Hierarchy Of Needs Theory Business Essay

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The aim of this project is to evaluate the different aspects of a well-established organization. In assessing such information there are many criteria's that should be taken in to consideration.

Identifying the present structure of the organization which is determined by the management will direct the organization in achieving its goals. This in turn enables to recognize how the organization can change its structure in improving the performance.

Company background

Vivanta by taj is a luxury 5-star hotel located on the "Golden mile" on the south western coast of Sri Lanka in the Beruwela district. Located in Benthota.

Hotel Culture

At the hotel 75% of the staff from the Beruwala area, and as organizations does not operate in isolation, identifying the external environmental factors, which is the surroundings and the circumstances with which the organization interacts and how the environment change would give the ability to make better decisions while converting the threats into opportunities and weaknesses into strengths.


At Vivanta passion, integrity, compassion, honesty and accountability are the everyday business values. This, together with our cultural diversity, leads to the success of our guests, associates, partners, shareholders and the community. We conduct business in a manner consistent with this high set of values. We use these values to guide us in making day-to-day decisions on how to best carry out our mission.


Diversity of ideas and backgrounds plays a key role in the success of Vivanta. Working with minority, disadvantaged and women-owned suppliers but they are an essential part of hospitality business. And the management is with multinational.


Identifying and analyzing the structure of the company, the organization chart and the departments within the company while identifying the benefits and the drawbacks of the present structure and how the company can improve.

Analyzing the external uncontrollable factors which influence the organizational activities, changes in the environment, how the changes effect the organization and how the company can respond to these changes effectively.

Evaluating the motivation techniques currently in use by the organization, how effective it had been and what improvements could be done in order to motivate the employees to achieve the set targets.


Company Issues

High absenteeism

High turnover

Low productivity and quality

Low performance

Poor employee morale

Leaderships Styles competence to overcome issues in an organization

In 1939, a group of researchers led by psychologist Kurt lewin set out to identify different styles of leadership.

The Three major leader ship styles are,

Autocratic leadership

Democratic leadership

Declarative leadership ( Laissez - Faire )

(http://psychology.about.com/od/leadership/a/leadstyles.htm Log on 30/01/2013 at 7.51 pm)

Referring to above leadership theories, combine those theories with the organization which I have to over with the research.

Autocratic Leadership

According to the attached theory,

New managers and supervisors are often focused on a getting "a lot done". This usually means identifying and solving problems. Experienced managers come to understand that acknowledging and celebrating a solution to a problem can be every bit as important as the solution itself. Without ongoing acknowledgement of success, employees become frustrated, skeptical and even cynical about efforts in the organization. Referring above leadership style, there are some of the leaders who are still using above leadership style. The leader forced to do work to the employee and follow his orders. And if the employee not able to fulfill his order the leader will get angry and the leader will make the employee unhappy too. Weakness of the above leadership style is,

Insecure about the job.

Job satisfaction is low.

And at the end, the organization has to pay the price. If the employee is not satisfy in the business what they do, of if the self-satisfaction is not in an Organization. The productivity will low. And according to the Survey, I found that the decision making and creativity is low of the employees who work under the domineering and dictatorial leader.

Democratic Leadership

Democratic leader is the person who helps the organization as well as the employee. Conferring to the current situation of the organization some of the department heads and supervisors follows this leadership style. This is the most effective leadership style. Democratic leaders offer assistance to their employee. And the organization will be a free place to work. Democratic leader helps the company and organization to reach their goals and targets. Vivanta by Taj has these kinds of leadership styles. Benefits of the democratic leadership is,

Self-motivated employee.

High man power will generate progressively.

Job satisfaction is high.

Free and easy good working environment

Laissez - Faire leadership

Laissez - Fairy leadership style is the most inferior leadership style. Decision making is not doing by the leader. Even On the odd occasion leader habituated to refuse helping the employee or group member. A function best hotel like Taj will never accept this leadership. But somehow this kind of leader ship styles is attached to the organization. Nevertheless there is less advantage and more disadvantages will be attached in this leadership style.

Leaders give full authorization to the employee

And the leader will wait until the employee approves. This king of leadership styles cannot approve according to the current organization.

Theories of motivation

Early theories of motivation

The 1950s were a fruitful period in the development of motivation concepts. Three specific theories were formulated during this period, which although heavily attacked and now questionable in terms of validity, are probably still they best-known explanations for employee motivation. These are the hierarchy of needs theory, theories X and Y, and the two-factor theory. You should know these early theories for at least two reasons:

They represent a foundation from which contemporary theories have grown, and

Practicing managers still regularly use these theories and their terminology in explaining employee motivation.

Hierarchy of needs theory

It is said that the most well-known theory of motivation is Abraham Maslow's hierarchy of needs. He hypothesized that within every being there exists a hierarchy of five needs. (1943) these needs are:

Physiological; includes hunger, thirst, shelter, sex, and other bodily needs.

Safety: includes security and protection from physical and emotional harm.

Social: includes affection, belongingness, acceptance, and friendship.

Esteem: includes internal esteem factors such as self-respect, autonomy, and achievement; and external esteem factors such as status, recognition, and attention.

Self-actualization: the drive to become what one is capable of becoming; includes growth, achieving one's potential, and self- fulfillment.

Theory X and theory Y

Douglas McGregor is the founder of the theory X and theory Y. he proposed two distinct views of human beings. One basically negative and it is named as theory X and the other basically positive, labeled theory Y. theory X assumes that workers have little ambition, Dislike work, want to avoid responsibility, and need to be closely controlled to work effectively. Theory Y assumes that workers can exercise self-direction, accept and actually seek out responsibility, and consider work to be a natural activity. Assumptions of theory X and theory Y can be shown in detail as follows.

Two-factor theory

Psychologist Fredrick Herzberg (1975) and his associates developed a needs theory called the two-factor, or hygiene-motivator, theory. Herzberg's theory defines one set of factors that lead to job dissatisfaction; these factors are called hygiene factors. The theory also defines a set of factors that produce job satisfaction and motivation: these factors are called motivators. Herzberg investigated the question, "what do people want from their jobs?" he asked people to describe, in detail, situations in which they felt exceptionally good or bad about their jobs. According to their responses there are two groups of factors. The first consists of the satisfiers or motivators which are intrinsic to the job.


Motivation strategies can use in for the organization

HR strategies re-focused:

• Alignment - we Endeavour to attract the best talent /Acquire staff with aspirations to serve the concept and Passionate to undertake a career in the Takaful.

• Manage moments - Ensure the staff members are fully Engaged and focused in every interaction (work piece) and Handle the various customer touch points efficiently - for both internal and external customers.

• Aspirations - Encourage staff towards seeking career Enrichment / personal development whilst delivering the Expected job performance in the current job tasks.

• Novel approaches - Provide empowerment to explore new Opportunities / discover novel methods towards adding Value on the service delivery chain.

• Acceleration - Provide impetus for the staff to 'Raise the Bar' voluntary in a proactive manner in serving the customer and achieving the desired bottom-line impact.


When it comes to a conclusion using attached techniques and