Leadership Impacts in Employee Motivation

 

Human resources are the most important resource of every corporation and determine an organization's performance. Employees are the designers and developers of new technical, technological, and organizational solutions. And also, the creators of new values, process controllers, and business system developers (Dervic and Dervic, 2017). In today's competitive environment, businesses must anticipate changes and place a priority on the motivation of human resources inside their structure (Dusun and Demir, 2015).

 

Motivation is an essential component of success and corporate prosperity in today's dynamic and competitive market. It is composed of both internal and external components, such as work factors, individual differences, and organizational practices (Gopal and Chowdhury, 2014). Motivation and Leadership are inseparably linked. Leadership success is critically dependent on and sometimes defined by, leaders' capacity to encourage followers toward group goals or a shared mission or vision (Shamir et al, 1998, cited in Naile, 2014).

 

Effective leadership is one of the most critical aspects of an organization's overall strategy for sustaining operations in the face of challenges caused by the economy's rapid expansion (Hao and Yazdanifard, 2015). Leadership is an influence, a work of art, and a process of influencing people, in the sense that those who are affected voluntarily and willingly participate in the creation of new values in the organization (Dervic and Dervic, 2017).

 

Leadership is essential in any organization. Managers can influence employee behaviour in the workplace through leadership. Thus, one of the most significant outcomes of good leadership is motivated, employees (Naile and Selesho, 2014). Managers must develop as leaders to understand their employees' needs and expectations, which shape the culture of the organization (Rahbi et al, 2017). Managers can be leaders, but all leaders are not usually managers.  At the same time, a person can be both a manager and a leader (Dusun and Demir, 2015).

 

Leaders will have a vision of what is possible, convey it to others, and develop tactics for achieving the vision. They motivate others and can bargain for resources and other forms of assistance to attain their objectives (Wajdi, 2017). Therefore, organizations must have managers who are leaders, as this is the fundamental prerequisite for planning and implementing leadership management (Dervic and Dervic, 2017).

 

Leaders encourage employees by establishing systems that maximize the potential of employees, as well as the resources available to the organization, and by offering direction (Altheeb, 2020). Specifically, a leader's job is to motivate employees to realize their full potential in achieving the organization's goals. Employee satisfaction, as well as leadership and motivation, are important variables determining the organization's success (Dervic and Dervic, 2017).

 

According to Khoshhal and Guraya (2016), A genuine leader is expected to possess desirable characteristics such as:

·       Motivation

·       Honesty

·       Competency

·       Progressive

·       Intelligence

·       Open minded

·       Broad minded

·       Courage

·       Straightforwardness

·       Vision

 

Leadership style is a significant motivator factor. Some of the most key leadership styles are as follows:

·       Transformational Leadership:

A transformational leader inspires, creates, and motivates individuals to go above and beyond their organizational capabilities, inventing and innovating in their work domain. Transformational leaders assist their people understand the significance of their work (Korejan and Shahbazi, 2016).

 

·       Transactional Leadership:

Transactional leaders speak with their subordinates to explain how a task must be completed and to assure them that there will be benefits for completing the work successfully (Avolio et al.1991, cited in Gopal and Chowdhury, 2014).

 

·       The Full Range Leadership Development Model:

Bass and Avolio (1994) created the Full Range Leadership Development Model, which combines transactional and transformational leadership (Gopal and Chowdhury, 2014).

 

Leadership and motivation have played a significant role throughout history. History demonstrates that highly qualified leaders were extremely successful because they understood how to excite their followers (Dusun and Demir, 2015). Leaders can also influence and motivate their people by fostering a positive organizational culture and providing rich employee perks such as health care insurance, worker compensation, leave benefits, and others (Hao and Yazdanifard, 2015). As part of their efforts to ensure the organization's performance and success, leaders encourage and assist employees (Robnagel, 2016).

 

Last year, my organization's year-end employee feedback showed that the following reasons were unacceptable. Employees' job achievement, the chance to perform their best, proper attention to their ideas, and adequate management support.

 

My organization's CEO overcame these obstacles by praising and rewarding workers' job accomplishments through rewards and promotions, offering necessary training and assistance, encouraging employees to come up with new ideas, and thanking them during corporate events.

