Types of organisational structure

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The different ways of structuring a non profit organisation.

People invest a lot of time in thinking about the most effective structure for their organisation. There are many options and the best way to start is to think about your strategy (where you are going) and your resources (how much time, money and people you have to work with).
Organisational structures

Organisations can be structured in different ways:

by function, for example, operations, marketing, finance, fundraising, etc
by region
by product, for example, books, support, consultancy, delivery
in work teams, for example, client/customer groups.

Hierarchical structures

Many organisations structure themselves in a traditional and recognisable way using a hierarchy. The dictionary definition of hierarchy is a series of ordered groupings of people or things within a system. Hierarchy describes reporting levels and the status of people in the structure.
Diagram of hierarchical structures

Organisational diagram showing hierarchical structure
Description of the diagram

The hierarchical organisation structure is pyramid-shaped. At the top of the structure is a single person, who has a small number of people reporting directly to them. Each of these people has several people reporting into them and the number of people at each level increases as you move down the structure.
Advantages of hierarchical structures

A hierarchical structure uses clear reporting lines. It is easy to see what each team is called, how many people there are in each team and how they relate to other people in the system.

Disadvantages of hierarchical structures

People can feel stuck in a ‘silo’ and miss opportunities for co-operation, both for themselves and the organisation.

Flat structures

Taking out levels of hierarchy creates a flatter organisation structure.
Diagram of flat structures



Organisational diagram showing a flat structure
Description of the diagram

There are fewer levels in the flat structure organisation. In this example structure, there is one person at the top with everyone else reporting into them on an equal level.
Advantages of flat structures

people feel more involved and can take on more responsibility
greater communication
better team spirit
less bureaucracy and easier decision making
lower costs

Disadvantages of flat structures

Decisions can get stuck as a result of consulting with many people.
People may have 'matrix management', with more than one manager.
Limited to smaller organisations.
The function of each department gets blurred as roles merge.

Informal structures

Many organisations develop informal, sometimes invisible structures. These are based on the reality of day-to-day interactions at work. They are very important, as they can pass on communications (or rumours), they can be friendly and supportive (or form cliques). They can also influence decisions, as there is knowledge and discussion at an informal level. The influence of these networks is significant.
No structure

It is difficult to imagine any organisation without a structure. Even groups of young children start to establish a network or informal hierarchy. In the beginnings of a new organisation there may be no formal structure but often this changes over time. Example of an organisation with no structure.
Changing structure

If you are considering a structural change, you need to recognise that any formal change in the way an organisation operates will work only if consistent changes happen at the informal level of interpersonal relationships and social expectations. See organisational culture for more information.

Related content
Managing change

Organizational Structure Purpose of Organizational Structure

Organizational structure is about definition and clarity. Think of structure as the skeleton supporting the organization and giving it shape. Just as each bone in a skeleton has a function, so does each branch and level of the organizational chart. The various departments and job roles that make up an organizational structure are part of the plan to ensure the organization performs its vital tasks and goals.
Purpose

Organizational structures help everyone know who does what. To have an efficient and properly functioning business, you need to know that there are people to handle each kind of task. At the same time, you want to make sure that people aren't running up against each other. Creating a structure with clearly defined roles, functions, scopes of authority and systems help make sure your people are working together to accomplish everything the business must do.
Function

To create a good structure, your business has to take inventory of its functions. You have to identify the tasks to be accomplished. From these, you can map out functions. Usually, you translate these functions into departments.
For example, you have to receive and collect money from clients, pay bills and vendors, and account for your revenues and expenditures. These tasks are all financial and are usually organized into a finance or accounting department. Selling your products, advertising, and participating in industry trade shows are tasks that you can group under the umbrella of a marketing department.
With differing ways to organize the tasks, you can always choose something less traditional. But in all cases, organizational structure brings order to the list of tasks.

Related Reading: Roles of Organizational Structure
Considerations

Employees do best when they know who to report to and who is responsible. Organizational structure creates and makes known hierarchies. This can include the chain of command within an organization. A good organizational chart will illustrate how many vice presidents report to a president or CEO and in turn, how many directors report to a vice president and how many employees report to a director. In this way, everyone knows who has say over what and where they are in the scope of decision-making and responsibility.
Hierarchy can also include macro-level management. For example, one department may comprise several teams. Perhaps several departments form one division of a company, and that division has a vice president who oversees all the departments and teams within it.
Features

Organizational structure encompasses all the roles and types of jobs within an organization. A complete organizational chart will show each type of position and how many of these there are at present. When smaller organizations look at their organizational structures, they usually focus more on job roles than hierarchy. Small businesses, particularly growing ones, often change quickly -- adding positions and shifting people's responsibilities as they remain flexible enough to adapt as to go along. For these businesses, having known definitions of people's roles can be useful, especially as things change.
Types

Organizations that are very hierarchical are usually referred to as having vertical organizational structures. Typically, these organizations want their employees having more limited scopes and performing their jobs in particular ways with little variation. Therefore, they have many layers of management to oversee that things are done correctly and uniformly. The banking industry is a good example. Money must be handled carefully and responsibility, there is significant risk involved, and rules and regulations dictate specific procedures.
Small businesses, innovation-based companies and professional organizations tend to use horizontal structures. These involve fewer layers of management and more focus on peers and equality. The idea is that each person takes on more responsibility and has more freedom to perform her work as she sees fit. Group medical practices are a good example. Physicians don't oversee physicians. There may be a managing partner who oversees the general operation, but otherwise, professionals are peers each practicing in their style -- all contributing to the organization's success.
References (5)
About the Author

Eric Feigenbaum started his career in print journalism, becoming editor-in-chief of "The Daily" of the University of Washington during college and afterward working at two major newspapers. He later did many print and Web projects including re-brandings for major companies and catalog production.
Photo Credits

Christine Balderas/Photodisc/Getty Images

Organizational structure

Organizational structure is about definition and clarity. Think of structure as the skeleton supporting the organization and giving it shape. Just as each bone in a skeleton has a function, so does each branch and level of the organizational chart. The various departments and job roles that make up an organizational structure are part of the plan to ensure the organization performs its vital tasks and goals.
Purpose

Organizational structures help everyone know who does what. To have an efficient and properly functioning business, you need to know that there are people to handle each kind of task. At the same time, you want to make sure that people aren't running up against each other. Creating a structure with clearly defined roles, functions, scopes of authority and systems help make sure your people are working together to accomplish everything the business must do.
Function

To create a good structure, your business has to take inventory of its functions. You have to identify the tasks to be accomplished. From these, you can map out functions. Usually, you translate these functions into departments.
For example, you have to receive and collect money from clients, pay bills and vendors, and account for your revenues and expenditures. These tasks are all financial and are usually organized into a finance or accounting department. Selling your products, advertising, and participating in industry trade shows are tasks that you can group under the umbrella of a marketing department.
With differing ways to organize the tasks, you can always choose something less traditional. But in all cases, organizational structure brings order to the list of tasks.

