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  • 1. MOTIVATIONContents –1. Concept of motivation2. .Characteristics of motivation3. Outline the motivation process4. Motives5. Types of Motivation6. Theories of motivationConcept of Motivation –―Motivation‖ is derived from a Latin word movere, meaning ―to move‖. Human motivesare internalized goals within individuals. Motivation may be defined as those forces thatcause people to behave in certain ways.Motivation is a psychological processes that arouse and direct our behavior towardsgoals. MOTIVATION IS THAT PROCESS THROUGH WHICH THE LATENTCAPABILITY OF ALL THE PEOPLE WORKING AT EVERY LEVEL OF THEORGANISATION CAN BE UTILISED FOR THE SUCCESSFUL ATTAINMENT OFOBJECTIVE.Determination to work does not mean the same as motivation. "Will Power" will notwork over a lengthy period of time. You can force yourself on occasion, but there aredefinite limits to the success of such an approachIt has two components Direction - making choices, where you direct your energies Intensity - how much energy you have toward that motiveMotivation is a process of arousing, sustaining and regulating a pattern of activity .DefinitionBuchanan defines motivation as follows:"Motivation is a decision-making process, through which the individual chooses thedesired outcomes and sets in motion the behaviour appropriate to them".Fred LuthansMotivation is a process which begins with a physiological or psychological need ordeficiency which triggers behaviour or a drive that is aimed at a goal or an incentive.Dalton E. Mc Farland,Motivation refers to the way in which urges, drives, desires, aspirations, strivings, orneeds, direct, control or explains the behaviour of human beings.Prepared By Mrs Neha Rathi Faculty of KKPIMS Page 1
  • 2. Koontz and O’Donnell statedMotivation is a general term applying to the entire class of drives, desires, needs,wishes, and similar forces.DubinMotivation to the complex of forces starting and keeping a person at work in anorganization. Motivation starts and maintains an activity along a prescribed line.Characteristics Motivation is something that makes the person to action and continues him in thecourse of action already initiated. These definitions show that motivation has followingcharacteristics- 1- Personal and Internal Feeling Motivation is a psychological phenomenon, which is generated within an individual in the form of an energetic force that drives him to behave or not to behave in certain ways. These are some environmental and other forces that trigger these drives. 2- Art of Stimulating Someone Or Oneself A manager can use motivation to inspire not only his subordinates, but to motivate himself also. For self-motivation, he has to take following steps He should set a goal for himself and should not close sight of it. He should supplement his long term objectives with short-term goals. He should learn a challenging task every year. He should make his job a different one with a view to improving objectives for his position and increasing his productivity. He should develop an area of expertise by building on his strengths and developing his weaknesses into strengths. He should give himself the feedback and reward himself by celebrating his accomplishment.3. Produces Goal – Directed BehaviourMotivation is closely intertwined with behaviour. As a Behavioral concept, it directshuman behaviour toward certain goals.4. Motivation can be either Positive or NegativePrepared By Mrs Neha Rathi Faculty of KKPIMS Page 2
  • 3. Positive motivation is also known as Carrot Approach and includes use of additionalpays, incentives, praise possibility of becoming a permanent employee etc. Negativemotivation is also called Stick Approach and implies punishment, such as reprimands,threat of demotion, threat of termination, etc. 5 The Central Problem of Motivation is HOW Motivation is necessary for successful achievement of goals. However, it is a complex process because different employees have different needs, their motives are varied and needs and motivates change from time to time. Moreover, motivation is partly logical and partly emotional. Further, people satisfy their needs in many different ways. Hence, the central problem of motivation is how to inspire such a typical group of individuals towards attainment of goals in a concerned manner. 6- Motivation is System Oriented Motivation is the result of interplay among three sets of different factors: Influences operating within an individual, for example, his needs, tensions, motives, values, goals etc. Influences operating within the organisation for example, its structure, technology, physical facilities, various processes, the nature of job, advancement avenues etc. Forces operating in the external environment, for example, society is culture, norms, values, customs, government policy regarding the business of the enterprise etc. 7- Motivation is a Sort of Bargaining In documents from the side of the enterprise and contributions from the side of the employees. 8- Motivation is different from Satisfaction Motivation refers to the drive and effort to satisfy a want or goal. Satisfaction refers to the contentment experienced when a want is fulfilled. In other words, motivation implies a drive toward an outcome and satisfaction is the outcome already experienced.Process of MotivationMotivation can be said to be the consequence of an interaction between the individualand the situation. Motivation is not an individual trait. Thus, it would be improper to referto an employee not performing his job as lazy. He may not be performing well probablybecause he is not motivated enough. Every person differs in this basic motivationalPrepared By Mrs Neha Rathi Faculty of KKPIMS Page 3
