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Research on the Optimization of Employee Incentive Mechanism Based on the "Two Factor Theory" 

Tao Zhang 

Zhejiang University of Finance and Economics


Abstract:

In modern enterprise management, employee motivation is a crucial part that directly affects the performance, innovation capability, and sustainable development of the enterprise. Effective employee motivation can fully mobilize employees' work enthusiasm, initiative, and creativity, improve work efficiency, and enhance the core competitiveness of the enterprise. With the increasingly fierce market competition, talent has become a key resource for enterprise development. How to attract, retain, and motivate outstanding employees has become an important challenge for enterprise managers. The two factor theory provides an important theoretical basis for enterprises to construct a scientific and reasonable employee incentive mechanism, which helps enterprises to deeply understand the needs of employees, implement precise policies, and improve incentive effectiveness. In the current economic situation, enterprises are facing many challenges, such as rising costs, rapid market changes, and fierce competition for talent. Traditional incentive methods often focus on material incentives, neglecting the spiritual and career development needs of employees, making it difficult to effectively stimulate their intrinsic motivation. The dual factor theory emphasizes meeting the needs of employees from multiple dimensions, focusing not only on material health factors but also on spiritual motivational factors, providing new ideas and methods for innovative employee incentive mechanisms in enterprises. Therefore, in-depth research on the application of the dual factor theory in the construction of modern enterprise employee incentive mechanisms has important practical significance.


Key Words:

employee incentiv; mechanism; "Two Factor Theory"

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