Patagonia is one of the most attractive companies for employees to work with. The organization offers a lot to the employees, and the management has created such a working environment that every individual would love to work at Patagonia (Outside, 2011). The working environment of the company motivates the individuals to perform well. The company encourages employees to celebrate, and this helps in enhancing the motivation level of the employees.
The management encourages the participation and appreciates the efforts of the employees. Patagonia offers a complete lifestyle to the employees so that they can enjoy their work and their time at the workplace. The organization offers different activities for employees to enjoy and get relaxed including surfing or jogging or biking and others. By providing an organizational culture that promotes participation of employees, recognition of the efforts of the employees the management can motivate the employees (Outside, 2011).
The company uses a combination of intrinsic and extrinsic rewards to motivate the employees. The company encourages employees to take more responsibilities, and this is an example of intrinsic motivation. The company offers an exceptional working environment, and this is a prime example of extrinsic motivation. Maritz (2007) stated that non-financial rewards are more useful in motivating the employees. Therefore, the company uses a combination of financial and non-financial rewards as well as combination of extrinsic and intrinsic motivation to motivate the employees.
There are a number of challenges that Patagonia would face in keeping the employees motivated. The company has been trying to exceed the expectations of the employees. However, with increasing cost and as the retail industry is becoming highly competitive; it would be difficult for Patagonia to continue the same strategy. This strategy is increasing the cost of human resource by allowing them so much leisure time. So, one of the challenges for the company is to get more work from the employees to enhance its profitability; otherwise the company may have to follow the strategy of downsizing. This could create a negative impact, and it could hurt the motivation level of employees.
Maritz. (2007). Non-Cash Rewards Are Best for Performance Improvement. Retrieved April 9, 2014 from http://www.maritz.com/~/media/Files/MaritzDotCom/White%20Papers/Motivation/Non-Cash-Rewards-Are-Best-for-Peformance-Improvement.ashx
Outside. (2011). Patagonia. Retrieved April 9, 2014 from http://www.outsideonline.com/outdoor-adventure/best-jobs/38-Patagonia.html