HR CHALLENGES IN A GLOBAL WORKFORCE

 HR CHALLENGES IN A GLOBAL WORKFORCE

 

The human resource managers are the key people in the industry.

They play an important role to bridge the expectations of the employers with the aspiration level of the employees in the organization.

Liberalization, privatization, and globalization have brought subtle changes to the industries. The industries have been opened to the global competition with the resources, manpower and technology available to them.

In such a competitive global scenario the industries require suitable human resource personnel. They evolve suitable methods to tackle the issues arising out of changed situation by including
factors like strategy, staffing, organizing, leading, management development, organization
culture and climate, performance evaluation and compensation management.

However, in the changing global environment the challenges before the HR managers expect their strategic skills to prove their competence in the industry. 

The factors like workforce diversity, cultural differences, organization’s style and strategies paves way to the concept of ‘Global HRM’. 

Organizations today are a part of a global village with evolving technology. There is a vast paradigm shift in the way we work, interact, and perceive.  It pushes the HR department to expand its horizons to acquire the best talent.

It is a challenge to manage a global workforce.IIt is essential to have a strategic plan to manage talent, mobility, and cultural diversity. According to the world economic forum’s warning, we are entering an era of unparalleled talent scarcity.Organizations today not only need to hire, sustain, and retain talent, but they need to be flexible enough to set up where the best talent is available at the best price. papeditor. “HR Challenges in a Global Workforce | Profiles Asia Pacific.” Profiles Asia Pacific, 22 Dec. 2020, www.profilesasiapacific.com/2020/12/22/global-workforce-hr-challenges.

Challenges for HR Managers

Adapting to Change

Organizations are adapting to the transformation of the global village.
The technology is also evolving, which comes out as a challenge to adapt and implement change.
Entire workforce must acquaint with the changes as well.

Work Culture and Environment

When the business is on the path of expansion, it will acquire and merge with different people, governments, and businesses.
During all of this hustle and bustle, it is a challenge to concentrate on setting up a high work culture and sustain a positive work environment.

Setting up the Right Ethics and Values

Ethics and value play a fundamental role in business success.
Having a diverse workforce gets people from different backgrounds together.
It is a challenge to align your workforce with your organization’s goals.
The best way they can achieve this is to set the best practices to increase longevity.

Maintaining a Low employee turnover Rate

Any organization invests a lot of time and money to hire and train the right people that are fit for the job.
Globalization has increased the number of opportunities in the market. Resources change for better opportunities or financial growth.
The organization will have to start again from scratch to hire and train.
It is a big challenge for HR managers to keep a low turnover rate.

Work-life Balance

Having a balance in professional and personal life is crucial for happiness and stability.
HR managers have a huge responsibility to create a perfect balance between work and personal life.
Perfect balance helps to boost productivity and retention rate.

Stress and Conflict

Globalization has fueled competitiveness and made things faster.
It also has increased the number of working hours, higher targets, and competition.
It is the responsibility of the HR department to reduce stress and solve conflicts if any arise.
It is a challenge for them to keep the tension and conflicts minimum level.

Needed Organization Restructures

The world is moving at high pace organizations need to adapt to the pace and restructure the workforce effectively.
It is a challenge for managers to restructure their processes.

References

global-workforce-hr-challenges (Online) available from https://www.profilesasiapacific.com/2020/12/22/global-workforce-hr-challenges/  (accessed on 30/11/2022)
 
What Is Global Human Resource Management?  (Online / youtube) available fromhttps://www.youtube.com/watch?v=gxrnFAgRfjE&t=8s   (accessed on 30/11/2022)
 
Emerging Motivations for Global HRM Integration (online) available from https://link.springer.com/chapter/10.1057/9780230502307_5 (accessed on 30/11/2022)

What are the major challenges of International HRM in 2022?  (online) available fromhttps://globalonline.mmu.ac.uk/news-and-events/what-are-the-major-challenges-of-international-hrm-in-2022/ (accessed on 30/11/2022)

10 challenges HR faces in a global company (online) available from https://corp.smartbrief.com/original/2015/08/10-challenges-hr-faces-global-company (accessed on 30/11/2022)

Monetary and Non-Monetary Factors of Motivation

 Introduction - Monetary and Non - Monetary Motivations

 Managers are constantly searching for ways to create a motivational environment where employees can work at their optimal levels to accomplish company objectives. 

Workplace motivators include both monetary and non-monetary incentives. 

