Herzberg’s Two-Factor Theory of Motivation

In 1959, Frederick Herzberg, a behavioural scientist proposed a two factor theory or the
motivator-hygiene theory. According to Herzberg, there are some job factors that result in
satisfaction while there are other job factors that prevent dissatisfaction. According to Herzberg,
the opposite of “Satisfaction” is “No satisfaction” and the opposite of “Dissatisfaction” is “No
Dissatisfaction”.
Herzberg classified these job factors into two categories-
Hygiene factors- Hygiene factors are those job factors which are essential for existence of
motivation at workplace. These do not lead to positive satisfaction for long-term. But if these
factors are absent / if these factors are non-existant at workplace, then they lead to
dissatisfaction. In other words, hygiene factors are those factors which when adequate/reasonable
in a job, pacify the employees and do not make them dissatisfied. These factors are extrinsic to
work. Hygiene factors are also called as dissatisfiers or maintenance factors as they are required
to avoid dissatisfaction. These factors describe the job environment/scenario. The hygiene
factors symbolized the physiological needs which the individuals wanted and expected to be
fulfilled. Hygiene factors include:
Motivational factors- According to Herzberg, the hygiene factors cannot be regarded as
motivators. The motivational factors yield positive satisfaction. These factors are inherent to
work. These factors motivate the employees for a superior performance. These factors are called
satisfiers. These are factors involved in performing the job. Employees find these factors
intrinsically rewarding. The motivators symbolized the psychological needs that were perceived
as an additional benefit. Motivational factors include:
Recognition - The employees should be praised and recognized for their accomplishments by the
managers.
Sense of achievement - The employees must have a sense of achievement. This depends on the
job. There must be a fruit of some sort in the job.
Growth and promotional opportunities - There must be growth and advancement Opportunities
in an organization to motivate the employees to perform well.
Responsibility - The employees must hold themselves responsible for the work. The managers
should give them ownership of the work. They should minimize control but retain accountability.
Meaningfulness of the work - The work itself should be meaningful, interesting and challenging
for the employee to perform and to get motivated.
McCLELLAND THEORY
The American psychologist David McClelland studied the way in which people satisfy their
needs. What motivates people and what motivators are learned? According to David McClelland,
people have motivating drivers that are directly linked to need regardless of age, gender, culture
or race. As a result of the McClelland Motivation Theory, David McClelland identified four
types of motivational need:
1. Need for achievement
2. Need for power
3. Need for affiliation
4. Need for avoidance
Need for achievement
Generally speaking, people want to accomplish something in life. This could mean starting a
large family for some and a well-paid job and an illustrious career for others. David
McClelland studied what drives people to achieve something.
them and how can they make a contribution to society? Upon completing his study, he
distinguished four characteristics that are consistent with the need for achievement: striving for
an average task complexity, responsibility for own performance, the need for feedback and the
use of innovation/creativity.
Need for power
People with a need for power, attach great value to status, reputation and recognition. They have
a need to be perceived as important and they have a need to direct and influence others.
According to David McClelland, this type of person enjoys competition and winning.
When this need is great, they will not be open to feedback. This need may consist of personal
power and of institutional power. Those who focus on personal power have the desire to have
control over others. Those who are focused on institutional power, like to organize the efforts of
more people to further the company’s goals.
Need for affiliation
People are a gregarious bunch and they want to belong to the group. When the need for
affiliation is high, they want to be liked and they will conform to the group’s behaviour and
wishes. In this case, they will favour cooperation over competition. Therefore, the need for
affiliation does not go well with the need for power.
Need for avoidance
This needs category was added later by David McClelland. When people do not wish to perform
at the forefront and prefer to avoid unpleasant situations, this need will surface. People have fear
of failure, fear of rejection and even fear of success. By avoiding situations that may trigger these
fears, they think to have found a safe solution.
McClelland Theory of Motivation: the Iceberg model
David McClelland developed the iceberg model using the McClelland Motivation Theory.
The Iceberg model of David McClelland looks at a person’s visible behaviour, knowledge and
skills and the underlying unexpressed and unconscious deeper layers.
In general, a person’s knowledge, skills and behaviour can be found above the waterline of the
iceberg. The central element is what they do. Below the waterline we find think and want, which
focus on abstract terms such as standards, values and beliefs, self-esteem, characteristics,
personality and motives. These four invisible layers could reinforce one another as motives.
