Case Analysis: A Zero Wage Increase Again Debrief

Decent Essays
A Zero Wage Increase Again Debrief
Mark Oglin, store manager of “House, Hearth & Home,” is facing a dilemma on whether this will be the third consecutive year where his employees will receive a zero wage increase. Mr. Oglin knows that he has high performing employees, like Simon, floor manager, who has an outstanding work ethic and is dedicated to the company. He is also conscious, however, that he has other employees who are not committed to their work and tend to call in after a long weekend. Mr. Oglin has a meeting with Aaron, the company controller, to see if it is possible for a wage increase this year. Aaron does not have good news since the company has been experiencing low sales. Nevertheless, Aaron suggested that expenses can be
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Oglin is facing a challenging dilemma. He must carefully think of the decision he will make because his actions will have consequences that can be both good and bad. It is vital for Mr. Oglin to understand both extrinsic motivation and intrinsic motivation. It is important that employees get a balance of both. Extrinsic motivation is the economic rewards employees get, such as raises, bonus, etc. Employees want to receive these types of economic incentives for their work. Two consecutive years have passed without any financial incentive, therefore, it might be a smart idea to give a small increase to his employees. However, Mr. Oglin must not discard using intrinsic motivation to encourage his employees to do their best at the job. According to Thomas (2000), “when you are intrinsically motivated, you genuinely care about the work, you look for better ways to do it, and you are energized and fulfilled by doing it well” (p. 130). Mr. Oglin with the help of Simon, should find ways to encourage employees to see a meaningful purpose in their daily tasks. When employees feel good about the tasks they perform, it pushes them to do the tasks better. He should praise his employees when they do a good job. Praising an employee can go a long way and a “thank you” even further. In addition, Mr. Oglin should give his employees autonomy as to how they perform their jobs. As Thomas (2000) discussed in his article “Intrinsic Motivation and How it Works,” “when your sense of choice is …show more content…
Oglin to understand the four drives behind employee motivation. When the four drives are satisfied, the employees’ emotions and behaviors are impacted positively. His actions will impact these drives. These four drives include: The drive to acquire; The drive to bond; The drive to comprehend; and The drive to defend. With the drive to acquire, Mr. Oglin should take the time to distinguish his top performers from his low performers in order to clearly tie rewards to their performance. As he is not certain of giving everyone a wage increase this time around, he should make it clear that rewards will be tied to performance. With the drive to bond, he should make sure the company’s culture is one of friendship and collaboration. With the drive to comprehend, Mr. Oglin should design jobs that employees will find meaningful and that require teamwork. Finally, with the drive to defend, Mr. Oglin should always strive to be fair when granting financial incentives and assignments to make sure he gains trust from his

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