  • 4. drive. For example, there could be a college student who very studious and anotherclassmate of his who loves fun. The studious student since he is highly motivated tostudy hard is always looking forward to pore over many academic related books with alot of enthusiasm. While the other fun loving classmate of his may simply not beinterested in even touching those books unless forced to do so. But this same fun lovingstudent is seen, actively been involved in organising the colleges ManagementFestival with unmatched enthusiasm. This once again reiterates the fact that eachindividual has got a unique motivational drive.Defining motivation is not easy. However, a simple and comprehensive definition ofmotivation is attempted. Motivation is a process which begins with a physiological orpsychological need or deficiency which triggers behaviour or a drive that is aimed at agoal or an incentive. (Fred Luthans, Organisational Behavior 1989) A simple way ofdepicting a motivational process will be: NEEDS DRIVES GOALS Figure 7.1: A simple model of motivational processThis raises the question as to what are needs, drives and incentives.A need is created whenever there is a psychological imbalance. It can be defined as afeeling of deficiency for something and the human being tries to get it removed.A drive or a motive is set up to alleviate those needs. And an incentive is somethingthat will alleviate a need and reduce a drive.The Goals is mentioned at the end of the motivation process because it restores thephysiological and psychological balance and reduces or offsets the drive.Prepared By Mrs Neha Rathi Faculty of KKPIMS Page 4
  • 5. Motivation is ―the processes that account for an individual‘s intensity, direction, andpersistence of effort toward attaining a goal.‖The three key elements of our definition are intensity, direction, and persistence: Intensity is concerned with how hard a person tries. This is the element most of us focus on when we talk about motivation. Direction is the orientation that benefits the organization. Persistence is a measure of how long a person can maintain his/her effort. Motivated individuals stay with a task long enough to achieve their goal.MotivesBuchanan defines motives as:"Learned influences on human behaviour that lead us to pursue particular goalsbecause they are valued" .Motivation can therefore be thought of as the degree to whichan individual wants AND chooses to engage in certain behaviors.Types of Motives - Motive Primary Secondary GeneralPrimary motives- • Primary motives are innate/not learned and it is physiologically based. • Based on biological needs necessary for individual or species survival: • Food, drink, warmth, sleep, sex etc. • Controlled by Homeostatic MechanismsPrepared By Mrs Neha Rathi Faculty of KKPIMS Page 5
  • 6. • Biological mechanisms that detect imbalances in essential internal elements. • Stimulate us to restore the critical balance.Secondary motives- • They are most important in the organizational context. • These are motives which are learned over time. • Power, achievement and affiliation are important secondary motives.General Motives- • General motives are neither purely primary nor purely secondary, but rather in between. • It is not purely learned and also not has physiological basis. • While primary motives induce an individual to reduce the tension within him/her, general motive stimulate tension within an individual. • Also called stimulus motive. • For ex. Curiosity, , manipulation, motive to remain active and to display affection.Types of Motivation1 Financial & Non FinancialFinancial Motivation : Financial motivators relate to money or any other benefits thatcan be converted or expressed into monetary unit. In the present day context, moneyhas become a means to satisfy the physical needs. It is an instrument of obtainingsocial position and power. Thus, money became a basic incentive for individuals.Wages, salaries, allowances, bonus, financial incentives, commission etc. are financialmotivators.These financial motivators motivate individuals to join the organisations. The financialpackage should motivate the present and prospective employees.Non Financial Motivations: General hypothesis is that financial incentives motivateemployees for higher work. However, individuals have variety of needs that they want tosatisfy while working in the organisations. People attach more importance to socio-Prepared By Mrs Neha Rathi Faculty of KKPIMS Page 6
  • 7. psychological needs that cannot be satisfied by money alone at higher level ofmanagerial hierarchy. Thus management provides non-financial incentives to motivatepeople in the organisation in addition to the financial incentives. However, the emphasisof nonfinancial incentives is to provide psychological and emotional satisfaction ratherthan financial satisfaction.For example, receiving promotion in the organisation gives psychological satisfaction.Some important non-financial incentives include: status, promotion, responsibility,recognition, job security, etc.2 Intrinsic & ExtrinsicIntrinsic Motivation:Sometimes we pursue an activity as an activity as an end in itself simply because it isenjoyable, not because ant external reward is attached to it. this type of motivation isknown as intrinsic motivation. • Behavior performed for its own sake because it is enjoyable and rewarding. • Motivation comes from performing the work. • A child reads several books each week because reading is fun.Extrinsic Motivation:On the other hand, when we engage in activities not because they are enjoyable, but inorder to gain some external reward or to avoid some undesirable consequence, we arepulled by extrinsic motivation. • Behavior performed to acquire rewards (external). • Motivation source is the consequence of an action. • A child reads two books each week to avoid losing television privileges.3 Positive motivation & Negative motivationPositive motivation-  A driving force towards some object or condition. i.e. a person may be impelled toward a restaurant to fulfill his hunger need. • Positive drives can be referred as needs, wants or desires. • it is referred to as an approach object.Prepared By Mrs Neha Rathi Faculty of KKPIMS Page 7
