Motivation And Reward System

By
Hasnain Nawaz
Roll No. 2106 (739192)
BS Applied Psychology
7th semester

To
Prof.Imtiyaz Hussain

Department of Applied psychology

Government Graduate College Jhang
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Motivation and Reward System

Introduction
The word ‘motivate’ is derived from the Latin verb ‘movere’ which means ‘to
cause movement. Motivation refers to the activation, direction, intensity and
persistence of human behaviour and the manner in which this behaviour is sustained
towards reaching a desired goal. It can be defined as ‘a set of energetic forces which
originate both within as well as beyond an individual’s being to initiate work-related
behaviour, and determine its form, direction, intensity, and duration’. It is also defined
‘the set of processes that arouse, direct, and maintain human behaviour towards
attaining some goal.
Reward System: Rewards can be used to influence motivation. By no means
financial rewards are the only way to motivate, as there are many HRM (human
resource management) practices which aim to motivate. The scope of the reward
systems is broadened enough to include non-financial rewards, as these are also
important to direct and shape the desired employees’ behaviours.
Motivation and Reward
In the ever increasing competitive business environment, organization
managements are now recognizing that there is a significant opportunity available
today for improving the return on the human resources investment. This opportunity
consists of aligning of the reward and incentive plans with organizational strategies
since the success of the organization significantly depends on highly motivated
employees who are productive and creative. Th motivated employees enhance the
value they deliver to the organization. This process of motivating the employees is
crucial for the organizational success, and its ability to attract and retain top
performers for achieving the organizational objectives. It is important for the
organizational management to understand that there is a link between rewards and
motivation and there is a necessity to uncover what motivates their employees. The
big challenge is to create an environment which allows all the employees to feel
valued, perform at their best, and achieve the organizational goals and the objectives.
Organizational strategy associated with motivation and rewards towards job
satisfaction of the employees has resilient effect on the success of the organization.
The connections between motivation, rewards, and job satisfaction of the
employees are of strategically importance for the organization for its success.
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Organization managements need motivated employees for maintaining an effective

workforce which is willing to achieve strategic organizational goals and objectives.
Motivation is initiated by the conscious or unconscious recognition of
unsatisfied needs. These needs create wants, which in turn become desire to achieve
or obtain something. In order to satisfy needs and wants, goals are created and
behaviour is selected to achieve the goals. If the goal is achieved, the behaviour is
likely to be repeated when a similar need emerges. If the goal is not achieved, the
action is less likely to be repeated. The process of motivation can be shown of their
efforts and strive for achievement.
Process and types and Motivation
The process of motivation is initiated by the conscious or unconscious
recognition of unsatisfied needs. These needs create wants, which in turn become
desire to achieve or obtain something. In order to satisfy the needs and wants, goals
are created and behaviour are selected in order to achieve these goals. If the goal is
achieved, the behaviour is likely to be repeated when a similar need emerges. If the
goal is not achieved, the same action is less likely to be repeated.
Motivation involves the emotional, social, biological, and cognitive influences that
initiate behaviour. It is a factor which exercises a powerful force on the employees’
activities and exertion. It is an accretion of diverse practices which effects and directs
the behaviour of the employees to accomplish certain particular goal. It is like a
vigorous in the current environment which clearly produces and incorporates an
optimistic influence on the job satisfaction. Motivation relay on a certain intrinsic and
extrinsic features which are collaborated with positive results in abundantly devoted
employees. Tangible incentives are functioning in growing performance for
assignment and to inspire the smarter thinking. They support both quality and quantity
to accomplish organizational goals. Moreover, factors related to the rewards and
incentives are the most favoured factors for the employee motivation.
Management can motivate employees through methods such as salary, promotion, and
praise. Employees can also motivate themselves by seeking work where individual
goals, needs and wants are achieved.

