Employee motivation is the level of energy, commitment and creativity that a company's workers apply to their work. In the increasingly competitive business environment of recent years, finding ways to motivate employees has become an urgent concern for many managers. In fact, several theories and methods of employee motivation have emerged, ranging from monetary incentives to increased engagement and empowerment. Employee motivation can sometimes be especially problematic for small businesses, where the owner has often spent so many years building a company that he finds it difficult to delegate significant responsibilities to others. But business owners should be aware of such pitfalls, as the effects of poor employee motivation on small businesses can be devastating. Some of the problems associated with unmotivated workers include complacency, declining morale, and widespread discouragement. If allowed to continue, these problems can reduce a small business's productivity, earnings and competitiveness. On the other hand, small businesses can also provide an ideal atmosphere to foster employee motivation, because employees are able to see the results of their contributions more immediately than in large companies. In addition to increasing productivity and competitiveness, a highly motivated workforce can allow a small business owner to relinquish day-to-day operational control and instead focus on long-term strategies to grow the company. ...... middle of paper ...... progress. Managers who recognize employees' "small victories," promote participatory environments, and treat employees with fairness and respect will find that their employees will be more highly motivated. Managers at one company brainstormed to come up with 30 powerful rewards that cost little or nothing to implement. The most effective rewards, such as letters of commendation and time off work, improve personal fulfillment and self-respect. In the long run, sincere praise and personal gestures are much more effective and cost-effective than monetary rewards alone. Ultimately, a program that combines monetary reward systems and satisfies intrinsic and self-fulfilling needs can be the most powerful employee motivator.