11. Group Activity:
How Good is
GE’s Performance
Management
System?
11
Discuss in your table groups
What are the potential
problems with this pay-for-
performance system?
What changes would you
suggest to improve this
system?
14. What Motivates You?
What drives you to want to learn OML or Business Administration ?
The reason why you chose a particular career ?
Your partner?
What needs drive you to live in a particular area ?
Are your drives different from other people or do we all share the same goals in
life?
15. The basic motivation process
NEEDS DRIVES INCENTIVES
Luthans 2002
NEEDS are created whenever there is a physiological
or psychological imbalance
DRIVES, physiological or psychological, are action
oriented and provides an energizing thrust toward
reaching an incentive
INCENTIVE is anything that will alleviate a need
and reduce a drive
16. What is Motivation?
◦ Motivation
◦ The processes that account for an
individual’s direction, intensity, and
persistence of effort toward attaining
a goal
◦ Direction: where effort is channeled
◦ Intensity: how hard a person tries
◦ Persistence: how long effort is
maintained
17. Sources of
Motivation
◦Extrinsic motivation
◦ Occurs when the person does
something to earn external reward
◦Intrinsic motivation
◦ Occurs when the person does
something to experience inherently
satisfying results
19. Needs Theories of
Motivation
Maslow’s hierarchy of needs
Alderfer’s ERG theory
Herzberg’s two factor theory
(motivator-hygiene theory)
McClelland’s theory of needs
• Individuals have needs that, when unsatisfied, will result
in motivation
Basic idea:
20. Behavioral and Cognitive
Theories of Motivation
◦ Cognitive and behavioral theories
◦ Expectancy theory
◦ Equity theory
◦ Goal Setting theory
◦ Basic idea:
◦ Theories are based on observable behaviors
21. 21
All of Us Work for…
Make a Positive Difference in the World
Food
Home
Family /
Friends
Feel
Proud
22. 22
All of Us Work for…
Make a Positive Difference in the World
Food
Home
Family /
Friends
Feel
Proud
Pay
Stable Job
Good People Around
Power / Respect
Personal Growth
23. Clayton Alderfer’s ERG Theory
Existence
concerned with providing
basic material existence
requirements
Relatedness
desire for maintaining
important interpersonal
relationships
Growth intrinsic desire for
personal development
25. David
McClelland’s need
theory: Need for
Achievement
◦ Need for Achievement
◦ Individual’s need to achieve excellence, be
competitive, set challenging goals, be persistent in
overcoming difficulties and achieving difficult goals.
◦ Need for Power
◦ Individual’s need to influence others, change
people or events, and make a difference in the life of
others.
◦ Need for Affiliation
◦ Individual’s need to establish and maintain
warm, close, intimate relationships with other people
Nelson & Quick 2002
26. Will More of
Everything
Motivate Us?
Physical working conditions
Pay
Job security
Relationship with your boss/peers
Interesting work
Freedom / autonomy
Responsibility
Pay
Opportunity to grow
27. Will More of Everything Motivate Us?
◦Physical working conditions
◦Pay
◦Job security
◦Relationship with your boss/peers
◦Interesting work
◦Freedom / autonomy
◦Responsibility
◦Pay
◦Opportunity to grow
More of these may
not motivate us
Very little of these
can de-motivate us
More of this can
motivate us
28. Frederick Herzberg’s
Motivator-Hygiene Theory
◦ Every worker has two sets of needs or requirements:
motivator needs and hygiene needs.
◦ Hygiene needs are associated with the physical and
psychological context in which the work is performed.
◦ Facets: physical working conditions, pay, security
◦ Motivator needs are associated with the actual work itself and
how challenging it is.
