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CHAPTER FOUR continued
MOTIVATION THEORIES & REWARD
Introduction
Motivation is one of the key factors
driving us towards achieving something.
Without motivation, we will do nothing.
Therefore, motivation is one of the key
aspects when it comes to corporate
management. In order to achieve the
best business results, the organization
needs to keep employees motivated.
Motivation
Any influence that triggers, directs or
maintains behavior
Research is based upon different variables
that affect motivation
Individual Differences
Organizational Contexts
Manager Behaviors
Process Theories
Content Versus Process
Motivation Theories
Content theories
explain why people have different needs at
different times
 Process theories
 describe the processes through which needs
are translated into behavior
The 20 motivation theories
1. Acquired Needs Theory
2. Activation Theory
3. Affect Perseverance
4. Attitude-Behaviour Consistency
5. Attribution Theory
6. Cognitive Dissonance
7. Cognitive Evolution Theory
8. Consistency Theory
9. Control Theory
10.Disconfirmation Bias
11.Drive Theory
The 20 motivation theories
12 Endowed Progress Effect
13 Escape Theory
14 Extrinsic Motivation
15 Goal Setting Theory
16 Investment Model
17 Positive Psychology
18 Reactance Theory
19 Maslow’s motivation theory
20 Herzberg’s motivators and hygiene factors theory
Alderfer’s
ERG Theory
Maslow’s
Need Hierarchy
Content Theories of Motivation
Self-
Actualization
Esteem
Belongingness
Safety
Physiological
Growth
Existence
Herzberg’s
Theory
Motivators
Hygienes
Need for
Achievement
Need for
Power
Need for
Affiliation
McClelland’s
Learned Needs
Relatedness
Maslow’s Hierarchy
Each individual has needs, or feelings of
deficiency that drive their behavior
Once a need is satisficed, then it is no
longer motivating
Needs are in a hierarchy that an individual
moves up as they satisfy levels of needs
Practical Implications of
Content Theories
People have different needs at
different times
Offer employees a choice of rewards -
- a flexible reward system
Do not rely too heavily on financial
rewards
they mainly address lower level needs
Maslow’s Hierarchy
Each individual has needs, or feelings of
deficiency that drive their behavior
Once a need is satisfied, then it is no
longer motivating
Needs are in a hierarchy that an individual
moves up as they satisfy levels of needs
Maslow’s Hierarchy
Adapted from Figure 14.2
Self-
Actualization
Esteem
Affiliation
Security
Physiological
14.3
Levels of Needs
Physiological/Survival needs
Food, Clothing, Shelter, Air
Security
Feel safe, absence of pain, threat, or illness
Affiliation
friendship, company, love, belonging
first clear step up from physical needs
Need levels (cont.)
Esteem Needs
self-respect, achievement, recognition,
prestige
cues a persons worth
Self-Actualization
personal growth, self-fulfillment, realization
of full potential
Where are YOU on the hierarchy???
Alderfer’s ERG
Consolidates Maslow into 3 categories
Existence-physiological and security
Relatedness-affiliation
Growth-esteem and self-actualization
ERG Model of Motivation
Adapted from Figure 14.3
Frustration-Regression Satisfaction-Progression
Growth Needs
Relatedness Needs
Existence Needs
14.4
Frustration-Regression
Differs from Maslow
When unable to satisfy upper level needs,
the individual will revert to satisfying
lower level needs
Interesting point from research....growth
stimulates growth
McClelland’s Learned
Needs
Needs are acquired through interaction
with environment
Not a hierarchy, but degrees of each type
of need or motive
Types of Needs
N Ach-motive to meet some standard of
excellence or to compete
N Aff-motive to develop and maintain
close and meaningful relationships
N Pow-desire to influence and control
others and the environment
Herzberg’s Two Factor
Theory
Some variable prevent job dissatisfaction
and some variables produce motivation
Hygiene factors-basic needs that will
prevent dissatisfaction
light, temperature, pay, parking
Motivators
when present cause high levels of motivation
interesting work, advancement, growth, etc.
Herzberg’s Two Factor
Theory
High
Motivation
High
Hygienes
Adapted from Figure 14.4
Low High
Motivators
Low
Low Motivation
Dissatisfaction
Low Dissatisfaction
14.6
Herzberg theory & significance
• Herzberg was the first to show that satisfaction and
dissatisfaction at work nearly always arose from
different factors, and were not simply opposing
reactions to the same factors, as had always previously
been (and still now by the unenlightened) believed.
