Implication of Contemporary Theories of Motivation at SNL Financial LC.MOTIVATION

It is the activation of an energized goal-oriented behavior. It is seen not only humans, but even animals show a level of motivation to achieve their goals. Money is the primary motivating outcome for an employee, but it is not the only, and in some cases not evens the most important factor. Power and status are also prime motivators. Types of Motivation. Intrinsic motivation occurs when people are internally motivated to do something because it either brings them pleasure, they think it is important, or they feel that what they are learning is morally significant. Extrinsic motivation comes into play when a student is compelled to do something or act a certain way because of factors external to him or her (like money or good grades)

Current issues in motivation:Motivating a Diverse Workforce Flexibility is the key to motivating a diverse workforce Diverse array of rewards necessary to satisfy diverse personal needs and goals Flexible Working Schedule compressed workweek - employees work longer hours per day but fewer days per week. The Complexities of Motivation: Uncertainty of Predicting Behaviors Not Always What We Expect Difficult To Maintain Employee Behavior Difficult to reward each person according in his will To maintain equality

IncentivesAn incentive is something which stimulates a person towards some goal. It activates human needs and creates the desire to work. Thus, an incentive is a means of motivation. In organizations, increase in incentive leads to better performance and vice versa.

INCENTIVES

Financial Incentives Non-financial incentives

Wages and Salaries. - Competition Bonus - Group recognition Medical reimbursement - Job security Insurance - Praise Housing facility - Knowledge of result Retirement benefits. - Workers participation. - Suggestion system. - Opportunities for growth

Adams' Equity TheoryI believe a place of work should be conducive to an employees growth so as to get the best possible out from him which in turn would benefit the organization. If an employee is made to feel biased or discriminated against it may lead to his being demotivated and may lead to his developing a sense of apathy towards his work. It may even result in his developing feelings of disrespect and resentment towards the organization and its people. The organization would not be able to exploit the best out of such an individual and may lead to a waste of company resources into acquiring and retaining such an employee. Hence it is important that an organization pay attention to its employees personal growth for building long term relations with them. An individual works not just to satisfy his basic human needs but also to have a good standing in society. His pay and salary determines his social status. Now if an organization makes the mistake of paying two different individuals for the same amount of work with two different salaries, it would result in a feeling of injustice for the employee with the lesser pay. Hence organizations need to be careful when determining the structure and amount to be paid to an employee in regards to his performance, experience and seniority. Now, Equity Theory talks about the various levels of satisfaction a person may tend to experience in regards to the justices and injustices he faces in the world around him. Based on his satisfaction level a person may be categorized into a Benevolent, Equity-Sensitive or Desire for over rewarding type. I fall under the category of Equity-Sensitive. This means I am of the personality who believes that an individuals performance should not go unrewarded and at the same time he should also be penalized for his non-performance. Inputs Vs Outputs What I put into my job: time, effort, ability, loyalty, tolerance, flexibility, integrity, commitment, reliability, heart and soul, personal sacrifice, etc. What I get from my job: pay, bonus, perks, benefits, security, recognition, interest, development, reputation, praise, responsibility, enjoyment, etc. Balance 'calibrated' and measured against comparable references in the market-place. People become demotivated and reduce input and/or seek change or improvement whenever they feel their inputs are not being fairly rewarded by outputs. Fairness is based on perceived market norms.

Practical Managerial implications of equity theory. Underpaid people experience anger.In SNL Financial ltd. Company management keep in mind this phenomenon to motivate employees by giving proper incentives and remuneration to their employees according to their employees time, skills, and health contribution.Example: in late night shift employees are paid more than morning shift to maintain their enthusiast behavior and motivating without losing their interest in job and working environment. Overpaid people experience guilt.It is a natural phenomenon that both of people will encounter negative situation those who are underpaid or overpaid. Mostly over paid employees feel guilt especially when they are paid more than their contribution to their reward in an organization. SNL Financial ltd. Company emphasize on the productivity not on references or influences. They try that each of employee will be paid accordingly their invested skills and contributions to organization. So I didnt find any single example where any employee being paid higher than its actual performance in an organization. Perceptions of rewards determine motivational outcomes. SNL Financial ltd. Company every year reward their employees on their best performance to organization.Example: SNL Financial ltd. Company give incentives, bonuses, and other financial and non financial incentives to their top performance employees. And also recognized the performance and contribution of all other employees at work. Negative consequences of equity comparisons should be minimized, if not eliminated.In SNL Financial ltd. Company they try to eliminate such behaviors which result in comparison of equity.Example: morale down, inefficiency can be occur, dissatisfaction towards work by taking necessary steps to provide them required incentives and in time actions.

Do not underestimate the impact of pay as a source of equity controversies in the workplace. Most enormous impact of equity dissatisfaction occurred due to pay/salary compensation in organization. SNL Financial ltd. Company tackle this task very consciously. To prevent performance of their employees from being wasted.Example: thats why they pay differently to morning and late night employees for keeping interest high for night shift employees.

Lessons in Equity Theory Pay attention to what employees perceive to be fair and equitable SNL Financial ltd. Company always get feedback from their employees about their feelings that either they are treated equally or not.? On that basis they change their policies and do something as they can for their employees satisfaction. Allow employees to have a voice Employees yearly give feedback directly or they can report to manager about any kind of difference or inequality at work environment. Employees should have opportunity to appeal. Employee can raise voices against any unwanted situation they face at work place.

