MINI PROJECT- 2 

For 
ORGANISATIONAL BEHAVIOR 
On 
MOTIVATION IN ORGANISATION 
Submitted to- 
Dr. Vijayshri Tewari 
Submitted by- 
Gokul KrishnanB 
IMB2018012 
 
Motivation 
Motivation  is  basically  the  desire  to  do  things..  It  is  a  major  element  in  setting  and  attaining 
goals—and  research  shows  that  you  can  influence  your  own  levels  of  motivation  and  self- 
control.  So  find out what you want, power through the pain period, and start being who you want 
to be. 
Motivation in workplace 
Most  employees  need  motivation  to  feel  enthusiastic  about  their  jobs  and  must  perform  well  . 
Some  employees  are  money  motivated  while  others  find  recognition  and  rewards  by  personally 
motivating.  Motivation  model  within  the  workplace  have  direct  impact  on  employee 
productivity.  Workers  who  are  motivated  and  are  more  excited  about  their  jobs  carry  out  their 
responsibilities to the best of their ability and production numbers to reflect the result. 
Motivation theories 
❖ Traditional Theories 
• Fear and Punishment Theory 
• Reward Theory 
• Carrot and Stick Theory 
❖ Modern Theories 
• Maslow’s Hierarchy needs 
• Herzberg hygiene theory 
• M.C.Greoger theory X and Y 
• Z theory 
• Vroom’s Expectancy theory 
• Three need theory 
 
Nestle 
Nestle was founded in 1866 by Henri Nestlé and today it is considered the world's biggest food 
and beverage company. Its sales at the end of 2005 were 91 billion, with a net profit of 8 bn. 
Nestle employee which is around 250,000 people from more than 70 countries and have factories 
or operations in almost every country in the world. 
Nestlé is one of the world’s leading health, nutrition and wellness companies which sell a wide 
variety of food and beverages. Nestlé believes that by motivating its employees it can increase 
sales, improve customer service and increase productivity without incurring costs and make 
employees more satisfied with their jobs. Nestlé’s motivation strategy includes financial 
motivators and non-financial motivators. 
FINANCIAL MOTIVATORS AT NESTLE 
Pay 
Nestlé have invested lot of research into what motivates their employees and have found that 
salary is not generally considered as the biggest motivator. Most of Nestlé’s employees have a 
normal salary and a variety of fringe benefits. Nestlé motivate their employees with a 
combination of non-financial rewards and performance-oriented payments. Nestlé pay their 
employees based only on their performance. Pay rises are based on performance evaluation and 
an annual salary. The department manager determines the percentage pay rise and if the business 
is not doing as well as expected then the pay increase will be low. Nestlé ensure their salaries are 
competitive by employing an outside research firm which keep track of the pay rates of 
competitors. 
 
Bonus scheme 
Nestlé have a bonus scheme for their employees. The level of bonus depends on whether the 
overall business achieves its profit goals. Having a bonus scheme can encourage employees to 
achieve certain goals. If the employees achieve their targets they receive a bonus payment and 
the company will have achieved its goal. For a bonus scheme to be effective, the targets and 
goals for the employees must be assigned clearly at the beginning, making sure employees are 
motivated to achieve the goals that the company has set. It is important targets are achievable 
otherwise employees may become disappointed. 
Fringe benefits 
Some Nestlé employees use a company car. Nestlé also offer their employees more 
superannuation whereby 5% of employees’ salaries are paid to Kiwisaver rather than the usual 
3%. Higher superannuation installments give the representatives security since it makes a store 
that representatives can get to when they resign so they will have cash when they never again 
work in the company or at the time of retirement from company. Another fringe benefit is that 
employees are given five weeks of annual leave when the legal minimum in New Zealand is four 
weeks. Five weeks leave makes employees feel important as they get longer than the minimum 
required. 
NON-FINANCIAL MOTIVATORS AT NESTLÉ 
Recognition 
Nestlé’s independent consultant, Hewitt’s, surveyed Nestlé employees and found that recognition 
was consistently the number one thing that stimulates employees. Nestlé train their managers to 
recognize their employees’ performance. The company rewards the employees by giving them 
with small gifts such as movie passes and vouchers. Fringe benefits such as company cars also 
motivate employees because it’s a form of recognition, employees feel like they are being 
noticed and valued. Nestlé believes recognition is actually one of the most tempting ways to 
motivate their employees. They do this through Employee of the Month award , giving attention 
in employees meeting to an employee’s job performance or recent achievement, and using and 
crediting employees s’ ideas when considering changes or new policies. 
Career opportunities 
In some Surveys conducted in company it was found employees rated career opportunities very 
highly. Nestlé arrange career plans for all their employees and then make sure they are followed 
through proper training, employees can learn new skills and are always challenged to grow 
within the organization and work better as both individuals and team members. Nestlé believes 
that giving employees the proper tools to achieve highly set expectations is of at most 
 
