THE TWO-FACTOR THEORY AND WORKING TIME ARRANGEMENT

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1 Lucia MURÍNOVÁ Jan ŠINOVSKÝ THE TWO-FACTOR THEORY AND WORKING TIME ARRANGEMENT Rudolf HORÁK (recenzent) Abstract: This paper presents main principles of The two-factor theory also known as Herzberg's motivation-hygiene theory. It introduces alternative working time arrangements according to actual Slovak Labour Code and it describes their influences on employee s satisfaction and motivation. The aim of this paper is to suggest the motivating method based on adjustments of working time arrangement and main principles of Herzberg's motivation-hygiene theory. 1 INTRODUCTION Employment arrangements have been undergoing fundamental changes in recent years. The typical career paradigm was characterized by lifetime employment with a single employer, and moving up on job ladder. But this pattern is becoming less popular. On the other hand non-standard work arrangement are becoming more and more common because they enables organisation of labour resources more in line with the varying needs of customers. This leads to the fact, that the work time arrangement is adjusted only according to changes in market conditions and it doesn t consider employee s needs and preferences. However work time arrangement and approach of management to its adjustments has significant influence on employee s satisfaction and motivation. The employees motivation becomes important just now, during economic recession, because they feel betrayed, misled and they are also frightened of uncertainty. The management should find tools that will enable to keep key employees in spite of lower need of the labour force. The potential of highly qualified staff, particularly in a global recession, means comparative advantages for companies. [5] 2 THE TWO FACTOR THEORY Herzberg's motivation-hygiene theory says that there are certain factors in the workplace that cause job satisfaction, while a separate set of factors cause dissatisfaction. The main idea of Frederick Herzberg is that job satisfaction and job dissatisfaction act independently of each other. Herzberg says that the presence of one set of job characteristics or incentives lead to worker satisfaction at work, while another and separate set of job characteristics lead to dissatisfaction at work. This theory suggests that to improve job attitudes and productivity, administrators must recognize and attend to both sets of characteristics and not assume that an increase in satisfaction leads to decrease in dissatisfaction.

2 Two-factor theory distinguishes between: Motivators that give positive satisfaction, arising from intrinsic conditions of the job itself. Hygiene factors that do not give positive satisfaction, though dissatisfaction results from their absence. MOTIVATORS High level = Positive satisfaction Challenging work Recognition Achievement Responsibility Promotion Professional growth Low level = No satisfaction HYGIENE FACTORS High level = No dissatisfaction Company policy Supervision Relationship with boss and colleagues Work conditions Salary Security Low level = Dissatisfaction Table 1 Motivators and hygiene factors according to Herzberg s motivating theory, source: [Koubek] Thus, if management wishes to increase satisfaction on the job, it should be concerned with the nature of the work itself (the opportunities to achieve self realization, gaining status, assuming responsibility and so on). If, on the other hand, management wishes to reduce dissatisfaction, then it must focus on the job environment (policies, procedures, supervision, and working conditions). If management is concerned with both, then managers must give attention to both sets of job factors. [2, 3] 3 WORKING TIME ARRANGEMENT Working time arrangements are term used to describe a wide range of work styles and employment practices. They represent all kinds of employment which differ from the traditional 8 hours long day, the standard workweek, permanent contract or the traditional workplace. Working time arrangement is determined by legal framework. According to Slovak Labour Code management of the company has to made several decisions in a process of a determination working time arrangement. They have to make decision regarding the form of a labour law relation, the duration of a labour law relation, the working time per calendar year, the basic working time per day, the time account balancing period, the overtime work, the alternation of employees at the same workplace and the workplace. The labour law relations may be based also on employment contract or on agreements on work performed outside an employment relationship. Agreements on work performed outside an employment relationship are concluded in cases where an anticipated extent of work is lower than 40 hours per week. The notice period in this case is shorter too and employer doesn t have to pay social payments.

