Identify the element of Directing that helps an employee to reach his/her full potential by offering them incentives.

Motivation

The correct answer is option (2)- Motivation.

Motivation is the element of Directing that helps an employee to reach his/her full potential by offering them incentives.

Motivation is the process of stimulating people to action to accomplish desired goals of organisation. It is an internal feeling of an individual and leads to goal directed behaviour. Motivation is mainly based on needs of individuals. It helps individuals and groups in the organisation for improved performance. Managers offer incentives to employees both financial and non financial. Financial incentives are monetary and may be in the form of salary, bonus, profit sharing, pension, etc. Non financial incentives provide social and psychological satisfaction. These include status, promotion, responsibility, job enrichment, job recognition, job security, employee participation, delegation, empowerment etc.

OTHER OPTIONS

• Supervision can be understood as the process of guiding the efforts of employees and other resources to accomplish the desired objectives. It is an element of direction. It can be understood as a process as well as the functions performed by supervisor (a position at operative level).

• Leadership is the process of influencing the behaviour of people by making them strive voluntarily towards achievement of organisational goals. Leadership tries to bring change in the behaviour of others.

• Communication is a process by which people create and share information with one another in order to reach common understanding.