However, they may also block the visible behaviour of the person in question,
Above the waterline
Anything above the waterline is powerful and tangible in which the focus is not on ‘what’ but on
‘how’. In an organization this can be translated into an organizational vision and strategy,
content, structure, finance and especially the result of work, working arrangements, training and
giving feedback. This will create a guideline for employees.
Below the waterline
Below the waterline things are much more abstract and they are fed by the undercurrent. It is
about the ever-present feeling without it being tangible. The relationships between people
(interaction), their feelings, their expressiveness, sense of purpose can all be found below the
waterline. The organizational culture is also created below the waterline. The events below the
waterline affect the events above the waterline. This is the reason why both levels must be taken
into consideration in change processes.
HOW TO APPLY HERTZBERG THEORY IN ENTREPRENEURIAL MOTIVATION
Achievement: Individuals who have a strong drive to set and accomplish goals, enjoy working
alone, are willing to take calculated risks and want to receive regular feedback on their
accomplishments and progress are often motivated by achievement in the workplace.
Recognition: Offering recognition and praise not only makes employees feel accomplished and
appreciated, but it also reinforces good performance and encourages employees to continue
repeating the actions that led to the performance. The more employee behavior is positively
recognized, the more likely they are to repeat these behaviors and remain motivated in the
workplace.
The work itself: Employees who believe that the work they are doing is important and that their
tasks are meaningful are more likely to be motivated to do well.
Job advancement opportunities: Ensuring employees understand a clear plan of progression
within their position in the workplace can instill motivation to work towards a promotion, which
can ultimately increase employee productivity.
Growth opportunities: Employees often feel more motivated at work when there are ample
opportunities for growth and professional development. Giving employees opportunities to
increase their skills and become more efficient in their positions instills a sense of
accomplishment and pride that acts as a strong motivator for employees.
Hygiene factors that can cause dissatisfaction include:
Relationship with peers: Encouraging camaraderie among team members can contribute to
greater job satisfaction. There should be no tolerance for harassment, and employees who are
disruptive or inappropriate should be disciplined appropriately or dismissed.
Company policies: This can cover initiatives to promote a healthy workplace, such as COVID-
19 protocols like mask wearing and social distancing.
Physical workspace: Some aspects of your physical working environment include whether
employees can work remotely and the actual location of the workspace. Other factors to consider
is the size of the working area and whether there is space to physically distance, plus facilities
like a gym and up-to-date equipment and furnishings.
Working conditions: This element includes the formal terms under which staff members are
hired, such as the rate of pay, contract of employment and length of the workday.
Salary: If employees believe they are not being paid fairly, they will be unhappy working for a
company. Companies should make sure the wages and benefits they offer are competitive within
their industry.
Status: The organization should maintain the status of all employees within the organization.
Performing meaningful work can provide a sense of status.
Security: Job security is very important to employees. They should feel like they are not always
under constant threat of being fired or let go.
Supervision: Over supervision and micromanagement is a common complaint in workplaces.
Employee should be given as much autonomy as possible.
HOW TO APPLY MCCLELLAND THEORY IN ENTREPRENEURIAL MOTIVATION
Employees who are strongly achievement-motivated are driven by the desire for mastery. They
prefer working on tasks of moderate difficulty in which outcomes are the result of their effort
rather than luck. They value receiving feedback on their work.
Employees who are strongly affiliation-motivated are driven by the desire to create and maintain
social relationships. They enjoy belonging to a group and want to feel loved and accepted. They
may not make effective managers because they may worry too much about how others will feel
about them.
Employees who are strongly power-motivated are driven by the desire to influence, teach, or
encourage others. They enjoy work and place a high value on discipline. However, they may take
a zero-sum approach to group work—for one person to win, or succeed, another must lose, or
fail. If channeled appropriately, though, this can positively support group goals and help others
in the group feel competent.
The acquired-needs theory doesn’t claim that people can be neatly categorized into one of three
types. Rather, it asserts that all people are motivated by all of these needs in varying degrees and
proportions. An individual’s balance of these needs forms a kind of profile that can be useful in
creating a tailored motivational paradigm for her. It is important to note that needs do not
necessarily correlate with competencies; it is possible for an employee to be strongly affiliation-
motivated, for example, but still be successful in a situation in which her affiliation needs are not
met.
