Nowadays companies demand an outstanding job performance of every single employee aiming to be successful and to be better than competitors because there is a fear competition among the enterprises.
There are numerous factors affecting the job performance but one of the key factors for a good job performance is that the employees are highly motivated.
One possible method to increase motivation is the pay, because normally employees are willing to stay longer hours in the office and will perform better, when they have the chance to get financial rewards for instance a higher salary or bonuses.
In the following will be outlined in which ways pay can be a good motivator and therefore leads to higher job performance and furthermore, …show more content…
Herzberg distinguished in his researches between two different factors.
On the one hand there are the motivator factors and on the other hand there are the hygiene factors.
The motivator factors being intrinsic to the job are achievement, recognition for achievement, the work itself, responsibility and growth.
The hygiene factors being extrinsic to the job include company policy and administration, supervision, interpersonal relationships, working conditions, salary, status and security.
The result of the researches which were implemented by Herzberg were on the one hand the motivator factors leading to a higher job satisfaction of employees and therefore to higher motivation which influences the way employees perform in a positive way.
On the other hand, the hygiene factors mostly lead to dissatisfaction and demotivation.
Besides it became clear that the motivator factors, as opposed to hygiene factors, have long term effects on employees. (Harvard Business Report, …show more content…
Besides a problem arises through the use of compensation because once employees get a reward for their performance they will seek for the next reward.
This leads to a continuous desire for more and more rewards, but if the employees do not get that extra money they will probably refuse their work or just neglect the quality of their work.
A well-known psychologist Abraham Maslow represents in his hierarchy of needs the necessities employees are looking for, which include biological and physiological needs, safety needs, belongingness and love needs, esteem needs and finally self-accusation.
He does not regard factors like money in his theory, because in his opinion it is not a need employees are striving for.
As you can see pay is not as important as managers consider, but rather managers have to care about the self-accusation of their workers which include personal growth and fulfilment.
Thus, personal growth and fulfilment produces new skills and new wisdom which lead to a greater