CMA Foundation · Fundamentals of Business Economics and Management · Stewardship Theory and Agency Theory of Management
Which motivational factors are emphasised for managers in stewardship theory?
Stewardship theory emphasises intrinsic motivators for managers, such as recognition, growth, achievement and responsibility. Managers derive satisfaction from organisational success and from being trusted, rather than being driven only by monetary rewards, fear of penalties or opportunities for personal gain.
- AOnly monetary rewards and penalties
- BFear of dismissal and close supervision
- CRecognition, growth, achievement and responsibilityCorrect
- DOpportunities to maximise personal wealth through information asymmetry
Explanation
Stewardship theory stresses intrinsic motivators such as achievement, recognition, responsibility and growth. Money-only, fear-based and opportunistic motives describe the agency view.
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