Employee motivation is one of the most necessary elements for ensuring employee retention in an organisation. It is to be indicated that receiving a particular paycheck is not enough for keeping the employees motivated and focused towards their works (Richter, Raban and Rafaeli 2015). It is necessary for the managers and the leaders to think of the better implications that can satisfy the employees while they are performing their responsibilities at their workplace. It is essential for the managers to think of new methods that can be served as the motivational tactics.
Motivation through the rewards system is one of the fruitful methods that make the employees feel appreciated. The employees generally get the sense of their fruitful existence within an organisation. Lepper and Greene (2015) pointed out that many of the organisations use both the positive and negative reinforcements for motivating their existed employees in a significant way. Similarly, rewarding an employee by providing them tangible and intangible motivation in order to make them more focused.
The study reveals the rewarding system undertaken in Royal Bank of Scotland. The bank has been looking forward to develop the motivational aspects to make the employees more focused towards their works. The study will be analyzed through utilizing the theoretical background. The use of the spray diagram and system diagram will be used to discuss the functionalities used by the bank to motivate the employees.
Discussion
Employee motivation is essential for every organisation to ensure the competitive position in the business market. The effective performance parameter of the employees helps the organsation to strengthen the business entity, spread the brand awareness, and earns profitability for the future success. Therefore, it is necessary to motivate the employees in a significant way. The salary package of the employees is not the only source of motivation (Franzelli, Vié and Ihme 2015). It is essential to pay attention towards some of the specific reward and recognition programme to keep the employees engaged, motivated and focused towards their works.
The spray diagram is quite similar to the relationship diagram that determines how the subtopics are related to the main topic. The main topic of the study is to analyze the motivation through the reward system. This main topic has the clear linking with the management practices of Royal Bank of Scotland to motivate the associated employees. The theoretical implications used by the company will be discussed in this study to create the relationship between the employee weariness and employee motivation.
The sub-divisions associated in this model are surrounding the major topic of the subject. For example, the major subject is employee motivation through the reward process. In order to explain this subject, it is essential to pay the attention towards the sub divisions. The sub divisions are associated with the different theoretical background to understand the major concept of the study. The sub points are highlighting the conceptualized informationon about the subject matter.
On the other hand, the system diagram is concentrating on the factors that have the clear influence on the related subject matter. It is notified that the motivational aspect is not only associated with the monetary benefits, it is also depended on the appreciation, rewards recognition, and non-financial benefits as well.
The system diagram suggests that the managers of the organisation need to pay attention towards the motivational factors that are not based on the monetary benefits. Apart from the monetary benefits, employees seek the hygienic working environment, proper appreciation, rewards and recognition, and many other non-financial factors, it generates the sense of reliability among the employees to work with more commitments and focus (Goodhart 2016).
The system diagram provides these basic requirements of the employees that are linked with one major aspect that is motivation. The model explores the underlying concept and divides them into different categories. Obtaining ideas from these categories are beneficial enough in gathering knowledge about the subject matter in a simpler form. Hence, the system diagram is used for this study to make the subject matter more clear and concise.
The Royal Bank of Scotland is renowned as the largest financial institution in the world. The company operates from Europe, Asia Pacific, and North America. The bank has captured the leading position as the service provider of finance, wealth management, and insurance factors. Almost 140,000 employees are working in this world to serve more than 36 million customers worldwide. The company is committed to provide the excellent financial services by engaging the talented people across the globe. In spite of the fierce competition among the talented people, the company selects the extreme talented people for performing the functionalities (Maklan, Antonetti and Whitty 2017).
Therefore, the company provides the remarkable employment opportunities to the talented people across the globe including Hong Kong, China, Japan, Australia, UK, and Singapore. The recruitment procedure of the bank depends on the merit of the people to face the challenges coming from the different labour market. In fact, the company provides the diverse career opportunities to the individuals, such as traders, customer service, sales, bankers, business advisors, and investment analysis. The employees at the bank need to achieve the specific job targets.