Types of Motivation
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1. Extrinsic Motivation
2. Intrinsic Motivation
Extrinsic Motivation
Extrinsic motivation is something which is done to or for employees to
motivate them. It arises from factors outside an individual, such as money, grades,
criticism or punishments. These rewards provide satisfaction and pleasure that the
task itself might not provide. Extrinsically motivated employees can work on a task
even when they have little interest in it. This type of motivation normally has an
immediate and powerful effect, however it does not tend to last for long.
Intrinsic Motivation
Intrinsic motivation refers to the motivation which comes from inside of an
individual. This motivation is generated through satisfaction or pleasure which one
gets in completing or even working on a task. Factors which influence on intrinsic
motivation include responsibility, freedom to act, scope to use and develop skills and
abilities, interesting work and opportunities for advancement. These motivators,
which are concerned with the quality of work life, tend to have a long-term effect
since they are inherent in individuals and not imposed from outside.
Theories of Motivation
1. Content Theories
2. Process Theories of Motivation
Content Theories
These theories of motivation are based on the needs of individuals. These
theories try to explain why the needs of individuals keep changing with time and
therefore focus on the specific factors which motivate them. These theories, in general,
explain motivation as the product of internal drives that encourage the individual to
move towards the satisfaction of his needs.
Process Theories of Motivation
These theories tries to explain how behaviour change occurs and why
individuals act in different ways. These theories focus on how an individual needs
influence his own behaviour. These theories originate from early cognitive theories,
which state that behaviour is the result of conscious decision making processes.

Expentancy Model for Reward

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Employees change their behaviour by working harder or prioritizing

their actions if they know that by doing so they are going to be rewarded with
something of value to them. Hence incentives are a great way to reward effort and
behaviours which the performing organizational managements always encourage.
Incentives paid to employees in return for efforts and behaviour of employees which
contribute to the organization goals, enhance organizational effectiveness and
productivity and hence generate a positive outcome both for the organization and the
employees.
Reward refers to all categories of financial benefits, tangible services and
benefits which an employee receives as part of employment relationship with the
organization. There are two aspects which decide how much a reward is attractive.
These aspects are the quantity of reward which is provided and the weightage an
employee gives to a specific reward. Employees are certainly closer to their
organizations and perform better job, while they receive healthier reward and
recognition in their organizations. Rewards increase the level of efficiency and
performance of the employees on their jobs and it then result in increasing the success
of the organization.
Rewards are the benefits that arise from performing a task, rendering a service
or discharging a responsibility. Salary is the most significant and motivating benefit
which is received by the employee in return for performing a task or service. Salary
can also be a powerful demotivator if the employee is not satisfied with the pay
packet.
Types of Reward
1. Positive Rewards
2. Negative Rewards
Positive Rewards
In operant conditioning, positive reinforcement involves the addition of a
reinforcing stimulus following a behavior that makes it more likely that the behavior
will occur again in the future. When a favorable outcome, event, or reward occurs
after an action, that particular response or behavior will be strengthened.
Examples of Positive Reward
 A dog trainer giving a dog a biscuit when she performs a trick

 A father providing his child with a piece of candy for picking up his toys.
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 A teacher handing out gold stars to children that turn in their homework on time.

Negative Rewards
Negative reinforcement is a term described by B.F. Skinner in his theory
of operant conditioning. In negative reinforcement, a response or behavior is
strengthened by stopping, removing, or avoiding a negative outcome or aversive
stimulus.

Examples of Negative Reward

 Before heading out for a day at the beach, you slather on sunscreen (the
behavior) to avoid getting sunburned (removal of the aversive stimulus).
 You decide to clean up your mess in the kitchen (the behavior) to avoid
getting into a fight with your roommate (removal of the aversive stimulus).
 On Monday morning, you leave the house early (the behavior) to avoid getting
stuck in traffic and being late for work (removal of an aversive stimulus).
 At dinner time, a child pouts and refuses to eat her vegetables for dinner. Her
parents quickly take the offending veggies away. Since the behavior (pouting)
led to the removal of the aversive stimulus (the veggies), this is an example of
negative reinforcement.