Motivation and incentives for staff: how does it work?

In the company very much depends on the team.

You can be a wonderful director, fountaining intelligent ideas. You can have a huge customer base. You can show unprecedented profitability.

But, if you do not take care of the right selection of personnel, all this will quickly go to waste.

It is important not only to take all competent staff on all posts, but also to think about how the personnel motivation system was effective .

People work well when they know that their efforts will necessarily be noticed and rewarded by management.

So the system of rewards and bonuses can not be ignored in any case.

What is the staff motivation system and why is it needed?

I want bosses or do not want to, and one salary( often scanty, in addition) is not enough for an employee to work hard for the benefit of the company.

It is the motivation that inspires the staff for new achievements.

1) Motivation and staff incentives are needed in any organization.

Imagine that there are two clothing stores.

Both markets sell high-quality clothes at reasonable prices, there is a system of discounts and bonuses for regular customers. They are geographically advantageous - on the central street.

But the sales figures are different: the monthly revenue of the first store is 30% more than the second.

What is the secret? And the secret is that in the first store sellers work, who do everything possible and impossible, so that the customer does not go away without buying.

So they try not because they are more conscientious or professional than sellers of the second store, but because:

1. Get not only a fixed salary, but also a percentage of sales.
2. The best employees of the month are awarded.
3. The best employee of the year gets a ticket to the sea.
4. Consultants can buy clothes sold from them at a 50% discount.
5. They have a service room, equipped with kitchenette and comfortable chairs, where you can take turns to rest at lunch time.
6. All employees are officially organized, and do not receive salary in envelopes.
7. The average monthly income of sellers of the first store is 15% higher than that of their colleagues and this is not counting the bonus system.

Actually this is the essence of the staff motivation system: bonuses and benefits( both tangible and intangible) that force employees to value their duty station and demonstrate the best possible performance.

If it is extremely wise to approach the development of a system for motivating staff, then it is possible to increase labor productivity severalfold.

If you see that:

• staff is constantly dissatisfied with something,
• labor productivity is low,
• employee stimulation( excluding salary) is completely absent,
• there is a leveling in payments to the best and worst employees,
• bonus system, although present, butit is inefficient and confusing,

it's time to revise the system of rewarding and motivating its staff.

2) What can be achieved with the help of a motivation system for the staff?

Only unintelligent bosses ignore the motivation of the staff, arguing this in a very peculiar way: "and so it goes, there is nothing to pamper it," "I pay wages - what else do they need?", "It's not profitable - let them roll, I'll find others", etc.

And then these fools are surprised, why the performance indicators fall, why the profit is less than expected, why do competitors catch up and overtake?

And all because the competitors are people who are literate and know that the performance of the staff is largely dependent on motivation: if it does not, then the work will be appropriate.

With the help of competently developed system of personnel motivation it is possible to achieve:

1. To stimulate the professional growth of each employee.
2. To encourage all members of the team to improve their qualifications.
3. To orient employees to the fact that they need to solve strategically important tasks on a daily basis.
4. Ensure employee loyalty to management.
5. Create healthy competition.
6. To ensure that only the best specialists work in your company.
7. To level out the inclination of individual workers to covert or obvious wrecking.
8. Increase the work capacity and staff efficiency ratio.
9. Optimize all payments relating to the team.
10. Give staff confidence in the future and that management takes care of them.

The main types of staff motivation

There are a lot of types of motivation for personnel.

Let us dwell on the most common types.

3 types of staff motivation, which you need to take as a basis

1. Material.

   The most common type of material motivation is money.

   That is, employees who demonstrate the best performance, for example, in sales or production, receive bonuses.

   As to material motivation carry gifts, gift certificates, permits for the period of holidays, etc.

2. Social.

   A person working in a team is an individual who can not function outside the society.

   That's why social motivation is often even more effective than material motivation.

   To this type of incentive staff can be attributed promotion, the provision of various bonuses: an office car, a convenient parking space, a separate room.

   In general - this is all that raises the status of a particular employee in the team.

3. Psychological.

   By itself, it may not be very effective, but in combination with the other two types of stimulation works great.

   Psychological motivation is a praise, a compliment, a photo on the honor board, a stand "Best employee of the month", etc.

   Everything that has a beneficial effect on the emotional and mental state of the staff, but is not expressed in monetary terms.

2 types of personnel motivation, developed by scientists

The most popular types of staff motivation were developed in due time by A. Maslow and Dr. Shane. The heads of the companies described by them use theories to this day.

According to the theory of A. Maslow, the motivation of employees is impossible without studying the needs and characteristics of staff behavior.

