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Lecture notes

Non-Financial Methods of Motivation

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A look at job enrichment, job enlargements, job rotation, empowerment, delegation, teamwork, quality circles and communication. Advantages and disadvantages are provided for each.

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Non-financial methods of Motivation

 In theory it doesn’t cost the company any money.
 To set up and run the processes can cost time and money. However it is a benefit in the
long term as it can increase profits.

Job Enrichment:

 This is when you make your job more challenging, more complex and give the employee
more responsibility.
 More autonomy and more participation in the decision making process. Employees feel part
of the organisation.
 Checking they did their job correct.

Advantages Disadvantages
This in theory is motivational as it gives staff a sense of Some people don’t want the extra responsibility which can de-
purpose as they are completing more complex work. motivate them. Efficiency drops.
Staff will have to be trained which means they are more Training costs money and take time which reduces efficiency
skilled and more efficient. Productivity rises. and productivity.
When employees feel like they're trusted with greater Staff may want more pay as they can do more jobs as they are
responsibilities at a company, their level of motivation highly skilled. Less profit as a result and more disputes. Also
increases. As a result, employees may be more productive, they may be headhunted.
better adhere to the company rules and management
better, and miss less work.
Slow down productivity as they may not get as much done
and they are checking their work as they go along.

Job Enlargement:

 This is when you give a member of staff a larger range of duties to carry out but they are at a
similar level of difficulty.
 Creates a greater scope and variety within in the job.

Advantages Disadvantages
Staff are multi-skilled therefore more motivated Not everybody wants it-> de motivational.
and efficient.
If someone takes a day off production should May not always be practical to find a job of a
continue as normal as someone else can do their similar level.
job.
Increased job satisfaction and motivation and Productivity is lost -> staff have to be trained for
are more willing to stay with the company. that job.
Staff may want more pay as they are highly
skilled and maybe headhunted specifically.


Job Rotation:

 This is a form of job enlargement; this is when you move from one job to the next. Tends to
work with lower skilled jobs.
 Means you are not dong the same thing all day.
 This should keep motivation high as you are not doing the same job. However this does not
work all the time.
 Advantages and disadvantages are the same as job enlargement.

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