Incentive theory of motivation

 

Employees' reasons for putting in long hours and being loyal to a company vary widely. Many employees are motivated by the possibility of receiving bonuses for demonstrating a high level of work ethic. Employees may improve their leadership style, increase team morale, and focus on personal growth by becoming an expert in the incentive theory of motivation. Humans, according to the incentive theory of motivation, are motivated by a desire for rewards and reinforcement as said by Hayati, (2020). 

Depending on the incentives supplied, employees may react differently under similar conditions. An employee might work more on a project to get a good evaluation or avoid a bad one than if they don't get a review at all. They are motivated by a desire to avoid or get a reward in the form of a performance evaluation after the project's completion as per Aisyaturrido et al., (2021). The same incentive might have a different value at different times and under different situations. Incentives may be seen in various ways by different people. A person's desire for a specific reward may be influenced by psychological and social factors. People will only engage in an activity if they value the benefit they will get as a result of doing so which was said by Amin, (2015).

Workplace incentives may be monetary or non-monetary, depending on the company's needs Richard G. Gunawan, (2014) With money as an incentive, many workers would perform harder in the belief that they will be given the chance to earn a greater wage. Compensation in the form of monetary benefits may not only make workers feel good about themselves, but it can also improve their sense of belonging to the company as a whole as per                Skaalvik & Skaalvik (2020).

1.     1..  Job security

Job security is one form of non-monetary incentive that may be utilized to encourage people at their place of employment as per ABDULLAH, (2013) People could feel more comfortable and inspired to contribute to the company or organization after receiving tenure, for example, or after their probationary period has completed. When workers perceive that their efforts are respected, they are more inclined to put up more effort to help the organization flourish. Giving yearly performance evaluations in which employees provide both positive reinforcement and critical comments may help to increase job security in the long run (Herlisa & Riyanto, 2019).

 2.     Recognition

Recognition is another important form of non-monetary workplace incentive that may be offered to workers stated by Eshun & Duah, (2011). Employers may give incentives to workers for their efforts, such as reaching a goal or remaining with the organization for a long length of time as stated by Kuranchie-Mensah1, (2013). In many cases, companies give a monetary incentive in addition to the acknowledgement. An employee of the month award is a standard sort of gratitude that is employed by many different businesses. During a team meeting, another form of minor recognition may be provided by praising a specific employee. By publicly recognizing an employee for their efforts, employees can also demonstrate to other team members the kind of work ethic that they should try to achieve, as stated by Ulfa et al., (2020).

3.     3. Personal and professional progress

Employees may benefit from professional development opportunities as well as cash incentives. Developing their abilities may be a powerful incentive for people (Organization for Economic Co-operation and Development, 2005) To increase abilities, firms may grant tuition reimbursement, send workers to conferences or seminars, or establish an in-house training program for their people. Employees may also create a shadowing program in which personnel from the department work alongside colleagues from another department within the company to have a better grasp of the organizational process as commented by Yadewani & Wijaya, (2019).

4.     4. Promotion

The growth potential is a crucial workplace incentive. Promotions give the chance for development and progress, and they may be incredibly gratifying and encouraging. In addition, they help workers realize their full professional potential. When a person is promoted, they tend to feel more secure in their job. In most cases, promotions and increases are handed out at once as per Egan et al., (2004).

Learning to identify the core beliefs and how they drive the motivations might help employees achieve success in the workplace. Employees make decisions based on these ideas, beliefs, and personal ethics, which may be used as a guide for others. The more employees know about the core values, the more employees know what type of incentives employees respond to the best. Once employees have gathered these rewards, employees may utilize them to spur on their own professional progress.

References

 

ABDULLAH, A. A., 2013. Relationships of Non-Monetary Incentives, Job Satisfaction. International Review of Management and Business Research, 2(4), p. 1086.

Aisyaturrido, A., Wibowo, I., & SE. MM, Nuridin. (2021). The Effect of Leadership and Work Environment on Job Satisfaction Through Motivation as a Mediation Variables in PT. Trinitan Plastic Industries. International Journal of Business and Social Science Research. https://doi.org/10.47742/ijbssr.v2n2p2

Amin, M. (2015). Relationship between Job Satisfaction, Working Conditions, Motivation of Teachers to Teach and Job Performance of Teachers in MTs, Serang, Banten. Journal of Management and Sustainability, 5(3). https://doi.org/10.5539/jms.v5n3p141

Egan, T. M., Yang, B., & Bartlett, K. R. (2004). The effects of organizational learning culture and job satisfaction on motivation to transfer learning and turnover intention. Human Resource Development Quarterly, 15(3). https://doi.org/10.1002/hrdq.1104

Eshun, C. & Duah, F. K., 2011. rewards as a motivational tool for employee performance, s.l.: School of management.

Hayati, N. (2020). The influence of visionary leadership, talent management, employee engagement, and employee motivation to job satisfaction and its implications for employee performance all divisions of bank bjb head office. International Journal of Scientific and Technology Research, 9(3).

Herlisa, N., & Riyanto, S. (2019). The Effect of job satisfaction, Work Motivation and Employee Engagement on Employees Performance of Inixindo Persada Rekayasa Komputer. International Humanities and Applied Science Journal, 4(12).

Kuranchie-Mensah1, E. B., 2013. Employee Motivation and Work Performance: A Comparative. Journal of Industrial Engineering and Management, 9(2), p. 263.

Organisation for Economic Co-operation and Development, 2005. Increasing Financial Incentives to Work:, s.l.: Organisation for Economic Co-operation and Development.