Introduction. In every organisation, people differ not only in their abilities but also in their willingness to work. Two workers with the same skill may perform very differently depending on how strongly they are motivated. Therefore, for a manager, understanding the concept of motivation and the different types of motivation is essential for directing human behaviour towards organisational goals. This answer first explains the meaning and nature of motivation and then discusses important bases on which motivational forces can be classified, as generally presented in “Psychology for Managers” (Kalyani Publications).
Concept / Meaning of Motivation
The word motivation is derived from the term “motive” which means a need, desire or drive within an individual.
Motivation may be defined as the process of stimulating an individual to take desired action by creating and satisfying his needs and motives.
In simple terms, motivation is the inner urge or willingness to exert high levels of effort towards organisational objectives, provided that such effort also satisfies some individual need.
Important points in this concept are:
- There exists an unsatisfied need (e.g., need for money, recognition, security, status).
- This creates tension and drive within the individual.
- The person engages in goal-directed behaviour to reduce this tension.
- When the goal is achieved, the need is satisfied and the tension is reduced, at least temporarily.
Nature / Characteristics of Motivation (Brief)
Before discussing types, it is helpful to review key features of motivation:
- Internal feeling: Motivation is an internal psychological state; managers can only create conditions and provide incentives, but the real force arises within the individual.
- Dynamic and continuous: Human needs are never-ending; as one need is satisfied, another emerges. Therefore, motivation is a continuous process.
- Goal-directed: Motivated behaviour is always aimed at some goal which the person believes will satisfy his needs.
- Complex and individualised: Different individuals are motivated by different factors; the same incentive may strongly motivate one person but only weakly affect another.
- Can be positive or negative: Motivation may be based on rewards (hope of gain) as well as on fear of punishment (fear of loss).
Types of Motivation
Motivational forces can be classified in several ways. At B.Com level, the major types generally discussed are:
- Positive and negative motivation,
- Intrinsic and extrinsic motivation,
- Financial and non-financial motivation,
- Primary and secondary motivation (briefly),
- Direct and indirect motivation (briefly).
I. Positive and Negative Motivation
1. Positive Motivation
- Positive motivation (or incentive motivation) means motivating people by offering rewards and creating opportunities for satisfaction of their needs when they perform well.
- It is based on the principle of “carrot” – the hope of gain.
- Examples of positive motivators:
- Pay increases, bonuses and incentives,
- Promotion, higher status and authority,
- Praise, recognition, appreciation letters,
- Opportunities for training, development and advancement,
- Better facilities and working conditions.
Merits of positive motivation
- Creates a sense of belonging and commitment towards the organisation.
- Improves morale, job satisfaction and loyalty.
- Encourages creative and voluntary efforts rather than mere compliance.
- Results are more durable than those achieved through fear or compulsion.
2. Negative Motivation
- Negative motivation (or fear motivation) means motivating people by the threat of punishment or adverse consequences if they do not behave as desired.
- It is based on the “stick” – the fear of loss.
- Examples:
- Threat of suspension, dismissal or transfer,
- Loss of increment or demotion,
- Reprimands and warnings,
- Adverse remarks in confidential reports.
Merits and demerits of negative motivation
- It may produce quick and immediate results, especially in emergencies, where discipline is essential.
- But excessive use leads to:
- Fear, anxiety and resentment,
- Low creativity and initiative,
- Absenteeism, turnover and poor morale.
- Therefore, modern management emphasises positive motivation and uses negative motivation only in a limited and just manner to maintain discipline.
II. Intrinsic and Extrinsic Motivation
1. Intrinsic Motivation
- Intrinsic motivation refers to the motivation that comes from within the individual, out of interest in the work itself and a sense of personal satisfaction derived from performing it well.
- The activity itself becomes rewarding.
- Examples of intrinsic motivators:
- Enjoyment of challenging and meaningful work,
- Desire to learn and develop one’s abilities,
- Sense of achievement and pride in doing a job well,
- Commitment to a cause or mission (e.g., serving society, building a great organisation).
Importance
- Intrinsically motivated employees show higher creativity, persistence and satisfaction.
- They require less external control and monitoring; they work sincerely even without constant supervision.