Monetary incentives can be diverse while having a similar effect on employees. 

Because it has been suggested that employees, depending on their age, have different needs pertaining to incentives, traditional incentive packages are being replaced with alternatives to attract younger employees. 

Whether you are a small business owner or a human resource professional you will find it essential and advantageous to incentivize your employees occasionally to ensure a smooth running, effectiveness, and expansion of your business. Incentivizing brings great benefits. It enhances employee morale and renews dedication which in turn cultivates efficiency, higher productivity, better customer service, and results in greater sales revenues and ultimately profits. Incentives can be categorized into two – monetary and non-monetary incentives. Monetary incentives are quite straightforward and represent quantifiable cash benefits. Non-monetary incentives come in the form of opportunities or tangible gifts which have an underlying monetary value as well.

(staff, T. compared 2020. Monetary vs non-monetary incentives)

Monetary Incentives

The purpose of monetary incentives is to reward employees for excellent job performance through money.

Monetary incentives include profit sharing, project bonuses, stock options and warrants, scheduled bonuses (e.g., Christmas and performance-linked)

Traditionally, these have helped maintain a positive motivational environment for employees.
 

Non- monetary Incentives

The purpose of non - monetary incentives is to reward associates for excellent job performance through opportunities.

 Non - monetary incentives include flexible work hours, training and education, a pleasant work environment, and sabbaticals.

 

Difference between monetary and non-monetary incentives

The main points of difference between monetary and non-monetary incentives are given below:
 

Monetary versus non-monetary incentives – tabular comparison

A tabular comparison of monetary and non-monetary incentives is provided below

• Have different forms

Monetary incentives take the form of measurable hard cash benefits.    

Non-monetary incentives take the form of opportunities or tangible gifts with primary monetary value.

• How they influence employee behavior

Monetary incentives encourage compliance in employees for the achievement of benchmark.    

Non-monetary incentives they encourage risk-taking and innovation to surpass goals.

• Employee perception

Monetary incentives are straightforward and employees can discern their exact value.    

Non-monetary incentives are inconspicuous and employee reaction is unpredictable.

• How long are they remembered

Monetary incentives might be absorbed into the salary and forgotten earlier than non-monetary incentives.    

Non-monetary incentives acts as a long-lasting reminder of employee’s achievement.

• Impact on budget

Monetary incentives hard on the budget.    

Non-monetary incentives moderate on the budget with higher impact.

• Work required by management

Monetary incentives no forethought or work is required.    

Non-monetary incentives forethought and working to evaluate the needs of employees is required by the management.
 

Conclusion – Monetary vs non-monetary incentives

Monetary and non-monetary incentives differ in form, role and impact. 

Different employees therefore perceive them differently. 

We have to experiment with monetary and non-monetary incentives before we choose the best one for our employees. 

Nonetheless, the target for all incentives is the same; cater employee needs and increase job satisfaction to benefit the business as a whole.
 

References

Career-development/motivation-in-management (Online) available from  https://au.indeed.com/  (accessed on 13/11/2022)
 
What-is-motivation (Online) available from https://www.verywellmind.com/   (accessed on 13/11/2022)
 
What is motivation (online) available from https://www.verywellmind.com/what-is-motivation-2795378  (accessed on 13/11/2022)

Monetary and Non-Monetary incentives (Online) available from https://www.termscompared.com/monetary-vs-non-monetary-incentives/ (accessed on 29/11/2022)

Monetary and Non-Monetary Rewards  (Online) available fromhttps://diferr.com/difference-between-monetary-and-non-monetary-rewards/ (accessed on 29/11/2022)

Monetary and Non-Monetary Factors of Motivation (Online) available from https://www.yourarticlelibrary.com/motivation/monetary-and-non-monetary-factors-of-motivation/32391 (accessed on 29/11/2022)

staff, T. compared 2020. Monetary vs non-monetary incentives - definitions, meanings, differences | Termscompared. Available at: https://www.termscompared.com/monetary-vs-non-monetary-incentives/ [Accessed: 22 December 2022].

MOTIVATION THEORIES & ITS APPLICATION IN AN ORGANIZATION

 

McClelland’s Theory of Needs (Power, Achievement, and Affiliation)

 

McClelland's Human Motivation Theory is also known as Three Needs Theory, Acquired Needs Theory, Motivational Needs Theory, and Learned Needs Theory.

