Key facts about non financial motivation
Non-financial methods of motivation include:
- job rotation
- teamwork
- quality circles
- flexible working
These methods help keep employees engaged and satisfied without monetary incentives.
Factors affecting job satisfaction include:
- wages
- responsibility
- fulfilment
- enjoyment
- good working conditions
- praise from employers
What are non-financial methods of motivation?
Non-financial methods of motivation involve motivating employees in ways that don’t involve money. Non-financial methods of motivation include job rotation, teamwork, quality circles and flexible working.
Non-financial motivators
Job Rotation
Employees moved around different jobs to avoid boredom.
Advantage
- workers get opportunities to learn more jobs
- easy for manager to move people around if someone is ill
Disadvantage
Workers may still be bored as its just more of the same type of work.
Teamwork
Workers placed in groups to complete a task and the team will have the full range of abilities.
Advantage
- employees feel responsible for the team decisions
- increases the level of commitment of staff
- increases job satisfaction and morale
Disadvantage
May get a lazy team member who is ‘carried’ by the rest.
Quality circles
Employees are grouped together and meet regularly to examine quality and look for ways to improve it.
Advantage
- workers feel more motivated and empowered
- firm should see falling costs as quality circle finds ways to improve quality
Disadvantage
Initially any improvements may increase costs for the firm.
Flexible working
Employees have some control over the organisation of their working hours eg 37.5 hours per week over 4 days rather than over 5.
Advantage
- workers feel more trusted and empowered
- may reduce office costs if more staff choose to work from home one day per week etc
- may motivate staff who have childcare commitments or travel to sporting events etc
Disadvantage
- it may be disruptive for team meetings
- it may not be possible to offer these terms to all staff
- it does not apply to all industries eg hospitality, retail
What factors affect job satisfaction?
Wages / salaries
Most people would admit that pay is a key factor in applying for a job.
For some people, pay is just for peace of mind: to pay bills, buy groceries and enjoy some basic standard of living.
For others, pay is an indicator of status and allows them to buy luxuries like sports cars, nice houses and holidays.
Responsibility
As employees build up experience in their jobs, they often look for promotion to a more senior role. This gives them not only more pay, but also more responsibility and therefore status amongst their work colleagues.
Fulfilment
Some people feel a sense of pride in their work and make an effort to produce the best work that they can.
Enjoyment
If you are going to spend dozens of hours a week working, it is important to enjoy it…at least a bit!
Good working conditions
Getting along with your work colleagues, working in a modern, air-conditioned, well-lit building, having access to free parking: all of these things can contribute to job satisfaction.
Praise
If an employer has a good relationship with her staff and praises workers for their efforts, the staff are more likely to feel valued.
Try the non financial motivation quiz
Final checks
Which non-financial method of motivation involves employees meeting regularly to examine and improve quality?
Quality circles involve employees meeting regularly to examine and improve quality.
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