McClelland proposes that those in top management positions generally have a high need for
power and a low need for affiliation. He also believes that although individuals with a need for
achievement can make good managers, they are not generally suited to being in top management
positions.
ENTREPRENEUR SELF ASSESSMENT TECHNIQUES
If you're starting or leading a company, it's beneficial to know yourself inside and out. Even
though you've been with yourself your whole life, it's hard to pinpoint your qualities. Assessing
yourself with professional self assessment tools can:
 Help you understand how you work best, so you can make appropriate changes.
 Help your employees understand what motivates and drives you.
 Help you recognize when you're in over your head and need help.
 Help you choose who to hire to recognize your strengths and weaknesses.
 See holes and spots where you need help.
There are tons of different assessments.
1. The Myers-Briggs Type Indicator
“The MBTI indicates your likely patterns in gathering information, making decisions, managing
your energy, and interacting with the outside world,” says Long. “If you learn about your
unconscious blind spots, energizers, and energy drainers, you can use this knowledge to gain an
edge over your competitors.”
But be warned: MBTI is just one evaluative instrument. “The danger of using just one tool and
getting just one opinion is that a person’s hard-wired personality is just one dimension of what a
successful entrepreneur would be,” advises Malcolm Munro of Total Career Mastery. “It’s a
good starting point, but without some advice around the results, it might mean some potential
superstar entrepreneurs may not pursue the career, and wannabes jump in and quickly fail.”
Munro’s advice? Seek a professional to help understand the 93-question MBTI self assessment
from an entrepreneurial standpoint.
2. Prevue HR Systems
Prevue HR Systems measures abilities such as learning speed plus interests, motivations, and
personality, says Nathaniel Barr, the company’s marketing coordinator. Companies such as
Honda and 3M have used Prevue to find and hire employees.
When it comes to budding entrepreneurs, the Prevue entrepreneur assessment “can give you an
idea of how you’ll respond, engage, and handle the stress of starting a business,” says Barr. And
as staffing your company becomes critical to growth, incorporating an assessment into your
hiring process can lead to smarter hiring decisions.
The Prevue team also believes its assessment may just improve the odds of a startup securing
venture capital. “We’re finding that one of the biggest challenges of entrepreneurs/start-ups is
getting venture capital or angel investors. Typically the area that receives the biggest scrutiny
from a VC is the team. If you can prove to a VC that you have objectively evaluated your team
in terms of their capabilities and fit, you’re more likely to receive funding,” Barr explains.
3. The Entrepreneur Equation
The Entrepreneur Equation is a New York Times bestselling book that provides “a bevy of
exercises and assessments to help you assess your personality vis-à-vis entrepreneurship, as well
as your mindset, timing and the particular opportunity,” says author Carol Roth. She has also put
together an interactive online quiz to see how your personality compares with the popular profile
of today's successful entrepreneurs.
Why are personality tests so important to an aspiring entrepreneur? “Sometimes it’s hard for
someone to see the forest through the trees. [Self assessments] help individuals get in touch with
what their core competencies are and how those may overlap with what’s needed to take on
running a business,” says Roth.
And while personality is involved in your success, it’s not the only defining factor. Timing
always plays a role, she says. “You may be averse to financial risk currently, but that’s
something you may be able to overcome if you saved up enough prior to opening a business. Not
all the characteristics are static.”
4. The StrengthsFinder 2.0 Assessment
The StrengthsFinder 2.0 assessment by New York Times bestselling author Tom Rath—who
leads Gallup’s workplace research and leadership consulting—identifies your top five talents and
provides strategies to apply your strengths. When you purchase the hardcover book, a bound
envelope gives you an access code to take the self assessment online.
Jason McClain, founder and CEO of McClain Concepts, has built and sold over a dozen
companies. He studied the book and discovered his strengths were “spot-on.” Turns out that
McClain’s strengths include Activator, Ideation, Strategic, Command, and Positivity, which
undoubtedly helped him build his companies.
Yet McClain knows that others have contributed to his success, so he uses StrengthsFinder 2.0 as
part of his hiring strategy by requiring candidates to take the assessment. He believes “hiring
people with different strengths creates a company with the ultimate corporate strength.”
5. The PAVF Assessment
The PAVF entrepreneur self assessment, a proprietary personality tool administered by Career
Coaching International, describes “how you are wired,” says Tim Ragan, a principal at CCI.
