Improving motivation

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What are the 4 types of payment method?
Piece rate, salary schemes, commission, performance related pay.
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What is piece rate?
When workers are paid per unit produced. They don't get a fixed salary and aren't entitled to sick pay, holiday pay or company pensions.+high output, - lower quality, -morale may suffer due to high pressure levels.
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What are salary schemes?
Employees have to work a min number of hours and produce a certain amount of work, if they don't, they must work longer. +motivates workers do produce quickly at high quality, - workers can't earn extra by working harder and producing better quality.
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What is commission?
Workers are paid a bonus on top of their salary based on sales or units produced. +increase motivation and performance of sales staff, - can lead to overselling, -customers can feel overwhelmed, - the business won't know its labour costs.
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What is performance related pay?
Workers are paid based on their performance or the performance of the business. +workers are motivated to meet their own targets to ensure the business meets its objectives, - lead to demoralisation if only some staff are getting increased pay.
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What is flexible working?
When working hours and patterns are adapted to suit the employees.
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What are the types of flexible working?
Flexi-time (workers choose when to work their hours), compressed hours (employees do all work over a few days), annual hours (choosing when to work hours over a year), job-sharing (2 people share 1 job), home working (employees work from home).
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What are the advantages of flexible working?
Improves motivations therefore improving productivity, flexible working helps employees with children, home-working suits families, disabled, and remote workers.
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What are the disadvantages of flexible working?
Can be impracticle for businesses who serve the public in working hours, home workers may be easily distracted at home, job-sharing can lead to confusion over responsibilities and unequal workloads.
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What are the non-financial forms of motivation?
Job enlargement, job enrichment, empowerment, team-working, improved working environment.
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What is job enlargement?
The giving of more work at the same level.
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What is job enrichment?
Employees are given more challenging work, and training they need to do it. Gives employees more responsibilities.
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What is job empowerment?
Employees are given more control over their work, with a greater role in decision making.
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What is team-working?
Putting workers into small teams to let them organise their own work, leading to job enrichment and empowerment as workers get a greater role in a variety of tasks.
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What are better working conditions?
When a more pleasant working environment is provided, making workers feel like the business is looking after them and will motivate the workers to do their best work.
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How can the size of a business affect payment methods?
A national supermarket will pay an hourly rate as it is difficult to distinguish one persons work from another.
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How can organisational design affect non-financial motivation?
A flat structure might not want to introduce team-working as team leaders introduce an extra level of hierarchy. Might motivate via job enlargement or enrichment instead.
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How can a flat structure affect empowerment?
Empowerment will be more common as communication is easier.
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How can a large number of high- skilled workers affect non- financial motivation?
Larger high skilled workforce business will put more focus on non-financial motivation, this is because skilled employees are more likely to respond to job empowerment and enrichment than financial incentives.
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Other cards in this set

Card 2

Front

What is piece rate?

Back

When workers are paid per unit produced. They don't get a fixed salary and aren't entitled to sick pay, holiday pay or company pensions.+high output, - lower quality, -morale may suffer due to high pressure levels.

Card 3

Front

What are salary schemes?

Back

Preview of the front of card 3

Card 4

Front

What is commission?

Back

Preview of the front of card 4

Card 5

Front

What is performance related pay?

Back

Preview of the front of card 5
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