Keep ’em happy

When the budget is too tight to allow the raises that you’d like to give, it’s important to understand how a little love can save the day.

As far back as 1924 when the so-called Hawthorne Studies originated, researchers began to understand that employee behavior is not dependent on money alone; far from it. In fact, job satisfaction and performance often depend heavily on factors that have nothing at all to do with money. And nowhere is this more important than in labor-intensive businesses. Of course, reasonable pay is the foundation of job satisfaction and productivity, but it cannot do the job alone.

Despite all of the studies on the subject over the years, motivating employees is still far from an exact science. Each person has his or her own set of reasons for working and they are as individual as the person.

Here are five things that you as an owner or manager need to know to improve the motivation and thus the performance of your employees.
 

Self-esteem

Every human has a powerful need to feel respected, to be accepted and valued by others. This need is felt in every aspect of a person’s life; and nowhere is it felt more strongly than in the workplace. From brain surgeons to salesclerks, the craving for self-respect and recognition is so strong that it can dominate and control employee behavior and performance regardless of financial considerations.

The work of an employee who is left with no reason to think that her boss respects and values her contribution is almost certain to fall well below her potential. Lack of recognition preys on the susceptibility of many workers at all levels of our workplace hierarchy who are starving for self-respect. Failing to supply it provides a perfect setting for the loss of initiative and lowered work.

One of the simplest and most effective ways to develop and demonstrate sincere interest in your employees is to learn something about each one, including such simple things as the names of spouse and children, hobbies or special interests, and then following through with a little conversation that shows you remember them and are genuinely interested.
 

Employee equalization

Favoritism, or even the appearance of it, can be a deadly enemy of positive employee attitudes. An employee who feels that he or she is the victim of favoritism is likely to develop an unseen grudge that can silently but effectively damage your business.

Make a constant effort to show appreciation to your staff in a fair and equitable manner. Any indication that you regard one employee with more respect or appreciation than any other is a certain path to negative employee morale. While it’s not always possible for you to avoid regarding some employees more highly than others, allowing that feeling to become obvious to others is a serious management failure, one that almost certainly will exact a costly penalty.
 

Safe working conditions

Personal safety is one of those instinctive human needs that rank near the top of our subconscious concerns. Management must take reasonable precautions to protect employees from workplace harm.

One of the most obvious demonstrations of this concern is an on-going and visible effort to make certain that all equipment, electrical and mechanical, is in good working order and is checked on a regular basis.

Another working condition that can affect employee attitudes is cleanliness. While a nursery is obviously not a hospital environment, an on-going effort to maintain reasonable neatness and cleanliness in the workplace demonstrates a respect for those who spend their working hours in it.
 

Non-cash incentives

A recent report by the research firm McKinsey & Co. on motivating people strengthened the importance of recognition and non-cash incentives in the workplace. In particular, the report points out that non-cash incentives (including sincere praise and recognition from immediate managers) is often a stronger motivator than traditional incentives such as bonuses and stock options. This is of particular importance to small businesses operating on tight budgets.

Non-cash awards can include such obvious things as a fruit or flower basket, or dinner out with the boss. The only limit is your imagination. Not to be forgotten, however, is the one often suggested as the most important of all – praise and recognition from the boss.

None of this is to suggest that money in the form of wages isn’t the heart of positive motivation, only that money alone is not likely to inspire the kind of motivation that brings out the best of performance in your employees.
 

Respected leadership

A serious disincentive for employee motivation generated by some owners is failing to accept the blame when something goes wrong. A reputation for always putting the blame on others is a management deficiency that will eventually cause employee unrest. Being in charge means being willing to take responsibility for whatever happens on your watch.

In any business, the owner’s behavior, actions and attitudes establish guidelines for employees. “If a leader wants to build an atmosphere that promotes positive motivation, he or she needs to discuss problems with employees in a private setting. If he wants people to work hard on Fridays to get ready for the coming weekend, he needs to stay late himself. If he wants courteous employees, he must offer courtesy to others. In short, the person leading the company must display the behavior he or she wants others to emulate,” says Sally Mounts, president of Auctus Consulting Group in Washington, Pa.

William J. Lynott is a freelance writer in Pennsylvania specializing in business management, as well as personal and business finance; lynott@verizon.net.