(MindTools | Home. [no date]. Available at: https://www.mindtools.com/aznjntj/mcclellands-human-motivation-theory [Accessed: 22 December 2022].)

Psychologist David McClelland advocated the Need theory, also popular as Three Needs Theory.
This motivational theory states that the needs for achievement, power, and affiliation significantly influence the behavior of an individual, which is useful to understand from a managerial context.

Need For Achievement

This intrinsic motivation stems from the desire for personal accomplishment.
Achievement-based people have a tendency to make moderately risky (as opposed to highly risky) decisions, prefer explicit goals, and look for immediate feedback on their work.
Instead of concentrating on material rewards, these people have a strong commitment to finishing work tasks on time and adhering to deadlines.
These people stay away from low-risk situations because they don't feel like they're facing a real challenge and they know that their success isn't real.
Additionally, they stay away from high-risk situations because they believe that they are more dependent on luck and chance than on personal initiative.
Their performance increases as they achieve more because they are more motivated.

Characteristics of This Person

•    Has a strong need to set and accomplish challenging goals.
•    Takes calculated risks to accomplish their goals.
•    Likes to receive regular feedback on their progress and achievements.
•    Often likes to work alone.

Need For Power

The individuals who are motivated by power have a strong urge to be influential and controlling.
They want that their views and ideas should dominate and thus, they want to lead.
Such individuals are motivated by the need for reputation and self-esteem.
Individuals with greater power and authority will perform better than those possessing less power. Generally, managers with high need for power turn out to be more efficient and successful managers.
They are more determined and loyal to the organization they work for.
Need for power should not always be taken negatively.
It can be viewed as the need to have a positive effect on the organization and to support the organization in achieving it’s goals.

Characteristics of This Person

•    Wants to control and influence others.
•    Likes to win arguments.
•    Enjoys competition and winning.
•    Enjoys status and recognition.

Need For Affiliation

The need for affiliation is the urge of a person to have interpersonal and social relationships with others or a particular set of people.
They seek to work in groups by creating friendly and lasting relationships and have the urge to be liked by others.
They tend to like collaborating with others to competing with them and usually avoids high-risk situations and uncertainty
The individuals motivated by the need for affiliation prefer being part of a group.
They like spending their time socializing and maintaining relationships and possess a strong desire to be loved and accepted.
These individuals stick to basics and play by the books without feeling a need to change things, primarily due to a fear of being rejected.

Characteristics of This Person

•    Wants to belong to the group.
•    Wants to be liked, and will often go along with whatever the rest of the group wants to do.
•    Favors collaboration over competition.
•    Doesn't like high risk or uncertainty.

Using the Theory

 Identify the Motivational Needs of the Team

Examining the team to determine which of the three needs is a motivator for each person. Personality traits and past actions can help in this process.

For example, someone who always takes charge of the team when a project is assigned. 

The one who speaks up in meetings to encourage people, and delegates responsibilities in order to facilitate achieving the goals of the group. 

Someone who likes to control the final deliverables. 

This team member is likely being driven by power.

Another team member who does not speak during meetings, and is happy agreeing with the team thoughts, is good at managing conflicts and may seem uncomfortable while someone talks about undertaking high-risk, high-reward tasks. 

This team member is likely being driven by affiliation.

Approaching Team According to To Their Need type

Based on the driving motivators of your workers, structure your leadership style and project assignments around each individual team member. 

This will help ensure that they all stay engaged, motivated, and happy with the work they're doing.

References

Career-development/motivation-in-management (Online) available from  https://au.indeed.com/  (accessed on 13/11/2022)
 
What-is-motivation (Online) available from https://www.verywellmind.com/   (accessed on 13/11/2022)
 
What is motivation (online) available from https://www.verywellmind.com/what-is-motivation-2795378  (accessed on 13/11/2022)

McClelland’s Theory of Needs (Online) available from https://www.mindtools.com/aznjntj/mcclellands-human-motivation-theory (accessed on 28/11/2022)

McClelland’s Theory of Needs (Online) available from https://www.managementstudyguide.com/mcclellands-theory-of-needs.htm (accessed on 28/11/2022)

McClelland’s Theory of Needs (Online) available from https://thebusinessprofessor.com/en_US/management-leadership-organizational-behavior/acquired-need-theory-definition (accessed on 28/11/2022)

MindTools | Home. [no date]. Available at: https://www.mindtools.com/aznjntj/mcclellands-human-motivation-theory [Accessed: 22 December 2022].

