Name of student: Tran Ton Lam – ID: S3533533
Course name – ID: Organizational Behavior – BUSM2301
Lecturer Name: Thanapat Kijbumrung
Word count: 2107
ASSESSEMENT 2- INDIVIDUAL ESSAY – TOPIC: EMPLOYEE MOTIVATION
INTRODUCTION
Employee motivation has become one of the crucial factors as well as a challenge for managers in the present day. A successful manager denotes leading subordinates by proceeding and applying new management procedures (Drumea 2011, cited in Lazaroiu 2015) that is required by organizations for its strategic achievement, which in this case is employee motivation. In the given Fremont plant of General Motors after nearly decades of internal conflicts, The Fremont Plant of General Motors (GM) had encountered bankruptcy. It was reopened and under the collaborative management of Toyota and GM with more effective management practices that were successfully at boosting employee motivation, which was formed as a legal entity, namely NUMMI.
Motivation is defined as psychological process that induces employees to contribute to their work and perform “voluntary actions” that directly related organizational goals (Mitchell 1982, cited in Ramlall 2004). According to McShane et.al 2010, employee motivation can be categorized into different foundation of theories regarding how employees can be motivated. The composition will now explain how the alteration in management style reflects these theories. Afterwards, some recommendations will be provided in order to resolve the facing challenges as well as to give more suggestions on how NUMMI management can even further improve.
Equity Theory (Adams’s Theory)
Firstly, The UAW Labor Contract has diminished the payment and performance evaluation between highly professional employees and newly hired employees. According to Levine (1991), wage division in the workplace ‘leads to lower group cohesiveness’, which