From a Human Resource Management perspective, and with reference to the motivational theories covered in the module, provide a reasoned and academically underpinned critical analysis of the reasons behind the lack of morale and motivation among the employees at Canzalian Credential. Evaluate the effectiveness of pay as a method of motivation in this case. Further recommendations should also be made outlining suitable changes to the HR strategy and practice in the future and these should be adequately justified.
Word Count: 4,133
This assignment reviews the case study provided and analyses the possible reasons for lack of motivation among the staff of the Canzalian Credit Assessment Unit (CCAU). It firstly defines motivation and then briefly considers the different motivational theories covered, before proposing possible reasons for the lack of motivation. The effectiveness of pay as a motivator is specifically considered. Finally recommendations are made, based upon HRM principles, of changes that could be effected at the CCAU to improve both staff motivation and performance going forward. What is motivation?
According to the Merriam-Webster online dictionary, a motive is ‘something (as a need or desire) that causes a person to act’, and motivation is ‘a motivating force, stimulus, or influence, incentive, drive’. Armstrong (2001, p. 156) describes motivation as ‘goal-directed behaviour’. People are motivated when they have the expectation that a particular action or achievement will result in the attainment of a valued outcome or reward. According to Armstrong (2001, p. 156), Arnold (1991) defines the components of motivation as follows: * Direction – what a person is trying to do
* Effort – how hard the person is trying
* Persistence – how long a person keeps trying
The degree of effort and persistence in particular depend on whether the motivation is intrinsic or extrinsic. Intrinsic motivation is generated by the person him/herself, and factors that determine the strength and degree of motivation are for example, sense of responsibility, autonomy, scope to develop skills, opportunities for betterment etc (Armstrong 2001, p. 157). Extrinsic motivation is external factors that motivate people e.g. pay, praise, promotion, or punishment such as criticism (Armstrong 2001, p.157). It has been shown that intrinsic motivation is likely to last longer and have a deeper impact than extrinsic motivation, where the effect tends to wear off over time (Eisenberger, Pierce and Cameron, 1999). Motivation Theories
A brief summary of the motivation theories covered in this module follows. Instrumentality theory
This theory has its roots in Taylor’s scientific management methods (1911) and states that reward or punishment can be used to induce people to behave in certain ways (Armstrong 2001, p. 158). It propounds that people will be motivated to work if there is a direct link between their actions and the reward or punishment and importantly, that reinforcement will strengthen motivation to perform the desired activity. It has been widely applied in the workplace, with some success, however since it is based exclusively on extrinsic factors and ignores intrinsic needs, it does have shortcomings. Needs theory
This theory posits that people’s behaviour is motivated by unsatisfied needs. The theory was originally put forward by Maslow in 1954, when he postulated a hierarchy of needs, as follows (Armstrong 2001, p. 159): 1. Physiological – survival needs such as food, water and oxygen 2. Safety – the need for protection
3. Social – the need for social belonging, love and affection 4. Esteem – the need to have an evaluation of self and be regarded by others 5. Self-actualisation – the need to develop skills and self to achieve fulfilment of what one believes one can become Maslow proposed that a need not satisfied provides motivation and as a lower-hierarchy need...