 

The activities of leaders motivate employees and help the organization achieve its goals more successfully. The leader chose the four i's of transformational leadership (Inspirational motivation, Individualized consideration, Intellectual stimulation, Idealized Influence) to address the organization's challenges.

 

References

Altheeb, S. A. (2020) Leadership Style and Employee Motivation: A Study of Saudi Arabian Work Environment. Propósitos y Representaciones, 8(2), [online]. Available at https://files.eric.ed.gov/fulltext/EJ1271842.pdf [Accessed on 07^th December 2021].

 

Dervic, M. K. and Dervic, S. (2017) Successful Leadership and Motivation Lead to Employee Satisfaction. Management International Conference, [online]. Available at https://www.hippocampus.si/ISBN/978-961-7023-71-8/179.pdf [Accessed on 07^th December 2021].

 

Dusun, Z. D. and Demir, B. (2015) The effect of team leaders on motivation and performance of employees. Journal of Social Sciences Research, 9(1), [online]. Available at https://www.researchgate.net/publication/331083110_THE_EFFECT_OF_TEAM_LEADERS_ON_MOTIVATION_AND_PERFORMANCE_OF_EMPLOYEES [Accessed on 07th December 2021].

 

Gopal, R. and Chowdhury, R. G. (2014) Leadership Styles and Employee Motivation: An Empirical Investigation in a Leading oil Company in India. International Journal of Research in Business Management, 2(5), [online]. Available at https://www.academia.edu/24916646/LEADERSHIP_STYLES_AND_EMPLOYEE_MOTIVATION_AN_EMPIRICAL_INVESTIGATION_IN_A_LEADING_OIL_COMPANY_IN_INDIA [Accessed on 07^th December 2021].

 

Hao, M. J. and Yazdanifard, R. (2015) How Effective Leadership can Facilitate Change in
Organizations through Improvement and Innovation. Global Journal of Management and Business Research: A Administration and Management, 15(9), [online]. Available at https://globaljournals.org/GJMBR_Volume15/1-How-Effective-Leadership.pdf [Accessed on 07^th December 2021].

 

Khoshhal, K. I. and Guraya, S. Y. (2016) Leaders produce leaders and managers produce followers. A systematic review of the desired competencies and standard settings for physicians' leadership. Saudi medical journal, 37(10), [online]. Available at https://www.ncbi.nlm.nih.gov/pmc/articles/PMC5075368/# [Accessed on 08^th December 2021].

 

Korejan, M. M. and Shahbazi, H. (2016) An analysis of the transformational leadership theory. Journal of Fundamental and Applied Sciences, 8(3), p. 453. [Online]. Available at https://www.researchgate.net/publication/323732677_An_analysis_of_the_transformational_leadership_theory [Accessed on 08th December 2021].

 

Leon, H. (2020) Leadership vs Management: Is One Better Than the Other?. [online] Lifehack. Available at https://www.lifehack.org/674254/leadership-vs-management-is-one-better-than-the-other [Accessed on 08^th December 2021].

 

Naile, I. and Selesho, J. M. (2014) The Role of Leadership in Employee Motivation. Mediterranean Journal of Social Sciences, 5(3), [online]. Available at https://www.researchgate.net/publication/287481309_The_Role_of_Leadership_in_Employee_Motivation [Accessed on 07^th December 2021].

 

Rahbi, D. A., Khalid, K. and Khan, M. (2017) The effects of leadership styles on team motivation. Academy of Strategic Management Journal, 16(2), [online]. Available at https://www.abacademies.org/articles/The-effects-of-leadership-styles-1939-6104-16-3-113.pdf [Accessed on 07^th December 2021].

 

Robnagel, C. S. (2016) Leadership and Motivation. Leadership Today 2016: Practices for Personal and Professional Performance, [online]. Available at https://www.researchgate.net/publication/303758160_Leadership_and_Motivation [Accessed on 08th December 2021].

 

Wajdi, M. B. N. (2017) The differences between management and leadership. SINERG, 7(2), [online]. Available at https://www.researchgate.net/publication/318597967_The_Differences_Between_Management_And_Leadership [Accessed on 08^th December 2021].

Intrinsic and Extrinsic Motivation in the Organizations

 

The term "motivation" refers to the desire to do something. Unmotivated people are those who have no impulse or motivation to act, whereas motivated people are those who are stimulated or activated toward a goal (Ryan and Deci, 2000). Motivation is considered as the driving force that propels a person to participate in any activity. In addition to seeking fulfilment in one's profession, today's employees expect and seek balance in their life (Singh, 2016).

