Motivating people without money is the subject of an article by Matthew Boyle on Businessweek.com.
The topic is certainly pertinent as, according to a survey of nearly 80,000 workersn by the Corporate Executive Board, 20% of employees now consider themselves disengaged from their job, compared with one out of ten last summer, and over 66% companies surveyed in late 2008 by Quantum Workplace had lower overall employee engagement scores compared with the previous year.
It's clear that in the economic downturn, as layoffs abound and companies are slashing budgets across the board, motivating employees is harder than ever.
In this environment, Boyle insists the middle managers must lead: "At times like this, remember that 'CEO' does not stand for chief engagement officer. He or she is too busy figuring out how to keep the company afloat to do much more than transmit a company-wide e-mail or Webcast. The responsibility for this falls upon middle managers, whose words and behaviours, studies show, have the most impact on employee engagement (or disengagement)."
First, though, managers have to be motivated themselves. Boyle says body language is the key, as "employees won't believe your inspirational missives if you hide in the office all day".
"Creative compensation" is also an option when budgets are tight. Boyle cites the option-exchange programs of Google and Starbucks where employees can trade out-of-the-money stock options for fresh new ones.
Ultimately, though, fulfilling work is the best reward. As Boyle points out: "Extrinsic rewards are clearly not a panacea — the psychological lift that employees get from doing work that matters to them can be just as valuable."
A new tool called the Work Engagement Profile released by CPP examines the internal motivations that fuel employee engagement. Boyle quotes Kenneth Thomas, the profile's co-creator: "Research shows that managers underestimate the importance of intrinsic rewards. And now they're in a situation where they cannot use [monetary] rewards as much, so it's a perfect time for this."
Motivating Without Money
Matthew Boyle, Businessweek.com, 24/04/09