The managers are always concerned about measuring the performance parameter of the employees and reward them with proper appreciations and benefits (Richter, Raban and Rafaeli 2015). Every year the line manager provides them the specific objectives. The performance will be measured and after that, it will be reported. Based on the performance monitoring, the payments will be given to the employees. These payments are considered as the major motivators to bring more improvements in the performance parameter of the employees.
The motivation through reward process is signified by utilizing some of the specific theories. As per the ‘scientific management’ theory, it is stated that the job is measurable and the elements of jobs are needed to be on time (Hewett and Conway 2015). The mangers needed to pay for the items produced by the workers. The workers get the motivation to work even harder to earn more money. The scheme is known as “price rate” in which the workers receive the specific amount for the output units.
The scientific management theory highlights some of the considerations. It is to be indicated that the workers need the closer supervision and control from the managers to work in a better way (Maklan, Antonetti and Whitty 2017). Therefore, the managers usually break down the productions into smaller tasks to make it easier to the workers. The association of the proper training tools will be helpful enough in maintaining the efficiency of the workers. However, it is sometimes even seen that the workers may become reluctant in working repeatedly in the similar aspects that may lead to dissatisfaction.
Herzberg’s Two Factor Theory is based on the large-scale of survey that developed two major factors associated with the motivational aspects. The two-factor theory of motivation is generally depending on two different factors that prevent the dissatisfaction (Goodhart 2016). The two factors are motivators and hygiene factor. Hygiene factors are the specific job factors that are essential fir motivating the employees at the workplace. In usual case, the theory does not lead to the positive satisfaction for the longer time. However, absence of these factors may harm the employee morale and sometimes may lead to dissatisfaction to some extent.
The hygiene factors are often symbolized as the psychological needs of the individuals (Wu et al. 2014). The pay or the salary structure is needed to be appropriate or reasonable and equal to the competitive price in the same industry. On the other hand, it is also specified that the administrative policies or the company policies are needed to be free from rigidness. The fair and clear company policies are necessary for making the employees feel more comfortable and flexible with the organisational functionalities.
When the company provides the proper health care plans to the employees, it will make the employees feel secure at their workplace. It will be beneficial for not only the employees, but also their families. It is essential to consider the working conditions at the workplace. The workplace should be always clean, safe, and hygienic (Franzelli, Vié and Ihme 2015). The equipments used for the works are needed to be clean, well-maintained, and updated. The managers should retain the status of the employees. The managers should maintain the effective interpersonal relationships with the employees to make them feel more comfortable. When the employees feel secure about their jobs, it will be motivating for the employees for the betterment of their performance.
On the other hand, another factor is Motivational Factor that yields the positive satisfaction. The factors are generally inherent to work. These factors are introduced for motivating the employees by judging them based on the superior quality of their performance. The factor includes recognition, growth and promotional opportunities, sense of achievement, and meaningfulness of the work. When the employees are working in a flow, they demand the appreciation from the upper management (Ferdous et al. 2013). The managers should praise the employees for accomplishing their job targets.
Accordingly, the reward process is the fruitful way of generating the sense of achievement among the employees. When the employees feel that their participation contributes difference to the organisational functionalities, it makes them more motivated towards their job. One of the major aspects of working in an organisation is the employees need to understand their responsibility towards the organisation. The knowledge of the responsibility will make them more focused towards accomplishing their personal and professional goals (Yusoff, Kian and Idris 2013). It has been observed that the meaningfulness or the interesting works are quite attractive and demanding to the employees. The employees bring innovations when they are challenged and when their works are interesting. Hence, it is necessary to find the meaningfulness to the work to ensure the employees are motivated.
The Royal Bank of Scotland has concentrated on such needs and has paid attention to some of the motivational factors. For example, the employees of RBS receive the proper recognition for the excellent performance. While working in the organisation, the employees have the collective sense of achievement (Jansen and Samuel 2014). The managers often get the extra advancements and responsibility to review the performance parameter of the employees. The company recognizes the contribution of the employees and rewards them in an effective way. Another motivational theory can e discussed in this context. Maslow’s Hierarchy of Needs is the theory that is also considered as the evident for the motivational aspects maintained in RBS.
