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Файл:Motivation of labor activity. Study aid
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sincere desire to use all his knowledge, professional skills and experience
to the maximum in his work? When will an employee be ready to work
hard, with full dedication? It is clear that such a desire will arise only when
an employee can observe a close connection between his personal interests
(career goals, gaining recognition and respect, material well-being,
confidence in the future, etc.) with the work he performs in the
organization. Such obligations are experienced by the employee as a
sincere desire to work conscientiously in the interests of the organization;
they are the subject of his concern for the reputation of the organization, its
image in the eyes of partners and consumers. An example of such an
attitude is the case presented by T. Peters and R. Waterman in their book
“In Search of Excellence.” A worker from the Honda company who,
during off-hours, on his way home, if he saw that the windshield wipers on
his company's cars were bent, could stop and straighten them. He was
simply unable to observe that anything was working poorly in his
company's machines.
People working in an organization are the key success factor, without
which effective use one cannot expect good results in business. Only
employees who are committed to their company are willing to put in extra
effort at work without demanding additional payments for it.
Commitment contains the following components:
1) faith in corporate values and acceptance of the goals of this
company;
2) involvement in work, the desire to make the greatest efforts in
relation to this company;
3) loyal attitude to the company, desire to be a member of this
company.
All these components of commitment will strengthen when the
employee is satisfied with his working conditions and the prospects for his
professional growth, if he feels fair recognition of his merits in this
organization and sees prospects for his professional or job growth.
Employee commitment will increase when employees perform better, if
they have internal commitments to the organization, if they understand and

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accept the goals and objectives of the business. Consequently, a caring
attitude towards the problems of his company, a willingness to contribute
to its development and solution to its problems are based on the
employee’s clear understanding of its goals and direction of development,
on the convergence of his own interests with the interests of the company.
There are several points of view regarding the factors that influence
staff motivation.
E.A. Utkin, A.I. Kochetkov proposed a division into supporting and
motivating factors.
The supporting factors are the following:
• money;
• conditions;
• tools for work;
• safety;
• eliability.
Motivating factors may be:
• recognition;
• height;
• achievements;
• responsibility and authority.
When both sets of factors are missing, then work becomes
unbearable.
If only supporting factors exist, then job dissatisfaction will be
minimal.
If there are only motivating factors, the employee loves the job but
cannot afford it.
If both groups of factors are present, then the job brings maximum
satisfaction.
This approach to identifying factors that influence motivation is quite
close to F. Herzberg’s theory of two factors.
In addition, E.A. Utkin, A.I. Kochetkova identified such
demotivating factors as shouting and rudeness of management, chaos, and
lack of understanding of responsibility and authority. The authors noted

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that any action towards employees can be both a motivating and
demotivating factor. It is necessary to evaluate this action in relation to
specific people. A number of demotivating factors are a consequence of
the leader’s personality or lack of understanding by him of what actually
drives the motivation of subordinates.
E.P. Ilyin identified psychological factors (in other words, education)
that are involved in a specific motivational process and called them
motivators (motivational determinants). In his opinion, they become
arguments for decision-making when explaining the basis of action and
deed. The following are the highlighted E.P. Ilyin such groups of
motivators as:
• moral control (presence of moral principles);
• preferences (interests, inclinations);
• external situation;
• own capabilities;
• own state at the moment;
• conditions for achieving the goal (cost of effort and time);
• consequences of your action, deed.
In the course of motivation, most motivators remain only “known”,
“understood”, and “really acting” will be those that have the greatest
significance for a person and lead to the formation of motivation.
R.A. MacKenzie identified the following factors:
• control method;
• organizational climate;
• culture, group norms;
• factors that have a connection with the person: self-image,
personality, abilities and skills, values and needs of the employee, as well
as expectations formed on the basis of his earlier life experiences.
1.4. STIMULATING STAFF WORK
Labor stimulation is, first of all, an external motivation, an element
of the work situation that influences human behavior in the world of work

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and is the material shell of personnel motivation. At the same time, it also
carries an intangible load, which enables the employee to realize himself
as an individual and an employee.
It performs such functions as economic, social, moral. The economic
function is determined primarily by the fact that labor stimulation
contributes to the growth of production efficiency, which consists in an
increase in labor productivity and product quality. The moral function is
expressed by the fact that incentives to work form an active life position
and a highly moral social climate in society. However, it is necessary that
the right and justified system of incentives be ensured, taking into account
traditions and historical experience. The social function is achieved by the
formation of the social structure of society through different levels of
income, which largely depend on the impact of incentives on different
people.
In addition, the formation of needs, and ultimately the development
of personality, is also predetermined by the organization and stimulation of
labor in society. In this case, incentives can be both material and
intangible. Labor incentives are a rather complex procedure. There are
certain requirements for its organization: complexity, differentiation,
flexibility and efficiency.
Complexity presupposes the unity of moral and material, collective
and individual incentives, the meaning of which depends on the system of
approaches to personnel management, the experience and traditions of the
enterprise. Complexity also implies the presence of anti-incentives.
Differentiation involves an individual approach to stimulating different
layers and groups of workers. Approaches to wealthy and low-income
workers must be different. Approaches to regular and young workers
should also be different. Flexibility and efficiency consist in revising
incentives depending on the changes that occur in society and the team.
To maximize the effect of incentives, you need to follow some
principles of incentives:
1. Availability. It is necessary that every incentive be available to all
workers. Incentive conditions must be democratic and understandable.