In the condition of inequity employee make one of six choices. Change their inputs Change their outcomes Distort perceptions of self Distort perception of other Choose a different referent Leave a field

Negative and Positive Inequity Equitable situation:When you are rewarded at same level as your opponents is rewarded to which you compare yourself. Negative inequality:When you are overpaid as compare to your opponents while your comparison to him. Positive inequality:When your opponent is underpaid as compare to you, when he compares itself to you.

ERG Theory (Clayton Alderfer)

ERG TheoryAlderfer suggested ways of integrating human needs with those of the organisation; this reflects employees wellbeing and changing the environment of this organisation. Drawing from Alderfer many companies feel that they can improve working standards by satisfying their employees needs. Alderfer criticised the concept of a hierarchy of need as he felt it was more like a continuum, this is because he felt an individual was far more likely to move up and down a continuum; satisfying their needs at different levels. Concluding that there were only three major sets of needs; existence needs which are the basic necessities and are more important if they are less fulfilled, relatedness needs which are social and interpersonal needs, and finally growth needs which is personal development. This is known as ERG Theory.There are three groups of core needs: existence, relatedness, and growth. Core Needs Existence: provision of basic material requirements. Relatedness: desire for relationships. Growth: desire for personal development. Concepts: More than one need can be operative at the same time. If a higher-level need cannot be fulfilled, the desire to satisfy a lower-level need increases.

Practical implication of Adlerfolder Theory to SNL

financial LC manager of SNL told me that management of the SNL is applying the theory of ERG. he told me that all the employees of or any organization are not on the same level of needs and wants of each individual are different so a general trend not be set up to understand the needs of employees and individual and so manager need to understand each employee separately and then theory should try to fulfill that need of employee in order to motivate that employee to get desired performance Application of theory in SNL

The office manager SNL super market office MR. Qasim Jameel told me that employees working in are of different needs so he being a manager and leader understands the needs of all employees and then he tries to fulfill the needs of employeesHe told me that people working here have different need some employee working here just for money and financial reward given by the but they are not interested in any kind of social relationship at workplace they dont want to be a part of group or team they are not interested in the activities which are of social nature they dont need to get to other. They just come, work for them to earn pay and went back to home after completion of work assign to them and they dont care of any other what others are doing. So, according to the theory of Adler Folder they are at the existent level because they are just working in organization for existence they want to get pay to exist, so for the employees who are at existent level at ERG stages best motive for them is money in shape of paying salary bonuses and other incentives. Manager SNL told me that SNL is fulfilling their needs and motivating them and following ways. Financial rewards and incentives: Financial incentives are also used by SNL in order to motivate the employees working at SNL and financial rewards are given to employees at their good performances. Similarly at the end of each banks accounting periods and award ceremony is arranged by and employees of the month and employees of the year employees of the region etc. are awarded are prizes and appraises to motivate them to work hard and to get desired goals. Specified goals: Manager MR. Qasim jameel told me that another technique is used at his office and overall at SNL is giving the employees some specific goals. If goals are not specified to them they will not show interest for work. Working environment: These kind of people which are at existent level they are also motivated with save and secure working condition and physical working environment so, SNL is always provided the employees with all safe and secure working environment and physical conditions to motivate them. Bonuses: financial LC is paying enough to these employees in shape of salary bonus and incentives which they are satisfy and motivated to work hard and to get more

they dont demand monetary rewards but socialization.Then he told me that some employees which are working at SNL dont prefer salary are pay for their job they prefer social relation in want to work together they want to be a part of group and they are comfortable while working with other employees, they want to be accepted by others and they are hungry for respect and they do respect for others, they want to care for other colleagues, peers and co-workers. They demand appreciation in return.They feel very motivated while they are assigned responsibility and assignments are given to them. They work very hard by feeling responsibility of work given to them, similarly these employees who are happy with recognition are interested to work when recognized, their efforts and performance is appreciated then they become happy and are directed and motivated more to work hard and to get more challenging jobs. Then if the employees of this kind are properly communicated with information and facts related with them feel graced and are motivated towards their goals and achievements. Employees working in SNL financial LC are participated by management in decision making concerned to them. They are always appreciated and encouraged while giving new ideas. Manager thought that such kind of people are praised who are at relatedness stage. So he also uses to motivate their employees. Mr. Qasim jameel told me that he recognizes the needs of employees very tactfully and then responds accordingly. All these employees are relatedness stage. Mr. Qasim jameel being a part of management uses following tools to motivate the employees. To give responsibilityManagement at SNL give responsibility to their employees to motivate them and employees feel very excited when given with big responsibility. Respect matter:He shows respect to all employees working at SNL financial LC at his office. His behavior with his employees is very polite and employees are very happy with his behavior, so he uses it as a tool of motivation. Communication:He communicates all the concerned information and facts to his employees due to which employees feel respected and graced so they are motivated to work hard. Appreciation:He being a manager gives recognition to people working at on their performance and task completion Annual awardsAt SNL there is annual award distribution ceremony in which different type of awards are given to employees based on their performance task accomplishment and achieving goals

Findings of ERG Theory.According to my observation during my work at SNL financial LC while I visited and studied motivation and motivational tools that management of SNL financial LC is focusing on Adler Folder theory of ERG. Recognizes the needs of each individual, Trace out at what level each employee is on the ERG levels Treat each individual accordingly and are very sincere with each need of individual at work place. employees are not at same need level and some employees are in different stages at ERG

In motivating the employees, management of SNL financial LC is doing it very wonderfully.