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Motivation in MPG d.o.o.
Seminar in Principles of management
Mentor: Mirna Koričan, MBA, MA in Psychology
Authors: Gabriel Crocherie Kevin Judkiewich Luka Mihelj Tanja Igić Vanja Šaša Vedrana Bogdan
....1..2.……………………… 10 3.4... 11 4.…. 2 2.... 5 2.2..2. Modern motivation theories………………………………... Motivation…………………………………………………………………………….2. Theory X and theory Y…………………………………. 2 2..2.2. Expectancy theory…………………………………. 7 3.……...3... Cognitive evaluation theory…………………………….2.. 3 2.2. Literature………………………………………………………………………….…..3. Two-factor theory……………………………….2.2.2. 15 2 .2..2.o.o………………………………………………………………………. 5 2.….1.1.. Motivation theories…………………………………………………………. Jasna Špoljarević.………………. 7 3.. 5 2. 3 2.…. Maslow’s hierarchy of needs……………………………...1.special project manager……….2.2. MPG d. Introduction……………………………………………………………………………. 4 2.2.…. 8 3.2. Appendix…………………………………………………………………………….2.1. Reinforcement theory………………………………. 4 2.. Goal setting theory…………………………………..………..1.2.… 14 6. Early motivation theories…………………………………………..1.. 3 2. Definition…………………………………………………………………….2. 6 2.1. 6 2. Motivation strategies in MPG……………………………………………. 2 2. McClelland’s theory of needs……………………….... Conclusion…………………………………………………………………………… 12 5.Table of contents 1..3.5. Company profile……………………………………..
Definition Motivation is the part of the inner state of an individual that causes to behave in a way that ensures the accomplishment of some goal. Intrinsic and extrinsic motivations are incorporated in the term overjustification. On the other side. Introduction Motivation is one of the most important topics when discussing employees’ behavior within a company. two of our group members have been working for the same company. These are our two main reasons. Modern Management (10th ed. Having them two as the employees of the very same company. this was a very special experience.1 It can be either intrinsic or extrinsic. Although explanation of motivation has changed over the years. There are many theories that explain. Travis (2007). In the last three years. we should be familiar with the early theories because they represent the foundation from which contemporary motivation theories were developed. called MPG d.1.). made us certain about the high quality of their services and the excellent motivation tactics they are using.o. when thinking about the topic. This term relates these two types of motivation in the way that if a person is intrinsically motivated. each extrinsic motivator can lead to the reduction in intrinsic motivation. Samuel. Also. we have chosen motivation. we can interpret motivation as the driving force which causes us to achieve goals. USA: Prentice Hall 3 . 2. why. Motivation 2. We can consider 1 Certo. but also confirm motivation in detail. For them. Certo. modern motivation theories differ a lot from the early ones and all of them are adopted in today’s contemporary and modern workforce. This is why we wanted to know more about their motivation strategies. MPG is known as the first specialized promotion agency in Croatia that was established primarily because of the market need for such an agency.1.o. meaning that motivation can be driven either by an interest and enjoyment in the task itself and exist within the individual or it comes from outside of the individual.
All of them were presented to explain workers’ motivation and sometimes. They represent the foundation for all the modern theories and some managers still use them when explaining employees’ motivation. esteem needs are self respect. Maslow has divided five previously listed needs into two groups and these are: lower-order needs and higher order needs. That’s why we have so many motivation theories. In general. 2. These are: Maslow’s hierarchy of needs.2. The difference between the groups is that lower-order needs are being satisfied from outside of the individual. status and acknowledgement. 2.2. lack of such motivation. through security. extrinsic motivators include threats and rewards. security needs are protection against physical and emotional harm.achievement and enjoyment caused by achievement typical intrinsic motivators. such as money and a good grade for a well done job or a punishment for doing something wrong. social and esteem needs and finishing with self-actualization needs. Theories of motivation can be divided into two main groups: early theories of motivation and modern motivation theories. starting with physiological needs. The value of these theories is unquestionable.2. On the other hand. whereas higher-order needs need to be satisfied from the inside. 2. friendship and belonging. We can classify them in five groups.1. social needs are love.1. Early motivation theories Three early motivation theories were formed around 1950’s. and self-actualization needs include growth and achievement of self potential. sex and thirst. autonomy. Motivation theories Motivation was a subject of many discussions in the history.1. but also nowadays. Physiological needs are hunger. when each of these needs has been 4 . Theory X and Theory Y and Two-factor theory. Maslow’s hierarchy of needs First and the most famous motivation theory is the Abraham Maslow’s hierarchy of needs which reflects sequence of satisfaction of needs.