The pyramid structure of the model implies the basic needs of the employees that can motivate them in a significant way (Marshall 2016). It is stated that the basic needs of the employees are needed to be satisfied before they undertake any other work functionality. For example, the physical needs like foods, shelter, and warmth are necessary for every individual. Similarly, the employees need to feel safe at their workplace. RBS usually pay attention whenever they select the employees for their organisation. RBS ensures that the employees feel their presence at the work place and therefore, the managers are concentrating on providing them proper opportunity to share their visions and common goals.
In order to meet the ‘self actualization’ needs, RBS offers the employees proper promotions, recognition and enormous opportunities to make progress in their professional lives. The mindset of RBS is providing the fruitful training and promotional package to the employees to make them more engaged and focused towards their works. It is an initiative for the RBS to offer a developed lifelong career with the group of workers. As per the Maslow’s theory, paying money is not the only reason for the employee motivation.
The individuals seek motivations through different types of things. For example, the employees require shaping their career by achieving the high level of flexibility if the organisation can offer the proper flexibility and the fruitful appreciation; it will increase the morale of the employees (Cao et al. 2013). RBS pays attention towards the specific benefit packages, which are far beyond the salary structure offered to the associated employees. In fact, the company even concentrates on the flexible working hours and the security aspects of the employees as well.
The Total Reward Package of RBS is associated with the health, funding, paid leaves, medical benefits, and the confidential advice services. The employees can avail the opportunity to select the proper lifestyle benefits, shopping vouchers, discounts, and childcare facilities from the organisation.
On the other hand, the company is even providing some of the financial benefits, such as mortgage, personal loans, currency exchange, and banking services with a special discount rate. It is essential to mention that RBS has been offering a competitive salary package irrespective of the location of the business. According to Jerome (2013) competitive pay refers to the pay package that is offered by the other companies for the similar job profile. RBS is concentrating on such factor and offering the employees the competitive package to satisfy their needs. The employees at RBS withdraw their salaries that are credited to their account on the monthly basis.
They have the specific bank account for their salaries. The employees are even aware about the necessary terms and conditions related to their employment. They make the further payments and they become eligible to receive their salary on time (Reid et al. 2015). It is notified that the employees at RBS have the greater scope to earn more money than the basic salary at the starting point. The suggestions of the major theorists about the factors of motivations have persuaded the company to provide the non-monetary benefits to the employees as well. It is introduced that if the employees can help in accomplishing the 100% of the company target in a year, every employee will receive 10% extra on their salary. Moreover, the individuals will be eligible for the bonus amount for their effective performance.
RBS is even looking forward to provide more opportunities to the employees to earn the non-monetary benefits at the company. The non-financial rewards provided by the company are much beneficial for improving the lifestyle as well as the professional skills. While working in the organisation, the employees have the collective sense of achievement. The managers often get the extra advancements and responsibility to review the performance parameter of the employees. The company recognizes the contribution of the employees and rewards them in an effective way (Gallus and Frey 2016).
One of the most necessary criteria is the good performance of the employees for enlisting their name under the reward list. It clearly proves that RBS is specifically concentrating on the development of the employee abilities and skills. It is much helpful for the company even to grow the future in this competitive scenario. The performance review of the line managers helps the employees to recognize their self-potentiality. The review information is documented in structuring the personal development plan.. In last few years, RBS has taken the active participation in supporting a charity (Kvaløy, Nieken and Schöttner 2015).
The employees of RBS supported many of the projects related to the fundraising aspects for the local charities and communities. For example, they paid for ‘pirate kidnap’ in a youth charity of South Wales. They even took proactive participations in the Microsoft UK challenge for NSPCC. However, the different approaches undertaken by the company is commendable. In fact, it is necessary for the company to pay attention towards the development and training session to improve the professional skills of the existing employees. Accordingly, it will be more helpful in retaining the talented people for long run and achieving the completive advantage in this current business world.
