2.4

THE MOTIVATION ORRERY

IB Business Management · Extrinsic & Intrinsic Mapping

THE MOTIVATION ORRERY IB BUSINESS MANAGEMENT 2.4 IN ONE VIEW A CELESTIAL MAPPING OF MOTIVATIONAL THEORIES & REWARD SYSTEMS INTRINSIC EXTRINSIC EXTRINSIC ← SPECTRUM OF THEORIES → INTRINSIC FINANCIAL REWARDS · EXTRINSIC · 7 TYPES NON-FINANCIAL REWARDS · INTRINSIC · 6 TYPES MOTIVATION

The internal & external forces that drive an employee to act.

INTRINSIC ← → EXTRINSIC Productivity ↑ · Turnover ↓ · Absenteeism ↓ · Quality ↑
SYNTHESIS & EVALUATION (AO3) WHEN FINANCIAL WORKS BEST
  • Routine, standardized & easily measurable output.
  • Short time horizons or urgent volume targets.
  • Baseline pay is low relative to market rate.
  • Individual contributions can be cleanly isolated.
IT DEPENDS ON... NATURE OF WORK SKILL LEVEL ORG CULTURE COST TO FIRM TIME HORIZON INDIVIDUAL DIFFERENCES AO3 — Always justify motivation strategies against specific organizational context. WHEN NON-FINANCIAL WORKS BEST
  • Knowledge-based, creative & problem-solving roles.
  • Long-term retention & engagement over immediate output.
  • Flat, collaborative or empowered structures.
  • Where baseline financial compensation is already adequate.
DEMOTIVATION COSTS: Absenteeism ↑ · Labour Turnover ↑ · Wastage ↑ · Quality ↓ · Industrial Relations Friction ↑