When Elaine was hired as a contract employee to do graphic design work for a small, privately held company, she looked forward to the opportunity to exhibit her creative skills. She didn’t expect, though, that she would be welcomed into the firm and considered part of the family. As she says, “I was shocked when my supervisor invited me to attend a department meeting — I assumed temps weren’t involved in those things. Then, at the meeting, I had the opportunity to give some pointers on a four-color process. That was motivating because I had the opportunity to show that I could contribute.”

      Another woman shares an experience that she felt was especially motivating: “Out of the blue one day, the owner of the company came by and gave me a $75 bonus for working on a project. I bought a freezer from another employee with the money.”

      Sue, a professional engineer, says that the most motivating thing to her is reporting to someone she respects — a mentor — and having that individual hand her new assignments. “I guess it conveys a level of trust,” she says. She adds though, that new assignments aren’t motivating if they come from individuals whom she doesn’t respect. “When it’s someone I look up to and whom I respect, it’s flattering to be chosen for an assignment. In other cases, it just seems like more work. It’s a subtle difference, I know, but it makes a difference to me.”

      “These things have never happened to me, but they would be motivating,” says an employee who doesn’t feel particularly motivated all of the time. “It would be great if my manager would say, ‘Why don’t you pick out a career-building seminar this year and we’ll pick up the tab,’ or if the company president would casually stop by just to say, ‘Hey, thanks for your comment at the meeting today — you have some great ideas!’ ”

      What motivates high performers? The answers may surprise you. It doesn’t always take money. It doesn’t always take grand gestures. Sometimes, as the not-so-motivated employee points out, all it takes is a simple pat on the back.

      A study by Watson Wyatt of 551 large employers and more than 500 employees done in 2000 found that the majority of those responding — 81 percent — indicated that the “desire to maintain good work reputation” was “very significant” in terms of their motivation. Other motivations cited were “importance of the work” (76 percent), “appreciation of others” (66 percent), “interesting work” (51 percent), “personal desire to please supervisor” (20 percent), and “expectation of financial reward” (15 percent). Note that monetary reward was not the main driver that we often believe it to be.

      Motivators for the 21st Century

      As the labor market continues to tighten, innovative companies are reaching deeper and deeper into their bag of incentives to recruit, retain and motivate employees. Interestingly, it is not the offer of higher salaries or stock options that encourages most workers. In fact, one of the most desired benefits for many workers is work/life balance, according to a 2000 study by Wirthlin Worldwide, which was commissioned by Xylo, a company that helps clients motivate employees through the establishment of work/life programs.

      In the survey of 1002 workers, 71 percent cited reasons other than salary and bonuses as factors that influence their job satisfaction and motivation. Four factors stood out when employees were asked to indicate what caused them to feel satisfied or motivated on the job:

      • 29 percent said additional perks, benefits, and employee discounts

      • 25 percent said a good salary and bonuses

      • 23 percent said a work environment that is fun and enjoyable

      • 22 percent said recognition and respect for work performance

      The results of this study are consistent with what other researchers have found. According to another study by the Radcliffe Public Policy Center in Cambridge, Massachusetts, white-collar workers value time more than money. This is especially true in workers between the ages of 20 and 39. Family time topped the list of workplace priorities for 82 percent of men and 85 percent of women aged 20 to 39 in the study.

      Results of these studies aside, however, it’s important to keep in mind that no two people are the same. No two of your employees are the same. Consequently, no single motivator is going to work with all of your employees. Some employees — and often these are lower-level employees — will be positively influenced by money. Others — those with family commitments — may be motivated by time off or flexible work scheduling. Still others may crave independence and the ability to be involved in decision-making. To motivate effectively, you need to know more than what the motivators are. You need to know which motivators will work with which people.

      The needs and values of today’s workforce are very different from the needs and values of the workforce 50 years ago — or even ten years ago. Today’s workers are better educated, less interested in following orders, more loyal to themselves than to the company, and more concerned about meeting their own needs.

      Furthermore, today’s employees are impatient. They are not willing to wait years for a pay increase, a promotion, or new opportunities. They will not bide their time in an organization if they do not feel they are being valued or given the opportunities and benefits they demand.

      This presents a major challenge for employers and managers. The current generation of workers can be very difficult to motivate. According to the Bureau of Labor Statistics, the number of people working or looking for work is projected to increase by 17 million between 1998 and 2008, reaching 155 million. This growth will be affected by the aging of the baby-boom generation (those born between 1946 and 1964). At the same time, the number of persons in the labor force between the ages of 25 and 44 is projected to decrease.

      As these dramatic shifts are taking place, the number of management jobs will fall sharply. Promotions may not be available.

      What happens when an employee works at the same job, year after year, with no chance for promotion? He or she becomes dissatisfied and, eventually, non-productive. To maintain job satisfaction under these circumstances, employers must come up with creative ideas for employee motivation. To do this, they must first determine what motivates their employees.

      What Employees Want

      Many employers assume they know what their workers want and believe they are providing it. For example, they may point to good wage and benefit packages as proof that they are doing well by their employees. But sometimes, when we think we know what motivates our workforce, we may be wrong.

      Sue Marczinke has been with Royal Credit Union (RCU) in Eau Claire, Wisconsin, for more than twenty years.