importance. They do this by training managers for new roles and help them to pay for graduate 
studies. 
Autonomy 
Nestlé promote a climate that motivates employees to show initiative and like to give employees 
the ability to make their own decisions. 
Maslows Need Hierarchy : NESTLE 
Physiological needs 
The basic physiological needs include the things that are vital for survival. Some examples of the 
physiological needs include: 
• Food 
• Water 
• Breathing 
• Homeostasis (Residence for employees) 
Safety needs or love and belongings 
• The Nestle Occupational Health and Safety Management System (NSMS) 
• The Major focus is on preventing accidents 
 
• To take steps and promote education against the road accident around the world 
• Behavior based safety program especially for employees 
• To provide Safety at Work Award to promote safety at work place 
• Provide Operational Safety, Health and Risk Management 
Social needs 
In Maslow’s hierarchy include things such as love, acceptance and belonging. At this level, the 
need for emotional relationships pushes human behavior. 
Some of the things that satisfy this need include: 
• Friendships 
• Romantic attachments 
• Family 
• Social groups 
Nestle launch Nestle program for employees which join the employees emotionally to the 
organization 
• Competitive pay 
• High-quality health care and benefit programs 
• Financial assistance at the time of illness, disability or death 
• Financial security assistance for retirement 
• Opportunities for learning and development 
• Work/Life benefits 
Esteem needs 
It is self-respect Nestle give honor in following ways 
• Career management center 
• Training and development program 
• Shared responsibilities b/w employees and manager 
Human Rights 
Nestle heavily supports the United Nations Global Compact’s two guiding principles on human 
rights. By this Nestle Supports and respects the protection of international human rights within 
its field of influence 
• Child labor 
• The Nestle Policy on the Environment underlines this commitment. Nestle also cohere to the 
International Chamber of Commerce (ICC) Business Charter for Sustainable 
 
Development. This authority requires the establishment of policies, programs and practices for 
conducting operations in an environmentally sound manner. 
Self-Actualization needs 
Maslow explained, referring to the need that people have to achieve to their full potential as 
human beings which Contributes to society. 
Conclusion 
Nestlé is one of the world's leading food companies and intends to remain so. Its fidelity to high 
quality market research ensures that it remains fully aware of changes in consumer tastes and 
preference. Through excellent product research and development channel ensures that it is well 
placed to meet the challenge of changes in consumer expectations. 
CADBURY SCHWEPPES 
Cadbury is one of the world’s leading confectionery brand which Provide variety of chocolates, 
gums and candies to different age groups of consumers. They employ more than 46,000 
employees across 60 countries. Background tells us that Cadburys was possessed by British 
provider . 
CADBURYS MOTIVATION 
"Individuals remain at Cadbury on the grounds that they believe they can develop by and by and 
professionally – being extended, offered new difficulties and finding the degree to have any kind 
of effect to the business. Both culture and business energize people – just as expressed in their 
company purpose: “working together to create brands people love”. Their fast-moving and 
demanding competitive environment as well as much-loved brands provides plenty of 
opportunities for people to grow and learn – applying their passions and contributing their 
original ideas 
 
Cadburys motivate their employees by providing opportunities’ for employees to grow within the 
business, Such as promotions into management and higher. They also like to make their 
employees feel involved in the running of the business by allowing them contribute their ideas in 
how they think the business and achieve more. 
MOTIVATION THEORY : CADBURY 
Cadburys keeps their employees motivated by the ability to move upwards in the company. They 
three stages in the management from... 
1. Early career- Those people who are new to the business, 
2. Mid-career- where they will become much higher and have more responsibility and a better 
package. 
3. Senior level -where they will be many employees under them and will be at higher positions in 
the organization. 
Cadburys employees are majorly motivated in the company by the opportunities to move up in 
the business. However these factors are emplace when working in Cadburys. 
Cadburys and Nestle both uses motivation theories to suit their business and their goals as nestle 
is more concerned about the work place motivation in the company as they providing various 
benefits to the employees. In my view both the companies are oriented towards employee 
motivation and work much better to develop abilities with all the factors from pay, job security’s 
and opportunities to move up in a business.