Question
Distinguish between ‘monetary’ and ‘non-monetary’ incentives.
Solution
Difference between Monetary and Non-monetary Incentives:
|
Basis of Difference 1. Measurement |
Monetary Incentives These can be measured in terms of money. |
Non-monetary Incentives These cannot be measured in terms of money. |
|
2. Suitability |
These are highly effective in case of workers. |
These are effective in case of managers. |
|
3. Level of Satisfaction |
These help in satisfying lower level needs (food, clothing and shelter). |
These help in satisfying higher level needs (esteem, status and self-actualisation). |
