Assessing the Motivation of Employees at Coca-Cola Amatil

Table of Content

Coca-Cola Amatil aims to honor employees in just and competitory footings, the company achieved this by benchmarking their wage plans against other companies that perform good in the same industry ; local market informations is besides considered to guarantee the fight ( Coca-Cola Amatil 2013 ) . Wagess are made based on accomplishment made demonstrated by Cardinal Performance Indicators and behaviours displayed that co-ordinate with the company’s values.

Employees Share Plan ( ESP )Under the Employees Share Plan ( ESP ) , employees has the chance to give up to 3 % of their base pay to obtain the company’s portions. There is a party ( legal guardian ) who attains and controls the portion on behalf of the participants for their benefits. Over the vesting period, the employee parts to the ESP are considered as an disbursal and are held by the legal guardian. After two old ages, those corresponding portions will be vested and conferred to the participant ( Coca-Cola Amatil 2013, p. 82 ) .

This essay could be plagiarized. Get your custom essay
“Dirty Pretty Things” Acts of Desperation: The State of Being Desperate
128 writers

ready to help you now

Get original paper

Without paying upfront

The undermentioned graphs show the figure of employees that were entitled to take part in the ESP in the fiscal twelvemonth of 2013 and 2014. It besides demonstrates the figure of portions ( both vested and non-vested ) that were issued to the participants in the fiscal twelvemonth 2012 to 2014.Figure 1: Number of employees that participated in Coca-Cola Amatil’s Employee Share Plan during the fiscal old ages 2012 to 2014.

The Coca-Cola Amatil Limited besides provides its employees with non merely fiscal benefits, a scope of benefits in different facets. Coca-Cola Amatil shows flexibleness in work leave, up to 4 hebdomads of extra leave could be granted. Market salary reappraisal is done in regular footing, to measure if there is a demand to alter the current base wage. Furthermore, employees will be enabled to buy a assortment of merchandises utilizing their before-tax wage ( every bit known as salary packaging ) and will be granted extra novated rentals. Incentive plans are besides constructed to present employees based on public presentation ( Coca-Cola Amatil Career 2015 ) .

Employees are encouraged to fall in the Individual Development Plan where they have the chances to spread out the accomplishments and abilities that will further back up their current function. This includes Employee Assistance Program, External Study Assistance and Workplace Giving Program ( Coca-Cola Amatil Career 2015 )

TheoryUnder the anticipation theory, it is believed that there is a strong relationship between motive and an individual’s belief in accomplishing or deriving what one desires. Even though individuals’ ends differ from one and another, directors can actuate them by doing them believe that:

  • Sufficient sum of attempt would ensue in desirable public presentation (Anticipation)
  • An person who achieved a favourable public presentation will be rewarded (Instrumentality)
  • The wages is extremely valued (Valence) ( Fred, L 2011, p. 2 )

In other words, a person’s motive is associated with part and public presentation in footings of the 3 elements that the anticipation theory is composed of:

Anticipation The belief that addition in part would take to a better result. There is an premise where employees are provided with necessary resources and support in order to finish the undertakings.
Instrumentality Persons have to be cognizant of that they will have something valued if certain public presentation is achieved.

It is assumed that transparence and fairness take topographic point in finding the measure and the individual who deserves the wagess.

Valence This refers to the significance an single topographic points upon the expected wages in footings of its desirableness. This includes organisational wagess that an single values and finds appealing. ( Institute for Manufacturing 2014 )

Motivation is so generated along with the combination of the above constituents that encourages persons to do rational picks, with the belief that they will derive desirable results.Under the wage plans designed by Coca-Cola Amatil, employees are extremely motivated as they are clear that their public presentation are tied closely to the compensations available. This fulfilled the first constituent of the Expectancy theory, “Expectancy” .

Knowing that each single differs on accomplishments, cognition, Coca-Cola Amatil provides its employees with preparation and instruction to guarantee the employees have necessary resources and to further spread out their capableness in finishing the undertakings under the Individual Development Plans.

Second, the wages plans are designed to counterbalance the employees in just footings, which is aligned with the construct of ‘instrumentality’ in the Expectancy Theory. Transparency and equity are presented as employees are rewarded base on their degree of public presentation under the measuring of Key Performance Indicator ( Coca-Cola Amatil 2014 ) . For case, employee who has a higher accomplishment is entitled to give more of their base wage to obtain the company’s portions, with the chance to gain the dividends.The last constituent ‘valence’ has besides been taken into considerations.

Since the attraction each single discoveries in the wages differs, Coca-Cola Amatil establishes assorted wage plans to fulfill different individuals’ demands and desires. Apart from pecuniary wagess, employees are entitled to use for extra leave ; and benchmarking are carried out to guarantee competiveness and equity of the intervention Coca-Cola Amatil’s employees received. This allows employees to be satisfied non merely economically but besides emotionally while working under Coca-Cola Amatil, because they get treated with regard and their attempt are being appreciated.

One of the theories for motive is equity theory, which is a major preparation related to fiscal compensation, besides known as Adams’ Equity Theory. In this theory, employees do non have the compensation merely for their attempts, and besides what the others received with the relationship of the sum. Harmonizing to Ramlall ( 2004, p. 55 ) , this theory creates a tenseness, which can do the employees work hard and be cognizant of the instability in their outcome-input ratio compared to others so that they will be motivated to endeavor for what they want as equity and equity.

There are two constituents in this theory – input and result.

Input signals Results
Education, intelligence, experience, preparation Pay, intrinsic wagess, fulfilling supervising
Skills, senior status, age, sex, cultural background Seniority benefits, periphery benefits, occupation position
Social position, occupation attempt, personal visual aspect, wellness, spouse’s features. Status symbols, occupation fringe benefits, hapless working conditions, humdrum, destiny, uncertainness.

