Lesson Objectives To remember why people work. To understand the important role that motivation plays in making a business successful. To understand how Maslow’s “Hierarchy of Needs” theory can be used by businesses to motivate workers.

Why do businesses need to motivate their staff? Why Motivate? Higher Productivity Lower Absenteeism Higher Quality of Work Better Customer Service Healthier Employees - Less Stress Lower Labour Turnover Higher Profits Happier Workforce

Maslow’s Hierarchy Of Needs Basic Physiological Needs Safety & Security Social Needs Self-esteem Self-fulfilment Task 1 Using the worksheet and your notes. Find out what each layer of the pyramid means. Provide examples of what things are needed at each stage.

Maslow’s Hierarchy Of Needs Basic Physiological Needs Safety & Security Social Needs Self-esteem Self-fulfilment Mind Body Food, water, shelter etc Protection, security, order & law Family, workgroup, attention etc. Achievement, self esteem, reputation and responsibility Personal Growth and fulfilment.

Maslow Continued... If the lower levels are not satisfied then the employee will become de- motivated. The key to making employees motivated is to satisfy their higher level ‘mind’ needs. Basic Physiological Needs Safety & Security Social Needs Self-esteem Self-fulfilment

Motivation Methods Financial Rewards Basic pay – salary or wage Piece rate – payment per item produced Commission – payment as percentage of sales made Bonuses – ‘one off’ payment for hitting performance target Financial Rewards Basic pay – salary or wage Piece rate – payment per item produced Commission – payment as percentage of sales made Bonuses – ‘one off’ payment for hitting performance target Non-financial Rewards Fringe benefits – company car, cheap travel, holidays, vouchers, free lunches, gym membership, social club, other perks Good conditions of work - flexible working hours, holidays, crèche &/or subsidised child care Prospects – opportunities for development, promotion and interesting job Non-financial Rewards Fringe benefits – company car, cheap travel, holidays, vouchers, free lunches, gym membership, social club, other perks Good conditions of work - flexible working hours, holidays, crèche &/or subsidised child care Prospects – opportunities for development, promotion and interesting job How can businesses use these methods alongside Maslow’s hierarchy of needs?