Related Reading: Roles of Organizational Structure
Considerations

Employees do best when they know who to report to and who is responsible. Organizational structure creates and makes known hierarchies. This can include the chain of command within an organization. A good organizational chart will illustrate how many vice presidents report to a president or CEO and in turn, how many directors report to a vice president and how many employees report to a director. In this way, everyone knows who has say over what and where they are in the scope of decision-making and responsibility.
Hierarchy can also include macro-level management. For example, one department may comprise several teams. Perhaps several departments form one division of a company, and that division has a vice president who oversees all the departments and teams within it.
Features

Organizational structure encompasses all the roles and types of jobs within an organization. A complete organizational chart will show each type of position and how many of these there are at present. When smaller organizations look at their organizational structures, they usually focus more on job roles than hierarchy. Small businesses, particularly growing ones, often change quickly -- adding positions and shifting people's responsibilities as they remain flexible enough to adapt as to go along. For these businesses, having known definitions of people's roles can be useful, especially as things change.
Types

Organizations that are very hierarchical are usually referred to as having vertical organizational structures. Typically, these organizations want their employees having more limited scopes and performing their jobs in particular ways with little variation. Therefore, they have many layers of management to oversee that things are done correctly and uniformly. The banking industry is a good example. Money must be handled carefully and responsibility, there is significant risk involved, and rules and regulations dictate specific procedures.
Small businesses, innovation-based companies and professional organizations tend to use horizontal structures. These involve fewer layers of management and more focus on peers and equality. The idea is that each person takes on more responsibility and has more freedom to perform her work as she sees fit. Group medical practices are a good example. Physicians don't oversee physicians. There may be a managing partner who oversees the general operation, but otherwise, professionals are peers each practicing in their style -- all contributing to the organization's success.
References (5)
About the Author

Eric Feigenbaum started his career in print journalism, becoming editor-in-chief of "The Daily" of the University of Washington during college and afterward working at two major newspapers. He later did many print and Web projects including re-brandings for major companies and catalog production.
Photo Credits

Christine Balderas/Photodisc/Getty Images

Six Elements of Organizational Design

Organizational design aims to structure a business so productivity is enhanced, communication is smooth, innovation is encouraged and the business can achieve its overall goals and mission. Organizational design encompasses many facets of a business but typically focuses in on six core elements common to all enterprises.
Specialization

Specialization refers to the extent that organizational design divides the work done into discrete jobs. A custom woodworker, for example, performs all of the cutting, assembly and finish work on a cabinet. In a cabinet factory, on the other hand, one person might cut the cabinets and another person glues them together, while a third person applies stain to the wood. The more an organization divides the work, the more specialized each job is.
Departmentalization

Departmentalization occurs when an organization reaches sufficient size that related jobs get grouped together into a unit that operates somewhat independently of other units. Organizations can departmentalize on the basis of product, geography or process, for example. The most common approach creates departments by function, such as sales, human resources and information technology.
Chain of Command

Chain of command defines the structure of authority within an organization. It formally or informally determines who answers to whom. In smaller businesses with a limited staff, the entire staff may answer only to a manager or the owner. In larger organizations, the chain of command may comprise numerous levels that involve supervisors, multiple managers and executives.
Centralization/Decentralization

Centralization occurs when the authority to make decisions rests with only a small group of individuals. When a business owner makes most decisions for all employees, the business employs centralized decision making. Decentralization aims to delegate decision making to the lowest practical level of the organization. If staff members receive only general goals to meet and maintain broad discretion in deciding how to achieve those goals, the business employs decentralized decision making.
Span of Control

Span of control describes how many employees report to an individual manager. When a large number of employees report to a single manager, the company employs a broad span of control. Wide span of control limits the levels of management necessary and increases delegation, but it can result in loss of control. Narrow span of control occurs when a small number of employees report to one manager. Narrow span of control increases the levels of management necessary, but it increases control over processes and workflow.
Formalization

Formalization determines the extent of standardization among jobs, as well as how much or how little rules or established procedures guide employee behavior. Fast food franchises tend to employ high levels of formalization, with strict guidelines for processes and behavior. Startup companies tend to employ low levels of formalization, with significant input from all team members across most areas of the business.
References

Mind Tools: Organizational Design -– Aligning Organizational Structure With Business Goals
MyManagement: Organizational Design
Reference for Business: Organizational Structure
MBA Notes World: 6 Elements of the Organisational Structure
Management Study Guide: Centralization and Decentralization
Practical Management: Organization’s Size and Span of Control

Resources

HRM Guide: Organizational Structure
MangerWise: Matrix Organizations -- What Are They?

About the Author

Eric Dontigney received a Bachelor of Arts in philosophy with a psychology minor. He has been writing for more than 10 years and presently works full time as a writer. Most of his writing work is done for private clients.

People management

Motivation Of Your Employees | The Best Way To Do It

September 24, 2014   |   Martin   |   0 Comments  

One of the key objectives that should feature in any business and organizational plan is motivation of one’s employees. It goes without saying that a motivated workforce is a more creative and productive one. Innovation is necessary to produce quality work. Only driven employees would put in the effort to find better methods to deliver quality output in the most efficient manner possible. The more engaged and motivated your employees are, the more it helps with reducing turnover. Those who frequently look out for better opportunities may be the ones with great potential while the ones who stay on could be just settling for their circumstances.
Is the current global workforce as motivated as it should be? And if it isn’t, what is the best way to improve the situation, starting with your company?

