Felix is the COO of Eco Solutions, a large consulting firm which prides itself on its diverse workforce. The past year saw a significant increase in the amount of business that came Eco's way and most employees have had to put in extra effort to get all the work done. Sensing that a lot of employees were getting demotivated by the intense pressure, Felix announced an organization-wide salary hike of 20 percent and also increased the pay-for-performance component of salaries across the board. However, even after the move, many employees showed signs of dissatisfaction and several quit the company. What was the flaw in Felix's motivational approach?

Question

What will be an ideal response?

Answer 1

Felix made the mistake of assuming that pay was the most important motivating factor for all employees in the diverse workforce at Eco Solutions. To maximize motivation among today's workforce, managers need to think in terms of flexibility. Managers need to recognize that what motivates a single mother with two dependent children who's working full time to support her family may be very different from the needs of a single part-time employee or an older employee who is working only to supplement his or her retirement income. A diverse array of rewards is needed to motivate employees with such diverse needs. Many of the work-life balance programs that organizations have implemented are a response to the varied needs of a diverse workforce. In addition, many organizations have developed flexible work arrangements-such as telecommuting, compressed workweeks, flextime, and job sharing-that recognize different needs.