Employee motivation, a core HRM function, directly impacts productivity and performance. By scientifically applying motivation theories and combining financial with non-financial incentives, firms can tailor policies to their development stage and workforce profile, thereby enhancing work enthusiasm, organizational commitment, and overall competitiveness. This study systematically reviews major motivation theories and their applications, finding that incentive effectiveness is moderated by organizational culture, leadership style, and individual differences, thus requiring continuous contextual optimization. It further delineates specific financial and nonfinancial incentive strategies, explores their differentiated use across enterprise types (e.g., startups, knowledge-intensive firms, and SOEs), and offers a forward-looking perspective on digital-era transformations such as remote work and AI-driven personalization. The findings provide both theoretical insights and actionable guidance for managers seeking to design sustainable and adaptive incentive systems.
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