Question

Responding to the comment below posted by my classmate. Response should at least be 300 words.

Strategy: Commission plus travel/entertaining perks

In any job, the satisfaction of your employee is not only in the best interest of the person, but also the company. Most employees want to feel recognition not only with salary, but also with the acknowledgement of their work effort. There have been studies that this also produces a better, healthier work environment, and that the employee arrive to work with a positive outlook. They also tend to perform/execute better at work. “It takes lots of fuel to keep a professional sales team charged, which is why so many companies have reward programs that stand out. To retain top performers and keep them energized often requires a terrific reward unattainable any other way, from a fancy sports car to an all-paid luxury vacation. Companies that can offer these rewards should continue to do so because commission-based work is unique and requires another set of rules.” (Hart, P.)

The position I created is an Energy Commodity Broker. The broker in this position trades for hedge funds/policy holders and big oil companies. As an Energy Commodity Broker your main pay is through your commission on the trades you execute for you customer. Therefore, one of the first things to do is create a commission based strategy. Brokers will keep 40% of all business executed through the company. If the broker has a client that executes and clears through the company then it would be a total of 50%. In addition to always serving your customer and executing what they request you also need to wine and dine them.  While entertaining you customer you need to speak about the market, and finding a way to execute more trades. This way you can create more business for you. As this is part of your job you can expense all costs. You can take your client to sporting events, wine tours, high end dinning and travel costs. All of this will be additional perks for you. In doing all this, not only are you still “working” but also have the opportunity and flexibility to enjoy extra leisure’s that the company would pay for.  

To add to this strategy, a meeting would occur every quarter with upper management to see the numbers produced by the broker. Also having a performance review is important, not only to point out what might be wrong, but most importantly to acknowledge to the work effort they have put into the last quarter.

Understanding as a company what any employee want/need is very important. In the article: “Benefits of Employee Recognition in the Workplace: Reduced Risk & Raised Revenues” they make a very good argument on “turning managers into recognition experts”. They say… “The solution is to demonstrate how a recognition program can be transformed into a performance-based recognition system to create incentive for managers to genuinely thank employees for performance and influence engagement in the process. Recognition is not an innate behavior, it's learned.” (Hart, P.)

Overall there is no one tool or strategy to motivate an employee. There must be various factors such as recognition, respect, good pay, benefits, and bonuses to keep up the moral of any employee.

Answer 1

answer-

In any business like yours or any one's employee's satisfaction is very important because if employees are satisfied then they get motivated to work harder and harder every time.The top management in any company plays the part where they provide motivational reinforcements like high salary, bonuses, rewards, incentives, promotions etc. salary is one factor which in today's business is not influencing employees satisfaction.

Like you said, employees in a company want to create their own position and impact in addition with salary. they get motivated with recognition, praises from superiors, good reputation among co-workers.it boosts their morale.

Managerial positions often come with a higher pay scale than subordinate employees, but some people are not motivated by money to become a manager. The intrinsic motivation of added responsibility can be a strong inspiration for your more talented employees to become managers or team leaders. Responsibility brings the opportunity to be part of the management team that shapes the company's future and the ability to be remembered as a leader within the organization .

Employee recognition programs may include cash prizes or additional paid vacation days as part of the reward for being recognized as a premier contributor to the company. But for some employees, the intrinsic motivation of being recognized as a valuable company resource is stronger than the inspiration offered by the prizes being awarded. Some employees find pride and motivation at seeing their name recognized as a company top performer and work hard to achieve a certain level of recognition .

The intrinsic motivation of a feeling of accomplishment can be fulfilled in almost any position. A car-rental desk manager can derive a strong feeling of accomplishment for helping stranded motorists just as a nurse can feel pride when helping patients. A company can help to stoke these fires of intrinsic motivation by reminding employees of their positive accomplishments through the company newsletter or Intranet. For employees motivated by the feeling of accomplishment, sometimes a simple "thank you" can be a powerful reward.

so, i think both type of motivational intrinsic as well extrinsic are important for employees engagement in any business.