The Employer's Ultimate Guide to Boosting Employee Motivation

Document management is a key factor in the success of any business. After all, your business is only as strong as your organization, and if your document management is chaotic, you risk experiencing inefficiencies and errors that can impact your bottom line.

Motivated employees, on the other hand, make a strong team. They are more productive than their unmotivated counterparts and have higher employee satisfaction and engagement.

Understanding how motivation works can be a game changer for your business. Read on to learn how motivated employees benefit your business, how to measure motivation, and how to increase employee motivation in the workplace.

What is employee motivation?

Employee motivation is closely linked to employee performance and engagement. Employee motivation is the energy, commitment, and enthusiasm with which employees approach their tasks every day.

In an ideal workplace, all of your employees would come to work motivated. Motivated employees are more productive and do more than they need to to get their jobs done.

If your employees are not as motivated as you would like, there is still hope. Employee motivation is something you as an employer can positively influence with a wide range of motivational incentives.

Types of Employee Motivation

If you want to improve employee motivation in your company, it is important to know the difference between the two types of motivation - intrinsic and extrinsic. Not every employee is motivated by the same things, so it is important to understand how motivation works and how to adapt your strategies to employee preferences.

Intrinsic Motivation

Intrinsic motivation is when a person is motivated from within. They are motivated by their emotions - happiness, pride and satisfaction drive them to achieve their goals. When you are intrinsically motivated, you do something because of the positive feelings that completing that work gives you.

Praise and positive feedback are a great way to increase the motivation of intrinsically motivated employees.

Extrinsic Motivation

Extrinsic motivation is when a person is motivated by external factors. Extrinsically motivated individuals are motivated by rewards, recognition, prizes, bonuses, and even deadlines.

For extrinsically motivated employees, "employee of the month," incentive programs, and bonuses are a great way to increase motivation.

The Benefits of Highly Engaged Employees

Regardless of your company, you should strive to have a team of highly engaged employees. If your employees are motivated, your company will benefit from that motivation.

Increased Employee Engagement

Employees who report high levels of employee motivation also report high levels of employee engagement. Employees who are happy with their jobs are more likely to be productive and save their company money.

According to the Gallup Employee Engagement Survey, engaged employees:

• Increase revenue by 18%
• Increase profitability by 23%
• Increase productivity by 14%
• Increase organizational involvement by 13%.

There are three levels of employee engagement: actively disengaged (dissatisfied and intentionally causing problems at work), disengaged (mentally disconnected from work), and engaged (working with enthusiasm). If you have a lot of disengaged and disengaged employees, you can help them increase their motivation and re-engage at work.

Better job performance

Highly engaged employees are likely to be more productive and effective in their jobs than disengaged employees. Because they are motivated, they work hard to achieve their goals, focus on completing their tasks, and generally do whatever they can to help the company succeed. Motivation also plays a role in which employees are willing to take on more responsibility - those who are motivated in the workplace will jump at the opportunity. At the same time, less motivated employees may shy away from additional responsibility.

Positive Work Environment and Company Culture

Motivated employees are your company's biggest cheerleaders. They are committed to creating a positive, happy atmosphere in the workplace. They are committed to making team members feel safe and comfortable at work. And they go above and beyond for customers.

Motivated employees feel connected to their work and the company. Their positive attitude and commitment can encourage other motivated and unmotivated employees to jump on the bandwagon, creating a positive company culture with motivated employees.

Lower turnover rate

The average annual turnover rate in the U.S. is 47.2% - nearly half of all American workers leave their jobs in a given year. With the cost of replacing an employee accounting for about 30% of their first year's salary, reducing turnover rates is more important than ever.

Increasing your employees' motivation can help with that. Motivated employees tend to stay with a company longer than unmotivated employees. Plus, motivated employees can help reduce absenteeism rates—employees who are motivated to work also show up on time.

How to Measure Employee Motivation and Engagement

The first step in developing an employee motivation strategy is to establish a benchmark for employee motivation and engagement in your company. Because this is about how your employees feel, it can be difficult to decide how to quantitatively measure workplace motivation.

The best way to measure employee motivation is through employee surveys. You should already be conducting employee surveys to get insight from your employees about everything related to your company and their employment. Adding questions to measure workplace motivation and engagement will help you set your benchmark and repeat the questions when you're ready to repeat the measurement.

These seven questions are a great place to start when creating your employee motivation survey. And remember, you can add a few questions to a more comprehensive employee survey—it doesn't have to focus solely on motivation and engagement.

1. How motivated do you feel at work?
2. How inspired are you by your long- and short-term work goals?
3. How happy do you feel when you come to work in the morning?
4. How would you rate your overall job satisfaction?
5. Do you feel like you're contributing to the company's success?
6. Does your manager recognize your contributions?
7. How stimulating do you find your daily tasks and responsibilities?

Employee surveys should be scheduled in your calendar. Make sure you do them often enough to know how your employees are doing, but not so often that you overwhelm them. Consider an annual or semi-annual survey in a larger format, with employee pulse surveys every one to two months. An employee survey is a short series of questions asked at regular intervals to capture responses to a specific topic over time.

How to Motivate an Employee

There are many strategies for improving employee motivation. Employees are individuals, and what works for one may not work for another. The best way to find out what motivates them is to get to know your employees - a tailored approach to employee motivation is always the best choice.

