Reference no: EM133144222

AQA A LEVEL BUSINESS

Will the use of non-financial methods to motivate a workforce always be more successful than the use of financial methods?

MARK SCHEME:

The demands of the question are:

showing understanding of motivation - the reasons one has for behaving in a particular way

understanding the meaning of financial and non-financial incentives

analysing how non-financial incentives can influence motivation

analysing how financial incentives can influence motivation

evaluating situations which impact on the relative success of the two types of incentives and using this to draw a reasoned conclusion.

Indicative content may include:

Using Taylor's theory to explain the view that workers are motivated by financial rewards that can be linked to performance, such as piece rate or commission.

Recognising situations in which Taylor's theory may apply, such as agricultural workers motivated by the quantity of production or an organisation that uses hard HRM. In such situations, financial incentives are more effective.

Using Herzberg's two-factor theory to argue that 'motivators' are non-financial incentives, such as the work itself, recognition and a sense of achievement. Herzberg believed that non-financial factors were more likely to create motivation.

Analysing methods that a business can use to ensure that motivators are provided (alongside hygiene factors to prevent dissatisfaction).

Assessing the relative importance of the job itself as a source of motivation.

Using Maslow's hierarchy of needs to argue for or against a specific incentive. For example, at level 1

of the hierarchy physiological needs still need to be met and so financial incentives are more likely to be effective. At higher levels of the hierarchy different non-financial incentives become more important, such as teamwork to help social needs and promotion to boost esteem needs. Therefore, as a worker progresses beyond level 1 of the hierarchy, motivation is best achieved by non-financial rather than financial incentives.

The indicative content above is based around theories of motivation. Students may choose to answer this question by focusing on the different financial and non-financial incentives and analysing their impact in different situations (possibly with some references to motivation theory). This analysis then leads to an overall judgement on the success of the different incentives, rather than using motivation theories as the foundation of their answer.

Evaluation

Full marks may be awarded to an answer that concludes that financial incentives will be more successful; but may be earned by a conclusion that non-financial incentives are likely to be more successful.

Evaluation may consist of an assessment of different circumstances in which the two different incentives are effective or ineffective OR it may be based on the extent to which the arguments presented suggest that one method is more successful than the other.