Preview

Motivating and Rewarding Employees

Good Essays
Open Document
Open Document
8811 Words
Grammar
Grammar
Plagiarism
Plagiarism
Writing
Writing
Score
Score
Motivating and Rewarding Employees
CHAPTER 10 - MOTIVATING AND REWARDING EMPLOYEES

LEARNING OUTCOMES
After reading this chapter, students should be able to:
1. Define and explain motivation.
2. Compare and contrast early theories of motivation.
3. Compare and contrast contemporary theories of motivation.
4. Discuss current issues in motivating employees.
5.
Opening Vignette – Best Practices at Best Buy
SUMMARY
Do traditional workplaces reward long hours instead of efficient hours? Wouldn’t it make more sense to have a workplace in which “people can do whatever they want, whenever they want, as long as the work gets done?” Well, that’s the approach that Best Buy is taking.1 And this radical workplace experiment, which obviously has many implications for employee motivation, has been an interesting and enlightening journey for the company.
In 2002, then-CEO Brad Anderson (now the company’s vice chairman) introduced a carefully crafted program called ROWE (Results-Only Work Environment). ROWE was the inspiration of two HRM managers at Best Buy, Cali Ressler and Jody Thompson, who had been given the task of taking a flexible work program that was in effect at corporate headquarters in Minnesota and developing it for everyone in the company. Ressler and Thompson said, “We realized that the flexible work program was successful as employee engagement was up, productivity was higher, but the problem was the participants were being viewed as ‘not working.’ ” And that’s a common reaction from managers who don’t really view flexible work employees as “really working because they aren’t in the office working traditional hours.” The two women set about to change that by creating a program in which “everyone would be evaluated solely on their results, not on how long they worked.”
The first thing to understand about ROWE The first step in implementing ROWE was a culture audit at company headquarters, which helped them establish a baseline for how employees perceived their work environment. After

You May Also Find These Documents Helpful

  • Powerful Essays

    The study examined the influence of rewards (payment, promotion, recognition and benefits) on employee work motivation. Subjects for the study consisted of one hundred and sixty seven employees of commercial banks of Kohat, Pakistan. Data for the study were gathered through the administration of questionnaire. The data collected was subjected to appropriate statistical analysis using “Pearson Product Moment Correlation Coefficient and Analysis of Variance,” all the findings were tested at 0.01 and 0.05 level of significance. The results obtained from the analysis showed that there existed strong relationship between rewards and employee motivation in commercial banks of Pakistan . The results also indicated that women experienced lower levels of motivation based on rewards they received . On the basis of these findings implications of the findings for future study were highlighted.…

    • 1955 Words
    • 8 Pages
    Powerful Essays
  • Better Essays

    Motivation and Employees

    • 1123 Words
    • 5 Pages

    Setting long term and short term goals both help to guide employees in what is they are reaching for and it also gives them some accountability along with receiving incentives for accomplishing the goals they set. It also gives a…

    • 1123 Words
    • 5 Pages
    Better Essays
  • Good Essays

    The intrinsic motivation at the SAS institute can be attributed to many work and personal related factors. As quoted in the text, Bev Brown from external communications states: “Some may think that because SAS is family-friendly and has great benefits that we don’t work hard…. But people do work hard here, because they’re motivated to take care of a company that takes…

    • 698 Words
    • 2 Pages
    Good Essays
  • Good Essays

    Rowe Program at Best Buy

    • 987 Words
    • 4 Pages

    Best Buy culture has changed tremendously. The company’s culture was once to embrace long hours and sacrifice, now the culture is more relaxed. The employees are now really able to run their own schedule as well as their own work progress. Before the ROWE program was introduces to the Best Buy employees would have to work until they found a solution. That means staying at work all night and day if the job or situation requires it. For example the book talks about one employee that was given a plaque for staying up and at work for three days to right a report that was due. He made a sacrifice for his job that made him end up in the hospital.…

    • 987 Words
    • 4 Pages
    Good Essays
  • Powerful Essays

    Ressler, C., & Thompson, J. (2008). Why work sucks and how to fix it. New York: Portfolio.…

    • 2800 Words
    • 12 Pages
    Powerful Essays
  • Powerful Essays

    Employee Motivation

    • 8213 Words
    • 33 Pages

    Motivation is the process of attempting to influence others to do their work through the possibilities of gain or reward. Employee work motivation and performance will be analyzed from the perspective of motivation theory as the central for the analysis. Motivation involves getting the members of the group to pull weight effectively, to give their loyalty to the group, to carry out properly the purpose of the organization.…

    • 8213 Words
    • 33 Pages
    Powerful Essays
  • Powerful Essays

    Motivating Employees

    • 1591 Words
    • 7 Pages

    There was a point in time when employees were not valued by their managers or the company. Employees were perceived as just a small factor in the equation to produce goods and services. Elton Mayo led a study from 1924 to 1932 that was referred to as Hawthorne Studies, and the research that was attained changed the way employees were viewed (Lindner, 1998). Since an employee’s attitude has a direct effect on their performance, employees went from being viewed as something of minimal importance to a top priority (Lindner, 1998). Motivation has a major influence on an employee’s attitude; therefore, also influences their performance.…