◦ Facets: interesting work, autonomy, responsibility, pay
29. Herzberg’s
Motivator-
Hygiene
Theory
◦ Hypothesized relationships between
motivator needs, hygiene needs, and job
satisfaction:
◦ When hygiene needs are met, workers will
not be dissatisfied; when these needs are
not met, workers will be dissatisfied
◦ When motivator needs are met, workers
will be satisfied and motivated; when
these needs are not met, workers will
not be satisfied
32. Comparison between Maslow’s and Herzberg’s
Theories
Maslow’s
Hierarchy of Needs
Herzberg’s
Two Factors
MOTIVATORS
HYGIENE
FACTORS
Physiological
Safety & Security
Social
Esteem
SA
34. Expectancy Theory of
Motivation: Key Constructs
Valence - value or importance placed on a reward
Expectancy - belief that effort leads to
performance
Instrumentality - belief that performance is
related to rewards
Victor Vroom
35. Managing
Motivation: A
Practical Tool
What is in it for me? value or importance placed on
a particular reward
Will I be able to do it? belief that effort leads to
performance
Can I trust “them”? belief that performance is
related to rewards
35
36. 36
Performance
EFFORT Reward
Managing Motivation: A Practical Approach
WiiiFM?
Will I be able to
do it?
Can I trust
“them”?
What is in it for me? value or importance placed on a particular reward
Will I be able to do it? belief that effort leads to performance
Can I trust “them”? belief that performance is related to rewards
38. 38
What Do We Expect From the
Company We Work for?
Good working conditions / Pay / Job
security
Good Relationship with your
boss/peers
Interesting work / Freedom / autonomy
Opportunity to grow
Individual
Organization
Expectation
Contribution
John Stacey Adams
39. 39
Good working conditions / Pay / Job
security
Good Relationship with your
boss/peers
Interesting work / Freedom /
autonomy
Opportunity to grow
• Knowledge
•Skills and abilities
•Our Time
Individual
Organization
Expectation
Contribution
What Do We Give the Company We
Work for?
40. 40
What Does Company Expect From Us?
Meeting goals and departmental
objectives
Good working conditions / Pay / Job
security
Good Relationship with your
boss/peers
Interesting work / Freedom /
autonomy
Opportunity to grow
• Knowledge
•Skills and abilities
•Our Time
Individual
Organization
Expectation
Contribution
41. 41
What Does Company Give Us?
Meeting goals and departmental
objectives
Good working conditions / Pay / Job
security
Good Relationship with your
boss/peers
Interesting work / Freedom /
autonomy
Opportunity to grow
• Income
• Social status
• Other Benefits
• Knowledge
• Skills and abilities
• Our Time
Individual
Organization
Expectation
Contribution
42. Adam’s Theory of Inequity
Inequity – the situation in which a
person perceives he or she is
receiving less than she is giving, or
is giving less than he or she is
receiving
John Stacey Adams
43. Motivational Theory Based on Social Exchange
Equity
Person Comparison
other
Reward
Effort
Reward
Effort
=
Negative
Equity
Reward
Effort
Reward
Effort
<
Positive
Equity
Reward
Effort
Reward
Effort
>
44. When Thinking
about How to
Achieve Goals
ask yourself the
following
Questions?……
◦ What skills do I need to achieve this?
◦ What information do I need?
◦ What help, assistance, or collaboration
do I need?
◦ What resources do I need?
◦ What can block progress?
◦ Am I making any assumptions?
◦ Is there a better way of doing things?
Learning Enrichment Center
45. 45
Integrating All: Theory of Life, Personality and
Motivation
Intention Motivation Action
•Autonomy / feedback
•Value attached to Internal / external reward
•Ability to do the job (self efficacy)
•Trust / Belief in the system /
•Culture / conformity
•Personality
•Situation [micro and macro]
Is it the right
thing to do?
(Theory of Life)
49. Individual
Activity: My Best
Job
49
Think about the best
job you have ever had
• Why was this job the best?
• What characteristics of this
job I liked the most?
• What characteristics of this
job I did NOT like?
Then ask yourself the
following questions:
50. 50
Can I make full use of a wide variety of skills?
Can I see the result of my effort in full?
Is my work making a positive difference?
Can I decide what is to be done?
How am I doing?
Important Aspects of Our Jobs
Skills Variety
The Big Picture
(Task Identity)
Making a
Difference
(Task Significance)
Autonomy
Feedback
Does this job contradict with my values and beliefs?
Values
51. 51
Skill Variety: The extent to which a job requires a worker to use
different skills, abilities, or talents.
Task Identity: The extent to which a job involves performing a
whole piece of work from its beginning to its end.
Task Significance: The extent to which a job has an impact on the
lives or work of other people in or out of the organization.
