Compensation and Motivation
Compesation and Motivation
Dr. B Smith
In the 1960’s, Abraham Maslow and Frederick Hersberg claimed that compensation did not motivate, bur rather dissatisfied. If we define their use of the word compensation to include only base compensation, then findings still show true today. The best motivator is the work itself, but other forms of compensation such as profit sharing, health benefits, bonuses, stock options, and deferred compensation would come second to that. (Winning, Incentive Compensation and Motivation). With the current economy, many are more motivated by job security over compensation, but at the same time, compensation ...view middle of the document...
An employer must understand their employees because each person has their own likes and dislikes, passions, interests, and desire. “The role of a successful manager is to learn how to identify what motivates each employee, and learn how to leverage those motives to simultaneously fulfill the goals of the organization, as well as the goals of each employee” (Maroney, Employee Motivation – The 5 Master Keys for Success). Concentrating on this last master key of motivation, Maroney concurs with Winning in that most people are motivated by the basic needs of money, to include security.
An employer must take action on an employee’s motivation, whether that motivation involves some sort of compensation or a just a genuine thank your for a job well done. Motivation is so important in the work environment and is a factor in retaining your most skilled employees. Retention of these employees is one of the keys to a successful business. Although employers seem to be more at power in today’s job market, a skilled...