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2. Tangibility. Practical experience shows that there is a certain
threshold for the effectiveness of the stimulus. It differs significantly in
different countries and groups. For some workers, an incentive of one
dollar may be tangible; for others, even ten is not enough. This
circumstance must be taken into account when determining the lower limit
of the stimulus.
3. Gradualism. Material incentives must be constantly adjusted
upward, which must also be taken into account in practice. One day, a
sharply increased remuneration will have an impact on the employee’s
motivation due to the formation of an expectation of increased
remuneration and the emergence of a new lower threshold of incentive that
would suit the employee. Under no circumstances should the level of
material incentives be reduced, no matter how high the level. Practical
studies by psychologists have shown that there is usually a linear
relationship between the desired and actual level of material reward.
Following the growth of remuneration, a new, higher level of aspirations is
formed, and, consequently, the amount of remuneration for the same work.
4. Reducing the gap between the result of labor and its payment. The
transfer of many foreign companies to weekly wages is justified mainly by
the need to comply with this principle. The simultaneity of the action of
the stimulus (reward) was noticed long ago. According to experiments,
adherence to this principle makes it possible in many cases to reduce the
level of rewards, because many people prefer the principle “less is better,
but at once.” In addition, increased rewards and its clear connection with
the result of work are a strong motivator. An increase in the level of
remuneration in relation to the previous one will bring the employee both
material and moral satisfaction, will increase his tone and mood. A
temporary decrease in this level will cause a feeling of “revenge” in many
people and will have a positive impact on labor activity.
5. A combination of material and moral incentives. Material and
moral factors are equally strong in nature. Everything depends on the
place, time and subject of influence of these factors. This assumes the level
of economic development, the traditions of a particular state, as well as the

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financial situation, age and gender of the employee. Having paid attention
to this circumstance, it is necessary to intelligently combine these types of
incentives, taking into account their targeted effect on each employee. It is
known, for example, that material incentives are a higher priority for an
employee at a young age. But this cannot mean a complete absence of the
influence of moral incentives. This is shown, in particular, by the
experience of our country. Many Soviet athletes achieved outstanding
successes, which were based on moral incentives, because serious material
incentives were out of the question in those days. And there are many
examples of this kind also from the field of labor achievements. As the
observations of sociologists show, by the age of fifty, the importance of
moral and material incentives in the normal development of the economy
for many is almost equalized. Underestimation or overestimation of
incentives and types of incentives is equally harmful to the effective
management of an organization.
6. Combination of incentives and anti-incentives. The debate about
the significance of incentives and disincentives continues. According to
most experts, a reasonable combination of them is needed. In developed
countries, there is a constant transformation of motivators (incentives)
from the predominance of anti-incentives (fear, hunger, fines, etc.) to the
predominant use of incentives. Everything depends on the level of
development of society, its history, morals and traditions. The necessary
adjustments should be made to the history of the organization, as well as to
the type of its activities, level of qualifications, professional training and
social composition of employees. Initially, we can say that the level of
incentives and disincentives in the team of a mine, construction site,
nuclear power plant or research center will be different.
Systems of moral and material incentives for labor at various
enterprises involve a set of measures that are aimed at increasing the labor
activity of workers, and therefore at increasing the efficiency of labor and
its quality. Today there are many forms, systems, methods of stimulating
the work of workers. As noted above, all incentives can be divided into
tangible and intangible. Their ratio in all organizations differs

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significantly. In many organizations in Western Europe, the share of
material rewards is gradually decreasing and the share of non-material
incentives is increasing, although a significant number of our organizations
are characterized by a decrease in the share of public consumption funds in
family income and an increase in the share of material rewards in income.
In this case, the process of convergence of two previously opposing
systems occurs, i.e. avoiding the hypertrophied impact of direct material
incentives on labor in one system and their obvious underestimation in
another. Wages are the most important part of the system of payment and
incentives for labor; it is one of the tools for influencing the efficiency of
an employee. This is the tip of the iceberg of the organization’s personnel
incentive system, but despite its importance, wages in many thriving
enterprises amount to no more than 70 % of the employee’s income.
Among the forms of material incentives, in addition to wages, one
can also highlight bonuses, which are gradually becoming part of the
practice of many enterprises, thereby replacing the thirteenth salary, which
was previously discredited for various reasons. The difference between a
bonus and the thirteenth salary is that in this case it is preceded by an
assessment or certification of personnel. In some organizations, bonuses
can amount to up to 20 % of employee income per year. Importance in
generating income is given to such forms as participation in profits and
share capital. Non-material incentives acquire a special role, and this can
be explained not only by the desire for social harmony, but also by the
possibility of evading taxes, pushing employers to find ways to avoid
paying them.
To determine the amount of wages, you must complete several
sequential steps:
1. Description of the workplace. The most well-known method of
such a description is the employee’s job description.
2. Workplace assessment. A detailed and thorough assessment of the
workplace makes it possible to clarify the job profile, increase the level of
fairness in remuneration, and streamline relationships in the team.