• In 1959 Herzberg wrote the following useful little
phrase, which helps explain this fundamental part of his
theory, i.e., that the factors which motivate people at
work are different to and not simply the opposite of the
factors which cause dissatisfaction:
• "We can expand ... by stating that the job satisfiers deal
with the factors involved in doing the job, whereas the
job dissatisfiers deal with the factors which define the
job context."
Herzberg's findings revealed that certain characteristics of a job are
consistently related to job satisfaction, while different factors are associated
with job dissatisfaction. These are:
Herzberg’s Motivators
Herzberg’s hygiene factors
Examples of Herzberg's 'hygiene' needs (or
maintenance factors) in the workplace are:
1. policy
2. relationship with supervisor
3. work conditions
4. salary
5. company car
6. status
7. security
8. relationship with subordinates
9. personal life
Process Theories
Reinforcement Theory
Expectancy
Equity
Justice Theory
Goal Setting
Types of Reinforcement
Positive Reinforcement-rewards
Punishment-Application of a negative
outcome
Negative Reinforcement-removal of
negative outcomes when behavior is
performed
Extinction-absence of reinforcement
(removal of positive reinforcement)
Drawbacks
Reinforcement Process
Source: From L. W. Porter and E. E. Lawler III.
Managerial Attitudes and Performance. Homewood,
Ill.: Irwin, 1968, p. 165. Used with permission
Adapted from Figure 14.6
Stimulus
(situation)
Response
(behavior)
Consequences
(rewards and punishments)
Future Behavior
14.9
Equity Theory
Individuals try to find a balance between
their inputs and outputs relative to a
referent other
However, a referent other is not always
present
Results of Inequity
Equity-I am being treated fairly
Under-rewarded-will look to increase
rewards, or decrease inputs to match
rewards
Over-rewarded-will change referent to
match cognitions or increase inputs
Leaving and distortion
Reinforcement Theory
Behaviors are functions of consequences
that they produce
If a behavior is followed by a pleasant
experience it will be repeated
In order to change behaviors the
consequences must be changed
Overreward Versus
Underreward Inequity
You
Comparison
Other
Outcomes
Inputs
Outcomes
Inputs
Overreward
Inequity
Outcomes
Inputs
Outcomes
Inputs
Underreward
Inequity
Goal Setting Theory
Assignment of specific, moderately
difficult, and providing feedback will
provide motivation to work
Employee participation
Receive rewards
Provide competencies for achievement
High
Task
Performance
Low Moderate Challenging Impossible
Area of
Optimal
Goal
Difficulty
Effect of Goal Difficulty on
Performance
Goal Difficulty
Expectancy Theory
Combines goal setting and reinforcement
theories
Three questions drive motivation
With effort can I perform?
With performance, will I be rewarded?
Do I value the rewards?
Terms
Expectancy-belief that effort will lead to
performance
Instrumentality-performance leads to
rewards (does performance level matter)
Valence-value of rewards
E-to-P
Expectancy
P-to-O
Expectancy
Outcomes
& Valences
Outcome 1
+ or -
Effort Performance
Outcome 3
+ or -
Outcome 2
+ or -
Expectancy Theory of
Motivation
Justice Theory
Procedural Justice - fairness issues
concerning the methods, mechanisms,
and processes used to determine
outcomes
Distributive Justice - concerns the fairness
of outcomes, includes equity theory
Interactional Justice - concerns the way
one is treated informally during
procedures and distributions
How they interact
Procedural justice and interactional justice
can buffer inequity to some level
Above that threshold, procedural and
interactional justice do not matter
If equity is present, then interactional and
procedural do not matter
Does order of procedural or interactional
justice matter?
Motivation
Motivation -Intensity
Motivation-Direction
Motivation-Persistence
Two
Types of motivation
Intrinsic vs Extrinsic
Types of Rewards
Types of Rewards
Extrinsic-external rewards such as money,
fringe benefits, job security
Intrinsic-internal satisfaction outcomes
from doing work
Satisfaction-employee’s attitude about
work situations
Intrinsic motivation and Intrigue??????
Categories of rewards
Conclusion
 Motivation Theories suggest many ways of keeping the
employees motivated on what they do.
 Although, a manager is not required to learn all these
motivation theories, having an idea of certain theories
may be an advantage for day-to day activities.
