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45091927 motivating-employee


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45091927 motivating-employee

  1. 1. MotivatingEmployees 1
  2. 2. Sessions OutlinesGroup Members : Topics1. K. Raheel Akbar: Introduction and ETM2. Yasir Mehmood : CTM 1-33. Hammad Naeem : CTM 4-64. Noor Alam Khan : Integrating CTM and Current issues in Moti.5. M. Wajahat Ullah : Suggestions and Summary. 2
  3. 3. Meet our protagonist we‘ll call him “The Manager” 3
  4. 4. The Manager works for an OrganizationU-FonePakistan 4
  5. 5. But there is aproblem… 5
  6. 6. The Employees are not motivated 6
  7. 7. When the employees are not motivatedThere will be• Break over• Ineffectiveness• Inefficiency• Less productivity• Organization will not be able to achieve the goals. 7
  8. 8. The manager needs to figure out how to increase employee motivation 8
  9. 9. 9
  10. 10. •10
  11. 11. What Is Motivation?• Motivation – “The processes by which a person’s efforts are energized, directed and sustained towards attaining a goal.” • The energy: “A measure of intensity or drive.” • Direction: “Toward organizational goals.” • Persistence Dimension: “Prolong and sustain forth efforts to achieve those goals.” – Motivation works best when individual needs are compatible with organizational goals. 11
  12. 12. The Motivation Process Exhibit 16.1 12
  13. 13. The Motivation Process• Need – An internal state that makes certain outcomes appear attractive. – An unsatisfied need creates tension which is reduced by an individual’s efforts to satisfy the need. 13
  14. 14. Early Theories of Motivation–Maslow’s Hierarchy of Needs–MacGregor’s Theories X and Y–Herzberg’s Motivation-Hygiene Theory 14
  15. 15. Early Theories of Motivation• Maslow’s Hierarchy of Needs Theory• Physiological,• Safety Need• Social Need• Esteem Need• Self actualization Need 15
  16. 16. Early Theories of Motivation (Cont’d) Maslow’s Hierarchy of Needs Theory (Cont’d) – Needs were categorized as five levels of lower- to higher-order needs. • Individuals must satisfy lower-order needs before they can satisfy higher order needs. • Satisfied needs will no longer motivate. • Motivating a person depends on knowing at what level that person is on the hierarchy. – Hierarchy of needs • Lower-order (external): physiological, safety • Higher-order (internal): social, esteem, self-actualization 16
  17. 17. Maslow’s Hierarchy of Needs Exhibit 16.2 17
  18. 18. Early Theories of Motivation (cont’d)• McGregor’s Theory X and Theory Y– Theory XAssumes that workers have little ambition,dislike work, avoid responsibility, are lazy andand require close supervision. I WONT WORK! 18
  19. 19. Early Theories of Motivation (cont’d)– Theory Y • Assumes that employees are creative, enjoy work, seek responsibility and can exercise self direction.– Motivation is maximized by participative decision making, interesting jobs, and good group relations. HURRAY!!...WORK! 19
  20. 20. Early Theories of Motivation (cont’d)Herzberg’s Two-Factors Theory“The motivation theory that intrinsic (Motivators) factors are related to job satisfaction and motivation, where as extrinsic (Hygiene) factors are associated with job dissatisfaction.” 20
  21. 21. Early Theories of Motivation (cont’d)• Herzberg’s Two-Factors Theory (cont’d) – Hygiene factors: extrinsic (environmental) factors that eliminate job dissatisfaction, but dont motivate. – Motivators: intrinsic (psychological) factors that create job satisfaction and motivation. 21
  22. 22. Herzberg’s Motivation-Hygiene Theory Exhibit 16.3 22
  23. 23. Contrasting Views of Satisfaction- Dissatisfaction•The opposite of satisfaction is not dissatisfaction, but rather no satisfaction. Exhibit 16.4 23
  24. 24. Contemporary Theories ofMotivationThree-Needs TheoryGoal-Setting TheoryReinforcement TheoryDesigning Motivating JobsEquity TheoryExpectancy Theory 24
  25. 25. Contemporary Theories of Motivation (cont’d) • Three-Needs Theory – There are three major acquired (not innate) needs that are major motives in work. – Need for achievement (nAch) • The drive to excel and to achieve in relation to set standards and strive to succeed. – Need for power (nPow) • The need to influence the behavior of others – Need of affiliation (nAff) • The desire for interpersonal relationships 25
  26. 26. Pictorial Example of the Three Needs Theory Exhibit 16.5 26
  27. 27. Contemporary Theories of Motivation (cont’d)• Goal-Setting Theory – The Proposition that specific goals increase performance and that difficult goals, when accepted in higher performance than to easy goals. 27
