Differences between "intrinsic" and "extrinsic" rewards in relation to employment
There is nothing harder than influencing the others to behave the way you want them to, and this is exactly the duty of every manager. His/her job is to make people perform in the best interest of the organization which is quite a challenging objective. While aiming at maximum productivity, management should be well aware that job performance is a function of ability and motivation (http://www.accel-team.com/motivation/). And though the process of improving qualification is time consuming and expensive as it involves training, education and experience, the motivation on the other hand may be enhanced quickly and efficiently.
Nevertheless, motivation is a complex issue as "individuals differ enormously in what make them happy- for some competition, winning and wealth are the greatest sources of happiness, but for others, feeling competent or socializing may be more satisfying"(Steven Reiss, 2005). However, motivation is frequently based on rewards, which can be described as intrinsic or extrinsic according to their nature.
The concept of intrinsic satisfaction or intrinsic motivation determines an activity as satisfying or pleasurable in and of itself as the rewards come from carrying out the activity rather from the result of the activity(http://www.beswick.info/psychres/management.htm). Naturally, these activities are things people like and want to do. To do these things they don 't need to be paid, thanked or respected, commonly they do them for the good feelings they automatically and naturally get from the activity.
Intrinsic rewards also involve pleasurable internal feelings or thoughts and this is why the term "intrinsic" may sometimes occur with a different connotation in reference to incentives which are consistent with personal qualities, intentions and values. Satisfaction gained from such incentives may be seen as intrinsic to the person rather than to the task. They include feelings of personal satisfaction, a sense of achievement, status,
Nevertheless, motivation is a complex issue as "individuals differ enormously in what make them happy- for some competition, winning and wealth are the greatest sources of happiness, but for others, feeling competent or socializing may be more satisfying"(Steven Reiss, 2005). However, motivation is frequently based on rewards, which can be described as intrinsic or extrinsic according to their nature.
The concept of intrinsic satisfaction or intrinsic motivation determines an activity as satisfying or pleasurable in and of itself as the rewards come from carrying out the activity rather from the result of the activity(http://www.beswick.info/psychres/management.htm). Naturally, these activities are things people like and want to do. To do these things they don 't need to be paid, thanked or respected, commonly they do them for the good feelings they automatically and naturally get from the activity.
Intrinsic rewards also involve pleasurable internal feelings or thoughts and this is why the term "intrinsic" may sometimes occur with a different connotation in reference to incentives which are consistent with personal qualities, intentions and values. Satisfaction gained from such incentives may be seen as intrinsic to the person rather than to the task. They include feelings of personal satisfaction, a sense of achievement, status,
References: http://www.accel-team.com/motivation/ http://researchnews.osu.edu/archive/inmotiv.htm Redman, T. and Wilkinson, A. (2001) Contemporary Human Resource Management: Prentice Hall http://www.workhealth.org/projects/psfhotel.html Vatchkova, E. and Djulev, K. (2000) Human Resources Gordon, J. (1993) A diagnostic approach to organizational behavior (4th ed.) Allyn and Bacon Mullins, L. (2005) Management and Organizational Behavior; London: Pitman Publishing http://www.nsi.bg Training materials for Radisson SAS