Financial and non-financial motivators
| English | Chinese | Pinyin |
|---|---|---|
| piece rate | 计件工资 | jì jiàn gōng zī |
| commission | 佣金 | yòng jīn |
| bonus | 奖金 | jiǎng jīn |
| profit-sharing | 利润分享 | lì rùn fēn xiǎng |
| salary | 薪水 | xīn shuǐ |
| fringe benefits | 附加福利 | fù jiā fú lì |
| job enrichment | 工作丰富化 | gōng zuò fēng fù huà |
| job rotation | 工作轮换 | gōng zuò lún huàn |
| enlargement | 工作扩大化 | gōng zuò kuò dà huà |
| empowerment | 授权 | shòu quán |
| recognition | 认可 | rèn kě |
| commitment | 投入 | tóu rù |
Beyond the pay packet
- If money were everything, a pay rise would fix every motivation problem. It doesn't.
- Smart firms use a mix of financial and non-financial methods to get the best from people.
Motivation methods lab
Compare financial and non-financial ways to raise effort.
Paying a worker a fixed amount for each unit they produce is:
Piece rate links pay directly to output.
A salesperson paid a percentage of each sale earns ______.
Commission rewards sales made.
Financial motivators
- Piece rate 计件工资: pay per unit produced. Commission 佣金: pay per sale.
- Bonus 奖金 and profit-sharing 利润分享: reward results. Salary 薪水 with fringe benefits 附加福利.
Motivators are either financial (money) or non-financial (better work)
Which are non-financial motivators? (Select all that apply.)
Commission is financial; the rest are non-financial.
Giving employees more challenging and responsible work is:
Job enrichment deepens the role to motivate.
Non-financial motivators
- Job enrichment 工作丰富化: more challenging, responsible work.
- Job rotation 工作轮换 and enlargement 工作扩大化: more variety.
- Empowerment 授权, teamwork, and praise/recognition 认可.
Worked example. A call centre with high staff turnover raises pay (financial) but turnover stays high. Adding team targets, recognition and career paths (non-financial) finally lifts motivation — pay alone wasn't the problem.
Most firms use a mix of financial and non-financial motivators.
A blend matched to the job works best.
Choosing the right mix
- Financial methods suit simple, output-based jobs; they can be costly and short-lived.
- Non-financial methods suit skilled, creative work and build lasting commitment 投入.
You've got it
- financial motivators: piece rate, commission, bonus, profit-sharing, fringe benefits
- non-financial motivators: job enrichment, rotation, empowerment, recognition
- the best approach is usually a mix matched to the job