  • 8. Negative motivation  A driving force away from some object or condition. i.e. A person may away from motorcycle transportation to fulfill a safety need • Negative drives referred as fears and aversions. • it is referred as avoidance object.4-Rational & EmotionalRational –Rational motives are based on greatest utility criteria. it implies that consumers electgoals based on totally objective criteria i.e. Size, weight, price, or miles per gallon.Emotional-Emotional motives implies the selection of goals according to personal or subjectivecriteria i.e. The desire for individuality ,pride, fear, affection, status.Theories of MotivationMotivation has been ever challenging to the managers and even to leaders who areresponsible to bring commitment of their followers towards common tasks. Motivatingrequires understanding human nature and designing strategies for getting the workdone. In this direction, a number of motivation theories have been advanced. Let uslearn them in detail.CONTENT THEORIES- • They represent a foundation from which process theories have grown • Reflect a content perspective • Try to list specific things that motivate behavior • Specific things that motivate behaviorPROCESS THEORIES • Focus on how motivated behavior occurs • Explain how people go about satisfying their needs • how they evaluate their satisfaction after they have attained their goals.Content Theories – 1- Maslow’s Need Hierarchy Theory Abraham Harold Maslow advocated the theory of motivation based on various needs. Maslow identified five distinct categories of needs. He arranged these needs into a hierarchy, and stated that individuals wish to satisfy particular need to a moderate extent, and then tries to satisfy the next need in the hierarchy. Maslow identified human needs into five distinct categories. They are arranged in the order of their importance forming a hierarchy.Prepared By Mrs Neha Rathi Faculty of KKPIMS Page 8
  • 9. Higher-Order NeedsNeeds that are satisfiedinternally; social, esteem,and self-actualization needs. 1) Physiological Needs: Basic and primary needs required for human existence are physiological needs. They relate to biological and are required for preservation of basic human life. These needs are identified to the human organ in the body. They are finite needs. They must be satisfied repeatedly until human beings die. They are not associated with money alone. They are hunger, thirst, sleep, shelter, sex, and other bodily needs. The proposition relating to the basic needs is that they are primary motivators to any individual and once they are satisfied, they no longer motivate. The next level need becomes important for satisfaction until the basic need is dormant. Provision of adequate monetary rewards to satisfy these needs motivate employees in organisations. 2) Safety Needs: Individuals seek protection from natural environment, biological danger, economic deprivation and emotional threat from other beings and animals. For this purpose, he wishes security for himself. The protection may be in the form of seeking a shelter and forming into primary groups to combat threat from the natural beings. The motivational proposition are that the safety needs dominate as soon as physiological needs are satisfied, and after individual seeks to satisfy fairly the security needs they do not motivate him. In order to motivate employees, organisations provide fringe benefits, health and accident insurance, housing loans, etc. 3) Social Needs: Basically individual is a social being. He cannot live in isolation and silence. Thus, he intends to establish relationship with other human beings and some times wish to rear animals. Social needs emerge from the basic urge of individuals to associate, belong with others, make friendship, make companionship, desire to be accepted by others and seek affection. These needs are secondary in nature. nThe propositions relating to social needs are that these needs are satisfied by symbolic behaviour and through physic and psychic contact with others in the society. They are substantially infinite and exist until the end of human life. Organisations should provide scope for formation of informal groups, encourage working in teams, and provide scope Prepared By Mrs Neha Rathi Faculty of KKPIMS Page 9
  • 10. for interpersonal communication, interpersonal relationships and interpersonalunderstanding to motivate employees.4) Esteem Needs: Maslow believes that people seek growth. They have natural desireto be identified and respected by others. This instinct is called as esteem. Esteemneeds are associated with self-esteem and esteem from others. The need for power,self respect, autonomy, self confidence, achievement, recognition of competence,knowledge, desire to have freedom, status and secure attention of others, appreciationare some of the esteem needs individual wishes to satisfy. Maslow identified them, ashigher order needs. The nature of esteem needs is that they are dormant until basic,security and social needs are fairly satisfied. Satisfaction of esteem needs produce afeeling of self-confidence, strength, capability and adequacy in the individuals.5) Self-actualization Needs: Self-actualization is transformation of perception anddream into reality. Individuals have inner potential to do some thing different fromothers. Realising the full inner potential, one wishes to become what he is capable ofbecoming. Attaining to the level of fulfilment of selfactualization needs is a difficult taskas individuals are not clear about their inner potentials until an opportunity is perceived.Moreover these needs change with a change in human life. The intensity of selfactualization changes over life cycle, vary from person to person and environment.The following propositions are made about the motivation of individuals based on theMaslow hierarchy of needs.i) Five needs are classified into lower order needs and higher order needs. Whilephysiological, safety and security needs are lower order needs, esteem and selfactualization needs are higher order needs.ii) Lower order needs are satisfied externally and higher needs are satisfied internally.iii) Individuals start satisfying lower order needs first and proceed to satisfy higher orderneeds later.iv) No need is fully satisfied during the life period of individuals. A need substantiallysatisfied no longer motivates.v) A need when substantially satisfied produces satisfaction and it becomes dormant.Immediately the next level need becomes active. So Individual is continuouslymotivated to satisfy unsatisfied needs. So, motivation is a continuous process.vi) Satisfaction of lower order needs does not produce contentment. In fact, theyproduce discontentment to satisfy other needs.vii) Not all individuals have the same priority to satisfy the needs. Priorities differ fromcountry to country and from situation to situation.Prepared By Mrs Neha Rathi Faculty of KKPIMS Page 10
