- Choice of work motivators;
- Salary policy;
- Remunerations policies and services;
- Policy of participation in the success;
- Control personnel costs.
It should be noted that all these issues should be carefully considered by senior management of the enterprise and on its basis human resources policy of the enterprise should be developed.
There are several main forms of employees’ motivation, among them are:
- Salary as an objective assessment of the employee’s contribution in business results.
- The system of internal employee benefits: effective bonuses, additional payments for seniority, health insurance at the expense of the enterprise, providing interest rate free loans, covering the expenses for transfer to and from work, selling products to the employees with a discount and so on.
- Activities that increase work attractiveness for the employee, and increase independence and responsibility of the employee.
- Eliminating of the administrative and psychological barriers between employees, the development of trust and understanding among the team.
- Moral promotion of employees.
- Improving education and promotion of employees.
Considering my experience I would like to express that most of the companies provide for their employees only salary and the best option would be salary plus insurance package. Moreover, very often, managers made employees to cover different positions without any additional payment. As a result people do not see the prospective of such work and not motivated to work in such companies. I am convinced that such firm will not develop its true potential, because its employees will not do their work as qualitatively as they can. However, there are companies who cares about their employees and actually invest in them money and time. In my opinion, the best example of such companies is Procter & Gamble. If you visit their web site you will see that even from the beginning position employee receives not only competitive salary but: health insurance, company car, bonuses, rewards and appreciations for the performance during the year, quarter and month. Moreover, such companies invest in its employees by improving their personal and work skills such as time management, refresher courses and so on. Also, P&G provides for its employees different internal awards, highlighting the successful work of the employee on a specific project. All these characterizes that P&G uses all forms of employees’ motivation and consequently attracts perspective and talent young people to work for this company.
Today, due to World economic crisis many companies are suffering from various problems. As the consequence of the crisis people got fired. That is why, companies keep less people and cut social packages, benefits and salaries. I know several companies that faced demotivation. For example, there is a company that has serious problem within it – people works more, salary became lower, bonuses programs were closed and, as a consequence, people lost the motivation to work. As a fact, people do not see prospective and do not do their job with full dedication. Very often, business owners provide such policy in the hard times, instead of cut advertising or other expenses. In my opinion it is wrong position, everybody knows that human resources – is the best capital that any company will ever have.
It should be noted that with the aim to describe the motivation process famous American scientist Abraham Maslow created his hierarchy of needs. As a fact, Maslow suggested that all human needs (innate or instinctive) are organized in a hierarchical system of priority or dominance. According to Maslow, needs has following order of priority:
- Physiological needs consist of basic, primary needs of human, sometimes even unconscious.
- The need for security includes the need to be protected, to be free from fear, anxiety and chaos; need for structure, order, law, and others.
- The need for belonging and love. As a rule, human needs warm, friendly relations; he needs a social group that would provide him such relationships, the family that would accept him as their own.
- The need for recognition. As a fact, each person is constantly in need of recognition, a stable and usually high evaluation of his merits. Each of us needs respect of the people that are around us. It can be said that assessment needs, breeds respect for individual self-confidence, sense of self-worth, strength, adequacy, a sense that he is useful and necessary in this world.
- The need of self-actualization. As a rule, person feels that he must comply with his own nature. It is obvious that different people have this need in different ways. One person wants to be an insurance agent, the other – to become a baseball player, and the third is trying to create or invent something he is interested in.
The main point of this motivation theory is that a human being can not achieve the next level of hierarchy, while he has not achieved the precious. It should be noted that Maslow’s motivation theory is based on needs and related factors that determine human behavior. Moreover, there is no motivation system that will function effectively unless it is developed an effective motivation model, because motivation prompts a particular individual and the staff as a whole to achieve personal and common goals.
In my opinion there are following barriers in the motivation process that can cause frustrations because there were put the limits for the people to achieving their goals. These barriers include three main groups: increasing of “hidden” employee turnover; shortage of specialists during the mass unemployment; increasing importance and complexity of motivation systems in crisis. I would like to consider each group more closely.
It can be said that increasing of “hidden” employee turnover means following situation: in the company were cuts, as a result unnecessary and inefficient employees had been fired. Remaining employees have a very difficult task, because they have to work for themselves and for those who were fired. As a result, people become demotivated, and are like a “phantoms” in the workplace – they seem to be working diligently, but their productivity and results are significantly reduced. As a fact, the economic crisis increases the magnitude of this phenomenon, particularly with regard to the most intelligent professionals. This is due primarily to the growing stress and with a sense of instability – and thus, person begins think how to make money for living, and work first of all for himself and then later on the company.
The second barrier is shortage of specialists during the mass unemployment. It is always difficult to find skilled employees. Of course, on the labor market appeared depreciating highly skilled personnel who can replace the old staff. At first glance, for employers it seems to be a gift of fate. But, as a rule, such “stars” are well aware of their abilities and will use any opportunity to gradually reach the usual level of their salaries and working conditions. In my opinion in this situation will be very difficult to maintain loyalty of the “old” employees.
The third barrier is increasing importance and complexity of motivation systems in crisis. As a fact, the motivation of employees in a crisis becomes much more important. At the same time establish an effective system of motivation now is more complicated. It can be said that development of motivational system’s material part is under unpredictable risks. The moral component is always accompanied by great emotional cost, while strengthening the negative sentiment its formation becomes even more difficult to process.
To sum it up, I would like to say that success of the organization depends on the particular people, their knowledge, competence, qualifications, discipline, motivation and ability to solve problems. Thus, for the effective operation, organization should encourage staff to obtain success, a high result. Managers need to motivate people to encourage them work more effectively. The most commonly recognized as motivating factors are: safe job and increase salary level. The path to effective management of each employee goes through an understanding of their motives, which move the employee forward, impel him to take action. In my opinion, every enterprise should create such conditions that the employees perceive their work as a conscious activity, which is a source of self-improvement, the basis of their professional and career development.