3 The labour law relation can be concluded on finite or infinite period. If it is concluded on finite period, the duration of employment relationship has to be defined explicitly in the employment contract or in the agreement. According to Labour Code maximum weekly working time of an employee is 40 hours. However agreed working time can be shorter than the maximum weekly working time. Employees with shorter weekly time and have the same rights and obligations as employees with maximum weekly working time. Management has right to decide that during particular time segment, all employees will be obliged to be present at the workplace. This interval is called a basic working time. Then has right to decide, if an accumulation of hours will be allowed. In dependence on time period, during which employee shall achieve the determined working time, are distinguished flexible working day, flexible working week and flexible four-week working period. The duration of a basic working time and the length of interval for working hours balancing determine the employee s opportunities to make interventions to own working schedule. The overtime work is the work performed by an employee above the set weekly working time. The Labour Code determines the maximum amount of overtime hours. The overtime work enables to process an extra workload. The management can define a manner of organizing working time in which employees alternate at the same workplace according to a certain schedule. It is also called shift work. It enables to provide non-stop operation. However it precludes balancing personal and work life of employees. An employee can perform work at home or at another agreed place. This type of work arrangement is called homework or telework. In this case employee arranges his/her working time by himself or herself. [6, 8] 4 INFLUENCES OF WORKING TIME ARRANGEMENT ON EMPLOYEE S MOTIVATION AND SATISFACTION According to two factors theory the form of working time arrangement determines hygiene factors and can have also motivating influence on employees. That s why it is considered as fundamental motivating tool of personal policies Work Life Balance (WLB) and Family Friendly Policy (FFP). [4] The most significant hygiene factors and motivators following from the form of working time arrangement are mentioned in table 02. The level of social security includes conditions of employment termination and the amount of obligatory payments to social and health insurance companies. The agreements on work performed outside an employment relationship offers lower level of social security to employee. The stability of employment is determined by the duration of employment relationship. The employment concluded on infinite period offers higher level of certainty.

4 The wage of employee is mainly dependent on the amount of working hours. In the case the working time of an employee is shorter than the maximum weekly working time; his / her wage will be lower also. Similarly overtime premium depends on hours of overtime work. The length of working day depends also on the amount of overtime work. Prolongation working day by overtime work can disturb personal life of employee and cause his/her dissatisfaction. The interval for working hours balancing and the length of basic working time determines the employee s ability to make interventions to own working schedule. In the case where employee has to alternate at the same workplace with someone else, the accumulation of working hours isn t possible. That s why shift work precludes balancing personal and work life of employees. Telework and homework enable to perform work in household of employee or at anther agreed place. It may contribute to elimination of some disturbing factors, creativity barriers and dissatisfaction reasons. The work from home means lower level of supervision, which may contribute to elimination of dissatisfaction too. On the other hand the majority of employees understand a possibility to work at home as the signal of trust and confidence. They feel more satisfied by more independent work styles. Employees working from home or another agreed place are often more productive. They follow set goals and expectations more willingly in the atmosphere which supports new initiatives. [7] MOTIVATORS High level = Positive satisfaction The ability to self-realization The ability to get promotion The ability to work despite own obstacles Position of trust and responsibility Low level = No satisfaction HYGIENE FACTORS High level = No dissatisfaction The level of social security Stability of employment Wage (or worked hours) Overtime premium (or hours of overtime) The length of working day (including overtime work) The interval for working hours balancing The length of basic working time The workplace and working conditions at the workplace The level of supervision Low level = Dissatisfaction Table 2 Motivators and hygiene factors of Working Time Arrangement, source: authors

5 The shorter weekly time allows persons with various personal obstacles participate in labor market. Common personal obstacles are the nursing someone from relatives, the taking care for children, the change of residence or studies. On the other hand shorter weekly time may be considered as limitation in self realization. From this point of view the overtime work offers the ability to self-realization and to get promotion. The management should consider that each employee is individual and perceives the same factor in different way. One can be satisfied and the other doesn t have to be. One can be motivated and the other doesn t have to be. The knowledge of employee s needs, characters and personal values is very important in motivating program. 5 THE MOTIVATING METHOD BASED ON ADJUSTMENTS OF WORKING TIME ARRANGEMENT The role of management is to increase the motivation of all people in company and orientate it to right direction. Only after that the vision and objectives of the company can be achieved. This intentional process of management can be called the motivating. [1] Working time arrangements have significant influence on employee s motivation and satisfaction. So they should be included into a company motivating program. The main idea of the suggested motivating method is based on adjustments of working time arrangement according to employee s needs and preferences. The motivating method based on adjustments of working time arrangement should consider following facts: - The management of the company should know personality and character of each employee. - The company should be open to adjustments of working time arrangement, if it is possible. - The adjustments of working time arrangements should be oriented on the dissatisfaction elimination and on the enhancement of satisfaction. - The suggested adjustments of working time arrangements should be feasible according to external and internal factors of the company strategic goals of the company, customers requirements, character of company, a financial situation and employee s abilities to work independently. - The suggested adjustments of working time arrangements should respect the teamwork in workgroups and in the whole company. - The management of the company should approach in same manner to all employees in process of selection and composition of a working time arrangement.