MOTIVATION THEORIES AND ITS APPLICATION IN AN ORGANIZATION

 Alderfer’s ERG theory of motivation

Alderfer’s ERG theory of motivation builds on Maslow’s Hierarchy of Needs and states that humans have three core types of need: Existence, Relatedness and Growth. These needs may be of different levels of priority for different individuals, and their relative importance for an individual may vary over time.

Summary by The World of Work Project

Maslow's Hierarchy of Needs was transformed by Clayton Alderfer into the three-factor ERG model of motivation.

The words Existence, Relatedness, and Growth are represented by the letters E, R, and G in this model, respectively.

The hierarchy of needs theory, which Maslow provided in his theory, is closely related to these core groups.

Both theories contend that a person makes an effort to take care of their fundamental needs throughout their lives.
They work to meet these needs before moving on to those with higher needs.
This stage is known as self-actualization in Maslow's hierarchy of needs.

Let's examine the three groups in the ERG theory, a condensed version of Maslow's theory. 

Existence

In alignment with Maslow’s basic needs which he categorized as physiological needs, Alderfer called them the existence needs. Maslow’s physiological needs stage concerns itself with basic human needs such as air, water, food, and shelter. Alderfer gave a similar idea in terms of employment, property, and health.

Relatedness

In Maslow’s hierarchy of needs, the second level is that of belongingness to others and having social relationships. On a similar note, Alderfer’s relatedness speaks of the same idea. According to both theories, humans need to have social interactions which help them live a healthy life. Secondly, another important thing humans strive to gain is the respect of others.

Growth

The third complement of ERG theory is growth. Humans need to grow in terms of having self-esteem, confidence and focus on personal development. It is in this phase that a human being strives to become the best versions of themselves. In Maslow’s terminology, a person realizes their abilities and potential and ultimately gets on the road to self-actualization.  In other words, Alderfer’s growth need category corresponds to Maslow’s self-esteem and self-actualization level.

How Does ERG Theory of Motivation Work?

Value of ERG Theory for Managers
You’ve probably encountered Maslow’s Hierarchy of Needs at some point in your life. In 1969, Clayton Alderfer created ERG theory to help account for some of the limitations he recognized in Maslow’s work. The letters ERG are an acronym for three..
Feb 10, 2011|2 min read
Joel Robitaille

Alderfer’s ERG theory suggests that a person may be motivated by different levels of needs at any given time. Any need which has a high priority for them can change from time to time. In other words, a person’s priorities, needs, and motivations aren’t constant. They can go from needs of existence to relatedness to growth. 

The needs affect a person in the following ways:

Satisfied Needs

Maslow’s theory suggests that a person can move to a higher level of needs only if their lower needs are met. For example, if an individual is deprived of basic needs like water, he wouldn’t prioritize having social connections. In ERG theory, however, a person’s needs don’t necessarily move from a lower level to a higher one. For instance, the progression upward from relatedness to growth doesn’t require their satisfaction of existence needs.

Unfulfilled Needs

If needs from a higher level remain unmet, it may be accompanied by frustration. In this case, a person will regress to one of the lower needs that are relatively easy to satisfy. In simple terms, an already satisfied need becomes more active if a person has trouble satisfying their higher needs. Therefore, a person who’s frustrated for not satisfying their growth needs may turn to relatedness as their motivator.
Strengthening Satisfied Needs
According to the theory, if a person has one level of needs satisfied, it may act to strengthen the lower needs and maintain its satisfaction. In other words, an already satisfied need can maintain satisfaction or strengthen lower-level needs iteratively when it fails to satisfy high-level needs.
  

In Maslow’s Hierarchy of Needs, individuals need to have satisfied one level of needs before moving on to the next one. For example, they need to have satisfied their safety needs before being motivated by social belonging.

 In his model, individuals do not need to have satisfied their existence needs before being motivated by their relatedness need.

In fact, Alderfer went further and said that different individuals potentially prioritize the needs in different orders based on their life views. A standard example of this could be the starving actor who’s motivated by growth through their art, potentially at the expense of their existence (i.e. they can’t pay their rent but are pursuing their passion).

Implementing ERG Theory in the Workplace

Now let’s see how you can apply ERG theory to your workplace.

Although ERG theory and Maslow’s theory go hand in hand, Alderfer suggested that existence, relatedness, and growth needs aren’t progressive. 

That means, that even if a workplace is not well-equipped, has poor working conditions (existence), employees with high esteem still may come up with great work (growth).

