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Motivation and its Practice

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The motivation theories in this chapter differ in their predictive strength. Here, we (1) review the most established to determine their relevance in explaining turnover, productivity, and other outcomes and(2) assess the predictive power of each.
Need theories. Maslow’s hierarchy, McClelland’s needs, and the two- factor theory focus on needs. None has found widespread support, although McClelland’s is the strongest, particularly regarding the relationship between achievement and productivity. In general, need theories are not very valid explanations of motivation.
Goal-setting theory. Clear and difficult goals lead to higher levels of employee productivity, supporting goal-setting theory’s explanation of this dependent variable
Reinforcement theory. This theory has an impressive record for predicting quality and quantity of work, persistence of effort, absenteeism, tardiness, and accident rates
Equity theory/organizational justice. Equity theory deals with productivity, satisfaction, absence, and turnover variables. However, its strongest legacy is that it provided the spark for research on organizational justice, which has more support in the literature.
Expectancy theory. Expectancy theory offers a powerful explanation of performance variables such as employee productivity, absenteeism, and turnover.
Recognize individual differences. Managers should be sensitive to individual differences.
Allow employees to participate in decisions that affect them. Employees can contribute to setting work goals, choosing their own benefits packages, and solving productivity and quality problems.
Link rewards to performance. Rewards should be contingent on performance, and employees must perceive the link between the two.

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Motivation and its Practice

  1. 1. Group Member Shahreen Shabnam Nazdia Sarwar Jannatul Ferdous Munmun Subrina Ali Anik Mondal Shahriar Rawshon Taaka Mokadeesa 3/16/2015 2
  2. 2. Outline of Presentation The Nature of Motivation, Model and Historical Perspectives Motivational Drives Need-based Perspectives on Motivation Process-based Perspectives on Motivation Learning-based Perspectives on Motivation Motivating by Job Design Theory Employee Involvement and Rewards to Motivate Employees 3/16/2015 3
  3. 3. Motivation • The set of forces that causes people to engage in one behavior rather than some alternative behavior. • Motivation may differ among individuals of the same group, based on their goals. • From the organizational viewpoint, the objective is to motivate people to behave in ways that are in the best interest of the organization. 3/16/2015 4
  4. 4. Importance of Motivation • Managers strive to motivate people to perform at high levels. • Job performance depends on ability and environment as well as motivation. To reach high levels of performance, an employee must want to do the job well (motivation); must be able to do the job effectively (ability); and must have the materials, resources, equipment, and information required to do the job (environment). P M A EPerformance Motivation Environment Ability • A manager should thus strive to ensure that all three conditions are met. 3/16/2015 5
  5. 5. The Model of Motivation Needs & Drives Performance Environment EffortTension Opportunity Goals & Incentives Ability Rewards Need satisfaction The role of motivation in performance is summarized in the following figure: P M A E 3/16/2015 6
  6. 6. Historical perspectives on motivation • The Traditional Approach – Frederick Taylor’s job structuring called “scientific management” – Basic premise : employees are economically motivated and work to earn as much money as they can – Advocate for incentive pay systems – Too narrow a view of the role of monetary compensation and failure to consider other motivational factors. 3/16/2015 7
  7. 7. Historical perspectives on motivation (contd.) • The Human Relations Approach – Replaced scientific management in the 1930s – Key assumptions: • employees want to feel useful and important, • employees have strong social needs, and • these needs are more important than money in motivating employees – Managers advised to make workers feel important – Participation was expected to enhance motivation 3/16/2015 8
  8. 8. Historical perspectives on motivation (contd.) • The Human Resource Approach – Most contemporary thinking about employee motivation that began to emerge in the 1950s – Basic assumptions: • people want to contribute and are able to make genuine contributions and • the contributions themselves are valuable to both individuals and organizations. – Management should encourage participation and create a work environment that makes full use of the human resources available. 3/16/2015 9
  9. 9. Motivational Drives • McClelland's Theory Need for Achievement Need for Affiliation Need for Power Personal Power Institutional Power 3/16/2015 10
  10. 10. Need for Achievement • A drive to accomplish objectives and get ahead Achievers work hard when:  They will receive personal credit for their effort  The risk of failure is only moderate  They receive feedback for past performance 3/16/2015 11
  11. 11. Continued…….. Characteristics of achievers :  High drive for achievement  Control their destiny  Seek responsibility  Desire for feedback  Enjoy winning 3/16/2015 12