  28. 28. Contemporary Theories of Motivation (cont’d)Goal Setting theory (cont’d)• Benefits of Participation in Goal-Setting – Increases the acceptance of goals. – Fosters commitment to difficult, public goals. – Provides for self-feedback (internal locus of control) that guides behavior and motivates performance (self-efficacy). 28
  29. 29. Goal-Setting Theory Exhibit 16.6 29
  30. 30. Contemporary Theories of Motivation (cont’d)Reinforcement TheoryAssumes that a desired behavior is a function of its consequences, is externally caused, and if reinforced, is likely to be repeated. 30
  31. 31. Contemporary Theories of Motivation (cont’d)• Reinforcement Theory (cont’d) – Rewards are most effective if they immediately follow a desire behavior. – Behavior that is not rewarded or is punished, is less likely to be repeated. 31
  32. 32. Contemporary Theories of Motivation (cont’d)• Designing Motivating Jobs• Job Design – The way tasks are combined to form complete jobs. Some ways that managers can design motivating jobs. – Job enlargement • The horizontal expansion of a job by increasing job scope. – Job enrichment • The vertical expansion of a job by adding planning and evaluating responsibilities. 32
  33. 33. Designing Motivating Jobs (Cont’d)Job Characteristics Model (JCM) – A framework for analyzing and designing jobs that identifies five primary job characteristics, their interrelationship, and their impact on outcomes. – Five primary job characteristics: • Skill variety • Task identity • Task significance • Autonomy • Feedback 33
  34. 34. Job Characteristics Model Exhibit 16.7 34
  35. 35. Guidelines for Job Redesign Exhibit 16.8 35
  36. 36. Designing Motivating Jobs (Cont’d)Suggestions for Using the JCM – Combine tasks (job enlargement) to create more meaningful work. – Create natural work units to make employees’ work important and whole. – Establish external and internal client relationships to provide feedback. – Expand jobs vertically (job enrichment) by giving employees more autonomy. – Open feedback channels to let employees know how well they are doing. 36
  37. 37. Equity Theory – The theory that an employee compares his or her job’s input-outcomes ratio with that of others and then correct any inequity. • If the ratios are perceived as equal then a state of equity (fairness) exists. • If the ratios are perceived as unequal, inequity exists and the person feels under- or over- rewarded. • When inequities occur, employees will attempt to do something to rebalance the ratios (seek justice). 37
  38. 38. Equity Theory (cont’d) – If an employee perceives any inequity he might, • Distort own or others’ ratios. • Induce others to change their own inputs or outcomes. • Change own inputs (increase or decrease efforts) or outcomes (seek greater rewards). • Choose a different comparison (referent) other (person, systems, or self). • Quit their job. – Employees are concerned with both the absolute and relative nature of Organizational rewards. 38
  39. 39. Equity Theory (cont’d) Exhibit 16.9 39
  40. 40. Equity Theory (cont’d)– Distributive justice • The perceived fairness of the amount and allocation of rewards among individuals (i.e., who received what). – Influences an employee’s satisfaction.– Procedural Justice • The perceived fairness of the process used to determine the distribution of rewards (i.e., how who received what). – Affects an employee’s organizational commitment. 40
  41. 41. Expectancy Theory – States that an individual tends to act in a certain way based on the expectation that the act will be followed by a given outcome and on the attractiveness of that outcome to the individual. – Key to the theory is understanding and managing employee goals and the linkages among and between effort, performance and rewards. • Effort: employee abilities and training/development • Performance: valid appraisal systems • Rewards (goals): understanding employee needs 41
  42. 42. Simplified Expectancy Model Exhibit 16.10 42
  43. 43. Expectancy Theory (Cont’d) • Expectancy Relationships – Expectancy (effort-performance linkage) • The perceived probability that an individual’s effort will result in a certain level of performance. – Instrumentality • Degree to which the individual believes that performance at a particular level is instrumental in attaining the desired outcome. – Valence • The attractiveness/importance of the performance reward (outcome) to the individual. 43
  44. 44. IntegratingContemporaryTheories ofMotivation Exhibit 16.11 44
  45. 45. • Integrating Contemporary Theories of Motivation (cont’d) 45
  46. 46. It is all about people 46
  47. 47. Current Issues in Motivation• Understanding the current issues and predicting employee motivation is one of the most popular areas in management. There are significant current workplaces issues exist in the current age that affect the employee motivation. 47