Each letter stands for one of four personality types or groupings; P = Producer, A = Analyzer,
V= Visionary and F = Friend. Ragan highlights the fact that PAVF results incorporate work
related terminology. “We use terms such as ’producer‘ and ’visionary,’ which most people
understand. Other tests use more esoteric descriptors such as ‘sensing’ and ‘judging.’”
Another benefit of PAVF is the straightforward results: a lay person can interpret how they fit in
with their co-workers. Ragan observes, “It‘s not just about your personality, but how your
personality meshes with the rest of the team and company.”
Ragan also cautions against using one test to determine one’s fate. “It’s an approximation… It’s
useful for starting good conversations about how people like/want to work, and why they may be
having issues with their careers, bosses, work teams.” He reminds entrepreneurs that there isn’t
one “right” personality for a small business owner.
6. Teamability
Teamability focuses on roles and measures how people will connect with others. “Team spirit is
no longer a mystery,” says CEO Dr. Janice Presser, who created the product with Dr. Jack
Gerber at The Gabriel Institute.
Their proprietary self assessment reveals “how people will perform when working with others to
solve problems, overcome obstacles, and achieve common goals,” Dr. Presser notes.
“Teamability reports are positive. They will tell you the way in which you will best contribute.”
Survey-based tests don’t always directly measure what happens when someone is involved in a
team activity. “This is why Teamability offers a valuable perspective on individual work
style preferences, job satisfaction, and also on the structure and development of teams. It gives
specific, actionable information to managers, helping them align job responsibilities with a
person's best mode of team contribution.” The basic Teamability course is online and is free,
including an individual report.
7. Professional Dynametric Programs
Professional Dynametric Programs (PDP) is the primary tool used by the strategic consultants at
Vision Alignment to coach executives in leadership development, communication style and
hiring practices. According to Patty Azar, chief strategy officer of Vision Alignment, “This
survey not only tells them who they are, but also how they must act to drive success. It shows
them the impact of not being their authentic selves and the toll it can take professionally and
personally.”
Azar echoes the sentiment of the other consultants. “No decision should be made based on only
one tool.” Azar also cautions against entrepreneur self assessments which empathize your short-
comings in an effort to get you to try to overcome them. “People should build and work based
upon their strengths – NOT based upon overcoming their weaknesses.”
8. The FourSight Thinking Profile
The FourSight Thinking Profile deals with your problem-solving and innovation style, says
Susan Robertson, an innovation consultant and principal of Ideas To Go. Robertson says there
are 4 phases necessary for successful problem-solving: Clarify the problem, Ideate potential
solutions, Develop the chosen idea, and Implement the action — and each of us has a preference
for one or more of these phases. “Understanding your preferences will help you avoid the
pitfalls of potentially spending too much time and attention on the phases you prefer and short-
changing the other necessary elements that may not come naturally to you.”
Robertson stresses how best to use self assessments and interpret the results. “My philosophy
would be that you should use them as tools to help guide you in how you approach
entrepreneurship, so that you do it as effectively as possible and so you're aware when you may
need to confer with someone who has different strengths. You should never let these assessments
dictate what you can or cannot do.”
9. Smart Work Assessments' Self-Employment Profile
Smart Work Assessments’ Self-Employment Profile is a personality assessment that provides
insight on how your characteristics influence your success in an entrepreneurial career, says
Douglas Garner, partner at Smart Work. It includes a complete self assessment of the key
characteristics that most influence entrepreneurial success and then recommends your unique
self-employed career strategy.
Some of the distinguishing characteristics highly correlated with entrepreneurial success include:
one’s inherent need for structure and systems, interest in learning, managing rejection, and
prospecting. The Smart Work Self-Employment Profile “recommends your unique self-
employed career strategy and development plan by ranking inherent characteristics against the
requirements of the four major self-employed career options: agent/representative,
consulting/contract, small business and franchises.” For example, if you are a person who craves
and thrives in a structured environment, owning a franchise may be a good fit. On the other hand,
if structure feels stifling and constricting to you, then operating a franchise will feel limiting and
frustrating to you.
Self Assessments for Entrepreneurs
Personality self assessments may not be a crystal ball, but they do provide profound insights into
who you are as an entrepreneur and as a person. The results from assessments will equip you
with tools to grow, strengths to develop, and direction when considering a change in your career
path. And best yet, they can even help you answer that nagging question, “Is entrepreneurship
right for me?”