Saturday, 28 March 2015

Why motivation is important in businesses

All businesses have goals and objects set, that they must achieve, whether they are small or big. Businesses hire employees to help achieve those goals by motivating them with money, incentives and other alternatives. Motivation is a psychological form of catalysis which both the employees and the owners require to achieve and meet their goals and objectives. This helps in guiding the company and the employees towards the goals. Motivation is an important part of business strategy because it helps with saving costs, increasing revenue and also increasing productivity. Employees that are highly motivated have a greater willingness to get the jobs done effectively and efficiently. Employees who have lower motivation work slower costing the business more money.




5 Reasons why Motivation is important
Improves Performance level - As stated before employees are more willing to work if they are motivated, therefore it leads to an increase in productivity and the decrease in cost because employees work more effectively and efficiency.
Helps to change negative or indifferent attitudes of employees - People think that by working more at their job would not benefit them because they will not be recognized or be credited more. Many businesses offer annual pay increase to their employees to motivate them by changing the negative way of thinking they may have.
Reduction in Employee Turnover – A lot of businesses spend thousands on hiring new employees and giving them training and education. While business can save that money by motivating its employees with financial incentives such as salaries/wage increase, bonus, paid holidays and trips, etc... With this type of motivations the companies would be increasing their productions and saving their recruitment costs. Companies will also have satisfied and motivated employees.
Help to reduce absenteeism in the organization – Due to many businesses having poor working conditions, many employees tend to take a lot of days off from work leading to a higher absenteeism rate. Another cause for this can also be that the employees do not have work relationships with their colleagues and supervisors. Businesses need to motivate employees by offering rewards, appreciation etc… this would make the workplace more enjoyable for its employees and would motivate them to come to work more.
Reduction in resistance to change- Many employees are not prepared or willing to accept the changes in the organization. Businesses need to motivated it employees because motivated employees can improve their work performance and have more flexibility to accept changes.



Hence the reasons why it’s important for businesses to motivate its employees


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