- In knowledge-based and professional jobs, intrinsic motivation is especially crucial.
2. Extrinsic Motivation
- Extrinsic motivation arises from outside the individual in the form of external rewards and pressures.
- The individual works because of:
- Pay, bonuses, promotions,
- Praise and recognition from others,
- Threat of punishment,
- Rules and expectations of family and society.
Role in organisations
- Extrinsic motivation is easier for management to implement through formal reward systems.
- However, if employees are motivated only extrinsically and do not find the work meaningful, their motivation may decline once the external reward is removed.
Balance between intrinsic and extrinsic motivation
- Effective motivation requires a proper combination – attractive external rewards plus work design that provides intrinsic satisfaction.
III. Financial and Non-Financial Motivation
1. Financial Motivation
- Financial motivators are those which satisfy needs by offering monetary rewards.
- Examples:
- Basic wages and salaries,
- Bonus and profit-sharing plans,
- Commission, incentives, piece-rate wages,
- Overtime allowance, dearness allowance,
- Financial benefits like pension, provident fund, medical reimbursement.
- Financial incentives are particularly important for satisfying physiological and security needs.
2. Non-Financial Motivation
- Non-financial motivators do not give direct monetary benefit but satisfy higher-level needs of status, recognition, affiliation and self-actualisation.
- Examples:
- Recognition and appreciation of good work,
- Opportunities for promotion, training and development,
- Challenging and enriched jobs,
- Participation in decision making, delegation of authority,
- Good working conditions and supportive leadership,
- Job security and status symbols (office, designation).
Relative importance
- For workers at lower income levels, financial incentives are very powerful motivators.
- For educated and higher-level employees who already get adequate salary, non-financial motivators such as recognition, responsibility and growth opportunities often play a deeper role.
- Therefore, a sound motivation system combines both financial and non-financial elements.
IV. Primary and Secondary Motivation (Brief)
1. Primary (Physiological) Motivation
- Primary motives are innate or inborn motives required for biological survival.
- Examples:
- Hunger and thirst,
- Need for sleep and rest,
- Need for avoidance of pain,
- Sexual drive, etc.
- In organisational context, these motives are mainly satisfied through money and physical working conditions (wages to buy food and shelter, reasonable working hours, safety measures).
2. Secondary (Social and Psychological) Motivation
- Secondary motives are learned through experience and social interaction.
- Examples:
- Need for achievement,
- Need for affiliation (belongingness),
- Need for power,
- Need for status, prestige, security and self-respect.
- Secondary motives are of special importance for managers because they can be influenced through organisational policies, job design and leadership behaviour.
V. Direct and Indirect Motivation (Brief)
1. Direct Motivation
- When an individual receives a direct and immediate reward from his work, the motivation is called direct motivation.
- Example: satisfaction derived from doing creative work, appreciation received immediately after completing a task, salary received at the end of the month.
2. Indirect Motivation
- Indirect motivation arises when work leads to certain indirect benefits that may not be immediately visible.
- Examples:
- Working in an organisation that has good reputation in society,
- Feeling of pride and identity associated with one’s company,
- Long-term career prospects and security.
Managerial Implications of Different Types of Motivation
Understanding various types of motivation has several practical implications for managers:
- They should rely more on positive, intrinsic and non-financial motivators (recognition, responsibility, participation) along with adequate financial rewards.
- Negative motivation should be used sparingly and fairly only to maintain essential discipline.
- Jobs should be designed to provide intrinsic satisfaction – challenge, autonomy and opportunities for achievement.
- Reward systems should be flexible enough to address different needs of different employees – some may value money more, others may value recognition or growth.
Conclusion. To sum up, motivation is the internal driving force which activates and directs human behaviour towards goals by satisfying needs and motives. It is a continuous, goal-directed and complex psychological process. Different types of motivation can be distinguished on several bases – positive and negative, intrinsic and extrinsic, financial and non-financial, primary and secondary, direct and indirect. For effective management of human resources, it is necessary to understand these varieties and to design a balanced motivational strategy which emphasises positive, intrinsic and higher-level motivators while ensuring adequate financial rewards and minimum use of negative, fear-based control. Such a strategy helps in achieving both organisational efficiency and human satisfaction.