Why is Employee Motivation Important in the Workplace?

Why is Employee Motivation Important in the Workplace? banner

If you’ve ever felt a lack of motivation at your job or in any aspect of your life, then you probably know first-hand how much it can affect your overall well-being and sense of happiness. In recent years, there has been a renewed focus on employee motivation in the workplace, why it matters, and the strategies that are most effective at driving motivation.

If you have plans to get into business or want to positively influence organizational culture, having a solid understanding of what motivates employees and why it matters could be crucial to your professional success.

What Is Employee Motivation?

Specifically, employee motivation refers to the many factors (both internal and external) that lead workers to feel interested in and committed to a job or role. With proper motivation, employees will have the desire and energy to work toward goals while growing professionally.

Types of Employee Motivation

There are two primary types of employee motivation: intrinsic and extrinsic. Both of these types are paramount in the grand scheme of things, although they serve different purposes.

Intrinsic Motivation

Intrinsic motivation refers to a person’s sense of personal satisfaction within their jobs. Factors that play into intrinsic motivation may include how much the employee enjoys performing the work itself, as well as how much of a sense of purpose their work gives them. Intrinsic motivation can also be affected by how much a person’s job offers them opportunities for growth and development.

Some examples of intrinsic motivators on the job may include:

  • Completing challenging yet rewarding tasks
  • Receiving recognition from peers or superiors
  • Having a strong sense of autonomy in one’s work

Extrinsic Motivation

Extrinsic motivation, on the other hand, is more focused on tangible rewards that an employee may get out of a job. Examples include a person’s salary, benefits, bonuses, and other benefits.

While extrinsic motivators are crucial, they only tend to be effective in the short-term and may not be sustainable for long-term engagement and satisfaction in the workplace.

The Theories Behind These Motivation Types

The distinction between intrinsic and extrinsic motivation is rooted in decades of research in psychology and management. Three frameworks in particular help explain why some motivators spark lasting effort while others only go so far: 

  • Maslow’s Hierarchy of Needs. In his 1943 paper, “A Theory of Human Motivation,” psychologist Abraham Maslow proposed that people are driven by five levels of needs: physiological, safety, love and belonging, esteem, and self-actualization. Generally, more basic needs must be reasonably met before higher-level needs become strong motivators. At work, that means fair pay and job security lay the groundwork, while belonging, recognition, and the chance to reach one’s potential fuel deeper, longer-lasting motivation.
  • Herzberg’s Two-Factor Theory. Psychologist Frederick Herzberg, whose ideas were popularized in a classic Harvard Business Review article, argued that job satisfaction and job dissatisfaction come from two separate sets of factors. Hygiene factors (such as salary, company policies, working conditions, and supervision) can cause dissatisfaction when they fall short — but improving them doesn’t necessarily motivate people. Motivators (e.g., achievement, recognition, responsibility, the work itself, and advancement) are what actually drive satisfaction and effort. This helps explain why extrinsic rewards on their own tend to have a limited, short-term effect.
  • Self-Determination Theory (SDT). Developed by psychologists Edward Deci and Richard Ryan, self-determination theory holds that people are most motivated when three basic psychological needs are met: autonomy (a sense of choice and control), competence (feeling capable and effective), and relatedness (feeling connected to others). Research applying SDT to the workplace links meeting these needs to higher-quality performance and greater employee well-being. SDT also suggests that extrinsic motivation isn’t all-or-nothing; when employees understand and personally value a task, even externally driven work can start to feel self-motivated.

Motivation vs. Employee Engagement: What’s the Difference?

Motivation and engagement are often used interchangeably, but they aren’t the same thing. Motivation is the internal drive that pushes someone to act: the “why” behind their effort. Engagement is the sustained commitment and involvement an employee brings to their work and workplace over time. Gallup, for example, describes engagement in terms of how involved in and enthusiastic about their work and workplace employees are.

Put simply, motivation is the spark, and engagement is what that spark can grow into when the work environment supports it. Motivation can rise and fall; it may surge at the start of a new project and fade when obstacles pile up. Engagement, on the other hand, reflects a steadier, ongoing connection to the job, the team, and the organization.

Consider a newly hired marketing coordinator who is eager to prove herself. She’s highly motivated, volunteering for extra tasks and staying late to polish her first campaign. But if her ideas are routinely overlooked and she rarely receives feedback, that motivation may fizzle within a few months. Now imagine her manager invites her into planning meetings, recognizes her contributions, and helps her map out a path toward a senior role. Over time, her initial drive turns into engagement: she’s invested in the team’s goals, contributes ideas without being asked, and plans to stay for the long haul.

For leaders, the takeaway is that motivation is often the starting point, but engagement requires an environment that consistently nurtures it. That’s why the strategies covered later in this article, from recognition to growth opportunities, matter so much.

