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Modern organizations have distinct measures to motivate their staff, no matter what the company is centralized or decentralized; to compare with some years ago, company increasingly realizes that motivating their workers not only by financial factors, such as piece rate, physiological needs and fringe benefit; but also non-financial factors, which are concerned about chances to take responsibility, security, achievement of position. All of these factors are related to Taylor's, Maslow's, and McGregor's theory. Moreover, it is widely believed that Taylor's theory-only motivates workers by money is not sufficient. Non-financial factors are increasingly useful in current.
Financial factors are related to Taylor's theory-piece rate system, Maslow's physiological needs and McGregor's X theory, like fringe benefits. Taylor's theory (Hall, 2008:375), which reduced inefficient staff and motivating employees by money-piece rate, has been successful in the past few years. According to the Lerntipp (2010a), Taylor's theory supports skillful workers to surpass the production target efficiently and punishing workers, who do not reach the target. Only one reason for workers' purpose is money. In addition, managers will supervise and control workers forcefully. One of the significant advantage of piece rate system is employees would be productive because of higher wages or salary. For example, the Ford Company (Lerntipp, 2010b) used Taylor's piece rate system, and got a great success in 1920s. To some extent, Taylor's piece rate system is motivational for workers. However, Taylor ignored other needs of employees; there is exists worker, who doesn't motivate by money singlehandedly. According to Transtutors (2011), Taylor's theory overlooked the reasonable thought of employees; it potentially has negatively motivation effects on workers. Hence, Taylor's piece rate system is easily enable staff to feel unsatisfied.
Another factor of finance is Maslow's hierarchy of physical needs. In fact, According to Halls (Halls, 2008:374), Maslow's theory measures the comprehensive needs of a person's whole life into a hierarchy, it includes physiological needs, safety needs, love and belonging, esteem needs and self--actualization.
Maslow's hierarchy (Abraham-Maslow, 2010)
However, the financial factor in the hierarchy is only physiological needs. For instance, a couple of workers in poverty religions are desired higher wages or salary to be able to take care of them. Therefore, equaling to the Taylor's theory, the bottom of Maslow's hierarchy is based on money.
As for McGregor's X theory, Hall reports (Hall, 2008:378) that X theory's employees is only motivated by money and other financial factors. For instance, fringe benefits could be an attractive factor for X theory's workers. Hall (Hall, 2008:378) stated that fringe benefits are the marginal benefits of working conditions, such as holidays with salaries, discounted cards for staffs and providing company cars for workers could be adorable to employees. It can be a motivation that hired hands accept and being efficient. For instance, FBMC (FBMC, 2011) Company use the way of fringe benefit to attract staffs. The company makes the use of health benefits, "Partner Relations & Brokerage Services", which is beneficial to teamwork, Commuter Benefits for workers. Nevertheless, fringe benefits could make the expenditure of company be raised. It is disadvantageous to net profits. Sometimes, staff could not avoid utilizing these fringe benefits to do what things irrelevant to works. For example, Google (Arrington, 2009) in 2009 has a large amount rate of staff resignation, because of the fringe benefit made the relaxed environment in working. However, not only the overhead expenditure would be climbed, but also made the employees are not solidarity and hard working. Therefore, fringe benefit is not always available in management.
However, companies should consider that non-financial factors would be increasingly popular with employees in current. One of the popular nonfinancial factors is Maslow's hierarchy (beside the bottom of the hierarchy). There are safety needs, love and belonging, social needs, esteem needs and self-actualization (Hall, 2008: 375). Human beings have strong desires in their heart. Lerntipp (lerntipp, 2010c) reported that safety needs includes social structure's safety, freedom. It might affect the protection of working position, or safe working condition. "Love and belonging" means that works want to be admitted or enjoying in teamwork. "Social needs" demonstrates the staff is greedy for the high position in the society, reputation or power. "Esteem needs" refers to that the confidence that workers want to get. Then, "self-actualization" is the worker who wants to outbreak their potential power and achieving their own goals and aims. The significant advantage of Maslow's hierarchy is noticing the thought of employees. Currently, employees increasingly pay attention to the feelings of themselves, they would emphasize the value of themselves. However, Maslow's theory almost contains all the aspects of motivation. For example, according to the Evancarmichael (2011), Sony's employees can choose the management style what they like. It can make the most use of intelligence of each individual or cooperation. It is beneficial to modern laborers to achieve themselves and being more efficient, active and motivational.
Another non-financial theory is McGregor's Y theory. It is stated by Businessballs (2011) that Y theory is the opposite to X theory. In addition, Y theory, which refers to that employees are active and positive, is mentioning that employees do not need extra supervision and pressure. These workers are take responsibilities by themselves. For example, Google search engine company (Anthony, 2009) uses Y theory of McGregor. Employees in Google are creative and free. Everyone could have their own points of view. Employees are ease at home when they are working in the company. It is better to create a comfortable and flexible working environment. Employees are empowered and having rights to make decisions by themselves. For instance, the Samsung company (Cho sun, 2004), which has been the world class electronic company, has carried on the McGregor's Y theory of management style. Since the 1990s, it has changed the Taylor's management style into McGregor's Y theory. Samsung established the decision making system and empowered their workers. It is easily that workers achieve their aims, feel trusted and take more responsibilities for their works. Hence, it is suitable for staff nowadays.
To draw a conclusion, financial factors is fashionable in the past, such as Taylor's theory-piece rate, Maslow's physiological needs and McGregor's fringe benefits only emphasize the influence of money for employees; however, it overlooked the thoughts of staffs. There is no doubt that non-financial factors increasingly notice the notion of employees, such as Maslow's hierarchy and McGregor's Y theory are obviously represent that workers' actualization in a company. Hence, non-financial factors are in a significant position in motivation, firms should not overlook employees' needs and wants.