Core Job Dimensions
Autonomy: The degree to which a job allows a worker the freedom
and independence to schedule work and decide how to carry it out.
Feedback: The extent to which performing a job provides a
worker with clear information about his or her effectiveness.
52. 52
Motivating Potential Score (MPS)
◦ A measure of the overall potential of a job to foster intrinsic motivation.
◦ The score is a computational combination of the measures of skill
variety, task identity, task significance, autonomy, and feedback.
◦ Formula
MPS = (SV + TI + TS) x A x F
◦ MPS scores can range from 1 to 343. The average MPS for jobs in the
US is around 128. 3
54. List the
Attributes of
Your Current
Job Under the
Five
Dimensions
54
Job
Dimension
High /
Medium /
Low
Description
Skill variety
Task identity
Task
significance
Autonomy
Feedback
55. 55
Ways to Redesign Jobs to Increase MPS
Combine tasks so that a
worker is responsible for
doing a piece of work from
start to finish.
Skill variety
Task identity
Task significance
A production worker is responsible for
assembling a whole bicycle, not just attaching
the handlebars.
Group tasks into natural work
units so that workers are
responsible for an entire set
of important activities rather
than just a part of them.
Task identity
Task significance
A computer programmer handles all
programming requests from one division
instead of one type of request from several
different divisions.
Allow workers to interact with
customers or clients, and make
workers responsible for
managing these relationships
and satisfying customers.
Skill variety
Autonomy
Feedback
A truck driver who delivers photocopiers not
only sets them up but also trains customers in
how to use them, handles customer billing, and
responds to customer complaints.
Vertically load jobs so that
workers have more control
over their work activities and
higher levels of responsibility.
Autonomy A corporate marketing analyst not only prepares
marketing plans and reports but also decides when
to update and revise them, checks them for
errors, and presents them to upper management.
Open feedback channels
so that workers know how
they are performing their
jobs.
Feedback In addition to knowing how many claims he handles
per month, an insurance adjuster receives his clients’
responses to follow-up questionnaires that his
company uses to measure client satisfaction.
Change Made Job Dimension Example
57. 57
Job (Re-)Design: Group Exercise
◦Revisit your jobs
◦Discuss, by applying the concepts discussed
in the class, how you or your manager can
redesign the job to increase its motivation
potential
Padmakumar.nair@thapar.edu
58. List Your Ideas for Redesigning the Job
Which You Have Considered Previously
58
Job Dimension Approach / Proposed Changes
Skills Variety can be increased by…
Can he/she make full use of a wide variety of skills?
Ability to see the Big Picture (Task Identity) can be
enhanced by…
Can he/she see the result of his/her effort in full?
They will feel they are Making a Difference if…
Is his/her work making a positive difference?
Autonomy can be increased by…
Can he/she decide what is to be done?
Feedback can be improved by…
Are they getting continuous feedback?
60. Goal Setting at
Work
◦ The process of establishing
desired results that guide and
direct behavior
◦ Goals help crystallize the sense
of purpose and mission essential
to success at work
Edwin Locke and Gary
Latham
63. When Thinking
about How to
Achieve Goals ask
yourself the
following
Questions?……
◦ What skills do I need to achieve this?
◦ What information do I need?
◦ What help, assistance, or collaboration do
I need?
◦ What resources do I need?
◦ What can block progress?
◦ Am I making any assumptions?
◦ Is there a better way of doing things?
63
Learning Enrichment Center
64. Human Mind
64
Haidt, Jonathan (2006-12-26). The Happiness Hypothesis
Mind versus Body
Autonomic nervous system / “acting
organs”
Gut feelings
Right versus Left
Corpus callosum connects the left and
right cerebral hemispheres
Left hemisphere is specialized for
language processing and analytical tasks
Right hemisphere is better at processing
patterns in space, including that all-
important pattern, the face
Confabulation
Controlled versus Automatic New versus Old
A hindbrain (connected to the spinal
column), a midbrain, and a forebrain
(connected to the sensory organs at the
front of the animal)
A new outer shell of the forebrain:
hypothalamus (specialized to coordinate
basic drives and motivations), the
hippocampus (specialized for memory),
and the amygdala (specialized for
emotional learning and responding).
Neocortex or the gray matter