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Classifying jobs allows you to calculate the relative value of each
employee in an organization. Forms and methods of classification are
different.
The most common are:
• ranking of jobs. It is the simplest, but least accurate method of
classification, when each workplace is assigned a certain rank. The number
of ranks can be arbitrary. Ranking is the simplest and cheapest system for
determining salary levels that is available to any organization. The
establishment of an 18-bit grid in the Russian Federation with a minimum
payment and a coefficient for each rank basically meets international
standards. The rank system makes it possible to more accurately determine
the degree of complexity of the work and its corresponding payment.
Nevertheless, the elements and degree of objectivism still cause fair
criticism from representatives of a number of professions;
• multifactor analysis of the workplace. Provides the most objective
opportunity to assess the workplace. This analysis is based on the
classification of the workplace, its ranking, i.e. assessment of the number
of points. Each significant factor of the workplace is assessed in points,
and their stimulation makes it possible to ultimately carry out ranking.
However, the above actions for assessing the workplace can only
occur in a command-administrative system. In a market economy, a
significant adjustment in determining the salary of a particular employee
can be made by studying the average “cost” of an employee on the labor
market. This is why it is possible to observe a discrepancy between the
salaries of some workers and their actual market “value”.
1.5. HUMAN NEEDS AND MOTIVATION
Need is the determining reason for a person’s actions, the primary
source and driving force of his activity. All other terms used to describe
human behavior (attitudes, values, interests, motives, etc.) are derived
from needs and are generated by them. We must not forget about the wide
variety of such needs. Needs are partially and very biasedly reflected in a

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person’s consciousness and are recognized by him. To realize means to
receive an actual or potential opportunity to communicate one’s
knowledge to another. Regulating a person's incentives, in which he has a
desire to work in such a way as to contribute to the achievement of the
organization's goals, is more difficult to manage. Achieving a goal means
achieving effective management of the enterprise. Nevertheless, the leader
needs to remember the innate priorities of human nature: personal interests
are always in first place, group interests are in second place, and public
interests are only in third place. What is the range of needs that motivate
people to take any action, including the nature, volume and content of the
work? For decades, attempts have been made to explain the behavior of
people by their mind, feelings and will. The refusal to look at human
thinking as the source and driving force of his activity, the recognition of
needs as the determining cause of human actions is the greatest
achievement of scientific thought. This was the beginning of a truly
scientific explanation of purposeful human behavior.
According to F. Engels, people have a habit of explaining their
actions based on their thinking, instead of proceeding from their needs
(which, of course, are reflected in the head and are realized).
That is why the question of needs, their classification, mutual
subordination and interaction is the main problem that needs to be solved
when considering labor motivation. The brilliant Russian writer F.M.
Dostoevsky, who is also called the “psychologist of psychologists,” in the
novel “The Karamazov Brothers” speaks of three fundamental needs (or
three groups of needs) that are characteristic of people and determine their
behavior in the natural and social environment: “bread” as a collective
concept that includes into itself the entire totality of material goods needed
to support life (“Feed them, then ask them for virtue!”); the need for
knowledge (“For the secret of human existence is not only in living, but in
why to live”); the need for worldwide unification (“Mankind as a whole
has always strived to establish itself universally”).
Of course, in the time that has passed since then, scientific thought
has moved far forward. Today we know much more about the complex

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dialectic of the relationship between the material and spiritual needs of an
individual person and society as a whole. As the writer accurately noted,
he grasped the truly fundamental significance of the three groups of needs
he named.
Gradation of basic needs of F.M. Dostoevsky has a surprisingly
accurate coincidence with the classification of the great German
philosopher G. Hegel, which says that, considering the entire content of
human existence, we already find in our everyday consciousness the
greatest variety of interests and their satisfaction. There is an extensive
system of physical needs, for the satisfaction of which a large and
extensive network of industrial enterprises, trade, shipping and technical
arts works and functions. Above such a system of needs we find the world
of law, laws, family life, the separation of classes, the entire
comprehensive area of the state. There is an infinitely specialized and
complex activity taking place in science, a body of knowledge and
knowledge that covers everything that exists. To live, to learn and to
occupy a certain place in a group, interacting with its other members —
this is the essence of the huge variety of motives and the activities dictated
by them.
Questions and tasks for self-test
1. How do the concepts of “motive” and “motivation” relate? What
properties does a motive have?
2. What types of motivation do you know? Describe them.
3. What is the essence of labor stimulation?
4. On what principles is labor incentives based?
5. What functions does labor stimulation perform?
6. Name the main types of incentives.
7. Characterize and list the environmental factors influencing the
formation of the motivational mechanism.
8. What is meant by the internal environment of a company? Explain
the influence of internal environmental factors on employee motivation.
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