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  1. 1. Motivation Motivation is the willingness to exert high levels of effort towards organizational goals, conditioned by the effort’s ability to satisfy some individual need. It is the relationship between needs, drives and incentives.
  2. 2. Theories of Motivation 1.Content theories :  Maslow’s Hierarchy of Needs.  Herzberg’s two- factor theory.  Alderfer’s ERG Theory.  McClelland’s theory of Needs.
  3. 3. Maslow’s Hierarchy of Needs This theory puts five human needs in a pyramid, depicting basic needs at the bottom. These needs are physiological, safety, social, esteem and self actualization needs. When the lower needs are satisfied, a person seeks to achieve higher needs.
  4. 4. Maslow’s Hierarchy of Needs  Lower order needs are physiological and safety needs. These needs are satisfied externally.  Higher order needs such as social, esteem, and self actualization are satisfied externally.
  5. 5. Herzberg’s two-factor theory.  Herzberg makes a distinction b/w factors that affect job satisfaction and factors that affect motivation.  Hygiene factors are the ones which will ensure that people will not be dissatisfied at work. e.g. Company policy, a good boss, salary, supervision.
  6. 6. Herzberg’s two-factor theory.  Motivating factors are different from hygiene factors.  Motivators are factors such as job challenge and independence to work which cannot be provided by the external environment… they are the characteristics of the job itself.
  7. 7. McGregor’s Theory X and Theory Y  Theory X believes that employees dislike work and responsibility, are lazy. They must be coerced to perform.  Theory Y believes that employees like to work, are creative, seek responsibility, and can exercise self- direction.
  8. 8. Mc Clelland’s theory of Needs  Need for Achievement – the individual has the drive to excel, strives to succeed.  Need for Power- the need to make sure that others behave in a way in which they would not have otherwise behaved.  Need for Affiliation – the desire for friendly and close interpersonal relationships.
  9. 9. Theories of Motivation 2. Process theories : Vroom’s Expectancy theory Equity theory
  10. 10. Expectancy Thoery This theory is based on three relationships- 1. Effort-performance relationship. 2. Performance-reward relationship. 3. Rewards-personal goals relationship.
  11. 11. Equity theory  This theory says that individuals compare their job inputs and outcomes with those of others.  The individual may perceive himself to be under-rewarded, over-rewarded or fairly rewarded.  The individual then makes an effort to eliminate any inequities.
  12. 12. Equity Theory  Distributive justice- perceived fairness of the amount and allocation of rewards among individuals.  Procedural justice – perceived fairness of the process used to determine the distribution of rewards.
  13. 13. Implications for Managers  Recognize individual differences.  Use Goals and Feedback.  Allow employees to participate in decisions that affect them.  Link Rewards to Performance.  Check the system for Equity.
  14. 14. How do Organizations Motivate people at work  Motivating Performance through Job Design  Motivating Performance through Goal Setting.
  15. 15. Job Design  Job Characteristics Model  Job Enlargement  Job Rotation  Job Enrichment  Quality of Worklife
  16. 16. Job Characteristics Model Core Job Characteristics- 1. Skill variety 2. Task identity 3. Task significance 4. Autonomy 5. Feedback MPS=(1+2+3)/3 *4*5
  17. 17. MBO  Consensus on key goals and objectives.  Sketch a plan of action.  Control of behaviour.  Periodic appraisal and reviews.
  18. 18. Goal Setting  Goals should be specific  Goals should be difficult and challenging  Goals must be owned and accepted  Goals must have a specific time frame  Goals must be measurable.
  19. 19. Implications for Managers  Recognize individual differences.  Use Goals and Feedback.  Allow employees to participate in decisions that affect them.  Link Rewards to Performance.  Check the system for Equity.