  • 11. viii) Individuals are aggressive in the satisfaction of basic needs and unconsciousnessdemands the satisfaction. However, they use social consciousness in the satisfaction ofother needs.Maslow‘s need hierarchy theory of motivation was considered logical and simple tounderstand human motivation. The theory has received attention of practicing managersas they feel that identification of needs of employees provides an insight to motivatethem. This theory suggested that giving same reward more than individuals‘ desire willhave diminishing marginal utility. This has specific significance to the practicingmanager. 2- Two Factor TheoryIn the late 1950s, Frederick Herzberg and his associates conducted a study of the jobattitudes of 200 engineers and accountants. Herzberg placed responses in one of 16categories: the factors on the right side of the figure were consistently related to jobsatisfaction; those on the left side to job dissatisfaction. From this research, Herzbergconcluded that job dissatisfaction and job satisfaction arose from two separate sets offactors. This theory was termed the two factor theory.―Hygiene‖ factors- The job context factors that are environmental centered. Includedsalary, working conditions, and company policy – all of which affected the context inwhich work was conducted. The most important of these factors is company policy,which many individuals judge to be a major cause of inefficiency and ineffectiveness.Positive ratings for these factors did not lead to job satisfaction but merely to theabsence of dissatisfaction.Motivating factors- Internal factors that relate to job content. Include achievement,recognition, responsibility, and advancement – all related to the job content and therewards of work performance.Herzberg‘s work was influential in the growth of job enrichment programs. This morecomplicated model of needs – whereby both satisfiers and dissatisfiers can be presentfor a person – underscores how important it is that managers understand differencesbetween human beings when designing motivational approaches. For evidence of howneeds vary among people and over time, talk to your classmates, friends, colleagues atwork, and professors about satisfiers and dissatisfiers in their lives and then do it againa year from now.Similarities and Distinctions between Maslows’ Need Hierarchy and Herzberg’sTwo Factors TheoriesMaslow‘s theory of need hierarchy and Herzberg‘s two-factors theories are similar anddissimilar in certain respects. Similarities: The following points of similarities are observed in both theories.Nature of Motivation: Maslow and Herzberg‘s theories have identified that motivationis a process and it results in to performance.Prepared By Mrs Neha Rathi Faculty of KKPIMS Page 11
  • 12. Human Needs: Both the theories have considered the totality of needs. Herzbergconsidered certain needs as motivators. Maslow considered the same needs as esteemand self-actualization.Behaviour: Both theories have considered that needs determine motivation andmotivation determines the behaviour of individuals. Distinction between Maslow’s and Hergberg’s Theories Differences Maslow’s Need Hierarchy Herzberg’s Two Factors Theory Nature Descriptive PrescriptiveArrangement of Sequential arrangement No sequential arrangement Needs Classification Higher order and Lower Order Hygiene and Motivators needs Relationship Unsatisfied need causes behaviour S a t i s f i e d need causes and behaviour causes performance performance Motivation. Satisfied need is not a motivator Higher order needs are motivatorsFinancial factors Pay and financial benefits are Financial benefits are not motivators. motivators Applicability Macro view and applicable to Considers micro view general motivation. and applicable to work motivation sRelevance All individuals White collar and professional workersBoth the theories of motivation provide a basic framework for understanding humanmotivation. The theories are relevant in work group settings. However, the theories havenot considered individual differences..Theory X, Theory Y and Theory ZDouglas McGregor is the pioneer of theory X and theory Y. He explains the pre-dispositions or attitudes toward people in organisations. These theories explain thenature of human beings and the relevant motivational style of the leader to put them intoaction for the purpose of realisation of organisational objectives. Theory X is theconventional approach to understand motivation. It is based on traditional assumptionsabout the nature of people.Prepared By Mrs Neha Rathi Faculty of KKPIMS Page 12
  • 13. The theory, explains that management is responsible for providing facilities to themembers of the organisation; direct them to get the work done with active intervention.This is because average human beings are indolent, prefers to avoid responsibility andresists changes and he wants to be led by others.Hence, without intervention of management, people would be passive and indifferenttowards organisational goals. This theory explains that money, fringe benefits, threatsand punishment motivate people. The theory states that traditional division of work,specialisation, strict rules and regulations, multi-layered communication systemdevelops the organisation structure. This results in communication blocks, distortionsand negative morale of the people.Theory Z has received considerable attention as a theory of motivation in the recentyears. It has originated from Japanese management philosophy. Japanesemanagement is characterized by the optimum use of human energy. Some othernotable features of Japanese organisations are : increase in productivity, lower rates ofabsenteeism and turnover and high degree of organisational commitment. WilliamOuchi and Alfred Jaeger have propounded the theory.Some specific characteristics of theory Z are as follows:i) Selection, Compensation and Promotions: Selection of employees is considerablyfor a long time. The sources of selections are schools, institutions and otherorganisations. People of all ages are selected. Selections are based on job relatedformal education and specialised skills. Promotions are based on the productivityperformance.ii) Organisation Structure: The organisation structure is hierarchical. It emphasizes onmoderate job specialisaton and decentralization, job enlargement, quality circles andmatrix form of organisation. Organisations are built around groups.iii) Decision-Making: Decision making is less centralized. Emphasis is on the informaland consensus opinion. Verbal communication is encouraged. Written communication isused only to verify execution of decisions.iv) Management Systems: Management tries to harmonies individual andorganisational goals to achieve a high degree of goal congruence. Employees areconsidered as valuable assets. Employees show inherent liking to work and supervisionis remote. Self-controls are exercised.v) Employee Relationships: High concern is shown to employee and his welfare.Relationships are paternalistic type. Employment is lifetime. Joint problem solving isfollowed by employer and employee.vi) Human Resources Development: Potential skills are recognized. Job enlargementand career planning are given due emphasis. Organisational socialization, technicaltraining, research and development are given priority.Prepared By Mrs Neha Rathi Faculty of KKPIMS Page 13