  12. 12. Need for Affiliation • A drive to relate to people effectively People with affiliation motives:  Like compliment  Feel loved and accepted by others  Surrounded themselves with likable people  Enjoy working together  Favors collaboration over competition  Dislike high risk and uncertainty 3/16/2015 13
  13. 13. Need for Power • A drive to influence people, take control and change situation  Personal Power  Institutional Power People with power motives:  Control and influence others  Lead others  Willing to take risk  Enjoy competition and winning  Like status and recognition  Determine and loyal to the organization 3/16/2015 14
  14. 14. Need-based Perspectives On Motivation • * The Hierarchy of Needs/ Maslow’s Hierarchy of Needs • *Herzberg’s Two-Factor Model/ The Dual- Structure Theory • *Alderfer’s ERG Model/ ERG Theory 3/16/2015 15
  15. 15. Goal Setting Theory Goal provide a directional nature to people behavior & guide their thoughts, believe and actions to one outcome rather than another.  Goals are target and objectives for future performance. Employee performance could be improve through goal setting.  A major factor in the success of goal is Self efficacy. Self efficacy can be judged either on a specific task or variety of performance duties. If employee have higher self efficacies they will tend to set higher personal goals under the belief that they are attainable. The first key to successful goal setting is to build and reinforce employee Self efficacy. 3/16/2015 16
  16. 16. Elements of Goal Setting Theory Goal Acceptance: Goals need to understood as well as accepted Specificity: Goals need to be as specific, clear and measurable Challenge: Difficult goals present a challenge to the employees Performance monitoring and Feedback: Performance monitoring Performance feedback 3/16/2015 17
  17. 17. Expectancy Model Expectancy model is the widely accepted approach of motivation, developed by Victor H. Vroom. He suggests that motivation will be high when workers feel:  High level of effort lead to high performance.  High performance will lead to the attainment of desire outcomes. 3/16/2015 18
  18. 18. Vrooms Expectancy Theory Factors Motivation 3/16/2015 19
  19. 19. Elements of Expectancy Theory • The employee’s perception of the probability that effort will lead to high level of performance. Effort-to-Performance Expectancy • The employees perception of probability that performance will lead to a specific outcome –the consequence or reward for behaviors in an organizational setting. Performance-to-Outcome Expectancy 3/16/2015 20
  20. 20. Expectancy model of Motivation Environment Motivation Effort Performance Ability Outcome Outcome Outcome Valence Outcome Valence Outcome Valence Valence Valence 3/16/2015 21
  21. 21. Advantages and Drawbacks of Expectancy Model Advantages of Expectancy Model Employees do not act simply because of strong internal drives, unmet needs or the application of rewards and punishment. Instead they are thinking individuals whose beliefs, perception and probability influence their behavior. The model reflects Theory Y assumptions Drawbacks of Expectancy Model Perceptions about effort, performance and the value of rewards are difficult to quantify so comparisons between different choices or people using the expectancy theory framework may not be accurate. Rewards may not necessarily be directly connected to effort and performance: in some companies rewards such as raises might be built into a contract or depend upon factors like education or specific job skills. 3/16/2015 22
  22. 22. Equity Theory • People are motivated to seek social equity in the rewards they receive for performance. • Equity is an individual’s belief that the treatment he or she receives is fair relative to the treatment received by others. • Individuals view the value of rewards (outcomes) and inputs of effort as ratios and make subjective comparisons of themselves to other people. Equity Theory • 𝑶𝒏𝒆′ 𝒔 𝒐𝒘𝒏 𝑶𝒖𝒕𝒄𝒐𝒎𝒆𝒔 𝑶𝒏𝒆′𝒔 𝒐𝒘𝒏 𝒊𝒏𝒑𝒖𝒕 = 𝑶𝒕𝒉𝒆𝒓𝒔′ 𝑶𝒖𝒕𝒄𝒐𝒎𝒆𝒔 𝑶𝒕𝒉𝒆𝒓𝒔 𝒊𝒏𝒑𝒖𝒕 Equity theory states below formula: 3/16/2015 23
  23. 23. Conditions of and reactions to equity comparisons Feeling equitably rewarded • Maintain performance and accept comparison as fair estimate Feeling under-rewarded—try to reduce inequity • Change inputs by trying harder or slacking off • Change outcomes by demanding a raise • Distort the ratios by altering perceptions of self or of others • Leave situation by quitting the job • Change comparisons by choosing another object person Feeling over-rewarded • Increase or decrease inputs • Distort ratios by rationalizing • Help the object person gain more outcomes 3/16/2015 24
  24. 24. BEHAVIOR MODIFICATION The Models of Motivation that have been discussed up to this point are known as Content Theories Of Motivation, since they focus on the Content (Nature) of items that may motivate a person. Organizational Behavior Modification, (OB) Mod, is the application in organizations of the principles of behavior modification. OB Mod and several other Models are “Process Theories of Motivation” Since they provide perspectives on the dynamics by which employees canBe motivated. 3/16/2015 25
  25. 25. BEHAVIOR MODIFICATION 3/16/2015 26
  26. 26. BEHAVIOR MODIFICATION Law of effect – Theoretical basis for manipulating consequences of behavior. – Behavior that results in a pleasant outcome is likely to be repeated while behavior that results in an unpleasant outcome is not likely to be repeated. 3/16/2015 27
