans, 
then work together in achieving their goals
3) Good welfare measures: All employees, including informal 
personnel, are offered a great deal of welfare policies, 
for instance 
 commodities discounts for employees, medical insurance 
(including health, vision and dental) and vacations. 
 Starbucks also thinks that debt financing is not the best choice, 
thus it chooses to allocate stock dividends to all employees with a 
free script issue. By this policy, the employees can get benefits 
from the dividends of the company. Because of this, they have the 
same goal 
In other words, they are motivated to increase the sales to earn 
more profits. To Starbucks, the employees are the most important 
asset.
Unhappiness among workers in America is costing a shocking $300 billion per year in lost 
productivity, the Gallup-Healthways estimates. Their recent Well-Being Index shows that 
Americans are increasingly unhappy with their jobs and work environments 
. When people aren’t happy about their jobs or their employers, they don’t show up 
consistently, they produce less, and their work quality suffers. 
 A recent Harvard Business Review article stated that the level of happiness has a profound 
impact on workers’ creativity, productivity, commitment and collegiality. 
CurrentAmerican Psychological Association research findings show that people want 
contentment, love and happiness derived from meaningful work. They want nourishing 
personal relationships, a healthy mind and body, a spiritual core, and a reason for living 
the question is–how?
As A Manager How He/She Can Facilitate Employees’ Happiness And 
Consequently Increase Their Company’s Success? 
1. Money and other Means of Value Exchange 
 most effective motivator for increased performance and creativity is 
when one feels that their work have meaning and value. 
Show people how their jobs impact the overall success of the 
company’s mission 
2. Relationships 
 Structure a participatory workplace environment and allow for some 
flexibility in work hours so that your associates have the ability to 
adjust their schedules when it is needed. 
When people feel that they are respected and trusted to perform at a 
high level, it encourages them to strive to do even better
3. Body 
The American Psychology Association tells us that stress is the 
biggest cause of illness today, and oftentimes workplace stress is the 
primary culprit. 
 Encourage everyone to take their allotted vacation days; time away 
rejuvenates the mind and body, and they will return refreshed and 
energized. 
4. Community 
When your company is actively involved in the surrounding 
community you have a source of local support. 
For example, if your company sells products or services to small 
businesses, volunteer providing consulting arm to non-profit or small 
businesses. This will contribute to the wellbeing of your community and 
also give you valuable input about your customers’ needs and concerns 
while strengthening your business network.
5. Spirit 
When people feel respected for who they are and what they believe, 
they are happier and more productive individuals. 
Increased productivity through happier employees can be realized 
with a modicum of energy exerted, by you and your organization’s 
leadership, in the above five areas.
MBO 
Employee 
recognition 
programmes 
Employee 
involvement 
programmes 
Variable pay 
programmes Skill based 
pay plans 
Flexible 
benefit 
Motivating 
diversified 
workforce 
Motivating the 
Low-Skilled 
Service Worker

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motivation

  • 2. Motivation is derived from the Latin word “movere” which means ‘to move’ , ‘to energize’ or ‘to activate’. Motivation refers to all the internal conditions that stir up activity and sustain activity of an individual GUILFORD It is an inner drive that causes you to do something .It controls and sustains certain goals directed behaviors. Example : HUNGER IS A MOTIVATION THAT ELICITS A DESIRE TO EAT. A person who is motivated enjoys the work that he/she does. EXAMPLE : A STUDENT WHO IS EXCITING ABOUT LEARNING.
  • 3. MOTIVATION POSITIVE NEGATIVE also known as INCENTIVE MOTIVATION. INCENTIVES PROMOTIONS RECOGNITION OF WORK EMPLOYEE OF THE MONTH AWARD BENEFIT PACKAGES ORGANIZED ACTIVITIES also known as FEAR MOTIVATION. DEMOTIONS LAY-OFFS DISMISSALS TRANSFERS PENALITIES GROUP REJECTIONS
  • 4. HIGH PERFORMANCE motivated employee will put max. efforts.  high productivity. Cost of production can be brought down if productivity is raised. LOW EMPLOYEE TURNOVER  Dissatisfaction leads to increase absenteeism.  negative image of the company in the market. BETTER ORGANIZATIONAL IMAGE  Companies having better image are successful in attracting better and qualified persons
  • 5. BETTER INDUSTRIAL RELATIONS No reasons for conflict.  cordial relations among both sides.  motivation in employees will lead to better industrial relations. ACCEPTABILITY TO CHANGE  If the employees are satisfied with their work and are offered better avenues then they will not things that are suggested by the management
  • 6. Because of rapid globalization over recent years, competition around the world becomes more intense, especially for the service industry with similar products. The most critical point for business to achieve success is not only the quality of products they supply, but the atmosphere of cooperating and the amount yielded from teamwork in retail sales. Therefore, it turns out to be essential for companies to motivate, reward and train their employees to be the best quality personnel. Theturnover rate of employees at Starbucks was 65% and the rate of managers was 25% a year However,the rates of other national chain retailers are 150% to 400% and 50% respectively. Compared with them, the turnover rate of Starbucks is much lower than other industries on average. As a result, Starbucks is one of the optimal business models for strategies of employee motivation, customer satisfaction and cooperation of teamwork Starbucks Corporation, the most famous chain of retail coffee shops in the world, mainly benefit from roasting and selling special coffee beans, and other various kinds of coffee or tea drinks. It owns about 4000 branches in the whole world. Moreover, it has been one of the most rapid growing corporations in America as well. The reasons why Starbucks is popular worldwide are not only the quality of coffee, but also its customer service and cozy environment. Starbucks establishes comfortable surroundings for people to socialize with a fair price, which attracts all ages of consumers to come into the stores. Besides, it is also noted for its employee satisfaction.
