1. Many experts argue that people do their best work when they are motivated by a sense of purpose
rather then the pursuit of money. Do you agree? Critically evaluate and explain your position.
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TABLE OF CONTENTS
1.0 Introduction
2.0 Theories
2.1 Maslow’s Needs Hierarchy
2.2 Herzberg’s two-factor Theory
2.3 David McClelland’s theory
3.0 Survey of job satisfaction
4.0 Money and Motivation
5.0 Conclusion
Many experts argue that people do their best work when they are motivated by a sense of purpose
rather then the pursuit of money. Do you agree? Critically evaluate and explain your position.
“Can’t buy me love” (Filipczak & Bob, 1996, p. 29)
This statement was mentioned in the magazine “Training”, which is related to the thoughts of the
motivation. People look for job and want to work in satisfaction. Some people believe that the factor of
the job satisfaction is money, which means employees are motivated to do their work by money and do
their best work. However, through money, we cannot buy a motivated, committed, productive,
enthusiastic, and creative work force (Filipczak & Bob, 1996, p. 29). Researchers who study of
motivation for job satisfaction introduced the theories like Herzberg’s two-factor Theory, Alderfer’s ERG
Theory, Equity Theory McClelland’s Theory, Expectancy Theory, McGregor’s theory X and Y,. All the
theories, which were mentioned above, have been used to prove that employees are motivated other
factors not money and factors of motivation (Sarin, 2009, p. 237). According to the studies of experts,
people made the best performance in their job when they are motivated by intrinsic matters which are
making job satisfaction, rather then extrinsic matters. (Filipczak & Bob, 1996, p. 29). I strongly agree with
this notion regarding relationship between money and motivation for job. This article will provide the
reasons why money is neither a factor of motivation nor a factor making good performance. The article
shows what the function of money in organization is.
According to the Maslow’s Needs Hierarchy, human basic needs are divided into five levels, and are
arranged in a hierarchy. First is the physiological need; basic physical needs or drive, such as hunger,

2. thirst, and sex. Second is The safety need; the need to feel secure, to feel free from threats, to feel that
the world has some order so that one can cope with events. Third is the belongingness need; to belong,
to be accepted, to give and receive love. Forth is the esteem need; the need for respect and esteem, in
the eyes of both oneself and others. Needs for self-respect includes a desire for achievement,
confidence, and independence. Finally, the self-actualization need; need to fulfill one’s potential (Rolfe
et al. 1983). Among these levels of needs, Maslow regards the money as a lowest level, which is just
basic physical need. Once it is satisfied, it does not give influence to motivate person’s behavior any
more (Sarin, 2009, p. 237).
Herzbug suggests and argues that there are tow factors those are motivating factor and hygiene factor.
Herzbug’s tow-factor theory was drawn from Maslow but focuses on the question of job motivation.
Motivators, intrinsic reward produces job satisfaction while hygiene factors, or extrinsic rewards
produce job dissatisfaction. Motivators are Personal Growth, Advancement, Recognition, Achievement,
nature of the work itself, and Responsibility. The hygiene factors, the extrinsic, are company policy and
administration, salary, supervision, job security, working conditions, and interpersonal relationship. In
other words, extrinsic factors indicate the two highest needs in Maslow’s hierarchy (Rolfe et al. 1983).
As mentioned, salary is included in the hygiene factors, which causes job dissatisfaction. Herzberg(1968)
said, “Money is not a motivator”. However, there is a misinterpretation of which Herzberg’s opinion that
“Do not use money to motivate employees” (Herzberg, 1968). In fact, it did not mean that. He offers
three warnings of using the hygiene factors to their employees. First, do not expect that employees may
be excited by using the hygiene factors for job motivation. Second, the manager who uses hygiene,
extrinsic factors must be rich because employees would want more and higher rewards to be satisfied.
Third, the manager who uses the hygiene factors should be aware of that employees might believe they
can find their job satisfaction with only extrinsic factors such as good bonuses, company cars, and nice
offices (Daniel & Sachau 2007). Herzbug emphasize that offer of hygiene factors such as money just get
rid of worries on absent of hygiene factors. However, it does not give satisfaction and motivation to
employees. Satisfaction will be given to them only with motivators increasing responsibility,
achievement, and advancement (Baldonado & Janice, 2009)
David McClelland argued, in his theory, that people experience three dimensions such as the need for
achievement, the need for power, and the need for affiliation. Managers need to put some efforts to
find out what employees regards as the important in their work to motivate staffs. If authority and
power is the person’s goal, he may do his work best when the reward is to higher his position like a
promotion in the fields. Unlikely this, to those ho seek affiliation are suit to be a team player who can
unite the group members. However, achievement-oriented person needs feedback and the sense that
progress is being made (Stern, 2008, p. 12). If managers who want to motivate staffs just simply think
that staffs make high performance when they are rewarded with good salary or more bones, they could
make great mistake.
What really motivates people at work? Is it simply the size of their paycheck? Is it another promotion?
Or is it something else? Many contrasting views of motivation exist. However, most experts agree that
motivation energizes, maintains and guides behavior. (John, 1992, pg. 63)

