Transcript Slide 1

Motivation
© 2012 Cengage Learning. All Rights Reserved.
May not be scanned, copied or duplicated, or
posted to a publicly accessible website, in whole
or in part.
Relationship between Motivation and
Engagement, and Performance
 Motivation alone does not lead to high productivity
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and performance.
P = M x A ( P is performance, M is motivation, and A
is ability).
Skill and technology contribute to ability.
Engagement is level of commitment workers make to
their employer.
Commitment enhances performance.
© 2012 Cengage Learning. All Rights Reserved.
May not be scanned, copied or duplicated, or
posted to a publicly accessible website, in whole
or in part.
Motivation through Need Satisfaction
 People expend effort toward goal because it satisfies
one or more important needs.
 A need is a deficit within an individual.
 Self-interest is a driving force, referred to as “What’s
in it for me?” or WIIFM.
 Need theory is incorporated into many explanations
of motivation, including the classic ones of Maslow
and Herzberg.
© 2012 Cengage Learning. All Rights Reserved.
May not be scanned, copied or duplicated, or
posted to a publicly accessible website, in whole
or in part.
Maslow’s Need Hierarchy
 Arranges needs into pyramid-shaped model with
basic physiological needs at bottom and selfactualization at top.
 Lower-order needs are deficiency needs, and higher
order needs are growth needs.
 People seek to satisfy needs at one level before
moving on, in this order: physiological safety
social esteem self-actualization.
© 2012 Cengage Learning. All Rights Reserved.
May not be scanned, copied or duplicated, or
posted to a publicly accessible website, in whole
or in part.
Maslow’s Need Hierarchy, continued
 Maslow’s need hierarchy recognized importance of
satisfying worker needs for motivation.
 Helps explain that it is normal to be constantly
searching for new satisfactions.
 Need hierarchy relevant in current era because so
many workers have to worry about satisfying lowerlevel needs.
© 2012 Cengage Learning. All Rights Reserved.
May not be scanned, copied or duplicated, or
posted to a publicly accessible website, in whole
or in part.
Specific Needs People Attempt to Satisfy
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Achievement, power, and affiliation (explains much
of job behavior)
Recognition (workplace provides natural
opportunity for attaining recognition)
Need to be proud (stems from needs for selfesteem and self-fulfillment)
Risk taking and thrill seeking (grown in importance
in high-technology era)
© 2012 Cengage Learning. All Rights Reserved.
May not be scanned, copied or duplicated, or
posted to a publicly accessible website, in whole
or in part.
Specific Needs People Attempt to Satisfy,
continued
5. Four drives or needs hardwired into our brains
(extent of satisfaction influences our emotions and
behavior):
a. Acquire scarce goods
b. Bond with people and organizations.
c. Comprehend or make sense of our corner of the
world
d. Defend ourselves, people we care about, and our
ideas from external threats.
© 2012 Cengage Learning. All Rights Reserved.
May not be scanned, copied or duplicated, or
posted to a publicly accessible website, in whole
or in part.
Herzberg’s Two-Factor Theory
 Job factors that satisfy and motivate people are
different from those that prevent dissatisfaction.
 Satisfier is job factor that if present leads to
satisfaction. Similarly, a motivator leads to
motivation.
 Internal aspects of job tend to be satisfiers and
motivators.
 Dissatisfiers or hygiene factors are noticed primarily
by their absence.
© 2012 Cengage Learning. All Rights Reserved.
May not be scanned, copied or duplicated, or
posted to a publicly accessible website, in whole
or in part.
Herzberg’s Two-Factor Theory, continued
 Prompted managers to ask what really motivates
workers, yet not entirely true.
 Theory glosses over individual differences and may
overstate the case for people’s interest in work.
 Some people are motivated and satisfied by hygiene
factors such as job security and pleasant working
conditions.
 Benefits play major role in attracting and retaining
some employees.
© 2012 Cengage Learning. All Rights Reserved.
May not be scanned, copied or duplicated, or
posted to a publicly accessible website, in whole
or in part.
Motivation through Goal Setting
 Goal setting plays important role in most
motivational programs and managerial methods of
motivating employees.
 Goal theory states that behavior is regulated by
values and goals.
 Goal is overall condition one is trying to achieve, or
conscious intention to act.
 Key findings about goals presented next.
© 2012 Cengage Learning. All Rights Reserved.
May not be scanned, copied or duplicated, or
posted to a publicly accessible website, in whole
or in part.
Motivation through Goal Setting, continued
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Specific goals lead to higher performance than do
generalized goals.
Performance generally increases in direct
proportion to goal difficulty.
For goals to improve performance, employee must
accept them.
Goals are more important when they are used to
evaluate performance.
© 2012 Cengage Learning. All Rights Reserved.
May not be scanned, copied or duplicated, or
posted to a publicly accessible website, in whole
or in part.
Motivation through Goal Setting, continued
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Goals should be linked to feedback and rewards.
Group goal setting is as important as individual
goal setting.
Pygmalion effect states that people live up to
expectations set for them.
A key problem with goals is that workers might
use unethical means to attain them. (Method of
attainment counts.)
© 2012 Cengage Learning. All Rights Reserved.
May not be scanned, copied or duplicated, or
posted to a publicly accessible website, in whole
or in part.
Positive Reinforcement and Recognition
Programs
 Behavior modification changes behavior by
rewarding right responses and punishing or ignoring
wrong response.
 Positive reinforcement increases probability that
behavior will be repeated by rewarding people for
right response.
