The hidden motivations of employees
Knowledge workers aren’t motivated by extrinsic rewards (salary, benefits etc) but managers overestimate their value. This leads to higher costs and lower productivity.
It is generally understood that intrinsic rewards (personal growth etc) motivate individuals to perform and that whilst extrinsic rewards lead to dissatisfaction, they have no real effect on motivation. But as humans, we struggle to recognise this in others, overvaluing the latter and underestimating the former.
For managers unaware of this bias, the consequences can be problematic.Waving money around to attract and keep talent can only ever go so far to minimise dissatisfaction but offer too much and it starts to negatively effect performance.
What employees want is for the extrinsic bases to be covered and a workplace where they indulge their intrinsic needs. Typically these involve the ability to develop skills, self-direct their work and finally, believe that their work satisfies a noble purpose.
Organisations whose managers understand this are more likely to have happier, more motivated staff which is better for them, better for customers and better for the business.