Money is not always the motivating factor that drives people in the workplace. Many people are motivated by other things such as praise, training and development opportunities, and taking on different responsibilities. Managers need to understand that offering financial incentives is not always the right way to motivate team members. On the contrary, sometimes financial reward systems create the wrong kind of company culture. In part 1 of this blog LEAP’s business advisor Tricia Cunningham explains the benefits of creating a merit-based culture where individuals are motivated by more than just money.
Tricia, how can managers keep team members motivated without financial incentives?
Managers face a difficult task in trying to keep teams motivated. It often feels like there is little they can do to motivate people. There’s a belief that staff only want more money – everything comes back to financial reward. Particularly in organisations where there are middle managers who have authority over financial rewards. But even leaders in organisations, given the times we have experienced, are probably not in a position now where they can randomly grant increases.
And of course this raises expectations anyway when wages are increased for individuals. So for multiple reasons financial rewards for employees need to be given serious consideration before any commitment is given. If a manager links motivation to remuneration, there’s a feeling of helplessness, there’s nothing else the manager can do to motivate staff; that’s a myth. To explode that myth you need to remember that once people’s expectations regarding remuneration are addressed then money is no longer the motivating factor that we think it is. People look for other things to keep themselves motivated and very often those things are within the control of the manager. It’s about a manager shifting his/her thinking; the manager’s thinking needs to be focused on the employee:
1. Do you know the individual? Do you know what they like to do?
2. Do you know what their strengths are, what they’re good at, what they’re capable of doing?
3. Have you aligned their strengths to the results they need to achieve, or the requirements of the business?
Aligning employee strengths with business goals
When you align an employee’s strengths with the business goals and requirements, you’re more likely to have a motivated employee working on your team. Increasing somebody’s application of strengths by 5, 10 or 15 per cent will allow them to enjoy their job more than they currently are. The results will benefit the organisation and the individual. That’s a motivating mechanism within the manager’s control.
So think about the individual, their capabilities, their strengths and think about the results; align them and you will have the individual working towards a common goal that benefits themselves and others. Follow up with employees. Offer them praise when warranted. Remember “thank-you” and “well done” are important to individuals and motivate employees. Discuss obstacles they are encountering and work with them to remove those obstacles. Actively work to involving the employee further in the business. These activities will help you motivate your employees further. They are within your control and require no additional financial investment. They simply require an investment of your time, focus and energy.