3. Money is not a factor that gives people motivation to perform most efficiently for their goal. There are
more specific factors that motive people in organizations. managers have to motive employees to make
good performance. John (1992) introduces, in his article “The motivation trap”, Herbert Meyer’s survey,
the surveys of managerial-level employees, with the subtitle “The Paradox of Pay”. Even though
companies and management pay employees for their performance, Meyer found surprising result, the
high levels of dissatisfaction. According to the Meyer’s research shows that motivating with money
results even opposite outcome. To motivate people by money decreases their intrinsic interest in the
job. When the goal to achieve is high salary or bonus, people focus their mind on extrinsic factor, money
rather than performance itself. If managers really want to use money as a motivator, this payment must
be as high as employees may be
accepted.
There is another survey about job satisfaction, which was conducted by G. Lance Matheny MD, MPH,
MBA, CPE that is a medical consultant. The survey shows that people feel satisfied with their job not
because of money. They asked 104 people to make the survey. As a result, 46 percent responded that
improving communication and personal relationship is important. Nine percent stated improving
leadership is the point, but only 3 percent said bonus is making high job satisfaction (Matheny & Lance,
2008, pp. 14-15). Bonus and rewards may improve little of job satisfaction. However, as the result of the
survey shows, it is not too helpful to give motivation to perform best. It is not a good motivator for
employees.
This is a Bob Nelson’s experience showing money is not a main factor of motivator. After his
presentation regarding “Do you think money is the best reward? Many people do”, managers and CEOs,
told him that they had disagreed with what he explained about money it is managers own view. They
still believe money is most important motivator. However, bob emphasize money is not main reason for
their work (Nelson, 2002, p. 12). It does not mean money has no value of motivation. Money provides
functions for the standard of living as Frederick Herzberg (1967) mentioned in his hygiene Tow-factors
theory. An addition, salary itself cannot become a motivator. When it works with extra factor of how
they are treated in his fields, the money take some of functions. Nelson (2002) said that to make people
do their best work is to provide more functions of motivator including praise and recognition,
development of opportunity and challenging work.
The notion of Motivation can be divided into two groups, external motivation and inner motivation
(Rewards to Motivate (Why it's not the whole story), 2006, p. 24). External motivation involves basic
needs just like that of hygiene factors whereas the inner motivation is the same as the motivators in
Herzberg’s theory. (Herzberg, 1967). Among these factors, inner motivation is the one that motivates
employees to do work without expecting any rewards. Therefore, the job of managers who want to give
motivation to people for high performance is to find what creates inner motivation. The authors of the
article “Rewards to Motivate (Why it's not the whole story)“ suggest that pride of work, working with
good colleagues, sense of growth, and a sense of accomplishment are able to make inner motivation,
motivators that effect people to work with willingness (Rewards to Motivate (Why it's not the whole

4. story), 2006, p. 24). Furthermore, recommend to create such an environment that can promote inner
motivation. There are five factors, which provide the environment. “Goals” is a sense of what people
want to accomplish, vision. “Challenge” is the ability of own improvement. In order to achieve and reach
to certain point, people strive to get there though people have not enough ability, yet. While doing it,
self-motivation is created. Daniel and Sachau (2007) said “Moderate level of challenge make a task
enjoyable”. “Achievement” is a sense of which they are doing is very important. After achieve the task,
people are satisfied. Mark Wardell (2008) also supports this opinion. Employees are motivated
themselves when they feel they are including in bigger picture and plans which means they are regarded
as one and important part of it, employees do their work best. If they do not have this sense, they may
work hard only when the owner is around (Wardell, 2008 p. 87). “Ownership” is including empowering
leadership. It gives a responsibility to make good performance. Lastly, “Community” is making the
motivation by having communication and teamwork, which promotes natural accountability. Better
communication is used to improve job satisfaction (Matheny & Lance, 2008, pp. 14-15).
McClelland’s theory still applies well to organizations in order to make motivation. Managers need to
find what types of person employees are and what their preferences are. First, preferences have to be
identified to what type of task person suit and what person prefers in projects and then what role the
person favored in the group of workers. Next, finding what person hope to get something from one
another helps to know person’s wants. Finally, knowing what skill person has and prefers to use gives
clues to make decision what position the person suits (John, 1992, p. 63). When the person does what
he likes to do and role by using his best skill with helpful colleagues at right position, there is no doubt
that he will do his best work with willingness.
The argument that whether or not money is a factor of the motivation for the job is still a controversial
matter. Each person has his or her own opinion on relation between money and the work performance.
However, as many experts and researchers have found, money itself is neither a motivator, which
encourage people to work, nor the main reason of which people have their job. Moreover, surveys and
studies prove that employees make good and high performance not motivated by money. Rather, they
pursuit their own sense of purpose and people regards this as more valuable reason of their working. It
does not mean that people may work without salary and any rewards. As long as people have enough
expenses, money only takes a little part of their motivation factor. Herzberg (1967) said, “Kick n the ass”
and Stefan added his opinion to Herzberg’s word.
If I kick my dog, he will move. And when I want him to move again what must I do? I must kick him
again. Similarly, I can change a person's battery, and then recharge it, and recharge it again. But it is only
when one has a generator of one's own that we can talk about motivation. One then needs no outside
stimulation. One wants to do it (Stern, 2008, p. 12).
Motivating by will last soon and reveal the limited power of money. Money is necessary. However, it is
not a good motivator.