  48. 48. 1. Cross-Cultural Challenges– Motivational programs are most applicable in cultures where individualism and quality of life are cultural characteristics • Uncertainty avoidance of some cultures inverts Maslow’s needs hierarchy. • The need for achievement (nAch) is lacking in other cultures. • Collectivist cultures view rewards as “entitlements” to be distributed based on individual needs, not individual performance. 48
  49. 49. Current Issues in motivation (cont’d)• Cross-Cultural Consistencies – Interesting work is widely desired in many cultures, as is growth, achievement, and responsibility. 49
  50. 50. 2. Motivating Unique Groups of Workers• Motivating a diverse workforce• Motivating Professionals• Motivating Contingent workers• Motivating Low-Skilled, Minimum wage employees 50
  51. 51. Motivating Unique Groups of Worker (cont’d)Motivating a diverse workforce• Flexibility  Men desire more autonomy than do women.  Women desire learning opportunities, flexible work schedules, and good interpersonal relations. 51
  52. 52. Motivating Unique Groups of Workers (Cont’d)• Flexible Work/Job schedules – Compressed work week • Longer daily hours, but fewer days – Flexible work hours (flextime) • Specific weekly hours with varying arrival, departure, lunch and break times around certain core hours during which all employees must be present. – Job Sharing • Two or more people split a full-time job. – Telecommuting • Employees work from home using computer links. 52
  53. 53. Motivating Unique Groups of Workers (Cont’d)• Motivating Professionals – Characteristics of professionals • Strong and long-term commitment to their field of expertise. • Loyalty is to their profession, not to the employer. • Have the need to regularly update their knowledge. • Don’t define their workweek as 8:00 am to 5:00 pm. – Motivators for professionals • Job challenge • Organizational support of their work 53
  54. 54. Cross-Cultural Challenges (Cont’d)• Motivating Contingent Workers – Opportunity to become a permanent employee – Opportunity for training – Equity in compensation and benefits• Motivating Low-Skilled, Minimum-Wage Employees – Employee recognition programs – Provision of sincere praise 54
  55. 55. Designing Appropriate Rewards Programs – Open-book management • Involving employees in workplace decision by opening up the financial statements of the employer. – Employee recognition programs • Giving personal attention and expressing interest, approval, and appreciation for a job well done. – Pay-for-performance • Variable compensation plans that reward employees on the basis of their performance: – Piece rates, wage incentives, profit-sharing, and lump-sum bonuses 55
  56. 56. Designing Appropriate Rewards Programs (cont’d) – Stock option programs • Using financial instruments (in lieu of monetary compensation) that give employees the right to purchase shares of company stock at a set (option) price. • Options have value if the stock price rises above the option price; they become worthless if the stock price falls below the option price. 56
  57. 57. Recommendations for Designing Stock Options Exhibit 16.12b 57
  58. 58. Recommendations for Designing Stock Options Exhibit 16.12b 58
  59. 59. From Theory to Practice: Guidelines for Motivating Employees Recognize Match people individual to jobs differences Don’t ignore Use goals money Suggestions for Motivating Ensure that goalsCheck the system Employees are perceived as for equity attainable Link rewards Individualize to performance rewards 59
  60. 60. Suggestions (cont’d)The following remedial steps can be effective in the theory and practices of motivating employees.1. Recognize Individual Differences – almost every contemporary theory recognizes that all employees are not identical. They have different needs, attitudes, personality etc. 60
  61. 61. Suggestions (cont’d)• Match People to Jobs – employees are carefully matched with the jobs. That is high achiever should have jobs that allow them to participate in setting challenging goals, involve autonomy and feedback. 61
  62. 62. Suggestions (cont’d). Use Goals – managers should assure that employees have hard specific goals and feedback on how well they are doing in achieving those goals.• Ensure that Goals are perceived as Attainable – actually goals are attainable, employees who see goals as unattainable will reduce their effort because they will be thinking “Why bother”. 62
