Extrinsic motivators are tangible rewards such as bonuses and adequate time off. Intrinsic motivators, on the other hand, are intangible and develop from a person’s internal desire, including satisfaction and interests. As a result, the main difference is the ability to quantify, or measure, intrinsic rewards. At KPMG, employees acquire leadership and project management skills, in addition to the technical skills they develop. Additionally, employees are able to go on rotations, where they acquire additional skills. Both of these practices help keep employees interested and, as a result, derive some intrinsic value. Additionally, the Employee Career Architect (ECA) allows employees to develop a close relationship with their mentor/manager. This will help employees gain personal satisfaction because managers will acknowledge good behavior. It will also provide some challenges for them to overcome when they receive negative feedback. In both cases, employees will gain some intrinsic motivation.
The main arguments against monetary rewards are: 1) employees may cease to perform activities if they are not compensated for doing them and 2) monetary rewards decrease the intrinsic motivation. The main argument for monetary rewards is that monetary rewards provide a goal for employees to work toward. If they know that they will receive a bonus for excellent performance, then they may work harder. I don’t think that KPMG should continue to give bonuses. It may create inequity for the people who feel they are under rewarded. Also, there may be some disparity amongst the people who do not receive any bonuses and those that do. Additionally, it may create a hostile work environment where employees are always striving to be better than others, rather than part of a team.
When it comes to motivating employees across different cultures, a uniform system will never work. This is because some cultures differ in their values....