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Motivating employees: Theories and Experience

Reflect and share with some of the most effective means of motivating a workforce. Your response can consist of theories and learnings from any text, or professional/personal experiences.

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In order to drive home the connection between the daily activities of employees and organizational success, many companies are implementing variable pay structures. Recent studies have shown a strong correlation between "at risk" pay and motivation for improved performance when the plan has clearly defined goals. However, employers must establish challenging goals and adhere to plan guidelines for variable pay to drive positive behaviors.

In the case where payouts are granted, even if performance falls short of goals, the plans motivational value becomes seriously undermined. "Employees avoid an entitlement mentality when there are challenging but achievable goals and varying levels of payout. Plans that pay out at maximum year after year are destined to become vehicles of entitlement." (Smilko & Van Neck, 2004).

During research conducted on the topic of variable pay, it became apparent that to foster ...

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Discussion and references provided