There are 3 chief premises which equity theory depends on ; first, people would anticipate to acquire a just and just compensation for what they contributed to their occupations ; 2nd, people will desire to compare what they are cognizant of to be the surrogate they have with their employees ; 3rd, people will hold motive to make something when they are cognizant of their ain wage is non just.

In between an employee’s capableness on the occupation and compensation an employee receives, there is a positive association that is most rendered in work organisations harmonizing to the construct of equity.As Coca-Cola Amatil’s purpose is to honor employees reasonably, this is related to equity theory because equity theory is based on equity every bit good. The employees in Coca-Cola Amatil are compensated based on the accomplishment they make, which wholly fulfill the equity theory. The employees are extremely motivated because Coca-Cola Amatil provides wage plans, which attract the employees and do them endeavor for what they perceive.

There are different sorts of wages plans created by Coca-Cola Amatil for different employees, so that they can take for compensation within their ain classs. In the average clip, there are tensenesss created which can supply motive in order for the employees to work harder to accomplish what they perceive as equity and equity.

The two factor theory, which are hygiene factors and incentives. These two sorts of factors affect motive and they do it in different ways:Hygiene factors are the factors whose absence motivates, but whose presence has no sensed consequence. They are things that when you take them off, people become disgruntled and act to acquire them back. ( Pardee 1990 ) For illustration, supervising, wage and personal life.

Hygiene Factors Motivational factors
Job security Training new staffs
Supervision Personal development
Personal life Challenging work
Insufficient safety in the workplace Recognitions
Compensation Duty
Salary Promotion

Incentives are the factors whose presence motivates.

They absence, does non do any peculiar dissatisfaction, it merely fails to actuate. ( Pardee 1990 )Table 3: Examples of Two-Factor Theory ( Herzberg )Base on Coca-Cola Company’s employee portion program, the hygiene factor is the employee has the chance to give no more than 3 % of their base pay to obtain the company’s portions.Two old ages after the portions were issued, in normal state of affairs, those corresponding portions will be conferred to the participant, along with the parts antecedently made. ( Coca-Cola Amatil 2014 ) Therefore, the employees’ can have their benefits from the portions.

Not merely the fiscal benefits for the employee, but besides for the benefits of Coca-Cola Company’s drinks. Employees can bask sole employee price reductions on alcoholic drinks and receive allowance for non-alcoholic drinks. They can besides be basking complimentary on-site Coca-Cola drinks. ( Coca-Cola Amatil 2014 )The incentives in Coca-Cola Company are they provide a plan called incentive plans.

This plan is constructed to present employees based on public presentation. ( Coca-Cola Amatil 2014 ) This plan can increase employees work efficiency and prosecute everyone in a good work public presentation. Employee Assistance Program besides promoting employee to fall in the Individual Development Plan where employees have the chances to spread out the accomplishments and abilities that will further back up their current function. ( Coca-Cola Amatil 2014 )

The nucleus thought of Maslow theory is hierarchies exist in people ‘s demands. For better development, the different degrees of person ‘s demands should be satisfied in changing grades. As the figure 2 shows this construct is visualized through diagram of pyramid. It can be divided into five parts.

Human beings starts with the desire for physiological demands including nutrient and H2O. Safety demands are the following one which should be met. It covers the sides about wellness, societal stableness and so on.They are both at the underside of the pyramid.

Based on these cardinal demands, people will quest for the feeling of belonging and the self-pride. The last one is related to the ego – realization at the top of the pyramid. After fulfilling the four lower demands, people will anticipate to better themselves. Therefore, they will set frontward high demand about the people and universe around them ( Alshallah 2003 ) .

In general, Maslow theory provinces that if people meet one degree of the demands, they will seek the higher satisfaction. This will go the motive to assist them make the ego – realization.In relation to our instance survey company – Coca Cola, it does good in moderately utilizing Maslow theory to motive its employees. There are two chief respects.

First, Coca Cola satisfy most of the basic person ‘s demands. For illustration, the most obvious motive of Coca Cola is pecuniary compensation.It pays wages to employees on clip to fulfill the physiological demands, because people can acquire nutrient or apparels through these money. In add-on, it besides provides the pensions benefits to guarantee people run into the wellness demands.

Another 1 is about the ego realization. To accomplish this intent is non really easy, but Coca Cola succeeds. As mentioned before, it sets the person development programs to offer more chances to assist employees better themselves ( Coca Cola Amatil 2014 ) . This action greatly boost their self-worth.

Employees have to be treated reasonably, so that they will cognize that they are needed in the company and willing to work hard for the company. Company should speak to the employees to happen out whether they are treated unfairness and explain to them they are all been treated the same. Besides that, demoing the employees how of import they are can besides assist in actuating them to work. Not merely that, company can besides alter the occupation demand in order to assist the employees win.

Owners can make and supply the employees’ need on engineering portion for them to answer on the system, so the industry attains an addition in net income and production. It provides employers and concern proprietors to widen their apprehension when it comes to pull offing their employees.

It does now merely intend the mere apprehension of what they have to make for the company but it is more about supplying them with the proper engineering and helps them heighten accomplishments and go more of an plus to the company than a liability.Last, to better implement ESP, measuring employees ‘ public presentations more efficaciously should be focused on.

Cite this page

Assessing the Motivation of Employees at Coca-Cola Amatil. (2016, Nov 26). Retrieved from

Remember! This essay was written by a student

You can get a custom paper by one of our expert writers

Order custom paper Without paying upfront