  • 14. ERG TheoryClayton Alderfer propounded ERG theory of motivation. The theory is an out growth ofMaslow and Herzberg‘s motivation theories. ERG theory is based on the concepts ofexistence needs, related needs and growth needs used in the model. The modelassumes the following assumptions.Assumptions• Needs are classified into distinct categories.• Basic distinction exists between lower and higher order needs.• Needs proceed on a continuum rather than a hierarchy.• Poorly satisfied need is more desired.• Desire for satisfaction of higher order needs arise after lower level needs are satisfied.• Motivation arises out of need frustration.• More than one need motivate an individual.The ERG theory has identified the needs into following three categories.i) Existence Needs: Existence needs relate to the basic survival of human beings.They are similar to the physiological and safety needs suggested by Maslow. Monetaryrewards, working conditions, job security, incentives are some of the examples ofexistence needs.ii) Related Needs: individual has a natural desire to develop social relationships. Hewishes to belong with others and develop friendship and warmth relationships. He givesimportance to interpersonal belongingness. He wants to identify and get recognition forhimself. These needs are related needs. These needs are similar to social and esteemneeds enunciated by Maslow.iii) Growth Needs: Individual has an intrinsic desire to grow in organisational careerand in his personal life. He wishes to grow beyond his potential and learn new skills andcapabilities. These are growth needs. They are similar to self-actualization needssuggested by Maslow.According to ERG theory, all the three needs may operate simultaneously. The theorypropounded a new dimension known as ‗frustration regression‘. Accordingly, a persontries to satisfy a lower order need, if he is frustrated with satisfaction of a higher orderneed. Therefore, unsatisfied higher order need brings back to lower order need. Thus,The concept of need satisfaction arising out of frustration is the basic concept of ERGtheory.The theory made the following propositions:• Individual intends to satisfy a need, when he feels deprived of satisfying it. Therefore,deprivation is motivation.• Needs are not satisfied in an order as suggested by Maslow. For example, anemployee may have strong desire to occupy a higher position because of his higherqualification, even before he satisfied basic needs.Prepared By Mrs Neha Rathi Faculty of KKPIMS Page 14
  • 15. • Two relationships are important to understand motivation. One is relationship betweensatisfaction and motivation and the second is the relationship between frustration andmotivation. An example makes this clear. Giving promotion motivates an employee whohas been deprived of promotion. This is motivation from frustration. Having promoted,employee will be motivated towards unsatisfied need. As such he works hard to realizehis potential to get the next promotion.ERG theory is applicable to work motivation. The theory has been considered workableand realistic. This approach provides a clear understanding of human behaviour byrecognizing individual differences. The theory lacks adequate empirical researchsupport. It was questioned on the universal applicability.McClelland Theory of NeedDavid C McClelland advocated achievement motivation theory. It is also known, asthree needs theory.i) Need for Achievement: It is the desire to excel, to achieve in relation to a set ofstandards. According to the theory, certain people have inner urge to succeed and dosomething different from others. This is achievement goal. Thus, employees possessingan inner desire to achieve derive satisfaction from achieving goals. Therefore,challenging goals become motivators. People with high need for achievement are highachievers. The characteristics of high achievers are as follows:• Monetary rewards do not motivate high achievers.• High achievers create situations in which they can attain personal responsibility forfinding solutions to problems.• They always set moderately challenging goals in order to prevent dissatisfaction. Atthe same time, they are not satisfied with easy tasks.• High achievers do not depend on chance. They assume responsibility.• They are willing to work independently. They wish to establish relationship betweentheir effort and success.• They always wish to overcome the difficulties by themselves.According to McClelland need for achievement does not spring from individualsinternally. It can be developed and learnt.ii) Need for Power: Certain people derive satisfaction by exercising control over others.They believe that they have ability to control others. They desire that means to achievegoals should be related to the exercise of power. The individuals with high need forpower prefer competitive and status oriented situations.iii) Need for Affiliation: It is the desire for friendly and close interpersonal relationships.McClelland suggested that need for affiliation is based on the concept of belongingnessneeds advocated by Maslow.Prepared By Mrs Neha Rathi Faculty of KKPIMS Page 15
