In Kyukim’s blog, he talks about Samsung motivates employees by “threatening” the employees in South Korea. Samsung doesn’t reward their employees at all, instead they manipulate employees’ mind with the awareness of economic environment. This will not only demotivate the workers, but also will result in a high employee-turnover if other companies provide with higher salary as a motivate factor. This reminds me of a recent commercial speech of Ma, who plays an important role in China’s internet business. As we know, Ma established the first e-commerce company in China and also founded Alibaba, the largest retail trading platform around the world. In his speech, Alibaba used a totally different method from Samsung.

According to Ma’s speech, he mentioned that Alibaba group has already developed its own equity incentive system, after the development and research of Ma and other senior Ali, Ali group came up with an unique“restricted stock plan” to motivate his employees.

In the point view of organizational behaviour, it is obvious to see that Ma has applied an effective reward system into his company. According to chapter 5, it states that employer can motivate employees by rewarding them through several different variable-pay programs. Among these programs, employee stock ownership plan (ESOP) is quite similar to the incentive system in Alibaba. ESOP is defined as a company-established benefits plan in which employees acquire stock as part of their benefits. Stock options provides employees with the right to buy and sell their stocks in the company. In Alibaba, an employee shall be entitled to exercise for one year after he or she receives the restricted shareholding unit. And each of the restricted shares issued by the unit is divided into four years in place, granted 25% per year. Then the number of restricted shares held by employees will increase as a result of the annual bonus issue of new restricted shares. Ma used this kind of rolling increase rewarding system as a way to help companies retain employees since all the employees in Alibaba Group will always have a part of the options which haven’t been used. Moreover, this reward system will motivate employees to work harder since they will be more likely to think about the outcomes of their behaviour in the company. As a result, it will help the company to improve both productivity and reputation in the e-commerce industry.

In conclusion, different companies should use different motivation theories. Also, different employees also require different motivational factors.

Sources:

reward – Google Search. (n.d.). Retrieved from https://www.google.ca/search?q=reward&source=lnms&tbm=isch&sa=X&sqi=2&ved=0ahUKEwjSlvHNzfrSAhVPx2MKHaSTCoIQ_AUIBigB&biw=1440&bih=668#imgrc=m-Q418IKtYzVtM:

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