logo News
  • Home
  • Management
    Management Show More
    Note to managers: Management is not just about managing subordinates
    Jun 19, 2025
    Management Story: Different Destiny of Three Birds
    Jun 18, 2025
    Management practice: five temptations that leaders must resist
    Jun 17, 2025
    What is the key to management?
    Jun 16, 2025
    Three biographies that every leader should read
    Jun 15, 2025
  • Marketing
    Marketing Show More
    6 Of The Hottest Recent Marketing Technology Numbers
    Jun 19, 2025
    Customers Actually Have a Life Cycle, So How Do You Maximise The Value Of Your Customers?
    Jun 18, 2025
    Zara, HM, Forever21, how do these fast fashions seize the online market?
    Jun 17, 2025
    Why does Sony set up an internal creative organization?
    Jun 16, 2025
    What Is Event Marketing
    Jun 15, 2025
  • Entrepreneurship
    Entrepreneurship Show More
    Against The Odds To Become a Millionaire? Think About These Three Questions First
    Jun 19, 2025
    How can you validate your business idea without spending money?
    Jun 18, 2025
    How Can I Improve My Chances Of Success In Business?
    Jun 17, 2025
    A senior executive's understanding of Bill Gates's secret of success
    Jun 16, 2025
    Eight dangerous motives to avoid for successful entrepreneurship
    Jun 15, 2025
  • Company
    Company Show More
    Apple, one of the world's top ten brands
    Jun 19, 2025
    Bavarian Engine Builders AG (BMW)
    Jun 18, 2025
    Procter & Gamble
    Jun 17, 2025
    Berkshire Hathaway Inc.
    Jun 16, 2025
    Volkswagen
    Jun 15, 2025
  • Entrepreneur
    Entrepreneur Show More
    One of the founders of MGM - Louis Meyer
    Jun 19, 2025
    Newspaper Magnate - Joseph Pulitzer Pulitzer
    Jun 18, 2025
    The Wolf Of Wall Street - Carl Icahn
    Jun 17, 2025
    Jeff Bezos - Founder of Amazon
    Jun 16, 2025
    Sergey Brin, one of the founders of Google
    Jun 15, 2025
Search
Share via
Reading: Is Money Really The "Master Key" To Motivating Employees?
logo logo
  • Home
  • Management
  • Marketing
  • Entrepreneurship
  • Company
  • Entrepreneur
Search
  • Home
  • Management
  • Marketing
  • Entrepreneurship
  • Company
  • Entrepreneur
Home > Management > Is Money Really The "Master Key" To Motivating Employees?
Management

Is Money Really The "Master Key" To Motivating Employees?

Social inertia is caused by a lack of incentives

Last updated: May 15, 2025

Those in practice believe that staff motivation is primarily about money. However, the motivation of people is a systemic issue, making the company have a future, making the system efficient and making the staff accomplished should be a trinity and interaction, and cannot be discussed and studied in isolation.


The role of grassroots management: making employees productive
People in practice believe that employees are motivated primarily by money. Today being a money-based society, people seem to believe this even more, even though money is not everything and nothing is possible without it.


Money is the general equivalent, which, like goods, is subject to the law of diminishing utility. If you have 100 and you want 1000, if you have 1000 and you want 10,000, there is no end to it and it will eventually threaten the cost of your business and the competitiveness of your products. Satisfaction in absolute terms will lead to dissatisfaction in relative terms. When the absolute quantity reaches a certain critical point, it is difficult to increase the level of satisfaction, no matter how much the quantity is increased. There seems to be an argument in economics that after a certain level of money has been given, his motivation declines instead. In the face of this, one can only say that the leverage of monetary incentives should be used with caution.

The question arises as to whether there are other ways of motivating employees. This is what is generally advocated in the theoretical world, and a theory of motivation has been developed.

The core concept is that of 'making people achieve'. This means that workers are motivated by growth and achievement in their work.

Today, practice is still practice and people in practice are still primarily motivated by money. Theory is still theory, and relying on achievement to motivate people is still more of a theoretical talking point. Theory has not yet been integrated with practice. It seems that the motivation of people is a systemic issue, so that the company has a future, so that the system is efficient and so that the employees have achievements, should be a trinity and interact with each other, and cannot be discussed and studied in isolation. Making employees successful is one part of the trinity.


According to Barnard, there are very few companies that have been around for 100 years. One of the underlying causes is social inertia, which means that as companies grow larger and more people are employed, the enthusiasm of employees generally declines. The cause of social inertia is a lack of incentives.

However, there have been companies in the world that have survived for 100 years. Have they really solved the problem of social inertia? Have they really solved the problem of insufficient incentives? If not, then how did they survive?

How does the saying go that it is impossible to satisfy human needs except in the spiritual world? Satisfaction is often transient, and satisfaction is followed by more confusion, anxiety and unease. It is possible that Barnard is misjudging on this issue.


According to Drucker, people can only be motivated to work from the work itself, not from various inducements outside the work. This is what many scholars later emphasised as internal motivation, motivating employees to achieve through the work itself.


TAGGED: Management, Compensation, Money
Previous Article How Do You Retain Employees Who Keep Jumping Ship?
Next Article India's Richest Woman - Savitri Jindal

Most Popular

Why Do The Best Sales Reps Become The Worst Sales Managers?
Management Jun 05, 2025
Akio Morita, Founder of Sony Corporation
Entrepreneur Jun 12, 2025
Mastering four abilities makes entrepreneurship easier!
Entrepreneurship Jun 09, 2025
Intel, one of the world's top ten brands
Company May 03, 2025
9 Advantages For Women To Succeed In Business
Entrepreneurship May 31, 2025
What is differential privacy? How will it affect marketing?
Marketing May 30, 2025

You Might Also Like

Management

Note to managers: Management is not just about managing subordinates

Jun 19, 2025
Management

Management Story: Different Destiny of Three Birds

Jun 18, 2025
Management

Management practice: five temptations that leaders must resist

Jun 17, 2025
Management

What is the key to management?

Jun 16, 2025

Copyright © 2025 ikaoo.com. All rights reserved. User Agreement | Privacy Policy