According to the theory, if an employee doesn’t get enough growth opportunities, they get demotivated and frustrated. So instead of fulfilling those needs, they may regress to a lower satisfied need. This is known as the frustration-regression principle. For instance, an employee whose relatedness needs aren’t satisfied will regress to further satisfy their existence needs. 

It is therefore important for managers to look for their employees’ unsatisfied needs. Focusing on one need may not fully motivate them. Therefore, an employee whose growth needs aren’t being met in the workplace may try to socialize more to gain esteem. In this case, you should provide them with more growth opportunities. 

Implement the Following Three Steps:

Fulfill Their Existence Needs

As an employer, make sure that your employees’ needs of existence are satisfied. Ask yourself questions such as:
•    Are the working conditions fine?
•    Is the workplace safe?
•    Are you offering enough security?

If you answer no for most questions, chances are your employees are demotivated because of these reasons.

Check for Unsatisfied Relatedness Needs
Whether it’s ERG theory or Maslow’s theory, making connections with others is highly emphasized. Think of it in this way, if your employees don’t enjoy healthy relationships with you and their coworkers, they won’t be happy.
Every day at work, they would want to go back home where they can feel close, connected, and related to their family. Similarly, try building an environment where an employee can feel at home. Make sure to check for those employees who work isolated from others.  Relatedness is therefore important to live a healthy life.
Focus on Growth
Provide your employees with as many growth opportunities as possible. If your employees develop a feeling of doing the same thing over the years, that may decrease their motivation to work. Appreciate them more, give them interesting projects to work on, and recognize their work. Make sure you provide them enough opportunities to help them grow and feel satisfied with their job. As a manager, help them realize their potential and become the best version of themselves.

References

Career-development/motivation-in-management (Online) available from

 https://au.indeed.com/  (accessed on 13/11/2022)

What-is-motivation (Online) available from https://www.verywellmind.com/   (accessed on 13/11/2022)

What is motivation (online) available from https://www.verywellmind.com/what-is-motivation-2795378  (accessed on 13/11/2022)

Alderfers-erg-theory (Online) https://courses.lumenlearning.com/wm-introductiontobusiness/chapter/ (accessed on 27/11/2022)

Alderfers-erg-theory-of-motivation (Online)  https://worldofwork.io/2019/02/ (accessed on 27/11/2022)

Applying  Alderfer’s ERG Theory in the Workplace (Online) https://www.attendancebot.com/blog/erg-theory/ (accessed on 27/11/2022)

Value of ERG Theory for Managers. [no date]. Available at: https://www.labmanager.com/leadership-and-staffing/value-of-erg-theory-for-managers-18934 [Accessed: 22 December 2022].

MOTIVATION THEORIES AND ITS APPLICATION IN AN ORGANIZATION

 

X and Y Theory by Douglas McGregor

 

  Social psychologist Douglas McGregor put forward his Theory X and Theory Y in his 1960 book, The Human Side of Enterprise. These theories explained two contrasting management styles, based on what managers believe motivates their employees.

( Channell, M. 2021. McGregor’s Theory X vs Theory Y: How to increase performance in your team. Available at: https://www.tsw.co.uk/blog/leadership-and-management/mcgregors-theory-x-vs-theory-y/ )[Accessed: 22 December 2022].

 Theory X –

A Theory X manager might incentivize their employee by offering a bonus if they hit a particular sales target and keep track of their progress via appraisals to ensure delivery.

This control-focused style is not common anymore because it is a pessimistic view and – unsurprisingly – most people do not want to be micromanaged.

However, some large organizations might not have a choice but to adopt Theory X techniques simply due to their scale.

 What do Theory X managers assume about their workers?

They:

•             Don’t like the work

•             Shirk responsibility

•             Need to be told what to do and have constant supervision

•             Have no ambition or desire to work hard

•             Are only motivated by rewards

Theory Y –

Theory Y managers trust that their employees can handle more responsibility and so encourage them to learn and develop as they work.

They will encourage their employees to participate in collaborative projects, trusting them to deliver on their objectives.

What do Theory Y managers assume about their workers?

They:

•             Find their work satisfying and challenging

•             Want to help make decisions

•             Motivate themselves

•             Take responsibility for their work

•             Need very little direction

•             Can think outside the box to solve problems

 

A Theory Y manager could encourage an employee to learn how to optimize their audience targeting to hit a sales target, which will result in new skills, more responsibility and even a promotion in the future.