If you're looking for an approach to start with, these five strategies are great motivation boosters.

1.Recognize your employees for their hard work

It may sound simple, but taking the time to recognize your employees for the hard work they put into your company goes a long way. Recognition is a great way to show your employees you appreciate them and motivate them to keep working hard. A 2023 survey found that for 37% of employees, more personal recognition would be the best motivator to do better work more often.

An "Employee of the Month" program is a great way to recognize your employees for their hard work at your company. But it doesn't even have to be that formal.

Some of the common ways to show your appreciation to your employees include:

• Internal employee recognition for a job well done
• Celebrating milestones such as birthdays and work anniversaries
• Handwritten thank you notes and appreciation cards
• Saying thank you when employees do a good job

2.Offer an employee incentive program

Employee incentive programs use extrinsic motivation to encourage employees to achieve certain goals in return for a reward. The rewards and design of the program can take many different forms, but the best programs motivate employees to become more efficient and productive.

Incentive programs increase employee motivation, engagement and productivity. They are a great way to reach extrinsically motivated employees - the promise of a reward or gift spurs them to take action.

Some of the common employee incentives include:

• Cash bonuses
• Wellness initiatives
• Fun gifts
• Corporate gifts
• Extra paid time off
• Travel incentives
• Meaningful experiences

3.Give your team autonomy

Giving your employees autonomy gives them control over their time and energy. Whether you offer flexible hours, provide shifts, or simply avoid micromanagement, giving your employees autonomy shows that you trust them. And that trust and autonomy contributes to motivation and overall job satisfaction.

4.Work on your management skills

When it comes to management skills, it's important to be the best leader for your team. A good leader has a significant impact on employee motivation. When a manager shows employees that they are committed to their success and ensures open communication, employees are more likely to be engaged at work and motivated to do their best.

Have one-on-one conversations with your employees and use the time to build positive relationships with everyone on your team. This is also a great way to find out what motivates your employees.

5.Solicit your employees' feedback - and act on it!

We've already talked about employee and pulse surveys, but one of the most effective ways to motivate employees is to ask them for feedback. You get the information straight from the source by asking your team what would make work more meaningful.

But for this to be effective, you need to do more than listen to your employees. You need to act on their feedback to capitalize on what motivates them. When you get your employees' feedback, you should set a realistic time frame for making changes in the workplace.

Psychological theories of motivation

To understand what drives employee motivation, one can leverage the insights of various psychological theories. These theories explain the different factors that motivate people and how these can be used in the workplace to increase employee engagement and productivity.

Maslow's Hierarchy of Needs

Abraham Maslow's idea is pretty clear: people have needs that range from the basic, like food and safety, to the complex, like feeling valued and achieving personal goals. In the workplace, this means that we need to meet the basic needs before we expect our employees to strive for bigger things like recognition or personal development.

Herzberg's Two-Factor Theory

Frederick Herzberg's theory divides things into two areas: things that make us happy at work (like achievements and recognition) and things that keep us from being unhappy (like adequate pay and a proper work environment). Both are important to keep anyone motivated.

Self-Determination Theory

Edward Deci and Richard Ryan's Self-Determination Theory states that feeling competent, having freedom in our tasks, and feeling connected to others are essential to genuine, internal motivation. Creating a work environment that supports these aspects can really boost employee engagement and empowerment.

Companies that excel at employee motivation

Some companies really know how to motivate employees properly, which pays off in the form of business success and innovation.

Southwest Airlines

Southwest Airlines stands out for its strong company culture. The company motivates its employees through recognition programs, profit sharing, and the ability to design their work freely. This approach not only increases customer service, but also the company's profits.

Google

Google offers its employees unique perks, allows them time for personal projects, and promotes a team-oriented environment. This strategy has made Google a prime example of how to motivate employees, thus encouraging innovation and success.

Salesforce

Salesforce focuses on engaging and motivating its team by rewarding experiences, encouraging volunteerism, and being transparent. The "Ohana" culture fosters a sense of family and belonging, which leads to high employee satisfaction and loyalty.

Obstacles to Employee Motivation

Keeping your team on track and motivated isn't always easy. Overwork and stress can sap energy and productivity. Without clear development and learning opportunities, team members may look elsewhere for opportunities. Unclear signals or vague direction from leadership can cause confusion and lower motivation. A negative workplace with a lot of drama or a lack of respect drives good people away. When efforts aren't rewarded with fair compensation or even a simple "well done," people often feel undervalued. Addressing these challenges head-on is key to creating a supportive and positive environment where everyone feels valued and motivated.

The Manager's Role in Fostering Motivation

Leaders play an important role in creating a workplace where everyone stays motivated. By leading the team in a way that empowers and supports them, they set the stage for everyone to do their best work. Clear communication and constructive feedback are critical; they let employees know what is expected of them and how they can improve, which builds their drive to succeed. Giving team members control over their work and decisions gives them a sense of ownership and satisfaction. Recognizing and rewarding hard work shows them that they are valued and encourages them to keep up the good work. And offering them opportunities to grow professionally shows that you are investing in their future, which motivates them even more. Put all of these elements together and you get a work environment where everyone feels valued and ready to do their best.

Investing in employee motivation is key to a thriving business. By understanding and implementing motivational strategies, you can create a positive work environment that drives performance and satisfaction. With IceHrm, you can easily track performance metrics, recognize achievements, and foster a motivated team ready to excel.