  • 16. Affiliation oriented individual‘s exhibit high preferences towards inter-personalrelationships, establish psychological contact with others and crave for socialacceptance. They always strive for friendship and prefer cooperative situations. Theydesire relationships involving high degree of mutual understanding.Therefore, the theory states that a relationship oriented climate, inter personalunderstanding and inter personal communication develops motivation. Some of thepropositions of the theory derived from experimental research can be stated as follows:• High achievers will be strongly motivated when they find the job offering personalresponsibility, feedback and moderate degree of risk in achieving goals.• High achievement motivation leads to success in entrepreneurial careers. They aresuccessful in running their own business.• Managers with high achievement needs are not successful managers in largeorganisations. They are best suited to perform the jobs independently.According to McClelland, the two essential ingredients of managerial success,especially at the higher levels in an organisation are emotional maturity and ademocratic coaching style of managers.• Need for affiliation and need for power is closely related. Successful managerspossess high need for power and low need for affiliation.• High power motive is a requirement for managerial success.• As individuals climb higher in the hierarchy, their need for power increases.• Training can stimulate achievement need in employees.• Individuals are motivated to succeed, and this motivation stems from achievement orpower needs.Thus, it is important for an individual to believe that his effort will result in successfulperformance which brings reward. Achievement motivation theory propounded byMcClelland has been considered as more practicable theory than Maslow andHerzberg‘s theories. The concept of overlapping needs has significance fororganizations in designing motivational strategies. Similarly recognizing thatachievement needs could be created through training has brought new dimension inmanagerial motivation.Prepared By Mrs Neha Rathi Faculty of KKPIMS Page 16
  • 17. Table 3 : Comparison of Four Theories of MotivationMaslow Alderier Herzberg McClellandSelf Actualization Need for Achievement Growth MotivatorsEsteemSocial Relatedness Need for AffiliationSafety Hygiene FactorsPhysiologicalProcess TheoriesExpectancy TheoryVictor Vroom propounded Expectancy theory to explain motivation. It is a processtheory. It explains that motivation is a process of eliciting a positive satisfaction. Thecentral concept of the theory is that individual is motivated and the strength of his actiondepends on close association between his preference to a specific outcome and theactual outcome. He stated that motivational force is the sum of the product of valenceand expectancy. The theory established relationship between effort, performance andrewards. They are explained hereunder:Prepared By Mrs Neha Rathi Faculty of KKPIMS Page 17
  • 18. i) Effort-Performance Relationship: It is the probability perceived by the individual thatexerting a given amount of effort leads to performance.ii) Performance-Reward Relationship: This is the degree to which the individualbelieves that performing at a particular level will lead to the attainment of a desiredoutcome.iii) Rewards-Personal Goals Relationship: It is the degree to which organisationalrewards satisfy an individual‘s personal goals or needs and the attractiveness of thosepotential rewards for the individuals.These three relationships are referred to valence, instrumentality and expectancy. Thus,the theory is also known as VIE theory of motivation. The concepts used in the theoryare explained below:Valence: Valence is the strength of an individual‘s preference for a particular outcome.Every individual believes that his effort leads to certain definite outcome. This isexpected utility or value. The greater the strength or the expectation of the outcome thegreater would be the level of motivation. For instance, if an employee believes thatworking hard and producing better leads to payment of bonus, he will work hard to getmore bonus. Thus, valence can be positive or negative. It is positive when employeehas a strong preference to reward. It will be zero if he is indifferent. Similarly, it will benegative if employee does not prefer to attain the outcome.Instrumentality: Instrumentality refers to the strength of the belief about the certainty ofoutcome. Thus, it is the expression of probability between performance and reward.This varies between ± 1. The performance reward relationship is positive, in case ofpositive instrumentality and vice versa. Employee tries to estimate the probability aboutthe reward associated with performance. For example, instrumentality is high whenemployee feels certainty of bonus. If he is doubtful about the payment of bonus,instrumentality will be low.Expectancy: Expectancy is the belief that effort will lead to outcome and performance.Therefore, expectancy determines the strength of performance rather than the outcome.It is based on the self-efficacy. Employee with a high level of self-efficacy are morelikely to believe that exerting effort will result in satisfactory performance. A high level ofself-efficacy has high expectancy, while low level of self-efficacy has low expectancy.Persons suffering from low level of self-efficacy exhibit a phenomenon known asimposter phenomenon‘. This means that individuals are capable, as they appear to be.They are afraid of their inferiority, which may be revealed in public if they exert higheffort. Imposters have low expectancy, as they believe that they lack the necessarycompetence. Expectancy is evaluated as a probability. It varies from 0 to 1. Zero isassociated with complete uncertainty. As the performance is assured the expectancyrises and it will be high if the performance is certain. It is interesting to note that bothinternal and external environment influence expectancy. Other factors influencingPrepared By Mrs Neha Rathi Faculty of KKPIMS Page 18