© Flickr | Arya Ziai

This article will take you through 1) eye-opening employee engagement statistics, 2) 7 key reasons why employees feel de-motivated, 3) motivation strategies differ for each worker, and 4) the best ways to motivate employees.

EYE-OPENING EMPLOYEE ENGAGEMENT STATISTICS

What follows are some eye-opening (and startling) employee engagement statistics:

• Only 30 percent of employees worldwide feel inspired and engaged by their careers
• Close to half (48%) of employees across the globe detest their jobs
• 18 percent of employees globally are actively disengaged meaning though they are present at work, they hate it completely
• Highly engaged employees were 87 percent less likely to leave their companies than their disengaged counterparts
• 3 out of every 4 people who leave their jobs of their own will, aren’t quitting their jobs but their bosses
• Less than half of the workforce (40 percent) were aware of their company’s goals, tactics and strategies
• Organizations with greatly engaged employees accomplish double the annual net income of those whose employees are not so well engaged (as per an analysis of 64 organizations)

7 KEY REASONS WHY EMPLOYEES FEEL DE-MOTIVATED

© Flickr | Mike Lewis

Here’s a look at some of the chief triggers for employee de-motivation:

1. No Recognition or Feeling of Value

When employees are not recognized or given credit for a job very well done or immense efforts they have put in towards a project, they become demotivated. They lose interest and may not even want to try thinking innovatively, get some extra work done or even just perform their role with feelings of obligation and energy because their boss doesn’t seem to care or notice their hard work and dedication.

2. Unrealistic Demands or Work Load

With the idea of getting a lot of work done and fast, ambitious bosses may place heavy and unrealistic workloads upon the shoulders of their employees. Though holding staff to high standards is not really a bad thing, it does become bad when managers cross the line by being too demanding or overburdening with them. Asking employees to carry out the truly impossible, or insisting that they complete projects over the weekends even when they’re not time-sensitive would invite low morale and decreased productivity from them.

3. Micromanagement

Micromanagement may be defined as a management style characterized by the manager closely (excessively) observing and supervising the work of his employees or subordinates. The manager may not mean any harm by his micromanagement however it can be irritating and bothersome to his employees. The reason is that it tells them he doesn’t trust their judgement and thereby contributes to a loss of motivation. The employees disengaged by the micromanagement may leave for the sake of more freedom or, if the manager is lucky, continue to stay but just muddle through.

4. Job Insecurity

As per a survey by Human Resource Services Inc, job security is the most important factor for employee motivation. So this means, insecurity in the job place can wreak havoc when it comes to employee retention. If an employee is at an expendable job or working in an unstable company, he may just put in the necessary effort to keep getting his salary. The rest of his energy will be spent on updating his resume, gossiping with co-workers, looking for a more stable job elsewhere and planning his jump.

5. No Progress

The majority of employees feel happy when there is continuing learning potential in their company and they have a feeling of growing in their knowledge and skills. Even progress in the form of small workplace accomplishments are triggers for motivation. If on the other hand, employees feel uninspired and stagnant, their enthusiasm and engagement will drop. In addition, if an employee is trying to introduce a new idea or change and it has to pass through lots of red tape, he’s going to lose all the fervor and drive he began with.

6. Conflicting or Otherwise Unpleasant Co-Workers

Research from Gallup reveals that close friendships at work cause a 50 percent increase in employee satisfaction while having a close friend at work increased the likelihood of engagement in work by seven times. So, one can just imagine what would be the outcome of having bullying, intimidating or otherwise unpleasant or conflicting co-workers. Even if the job is well-paying and offers opportunities for career growth, if there are back-stabbers, the result would be misery and stress.

7. Boredom

Research time and again shows that Gen X (roughly people born in the period from the mid 1960’s to 1980) and Gen Y (roughly people born in the period between 1980 and the year 2000) employees today long for a job that is personally satisfying or allows them to apply their personal interests in their job. According to a Philips Work/Life Survey, close to 3 out of every 4 (68 percent) working Americans are willing to accept a salary cut in the midst of a competitive job market and chaotic economy as long as their job enables them to incorporate their personal interests into it. The results of a recent LinkedIn poll support the increasing yearning for fulfillment among the people of different geographies and age groups.

MOTIVATION STRATEGIES DIFFER FOR EACH WORKER

The level of employee engagement can differ based on variables such as occupation or industry or more personal characteristics such as an employee’s education level, age, gender and duration of service at the company. So, managers face the challenge of matching their workers with the right motivation strategy. Given below are a few of the conclusions drawn from studies Gallup conducted in the period between 2010 and 2012 with different sections of the U.S. population:

• Employees in possession of a college degree have engagement levels that are lower than those seen among employees in possession of a high school diploma or even less than that. This indicates that managers need to improve on their investment in the employees with higher degrees by identifying ways by which they can capitalize on and honor all that they have achieved.
• Employees in production and manufacturing are among those business sector employees who are the least engaged. The reason could be that the management culture in these sectors concentrates more on process than on people. So, if some more management culture could be devoted to people with respect to these industries, considerable benefit in employee motivation and engagement can be expected.
• The job-hopping tendency is particularly common among millennials (Gen Y). As such, it would be wise if the manager offered this group lots of opportunities to learn and progress. This would contribute to increased retention of the millennial generation.
• When compared to other generations, Baby Boomers (those people born in the period between 1946 and 1964) respond better when their managers devote extra effort to showing they care. So to optimize engagement of baby boomer employees, managers may do well to show interest in them by inquiring about their work or other key areas of their life.

Bob Nelson: Employee Motivation, Reward, Retention and Recognition Expert, Keynote Speaker

THE BEST WAYS TO MOTIVATE EMPLOYEES

The best methods of motivating employees may be grouped into six sections, each of which are described in detail in the ensuing paragraphs.

1. Effective Communication

There are two key aspects to effective communication for employee motivation, 

Communication of information that affects an employee’s work

This is essential and would make the employee feel that he belongs to the in-crowd (people who are aware of the happenings at work the moment their colleagues become aware of it). Make it a point to keep your employees up-to-date on things like customer feedback, changing due dates, product improvements, new interaction structures or departmental reporting, and training opportunities. By doing so, your employees would be able to make better decisions about their work as and when there are changes. A good rule to follow would be to share more than you consider necessary, at least till you get the hang of it. If there are employees who would be particularly affected by one or more changes, spend additional time communicating with them in terms of how the change would affect their decisions, job, time allocation and goals.

