managing a business part a

Question 1

Locke and lathems theory

Answer 1

Locke & Latham’s Goal setting theory states that
there is a direct relationship between being
challenged and being motivated, therefore the
goal setting theory can be used by managers by
setting challenging goals in order to motivate
employees. The goal setting theory involves
5 key elements.

Question 2

Managing Employees

Answer 2

The organisation of employees’ roles, pay and working conditions. It is responsible for ensuring that employees are motivated and can positively contribute to the achievement of business objectives.

Question 3

Managing Employees and BO

Answer 3

If managed well, employees are likely to feel valued and motivated to perform to their best ability. High performing employees can improve a business’s performance and assist the business to achieve its objectives.

Question 4

Managing Employees Strategies

Answer 4

Communicating business objectives, motivating employees, supporting employees and monitoring performance.

Question 5

Maslow’s Hierarchy of Needs

Answer 5

A motivation theory that suggests employees have five fundamental needs which they strive to fulfil in a set order. Physiological, safety and security, social, esteem and self actualisation needs.

Question 6

physiological needs

Answer 6

The basic requirements for human survival, such as food, water and shelter.

Question 7

safety and security needs

Answer 7

The desires for protection from dangerous or threatening environments. Safety needs include avoiding physical harm while security needs include having a stable income.

Question 8

social needs

Answer 8

The desires for interpersonal relationships across all aspects of an individual’s life, including within and outside of the workplace.

Question 9

esteem needs

Answer 9

The desires to feel important, valuable and respected. They desire increased prestige via higher job status, prestigious job titles or financial bonuses for their performance.

Question 10

self-actualization needs

Answer 10

The realisation of one’s full potential through creativity and personal growth. Individuals are driven by personal interest and satisfaction.

Question 11

Lawrence and Nohria’s Four Drive Theory

Answer 11

A motivation theory that suggests that employees strive to fulfil four fundamental needs. Drive to acquire, bond, learn and defend.

Question 12

drive to acquire

Answer 12

The desire to achieve rewards and high status. Employees with this drive are motivated to receive both financial rewards and non-financial rewards for their work

Question 13

drive to bond

Answer 13

The desire to participate in social interactions and feel a sense of belonging. Employees with this drive are motivated to engage in social activities with others to develop positive relationships.

Question 14

driven to learn

Answer 14

The desire to gain knowledge, skills and experience.
Employees with this drive are motivated to improve their capabilities at work through training, mentoring and more responsibilties.

Question 15

drive to defend

Answer 15

The desire to protect personal security as well as the values of a business. Employees are motivated on an individual level to protect themselves from harm. Additionally, employees are motivated on a collective level to protect a business from harm.

Question 16

Locke and Latham’s Goal Setting Theory

Answer 16

A motivation theory which states that employees strive to achieve well defined objectives. The goal setting theory states that managers can use goals that fulfil five key principles to motivate employees within the workplace.

Question 17

5 Key Principles of Goal Setting

Answer 17

Clarity - goals specific and clearly understood
Commitment - employees involved in setting their goals and incorporates their best interests
Challenge - difficult enough to encourage employees
Task Complexity - achievable with adequate time and training
Feedback - regular support and monitoring by management

Question 18

Goal Types

Answer 18

Sales goals, knowledge and skill goals, deadline goals and productivity goals.

Question 19

Motivation Strategies

Answer 19

Employees that are motivated can increase their performance levels and improve a business’s competitiveness. In order to improve employee motivation, a manager must have a plan of action which encourages the achievement of tasks.

Question 20

Performance related pay

Answer 20

It is a financial reward for reaching or exceeding a set business goal. Performance-related pay is a financial strategy that aims to encourage employees to perform a particular task or reach a specified goal.

Question 21

Career advancement

Answer 21

Is the upwards progression of an employee’s job position. Career advancement is a non-financial strategy that can increase an employee’s performance through promotions.

Question 22

Investment in training

Answer 22

Is allocating resources to improve employees’ skills and knowledge. Investment in training is a non-financial strategy that motivates employees by providing opportunities to learn and develop their abilities and skills.

Question 23

Support

Answer 23

It is providing employees with any assistance that improves their satisfaction. Support motivates employees as it makes them feel valued, understood and considered by managers.

Question 24

Sanction

Answer 24

It is penalising employees for poor performance or breaching policies. Sanction’s a non-financial strategy that discourages employees from performing against a business’s expectations. Employees are motivated by sanction as they fear punishment.

Question 25

Short-term employee motivation

Answer 25

Many motivation strategies are capable of directly boosting employee motivation in the short-term. In situations where a manager is aiming to quickly motivate employees, motivation strategies which provide them with immediate gain should be used.

Question 26

Long-term employee motivation

Answer 26

Long-term employee motivation is employees having a high level of job satisfaction that can be sustained. Motivation strategies that improve corporate culture and provide employees with opportunities to improve themselves should be used.

Question 27

Employee Motivation

Answer 27

The enthusiasm, energy level, commitment and the amount of creativity that an employee brings to the organization on a daily basis. It is all about how engaged an employee feels in coherence with the organization's goals and how empowered they feel. Motivated employees are an asset to an organization, they are directly proportional to an organization's success.

Question 28

Maslow's vs Lawrence and Nohria's

Answer 28

Similarity • Both are concerned with the physical, social and emotional needs of employees. • Both suggest that different employees will value different motivators. Differences • Maslow's hierarchy of needs must be met in a sequential order whereas the four drive theories drives have no order • Maslow's states that employees are motivated to fulfil only one need at a time whereas the four drive theory states that employees can be driven by all needs at one time.

Question 29

Maslow's vs Locke and Latham's

Answer 29

Similarity • Both recognise that personal gain is a factor that can motivate employees. Esteem can be satisfied with higher status. Goals fulfil commitment principle have personal objectives • Both recognise that feedback from management is important. Esteem by recognising employee efforts. The feedback principle requires management acknowledging efforts. Differences • Maslow's focuses on fulfilling one need at a time whereas the goal-setting theory requires all principles to be incorporated for a goal to be motivating. • Maslow's can be applied by a manager alone whereas goal-setting requires employee input.

Question 30

Lawrence and Nohria's vs Locke and Latham's

Answer 30

Maslow's vs Locke and Latham's Similarity • Both recognise that personal gain is a factor that can motivate employees. Esteem can be satisfied with higher status. Goals fulfil commitment principle have personal objectives • Both recognise that feedback from management is important. Esteem by recognising employee efforts. The feedback principle requires management acknowledging efforts. Differences • Maslow's focuses on fulfilling one need at a time whereas the goal-setting theory requires all principles to be incorporated for a goal to be motivating. • Maslow's can be applied by a manager alone whereas goal-setting requires employee input. Lawrence and Nohria's vs Locke and Latham's Similarity • Both recognise that employees are motivated to achieve success. This can be the drive to acquire a higher position, or setting the goal of being promoted. • Both suggest that multiple factors motivate an employee at any given time. All drives may be active while set business goals should incorporate multiple principles. Differences • The goal setting theory involves employee input whereas the four drive theory is applied by a manager alone. • The goal setting theory requires a manager to individually address each employee whereas this is not necessary when applying the four drive theory.