  63. 63. Suggestions (cont’d)Individualize rewards – every employeehave different needs, what act as areinforcer for one may not for other. So,manager should use their knowledge ofemployee differences to individualize thereward they control such as pay,promotion, autonomy etc. 63
  64. 64. Suggestions (cont’d)Link Rewards to Performance – managers need to make reward associated with performance.Check the System for Equity – employee should perceive the rewards or outcomes are equal to the inputs. Simply separated rewards for each job. 64
  65. 65. Suggestions (cont’d)Use Recognition – recognize the power of recognition. Using recognition is a low cost means to reward employees.Show Care & Concern of Your Employees – employee perform better for managers who care about them. 65
  66. 66. Suggestions (cont’d)Don’t Ignore Money – Creating interesting jobs and providing opportunities for participation, remember that money is the major reason why most people work. 66
  67. 67. Chapter SummaryMotivating Employees 67
  68. 68. What is Motivation?The process by which a person’s efforts are energized, directed, and sustained toward attaining a goal.Energy – intensity or driveDirection – effort channeled in a way that benefits the organizationPersistence – sustained effort to achieve goals 68
  69. 69. What are the Early Theories of Motivation?• Maslow’s hierarchy of Needs • Five needs: physiological, safety, social, esteem, & self-actualization. • Person moves up hierarchy as needs are substantially satisfied. • Substantially satisfied need no longer motivates. 69
  70. 70. What are the Early Theories of Motivation? (cont…)• McGregor’s Theory X and Y • Theory X – assumes people don’t like to work, won’t seek out responsibility, and have to be threatened & coerced to put forth effort. • Theory Y – assumes people like to work, seek out responsibility, and will exercise self- direction. 70
  71. 71. What are the Early Theories of Motivation? (cont…)• Herzberg’s two-factor Theory • Factors associated with job satisfaction (motivators) were intrinsic. • Factors associated with job dissatisfaction (hygiene) were extrinsic 71
  72. 72. What are the Contemporary Theories of Motivation? (cont…) • Goal-setting Theory – specific goals increases performance and difficult goals, when accepted, result in higher performance than do easy goals. • Intension to work toward a goal is a major source of job motivation • Specific hard goals produce higher levels of output than generalized goals 72
  73. 73. What are the Contemporary Theories of Motivation? (cont…)• Goal-setting Theory • Goal setting (difficult goals) versus need for achievement (moderately challenging goals) • Participation is probably preferable to assigning goals, but not always • Feedback guides and motivates behavior – especially self-generated feedback • Contingencies in goal setting: goal commitment, self-generated feedback 73
  74. 74. What are the Contemporary Theories of Motivation? (cont…)• Reinforcement Theory – behavior is a function of its consequences – Use positive reinforces to reinforce desirable behaviors – Ignore undesirable behavior rather than punish it 74
  75. 75. What are the Contemporary Theories of Motivation? (cont…)• Designing Motivating JobsDescribe the job characteristics, model as a way to –design motivating jobs.Job Enlargement – horizontally expanding job scope –(variety of task required in a job)Job Enrichment – vertically expanding job depth –(degree of control)Jon Characteristic Model – identify 5 primary job –dimensions to motivating jobs (skill variety, taskidentity, task significance, autonomy & feedback 75
  76. 76. What are the Contemporary Theories of Motivation? (cont…)• Equity theory - focus on how employees compare there inputs-outcome ratios to relevant others’ (referents) input-outcome – Perception of inequality will cause distortion of employees, or other’s input or outcomes – Induce others to change there inputs or outcomes – Change there own input or outcomes 76
  77. 77. What are the Contemporary Theories of Motivation? (cont…)• Expectancy Theory – an individual tends to act in a certain way based on the expectation that the act will be followed by given outcome and the attractiveness of that outcomes to the individual. – Effort-performance linkage – Performance-Reward linkage – Attractiveness of Rewards 77
  78. 78. Current Motivational Issues• Cross-Cultural Challenges• Motivating Unique Groups of Workers – Motivating a Diverse Workforce – Motivating Professionals – Motivating Contingent Workers – Motivating Low-Skilled, Minimum-Wage Employees• Designing appropriate reward Programs – Open-Book Management – Employee Recognition Programs – Pay-for-performance – Stock Option Programs 78
  80. 80. For your Information• The presentation slides and notes are uploaded to 80