Organisational Behavior PPT Unit 2.pdf

Irfaan Meera. E, Assistant Professor, SACAS
Organisational
Behaviour
By Irfaan Meera

Irfaan Meera. E, Assistant Professor, SACAS 2
SYLLABUS
UNIT II Motivation - Financial and non -Financial motivational techniques - Job satisfaction
- meaning - Factors - Theories -Measurement -Morale - Importance - Employee attitudes
and behavior and their significance to employee productivity.

MOTIVATION
➢ Motivation is essential to the operation of organizations and classroom activities. The
behavior is caused by the certain causes which relate to person’s needs and consequences that
results from acts.

MOTIVATION : DEFINITION
Definitions of Motivation:
According to B.F. Skinner, “Motivation in school learning involves arousing,
persisting, sustaining and directing desirable behavior.”
According to Woodworth, “Motivation is the state of the individual which disposes
him to certain behavior for seeking goal.”
According to Koontz and O’Donnel “ Motivation is a general term applying to the
entire class of drives, needs, wishes and similar forces.”

MOTIVATION : PROCESS
1.Identify Unsatisfied Needs and Motives.
2.Tension.
3.Action to satisfy needs and motives.
4.Goal accomplishment.
5.Feedback.

1. Identify Unsatisfied Needs and Motives
The first process of motivation involves unsatisfied needs and motives. Motives are directed towards
goal oriented behavior. Awareness of unsatisfied needs creates tension in the mind of a person.

2. Tension
Unsatisfied needs to create tension in the individual. Such tension can be physical,
psychological, and sociological. In this situation, people try to develop objects that
will satisfy their needs.

3. Action to satisfy needs and motives
Such tension creates a strong internal stimulus that calls for action. The individual
engages in activities to satisfy needs and motives for tension reduction.

4. Goal accomplishment
➢ Action to satisfy needs and motives
accomplishes goals.

5. Feedback
Feedback provides information for
revision or improvement or modification
of needs as needed. Depending on how
well the goal is accomplished their needs
and motives are modified.

TYPES OF MOTIVATION
Motivation
Financial
Motivation
Non Financial
Motivation
1. Pay and allowance
2. Bonus
3. ESOP
4. Profit sharing
5. Individual incentives
1. Challenging work
2. Praise
3. Recognition
4. Opportunity for growth
5. Competition
6. Participation
7. Job Security

Types of Motivation
Financial Motivation
1. Pay and allowance
Salary is the basic monetary incentive
for every employee. It also includes
allowances and perquisites
2. Bonus
It is the incentive which is given over
and above the salary/ wage of
employers.

Types of Motivation
iii. ESOP-Employee Stock Option Plan
Under this incentive scheme, employees
are offered shares at a price lower than
the market price. This practice helps in
creating a feeling of ownership among
employees and motivates them to give
their maximum contribution towards
organisational growth.

Types of Motivation
iv. Profit sharing
Organisation's wide programs that
distribute compensation based on some
established formula designed around a
company's profitability. It refers to
providing a share to employees in the
profits of the organisation. It is a group
incentive plan.

Types of Motivation
v. Individual incentives
Refer to all such plans which induce an
individual to achieve higher
performance
Example: Halsey plan- Time rate
Rowan plan - Time rate
Taylor's differential piece rate system
etc.

Types of Motivation
2. Non-financial motivation
Money is not the only motivator, the employees who have more of esteem and self
actualization need active in them get satisfied with the non-monetary incentives only.
The incentives which cannot be calculated in terms of money are known as non-
monetary incentives.
They provide psychological satisfaction, makes a person emotionally stable.

Types of Motivation
i. Challenging work
Job is a great motivating force. When the job stretches the ability of the job holder
it provides job satisfaction and inspires the employee to work hard. Interesting job
allows the employee to satisfy
Natural instincts and creates interest in work.

Types of Motivation
ii. Praise
Praise satisfies one's needs. Sometimes praise is more effective than financial
incentive. Acknowledgement and appreciation of good performance is called
iii. Recognition
Recognition motivates a person by satisfying his ego. Recognition however must be
closely related to performance of employees.

Types of Motivation
iv. Opportunity for growth
If the employees are provided the opportunity for their advancement and growth
and to develop their personality, they feel very much satisfied and become more
committed to the goals of the organisation.
v. Competition
It is a kind of non- financial incentive. If there is a healthy competition among the
individual employees it will lead them to achieve their personal goals in a better
way.

Types of Motivation
vi. Participation
Employee participation in management refers to the active involvement of
workers/their representatives in the process of decision making. It is a
management initiated action to secure co-operation, commitment and
contribution of workers towards the accomplishment of organisational goalsvi.
Participation

Types of Motivation
vii. Job security
Employees want economic security. Job security ensures regular income in future
and relieves them of worry. Job security is important in India due to widespread
unemployment

Theories of Motivation

➢ Maslow’s Hierarchy of Needs Theory is regarded as one of the most popular theories on
motivation.
➢ It is a theory of psychology that explains that humans are highly motivated in order to fulfill
their needs, which is based on hierarchical order.
➢ It was first introduced by Abraham Maslow in 1943 for his paper titled Theory of Motivation
and is based on a hierarchy of needs, which starts with the most basic needs and
subsequently moves on to higher level.
➢ The main goal of this need hierarchy theory is to attain the highest position or the last of the
needs, i.e need for self actualization.
Abraham Maslow’s Need- Hierarchy Theory

Levels of Hierarchy
➢ The levels of hierarchy in Maslow’s need hierarchy theory appear in the shape of a pyramid,
where the most basic need is placed at the bottom while the most advanced level of
hierarchy is at the top of the pyramid.
➢ Maslow was of the view that a person can only move to the subsequent level only after
fulfilling the needs of the current level.
➢ The needs at the bottom of the pyramid are those which are very basic and the most
complex needs are placed on the top of the pyramid.

