Introduction

Egg is the largest pure online bank in the world. It was set up in response to consumer demands for more flexible banking and has gained a reputation for innovation. Egg wants to make customer experiences better by 'unleashing the power of its people'. Motivated and happy employees will provide a first-rate service to customers, who will in turn be loyal to Egg and buy more, thus increasing shareholder value.

Motivation

Motivation is the art of getting people to do things because they want to or because they see some benefit. To help motivate its people Egg creates an environment where they can plan for themselves, work well with managers, enjoy their work and are rewarded for their efforts. They also feel empowered to create change. Egg refers to this as 'unleashing the power of people'.

Egg's approach is based on motivational theory, an area of business which is constantly being developed. The main theorist Egg uses is McClelland whose 'Three Social Motives' are:

• achievement - testing oneself against a standard of excellence and performing better.

• affiliation - maintaining close friendly relations.

• power - feeling or being seen as being influential.

Theory

The main traditional theorists are:

• FW Taylor's Scientific Management Theory - rewards for hard work but penalises laziness.

• Elton Mayo's Hawthorne Experiments - Mayo's subjects were motivated because someone took an interest in them and responded to responsibility, teamwork and good relations with management.

• AH Maslow's Hierarchy of Needs - workers need to reach different levels in order to remain motivated, ranging from survival and security, through social and status needs, to self-fulfilment or 'ambition achieved'.

• Douglas McGregor's Theory X and Theory Y - McGregor's Theory X is that workers come to work to do the job, ask no questions and receive their pay. With Theory Y he believed that workers are keen and want responsibility. He believed employers should treat workers as Theory Y, as they would then be more efficient.

• Frederick Herzberg's hygiene factors - some factors (like a clean working environment) did not motivate, but were de-motivators when missing.

In practice

Mayo's conclusions about teamwork and the psychological contract (the understanding between employees and managers) are particularly important at Egg. Egg places great emphasis on managers knowing their people. It balances the needs of the individual ('I want') against those of the business ('Egg wants').

'I want' is determined in discussion with managers. Each person has different aims and ambitions which motivate them and individual conversations identify these. Egg tries to meet those wants to 'unleash the power of people'. 'Egg wants' are expressed in clear targets. These are introduced in a further conversation where each team member talks about what s/he brings to Egg and how each can help the other achieve. A framework called 'Egg DNA' is followed and consists of a person's technical skills and knowledge, attitudes and other non-technical skills such as the ability to communicate.

Conclusion

Egg believes in motivating its people to achieve what both they and the organisation want - a 10/10 achievement.