2. he concluded that 5 . contrasted by Theory Y and the higher-order needs related to it. 2.2. The purpose of the survey was to find out which situations at work make people feel really good and which make them feel bad. there is no sound evidence about validity of these theories. if needed. unfortunately. Two-factor theory The two-factor theory was introduced by psychologist Frederick Herzberg. Theory X and theory Y Probably.satisfied.1. Through the research results. The theory was made after the comprehensive research on the population sample. Managers led by theory X have to control their workers constantly and punish them. the next one is becoming dominant and the person is climbing on the next level of the hierarchy.1. they are striving for responsibility and are focused and led by their goals. the second most famous motivation theory is the Douglas McGregor’s Theory X and Theory Y. Even though. We can relate this theory to the Maslow’s hierarchy of needs in the way that Theory X assumes that the dominant needs are lower-order needs. theory Y assumes that people like to work.3. Picture 1: Maslow's hierarcy of needs 2. most consider Theory Y as more reliable. Theory X represents negative characteristics of human beings and claims that employees dislike work and are trying to avoid it whenever they can.2. On the contrary.
1. most of the modern motivation theories have been scientifically approved.lack of satisfaction and the opposite term of dissatisfaction . As well as overjustification. Unfortunately.2. need for achievement is characterized by high excellence urge and tendency towards the accomplishment. 6 . He introduced a idea of satisfaction . the need for affiliation is the desire to keep friendly relations with people around you. Cognitive evaluation theory The cognitive evaluation theory is very much related to the term of overjustification.2. What really satisfies people are opportunities for achievement and recognition. this theory proposes that extrinsic motivators for intrinsically motivated behavior. Need for power is the second need that McClelland was talking about and we can recognize it in the behavior of making other people do the things in the way they wouldn’t normally do.2. 2. working conditions. need for power and need for affiliation. 2. 2.2.2.intrinsic motivators are most probably positively and extrinsic ones negatively related with the job satisfaction. he proposed that job dissatisfaction is not opposite to the job satisfaction. job security or relationship with peers and superiors. McClelland’s theory of needs In his theory. Opposite to a common belief. Things that cause the lack of dissatisfaction he calls hygiene factors and an example of this is salary. in the real life it can function really well. this theory is also not scientifically approved but in some cases and for some managers. Modern motivation theories Unlike early motivation theories. but that they represent current belief when it comes to motivation of workers. Those factors will release people from dissatisfaction but won’t make them satisfied either.2. David McClelland introduced three new types of needs and those are: need for achievement. which shows their great value. responsibility and personal growth.lack of dissatisfaction. The adjective ‘modern’ standing in front of the name of these theories doesn’t mean that they have been developed recently. cause the decrease in intrinsic motivation. The first one. The last one.2.
it is supposed that the devotion is the highest when the goal is set by the very same person responsible for the achievement and when the person has an internal locus of control. challenges and feedback on the motivation and performance. it is very important to find the best way to motivate your workers and the most suitable combination of extrinsic motivators to fit the intrinsic motivation of each worker. it is well known that variables such as feelings. regular feedback. When discussing the devotion towards the goal achievement. It considers the consequences of a certain action the only relevant explanation of motivation at work. Basically. challenging and achievable. Consequences of a specific action certainly have a huge impact on future performance and motivation. they need to be clear and understandable.This relation between intrinsic motivation and extrinsic motivators has been approved many times. as well.2. and expectations influence the behavior. but lately a more relevant conclusion has been made. 2. Even though. Led by this conclusion. characteristics of the task and national culture. Some evidence prove that specific and difficult goals. It is said that extrinsic motivators such as a compliment or approval causes the raise of intrinsic motivation.2.4.2. On the other hand.2. it seems that tangible extrinsic motivators such as money. it is very hard to completely reject the reinforcement theory. attitudes. In order to reach our goals. the founder of the goal setting theory was the first one to discuss the effect of the goals. 2. Goal setting theory Edwin Locke. Another factors that influence the relation between motivation and performance are devotion to the achievement. setting specific and challenging goals to the workers is the first step that a manager should take when trying to increase the performance. positively influence the performance. cause the downfall of intrinsic motivation. 7 . Reinforcement theory The reinforcement theory uses behavioral approach when explaining motivation.3. as well as.
