Friday, June 18, 2010

Employee Motivation- Cash or non cash incentives

Employee motivation is a major factor that plays a vital role in the success and downfall of any organization.

The key to employee motivation lies in appreciation, recognition, satisfaction, inspiration and compensation.

Building Satisfaction

There is an indisputable chain between satisfied, motivated employees, and satisfied customers. If you will focus on satisfaction of employees, it will motivate them and these motivated employees will satisfy your customers.

Through Recognition

Many people are hungry for genuine recognition than monetary benefit. Some people are motivated to grab an opportunity to get their name on the wall, receive a trophy, or get a certificate of appreciation by the company. It satisfies them with an "emotional recognition" for their deeds.

Look for plans and schemes to increase employee motivation by recognizing excellence in the workplace. Set some target. Distribute awards for attendance records, best achiever or best performer. It is not inexpensive, still extremely effective to motivate your employees.

Through Inspiration

Set a mission, i.e., know where you are leading. Be committed and passionate about your mission. If you don't get excited, how your employees could be! Explain the mission, its value and importance to the marketplace.

Ensure that every employee understand how they fit into the paradigm of fulfilling the organization's mission. Make the link between the mission and the individual values and set targets of your employees.

Genuine Appreciation

At times, managers inadvertently crush employee motivation by failing to appreciate the positive acts and achievements of their employees.

Senior Managers can improve employee motivation by rewarding employees with personal attention. This can be comprised of a hand-written letter, a pat on the back, or a quick comment in the meeting.

Showing specific appreciation is important. Individual and specific appreciation is more effective than a mass appreciation.

It makes the employer more sincere, and the employee realize their actions are truly being noticed.

Through Compensation

Monetary benefit motivates some employees. In fact, a big chunk of employees is motivated by money. It can come in the shape of raises, commissions, profit sharing, bonuses, incentives or any number of "extra perks" like, automobiles, vacations, or other tangible items purchased and given as rewards.

Reading the Employees' Different Motivation Factors

Not every employee is motivated by the same factor. Utilizing all five - satisfaction, recognition, inspiration, appreciation, and compensation guarantees that the organization's success along with the success of employees.

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