Conclusion
RBS has been undertaking the operational activities by associating the forward thinking in the human resource strategies. The effective and commendable employment package for the talented workforce is much appreciable. It is to be noted that the employees seek both the monetary and non-monetary benefits to become much motivated and focused towards work. . The employees are even aware about the necessary terms and conditions related to their employment. They make the further payments and they become eligible to receive their salary on time.
The Royal Bank of Scotland has concentrated on such needs and has paid attention to some of the motivational factors. While working in the organisation, the employees have the collective sense of achievement. The managers often get the extra advancements and responsibility to review the performance parameter of the employees. The company recognizes the contribution of the employees and rewards them in an effective way.
References
Cao, H., Jiang, J., Oh, L.B., Li, H., Liao, X. and Chen, Z., 2013. A Maslow's hierarchy of needs analysis of social networking services continuance. Journal of Service Management, 24(2), pp.170-190.
Ferdous, R., Khan, F., Sadiq, R., Amyotte, P. and Veitch, B., 2013. Analyzing system safety and risks under uncertainty using a bow-tie diagram: An innovative approach. Process Safety and Environmental Protection, 91(1), pp.1-18.
Franzelli, B., Vié, A. and Ihme, M., 2015. Characterizing the regimes of spray flame-vortex interactions: A spray spectral diagram for extinction. Combust. Flame.
Gallus, J. and Frey, B.S., 2016, April. Awards as non-monetary incentives. In Evidence-based HRM: a Global Forum for Empirical Scholarship (Vol. 4, No. 1, pp. 81-91). Emerald Group Publishing Limited.
Goodhart, C.A., 2016. Bank of England. In Banking Crises (pp. 5-17). Palgrave Macmillan UK.
Hewett, R. and Conway, N., 2015. The undermining effect revisited: The salience of everyday verbal rewards and self?determined motivation. Journal of Organizational Behavior.
Jansen, A. and Samuel, M.O., 2014. Achievement of organisational goals and motivation of middle level managers within the context of the two-factor theory. Mediterranean Journal of Social Sciences, 5(16), p.53.
Jerome, N., 2013. Application of the Maslow’s hierarchy of need theory; impacts and implications on organizational culture, human resource and employee’s performance. International Journal of Business and Management Invention, 2(3), pp.39-45.
Kvaløy, O., Nieken, P. and Schöttner, A., 2015. Hidden benefits of reward: A field experiment on motivation and monetary incentives. European Economic Review, 76, pp.188-199.
Lepper, M.R. and Greene, D. eds., 2015. The hidden costs of reward: New perspectives on the psychology of human motivation. Psychology Press.
Maklan, S., Antonetti, P. and Whitty, S., 2017. A Better Way to Manage Customer Experience: Lessons from the Royal Bank of Scotland. California Management Review, p.0008125617695285.
Marshall, C.T., 2016. Implementing Information on Stock Reproductive Potential in Fisheries Management: The Motivation, Challenges and Opportunities. Fish Reproductive Biology: Implications for Assessment and Management, p.438.
Reid, M., Thompson, P., Mavondo, F. and Brunsø, K., 2015. Economic and utilitarian benefits of monetary versus non-monetary in-store sales promotions. Journal of Marketing Management, 31(3-4), pp.247-268.
Richter, G., Raban, D.R. and Rafaeli, S., 2015. Studying gamification: the effect of rewards and incentives on motivation. In Gamification in education and business (pp. 21-46). Springer International Publishing.
Wu, D., Luo, C., Liang, L. and Dolgui, A., 2014. Efficiency evaluation model with constraint resource: an application to banking operations. Journal of the Operational Research Society, 65(1), pp.14-22.
Yusoff, W.F.W., Kian, T.S. and Idris, M.T.M., 2013. Herzberg’s Two Factors Theory On Work Motivation: Does Its Work For Todays Environment. Global journal of commerce and Management, 2(5), pp.18-22.