Appraisals might still be part of the process, but more as an open discussion rather than to keep control of progress.

Theory Y is a much more positive management style than Theory X, which could explain its popularity. It allows the employee to have some freedom and responsibility – and the manager to feel less like they need to pressure their staff.

It can lead to a more meaningful career, where staff are encouraged to care about more than just their wage .

How can managers apply McGregor’s Theory X and Theory Y to motivate employees and increase performance?

In order to accomplish organizational objectives as effectively as possible, managers in high-pressure, high-output environments will tend toward Theory X. 

For instance, a manager, let's call them "X," needs to meet a monthly output goal for their department.
Anything produced above this baseline level will receive a bonus from X.

In order for their department to meet the required monthly output, X must now motivate their team to produce a specific volume of goods each day. Since they have a large workforce to oversee, the company promises to reward employees for exceeding targets while penalizing them for falling short of them. Unfortunately, X's employees don't have the time to offer suggestions for how to improve the workflow because there is no room for learning.

The employees can clearly understand their roles thanks to the strict rules and reward/punishment system.
The goals are accomplished, so X and its staff members receive their corresponding bonuses.

This is great for workers who are driven by money and a stable job, but it's not so great for those who want to advance intellectually or professionally.

Advantages of Theory X

Some employees thrive on an authoritative management style

Focus on achieving the company goals

No room for ambiguity, which makes roles and responsibilities clear

Disadvantages of Theory X

Some employees do not work well under such strict enforcement

Not everyone is motivated by financial gain, so they might not make much of an effort to achieve more

Can be detrimental to employee learning and development

Advantages of Theory Y

Much more appealing management style

Gives employees freedom and responsibility, which allows them to perform better

Encourages teamwork, development and creative problem solving

Disadvantages of Theory Y

Not everyone will be comfortable with undefined working boundaries

It would be easy to abuse the freedom and trust

Can be harder to measure success, as there is less focus on quantifiable metrics

( Channell, M. 2021. McGregor’s Theory X vs Theory Y: How to increase performance in your team. Available at: https://www.tsw.co.uk/blog/leadership-and-management/mcgregors-theory-x-vs-theory-y/ [Accessed: 22 December 2022]. )

Is Theory X and Theory Y good for employee well being?

Using McGregor's Theories X and Y, one can evaluate a person's needs and character.

They'll feel comfortable following instructions given within the constraints of X and Y.

They'll be motivated and aware of your expectations, which both enhance well being and work-related happiness.

No matter if a manager in X or Y, read the room frequently.
Examine each person's actions and performance to determine whether your approach to motivating them is effective.

By pursuing Theory X or Y, you are standing up for their interests if  make wise decisions on their behalf.
For instance, "Although I favor management style Y, this employee consistently meets their goals when working under Theory X.
They will move because I will move."

 References

Career-development/motivation-in-management (Online) available from  https://au.indeed.com/  (accessed on 13/11/2022)
 
What-is-motivation (Online) available from https://www.verywellmind.com/   (accessed on 13/11/2022)
 
Two factor theory (Online) available from Two-Factor-Theory.png (555×321) (simplypsychology.org) (accessed on 13/11/2022)
 
What is motivation (online) available from https://www.verywellmind.com/what-is-motivation-2795378  (accessed on 13/11/2022)

What is McGregor_X&Y_theory (online) available from http://wiki.doing-projects.org/index.php/ (accessed on 25/11/2022)

What is McGregor_X&Y_theory (online) available from https://www.mindtools.com/adi3nc1/theory-x-and-theory-y
(accessed on 26/11/2022)

 Channell, M. 2021. McGregor’s Theory X vs Theory Y: How to increase performance in your team. Available at: https://www.tsw.co.uk/blog/leadership-and-management/mcgregors-theory-x-vs-theory-y/ [Accessed: 22 December 2022].

 

MOTIVATION THEORIES AND ITS APPLICATION IN AN ORGANIZATION

 

Two Factor Theory by Fredrick Herzberg

The two-factor motivation theory, otherwise known as Herzberg’s motivation-hygiene theory or dual-factor theory, argues that there are separate sets of mutually exclusive factors in the workplace that either cause job satisfaction or dissatisfaction (Herzberg, 1966; 1982; 1991; Herzberg, Mausner, & Snyderman, 1959).