More attention and an open-door policy

As per information from a 2012 Global Workforce Study, when compared to immediate supervisors, senior managers had a greater role in attracting discretionary effort from employees. The study incorporated close to 90,000 staff from 18 countries. So, it shows that if an employee gets to spend extra time with his boss, he would feel rewarded by the attention.
It is a good idea to initiate an open-door policy so that employees can feel free to share their legitimate ideas, concerns or complaints with their manager(s). Even if an idea cannot be implemented or a particular complaint or concern cannot be resolved wholly to the employee’s expectation, the employee would appreciate the fact that it was looked into or addressed by the management.
Show interest in the employee’s life events by asking about vacation trips, congratulating on a baby’s arrival and things like that.

2. Appreciation

Employees deliver parts of the overall picture and every part is important. So, appreciation of hard work and projects delivered extremely well will make employees feel good about themselves and also valued, while giving them the drive to keep putting in their best. It is good to recognize individual employees as well as show appreciation for all employees as a group when their team effort resulted in some accomplishment. Just a few minutes of recognition can create a great change in an employee’s attitude to work.

Individual Recognition

If a particular employee has accomplished something really exceptional, his manager can

• invite the employee into his office and personally commend him for the good job, or,
• send him an email of appreciation or,
• praise him with a public announcement or,
• post the employee’s achievement on the bulletin board.

Group Recognition

Here are two ways to show appreciation for the dedication and solid work contributed by the company’s employees as a group:

• Once in a week, employees can be sent emails, newsletters or updates that let them know their hard work is bearing fruit.
• A meeting can be held which incorporates talk about how employee efforts are helping the company achieve its goals.

It is okay to be open with employees about room for improvement in their work. However, ideally, it is good to provide employees with more praise than negative feedback.

3. Rewarding Your Employees

Rewarding your employees is a great way to show them just how happy you are with their dedication, impressive behavior (with a customer or client) and outstanding efforts. While on the one hand, an effective reward system will make your employees feel on top of this world, on the other hand, it is also a tool by which you can make known the behaviors or actions which you repeatedly expect from your employees. So a suggestion would be to set aside a certain kind of reward or recognition that comes with specific information about the requirements (or targets) to be achieved to get that reward or recognition. Only a person who performs at the standard or level described in the qualifying criteria would get the reward.
Given below are some ideas for monetary and non-monetary rewards.

Monetary rewards

• Free lunch/dinner for just the employee or for him and his better half too,
• Sponsored car wash and a tank of full serve gas,
• Tickets to a popular sports event.

Non-monetary rewards

• Allowing the employee to work from home for a day,
• Letting him come in casual dress on a specific day,
• A plum assignment – let your employee choose the assignment he can work on next,
• A vacation day,
• Another suggestion is to personalize the rewards by thinking about what kind of reward would make a particular employee most happy.

4. Realistic Work Load

The workload for each employee should be balanced and realistic. Too much on an employee’s plate can demotivate him and too little can make him lazy and/or result in attention lapses. To come up with a suitable workload, it would help to analyze how much work an employee usually performs, the work environment, mental and physical requirements for the job and how much time is there on hand to get the work done. Deadlines should be practical too. One can consider encouraging employees to be open about when they feel their workloads are too much for them to bear so that the workloads can be adjusted accordingly.
Apart from the quantity of work, it would be ideal if employees get projects that incorporate aspects of personal interest to them. According to a Philips Work/Life Survey, close to half of the American population (47 percent) claims that the motivation for coming to their present job is the ability to live their passions and this shows in their work.

5. A Pleasant Work Environment

As employees spend a fair amount of their day within the walls of their office, it would really be worth it to make the office look and feel as welcoming and comfortable as possible. When employees feel happy in their work environment, they feel motivated to work. Here are some tips for creating a pleasant work environment:

Food

Keep snacks in the office, and/or ensure there’s enough coffee or tea in the kitchen to help your employees get through the day. One can even consider giving their employees special treats once in a week or month such as pizza or bagels and donuts. Keep in mind that there should be something for the health conscious and weight conscious too.

Lighting

If harsh fluorescent lights cannot be avoided, one can consider keeping at least a few low watt bulbs that are not as harsh on the eye. In addition, positioning employees close to windows where they can get some natural light and fresh air will make them feel less suffocated.

Temperature

The temperature in the office should ideally be temperate (neither too cold nor too hot). Very hot or freezing temperatures can have a negative effect on employee motivation.

Walls

Employees will look at their walls often. So, it is a great idea to use wall space as a canvas for stuff that motivates such as a few motivational slogans (don’t go overboard with it) or posters that indicate that the company is progressing. It is a nice idea to have a bulletin board where employees can put up birthday cards, pictures or other stuff that they can share with their colleagues.

6. Social Outings and Events

These kinds of events will help the company’s employees get better acquainted with their co-workers and possibly establish friendships with them. The friendly relations thus developed with their colleagues are again, fuel for motivation. Given below are some suggestions for team and social outings and events:

• Establish a softball league or bowling team: This is great for fostering team spirit as well as colleague-colleague bonding
• One can allow employees to have lunch together outside, once a month
• One can encourage employees to join volunteering causes in teams. This again helps in creating team bonding while making the employees feel a sense of satisfaction at doing something for society.

The surprising truth about what motivates us

The power of employee motivation should never be underestimated. Devoting time and effort to improving employee engagement is definitely worth it considering the rewards you’ll reap from doing so, in the long term.
Image credit: Flickr | Arya Ziai and Flickr | Mike Lewis under Attribution 2.0 Generic.

People management

Motivation Of Your Employees | The Best Way To Do It

September 24, 2014   |   Martin   |   0 Comments  

One of the key objectives that should feature in any business and organizational plan is motivation of one’s employees. It goes without saying that a motivated workforce is a more creative and productive one. Innovation is necessary to produce quality work. Only driven employees would put in the effort to find better methods to deliver quality output in the most efficient manner possible. The more engaged and motivated your employees are, the more it helps with reducing turnover. Those who frequently look out for better opportunities may be the ones with great potential while the ones who stay on could be just settling for their circumstances.
Is the current global workforce as motivated as it should be? And if it isn’t, what is the best way to improve the situation, starting with your company?