  • 19. expectancy are: personality, self-efficacy, experience, learning and perception. Thus,motivation is also influenced by these factors.Thus according to expectancy theory, motivation is the result of the sum of the productsof valence, instrumentality and expectancy. It can be stated in the form of the followingmathematical formula.Motivation = Σ( Valence X Instrumentality X Expectancy)It should be observed here that all the variables are multiplicative in nature. They arenot additive. Therefore, the following propositions can be made.• Motivation is positive only when all variables are positive.• Motivation is negative when all or any one of the variables is negative.• Motivation is zero even when any one of the variables is zero.• Motivation is also low even when any one of the variables is low.Porter and Lawler TheoryPorter and Lawler have developed more comprehensive model of motivation. Thistheory is also known as performance-satisfaction theory of motivation. The model ofmotivation emerges based on the assumptions of content theories of motivation. Thecontent theories have assumed that satisfaction leads to performance anddissatisfaction limits the performance of individuals. Porter and Lawler model is an outgrowth of Victor Vrooms‘ model of motivation. The assumptions of Porter and Lawlermodel of motivation are as follows:Assumptions• Motivation is not equal to satisfaction or performance.• Motivation, satisfaction and performance are independent variables but there existssome relationship.• The relationships between motivation and satisfaction can be expresseddiagrammatically rather than mathematically.• More than valence and expectancy, some more variables and the cognitive processplay a major role in determining the motivation.Motivation model suggested by Porter and Lawler is a multi-variable model and explainsthe complex of relationship among motivation, performance and satisfaction. Accordingto the model, motivation is the result of effort when abilities, traits and role perceptionsaccompany it.Rewards and the perception of rewards determine satisfaction of an individual. Thus,Porter and Lawler model is concerned about the result of performance. It suggested thatperformance leads to satisfaction.Prepared By Mrs Neha Rathi Faculty of KKPIMS Page 19
  • 20. The concepts of the model are described below:  Value of Rewards:  Perceived Effort Reward Probability: Effort:  Abilities and Traits  Role Perception:  Performance:  Intrinsic Rewards:  Extrinsic Rewards:.  Perceived Equitable Rewards:  .Satisfaction:This model suggests that the organisation should evaluate and redesign the policiesrelating to the motivation. It also suggests that the level of satisfaction and level ofperformance are to be related to elicit greater performance on the job. Thus, the modelis considered to have greater impact in understanding the relationship betweenperformance and satisfaction. The model suggests the following guidelines formotivating the employees. i) Job Placement: Individuals‘ abilities and personality traits should be matched with the requirements of the job. A best fit between perceived attitudes and the job provides best motivation. Thus, the principle of right person in the right job should be followed. A misfit de-motivates the employees. ii) Job Role Specification: Organisations should provide clear communication to clarify the roles of employees. It should be ensured that the employees have clearly understood their jobs, responsibilities, rewards and outcomes. The expectations of the organisation should be communicated to the employees in a clear and unambiguous manner. iii) Job Rewards: Employees should be made clear about the rewards they will receive from the completion of the job. They should also value these rewards and perceive that the rewards are beneficial to them.Apart from these, the following suggestion would also help the managers in motivatingthe employees. These suggestions are related to the relationship between motivationand performance and performance and satisfaction.Equity TheoryEquity theory: Based on the relatively simple premise that people in organizationswant to be treated fairly.Equity: The belief that that we are being treated fairly in relation to others.Prepared By Mrs Neha Rathi Faculty of KKPIMS Page 20
  • 21. This theory goes by the belief that a major input on job performance and satisfaction isthe degree of equity or inequity that people perceive in their work situation. Herzbergand his associates found that feeling of unfairness was among the most frequent sourceof dissatisfaction indicated by the employees.Adams equity theory focuses on an individuals feelings on how fairly he or she istreated in comparison with others. It works on two assumptions:(a) People evaluate their interpersonal relationships just as exchange process in whichthey (the individuals) make contributions and expect certain results.(b) Individuals tend to compare their situations to those of others to determine the equityof an exchange.This theory is based on the comparison of two variables: input and outcomes.Input represents what an individual contributes to an exchange and outputs are what anindividual receives from the exchange. Both the inputs and outputs here are based onthe persons perception. As per the theory, individuals assign weights to various inputsand outputs based on their perceptions of the situation, which may involve multipleinputs and outcomes thus the weighing process may not be precise. Adams depictedthe process of motivation by showing that inequity occurs when a person perceives theratio of his or her outcomes to inputs and the ratio of a relevant others outcomes toinputs as unequal.Age, sex, education, social status, organizational position, qualification and how hard aperson works are a few examples of perceived input variables. Outcomes wouldcomprise of rewards such as pay, status, promotion, and intrinsic interest in the job. Inshort, the ratio is based upon how a person perceives what he is giving (i.e., the inputs)and what he is receiving (i.e., the outcomes) versus the ratio of what the relevant otheris giving (inputs) and receiving (outcomes). This cognition may not be similar tosomeone elses observation of the ratios or the same as the actual situation.Prepared By Mrs Neha Rathi Faculty of KKPIMS Page 21
  • 22. Inequity ReductionInequity means that the belief that we are being treated unfairly in relation toothers.According to the equity theory, when employees perceive inequity it results in causingtension within an individual and among individuals. Then in order to reduce a perceivedinequity, they may act in the one or more of the following ways.• Individuals may either increase or decrease their inputs to what they consider to be anequitable level.• People may change their outcomes to restore equity.• People may mentally distort their own inputs and outputs to achieve a more favourablebalance.• People may either leave or shift to another department in the hope to find a favourablebalance.• People may move to a new reference group so as to reduce the source of the inequity.• People may attempt to distort the inputs or outcomes of others.EvaluationPrepared By Mrs Neha Rathi Faculty of KKPIMS Page 22