  • 7. The CEO of Starbucks corporation, Howard Schultz, considers that the reason for success in Starbucks is not coffee but employees. He firmly believes that the spirit of Starbucks is employees and feels honoured about the value of Starbucks employees. Starbucks offers an interactive structure that makes personnel throw themselves into their job. 1) Equal treatment: The managers in Starbucks treat each employee equally and all of the staff are called ‘partners’, even the supervisors of each branch. In order to narrow the gap between managers and employees. Due to this, they can create a much closer and more familiar atmosphere than other places. Not only do employees enjoy their job but customers are also affected by their enthusiasm. 2) Listen to employees: Starbucks has a well organized communication channel for employees. It places great importance on labour. For example, managers plan the working hours per workers and arrange the schedule of time off, according to the workers wants in order to meet their requirements. There are interviews weekly to see what employees needs are. The partners have the right to figure out what is the best policy for them, and the directors show a respect for each suggestion. Starbucks even wants every employee to join in making and developing plans, then work together in achieving their goals
  • 8. 3) Good welfare measures: All employees, including informal personnel, are offered a great deal of welfare policies, for instance  commodities discounts for employees, medical insurance (including health, vision and dental) and vacations.  Starbucks also thinks that debt financing is not the best choice, thus it chooses to allocate stock dividends to all employees with a free script issue. By this policy, the employees can get benefits from the dividends of the company. Because of this, they have the same goal In other words, they are motivated to increase the sales to earn more profits. To Starbucks, the employees are the most important asset.
  • 9. Unhappiness among workers in America is costing a shocking $300 billion per year in lost productivity, the Gallup-Healthways estimates. Their recent Well-Being Index shows that Americans are increasingly unhappy with their jobs and work environments . When people aren’t happy about their jobs or their employers, they don’t show up consistently, they produce less, and their work quality suffers.  A recent Harvard Business Review article stated that the level of happiness has a profound impact on workers’ creativity, productivity, commitment and collegiality. CurrentAmerican Psychological Association research findings show that people want contentment, love and happiness derived from meaningful work. They want nourishing personal relationships, a healthy mind and body, a spiritual core, and a reason for living the question is–how?
  • 10. As A Manager How He/She Can Facilitate Employees’ Happiness And Consequently Increase Their Company’s Success? 1. Money and other Means of Value Exchange  most effective motivator for increased performance and creativity is when one feels that their work have meaning and value. Show people how their jobs impact the overall success of the company’s mission 2. Relationships  Structure a participatory workplace environment and allow for some flexibility in work hours so that your associates have the ability to adjust their schedules when it is needed. When people feel that they are respected and trusted to perform at a high level, it encourages them to strive to do even better
  • 11. 3. Body The American Psychology Association tells us that stress is the biggest cause of illness today, and oftentimes workplace stress is the primary culprit.  Encourage everyone to take their allotted vacation days; time away rejuvenates the mind and body, and they will return refreshed and energized. 4. Community When your company is actively involved in the surrounding community you have a source of local support. For example, if your company sells products or services to small businesses, volunteer providing consulting arm to non-profit or small businesses. This will contribute to the wellbeing of your community and also give you valuable input about your customers’ needs and concerns while strengthening your business network.
  • 12. 5. Spirit When people feel respected for who they are and what they believe, they are happier and more productive individuals. Increased productivity through happier employees can be realized with a modicum of energy exerted, by you and your organization’s leadership, in the above five areas.
  • 13. MBO Employee recognition programmes Employee involvement programmes Variable pay programmes Skill based pay plans Flexible benefit Motivating diversified workforce Motivating the Low-Skilled Service Worker