 

Employees are driven by factors other than the benefits of their job. Motivation comes in various forms, degrees, and amounts (Ryan and Deci, 2000). When asked what inspires employees in organizations to work effectively, their responses range from recognition, the satisfaction of a job well done, fear of failure, money, and responsibility (Ratliff and Hicks, 1998).

 

Motivation, which can be classified as intrinsic or extrinsic, is guides the direction, intensity, and persistence of performance behaviours (Cerasoli et al, 2014). Even though extrinsic and intrinsic motivators can be detected at times and that these two categories can be combined to create a successful working environment (Gribanova, 2021).

 

Motivating factors can be intrinsic, meaning they come from inside, or extrinsic, meaning they come from outside (Ratliff and Hicks, 1998). Intrinsic motivation examples area achievement, recognition for achievement, the task itself, responsibility, and progress or advancement. Extrinsic motivation examples are Policy and administration of the organization, supervision, interpersonal interactions, working conditions, salary, status, and security (Herzberg, 1987).

 

Figure 1.0  Intrinsic vs Extrinsic Factors

 

(Source: Knilt, 2018)

 

Employees are more satisfied when intrinsic motivation factors are present. Employees will be unsatisfied if extrinsic motivational factors are not present. Both intrinsic and extrinsic motivation are significant and can have a motivating influence on the job (Ratliff and Hicks, 1998). The most core difference is between intrinsic motivation, which refers to doing something because it is naturally interesting or enjoyable, and extrinsic motivation, which refers to doing something because it leads to a distinct outcome (Ryan and Deci, 2000).

 

Intrinsically satisfying or delightful conduct is referred to as intrinsic motivation. It is non-instrumental, which means that naturally, motivated action is not dependent on any outcome apart from the behaviour itself (Legault, 2016). Intrinsic motivation is a complex neurophysiological activity in which an individual goes through an intense psychological process that derives from innate feelings (Lee et al, 2012).

 

Employers cannot assume that their employees are always intrinsically driven because very few people find their occupations attractive enough to work without being paid or obtaining other rewards in exchange (Deci et al, 2017). Over the last three decades, the favourable impact of intrinsic motivation on creativity and invention has been highlighted, but extrinsic motivation has been viewed as controversial and has received less attention in this context (Anderson et at, 2014).

 

Extrinsic motivation is defined as behavior that is based on the achievement of a goal that is distinct from the activity itself.  It is carried out to achieve another goal (Legault, 2016). Many organizations give extrinsic incentives to inspire employees, such as rewards for perfect attendance, bonuses for enhanced productivity, compensation pay based on performance and ability, and certificates for suggestions that are implemented by management, as a way to increase productivity (Ratliff and Hicks, 1998).

 

Money, on the other hand, isn't the only extrinsic drive. Extrinsic motivators include things like the nature of the organization, the type of work, job stability, and prospects for promotion (London, A. 2009, cited in Singh, 2016). Employees who were given extrinsic benefits in exchange for completing a task were less likely to be intrinsically motivated. Employees who are extremely intrinsically driven by a task, on the other hand, are less prone to lose intrinsic motivation when given extrinsic benefits (Mawhinney, 1990, cited in Ratliff, 1998).

 

The motivational effects of a reward-based approach are only temporary and do not result in long-term commitment (Kohn, 1993, cited in Ratliff, 1998). Extrinsic factors play a less role in motivating employees. These features were present primarily to avoid any dissatisfaction from arising in their workplaces (Tan, 2013). Extrinsic incentives can have the negative consequence of decreasing risk-taking and inventiveness when employees seek the shortest path to the reward (Ratliff and Hicks, 1998).

 

Today's workplace and workers are vastly different. Employee expectations and their relationship to work are two of the most significant changes. Every company has its approach to motivating its employees. According to Singh (2016), Carrot and stick motivation approach has less impact on today's workforce. At the same time, it's important to remember that the ideas of intrinsic and extrinsic motivation remain valid, and finding a balance between the two could be the key to managerial success.