  27. 27. Punishment Positive reinforcement Negative reinforcement Extinction Application Manager's use Withdrawal Negative Positive NATURE OF CONSEQUENCE OB Mod Uses Four Alternative Consequences
  28. 28. Reinforcement Theory Positive Reinforcement The administration of positive consequences to increase the likelihood of repeating the desired behavior in similar settings. Rewards are not necessarily positive reinforces. A reward is a positive reinforce only if the behavior improves. Negative Reinforcement Also known as avoidance The withdrawal of negative consequences to increase the likelihood of repeating the desired behavior in a similar setting 3/16/2015 29
  29. 29. Reinforcement Theory Punishment The administration of negative consequences or the withdrawal of positive consequences to reduce the likelihood of repeating the behavior in similar settings. Implications of using Punishment Punishing poor performance enhances performance without affecting satisfaction. Arbitrary punishment leads to poor performance and low satisfaction. Punishment may be offset by positive reinforcement from another source. 3/16/2015 30
  30. 30. Reinforcement Theory • The withdrawal of the reinforcing consequences for a given behavior • The behavior is not unlearned; it simply is not exhibited • The behavior will reappear if it is reinforced again Extinction 3/16/2015 31
  31. 31. Schedules of Reinforcement • Continuous Reinforcement – A schedule of reinforcement in which every correct response is reinforced. • Partial Reinforcement – One of several reinforcement schedules in which not every correct response is reinforced. 3/16/2015 32
  32. 32. 4 Basic Schedules of Reinforcement Fixed-interval schedule Variable-interval schedule Fixed-ratio schedule Variable-ratio schedule 3/16/2015 33
  33. 33. Fixed-Interval Schedule A schedule in which a fixed amount of time must elapse between the previous and subsequent times that reinforcement will occur. No response during the interval is reinforced. The first response following the interval is reinforced. Produces an overall low rate of responding Ex. I get one pellet of food every 5 minutes when I press the lever 3/16/2015 34
  34. 34. Variable-Interval Schedule A schedule in which a variable amount of time must elapse between the previous and subsequent times that reinforcement is available. Produces an overall low consistent rate of responding. Ex. – I get a pellet of food on average every 5 minutes when I press the bar. 3/16/2015 35
  35. 35. Fixed-Ratio Schedule A schedule in which reinforcement is provided after a fixed number of correct responses. These schedules usually produce rapid rates of responding with short post- reinforcement pauses The length of the pause is directly proportional to the number of responses required Ex. – For every 5 bar presses, I get one pellet of food 3/16/2015 36
  36. 36. Variable-Ratio Schedule A schedule in which reinforcement is provided after a variable number of correct responses. Produce an overall high consistent rate of responding. Ex. – On average, I press the bar 5 times for one pellet of food. 3/16/2015 37
  37. 37. TYPE MEANING OUTCOME Fixed Ratio Reinforcement depends on a definite number of responses Activity slows after reinforcement and then picks up Variable Ratio Number of responses needed for reinforcement varies Greatest activity of all schedules Fixed Interval Reinforcement depends on a fixed time Activity increases as deadline nears Variable Interval Time between reinforcement varies Steady activity results 3/16/2015 38
  38. 38. The Job Characteristics Model 1.Skill variety • Skill variety is the degree to which a job requires a variety of different activities so the worker can use a number of different skills and talent 2.Task identity • Task identity is the degree to which a job requires completion of a whole and identifiable piece of work. 3.Task significance • Task significance is the degree to which a job affects the lives or work of other people. 4. Autonomy • Autonomy is the degree to which a job provides the worker freedom, independence, and discretion in scheduling work and determining the procedures in carrying it out. 5. Feedback • Feedback is the degree to which carrying out work activities generates direct and clear information about your own performance. 3/16/2015 39
  39. 39. How Can Jobs Be Redesigned? Job Rotation Job Rotation is If employees suffer from overroutinization of their work, one alternative is job rotation , or the periodic shifting of an employee from one task to another with similar skill requirements at the same organizational level (also called cross-training ). Job Enrichment Job enrichment expands jobs by increasing the degree to which the worker controls the planning, execution, and evaluation of the work. An enriched job organizes tasks to allow the worker to do a complete activity, increases the employee’s freedom and independence, increases responsibility, and provides feedback so individuals can assess and correct their own performance. 3/16/2015 40
