Motivation is the set of forces that cause people to behave in certain ways. Motivation is an important consideration of managers because it, along with ability and environmental factors, determines individual performance.

Content perspectives on motivation are concerned with what factor or factors cause motivation. Popular content theories include Maslow's need hierarchy and Herzberg's two-factor theory. Other important needs are the needs for achievement, affiliation, and power.

Process perspectives on motivation deal with how motivation occurs. Expectancy theory suggests that people are motivated to perform if they believe that their effort will result in high performance, that this performance will lead to rewards, and that the positive aspects of the outcomes outweigh the negative aspects. Equity theory is based on the premise that people are motivated to achieve and maintain social equity. Goal setting theory helps operationalize both expectancy and equity theory.

The reinforcement perspective focuses on how motivation is maintained. Its basic assumption is that behavior that results in rewarding consequences is likely to be repeated, whereas behavior resulting in negative consequences is less likely to be repeated. Reinforcement contingencies can be arranged in the form of positive reinforcement, avoidance, punishment, and extinction, and they can be provided on fixed-interval, variable-interval, fixed-ratio, or variable-ratio schedules.

Among the most popular motivational strategies today are empowerment and participation and alternative forms of work arrangements.

Organizational reward systems are the primary mechanisms managers have for managing motivation. Properly designed systems can improve attitudes, motivation, and behaviors. Effective reward systems must provide sufficient rewards on an equitable basis at the individual level. Contemporary reward systems include merit systems and various kinds of incentive systems.