An understanding of the psychological theories of motivation allows one to critically analyse a total rewards approach.
Motivation is seen as an important notion in psychology. Psychologically people have their own interior motivations, such as love, happiness and self-worth and they are also motivated by things outside themselves that for some reasons may cause them to take action. It is the process by which we behave the way we do and direct and make us persevere in our efforts to accomplish a goal. The energy may come from an inside source or an outside source and can be classified as either intrinsic or extrinsic motivation (Rodgers & Loitz, 2009). Intrinsic motivation and extrinsic motivation are the two types of motivation that are two opposing ways to motivate individuals. Intrinsic motivations arise from within. Extrinsic motivations arise from the outside. It is clear that motivation is the key to good performance but what is the best way to motivate someone? Intrinsic motivation is when you do something and you do it because you enjoy doing it. It can be a life-long and self-sufficient form of motivation. Individuals do the task because they want to and not because they are being made to. Intrinsic motivated individuals do their utmost to learn and understand the task, not just the highlights of it. This type of motivation focus more on learning the task and not at the rewards connected with it .(Ormrod, 2008, p. 454) The enjoyment of doing what one love to do would be enough for future activity performance as the task is found to be enjoyable and valuable alone. Intrinsic motivation can be a slow process and can also require special and prolonged preparation. Since individuals learn differently, there are a variety of factors that motivate each individual Extrinsic motivation is when you do something to get rewards, money or praise. Rewards are used to attract and motivate. From the barter system of the past centuries to today’s incentive systems, employees where attracted and motivated with rewards. One who is extrinsic may not enjoy performing certain activities but still does them to receive rewards. Extrinsic motivation is more likely to create behavior changes and can involve little to no preparation or effort to do a task. This type of motivation also requires little to no knowledge of individual interests. Extrinsic motivation often does not work over the long term. Once the rewards are removed, individuals tend to lose their motivation. Extrinsically motivated individuals tend to apply only the minimum behavioral and cognitive effort needed to perform the task at hand, only learning the minimal amount necessary to achieve desired rewards. Some people aim to please and to receive praise for their hard work. This is one of the strongest and most common of extrinsic motivation. Numerous studies show recognition and praise contribute more to job satisfaction than financial incentives. Example:
Mary enjoys helping mom and dad clean up after dinner and other chores throughout the week (an example of intrinsic motivation). Her parents think that giving her €10 per week to do the chores would help her to keep the house clean during the week .So they do and Sarah agrees obviously. (An example of extrinsic motivation). At that point, the extrinsic motivation takes over the intrinsic motivation. Her parents decide to take away the $10 because Mary does not seem as willing to do the chores anymore and the quality of cleaning dipped. Sarah threw a tantrum and stormed off to her room. Here one can see the discrepancy between extrinsic and intrinsic motivation. Frederich Taylor (1865-1915) in the early 1900’s stated that workers must have extrinsic incentives to be motivated. Workers would have a poor performance if not compensated. There is a big difference between extrinsic motivation and intrinsic motivation in today’s world. The new generation seeks and wants intrinsic motivators...
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