Compensation and Mcclelland’s Achievement Motivation

Mcclelland’s achievement motivation theory was developed in 1961 based on Maslow’s theory developed in 1940 (Mindtools). This theory focuses on the idea that there are three main categories that drive an employee’s motivation. These three categories are Need for achievement, power, and affiliation. When we look at direct pay compensation, the need for achievement becomes very important. These people need direct raises or publicly receive credit to feel fulfilled. These people have the desire to win, be on top, and receive credit (McClellands).

When it comes to people that have the need for power there are two forms, institutional power which is guiding others, and there personal power which focuses on controlling others. These are forms of compensation besides direct compensation. These types of people need control over others and move up in company ranks to feel achieved.

The last of the three categories of motivation is the need for affiliation. These types of people prefer collaboration over competition and they feel accomplished and motivated when they belong to a group (McClelland’s). These types of people work better in teams, you can compensate these people by moving them around in groups and upgrading the level of importance on the tasks they’re expected to complete.

Regardless of gender, culture, age, we all have three motivating drivers for our needs. (Mindtools). Recognizing and understanding these three motivating factors is important when it comes to effectively compensate and motivating your employees.

Sources:

McClelland’s Human Motivation Theory – Discovering What Drives Members of Your Team (mindtools.com)

McClelland’s Achievement Motivation Theory | by Aleia Beecher | Medium

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