Money and other financial rewards are a fundamental part of the employment relationship and can be used effectively in motivating employees. Discuss pros and cons of this argument.
The Role of Human Relations Theory in Employee Motivation
The work environment has adopted a number of changes in the recent years in terms of scope and nature of work. These changes of working environment requires different ways and approaches for managing business operations. One of the most important approaches includes the way in which the managers motivate their employees to work hard and perform better in achieving organizational as well as personal goals. For motivating the employees, one best and appropriate approach is the introduction of monetary rewards. Monetary incentives and rewards are frequently suggested to motivate the employees (Hystad, et al., 2013). This essay describes the theories and concepts related to the organizational behavior and managerial intervention in the different type of ethical social and personal issues of employees. The essay also critically analyses whether the monetary incentives are the only motivating approach or there are some other approaches also. At the end of the report. A conclusion has been drawn to summarize the overall findings of this research essay.
Human Relations Behavioral Theory
Organizations practices in the best way when employees feel empowered and valued. The theory of human relations and behavior is based on the study of employee productivity under a number of circumstances. The theory states that satisfied and validated employees are more likely to increase the efficiency and productivity. For example, benefits related to the free daycare or free lunch service for the children of a single parent or female employees can help the workers to feel more content and secure as their organization is fulfilling their needs. This makes the employees more focused towards their responsibilities. Along with this, when employees believe that the organization cares about their basic needs and wants, then they tend to feel the greater sense of loyalty which automatically enhance the productivity of the overall organization and the individual employees (Kanfer & Chen, 2016).
This theory is a well-known theory of organizational behavior, which is often applied to supervisors, and managers as most of the important decisions of day-to-day business activities are performed by them. As per this theory, managers tend to make decisions only on the basis of the decision that they have, but it is also important that the information must be accurate to achieve a specific goal. Moreover, the employee making decisions should have the ability to sort out the information in a correct manner to process it correctly. Bad decisions are often results of the insufficient and poor decisions taken by the managers in the absence of appropriate information (Pfeffer, 2007).
Application of Different Organizational Behavior Theories
For the purpose of application of this theory, an organization must provide a high level of training to the managers involve in the different processes of decision-making. They should have knowledge about analyses and use of the available information to them.
This theory has gained influence over the past few decades. The main theme of this theory is that the leaders within an organization can only achieve the success by becoming the servants of their employees. Irrespective of the work of managers, the leaders create and influence the principles and that can drive the company to the path of success. For example, as per tis theory, the owner of a company is required to access the needs, goals and wants of employees instead of his personal needs and wants (Memari, et al., 2013).
This theory can be applied by providing the necessary resources to the employees to achieve the desired results by the organization. This theory also helps in creating strong bond between the leaders and the employees. However, at the time of application of this behavioral theory, the leaders are required to focus on the professional needs and wants of employees, not on their feelings. Sometimes, too much focus on the feelings may create a problem in making some strong decisions against the employees (Moore, 2017).
This is the first and foremost problematic situation, which is to be faced by all the organizations during the life of the business. There can be a number of reasons for this dissatisfaction, which majorly includes the working conditions, management practices, unattractive rewards and recognition practices etc. In most of the organizations, employees feel dissatisfied when they do not get the promotions and monetary rewards, as money is the basic need for which everyone wants to work. This dissatisfaction increases the attrition rate of employees and organizations have to face the problems (Hystad, et al., 2013).
Another major problem faced by the organization is the poor communication structure among the employees. It increases the difficulty of the organization as employees are not capable to pass the important information to each other. The lack of information often results in providing bad customer experience. This decreases the image of the organization in terms of customer faith and trust (Baah & Tawiah, 2011).
This is an emerging problem which is to be faced by most of the global level organizations as they provide employment to the persons from different cultures and regions. The employees have to face the problems related to different management styles, ideas and conflict management techniques and many more. The communication gap also increases if the employees are from different castes, nations, religions, and societies. This largely impacts the productivity of the organization as employees tend to focus more on these problems instead of their work and responsibilities (Amagoh, 2008).
- To increase the employee satisfaction from the point of view of monetary rewards, an organization needs to introduce attractive incentive policy based on certain criteria. This would help in motivating the employees to achieve their individual targets. Along with this, an organization is required to adopt the effective methods of performance evaluation so that it would be easy for the management to select the deserving candidates for promotions. This will also help the employees to reflect on their own performance (Anon., 2014).
- The organization should adopt upward as well as downward communication system form the starting. It would not restrict the employees to share their thoughts and ideas with each other. Along with this, the would be an increase in the chances of flowing right information at all the levels of management which would help the organization in providing better customer experience (Ivanko, 2013).
- The organizations should introduce a diversified culture and related practices from the very beginning. For such purpose, training and development programs are required to be organized by the management related to the teaching of the common language used in the day to day practices. The recruitment selection should be done on the basis of the capabilities of the candidate and not on the basis of sex, religion, society, cultural background etc. It would help in increasing the sense of equality among all the employees which would also affect their work and performance in a positive manner (Judge, et al., 2008).
Important Issues Faced by Organizations and Proactive Management Interventions
Due to the industrial revolution of the twenty-first century, a larger number of professionals are willing to work in the manager-subordinate relationship. Prior to this, these type of relationships could only be seen in the military in which the leader had the supreme authority. The present culture of the diversified workforce is however hard to manage but is more productive and efficient in comparison to the prior management and workforces. However, this manager-subordinate relationship is based on the ethical and social practices which are governed by the Corporate Social Responsibilities of the organizations (Aithal & Kumar, 2016).
At present, the managerial techniques followed by the managers are largely based on the scientific studies and facts. All the decisions are taken on the basis of practical surveys and the practical experiences of the managers. This increases the employee satisfaction and profitability of the organization. The introduction of rewards and incentive schemes is also the result of the survey of employees and their satisfaction level towards their monetary needs (Badubi, 2017).
On the basis of above discussion, it can be concluded that theories of organizational behavior are framed on the basis of the practical business situations faced by the different type of organizations. Each theory represents a different concept for managing the practices in an organization. The above-mentioned theories are the most popular theories of organizational behavior which can be applied in different situations to increase the productivity of the employees as well as the as the profitability of the organization. Further, this report concludes that an organization has to face a number of issues in the day-to-day practices. The main issues have been described above with the proactive managerial interventions. The management can apply these interventions to prevent such issues. There has been a great change in the organizational behavior from the past two or three decades which has been described in a short manner so that the reader can get the overview of the concept. The overall summary of this report includes the understanding of the application of organizational behavioral theories as per changes in the current business environment.
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Hystad, S. W., Bartone, P. T. & Eid, J., 2013. Positive organizational behavior and safety in the offshore oil industry: Exploring the determinants of positive safety climate. The Journal of Positive Psychology, 9(1), pp. 42-53.
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Moore, C., 2017. Organizational Behavior. [Online]
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