Non Monetary Motivational

Methods

TECHNIQUES OF MOTIVATION

• Monetary Reward

• Performance Bonus

• Profit – sharing

• Retirement Pay

• Vacation Pay

TECHNIQUES OF MOTIVATION

Monetary

• Motivation – monetary techniques.

• Increase in Workers’ Pay and Bonuses.

• This Increase the varied performance of the employees.

• IBM provides “healthy living” incentives. Investment in employee health is

prevention for healthy lifestyles.

Practical Example - IBM

NON MONETARY TECHNIQUES

• Method to increase Employee participation and Employee satisfaction

• Started in 1980s by American corporate

• Recognition is the driving force nowadays

NEED FOR NON-MONETARY REWARDS

• For creating more value, company institutionalized non-monetary

methods, rewards, and recognition system• Used as a Motivational tool

• Recognition and Rewards-o creates positive work cultureo Encourages to deliver qualityo Creates personal challengeso Effective way of building loyaltyo Inspires to give their best

• Creating a cooperative environment

• Flexible Hours.• Policy of appreciating

Employees• Good promotion policies• Job Satisfaction• Job Enlargement • Job Enrichment

TECHNIQUES OF NON MONETARY MOTIVATION

Non Monetary

• Clarity of organizational and individual goals

• Effective training programmes

• Effective communication flow

• Quality of work life

• Career planning

TECHNIQUES OF MOTIVATION

Non Monetary

• Achievement orientation

• Independence and Autonomy

• The Opportunity to Contribute

• Recognition

TECHNIQUES OF MOTIVATION

Non Monetary

• Creating a cooperative environment– Creating climate of esteem and regard– Competition which is healthy and free from rivalry

• Flexible Hours– can help employees meet some of their

obligations – By allowing some flexibility in an employees

schedule you can increase their desire and motivation.

• Policy of appreciating Employees– Appreciating in staff by meetings– Send appreciation by mails,messeges– Celebrating events like birthdays, anniversary.– Awards like employee of the month.– Welcoming new employees with welcome gifts like

bags,watches,penset.

• Good Promotion Policies– The objective of the promotion policy is to ensure that high

performance levels are recognized and rewarded.

Promotion should be on bases of performance appraisal scores. • Attendance (excluding Privilege Leave). • Competencies (behavioral and domain expertise) • Education • Honesty and sincerity

• Ability to do many tasks - Multi-tasking. • Honesty and sincerity

• Job SatisfactionJob satisfaction or employee

satisfaction has been defined in many different ways. Some believe it is simply how content an individual is with his or her job, in other words, whether or not they like the job or individual aspects or facets of jobs, such as nature of work or supervision.

• Job Enlargement • Giving employees more duties of a similar level of

difficulty• Employees have more jobs to do at the same level • Workers carry out a range of duties rather than a

single duty which helps to increase motivation

• Job Enrichment

• When employees jobs are redesigned to provide them with more challenging and complex tasks

• Increase in the range of tasks an individual does• Workers have more responsibility for their own

management • Workers are able to identify and solve any problems

that they encounter• Gives workers training to improve skills so can meet

increased job demands

Clarity of organizational and individual goals

•Transparency in goal setting for organization •Mentors for teams and individual

• Effective training programmes– building a strong and knowledgeable staff– training media and methods– Feedback reinforces learning

• Effective communication flow• Organization wide communication – involving all

employees• Departmental communication – specific to one

department or unit• Team communication – within one cohesive team or

group• Individual communication – specific to one employee

at any one time

• Quality of work life– Working environment – Involvement of employees

• Career planning– Planning and developing career path– Self Assessment– Goal Setting– Academic/Career Options– Plan of Action– Catch Hold of Opportunities

• The Opportunity to Contribute

- The opportunity to participate in more complex and imp job assignment.- To work closely with managers and management.- To be involved in key decisions.- To be listened to and heard.

• Achievement Orientation: Achievement orientation is influenced by a number of

factors, including the individual's emotional state, the specific task being undertaken, and the environment in which the task is being performance

• Independence and Autonomy.

Employees want to be able to work independently. They like to receive their assignments -preferable with the time frame required for completion and then have the independence to complete the work given the guidelines and framework you have set on their own merits.

• When people receive

recognition or affirmation for

their efforts it has a positive

motivational effect on them.

• Just a few words of

encouragement are worth their

weight in gold

Desire for Recognition

TYPES OF NON MONETARY REWARDS

• Treats – Free lunches, Picnics, B’day treats• Knick-Knacks- Desk accessories, T-shirts• Awards- Trophies, Certificates• Social Acknowledgement- Informal recognition,

Recreation clubs membership• Office Environment- Flexible hours• Tokens- Vacation trips, Allowances• On the job- More responsibility, Training

23

Benefits usually provided to employees

• Pension plan/pension contributions• Health insurance/above-standard medical treatment• Life insurance/other insurance• Education/training program/school fees• Recreation/sport/culture• Meal vouchers/canteen • Per diems• Employee loans• Company cars• Mobile phones• Gifts to employees• Accommodation• Share option/purchase schemes

& more...

MERITS

• Motivates employees to perform better• Costs your organization next to nothing• Builds tremendous self-esteem among people• Makes employees more loyal to company• Creates an atmosphere where changer is not resented

DEMERITS

• Demotivates if process is not transparent

• Could result in unhealthy competition among people

• May lead to short-sighted, hasty decision making

• Work intrudes on the home life of employees

• Will never work if monetary rewards are inadequate

A word of encouragement during a failure is worth more than an hour of praise after success.

Encouraged people achieve the best; dominated people achieve second best; neglected people achieve the least.

Thank You