6 Figure 1 Graphical interpretation of Herzberg s algorithm, source: authors Algorithm of Herzberg's motivation-hygiene theory application in Managerial reality (figure1): - find out the values and attitudes of employees - identify the satisfaction level and reasons of dissatisfaction, feedforward - create the two factor matrix (figure 2) - recognise the possibilities of changes leading to dissatisfaction elimination resp. grow on satisfaction - realisation of the positive changes - feedback

7 Figure 2 The matrix of Herzberg s motivating theory, source: authors Figure 2 shows how the employees should be classified in the basic four categories according determining hygiene and motivation factors. When people occurs in the up-left corner, the situation is the worst possible. Than it s important to start with changes leading to hygiene satisfaction; and in the second phase the motivational factors should be improved. HYGIENE FACTORS - ALWAYS ON THE FIRST PLACE! 6 THE CONCLUSION The paper explains the importance of human resources and the knowledge on their values, needs and attitudes. The assessment of employee s satisfaction should be crucial for their motivation and company functions. The two factor theory seems to be a very useful tool when the Herzberg s algorithm is applied in the real world of management. Now, it s clear that the hygiene factors have nothing to do with the toothpaste and toothbrush use. They are connected to adjustment of working place, working environment, working time or company culture. The management should focus, firstly on the hygiene factors improvement, than on motivational factors to be effective in positive changes applied to satisfy the employees. REFERENCES [1] BLAŠKOVÁ, M.: Riadenie a rozvoj ľudského potenciálu. EDIS. Žilina ISBN [2] HERZBERG, F. One more time: How do you motivate employees? Harvard Business Review, vol. 46, http: [cite: ] [3] KOUBEK, J Rizení lidských zdroju. Praha: Managment Press, ISBN: [4] NĚMEC, O.: Typy prorodinné personální politiky WLB, FFP. In Sborník příspěvků z mezinárodní vědecké konference Svět práce v globalizované ekonomice. [online]. Vysoká škola ekonomická. Praha, ISBN [cit ]. Dostupné na: < politiky-nemec.pdf> [5] TOKARČÍKOVÁ, E. Meranie efektívneho využitia vysokokvalifikovaných zamestnancov. In "Vysoká škola jako facilitátor rozvoje společnosti a regionu"

8 sborník z VI. mezinárodní konference Kunovice: Evropský polytechnický institut, 2010, s. ISBN [6] TULEJOVÁ L., KUCHARČÍKOVÁ A.: Working time Arrangement options in Slovak republic. In Journal of Competitiveness. Univerzita Tomáše Bati ve Zlíně, Fakulta managementu a ekonomiky, ISSN X [7] VODÁK, J., KUCHARČÍKOVA, A. Efektivní vzdělávání zaměstnanců. Praha: Grada Publishing, a.s., ISBN [8] Zákon č. 311/2001 Z.z. Zákonník práce v znení neskorších predpisov 1 Lucia MURÍNOVÁ, Ing., Fakulta riadenia a informatiky, Žilinská univerzita. Vo svojej práci sa venuje analytickým metódam zameraných na posudzovanie správania sa zamestnancov a skúmanie faktorov ich motivácie a spokojnosti. Súčasne pracuje na vývoji efektívnych manažérskych nástrojov. Lucia MURÍNOVÁ, Ing., Faculty of Management and Informatics, University of Zilina. Her work deals with analytic coginitive methods assessing satisfaction and motivationr of employees and developing of effective mangerial tools. lucia.murinova@fri.uniza.sk adresa:univerzitná 8215/1, Žilina Jan ŠINOVSKÝ, Ing., Fakulta špeciálneho inžinierstva, Žilinská univerzita. Zaoberá sa problematikou posudzovania sociálnych rizík a využitím kvantitatívnych metód pre fázu identifikácie a analýzy. Jan ŠINOVSKÝ, Ing., Faculty of Special Engineering, University of Zilina. He deals with societal risk assessment and with using of quantitative methods of identification and analysis.

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