sampling. As a result of a low percentage of people realizing the relation between performance and acknowledgement. Despite criticism. instrumentality or the belief that if the action is completed. Knowing this. The theory supposes that the motivation depends on the expectations of each individual about the outcome. If an employee is sure that his effort will lead to the achievement of great results and thus to a higher salary. the outcome will be achieved. and the expectancy or the belief in ability of completing the action. Picture 2: Vroom's expectancy theory of motivation in equation form 3. This difference between the expectancy theory and the real life might be a good reason why most workers are still not satisfied with the job and are not paying enough attention to their obligations at work. utilizing proven marketing techniques developed in North America and adapted to suit the needs of the region.2.2. 8 . some people say that this theory is too idealistic. It would be more realistic if firms would relate awards more to the performance than to the qualification and difficulty of the job. Expectancy theory The expectancy theory of Victor Vroom is recently the most accepted theory. bonuses or promotion. most researches approve this theory. MPG Marketing and Promotions Group – MPG was established as the first specialized promotions agency in Croatia. we can conclude that motivation is a combination of valance or the value of the perceived outcome.5. he will be highly motivated in accomplishing the task. MPG has offered promotion.2. merchandising and event marketing services to Croatia’s leading domestic and international clients for over 10 years.
Services that they offer to their numerous clients are: in-store promotions. Their main competitors are 5D agency and Promo Plus. who is coordinating the rest of managers in the company. on the top of the pyramid are the founders Josip Bašić and Mario Čukman. Each has its own department. departments. 1997 in Zagreb. Philip Morris. Sarajevo and Skopje. In Croatia. followed by client service director. Main clients and firms that use such services are P&G.1. event management and sampling. Company is privately owned and independent. special events. The foundation of the company found its purpose in the market need for such an agency. The last activity added to the company’s portfolio of activities is mystery shopping. Company profile MPG was established on March 17th. Belgrade. When it comes to hierarchy in MPG. Zagrebačka banka and Sonny Erricson. having about 100 full time employees and over 2500 temporary staff. merchandising. in-store promotion. but it has subsidiaries in another 4 capitals: Ljubljana. MPG has the leading position on the market when it comes to services that they are offering.3. The headquarter of the company is Zagreb. such as Sonny Ericsson. P&G etc. by two Croatian marketing professionals Josip Bašić and Mario Čukman. Nestle. Picture 3: Specialities 9 . Those managers are divided into two groups: those who take care of a certain client and those who take care of a certain service offered.
responsible and controlled manner. Knowledge and experience. 3.commitment to delivering intelligent consumer promotion programs that are strategically realistic and executable. Honesty and integrity. 4. 7. Innovation. Continuous improvement. accepting no compromises and striving to always be the best and proudly be the first. 5.having extensive industry experience to provide knowledge. 2. 10 . Accountability. Uniqueness. Those 7 guiding principles are: 1. in MPG company it is an imperative that each event. Whether they are working offline.always accountable to the clients and each other without expectation.bringing an amazing level of passion. promotion and program they implement is handled as a priority and their last. always raising standards. online.never content with the status quo.first and foremost the foundation for the continued success. The standards are set high. add value and contribute to the business of their clients.persistent pursuit of ‘best in class’ solutions to the ever-changing need of the marketplace. energy and commitment to excellence. but generally below the line. They also strive to implement all clearly defined objectives in a professional.The core values of the company guide every decision they make and is going to continue to drive their success in the future. 6. Excellence. It is their goal to become a close partner with each client by fully understanding the goals and objectives required to achieve quantifiable positive results.
