Recommend a strategy that could improve the motivation of employees of NH. Justify your recommendation.

Mark scheme

Marking points from the official mark scheme (Oct/Nov 2020). The mark or mark type is shown in brackets.

1. Knowledge: Definition of motivation - It is the process of stimulating people to actions to accomplish goals.
2. Knowledge: Methods of motivation: Financial: Taylor and Scientific Management
3. Knowledge: Methods of motivation: Non-financial: Herzberg - job enrichment/enlargement; Maslow – hierarchy of needs; Mayo – teamwork, communication.
4. Knowledge: Explanation of MBO, targets and appraisal system
5. Knowledge: Centralising/decentralising decision making
6. Knowledge: More delegation, less control, more trust
7. Knowledge: Other possible methods - change contract conditions, pay more, training, more employee involvement in decision making
8. Application: Lack of communication e.g. not responding to employee letters
9. Application: Strict labour cost budgets
10. Application: Only trained for one job role
11. Application: Use made of Table 3 data as evidence of poor motivation
12. Application: Autocratic management in NH
13. Application: Centralised, tight control of managers re budgets, numbers, employees
14. Application: One way communication
15. Application: Detailed worksheets, lack of consultation/supervision time
16. Application: Reference to data in Table 2
17. Application: Human Resource Director and MBO
18. Application: Reduce high labour turnover and employee theft
19. Analysis: Strict labour cost budgets so no room for financial rewards currently
20. Analysis: Data indicates dissatisfaction and increasing lack of motivation as well as increasing costs
21. Analysis: MBO - advantages include more employee involvement, motivation increases, commitment to reaching targets, clear indications of what is required
22. Analysis: MBO - disadvantages include time consuming, targets too easy (underachievement) or too strict (demotivating), not flexible
23. Analysis: Decentralising advantages – flexible, motivating, employee involvement, decisions made closer to problems so more likely to be good
24. Analysis: Decentralising disadvantages - employees/managers may not have skills needed to make good decisions, cost of training, slow response, loss of clear overall objectives, rogue decisions
25. Analysis: Links between move to decentralising and trust/delegation and motivation
26. Analysis: Other strategies – pay more, full time contracts, trade union consultation, job enrichment and job enlargement with implications
27. Analysis: Effect of changes on labour turnover
28. Evaluation: Any change is major for NH so needs to be prepared and thought through. Jolin may be a big obstacle to change
29. Evaluation: Any change will be difficult as organisation culture is very fixed and formal
30. Evaluation: Different approaches may be appropriate for employees and managers – maybe MBO for managers, and higher pay, more consultation, less defined targets, control over small decisions for employees.
31. Evaluation: Data shows a change must be implemented
32. Evaluation: A recommended strategy with justification