 

My company's management allows entertaining activities once a month to make employees happy and unite them with their colleagues. Additionally, every six months, hold individual meetings with employees to collect feedback on their performance, assist them in understanding their job function, and, if necessary, provide enough assistance and training to enable them to execute their job well in the future. This management strategy is related to the Intrinsic motivation factor. Additionally, the management provides annual bonuses, wage increases, and promotions to employees to keep them satisfied. This approach is associated with the Extrinsic motivation factor.

 

References

 

Anderson, N., Potonik, K. and Zhou, J.  (2014) Innovation and Creativity in Organizations: A State-of-the-Science Review and Prospective Commentary. Journal of Management, 40(5), [online]. Available at https://www.pure.ed.ac.uk/ws/portalfiles/portal/14923750/Potocnik_Innovation_and_creativity_in_Organisations.pdf [Accessed on 04^th December 2021].

 

Cerasoli, C. P., Nicklin J. M. and Ford M. T. (2014) Intrinsic motivation and extrinsic incentives jointly predict performance: a 40-year meta-analysis. Psychol. Bull, 140(4), [online]. Available at https://doi.apa.org/doiLanding?doi=10.1037%2Fa0035661 [Accessed on 04^th December 2021].

 

Deci, E. L., Olafsen, A. H., and Ryan, R. M. (2017) Self-determination theory in work organizations: the state of a science. Annual Review of Organizational Psychology and Organizational Behavior, 4(1), [online]. Available at https://www.researchgate.net/publication/312960448_Self-Determination_Theory_in_Work_Organizations_The_State_of_a_Science [Accessed on 04^th December 2021].

 

Gribanova, S. (2021) The Impact of Intrinsic and Extrinsic Motivators on IT professionals, Case of Latvia. Globalization and its Socio-Economic Consequences 2020, 92 [online]. Available at https://www.shs-conferences.org/articles/shsconf/pdf/2021/03/shsconf_glob20_04008.pdf [Accessed on 04^th December 2021].

 

Herzberg, F. (1987) One more time: How do you motivate employees? Harvard Business Review, 65(109), [online]. Available at https://hbr.org/2003/01/one-more-time-how-do-you-motivate-employees [Accessed on 04^th December 2021].

 

Knilt, (2018) Two Main Types of Motivation. [online]. Knilt. Available at https://knilt.arcc.albany.edu/Unit_1:_Two_Main_Types_of_Motivation [Accessed on 04^th December 2021].

 

Legault, L. (2016) Intrinsic and Extrinsic Motivation. Encyclopaedia of Personality and Individual Differences, [online]. Available at https://www.researchgate.net/publication/311692691_Intrinsic_and_Extrinsic_Motivation [Accessed on 04^th December 2021].

 

Ratliff, K. M. and Hicks, S. J. (1998) Intrinsic and extrinsic motivational factors and Type A behaviour pattern. Modern Psychological Studies, 6(2), [online]. Available at https://scholar.utc.edu/cgi/viewcontent.cgi?article=1064&context=mps  [Accessed on 04^th December 2021].

 

Ryan, M. R. and Deci, E. L. (2000) Intrinsic and Extrinsic Motivations: Classic Definitions and New Directions. Contemporary Educational Psychology, 25, [online]. Available at https://selfdeterminationtheory.org/SDT/documents/2000_RyanDeci_IntExtDefs.pdf [Accessed on 04^th December 2021].

 

Singh, R. (2016) The Impact of Intrinsic and Extrinsic Motivators on Employee Engagement in Information Organizations. Journal of education for library and information science, 57(2), [online]. Available at https://files.eric.ed.gov/fulltext/EJ1096700.pdf [Accessed on 04^th December 2021].

 

Tan, S. K. (2013) Herzberg's Two-Factor Theory on Work Motivation: Does it Works for Today’s Environment?. Global Journal of Commerce and Management Perspective, 2, [online]. Available at  https://www.researchgate.net/publication/262639924_Herzberg's_Two-Factor_Theory_on_Work_Motivation_Does_it_Works_for_Todays_Environment/citation/download [Accessed on 04th December 2021].

 

Lee, W., Reeve, J., Xue, Y., and Xiong, J. (2012) Neural differences between intrinsic reasons for doing versus extrinsic reasons for doing: An fMRI study. Neuroscience Research, 73(1), [online]. Available at https://www.ncbi.nlm.nih.gov/pmc/articles/PMC3614004/ [Accessed on 04^th December 2021].