Maximizing employee productivity has long been a major concern for organizational leaders. Read this short paper to uncover the benefits of self-determination theory when used in the workplace, ways leaders can support motivation in employees, and a surprising truth about the downside of rewards.

1. Self-Determination Theory
and Employee Motivation:
An Overview
by Jack McDaniel
A Business Issue
Quick Read
Workplace Productivity Self-Determination Theory
Theories Over the last 40 years, Edward Deci,
Maximizing employee productivity Richard Ryan, Daniel Pink, and many
has long been a major concern for others have shed new light on intrinsic
organizational leaders. In the early 1900s, motivation. Their work has led to and About the Author
Frederick Taylor introduced the theory supports Self-Determination Theory
Jack McDaniel, Lead Designer,
of Scientific Management: workers are (SDT).
AchieveGlobal
primarily motivated by pay, and the main Their research found that employees are
job of leaders is to set and enforce work In his role as Lead Designer,
intrinsically motivated to perform work-
standards. His theory, though flawed in related tasks efficiently and effectively. Jack evaluates market needs,
its oversimplification of motivational Thus, the task of leaders is to create and builds programs that are
dynamics, set the standard for rigorous conditions in the work environment pertinent and effective. Jack
workplace study. that are conducive to optimal employee graduated from the University
B.F. Skinner made an important motivation. of North Texas and works from
advancement in the middle of the 20th The key to SDT is recognizing that there AchieveGlobal’s Dallas office.
century with his concept of behaviorism, are two different types of motivation:
in which rewards motivate good behavior
and punishment discourages bad behavior. • Autonomous motivation – Doing a
Although recognizing what would become job because it is either intrinsically
the well-known “Hierarchy of Needs” put interesting or is consistent with the
forth by Abraham Maslow in the 1960s, employee’s deep and abiding personal
Skinner and his adherents maintained that values.
motivation originates exclusively outside
• Controlled motivation – Doing a job
of the employee, thus necessitating tight
because the employee feels pressured by
control of employee behavior from leaders.
external or internal forces to do it.
Maslow, Frederick Herzberg, and others
shifted the focus by showing that once Studies have shown that the type of
the lower orders of needs have been met motivation that employees have is more
(physiological needs like food, shelter, important than the amount of motivation
and safety), all people want to realize when predicting how they will perform and
their potential—a process Maslow called feel in the workplace.
“self-actualization.” Fulfilling these higher
One very controversial and important early
orders of needs relies upon the action of
finding of SDT research was that when
intrinsic motivators—those arising from
people are offered contingent monetary
within the employees themselves.
Developing the 21st
century workforce TM

2. rewards for doing activities they already find interesting, Internalizing Motivation
they lose intrinsic motivation for those activities. By 1999, Providing support for basic psychological need satisfaction
more than 120 studies confirmed that indeed there is strong also facilitates the process of internalization toward greater
evidence for the paradoxical negative effect of contingent autonomous motivation, which is associated with high-
extrinsic rewards on intrinsic motivation. quality behavioral persistence and performance—as well
as physical, psychological, and social wellness—in the
Are Rewards Harmful? workplace and other areas of life. However, employees
No, extrinsic rewards do not always undermine intrinsic
perform work-related tasks for a variety of reasons.
motivation and are, at times, appropriate. However, great
Some complete their daily tasks quite willingly and with
care should be given so they are not used to motivate or
experiences of interest, excitement, enjoyment, and
control behavior, thus achieving an unintentional negative
satisfaction, while others feel pressured or forced to do
effect. This occurs because extrinsic rewards have a strong
those tasks.
tendency to make employees dependent on the rewards.
And since research has shown that autonomous motivation How employees approach given tasks depends on many
is more likely than controlled motivation to promote factors. Importantly, leaders cannot force their employees
flexible thinking, high-quality learning, and problem to internalize their motivation. They can, however,
solving, employees are more effective and they experience contribute to their employees’ workplace success by
greater satisfaction at work when extrinsic rewards are providing an environment and facilitating certain behaviors
minimized in favor of fostering employees’ intrinsic that allow employees to satisfy their needs for competence,
motivation. relatedness, and autonomy, thus promoting optimal
motivation and functioning at work.
The Three Basic Psychological Needs
Examination of the research shows that when three basic For more information on self-determination theory and
and universal psychological needs are supported, employee workplace motivation, visit www.coachingredefined.com.
motivation and productivity rises. When these needs are
thwarted, healthy functioning plummets. This has broad
implications for the workplace. These three needs are:
• Competence – People’s experience of being effective and
mastering their social and physical environment.
• Relatedness – People’s experience of close, meaningful, and
mutually supportive connections with important others.
• Autonomy – People’s sense that their behavior is
volitional, performed willingly, reflectively self-endorsed,
and experienced as chosen. About AchieveGlobal
In the 21st century, the level of human skills will determine
Considerable empirical research indicates that employees organization success. AchieveGlobal provides exceptional
whose leaders provide support for competence, relatedness, development in interpersonal business skills, giving
and autonomy experience higher levels of well-being, trust companies the workforce they need for business results.
in the organization, engagement and satisfaction at work, Located in over 40 countries, we offer multi-language,
and performance in the workplace. learning-based solutions—globally, regionally, and locally.
World Headquarters
8875 Hidden River Parkway, Suite 400
Developing the 21st
Tampa, Florida 33637 USA
century workforceTM
Toll Free: 800.456.9390
www.achieveglobal.com
© 2011 AchieveGlobal, Inc. M01399 v. 1.0 (12/2011)