© Flickr | Arya Ziai

This article will take you through 1) eye-opening employee engagement statistics, 2) 7 key reasons why employees feel de-motivated, 3) motivation strategies differ for each worker, and 4) the best ways to motivate employees.

EYE-OPENING EMPLOYEE ENGAGEMENT STATISTICS

What follows are some eye-opening (and startling) employee engagement statistics:

• Only 30 percent of employees worldwide feel inspired and engaged by their careers
• Close to half (48%) of employees across the globe detest their jobs
• 18 percent of employees globally are actively disengaged meaning though they are present at work, they hate it completely
• Highly engaged employees were 87 percent less likely to leave their companies than their disengaged counterparts
• 3 out of every 4 people who leave their jobs of their own will, aren’t quitting their jobs but their bosses
• Less than half of the workforce (40 percent) were aware of their company’s goals, tactics and strategies
• Organizations with greatly engaged employees accomplish double the annual net income of those whose employees are not so well engaged (as per an analysis of 64 organizations)

7 KEY REASONS WHY EMPLOYEES FEEL DE-MOTIVATED

© Flickr | Mike Lewis

Here’s a look at some of the chief triggers for employee de-motivation:

1. No Recognition or Feeling of Value

When employees are not recognized or given credit for a job very well done or immense efforts they have put in towards a project, they become demotivated. They lose interest and may not even want to try thinking innovatively, get some extra work done or even just perform their role with feelings of obligation and energy because their boss doesn’t seem to care or notice their hard work and dedication.

2. Unrealistic Demands or Work Load

With the idea of getting a lot of work done and fast, ambitious bosses may place heavy and unrealistic workloads upon the shoulders of their employees. Though holding staff to high standards is not really a bad thing, it does become bad when managers cross the line by being too demanding or overburdening with them. Asking employees to carry out the truly impossible, or insisting that they complete projects over the weekends even when they’re not time-sensitive would invite low morale and decreased productivity from them.

3. Micromanagement

Micromanagement may be defined as a management style characterized by the manager closely (excessively) observing and supervising the work of his employees or subordinates. The manager may not mean any harm by his micromanagement however it can be irritating and bothersome to his employees. The reason is that it tells them he doesn’t trust their judgement and thereby contributes to a loss of motivation. The employees disengaged by the micromanagement may leave for the sake of more freedom or, if the manager is lucky, continue to stay but just muddle through.

4. Job Insecurity

As per a survey by Human Resource Services Inc, job security is the most important factor for employee motivation. So this means, insecurity in the job place can wreak havoc when it comes to employee retention. If an employee is at an expendable job or working in an unstable company, he may just put in the necessary effort to keep getting his salary. The rest of his energy will be spent on updating his resume, gossiping with co-workers, looking for a more stable job elsewhere and planning his jump.

5. No Progress

The majority of employees feel happy when there is continuing learning potential in their company and they have a feeling of growing in their knowledge and skills. Even progress in the form of small workplace accomplishments are triggers for motivation. If on the other hand, employees feel uninspired and stagnant, their enthusiasm and engagement will drop. In addition, if an employee is trying to introduce a new idea or change and it has to pass through lots of red tape, he’s going to lose all the fervor and drive he began with.

6. Conflicting or Otherwise Unpleasant Co-Workers

Research from Gallup reveals that close friendships at work cause a 50 percent increase in employee satisfaction while having a close friend at work increased the likelihood of engagement in work by seven times. So, one can just imagine what would be the outcome of having bullying, intimidating or otherwise unpleasant or conflicting co-workers. Even if the job is well-paying and offers opportunities for career growth, if there are back-stabbers, the result would be misery and stress.

7. Boredom

Research time and again shows that Gen X (roughly people born in the period from the mid 1960’s to 1980) and Gen Y (roughly people born in the period between 1980 and the year 2000) employees today long for a job that is personally satisfying or allows them to apply their personal interests in their job. According to a Philips Work/Life Survey, close to 3 out of every 4 (68 percent) working Americans are willing to accept a salary cut in the midst of a competitive job market and chaotic economy as long as their job enables them to incorporate their personal interests into it. The results of a recent LinkedIn poll support the increasing yearning for fulfillment among the people of different geographies and age groups.

MOTIVATION STRATEGIES DIFFER FOR EACH WORKER

The level of employee engagement can differ based on variables such as occupation or industry or more personal characteristics such as an employee’s education level, age, gender and duration of service at the company. So, managers face the challenge of matching their workers with the right motivation strategy. Given below are a few of the conclusions drawn from studies Gallup conducted in the period between 2010 and 2012 with different sections of the U.S. population:

• Employees in possession of a college degree have engagement levels that are lower than those seen among employees in possession of a high school diploma or even less than that. This indicates that managers need to improve on their investment in the employees with higher degrees by identifying ways by which they can capitalize on and honor all that they have achieved.
• Employees in production and manufacturing are among those business sector employees who are the least engaged. The reason could be that the management culture in these sectors concentrates more on process than on people. So, if some more management culture could be devoted to people with respect to these industries, considerable benefit in employee motivation and engagement can be expected.
• The job-hopping tendency is particularly common among millennials (Gen Y). As such, it would be wise if the manager offered this group lots of opportunities to learn and progress. This would contribute to increased retention of the millennial generation.
• When compared to other generations, Baby Boomers (those people born in the period between 1946 and 1964) respond better when their managers devote extra effort to showing they care. So to optimize engagement of baby boomer employees, managers may do well to show interest in them by inquiring about their work or other key areas of their life.

Bob Nelson: Employee Motivation, Reward, Retention and Recognition Expert, Keynote Speaker

THE BEST WAYS TO MOTIVATE EMPLOYEES

The best methods of motivating employees may be grouped into six sections, each of which are described in detail in the ensuing paragraphs.

