motivation & leadership

• motivated staff

  pride in work, increased productivity, lower absenteeism, higher quality production, lower staff turnover, better reputation of company
• extrinsic motivation

  to earn a reward or avoid a punishment
• intrinsic motivation

  for one's own sake and personal rewards
• methods of motivation

  financial and non-financial
• financial motivation

  time rate motivates employees to work more hours, piece rate motivates employees to work faster, commission (percentage of the value of their sales) motivates employees to sell more, performance pay motivates employees to reach a standard or target to get a raise or bonus, profit sharing (where employees receive a share or percentage of the organisation's profit) motivates them to work more productively so the firm will have more profit
• non-financial motivation

  flexible working practices help staff to achieve a good work-life balance, positive work environment helps keep employees motivated and comfortable, training and development help make employees feel valued, promotion routes keep them motivated and working hard, job enrichment such as more responsibility or demanding tasks help keep them motivated to succeed, fringe benefits (additional benefits) such as free school, gym, car, insurance keep them motivated
• motivational theories

  Maslow, Hertzberg
• Maslow's hierarchy of needs

  5 sets of needs (basic to higher order): physiological needs, safety and security, love and belonging, self-esteem, self-actualisation, as each need is satisfied we are motivated to fulfil the next set
• physiological needs


  basic needs for bodily functions and staying alive
• physiological needs for staff

  living wage, safe working environment, access to toilets and running water
• safety and security

  to feel financially and physically safe at work and home
• safety and security for staff

  safe working conditions, job security, fair wage rises in line with inflation
• love and belonging

  social needs such as friends and family
• love and belonging for staff

  good team atmosphere, open plan offices, friendly supervision
• self-esteem

  to feel worthy and respected
• self-esteem for staff

  job title which stands out, public recognition of achievements
• self-actualisation

  to realise potential and have status in life
• self-actualisation for staff

  opportunities for creativity, personal growth, and promotion
• Hertzberg

  employees are motivated by motivator factors and hygiene factors
• hygiene factors

  do not motivate employees but lower motivation if not met, include job security, cleanliness, supervision, good policies
• motivator factors

  increases motivation, include potential for promotion and delegated responsibility
• autocratic leadership

  managers make all decisions without consulting employees, decisions are made from top down, employees are told what to do
• laissez-faire leadership

  managers let employees get on with their jobs with little interference, employees can make decisions and solve problems with little guidance from management, management only steps in if needed
• democratic leadership

  managers and employees work together to make decisions, consultative management style, employees are encouraged to communicate ideas to management
• advantages of autocratic leadership

  decisions are made quickly, decisions made by most experienced members of the organisation, employees have clear instructions of requirements
• disadvantages of autocratic leadership

  employees ideas and creativity may not be considered, employees become demotivated by lack of input or responsibility, amount of decision making can be stressful for managers
• advantages of laissez-faire leadership

  effective where staff are highly skilled and motivated, employees may feel empowered and motivated by their responsibility, leaves room for innovative decision making
• disadvantages of laissez-faire leadership

  poor performance if inexperienced staff are left without direction, employees feel pressured if there is no support leading to demotivation and stress, unclear who takes responsibility
• advantages of democratic leadership

  employees are empowered and highly motivated, employees are better prepared for motivation, employees are more accepting of change within the organisation
• disadvantages of democratic leadership

  decision making takes time, strong leader is needed to lead discussions and supervise employees