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Understanding Organizational Behaviour Management Essay

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Below is an essay on "Understanding Organizational Behaviour Management" from Anti Essays, your source for research papers, essays, and term paper examples.

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Have you ever considered why the directors, from multi-national companies, are paid over millions dollar annually to be motivated to do their jobs well? Ironically, in 2008, we witnessed the meltdown of financial market and many financial institutions as well as some major companies in the verge of bankruptcy, which clearly show that an extravagant monetary reward system does not always guarantee an increase in productivity or a delivery of good job performance. Motivating staff is always one of the most important, yet difficult responsibilities for any leaders in an organisation since “ higher employee motivation leads to greater creativity, productivity and discretionary effort which in turn lead to improved company performance “ (Becker, B.E, Huselid M.A 1998, Business Review Vol7) Therefore, it is necessary for us to reflect the gravity of pay in job motivation and revalue the importance of other tools in motivating people

In order to fully understand issues related to pay and motivation, we must first understand the meaning of motivation which involves three components ( see Work Psychology, Arnold 1958 ) – engagement ( what kinds of job a person is trying to do ), effort ( how hard a person is trying ), commitment ( how long a person will persist in his job); and there are two kinds of motivation ( Syed Tahir HIjazi 2007 ) – intrinsic motivation that stems from within a person and extrinsic motivation that come from the external factors , other than the jobs. Organisations normally use two types of means to reward and compensate their employees for their contribution to complete a certain job assigned as well as to motivate them to be more productive in the future. One is financial rewards which involve direct cash payments, indirect cash payments in the form of employee benefits, additional paid vacation time. The other is Non-Financial rewards which cater to employee’s internal needs...

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