IGCSE Business Studies 2.1.1 The importance of a well motivated workforce Learning Outcomes To be able to understand: • Why people work and what motivation means To be able to understand and apply: • The concept of human needs – Maslow’s Hierarchy • Key motivation theories: Taylor and Herzberg SO WHAT IS MOTIVATION??? Motivation… Some definitions What’s the motivation? What might have motivated these people? Task • Can you think of a time when you (or someone else you know) really really wanted to achieve a particular goal? • What motivated you (them)? Let’s get them written on the board Why do people work and what makes them work hard once they’re there? MOTIVATION AND WORK Why do people work? Brainstorm as many reasons as you can Increasing Worker Motivation To get the best out of workers firms need to understand why people work and what might make them motivated to work harder. Very Easy Question……. What are the benefits to a business of having a motivated workforce? Why is Motivation Important? • Higher productivity • Better customer service • Improved teamwork • Lower absenteeism • Lower labour turnover These all lead to LOWER COSTS or HIGHER REVENUES and therefore HIGHER PROFITS Task: Can you analyse how? Write one sentence fully explaining ONE benefit of having a motivated work force Task • What does this picture mean? • What types of factors do you think would motivate employees to work harder? • Think of as many ideas as you can THE CONCEPT OF HUMAN NEEDS - MASLOW Abraham Maslow Maslow’s Hierarchy of Needs • Abraham Maslow (1908 – 1970) introduced the Neo-Human Relations School in the 1950’s, which focused on the psychological needs of employees. • Maslow put forward a theory that there are five levels of human needs • All of the needs are structured into a hierarchy • Once a level of need has been fully met, a person will be motivated by the opportunity of having the next need up in the hierarchy satisfied Maslows Hierarchy of Needs Research Maslow’s hierarchy and fill in your template Include the name of each level and a description of what each level means Maslows Hierarchy of Needs Self Actualisation Needs Esteem Needs Social Needs Safety Needs Basic Needs Which level of needs will each of these meet? APPLYING MASLOW IN THE WORKPLACE Which need? Paying workers a fair salary Which need/needs? Giving an employee a promotion Which need/needs? Having a staff Christmas party? Which need/needs? Employee of the month scheme Which need/needs? Providing protective clothing Task • How can employers aim to satisfy the needs at each level of the hierarchy? • Each group will take one need and brainstorm ideas: House points for • Basic Needs the best ideas. • Safety Needs • Social Needs • Esteem Needs • Self Actualisation The hierarchy of needs version 2.0???? Frederick Herzberg and Frederick Taylor KEY MOTIVATION THEORIES Frederick Herzberg: Two Factor Theory Task • Let Frederick Herzberg introduce you to his thoughts on what motivates workers • Watch the video ‘Jumping for Jellybeans’ Questions: • What are the 2 types of factors that Herzberg identifies? • What are some examples of these 2 factors? • What is the difference between movement and motivation? • What is job enrichment? • What is meant by KITA? Herzberg’s Two Factor Theory • Herzberg developed the idea of job satisfaction • In the right circumstances, people can get pleasure from their work • If people enjoy their work they will be MOTIVATED • Herzberg stated that MOTIVATION is different to MOVEMENT The Two Factors Herzberg said that there are two types of factors that affect workers motivation • Motivator Factors – Factors which if present will motivate staff • Hygiene Factors – Factors which will not in themselves motivate, but will demotivate staff if they are not present Frederick W Taylor: Scientific Management What Taylor thought….. Famous for applying his principles of scientific management to the world of work. Taylor was interested to see whether a job or work could be designed to increase efficiency. He tried to break down tasks into smaller steps and look at exactly how production actually worked. Task • Watch the video clip • http://www.youtube.com/watch?v=8Pd mNbqtDdI Questions: • What were Taylor’s core principles? • What were the benefits of Taylor’s approach? • What were the problems of Taylor’s approach? • What was Taylor’s view on pay? • What do you think Herzberg would think of Taylor’s principles? Taylor’s Views….. • • • • • Frederick Winslow Taylor (1856 – 1917) put forward the idea that workers are motivated mainly by pay. His Theory of Scientific Management argued that workers do not naturally enjoy work and so need close supervision and control Managers should break down production into a series of small tasks Workers should then be given appropriate training and tools so they can work as efficiently as possible on one set task. He advocated Piece Rate Pay Henry Ford adopted Taylors approach, as it increases productivity and reduces unit costs. However workers soon came to dislike Taylor’s approach as they were only given boring, repetitive tasks to carry out and were being treated little better than human machines. Firms could also afford to lay off workers as productivity levels increased. Poor Motivation at the Sandwich Factory • Gregg’s Sandwich Factory has a big problem with their staff • Labour turnover and absenteeism are high and productivity has fallen • Currently each member of staff on the production line has their own section and are paid the national minimum hourly wage according to their age • Staff always stay on their own section and due to the way the factory is set up, has very little interaction with other staff apart from at lunchtimes Task • Each group takes on the theory of a motivational theorist: • Mayo • Taylor • Maslow • Herzberg Assuming you are following one motivational theory, write detailed suggestions on how you would improve motivation at Greggs Task • Read the ‘Motivation at Tesco’ case study and see how each of the motivation theories have been implemented Homework Herzberg’s theory states that ‘Pay is not a motivator’. With reference to Herzberg as well as other motivational theorists discuss whether this view is true (12 marks) Knowledge 2 Application 3 Analysis 3 Evaluation 4