  40. 40. Alternative Work Arrangements • Employees must work a specific number of hours per week but are free to vary their hours of work within certain limits. • All employees are required to be at their jobs during the common core period, but they may accumulate their other 2 hours before, after, or before and after that. • Some flextime programs allow employees to accumulate extra hours and turn them into a free day off each month. Flextime • Job sharing allows two or more individuals to split a traditional 40-hour-a-week job. • One might perform the job from 8:00 a.m. to noon and the other from 1:00 p.m. to 5:00 p.m., or the two could work full but alternate days. Job Sharing • No commuting, flexible hours, freedom to dress as you please, and few or no interruptions from colleagues its called telecommuting , and it refers to working at home at least 2 days a week on a computer linked to the employer’s office. Telecommuting 3/16/2015 41
  41. 41. Benefits and Drawbacks of Flextime Benefits Flextime tends to reduce absenteeism and frequently improves worker productivity, probably for several reasons. Employees can schedule their work hours to align with personal demands, reducing tardiness and absences, and they can work when they are most productive. Flextime can also help employees balance work and family lives; it is a popular criterion for judging how “family friendly” a workplace is. Drawbacks Major drawback is that it’s not applicable to every job or every worker. It works well with clerical tasks for which an employee’s interaction with people outside his or her department is limited. It is not a viable option for receptionists, sales personnel in retail stores, or people whose service jobs require them to be at their workstations at predetermined times. It also appears that people who have a stronger desire to separate their work and family lives are less prone to take advantage of opportunities for flextime. Employers need to consider the appropriateness of both the work and the workers before implementing flextime schedules. 3/16/2015 42
  42. 42. Benefits and Drawbacks of Job Sharing Benefits • Job sharing increases flexibility and can increase motivation and satisfaction when a 40-hour-a- week job is just not practical. From the employee’s perspective • It opens the opportunity to acquire skilled workers—for instance, women with young children and retirees—who might not be available on a full-time basis. Management point of View Drawbacks • The major drawback is finding compatible pairs of employees who can successfully coordinate the intricacies of one job. Employee Point of View 3/16/2015 43
  43. 43. Benefits and Drawbacks of Telecommuting Benefits The potential pluses of telecommuting include a larger labor pool from which to select, higher productivity, less turnover, improved morale, and reduced office- space costs. A positive relationship exists between telecommuting and supervisor performance ratings. Drawbacks • The major downside for management is less direct supervision of employees. Management point of View • Telecommuting can offer a considerable increase in flexibility and job satisfaction—but not without costs. • Employees with a high social need, telecommuting can increase feelings of isolation and reduce job satisfaction. • All telecommuters are vulnerable to the “out of sight, out of mind” effect. • Employees who aren’t at their desks, who miss meetings, and who don’t share in day-to-day informal workplace interactions may be at a disadvantage when it comes to raises and promotions. Employee Point of View 3/16/2015 44
  44. 44. The Social and Physical Context of Work Social aspects Socialcharacteristicsthat improvejobperformance include • Interdependence • Social support • Interactions with other people outside work. Benefits Social interactions are strongly related to positive moods and give employees more opportunities to clarify their work role and how well they are performing. Social support gives employees greater opportunities to obtain assistance with their work. Constructive social relationships can bring about a positive feedback loop as employees assist one another in a “virtuous circle.” 3/16/2015 45
  45. 45. The Social and Physical Context of Work (cont.) Work Context Physical demands make people physically uncomfortable, which is likely to show up in lower levels of job satisfaction. Hot, loud, and dangerous work is less satisfying than work conducted in climate-controlled, relatively quiet, and safe environments To assess why an employee is not performing to his or her best level, see whether the work environment is supportive. Does the employee have adequate tools, equipment, materials, and supplies? Does the employee have favorable working conditions, helpful co- workers, supportive work rules and procedures, sufficient information to make job-related decisions, and adequate time to do a good job? If not, performance will suffer 3/16/2015 46
  46. 46. Employee Involvement Employee involvement is a participative process that uses employees’ input to increase their commitment to the organization’s success. Employee involvement is creating an environment in which people have an impact on decisions and actions that affect their jobs. Employee involvement is not the goal nor is it a tool, as practiced in many organizations. Rather, it is a management and leadership philosophy about how people are most enabled to contribute to continuous improvement and the ongoing success of their work organization. 3/16/2015 47
  47. 47. Examples of Employee Involvement Programs • A process in which subordinates share a significant degree of decision-making power with their immediate superiors. Participative Management: • A system in which workers participate in organizational decision making through a small group of representative employees Representative Participation: 3/16/2015 48