    • 1591 Words
    • 7 Pages
    Powerful Essays
  • Good Essays

    Google, Apple and Semco

    • 1339 Words
    • 6 Pages

    Three articles, three companies and three very different managing styles. The articles look at how three very important people keep a handle on their employees. Steve Jobs co-founder of Apple and his non-text book approach to an autocratic managing style, CEO of Google Eric Schmit and his laissez-faire catastrophe and Ricardo Semler CEO of SEMCO and his participative ways that surprisingly seem to be working. All run in different markets and have created their own rules to follow. They are the companies paving the way and demonstrating how to be successful in traditional ways but with their own twist. Sometimes they may not seem like the most efficient ways to get your workers to be productive, but in these astounding cases they seem to be working. It may just be the personality of these superiors, or just the absolute fluke, but it works.…

    • 1339 Words
    • 6 Pages
    Good Essays
  • Satisfactory Essays

    Work Ethic

    • 417 Words
    • 2 Pages

    In 21st century America, where most of us think life should be easy and things that take too much time and effort are to be avoided, convincing people that working long and hard is a difficult task. As has been previously reported by the Bureau of Labor and Statistics the number of hours the average worker devotes toward his job has been steadily decreasing since 1958 (para 18). While we would expect to contribute this decline to some degree to technology, as good deal of the decline has been pegged to workers simply not brining to the job the enthusiasm and work ethic that they once did.…

    • 417 Words
    • 2 Pages
    Satisfactory Essays
  • Good Essays

    For this project, I will be writing about the various ways in resolving personality conflicts in an organization. There are conflicts which deal with personalities, discrimination and leadership. These are common situations to any organization. At my company, a conflict arises due to the mere fact that one believes the research of a Teflon product made by Boston Science Guys Corporation is stronger than the other Teflon product made by Johnson & Joe, Inc. Here are two heated employees in a debate that one knows more about a Teflon manufactured product than the other. This situation will need to have a neutral person involved to view the differences regarding the disagreement which creates a conflict of interest of the organization. That is where I step in when a situation arises. In order for me to facilitate all individuals involved, the cooperation from all will be needed. During this process, a meeting will be schedule and conducted to have both employees describe the escalated debate of something that could have been handled in a better way by both employees. If there is any sense of unwillingness, an appointed manager or supervisor of that particular department will be the person to defuse the situation in order to resolve the conflict. My input will be valued in order to move forward with an objective of what the goals of this organization needs in resolving any conflict that arises from any situation. My consultation will consist of objectives, procedures, collaboration, training, and solutions. An outline of my project is as follows:…

    • 629 Words
    • 3 Pages
    Good Essays
  • Powerful Essays

    The processes of motivating employees is one of the most important functions of management. One of the biggest challenges faced by managers is getting employees to do what they are supposed to do (Lane & Rierdan, 2001). For some people, the rewards that employees receive from the organization are motivation enough for them to work their hardest. However, no two people are the same and what serves as motivation for one employee, could possibly be perceived by another employee as punishment. Everyone has their own personal motivators, intrinsic and extrinsic. In this paper I will discuss these motivators along with theories and perspectives that help managers influence employees. I will also discuss Maslow's hierarchy of needs and how it relates to the "What's In It For Me?" perspective, how Maslow's theory and the goal-setting theory relate to the Motivation Machine perspective, and how compensation can be used as a motivational tool.…

    • 2753 Words
    • 10 Pages
    Powerful Essays
  • Better Essays

    The organizational approach that the ROWE program illustrates would be the organizational development approach. “The organizational development approach refers to developing employees’ competencies to solve problems by enabling them to identify and become emotionally committed to improving performance of the firm” (Hellriegel & Slocum, 2011, p.553). The ROWE program gives employees a chance to become a part of a process. This process allows them to make decisions and solve problems on their own. The employees answer to themselves and have to make decisions that affect how and if they perform their jobs. For example, Jansen was having a problem with a Best Buy supplier that had not been paid. Its…

    • 1147 Words
    • 4 Pages
    Better Essays
  • Better Essays

    Motivation in Employees

    • 1424 Words
    • 6 Pages

    What is motivation? Motivation is difficult to explain and even harder to "turn on" in people. Webster defines motivation as "an act or process of motivating; the condition of being motivated; a force, stimulus, or influence: incentive or drive" ("Motivation"). It is most often the job of the manager to use motivation to drive its employees to accomplish acts which they normally would not have done. The study of motivation helps managers understand what prompts people to initiate action, what influences their choice of action, and why they persist in their action over time (Daft and Marcic 444). Over the years many theorist have studied the human condition of motivation, and learned various techniques to help managers figure out what makes employees seek to attain higher knowledge, wealth, prosperity, and happiness in their work.…

    • 1424 Words
    • 6 Pages
    Better Essays
  • Better Essays

    Extreme Jobs

    • 1321 Words
    • 6 Pages

    References: Hewlett, S. & Luce, C., 2006, Extreme Jobs: The Dangerous Allure of the 70 hour workweek, Harvard Business Review…

    • 1321 Words
    • 6 Pages
    Better Essays
  • Good Essays

    having fun at the office by offering places designed to relax and have a good time…

    • 886 Words
    • 4 Pages
    Good Essays

Related Topics