How Motivation Benefits Employees

Why does motivation matter from a worker’s perspective? There are many direct and positive impacts that high levels of employee motivation can have on an individual’s well-being, career trajectory, and personal/professional growth.

Increased Job Satisfaction and Engagement

When employees feel motivated on the job, they also tend to have higher levels of job satisfaction. This, in turn, can make their work more enjoyable and fulfilling. Motivated employees are more likely to be engaged in their work, too, which can lead to a greater sense of purpose and accomplishment compared to employees who lack feelings of motivation.

Enhanced Well-Being and Reduced Stress

Additionally, feeling motivated at work can have a positive impact on employee well-being, both physically and mentally. When workers arrive at their jobs feeling valued and carrying a true sense of purpose, this can help them to reduce their own levels of stress while improving resilience and, in turn, their mental/physical health.

Career Advancement and Skill Development

Employees with a strong sense of motivation may also be more likely to seek out opportunities for professional growth and skill development, whether it be in the form of an advanced degree or a specialized certification. Either way, these designations can lead to career advancement and an increased level of expertise in the respective roles. This is where it is especially essential for organizational leaders to support and empower employees in their career development goals. According to a 2021 Pew Research Center survey, a lack of opportunities for advancement was a top reason U.S. workers left their jobs.

Positive Outlook and Higher Self-Esteem

Employees who feel motivated by achieving goals at work may also be more likely to have a positive outlook not just on their jobs, but on life in general. This is particularly true for employees who are regularly recognized for their actions and accomplishments, as this can contribute to increased self-esteem and confidence on the job and beyond.

Why Is Motivation Important in the Workplace?

Why is motivation important in the workplace, anyway? There are many reasons as to why employee motivation is critical for organizational success, both in the short- and long-term.

Increased Productivity and Performance

First of all, consider that motivated employees are more likely to be productive, efficient, and engaged. This can result in a higher quality of work delivered, as factors related to motivation, career development, and promotion have been shown to have notable effects on employee performance. With the proper motivation, employees may be in a more likely position to go above and beyond their basic job requirements, resulting in better performance and even improved innovation.

Improved Employee Engagement and Satisfaction

There is also a strong correlation between motivation and an employee’s sense of engagement. Specifically, motivated employees are more likely to be enthusiastic, committed, and involved in various aspects of their work than workers who are not motivated. Meanwhile, because motivated employees tend to experience higher levels of job satisfaction, this can result in heightened levels of workplace loyalty and reduced turnover.

Reduced Absenteeism and Turnover

Employees who lack a sense of motivation or purpose in their roles may be more likely to call in sick or otherwise miss work. On the other hand, when employees are engaged in a motivating and supportive work environment, they may feel more excited to come to work and may thus be less likely to call out or even resign. And when you consider that the average cost to recruit and hire a new employee hovers around $4,700 as of 2022, it’s evident how reduced turnover helps a company’s bottom line.

Enhanced Creativity and Innovation

Highly motivated employees are also more likely to think creatively and bring forth new innovations on the job. By creating a motivating work environment for employees, then, business leaders can foster a culture of innovation that’s essential for staying competitive and relevant in today’s dynamic business landscape.

Improved Customer Satisfaction

Workers who feel motivated to do their jobs well are also more likely to provide customers and clients with outstanding service, which could result in higher customer satisfaction and brand loyalty. Think about a time when you had an excellent interaction with an employee. More than likely, the experience was positive because the worker was truly engaged and invested in your experience as a customer.

Examples of Employee Motivation in the Workplace

The following (theoretical) examples show how recognition, autonomy, growth, and purpose can drive employee motivation in everyday workplace settings.

Recognition: Celebrating a Job Well Done

A hotel front desk agent calmly resolves a booking mix-up for a family arriving after a long travel day, then follows up with a handwritten welcome note in their room. The family later mentions her by name in an online review. Her manager reads the review aloud at the next team huddle and sends her a quick thank-you, copying the general manager. The recognition costs nothing, but it shows her that her extra effort was noticed and valued, and it encourages her and her coworkers to keep going above and beyond. In Herzberg’s terms, recognition is a true motivator rather than a hygiene factor.

Autonomy: Trusting Employees to Own Their Work

A software development team shifts from having a manager assign every task to letting developers decide how they’ll meet quarterly goals. One developer proposes automating a tedious manual reporting process that has frustrated the team for months, and her manager gives her the time and freedom to build it. Because she chose the project and controlled how it got done, she’s more invested in the outcome, and the finished tool saves the team hours each week. This reflects self-determination theory’s emphasis on autonomy as a core psychological need.

Growth Opportunities: Investing in Employee Development

A shift supervisor at a regional distribution center tells his manager he’d like to move into operations management someday. As opposed to waiting for an opening, the company pairs him with a mentor, puts him in charge of a process-improvement project, and offers tuition assistance toward a degree in operations and supply chain management. Seeing a clear path forward gives him a reason to build new skills now as well as to grow his career with the company versus looking elsewhere for advancement.

