How is intrinsic motivation utilized in incentive systems and management practices? a case study in Finnish telecommunications provider

In today’s market, an organization’s ability to attract and retain skilled employees is becoming an increasingly valuable competitive advantage. As monetary compensation in competing organizations tends to be on a similar level, intrinsic factors like well-being and happiness at work have become cru...

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Main Author: Haavisto, Ville
Other Authors: School of Business and Economics, Kauppakorkeakoulu, Business and Economics, Taloustieteet, University of Jyväskylä, Jyväskylän yliopisto
Format: Master's thesis
Language:eng
Published: 2024
Subjects:
Online Access: https://jyx.jyu.fi/handle/123456789/94191
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author Haavisto, Ville
author2 School of Business and Economics Kauppakorkeakoulu Business and Economics Taloustieteet University of Jyväskylä Jyväskylän yliopisto
author_facet Haavisto, Ville School of Business and Economics Kauppakorkeakoulu Business and Economics Taloustieteet University of Jyväskylä Jyväskylän yliopisto Haavisto, Ville School of Business and Economics Kauppakorkeakoulu Business and Economics Taloustieteet University of Jyväskylä Jyväskylän yliopisto
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description In today’s market, an organization’s ability to attract and retain skilled employees is becoming an increasingly valuable competitive advantage. As monetary compensation in competing organizations tends to be on a similar level, intrinsic factors like well-being and happiness at work have become crucial when employees consider where they want to work. Despite this, an organization’s ability to provide psychological well-being and happiness has seen little study compared to extrinsic reward systems. This study aims to recognize how organizations utilize intrinsic motivation through their reward systems and management practices. This is done in two parts: first, the organization’s efforts to increase intrinsic motivation are discussed with their representative. Afterwards, the effects of these efforts are discussed with employees. The discussions are based on self-determination theory’s three psychological needs of competence, autonomy and relatedness. For practicality, topics were centered around six types of rewards – four intrinsic (sense of meaningfulness, autonomy, sense of competence and sense of progress) and two extrinsic ones (tangible and verbal rewards). This research used a qualitative case study method and was conducted at Elisa, a Finnish telecommunications provider. The data was gathered using semi-structured thematic interviews, one with Elisa’s representative and four with store managers. Results show that Elisa’s efforts to enhance intrinsic motivation were moderately successful. The biggest contributor towards increased intrinsic motivation was the managerial autonomy support Elisa provided, which not only boosted perceived autonomy but also led to an enhanced sense of self-competence as it allowed store managers to independently face and overcome daily challenges at their work. Tangible rewards and performance measurement systems, in turn, received criticism and had neutral and negative implications on intrinsic motivation.
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As monetary compensation in competing organizations tends to be on a similar level, intrinsic factors like well-being and happiness at work have become crucial when employees consider where they want to work. Despite this, an organization\u2019s ability to provide psychological well-being and happiness has seen little study compared to extrinsic reward systems.\n This study aims to recognize how organizations utilize intrinsic motivation through their reward systems and management practices. This is done in two parts: first, the organization\u2019s efforts to increase intrinsic motivation are discussed with their representative. Afterwards, the effects of these efforts are discussed with employees. The discussions are based on self-determination theory\u2019s three psychological needs of competence, autonomy and relatedness. 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spellingShingle Haavisto, Ville How is intrinsic motivation utilized in incentive systems and management practices? : a case study in Finnish telecommunications provider intrinsic motivation intrinsic rewards Management and Leadership Johtaminen 20424 työmotivaatio palkitseminen motivointi work motivation rewarding motivation (activity)
title How is intrinsic motivation utilized in incentive systems and management practices? : a case study in Finnish telecommunications provider
title_full How is intrinsic motivation utilized in incentive systems and management practices? : a case study in Finnish telecommunications provider
title_fullStr How is intrinsic motivation utilized in incentive systems and management practices? : a case study in Finnish telecommunications provider How is intrinsic motivation utilized in incentive systems and management practices? : a case study in Finnish telecommunications provider
title_full_unstemmed How is intrinsic motivation utilized in incentive systems and management practices? : a case study in Finnish telecommunications provider How is intrinsic motivation utilized in incentive systems and management practices? : a case study in Finnish telecommunications provider
title_short How is intrinsic motivation utilized in incentive systems and management practices?
title_sort how is intrinsic motivation utilized in incentive systems and management practices a case study in finnish telecommunications provider
title_sub a case study in Finnish telecommunications provider
title_txtP How is intrinsic motivation utilized in incentive systems and management practices? : a case study in Finnish telecommunications provider
topic intrinsic motivation intrinsic rewards Management and Leadership Johtaminen 20424 työmotivaatio palkitseminen motivointi work motivation rewarding motivation (activity)
topic_facet 20424 Johtaminen Management and Leadership intrinsic motivation intrinsic rewards motivation (activity) motivointi palkitseminen rewarding työmotivaatio work motivation
url https://jyx.jyu.fi/handle/123456789/94191 http://www.urn.fi/URN:NBN:fi:jyu-202404082760
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