 Positive reinforcement is the most effective behavior
modification strategy.
© 2012 Cengage Learning. All Rights Reserved.
May not be scanned, copied or duplicated, or
posted to a publicly accessible website, in whole
or in part.
Rules for Application of Positive
Reinforcement
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State clearly what behavior will lead to a reward,
and supply ample feedback.
Use appropriate (effective) rewards.
Make rewards contingent on good performance.
Administer rewards intermittently.
Administer rewards promptly.
© 2012 Cengage Learning. All Rights Reserved.
May not be scanned, copied or duplicated, or
posted to a publicly accessible website, in whole
or in part.
Rules for Application of Positive
Reinforcement, continued
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Change rewards periodically (reward repeated too
often becomes stale).
Make the rewards visible (seen by others and
noticeable to recipient).
Reward the team as well as individuals.
Positive reinforcement has long history of
improving productivity on job including control of
absenteeism.
© 2012 Cengage Learning. All Rights Reserved.
May not be scanned, copied or duplicated, or
posted to a publicly accessible website, in whole
or in part.
Recognition and Reward Programs
 Recognition programs are popular for employee
retention.
 More sophisticated programs attempt to link
recognition awards to performance and behavior tied
to corporate objectives.
 Recognition rewards sometimes used as substitutes
for salary increases, bonuses.
 Teams should also receive recognition.
© 2012 Cengage Learning. All Rights Reserved.
May not be scanned, copied or duplicated, or
posted to a publicly accessible website, in whole
or in part.
Informal Recognition Including Praise
 Praising workers for good performance is major type
of informal recognition.
 Praise should describe performance rather than
merely making an evaluation.
 Individualized praise better than generic.
 Praise does not cost money or much time, yet most
workers feel they do not receive enough praise.
© 2012 Cengage Learning. All Rights Reserved.
May not be scanned, copied or duplicated, or
posted to a publicly accessible website, in whole
or in part.
Cross-Cultural Differences in Needs and
Suitable Recognition Awards
 Person’s culture can influence which needs are
strongest, and the most effective motivational
approach to him or her.
 Cultural differences are helpful but should be
supplemented by observations at work.
 One cross-cultural difference is that Americans favor
gift certificates.
 Standard of living can influence effectiveness of
given recognition award.
© 2012 Cengage Learning. All Rights Reserved.
May not be scanned, copied or duplicated, or
posted to a publicly accessible website, in whole
or in part.
Basic Model of Expectancy Theory
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Motivated behavior occurs when:
Person believes effort will lead to favorable
performance (E O)
Person believes performance will lead to a
favorable outcome (P O)
Outcome or reward satisfies an important need.
Need satisfaction intense enough.
© 2012 Cengage Learning. All Rights Reserved.
May not be scanned, copied or duplicated, or
posted to a publicly accessible website, in whole
or in part.
Basic Model of Expectancy Theory, continued
 Expectancies and instrumentalities are subjective
hunches, ranging from 0.0 to 1.0.
 Valences range (in version presented here) from 100 to +100.
 In most work situations there are several possible
outcomes with different valences attached to them.
(Example is positive and negative aspects of
promotion.)
© 2012 Cengage Learning. All Rights Reserved.
May not be scanned, copied or duplicated, or
posted to a publicly accessible website, in whole
or in part.
Implications for Management (of
Expectancy Theory)
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Take into account individual differences.
Help workers feel they are making progress
toward their goals.
Tie rewards to worthwhile actions.
Give employees appropriate training and
encouragement.
Show that performance leads to rewards.
Explain the meaning of outcomes.
© 2012 Cengage Learning. All Rights Reserved.
May not be scanned, copied or duplicated, or
posted to a publicly accessible website, in whole
or in part.
Linking Pay to Performance Including
Bonuses
 Financial incentives more effective when linked to
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good performance.
Merit pay links pay to performance.
Granting lump sums rather than percentage
increases can be more fair.
Current trend is to link pay to performance that
reflects business strategy.
Pay for performance helps recognize, motivate, and
retain best employees.
© 2012 Cengage Learning. All Rights Reserved.
May not be scanned, copied or duplicated, or
posted to a publicly accessible website, in whole
or in part.
Profit Sharing and Gainsharing
 Profit sharing gives workers supplemental income
based on profitability of firm or a selected unit.
(Motivation is therefore high to improve profits.)
 Gainsharing allows employees to participate
financially in gains they have achieved.
 Gainsharing includes employee idea submission, and
cooperation to improve productivity.
© 2012 Cengage Learning. All Rights Reserved.
May not be scanned, copied or duplicated, or
posted to a publicly accessible website, in whole
or in part.
Employee Stock Ownership and Stock
Option Plans
 Possible to motivate workers by making them part-
owners of the business through stock ownership.
 Under employee stock ownership plan (ESOP) all
employees given stock.
 Stock options enable employees to purchase
company stock at specified price at sometime in
future. Many backdating scandals associated with
options.
© 2012 Cengage Learning. All Rights Reserved.
May not be scanned, copied or duplicated, or
posted to a publicly accessible website, in whole
or in part.
Problems Associated with Financial
Incentives
 Workers might not agree with managers about their
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level of contribution.
Individuals are pitted against the group.
Perhaps business executive siphon off too much
money for themselves.
Focus on compensation detracts from joy in
accomplishment.
Financial rewards may not lead to lasting
commitment.
© 2012 Cengage Learning. All Rights Reserved.
May not be scanned, copied or duplicated, or
posted to a publicly accessible website, in whole
or in part.