Herzberg’s Two-Factor Theory

 In 1959, Herzberg and his associates changed the traditional understanding of job satisfaction by proposing the Two-Factor theory (Bassett-Jones & Lloyd, 2005). The Two-Factor Theory is based on Maslow's Hierarchy of Needs pyramid, which emphasizes the need of attaining extrinsic criteria such as survivability first, and then climbing up the pyramid towards intrinsic factors such as self-actualization (Haivas et al., 2014). 

                                                                          Figure 02

              Source: Maslow's Hierarchy of Needs by Saul McLeod, published May 21, 2018

Herzberg identified two sets of factors that influence employees' working attitudes and levels of performance, which he dubbed Motivation and Hygiene Factors (Robbins, 2009). Motivation factors are intrinsic factors that improve job satisfaction, whereas hygiene factors are extrinsic factors that prevent employee dissatisfaction. Herzberg went on to say that having a complete supply of Hygiene Factors does not guarantee employee job satisfaction. Motivational variables must be addressed to improve employee performance or productivity.

1.     Hygiene Factor – Extrinsic

2.     Motivational Factor – Intrinsic

The Two-Factor Theory is similar to Maslow's hierarchy of requirements, but it includes more criteria to assess how employees are motivated at work. According to this hypothesis, addressing individuals' lower-level demands (extrinsic or hygiene elements) would not encourage them to make effort, but would just keep them from being dissatisfied.

They exist largely to dissatisfy employees when they are not there; yet, the presence of such conditions does not always result in high motivation. Gibson (2000). These elements include company policy and administration, technical supervision, interpersonal connections with supervisors, interpersonal contacts with peers and subordinates, salary, job security, personal life, work conditions, and status. Hygiene factors are not direct motivators, but they are required to prevent dissatisfaction and serve as a baseline for motivation. Improvements in these conditions, however, do not create motivation. Huling (2003).

Intrinsic factors are highly effective in creating and maintaining longer-term beneficial effects on employees' job performance since they are human basic demands for psychological growth. Intrinsic factors will motivate people to put more effort into their jobs. When employees' motivating requirements are met, their productivity and efficiency improve.

For example, if a person has a strong want to achieve some goals or to do something in order to achieve such a desire or goals, the individual must act in a precise method that will assist him/her in achieving such desired goals. Thus, 'intrinsic motivation is a type of self-actualization in which a person feels the urge to accomplish something worthy.' In other words, it is self-generated or self-motivated and is not motivated by money rewards' (du Plessis et al 2016). Furthermore, more employees can be motivated if factors such as performance reconditioning and rewarding, job status, and personal growth are included.

Intrinsic Motivation methods in Huawei

Table :01

Factors	Intrinsic Motivation in Huawei
Performance & Achievement	Transparent performance appraisals      Highlighted through “Wall of Fame” – Highest Achievers images will be displayed
Recognition	Reward Program     Over seas tours      Achievers’ night recognition and highlight to senior and regional management (APAC)      Huawei Presidents club membership
Opportunity and Advancement	Overseas job offerings with families         Opportunities to climb career ladder
Personal Growth	Educational program (Personal Development)      Mentoring programs

 Source : Huawei Internal

Employees can be motivated by satisfying their esteem and self-actualization needs by applying the principle. This involves a sense of accomplishment when they have done their jobs well. As a result, managers can meet this requirement by boosting job content. Employees experience a greater sense of accomplishment and enjoyment at work when job content is improved. When people are satisfied with their jobs, their overall mood improves, and so does their productivity. Thus, the benefit of this theory is that managers may work on basic demands first, and then move on to more sophisticated employee needs (Manap, 2012)

References

Bassett‐Jones, N. and Lloyd, G.C. (2005). Does Herzberg’s motivation theory have staying power? Journal of Management Development, 24(10), pp.929–943. 

du Plessis, A. j, Douangphichit, N. and Dodd, P. (2015). HRM in Relation to Employee Motivation andJob Performance in the Hospitality Industry. Journal of International Business Research and Marketing, [online] 1(4), pp.12–21. 

Gibson, J., Ivanevich, L., John, M. and Donnelly, J.H. (2000). Organizations Behavior Structure Processes. European Journal of Business and Management, Vol.9, No.26(ISSN 2222-1905), p.166.

Haivas, S., Hofmans, J. and Pepermans, R. (2014). ‘What Motivates You Doesn’t Motivate Me’ Individual Differences in the Needs Satisfaction-Motivation Relationship of Romanian Volunteers. Applied Psychology, 63(2), pp.326–343.

Huling, E. (2003). Application of Frederick Herzberg’s Two-Factor Theory in Assessing and Understanding Employee Motivational Work. European Journal of Business and Management, ISSN 2222-1905(Vol 3, No.9,), pp.17–24.

Robbins, S.P. (2009). Organizational Behavior. (13th International Edition) ed. New York, New York: Pearson Education.