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Business IGCSE
Unit 2
Motivation Theories
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Motivation Theories
Present different views on the role of
money
in
motivating
staff, and how
non-financial
factors
may drive workers to
improve
their
effort
and
output
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The Main Theories of Motivation
Taylor's
Scientific
Management
Maslow's
Hierarchy
of
Needs
Herzberg's
Two
Factor
Theory
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Taylor's
Scientific Management
Workers are
motivated
mainly by
pay
They need
tightly-defined
tasks and close
supervision
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Maslow's Hierarchy of Needs
People move through
levels
of
needs
that
motivate
them
Once a
need
is met, it no longer serves to
motivate
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Herzberg's
Two Factor Theory
Money is not a
motivator
but a lack of money leads to
dissatisfaction
Workers are motivated by factors such as the opportunity to
develop
their
skills
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Taylor's
Theory of
motivation
Explanation :
Developed the scientific management in the early 20th Century, focuses on breaking large tasks into smaller ones, providing workers with clear instructions and training to achieve maximum efficiency
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Businesses utilizing Taylor's
principles
Many
manufacturing
businesses use piece rate pay systems
Production lines involving human labour
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Taylor's
method
1.
Study
and
analyse
the work process
2.
Standardise
the work process
3.
Select
and
train
workers
4. Provide
incentives
for
performance
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Maslow's Hierarchy of Human Needs
Explanation :
Outlines five tiers of human needs that must be met for individuals to reach their full potential
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Maslow's Hierarchy of
Needs
Physiological
Needs
Safety
Needs
Love
and
Belonging
Needs
Esteem
Needs
Self Actualisation
Needs
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Herzberg's two factor theory
Suggests that two influencers determine
employee
motivation
and
job
satisfaction
:
hygiene
factors and
motivators
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Hygiene
factors
Working
conditions
Coworker
Relations
Policies
and
Rules
Supervisor
Quality
Base wage
,
Salary
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Motivator factors
Achievement
Recognition
Responsibility
Work itself
Personal Growth
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Using Hygiene factors
1. Pay
fair wages
/
salaries
2. Offer
excellent working conditions
3. Offer
employment contracts
which provide
job security
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Using Motivation Factors
1. Build a
recognition
and
rewards
culture
2. Offer
opportunities
for
growth
and
development
3. Provide
challenging
work
which requires
problem-solving
4. Implement
job
rotation
/
delegation
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Advantages of
Maslow‘s
theory:
Meeting employees needs establishes a
satisfying work environment
that needs to increase productivity and
lower
staff turnover
Offering
incentives
that matched their specific needs and desires improves staff
loyalty
employees feel
valued
and supported by their employers, so that they perform at a
higher
level
Disadvantages of Maslow’s theory:
businesses need to
tailor
their approach to meet the individuals needs
It can be
costly
to meet all the employees needs
determining the best way to
motivate
, requires significant
effort
from management
Advantages of Taylor’s theory
Increased
efficiency
, lowers
cost
Standard procedures
that everyone follows reduces
inconsistencies
Clear hierarchy leads to greater
efficiency
and
efficient
decision-making
Training and
development
improves employee performance, and job
satisfaction
Disadvantages of
Taylor‘s
Theory
over emphasizes
uni-and
reduces worker
satisfaction
and creativity
Workers may
disengage
from work if they work in the machine-like system
potential for
exploitation
of workers