Motivation, appraisals, and rewards

Motivation, appraisals, and rewards

Understanding Motivation

  • Motivation is a driving force that stimulates individuals to take action and achieve goals.
  • It’s an internal or external factor that influences levels of commitment, productivity, and job satisfaction.
  • In a business context, employee motivation is crucial for enhancing output, reducing turnover, and boosting overall performance.

Types of Motivation

  • Intrinsic motivation derives from the pleasure or fulfilment of the work itself. Tasks are performed for their own sake, not for any external rewards.
  • Extrinsic motivation comes from external sources such as increased pay, recognition, or promotion opportunities.

Appraisals

  • An appraisal is a formal assessment of an employee’s performance, typically conducted by their manager.
  • It is a form of regular feedback, which can identify strengths and areas for improvement.
  • Regular appraisals help to improve employees’ job performance by showing them where they can improve and how they can develop their skills.

Different Types of Appraisals

  • Formal appraisals typically occur annually and involve a structured interview process.
  • Informal appraisals are more frequent, less structured discussions about an individual’s performance.
  • 360-degree appraisals involve feedback from all those who work with the individual, not just their direct report.

Rewards

  • Rewards are a method of recognising and incentivising employee performance.
  • They can both motivate and demonstrate the company’s appreciation for employees’ efforts and achievements.
  • Types of rewards can include monetary compensation, benefits, recognition or promotion opportunities.

Implementing Reward Systems

  • Businesses may implement reward systems to more formally recognise and incentivise employee performance.
  • These may include performance-based bonuses, benefits packages or non-cash recognitions such as an employee of the month.
  • A well-developed rewards system aligns with company values and objectives, incentivising behaviours that support these.

Remember, a motivated workforce can significantly contribute to a business’s success. Understanding and managing motivation, appraisals, and rewards are fundamental to developing a business.