functioning in stressful conditions is their everyday life and a person working for this company has to be ready to react quickly and smartly in each and every moment. full of life and very outgoing. we found out that most of the people working 11 . measurable and quantitative results. now taking the position of special project manager. the person who we have interviewed. what makes the work much easier for her. Her colleagues are very young people. is the special project manager in the company of MPG.2. their cell phones are always on. Afterwards. but came back again after few years. When it comes to the education. by providing diversified sales solutions and techniques that create impact and generate positive. mission is to become their clients most valued and trusted outsourced resource. 3. This position was thought out when MPG started the project of S-Box. from the beginning working in the field of marketing.Picture 4: MPG 360° fully integrated approach Vision of the firm is to become leading promotions agency in Southeast Europe by offering their clients proven marketing techniques that are well suited to the ever changing market. In the interview. Jasna Špoljarević. regional offices and the call center. Speaking about her job and the position in the company. She started to work for the MPG in 2004 as the assistant in Procter & Gamble office. Her superiors are the bosses and the director and she is responsible for coordinators. she is a bachelor in journalism. she said that there is no private life in their company. she left the MPG company.special project manager Jasna Špoljarević. Complementary.
In order to ensure loyalty and proactive behavior in the agency. Each person is different and has its own way and style of doing and accomplishing tasks. she also doesn’t hide that arguments and conflicts are their everyday life. At night. miss Jasna told us that the last team-building activity they had was in Zagorje.in the offices of MPG not only have good time at work. When speaking about the relationships inside of the company. Since most of the employees in this marketing company are employed due to their creativity. they are inevitable in the situations where people are working together. but some are only for the managers. During the interview. Out-of-the-box solutions are implemented even when it comes to activities that are usually considered to be plain. they usually voluntarily take part in organizing team-building activities for themselves and their colleagues. and some for the people inside a certain department. they had an organized Halloween party where they did all kinds of interesting activities in teams. but they are also very close friends outside of the company. ate lunch and went for a drink with their colleagues. Motivation strategies in MPG It is possible to achieve the leading position on the market only if you have more than adequate employees. That is also the way she describes MPG company as an employer. they have lightened all the pumpkins with candles and had a whole-night party in a great 12 . where they went for Halloween. miss Jasna says that nothing would make her switch the company again. friendly and relaxed atmosphere and excellent working conditions. Most of the team building activities are organized for all the employees.3. superiors have the obligation to motivate their subordinates in the best possible way. 3. That is why every activity they plan isn’t as ordinary as it is in other companies. did shopping for souvenirs and enjoyed the beautiful landscape of small villages in Zagorje. From her previous experience she learned that nothing motivates her better than the great people around her. The most interesting one was cutting pumpkins in pairs. Taking into consideration all of the good and bad sides of her job in MPG. It all depends on the need for such activities and the productivity of a chosen department. During the day they went on the castle tours. In her opinion. When they had finished.
MPG pays a lot of attention on the feelings of their employees and therefore is trying to compliment and congratulate them whenever the job was done correctly. such activities are inevitable. it is obvious that they can not all be motivated in the same way. MPG motivates its workers with other tangible extrinsic motivators. or that they will have the opportunity to perform more complex tasks. The most motivating factor in MPG is the fact that the organizational culture is really strong. limited edition of a product. Since every employee is perceived as an individual with its own needs and aspirations. especially nowadays. Each employee gets its own stable salary and a bonus if the job was done extremely well. there is also a wide range of different motivation strategies. Each year. unsuccessfully. Due to the nature of their jobs that causes a lot of stress and takes great part of their free time. free massage or wellness pleasure or a day off. In many occasions. in order to improve their skills and enrich their knowledge. Miss Jasna thinks that in most cases bonuses do not motivate workers. The last and probably the most important are the intangible extrinsic motivators and constant performance feedback. people are motivated by the chance that they will be promoted to a higher level in a hierarchy. including the objectives for the next man-year. produced by the company that is provided with MPG services. Some are motivated by money. but they consider them as a present and the sign that a company cares and appreciates them and their work. Due to the dynamic positions and fast reactions required in this job. when unemployment or underpaid jobs are expressions we hear about every day. 13 . It is really important. Apart from the team building activities. such as special. Approximate feedback is given on the monthly basis in order to improve the performance if something went bad the month before. There’s no fear of losing the job if they know they have done it properly. Everyone working for this company seems to feel free and comfortable to talk about their wants and requirements. Very often. but most of them require something more.surrounding and relaxed atmosphere. mistakes are usual but the employees of MPG have no fear of losing job if they know they have done their task properly but unfortunately. due to open and sincere relations among its employees. overall and comprehensive feedback is being presented to all the workers and public.
