Robbins eob9 inst_ppt_06

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Robbins eob9 inst_ppt_06

  1. 1. Motivation: From Concepts to Applications Chapter 6 Essentials of Organizational Behavior, 9/e Stephen P. Robbins/Timothy A. Judge
  2. 2. After studying this chapter, you should be able to: <ul><li>Discuss the ways in which employees can be motivated by changing the work environment </li></ul><ul><li>Explain why managers might want to use employee involvement programs </li></ul><ul><li>Discuss how the different types of variable-pay programs can increase employee motivation </li></ul><ul><li>Describe the link between skill-based pay plans and motivation theories </li></ul><ul><li>Explain how employee recognition programs affect motivation </li></ul>
  3. 3. The Job Characteristics Model <ul><li>Proposes that any job can be described in terms of five core job dimensions: </li></ul><ul><ul><li>Skill variety </li></ul></ul><ul><ul><li>Task identity </li></ul></ul><ul><ul><li>Task significance </li></ul></ul><ul><ul><li>Autonomy </li></ul></ul><ul><ul><li>Feedback </li></ul></ul>
  4. 4. The Job Characteristics Model
  5. 5. Motivating Potential Score (MPS) MPS = Skill variety + Task Identity + Task significance 3 x Autonomy x Feedback
  6. 6. How can jobs be Redesigned? <ul><li>Job Rotation or Cross-training – the periodic shifting of an employee from one task to another </li></ul><ul><li>Job Enlargement – increasing the number and variety of tasks </li></ul><ul><li>Job Enrichment – increasing the degree to which the worker controls the planning, execution and evaluation of the work </li></ul>
  7. 7. Guidelines for Enriching a Job
  8. 8. Alternate Work Arrangements <ul><li>Flextime – allows some discretion over when worker starts and leaves </li></ul><ul><li>Job Sharing – two or more individuals split a traditional job </li></ul><ul><li>Telecommuting – work remotely at least two days per week </li></ul>
  9. 9. Employee Involvement <ul><li>A participative process that uses the input of employees to increase their commitment to the organization’s success </li></ul>
  10. 10. Employee Involvement Programs <ul><li>Participative Management – subordinates share a significant degree of decision-making power with their immediate superiors </li></ul><ul><li>Representative Participation – workers are represented by a small group of employees who participate in decisions affecting personnel </li></ul>
  11. 11. Rewarding Employees <ul><li>Major strategic rewards decisions: </li></ul><ul><ul><li>What to pay employees </li></ul></ul><ul><ul><li>How to pay individual employees </li></ul></ul><ul><ul><li>What benefits to offer </li></ul></ul><ul><ul><li>How to construct employee recognition programs </li></ul></ul>
  12. 12. What to pay <ul><li>Need to establish a pay structure </li></ul><ul><li>Balance between: </li></ul><ul><ul><li>Internal equity – the worth of the job to the organization </li></ul></ul><ul><ul><li>External equity – the external competitiveness of an organization’s pay relative to pay elsewhere in its industry </li></ul></ul><ul><li>A strategic decision with trade-offs </li></ul>
  13. 13. How to pay: Variable-Pay Programs <ul><li>Bases a portion of the pay on some individual and/or organizational measure of performance </li></ul><ul><li>Piece-Rate Pay – workers are paid a fixed sum for each unit of production completed </li></ul><ul><li>Merit-Based Pay – pay is based on individual performance appraisal ratings </li></ul><ul><li>Bonuses – rewards employees for recent performance </li></ul>
  14. 14. Variable Pay Programs (cont.) <ul><li>Profit-Sharing Plans – organization-wide programs that distribute compensation based on an established formula designed around profitability </li></ul><ul><li>Gain Sharing – compensation based on sharing of gains from improved productivity </li></ul><ul><li>Employee Stock Ownership Plans (ESOPs) – plans in which employees acquire stock, often at below-market prices </li></ul>
  15. 15. How to pay: Skill-Based Pay Plans <ul><li>Pay is based on skills acquired instead of job title or rank </li></ul><ul><li>Doesn’t address the level of performance, only ability to perform skill </li></ul>
  16. 16. Flexible Benefits <ul><li>Allows each employee to put together a benefit package tailored to their own needs and situation </li></ul><ul><li>Modular plans – predesigned packages to meet the needs of a specific group </li></ul><ul><li>Core-plus plans – core of essential benefits and menu of options to choose from </li></ul><ul><li>Flexible spending plans – full choice from menu of options </li></ul>
  17. 17. Employee Recognition Programs <ul><li>Are in addition to extrinsic compensation systems </li></ul><ul><li>Are intrinsic rewards </li></ul><ul><ul><li>Can be as simple as a spontaneous comment </li></ul></ul><ul><ul><li>Can be formalized in a program </li></ul></ul><ul><li>Recognition is the most powerful workplace motivator </li></ul>
  18. 18. Implications for Managers <ul><li>Recognize individual differences </li></ul><ul><li>Use goals and feedback </li></ul><ul><li>Allow employees to participate in decisions that affect them </li></ul><ul><li>Link rewards to performance </li></ul><ul><li>Check the system for equity </li></ul>
  19. 19. Summary <ul><li>Discussed the ways in which employees can be motivated by changing the work environment </li></ul><ul><li>Explained why managers might want to use employee involvement programs </li></ul><ul><li>Discussed how the different types of variable-pay programs can increase employee motivation </li></ul><ul><li>Described the link between skill-based pay plans and motivation theories </li></ul><ul><li>Explained how employee recognition programs affect motivation </li></ul>

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