Herzberg's Two-Factory Theory
- Herzberg's theory suggests that there are two types of factors that affect employee motivation and job satisfaction - hygiene factors and motivators
- Hygiene factors are elements that do not necessarily lead to job satisfaction, but their absence can cause dissatisfaction, which decreases motivation e.g poor teamwork in the workplace
- Motivators are elements that lead to job satisfaction and motivation, e.g. increased responsibility
Diagram: Herzberg's Two Factor Theory
An explanation of how the lack of hygiene factors causes dissatisfaction while addressing the motivators increases satisfaction. Increased satisfaction leads to increased productivity and profitability
How businesses can use hygiene factors to decrease dissatisfaction
Pay fair wages/salaries
- If an employee is not paid a fair wage for their work, they may become dissatisfied and demotivated
Offer excellent working conditions
- If the workplace is dirty, unsafe, or uncomfortable, employees may become dissatisfied and demotivated, e.g Google has a reputation for providing amazing workplaces which include gourmet restaurants, laundry services and dog care
Offer employment contracts which provide job security
- If employees feel that their job is not secure, they may become anxious and demotivated and contribute less to the business goals
How businesses can use motivating factors to increase satisfaction
Build a recognition and rewards culture
- When employees are recognised and rewarded for their hard work, they are motivated to continue performing well e.g. Sales person of the month award
Offer opportunities for growth and development
- When employees are given opportunities to learn new skills and advance in their careers, they are motivated to continue working for the company, e.g. by setting in place a 3 year growth plan which helps the worker move towards a desired job role
Provide challenging work which requires problem solving
- When employees are given challenging work that allows them to use their skills and abilities, they are motivated to continue performing well