The paper "Motivating Employees and Its Impact on the Organization’ s Competitive Advantage" is a good example of management coursework. Modern organizational, business and market environments are characterized by increased globalization, advancement in technology, easier and efficient exchange of information, the establishment of new organizations offering substitute products and the emergence of more sophisticated and informed customers (Smit, 2007). In addition, the environments are coupled with rising customer demands and changing needs and expectations and shifting political, economical, social, cultural, financial, legal, environmental and technological forces. With such environments, firms and institutions both profit-making and non-profit making, large and small and those either in the public or the private sectors are identifying and devising varied strategies and means of ensuring they acquire inimitable and valuable organizational resources to help effectively mitigate varied risks generated by the environment and deliver unique, valuable and quality products and services that totally satisfy their customers (Morse, 2003).
In so doing, enhance their competitive advantage. Organizations are identifying and acquiring human resources as their most reliable and valuable resource and motivating them as a means to enhance competitiveness. This informs our report which critically analyzes current theoretical and empirical literature on how motivating employees as a strategic impact on an organization’ s competitive advantage. Motivating Employees and its impact on an organization’ s competitive advantage According to (Kabst & Matiaske, 2005), strategic human resource is not only charged with effective selection and recruitment of employees, performance management, controlling organizational knowledge and skills, remuneration administration and managing the human resources but also empowering and motivating the human resources. Smit, 2007 notes that establishing an inspired and motivated workforce is essential in enhancing an organization’ s performance, nurturing creativity and innovation, increasing the rates of retention of valuable employees, improving employee’ s responsibility and commitment to fully making the most of their skills, knowledge and potential.
All these are crucial components for attaining set organizational vision, mission, goals and objectives and enhancing its sustainable competitive edge. However, it is important to note that motivating employees solely does not automatically translate to enhancing a firm’ s competitive advantage. Other aspects such as teamwork, effective selection and recruitment, performance management, quality improvement and leadership among others are needed to ensure motivating employees does bear anticipated fruits. Employee motivation entails the degree of energy, dedication and creativity that an employee has when performing their roles and tasks.
(Cappelli & Neumark, 2001) defines motivation is primarily about instigation, direction, passion and determination of behavior and conduct of the workforce. As indicated by Morse, (2003), in an organization, the HRM is accountable to motivating the employees to not only work towards supporting the firm in attaining its goals and vision but also, motivating them to work towards attaining their own personal and professional goals and vision. According to Maslow’ s motivational theory which was established by Abraham Maslow suggests that there are five levels of employee needs which if the organization identifies and satisfies, they can motivate and inspire them efficiently and effectively (Cianci & Gambrel, 2003).
The theory is based on the assumptions that different employees have different needs and therefore, an organization require different motivators to motivate its workforce (Cianci & Gambrel, 2003). This means that the HRM need to provide a varied set of motivations among different employees. Employees are more likely to be creative and exploit their full potential when they feel appreciated, motivated and challenged in what they do.
Cappelli, P. & Neumark, D. (2001). ‘Do ‘high performance’ work practices improve establishment level outcomes?’ Industrial and Labor Relations Review, 54: 737-776.
Cianci, R., & Gambrel, P.A. (2003). Maslow's hierarchy of needs: Does it apply in a collectivist culture. Journal of Applied Management and Entrepreneurship, 8(2), 143-161.
Hallowell, E.M. (2005). Overload circuits: why smart people underperform. Harvard Business Review, 83, pp 54-62.
Hopp, W. J. (2004). Fifty Years of Management Science. Management Science, 50(1) 1-7.
Huselid, M. A. (1995). ‘The impact of human resource management practices on turnover, productivity, and corporate financial performance’. Academy of Management Journal, 38: 635-672.
Kabst, R., & Matiaske, W. (2005). Special issue: Human resource management and economic success. Berlin: Rainer Hampp Verlag.
Morse, G. (2003). Why we misread motives. Harvard Business Review, 81(1), 18
Peterson, S. J., & Luthans, F. (2006). The impact of financial and nonfinancial incentives on business-unit outcomes over time. Journal of Applied Psychology, 91, 156–165;
Rankin, N. (2003). IRS best practice in HR handbook. London: Butterworth-Heinemann.
Salwan, P. (2007). Best Business Practices for Global Competitiveness. Sidney: Pvt. Ltd.
Smit, P.J. (2007). Management Principles: A Contemporary Edition for Africa. Sidney: Juta and Company Ltd.