1. Effective Communication

There are two key aspects to effective communication for employee motivation, 

Communication of information that affects an employee’s work

This is essential and would make the employee feel that he belongs to the in-crowd (people who are aware of the happenings at work the moment their colleagues become aware of it). Make it a point to keep your employees up-to-date on things like customer feedback, changing due dates, product improvements, new interaction structures or departmental reporting, and training opportunities. By doing so, your employees would be able to make better decisions about their work as and when there are changes. A good rule to follow would be to share more than you consider necessary, at least till you get the hang of it. If there are employees who would be particularly affected by one or more changes, spend additional time communicating with them in terms of how the change would affect their decisions, job, time allocation and goals.

More attention and an open-door policy

As per information from a 2012 Global Workforce Study, when compared to immediate supervisors, senior managers had a greater role in attracting discretionary effort from employees. The study incorporated close to 90,000 staff from 18 countries. So, it shows that if an employee gets to spend extra time with his boss, he would feel rewarded by the attention.
It is a good idea to initiate an open-door policy so that employees can feel free to share their legitimate ideas, concerns or complaints with their manager(s). Even if an idea cannot be implemented or a particular complaint or concern cannot be resolved wholly to the employee’s expectation, the employee would appreciate the fact that it was looked into or addressed by the management.
Show interest in the employee’s life events by asking about vacation trips, congratulating on a baby’s arrival and things like that.

2. Appreciation

Employees deliver parts of the overall picture and every part is important. So, appreciation of hard work and projects delivered extremely well will make employees feel good about themselves and also valued, while giving them the drive to keep putting in their best. It is good to recognize individual employees as well as show appreciation for all employees as a group when their team effort resulted in some accomplishment. Just a few minutes of recognition can create a great change in an employee’s attitude to work.

Individual Recognition

If a particular employee has accomplished something really exceptional, his manager can

• invite the employee into his office and personally commend him for the good job, or,
• send him an email of appreciation or,
• praise him with a public announcement or,
• post the employee’s achievement on the bulletin board.

Group Recognition

Here are two ways to show appreciation for the dedication and solid work contributed by the company’s employees as a group:

• Once in a week, employees can be sent emails, newsletters or updates that let them know their hard work is bearing fruit.
• A meeting can be held which incorporates talk about how employee efforts are helping the company achieve its goals.

It is okay to be open with employees about room for improvement in their work. However, ideally, it is good to provide employees with more praise than negative feedback.

3. Rewarding Your Employees

Rewarding your employees is a great way to show them just how happy you are with their dedication, impressive behavior (with a customer or client) and outstanding efforts. While on the one hand, an effective reward system will make your employees feel on top of this world, on the other hand, it is also a tool by which you can make known the behaviors or actions which you repeatedly expect from your employees. So a suggestion would be to set aside a certain kind of reward or recognition that comes with specific information about the requirements (or targets) to be achieved to get that reward or recognition. Only a person who performs at the standard or level described in the qualifying criteria would get the reward.
Given below are some ideas for monetary and non-monetary rewards.

Monetary rewards

• Free lunch/dinner for just the employee or for him and his better half too,
• Sponsored car wash and a tank of full serve gas,
• Tickets to a popular sports event.

Non-monetary rewards

• Allowing the employee to work from home for a day,
• Letting him come in casual dress on a specific day,
• A plum assignment – let your employee choose the assignment he can work on next,
• A vacation day,
• Another suggestion is to personalize the rewards by thinking about what kind of reward would make a particular employee most happy.

4. Realistic Work Load

The workload for each employee should be balanced and realistic. Too much on an employee’s plate can demotivate him and too little can make him lazy and/or result in attention lapses. To come up with a suitable workload, it would help to analyze how much work an employee usually performs, the work environment, mental and physical requirements for the job and how much time is there on hand to get the work done. Deadlines should be practical too. One can consider encouraging employees to be open about when they feel their workloads are too much for them to bear so that the workloads can be adjusted accordingly.
Apart from the quantity of work, it would be ideal if employees get projects that incorporate aspects of personal interest to them. According to a Philips Work/Life Survey, close to half of the American population (47 percent) claims that the motivation for coming to their present job is the ability to live their passions and this shows in their work.

5. A Pleasant Work Environment

As employees spend a fair amount of their day within the walls of their office, it would really be worth it to make the office look and feel as welcoming and comfortable as possible. When employees feel happy in their work environment, they feel motivated to work. Here are some tips for creating a pleasant work environment:

Food

Keep snacks in the office, and/or ensure there’s enough coffee or tea in the kitchen to help your employees get through the day. One can even consider giving their employees special treats once in a week or month such as pizza or bagels and donuts. Keep in mind that there should be something for the health conscious and weight conscious too.

Lighting

If harsh fluorescent lights cannot be avoided, one can consider keeping at least a few low watt bulbs that are not as harsh on the eye. In addition, positioning employees close to windows where they can get some natural light and fresh air will make them feel less suffocated.

Temperature

The temperature in the office should ideally be temperate (neither too cold nor too hot). Very hot or freezing temperatures can have a negative effect on employee motivation.

Walls

Employees will look at their walls often. So, it is a great idea to use wall space as a canvas for stuff that motivates such as a few motivational slogans (don’t go overboard with it) or posters that indicate that the company is progressing. It is a nice idea to have a bulletin board where employees can put up birthday cards, pictures or other stuff that they can share with their colleagues.

6. Social Outings and Events

These kinds of events will help the company’s employees get better acquainted with their co-workers and possibly establish friendships with them. The friendly relations thus developed with their colleagues are again, fuel for motivation. Given below are some suggestions for team and social outings and events:

• Establish a softball league or bowling team: This is great for fostering team spirit as well as colleague-colleague bonding
• One can allow employees to have lunch together outside, once a month
• One can encourage employees to join volunteering causes in teams. This again helps in creating team bonding while making the employees feel a sense of satisfaction at doing something for society.

The surprising truth about what motivates us

The power of employee motivation should never be underestimated. Devoting time and effort to improving employee engagement is definitely worth it considering the rewards you’ll reap from doing so, in the long term.
Image credit: Flickr | Arya Ziai and Flickr | Mike Lewis under Attribution 2.0 Generic.

How to Motivate Yourself

1. Motivation is a combination of a whole bunch of things, usually including some type of fear or intense desire. After all, the motivation battle is nothing but your head telling you "I think I can," "I think I still can," and "I'm doing it!" Because of that, we're going to home on three things: developing confidence, staying focused, and maintaining direction. And we're off!
   