  48. 48. Using Rewards to Motivate Employees • decided by establishing a pay structure What to pay employees • (decided through variable pay plans and skill-based pay plans) How to pay individual employees • (such as flexible benefits) What benefits and choices to offer • Employee recognition programs range from a spontaneous and private thank-you to widely publicized formal programs How to construct employee recognition 3/16/2015 49
  49. 49. What to Pay: Establishing a Pay Structure Ways to pay employees Internal equity—the worth of the job to the organization (usually established through a technical process called job evaluation) External equity—the external competitiveness of an organization’s pay relative to pay elsewhere in its industry (usually established through pay surveys). 3/16/2015 50
  50. 50. How to Pay: Rewarding Individual Employees Through Variable-Pay Programs • A pay plan that bases a portion of an employee’s pay on some individual and/or organizational measure of performance. Variable-pay program: 3/16/2015 51
  51. 51. Variable-pay program • A pay plan in which workers are paid a fixed sum for each unit of production completed. Piece-rate pay plan: • A pay plan based on performance appraisal ratings Merit-based pay plan • A pay plan that rewards employees for recent performance rather than historical performance Bonus • A pay plan that sets pay levels on the basis of how many skills employees have or how many jobs they can do. Skill-based pay • An organization wide program that distributes compensation based on some established formula designed around a company’s profitability. profit-sharing plan • A formula-based group incentive plan.Gain sharing • A company-established benefits plan in which employees acquire stock, often at below-market prices, as part of their benefits. Employee stock ownership plan (ESOP) 3/16/2015 52
  52. 52. Flexible Benefits: Developing a Benefits Package Modular plans • Modular plans are predesigned packages or modules of benefits, each of which meets the needs of a specific group of employees. • A module designed for single employees with no dependents might include only essential benefits. Core-plus options • Coreplus plans consist of a core of essential benefits and a menu like selection of others from which employees can select. • Typically, each employee is given “benefit credits,” which allow the purchase of additional benefits that uniquely meet his or her needs. Flexible spending accounts • Flexible spending plans allow employees to set aside pretax dollars up to the dollar amount offered in the plan to pay for particular benefits, such as health care and dental premiums. • Flexible spending accounts can increase take-home pay because employees don’t pay taxes on the dollars they spend from these accounts 3/16/2015 53
  53. 53. Intrinsic Rewards: Employee Recognition Programs Employee recognition programs range from a spontaneous and private thank- you to widely publicized formal programs in which specific types of behavior are encouraged and the procedures for attaining recognition are clearly identified. 3/16/2015 54
  54. 54. Conclusion The motivation theories in this chapter differ in their predictive strength. Here, we (1) review the most established to determine their relevance in explaining turnover, productivity, and other outcomes and(2) assess the predictive power of each. • Need theories. Maslow’s hierarchy, McClelland’s needs, and the two- factor theory focus on needs. None has found widespread support, although McClelland’s is the strongest, particularly regarding the relationship between achievement and productivity. In general, need theories are not very valid explanations of motivation. • Goal-setting theory. Clear and difficult goals lead to higher levels of employee productivity, supporting goal-setting theory’s explanation of this dependent variable • Reinforcement theory. This theory has an impressive record for predicting quality and quantity of work, persistence of effort, absenteeism, tardiness, and accident rates • Equity theory/organizational justice. Equity theory deals with productivity, satisfaction, absence, and turnover variables. However, its strongest legacy is that it provided the spark for research on organizational justice, which has more support in the literature. • Expectancy theory. Expectancy theory offers a powerful explanation of performance variables such as employee productivity, absenteeism, and turnover. • Recognize individual differences. Managers should be sensitive to individual differences. • Allow employees to participate in decisions that affect them. Employees can contribute to setting work goals, choosing their own benefits packages, and solving productivity and quality problems. • Link rewards to performance. Rewards should be contingent on performance, and employees must perceive the link between the two. 3/16/2015 55
  55. 55. References Keith Davis, John W Newstrom, “Organizational Behaviour, Human Behaviour at Work”, 12nd Edition Ricky W. Griffin, Gregory Moorhead “Organizational Behavior, Managing People and Organizations” 11th Edition Robert E. Stevens, David L. Loudon, “Organizational Behaviour”, 2nd Edition Stephen P. Robbins, Timothy A. Judge “Organizational Behaviour”, 15th Edition 3/16/2015 56
  56. 56. Thank You 3/16/2015 57

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