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Question 1 Describe the practices that Lincoln Electric uses to motivate employees. What are some of the consequences of these practices for employees.

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Presentation on theme: "Question 1 Describe the practices that Lincoln Electric uses to motivate employees. What are some of the consequences of these practices for employees."— Presentation transcript:

1 Question 1 Describe the practices that Lincoln Electric uses to motivate employees. What are some of the consequences of these practices for employees and the company? The only motiovational sucess is money. Employee’s bonus is based on his or her evaluation. Employees are motivated by money. The company has a really low turn over, and they haven’t laid off any one for 40 years. They post a high profit each year.

2 Question 2 Discuss the motivational system at Lincoln Electric, using each of the need theories of motivation. What does each theory say about the motivational practices at Lincoln Electric and which theory works best for explaining employees’ motivation?  Goal setting theory states that goals are motivational when they are specific and challenging, and when workers are committed to them.

3 PHYSIOLOGICAL – level I (Food, water, sex, sleep ) niveau I SAFETY – level II (Safety, security, stability, protection) niveau II Social link – level III (Love, affection, belongingness) niveau III ESTEEM – level IV (Self-esteem, self-respect) ))prestige, status) niveau IV SELF ACTUALISATION (Growth, advancement) creativity) niveau V A good pay to motivate the physiological need. Challenge people with money. Employees who work hard will be more paid than others.

4 Question 3 Consider the motivational system at Lincoln Electric in terms of the process theories of motivation. What does each theory say about the company’s motivational practices? In other words, can we understand the system and its effectiveness in terms of expectancy theory, equity theory, and goal setting theory? Specific goal or chalenging goal bring some motivation to be performant and, at the end, bring satisfaction in your job.

5 Question 4 Some have said that the methods of motivation used at Lincoln Electric should be used by all organizations to motivate their employees. Do you believe this to be true? Explain your reasoning. We think that the methods of motivation used at Lincoln Electric can be used in certain organizations, but not everywhere. That will depend of the background of the society (seniority) and his capacity to recruit persons who are able to work like that: More work for more money: This causes much pressure, because they doesn’t have socials helpings, insurance, and they must produce more to be paid more This method can not be adapted in every company, for example, a company of intellectual services this management. This method is usefull for manufacturing product, because we can account them.

6 Question 5 Comment on the cross-cultural limitations of Lincoln Electric’s motivational system. How do the theories of work motivation help us to understand why the company’s incentive program did not work in Germany but does work in North America and Australia? What does this tell us about the cross-cultural limitations of the theories of motivation?

7 Comment on the cross-cultural limitations of Lincoln Electric’s motivational system. How do the theories of work motivation help us to understand why the company’s incentive program did not work in Germany but does work in North America and Australia? What does this tell us about the cross-cultural limitations of the theories of motivation? In Europe, the employees have obtained social advantages (like social covert, insurance with their company…) then they do not have in North America and Australia. It is the most important difference between this two systems. In Europe, we have obtained social advantages that’s why we are not really concerned about physiological and safety motivations, in America they haven’t the same advantages, it represents a danger for them because if they lost their jobs or if they are sick, they can lost their house, it immediately touch physiological motivations.

8 Question 6 What can other organizations learn about motivation from Lincoln Electric? What do you recommend that organizations do to motivate employees based on your knowledge of the Lincoln Electric motivational system and on your understanding of motivation?

9 What can other organizations learn about motivation from Lincoln Electric? What do you recommend that organizations do to motivate employees based on your knowledge of the Lincoln Electric motivational system and on your understanding of motivation? The financial aspect on the employees motivation is probably the most important things to keep the motivation at is high level. It depends of the personality of all employees, but it is important to propose a equitable wages remunerations. For us, companies have to proposed to their employees a more adaptable system. When signing a contract of employment, employees have to choose between two kinds of contracts : For the first one, employees can opt for more social advantages and less bonus. For the second one, employees can opt for more bonus and less social advantages.


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