Alderfer’s theory of motivation, sometimes also Three-factor theory or abbreviated ERG (Existence, Relatedness and Growth) is a theory dealing with the motivation of people. Theory of Motivation was published by Clayton Paul Alderfer as a further extension of Maslow’s pyramid of needs. He arranges the pyramid of human needs from specific needs to abstract needs into three basic stages:
- Existence - salary, job security
- Relatedness - friendships, relationships, common goals, recognition in the social network
- Growth - self-fulfillment at work and professional growth
Use of the Theory of Motivation in practice: Similar to Maslow’s pyramid of needs, the Alderfer’s theory uses employees in the organization,in the preparation or understanding of the motivational factors. By satisfaction of subsistence needs, the importance of relational needs increases and with their satisfaction, the importance of growth needs increases. On the other hand by dissatisfaction of growth needs, the importance of relational or existential needs increases. Alderfer says that there may therefore arise the situation of dissatisfaction with the amount of the salary that may have its reasons for dissatisfaction in relational or growth needs and it is necessary to search the real reasons of dissatisfaction.