1. Physiological needs: The physiological needs are regarded as the most basic of the needs
that humans have. These are needs that are very crucial for our survival. The examples of
physiological needs are food, shelter, warmth, health, homeostasis and water, etc.
In addition to all the above needs, Abraham Maslow also included sexual reproduction as one
of the most common needs as it is essential for the survival of the species.

2. Safety Needs: Once the basic needs of food, shelter, water, etc are fulfilled, there is an innate
desire to move to the next level.
➢ The next level is known as the safety needs. Here the primary concern of the individual is
related to safety and security.
➢ Safety and security can be regarding many things like a stable source of income that
provides financial security, personal security from any kind of unnatural events, attacks by
animals and emotional security and physical safety which is safety to health.
➢ The various actions taken by an individual in ensuring safety and security are finding a job,
getting an insurance policy, choosing a secure neighborhood for staying with family, etc.

3. Social Needs (Also known as Love and Belonging Needs): This is the third level in the need
hierarchy theory. It is that stage where an individual having fulfilled his physiological needs as
well as safety needs seeks acceptance from others in the form of love, belongingness.
In this stage, human behaviour is driven by emotions and the need for making emotional
relationships is dominant here.
The following examples can satisfy this need:
1. Friendship
2. Family
3. Intimacy
4. Social Groups
When an individual is deprived of the above needs, he/she feels lonely and depressed.

4. Esteem needs:
➢ This is considered as the fourth level of the hierarchy of needs theory. It is related to the need
of a person being recognised in the society. It deals with getting recognition, self respect in
the society.
➢ The need for recognition and acceptance arises when a person has fulfilled their need for
love and belongingness.
➢ In addition to recognition from others, there is a need for the person to develop self esteem
and personal worth.

5. Self-actualization needs:
➢ This is the final level of the theory of hierarchy of needs as proposed by Maslow.
➢ It is the highest level of needs and is known as the self-actualization needs.
➢ It relates to the need of an individual to attain or realise the full potential of their ability or
potential.
➢ At this stage, all individuals try to become the best version of themselves. In other words, self
actualisation is the journey of personal growth and development.

Herzberg’s Two Factor Theory

➢ In 1959, Frederick Herzberg, a behavioural scientist proposed a two-factor theory or the
motivator-hygiene theory.
➢ According to Herzberg, there are some job factors that result in satisfaction while there are
other job factors that prevent dissatisfaction.
➢ According to Herzberg, the opposite of “Satisfaction” is “No satisfaction” and the opposite
of “Dissatisfaction” is “No Dissatisfaction”.

Hygiene factors-
➢ Hygiene factors are those job factors which are essential for existence of motivation at
workplace.
➢ These do not lead to positive satisfaction for long-term. But if these factors are absent / if
these factors are non-existant at workplace, then they lead to dissatisfaction.
➢ In other words, hygiene factors are those factors which when adequate/reasonable in a job,
pacify the employees and do not make them dissatisfied. These factors are extrinsic to work.
Hygiene factors are also called as dissatisfiers or maintenance factors as they are required
to avoid dissatisfaction

•Pay - The pay or salary structure should be appropriate and reasonable. It must be equal and
competitive to those in the same industry in the same domain.
•Company Policies and administrative policies - The company policies should not be too rigid.
They should be fair and clear. It should include flexible working hours, dress code, breaks,
vacation, etc.

•Fringe benefits - The employees should be offered health care plans (mediclaim), benefits for
the family members, employee help programmes, etc.
•Physical Working conditions - The working conditions should be safe, clean and hygienic.
The work equipments should be updated and well-maintained.

•Status - The employees’ status within the organization should be familiar and retained.
•Interpersonal relations - The relationship of the employees with his peers, superiors and
subordinates should be appropriate and acceptable. There should be no conflict or humiliation
element present.
•Job Security - The organization must provide job security to the employees.

•Motivational factors-
➢ According to Herzberg, the hygiene factors cannot be regarded as motivators.
➢ The motivational factors yield positive satisfaction. These factors are inherent to work.
➢ These factors motivate the employees for a superior performance. These factors are called
satisfiers.
➢ These are factors involved in performing the job.
➢ The motivators symbolized the psychological needs that were perceived as an additional
benefit.

•Motivational factors-
•Recognition - The employees should be praised and recognized for their accomplishments by
the managers.
•Sense of achievement - The employees must have a sense of achievement. This depends on
the job. There must be a fruit of some sort in the job.

•Growth and promotional opportunities - There must be growth and advancement
opportunities in an organization to motivate the employees to perform well.
•Responsibility - The employees must hold themselves responsible for the work. The
managers should give them ownership of the work. They should minimize control but retain
accountability.
•Meaningfulness of the work - The work itself should be meaningful, interesting and
challenging for the employee to perform and to get motivated.

Organisational Behavior PPT Unit 2.pdf

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