The Herzburg two-factor theory, also known as the Herzburg's Hygiene Theory, posits that job satisfaction and dissatisfaction are not opposites. The research underpinning this theory identifies characteristics of jobs that related to job satisfaction - while a different set of job factors lead to dissatisfaction. Thus, eliminating dissatisfaction will not necessarily create satisfaction and vice versa. Herzburg’s Two-Factor Theory (Hygiene Theory) - Explained. [no date]. Available at: https://thebusinessprofessor.com/management-leadership-organizational-behavior/herzburg-two-factor-theory-defined [Accessed: 21 December 2022].

• How does Hygiene Theory Work?

Frederick Herzberg proposed the two-factor theory based upon what employment characteristics satisfy employees. 

He was able to conclude that satisfying and dissatisfying characteristics are different.

 

•    Hygiene Factors -

 Dissatisfying factors are labeled as hygiene factors - as they are part of the context in which the job was performed (rather than functions of the job itself).

Common hygiene factors include work conditions, company policies, supervisions, salary, safety, and security.

 •    Motivators -

 Satisfying factors were labeled as motivators.

• Motivators, in contrast to hygiene factors, and are intrinsic to the job.

•  Common motivator factors include personal recognition, achievement, engaging work, meaningful responsibilities, career advancement, and personal growth opportunities.

• Herzberg's research found that motivators were far more effective in motivating employee productivity.

•  This theory provided a way to motivate through improved work conditions - which lead to a burgeoning of job enrichment programs.

• These programs contained higher numbers of motivators.

•  The primary criticisms of this approach concern the definition of job satisfaction.

•  Also, there are issues in the ability to differentiate hygiene from motivators.

• In some instances, variations of a factor could be each.

• Also, it fails to address the quality of the relationship between management and subordinates.

•  In any event, the theory is foundational in modern leadership and management education and practice.

 

 How to apply Herzberg’s two-factor theory

There are five ways to get started with Herzberg’s theory of motivation:

• Try listening

If  employee engagement and satisfaction surveys are poor, read for the details.

Organize with poorly performing departments and ask specific questions about their desire for more responsibility, accomplishments, training, recognition, promotion and growth.

Listen for hygiene complaints too because as we’ve learned, just remedying satisfaction will not improve dissatisfaction.

• Start from the bottom up

Make a list of the job roles that have very low job satisfaction,where performance can be obviously improved, and roles can be practically and inexpensively enriched with satisfaction factors.

• Get the balance right of feedback and recognition

Regular feedback through one-to-ones, reviews, evaluation and mentoring sessions give workers direction and purpose.

They’re working towards something, and thanks to your thoughtful feedback, constantly improving.

Building relationships between workers and managers will help increase productivity and quality and reduce staff turnover. People want to stay and do well.

• Don’t tolerate poor performers – others will see it

Your company is only as good as its poorest performers, so you must do all you can to raise low standards, not let high standards sink.

Poor performers can affect employee morale, influence workplace culture, increase the stress placed on those picking up the work, that hacks away at motivation and commitment.

The feedback and recognition sessions you have with every employee will help you to isolate and diagnose poor performance. Is it caused by dissatisfaction? Is it an ability barrier? Are there distracting external factors?

In any case, give actions to improve their performance, and communicate with the people it directly affects so they aren’t impacted by poor performance.

• Make sure people have the tools to do the job – information, skills, resources

We can give people the autonomy and responsibility to challenge themselves and achieve more, but  want them to fly, not fall.

Plan their time and resources, give them the skills to move forward productively and measure their achievements.

Summary 

As human resource becomes most important and valuable asset for the business, the leaders should concentrate much more on job satisfaction or dissatisfaction to motivate their employees.

References

Career-development/motivation-in-management (Online) available from  https://au.indeed.com/  (accessed on 13/11/2022)
 

Herzburg’s Two-Factor Theory (Hygiene Theory) - Explained. [no date]. Available at: https://thebusinessprofessor.com/management-leadership-organizational-behavior/herzburg-two-factor-theory-defined [Accessed: 21 December 2022].

 
Two factor theory (Online) available from Two-Factor-Theory.png (555×321) (simplypsychology.org) (accessed on 13/11/2022)
 
What is motivation (online) available from https://www.verywellmind.com/what-is-motivation-2795378  (accessed on 13/11/2022)

What is herzbergs-two-factor-theory (online) available fromhttps://www.tsw.co.uk/blog/leadership-and-management/ (accessed on 24/11/2022)