Purpose: Connecting Daily Work to a Bigger Mission

At a community hospital, the billing department rarely sees the patients its work affects. To bridge that gap, leadership invites a former patient (who volunteered to speak) to a department meeting to share how a staff member helped her set up an affordable payment plan during a stressful recovery. Hearing firsthand how their work eased a family’s burden helps the team see routine tasks like processing claims, answering calls, and correcting errors as part of the hospital’s larger mission of caring for the community. That sense of purpose can be a powerful intrinsic motivator, especially in roles where the impact isn’t always visible.

How to Motivate Employees in the Workplace

Ultimately, the burden of creating workplaces that inspire motivation falls on business managers and leaders. The good news is there are some practical tips and best practices that organizational leaders can use to boost motivation and employee satisfaction.

Recognize and Reward Employees

One of the simplest yet most effective steps business leaders can take to build a motivating company culture is to simply recognize employees for their accomplishments and hard work. Recognizing workers’ contributions through praise, written acknowledgments, bonuses, and other incentives can greatly motivate employees, especially when tailored to their preferences.

Provide Opportunities for Growth and Development

All workers deserve to have access to professional development and growth opportunities in the workplace. If your company doesn’t already offer options for learning, skill development, and career advancement, now may be the time to design and implement these types of programs.

Dedicated training programs, mentorship initiatives, and even career development plans can go a long way in motivating employees and keeping them engaged in their work.

Create a Positive Work Culture

Organizational leaders also have an obligation to foster a positive work culture where all employees can feel respected, valued, and supported at all times. Doing so can improve workers’ sense of engagement and motivation at work. If you’re not sure where to begin, focus on creating a culture of open communication where teamwork and collaboration are celebrated on a daily basis.

Promote Work-Life Balance

Work-life balance is one of the most important factors affecting employee motivation today. A poor balance between work and personal life can be a significant deal breaker for many when considering new job opportunities. Prioritizing a healthy work-life balance is crucial for employee well-being and motivation. Employers can enhance this balance by offering flexible work arrangements and wellness programs that support both mental and physical health.

How to Measure Employee Motivation

Both qualitative and quantitative methods should be used to regularly assess employee motivation levels. In doing so, organizational leaders can track which strategies are working and what areas may still have some room for improvement.

Employee Surveys and Feedback

One of the best tools for measuring and tracking employee motivation over time is the simple survey. Using anonymous surveys and feedback mechanisms, it is possible for employers to gain valuable insights into motivation levels. Measuring responses on a scale from 1 to 10 can be a great way to quantify responses and understand results.

Some questions to consider asking here include:

  • On a scale of 1-10 (with 1 being not at all engaging and 10 being extremely engaging), how engaging do you find your work to be?
  • On a scale of 1-10, how meaningful is your work to you?
  • On a scale of 1-10, how satisfied are you with the professional development opportunities offered at your job?

Performance Metrics

In addition to direct employee feedback, tracking performance metrics can also help identify trends in employee motivation. By using both objective and subjective measures to gain a comprehensive view of motivation levels, organizational leaders can figure out what’s working versus what’s not in terms of employee motivation strategies.

Some examples of key performance indicators (KPIs) to track may include:

  • Turnover rates
  • Absenteeism
  • Internal promotion rates

Observation and Informal Conversations

Finally, never underestimate the power of simply observing employee behavior and engaging in informal conversations as a means of gauging motivation levels. Although this method may be qualitative, it can provide some additional context and insights into quantitative employee motivation metrics.

Discover the Key to Employee Motivation at JWU Online

There’s no denying the importance of not just motivating employees at work, especially when it comes to improving productivity and reducing turnover rates. While no two organizations will find success from the exact same methods, knowing which employee motivation strategies are best-suited for your teams can make all the difference.

Looking to expand your knowledge in organizational psychology and make a difference in the lives of employees? It may be time to pursue your online master’s in Organizational Psychology or an online MBA in Organizational Leadership from Johnson & Wales Online. With our convenient online format, you can work toward your graduate degree on your own time without having to put other areas of your life on-hold.

For more information about completing your degree online, complete the Request Info form, call 855-JWU-1881, or email [email protected]. 

FIND YOUR PROGRAM
Step 1 Step 1 of 2
*Required Field Step 1 of 2
Step 2

By clicking Get Started below, I consent to receive recurring marketing/promotional e-mails, phone calls, and SMS/text messages from Johnson & Wales University (JWU) about any educational/programmatic purpose (which relates to my inquiry of JWU) at the e-mail/phone numbers (landline/mobile) provided, including calls or texts made using an automatic telephone dialing system and/or artificial/prerecorded voice messages. My consent applies regardless of my inclusion on any state, federal, or other do-not-call lists. Consent is not a condition for receipt of any good or service. Carrier charges may apply. Terms and conditions apply.

« Previous Step 2 of 2
Request info