There are 5 basic human needs:

1. Physiology: sleep, food, rest, etc.
2. Security: a person should feel protected from dangers and negativity.
3. Social life: communication, support, favorable social environment, etc.
4. Positive emotions: respect from the authorities and other members of the team, recognition of merit, etc.
5. Self-expression: working, a person must receive both material and moral pleasure from the process, and also be able to realize their needs and growth.

To develop an effective strategy, it is necessary to conduct research among the team. This will help to understand what needs people are moving.

Dr. Shane, in turn, developed 8 basic human values ​​and for each of the values ​​determined the type of promotion:

No.	Value name	Possible motivation
1	Functional and functional	statement to the employee of new tasks; help in the implementation of these tasks; promotion of the best in the career ladder.
2	General guidance	improving the quality of the workforce; recognition of the merits of individual employees before their superiors; providing the ability to establish order.
3	Independence and independence	minimal intervention in the performance of a task without a need; is responsible for a project from start to finish; appointment to a management position( albeit temporary).
4	Safety and stability	reduced risk when performing a task; long-term contracts that give a sense of confidence; new tasks when working on a long project.
5	Entrepreneurial vein	constantly new assignments; involvement in the development of the project strategy; is not limited to narrow limits.
6	Aspiration to be useful	to translate to work with clients; give various instructions and praise for their implementation; allows you to resolve conflicts in the team; to improve the life of staff.
7	Testing of	forces to give difficult and risky tasks; use in critical situations; allows to solve professional and personal problems.
8	Lifestyle	free chart; time for personal affairs; no long business trips.

Develop a strategy, depending on what value the specialist professes.

How to properly design a system for motivating staff?

Sometimes it happens that bonuses seem to exist, but the team still does not work the way the management would like.

This is the case if the strategy was developed illiterately or the opinion of employees about the benefits was not taken into account at all( the management acted only at its own discretion).

Teambuilding: what is teambuilding?

To develop a truly effective motivation system you need:

1. Preliminary consultation with a superior guide about what you want to do.
2. Investigate your staff: who exactly( sex, age, social status, marital status, etc.) you work for.
3. Analyze which motivation is used by the leaders of other companies to find some good ideas.
4. Conduct a survey among its employees: whatever motivation they want to get for their good work.
5. To form the basic motivational principles and inform the staff that now the best of them will receive such and such benefits and bonuses.

If after several months you see that the motivation does not work and the specialists still show low rates of labor productivity, it means - either you recruited unskilled lazy people or developed a bad strategy.

Or one or the other needs to be changed.

Material and non-material motivation of personnel: how to properly stimulate people?

The simplest and most effective classification of motivation systems is to divide it into tangible and intangible.

You can use one of them to encourage the team, or you can combine the views to achieve even better results.

1) Material motivation of the staff is something that always works

You can tell as much as you want that intangible incentives are the best, that no money will replace a good management attitude and other psychological bonuses, the staff disagrees with this.

Everyone wants money or other financial bonuses.

Material motivation of personnel can be of several types:

1. Payment of money. This includes:

   • wage increase for those who demonstrate the best performance;
   • rewarding winners of competitions with cash prizes;
   • bonus system, which can be single, monthly, and at the expiration of annual results.

   

   

2. Extended social package, which can include:

   • medical insurance;
   • travel packages;
   • payment of a private school or a garden for a child;
   • official housing and / or transport;
   • tickets to the fitness club, beauty salon, etc.;
   • payment for the cost of advanced training courses;
   • extended leave;
   • deductions to the private pension fund and so on.

3. Additional bonuses. For example:

   • loans for housing on preferential terms;
   • grocery baskets;
   • gifts for the holidays( for example, by the New Year, the top 5 employees receive a coffee maker as a gift), etc.

How you will stimulate your workforce, decide for yourself. But remember that without cash and other significant bonuses, promotion will not be full.

What methods of motivation are suitable for your employees?

An employee of HR company will help you to sort out the types of rewards:

2) Intangible motivation of staff can also be effective

If it is easy to understand with financial motivation( money is needed by everyone), then it's hard to choose intangible bonuses that people like.

Ideas for non-material motivation of personnel:

1. Congratulation of employees on the main holidays: New Year, birthday, Christmas, March 8.
2. Praising an employee at a meeting or in person for a job well done.
3. Help in organizing a wedding or funeral in the family of an employee.
4. Individual work schedule.
5. Shortened working days before the holidays and on Friday.
6. Christmas vacation.
7. Promotion.
8. Awarding with letters of commendation.
9. Ability to leave work early because of family or other circumstances.
10. Kind attitude towards everyone, compliments, interest in business, etc.

It is very important to approach individually to non-material motivation, because something that will delight one part of the staff, the other can be frustrating.

Each organization must have its staff motivation system. This is necessary if you want your company to grow and develop.