Instead. 14 . Alignment of aims. and everywhere in between. Motivation is influenced significantly by others’ rewards as well as by one’s own rewards. That leads to the conclusion that there is no universal principle in motivating workers. An understanding and appreciation is a prerequisite to effective employee motivation in the workplace and therefore effective management and leadership. teams and organization is the most fundamental aspect of motivation. Conclusion If you want to make things happen. Inequities created by overpayment do not seem to have a very significant impact on behavior. Motivation requires a delicate balance of communication. from each different perspective. the ability to motivate yourself and others is a crucial skill. Human nature can be very simple yet very complex too. To understand motivation one must understand human nature itself. touching on several disciplines. Where people find it difficult to align and associate with the organizational aims. people use motivation to get results. that is easier said than done! Motivation theory and practice are difficult subjects. Unfortunately. Conversation with Jasna Špoljarević. structure. the better the platform for motivation. Most research has focused on pay. each employee should be taken into consideration individually. then most motivational ideas and activities will have a reduced level of success. Apart from the motivation theories used in MPG. It's different for each person. home.4. Motivation is a complex area. a special project manager in MPG was quite helpful. The better the alignment and personal association with organizational aims. purpose and values between staff. and incentives. but employees seem to look for equity in the distribution of other rewards. if possible. we learned that if you want to lead and influence employees you should be able to do that through motivation. At work.
Tanja Igić.Picture 5: Luka Mihelj. Kevin Judkiewich and Gabriel Crocherie (from left to right) 15 . Jasna Špoljarević. Vedrana Bogdan.
) 3. Certo. 16 . URL: http://www.posao. Motivacija zaposlenika – Nije sve u novcu.o.11.2010.htm (27. New York: Harper & Row. Organizacijsko ponašanje.net/jseeker_wiki.11. Abraham. Changing minds.) 6.) 7.org/explanations/theories/a_motivation.2010. 1954.2010. Judge. Literature 1. Robbins. Samuel. MPG d.2010.php?wikiName=PSMotivacija (9. nešto je i u… URL: http://www.hr/naslovna/o-nama. Trevis. Zagreb: MATE. Maslow. Zagreb: MATE.) 4. Tim. 2. URL: http://www. Motivation and personality. Stephen.mpg. Goran Pivarski.aspx (23. 2009.o.11. 2008.5.hr/karijera/motivacija-zaposlenika-nije-sve-u-novcu-ima-nesto-iu/330/ (23. URL: http://changingminds. Moj posao. 5. Moderni menadžment.moj-posao.11. Certo.
1. What is your current position on the market? Who are your main competitors? 3.o.o. Appendix 1. Can you tell us something about education required for your position? 3rd part. What kind of services do you provide for your clients? 2nd part. 6. How long have you been working for MPG? 3.o. Can you tell us something about beginning of MPG? How did you come up with the idea? Where and when? Who is the founder? 2. Are you satisfied with working conditions in the company and your colleagues? 5. who is the most difficult to motivate and who is essential to be motivated? 2. What is your position in the company? What are your obligations and tasks? Who are your immediate subordinates and superiors? 2. which strategies do you use? Do you reward you employees for doing a good job and do you punish them when their efficiency is low? Are these the ways you motivate your employees? 17 .o. Where is the headquarter of the company? How many subsidiaries do you have and where are they located? 5. While motivating. How many full time employees do you have? Do you employ students? If yes.Motivation in MPG d. How many clients do you have? Could you name some. 1.about Jasna Špoljaervić-special project manager 1. Interview questions: 1st part – About MPG d. When it comes to motivation. how many employed students do you currently have? 4. Have you start working for MPG on this position or you’ve been promoted over time? 4.6.
o.hr 18 . name these activities and the results? 5.spoljarevic@mpg. How do you delegate responsibility between employees for motivating their subordinates? How many people is every superior responsible for? 4.o. Do you consider satisfaction to have influence on the motivation and the motivation to have influence on productivity.3. as some experts claim? 2. Position in the company: Special project manager E-mail address: j. Contact information of the person interviewed Name and last name: Jasna Špoljarević Employee of: MPG d. Do your employees attend courses about motivation? Have you ever tried any of teambuilding activities? If yes.
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