  • 23. The work on this theory goes beyond the expectancy theory as a cognitive explanationof work motivation. The equity theory had focused on distributed justice i.e., theperceived justice without bias in the amount and allocation of rewards amongindividuals. However, recent research findings have suggested to consider proceduraljustice — the perceived fairness of the amount and allocation of rewards amongindividuals. This is because the equity theory only emphasises on the outcome of thedecision while the procedural justice theory examines the impact of the process used tomake the decision. Some of the issues which have been criticised are:• The equity theory only focuses on pay and other compensation issues.• The theory due to its focus on short-term comparisons does not answer whether theperception of equity or inequity increases or decreases or stabilizes over a period oftime.• The theory doesnt specify on the type of action (from the various listed actions) theindividual is likely to select so as to reduce the perceived inequity in a particularsituation. Inspite of the above criticisms, the equity theory is being used by managers totake many decisions related to disciplinary actions, gives pay raises, etc.Importance of MotivationMotivation is a very important for an organization because of the following benefits itprovides:- 1. Puts human resources into action Every concern requires physical, financial and human resources to accomplish the goals. It is through motivation that the human resources can be utilized by making full use of it. This can be done by building willingness in employees to work. This will help the enterprise in securing best possible utilization of resources. 2. Improves level of efficiency of employees The level of a subordinate or a employee does not only depend upon his qualifications and abilities. For getting best of his work performance, the gapPrepared By Mrs Neha Rathi Faculty of KKPIMS Page 23
  • 24. between ability and willingness has to be filled which helps in improving the level of performance of subordinates. This will result into- a. Increase in productivity, b. Reducing cost of operations, and c. Improving overall efficiency. 3. Leads to achievement of organizational goals The goals of an enterprise can be achieved only when the following factors take place :- a. There is best possible utilization of resources, b. There is a co-operative work environment, c. The employees are goal-directed and they act in a purposive manner, d. Goals can be achieved if co-ordination and co-operation takes place simultaneously which can be effectively done through motivation. 4. Builds friendly relationship Motivation is an important factor which brings employees satisfaction. This can be done by keeping into mind and framing an incentive plan for the benefit of the employees. This could initiate the following things: a. Monetary and non-monetary incentives, b. Promotion opportunities for employees, c. Disincentives for inefficient employees. In order to build a cordial, friendly atmosphere in a concern, the above steps should be taken by a manager. This would help in: iv. Effective co-operation which brings stability, v. Industrial dispute and unrest in employees will reduce, vi. The employees will be adaptable to the changes and there will be no resistance to the change, vii. This will help in providing a smooth and sound concern in which individual interests will coincide with the organizational interests, viii. This will result in profit maximization through increased productivity. Leads to stability of work force Stability of workforce is very important from the point of view of reputation and goodwill of a concern. The employees can remain loyal to the enterprise only when they have a feeling of participation in the management. The skills and efficiency of employees will always be of advantage to employees as well as employees. This will lead to a good public image in the market which will attract competent and qualified people into a concern. As it is said, ―Old is gold‖ whichPrepared By Mrs Neha Rathi Faculty of KKPIMS Page 24
  • 25. suffices with the role of motivation here, the older the people, more the experience and their adjustment into a concern which can be of benefit to the enterprise.From the above discussion, we can say that motivation is an internal feeling which canbe understood only by manager since he is in close contact with the employees. Needs,wants and desires are inter-related and they are the driving force to act. These needscan be understood by the manager and he can frame motivation plans accordingly. Wecan say that motivation therefore is a continuous process since motivation process isbased on needs which are unlimited. The process has to be continued throughout.We can summarize by saying that motivation is important both to an individual and abusiness. Motivation is important to an individual as: 1. Motivation will help him achieve his personal goals. 2. If an individual is motivated, he will have job satisfaction. 3. Motivation will help in self-development of individual. 4. An individual would always gain by working with a dynamic team.Similarly, motivation is important to a business as: 1. The more motivated the employees are, the more empowered the team is. 2. The more is the team work and individual employee contribution, more profitable and successful is the business. 3. During period of amendments, there will be more adaptability and creativity. 4. Motivation will lead to an optimistic and challenging attitude at work place.Questions-What is motivation? Mention the characteristics and different types of motivation?Explain the process of motivation? & Enumerate the theories of motivation?Mention the characteristics of general and organisational context of Maslow‘s needsfrom your experience?Needs General context Organisational contextExplain the assumptions and proposition of ERG theory?Why is Expectancy theory considered a comprehensive theory of motivation?Mention the similarities and dissimilarities in the needs stated in the following theories.Need Hierarchy Theory Two Factors Theory ERG TheoryPrepared By Mrs Neha Rathi Faculty of KKPIMS Page 25
  • 26. Prepared By Mrs Neha Rathi Faculty of KKPIMS Page 26