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Remuneration And Motivation

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It is universally acknowledged that remuneration is the key to drive the employees to be more productivity, enhance job satisfaction as well as the direction that determines the organizational behaviour of one. In the early 1900s, Taylor (1903) suggested that financial incentives were significant in improving efficiency of workers. However, the role of money has been revealed that it is not the sole factor to improve worker performance, while other factors need to be considered, as such human relations and social networks in the workplace, it is evident that these have become more important nowadays. Motivation defined by Kreitner (1995) is the process that gives behaviour purpose and direction. It is also defined as psychological drives which…show more content…
An effective human resource management can always add value to an organization. It goes without saying that monetary always acts as a useful motivator in the workplace, managers can use pay to motivate employees to increase productivity and attain their work goals. Remuneration can be used to motivate from the bottom level of the organization to the top management, even CEOs, it stimulates people to work hard to achieve organizational goals, acts as an inducement to attract people to join and remain with an organization (Weddell et al. 2013 p250). The growing trend that employees reward by cash compensation when they meet or exceed performance goals set and in fact that subordinates tend to be more satisfied and motivated when rewarded by their supervisor (Yammatino et al., 1990). It is also evident that salary and remuneration system which accentuates variable pay, flexibility and achievements based on performance are now more applied by organization than emphasize on increase to base pay (Hewitt Associates 2006). Bonuses and allowances based on profit and accomplishments are widely used by the organization, especially compensation plan based on performance, called as merit pay plan. Likewise, individuals with more achievement oriented and entrepreneurial are found to be more concerned with competency…show more content…
Individuals, most particular the young adults, may tend to focus on social network, opportunities of career development rather than how much they can receive at the end of the day. The opportunity to promote to a higher level or assign for more responsibilities within an organization is highly motivational aspect of any work environment which provides aspirations to employees to enhance and discover abilities and scopes of an individual. Different from last generations, the changing nature of organization finds out that new generations are not going to stay with one organization for life (Wilson 2014 pp.321). Instead, people tend to change job 12 times on average during their career (Alison). A survey has shown that roughly 34% of respondent would choose to leave the job due to lack of pay rises, yet there were 32.2% of respondents were due to working environment (Alan 2014) for both office politics and poor morale. Other than this, instead of financial incentives, gain fulfilment, personal achievement, being creative as well as safe environment provided by the organization are standing out of line in selecting a job which can be treated as motivation source to encourage employees to work effectively and efficiency. For example, Google Inc. which was ranked as the best place to work in 2015 by Fortune (Fortune 2015). Google
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