   
   1. Stop thinking in terms of fear. We're all guilty of thinking in the negative instead of the affirmative. We're busy not wanting things. That's fine and normal, but there is no action associated with not wanting something. You can't decide to do something because you don't want another. That's not how it works. That'll just keep you on the couch, doing nothing.

   • Fear is harmful for two reasons: A) It keeps you unmotivated. A negative goal isn't something you can go to action on. But what's more, there's B) It's draining and exhausting. Living in fear sucks. It keeps you in a state of perpetual worry instead of action. When you're drained and exhausted and worried, you are not going to be motivated. There's no two ways around it.
2. 
   2
   Define your goal and your plan to achieve it. Now that we have you thinking in the positive, you gotta know what you're getting positive about. Instead of, "I don't want to be homeless, poor, and live my life in a state of abject poverty," you're thinking, "I want to be financially secure." Awesome. Now -- what's your plan to achieve that?

   • Well, for that specific example, you'd create some type of income plan. It would involve making a budget, possibly going back to school, or expanding your business. You have concrete steps toward your goal. But for whatever you're facing -- be it weight loss, doing well in school, or following through with a dream -- you need to figure out what it is you want and just how you plan on doing that. If you really want it, it won't be all that hard to figure out.
3. 
   3
   Keep it to just one. If you have a ton of things on your to-do list, sometimes it becomes daunting and you end up putting the list away and "tackling it later." But if you have one thing on that list of yours, that's it. That's doable. It's doable and you can focus on it -- spreading yourself thin over a dozen won't do you or your goals justice.

   • You can't focus yourself if you're not focused on a specific goal. Break it down into small pieces as much as possible. If your goal is to shave 5 years off your appearance, attack it bit by bit. Start off with a new workout routine and get that down. Then, move to a new makeup regimen. Then, tackle your wardrobe. If you don't parse it out, your brain will raise it's arms (if brains had arms) up in surrender and you'll be left with no idea where to go or what to do.
4. 
   4
   Make it fun. Straight up, doing something you flat out despise won't be something you keep up with. The second you can drop it like a bad habit, you will. For that reason, whatever you're doing -- be it saving up money for that new car or losing 15 pounds -- you gotta make it enjoyable. The more enjoyable it is, the more you'll do it. The more you'll do it, the better you'll get at it. The better you get at it, the quicker the end result will come.

   • Where there's a will, there's a way. Do you hate running? No problem. Take a kickboxing class -- the weight will fall off that way, too. Horrible at writing papers? Change to a topic that drives you. Can't save money to save your life? Switch environments. Your world is malleable -- what you make of it can change your motivation entirely.
5. 
   5
   Read about it. On the outside, this kind of sounds silly. How could reading about something that you think about all the time really get you motivated? But it does. Hearing other people's success stories (especially when they make it sound super simple), gets your brain thinking, "Hey! There's no reason I can't do that, too!" You all of a sudden become logical. So stop Facebook stalking your high school peers and get to doing something useful.

   • You may think reading stories of people who have succeeded in losing 100 pounds may make you feel overweight and unaccomplished (for example), but if anything, you should feel driven, empowered, and armed with resources. You can learn from these people! And if their success doesn't resonate with you, at least it can bring out your competitive edge.
6. 
   6
   Set rewards. Let's be honest: results just don't come soon enough. It takes years to make money from a new business, it takes months to reach weight loss goals, and it takes a virtual lifetime to be happy with yourself. That's just about the opposite of instant gratification. To overcome this unfortunate fact of life, give yourself rewards. Life sure isn't going to do it for you, so you might as well will.

   • Don't just use rewards for the big end goal (though by all means do that!). Set up checkpoints for yourself and give rewards at those smaller successes, too. Lost 5 pounds? Great! That warrants a massage. Aced your last three tests? Super! A night out it is! Finished the first half of your book? Wonderful -- now it's time to go shopping.

Part 2

Gaining Confidence

1. 
   1
   Keep the glass half full, not half empty. When we think about something we want, a necessary part of that is realizing we don't have it. That can turn into a whirlwind of negativity, starting us down the path of self-pity, lethargy, and ending in a box of w(h)ine. Don't go there! Think about what you do have, what you're grateful for. Only then can you make what you have better.

   • Make of list of 10 things you have and are thankful for. Go through it every day (and then come up with another one when you think of more). Focusing on what you have done, made, and are will instill in you a sense of confidence. When your attitude is, "Heck yeah, I can do this!" (looking at your past accomplishments will prove to you you can!) it makes the goal a lot easier to reach.
2. 
   2
   Find out just what you need to do. Let's say, for example, that you want to become an actor. That's great! ...But where do you get started? Not knowing the first thing about how to do something can be very intimidating and stop you dead in your tracks. Dream automatically crushed. But when you know the path you need to take, it's a lot easier to hop on.

   • Tap into your resources. With technology, you have the veritable world at your fingertips. That's code for "you have no excuses." Ask friends, acquaintances, people that look like they've done it on the street -- doesn't matter. Do your research online and figure out the best, most efficient way to get done what you need done. You'll end up feeling like an expert and the knowledge will ease your mind. This will usher out the worry and negative self-talk and bring in the confidence and go-getting attitude.
3. 
   3
   Surround yourself with positivity. The world is full of naysayers. You could say, "Tomorrow I'm going to breathe all day!" and you'd be able to find someone who would bet you $10 you won't do it. It's best just to avoid these people. They're miserable and don't deserve your attention.

   • Okay, these people can be helpful in very, very, very small amounts. If you do find yourself next to that negative Nancy and you can't escape her, let her fuel your fire. Let her burn you up inside until you have no choice but to do the exact thing she thinks you're not capable of. Her defiance of your ability can lead to just the right amount of adrenaline and determination you need to get the job done. Maybe one day you'll be able to thank her! Gosh, wouldn't you both just love that.
4. 
   4
   Start small. There's no way having a goal of "becoming world famous" or "losing 75 pounds by winter" or even "mastering the clarinet" are ever going to happen easily. Alright, so maybe those are a bit extreme, but you get the point. Having a goal that just isn't going to happen will turn you off and keep you from being successful.

