Is Money Really an Effective Motivator?

There should be some way of connecting pay to job performance. The best way of doing this would be to award bonuses to those workers who are at the top of their class. This would not only motivate workers to do a good job, but also reward the employees that do succeed. TOP EXECUTIVES DESERVE THE MONEY THAT THEY MAKE INTRODUCTION It is a well-known fact that many people holding high positions in companies make an exorbitant amount of money. Some, however, say that they do not deserve the amount that they are paid.

A theory of human motivation. Psychological Review, 50(4), p.p.377. Retrieved January 15, 2014, from http://dx.doi.org/10.1037/h0054346 Maslow, A. (1943). A theory of human motivation.

Although money may not be the only motivator in the workplace, it is the basis for the attitudes and behaviours of employees. If an employee feels they are being well paid and rewarded financially for their hard work and any extra effort, then they will be more likely to work hard and strive to gain these financial rewards. However if an employee is unhappy with the money that they are receiving for their work then it will be very difficult for them to be motivated in their work. One other view that supports money being a key motivator is that people feel that they are highly valued if they are receiving a decent salary. The higher their salary the more valued they feel within the organisation and so the more likely they are to work hard in their job and be motivated in their work.

However, this question will make a lot of people surprise when they have it. In my opinion, I think money has two sides for the happiness because money can make us happiness in working, and their life. Diversely, money cannot make us happiness if we overuse it and don’t know how to use it in the right situation. So we need to have money, happiness, and working to be balance and make thing work out. Day by day this thing flow around the work, it is too importance, that we don’t have enough of it and it is call money.

Critically evaluate this statement: Managers who rely only on pay to motivate their employees to higher levels of job performance will always be disappointed n the results. Pay is one thing that causes many discrepancies within the work environment. Most employees continue to try and further themselves in work usually with the hope of better pay; fringe benefits i.e. company cars, pensions and so on. There are however, those who show “highly motivated behaviour where economic rewards are low.”[1] This citation agrees with the above statement, however, throughout this essay I will sum up where pay can be seen as a good motivator and where extrinsic benefits fail.

Shapere, Dudley. “The Structure of Scientific Revolutions.” The Philosophical Review 73, no. 3 (Jul., 1964): 383-94. Accessed March 11, 2014. http://www.jstor.org/stable/2183664. Shelley, M., ed.

Keeping good employees increases profits. Employee turnover is a direct drain on the bottom line. Another incentive for employee retention is the high cost of recruiting and replacing valued employees. In a low-unemployment market, employees are increasingly difficult to find. Many employers are trying to reduce employee turnover with quick fixes, gimmicks, games, and prizes that just don't work.

For example, an employee would strive to gain recognition for his work and gain as much financial incentives as possible. On the other hand, the organisation would be trying to retain its top talent as well as securing revenue that would aid its expansion (Lester and Turnley 2002). The psychological contract consist of two forms, transactional and relational (Rousseau 1990). Transactional form of psychological contracts are generally short-term and involves with monetary exchange while relational form are often long-term and includes both monetary exchange as well as social contributions (Morrison and Robinson 1997). Failure to meet the terms of the psychological contract constitutes to a breach of trust and result in an impaired relationship to employees and the organisation.

At that time, the managers decided to give employees incentive bonuses, to encourage them to work better, even though, they do not reach their daily goal. Taylor disagrees with this; he believed that the secret of productivity was finding the right challenge for each employee, and then paying him for increased output. He wanted the managers to pay incentive bonuses to those who fulfilled their goal. T... ... middle of paper ... ...or felt that employees needed to be closely supervised and told what to do. This was because; employees tend to do as little as possible and would not work in the most efficient way.

In my opinion, I think money has two sides for the happiness because money can make us happy in working, and their life. Diversely, money cannot make us happy if we overuse it and don’t know how to use it in the right situation. So we need to have money, happiness, and working to be balanced and make thing work out. Day by day this thing flow around the work, it is too importance, that we don’t have enough of it and it is called money. Why does it become our important?