   • Instead of becoming world famous, losing a ton of weight, or mastering the clarinet, opt for having a successful YouTube channel, losing 10 pounds this month, or playing a classical piece on the clarinet. All these things are working toward these super-massive goals, but they're doable. Doable is something you can stick to.
   • Start small in the mornings. If you have a list of tasks, you may find it beneficial to start with the smallest one. This gets the ball rolling and eases you in to the harder parts of the day. Getting going really is half the battle.
5. 
   5
   Use visualization. For a few minutes each day, sit down and visualize obtaining your goal. Visualize having it. Being it, doing it, achieving it, whatever. What does it feel like? After the few minutes are up, how do you feel?

   • Make sure to use all your senses. What do you taste, smell, see, feel, and hear? What is life truly like? What adjectives can you use to describe this new life of yours? Work in the details to make it as clear as possible. Where are you? What are you doing? What are you wearing? How do you look? Who is with you?

Part 3

Maintaining Direction

1. 
   1
   Stay excited. Things always lose their novelty as soon as we get used to them. Walk by the Sistine Chapel enough times and you'll stop noticing it's there. If you've been working at this goal for a while, you risk just getting bored. NO! That mustn't be allowed. You gotta switch it up and keep stimulating your senses.

   • Experiment with new means of reaching your goals. If it's weight loss, pick up a new healthy habit. If it's making money, try a new business strategy or budgeting system. Keep yourself on your toes.
   • Surround yourself with images. Constantly reminding yourself what's out there can be a good way to stay in the game. Change your desktop to a series of motivational images. Write yourself little notes in unexpected places. Remind yourself, "Oh yeah, I'm doing this -- and I'm getting there!" That's surely something to be excited about.
2. 
   2
   Refine your plan. You have your goal all set out and you have how you're going to achieve it...but as you go on this path to awesome stellar-ness, you've probably found that a few of the things you thought originally would get you there aren't working -- or at the very least, they're too time-consuming to warrant being worth it. It's time to analyze your results and do a little tweaking.

   • Make a list of activities that you've been doing to reach your goal. Now, which ones are yielding the highest returns? Which ones have good intentions but don't really cut it? Once you've established what's best and what's not, focus the majority of your attention on these high-profit activities, tweaking them to make them even better. Instead of one daunting task, you now have several manageable ones.
3. 
   3
   Put yourself in the public eye. It's Monday morning and you've decided to give up coffee (ha! Good one.). You decided this at 7:30 and by 9:00 you're at the office chugging it like it's in your job description. No one knows about your failures but you and you'll forget about that with the caffeine high. What you should have done? Tell all your coworkers.

   • Announcing to the world that, "Hey! I'm doing this!" gives you automatic pressure to stick with it. Hopefully, you won't be surrounded by a cluster of enablers and they'll make it harder for you to fail, too. If your coworkers would've known you were giving up coffee, they would've hidden your mug in the boss' bathroom.
   • There's always the Internet, too. You probably interact with more people more often on it than you do in real life, huh? Sad, but most of us nowadays do. So post it on your Facebook, get it in your blog, and tweet the bajeezus out of whatever it is you're trying to do. Maybe you'll inspire someone else while you're at it!
4. 
   4
   Don't make mountains out of molehills. You'll find this exact step in about a gallon wikiHow articles (and from all your friends and family members, too): Don't let the setbacks set you down for good. They are inevitable and they will happen. Even the most successful people have them -- in fact, they probably have more of them. Edison didn't fail, he just found 10,000 ways that didn't work, remember?

   • It's all too easy to have a setback and launch yourself into a pity party for 1 that keeps you from getting back on your horse. Well, you can't do that. When you have a setback, acknowledge that it's a set back. Allow yourself to sulk for 15 minutes and stop. Tomorrow is a new day. Today's setback has nothing to do with the future of tomorrow.
5. 
   5
   Get like-minded friends for support. There are very few things in this world that you truly do alone. And ten bucks says you know a couple of people that could join you on your journey -- or at least cheerlead from the sidelines. If you have people that understand your plight, you'll feel much less weight on your shoulders.

   • It's important to ask for help when you need it. It's not a sign of weakness or naivete, it's a sign of being human. Having a solid support group you can lean on is not only resourceful, but it's just good sense. They'll keep you up when you feel like falling and present you with resources, ideas, and motivation that you wouldn't otherwise have. So seek out friends, an online community, a local club or organization, and get to forming a motivational network.
6. 
   6
   Chart your progress. Humans naturally need things to be in concrete terms. You know how many people hate abstract art? It's just hard to understand. So when you're on this path to greatness, get things as tangible as possible. Keep track of your progress so you can sit down and see how great you're doing. Now that's motivating!

   • Keep a journal dedicated to this task. Record your duties every day (and whether or not they get completed) and your check-ins to see if you've reached mini-goals. Bring it along with you wherever you go!

   Tips

   • Know your reasons. Write down why you want to achieve a goal. This will keep you energized.
   • Develop a routine. Create an "everyday list" of all things you have to do when you wake up (with times). Follow this plan for at least a few weeks to get into a flow and build momentum and motivation.
   • Use the internet to search for answers for your problems. Google a main word and read as much as you can read. Reading articles will give you the ideas and the energy to solve the problem.
   • Think about a time that you motivated yourself and saw the benefits.
   • Don't use the internet in the morning. This could get you in a spiral of surfing one website after another. This can lower your motivation. So, do the first most important thing for that day right after you wake up. If you are work online, it's important to start your most important task right away, instead of surfing a website, read the news, etc. Don't do this, start immediately.
   • Focus yourself and your availability: your time and space management. If you can organize your time and work out something that will allow you to build on your motivation and do something to allow you to achieve your goals, you will actually get somewhere.
   • Get rid of any distractions that may hinder you from motivating yourself.

   Warnings

   • Consult a medical professional if this lack of motivation has been paired with feelings of depression, loneliness, bouts of crying, thoughts of hurting yourself or others, etc. Clinical depression is a serious illness that results from chemicals in the brain being quite literally out of balance. Clinical depression is treatable; many times it is not something which will follow you your whole life. It's your life; be careful with it. Seeing a doctor if you're the least bit concerned might cost a bit of coin, but could be priceless to have a professional talk to you, and see how he or she can help.