 These theories give the managers a set of techniques
that they can try out in the corporate environments.
 Some of these theories have been used in business for
decades, although we do not know them Explicitly.
 Please use them to motivate your staff for greater
productivity through enhanced performance

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Chapter 4 Theories of Motivation.ppt

  • 2. Introduction Motivation is one of the key factors driving us towards achieving something. Without motivation, we will do nothing. Therefore, motivation is one of the key aspects when it comes to corporate management. In order to achieve the best business results, the organization needs to keep employees motivated.
  • 3. Motivation Any influence that triggers, directs or maintains behavior Research is based upon different variables that affect motivation Individual Differences Organizational Contexts Manager Behaviors Process Theories
  • 4. Content Versus Process Motivation Theories Content theories explain why people have different needs at different times  Process theories  describe the processes through which needs are translated into behavior
  • 5. The 20 motivation theories 1. Acquired Needs Theory 2. Activation Theory 3. Affect Perseverance 4. Attitude-Behaviour Consistency 5. Attribution Theory 6. Cognitive Dissonance 7. Cognitive Evolution Theory 8. Consistency Theory 9. Control Theory 10.Disconfirmation Bias 11.Drive Theory
  • 6. The 20 motivation theories 12 Endowed Progress Effect 13 Escape Theory 14 Extrinsic Motivation 15 Goal Setting Theory 16 Investment Model 17 Positive Psychology 18 Reactance Theory 19 Maslow’s motivation theory 20 Herzberg’s motivators and hygiene factors theory
  • 7. Alderfer’s ERG Theory Maslow’s Need Hierarchy Content Theories of Motivation Self- Actualization Esteem Belongingness Safety Physiological Growth Existence Herzberg’s Theory Motivators Hygienes Need for Achievement Need for Power Need for Affiliation McClelland’s Learned Needs Relatedness
  • 8. Maslow’s Hierarchy Each individual has needs, or feelings of deficiency that drive their behavior Once a need is satisficed, then it is no longer motivating Needs are in a hierarchy that an individual moves up as they satisfy levels of needs
  • 9. Practical Implications of Content Theories People have different needs at different times Offer employees a choice of rewards - - a flexible reward system Do not rely too heavily on financial rewards they mainly address lower level needs
  • 10. Maslow’s Hierarchy Each individual has needs, or feelings of deficiency that drive their behavior Once a need is satisfied, then it is no longer motivating Needs are in a hierarchy that an individual moves up as they satisfy levels of needs
  • 11. Maslow’s Hierarchy Adapted from Figure 14.2 Self- Actualization Esteem Affiliation Security Physiological 14.3
  • 12. Levels of Needs Physiological/Survival needs Food, Clothing, Shelter, Air Security Feel safe, absence of pain, threat, or illness Affiliation friendship, company, love, belonging first clear step up from physical needs
  • 13. Need levels (cont.) Esteem Needs self-respect, achievement, recognition, prestige cues a persons worth Self-Actualization personal growth, self-fulfillment, realization of full potential Where are YOU on the hierarchy???
  • 14. Alderfer’s ERG Consolidates Maslow into 3 categories Existence-physiological and security Relatedness-affiliation Growth-esteem and self-actualization
  • 15. ERG Model of Motivation Adapted from Figure 14.3 Frustration-Regression Satisfaction-Progression Growth Needs Relatedness Needs Existence Needs 14.4
  • 16. Frustration-Regression Differs from Maslow When unable to satisfy upper level needs, the individual will revert to satisfying lower level needs Interesting point from research....growth stimulates growth
  • 17. McClelland’s Learned Needs Needs are acquired through interaction with environment Not a hierarchy, but degrees of each type of need or motive
  • 18. Types of Needs N Ach-motive to meet some standard of excellence or to compete N Aff-motive to develop and maintain close and meaningful relationships N Pow-desire to influence and control others and the environment
  • 19. Herzberg’s Two Factor Theory Some variable prevent job dissatisfaction and some variables produce motivation Hygiene factors-basic needs that will prevent dissatisfaction light, temperature, pay, parking Motivators when present cause high levels of motivation interesting work, advancement, growth, etc.
  • 20. Herzberg’s Two Factor Theory High Motivation High Hygienes Adapted from Figure 14.4 Low High Motivators Low Low Motivation Dissatisfaction Low Dissatisfaction 14.6
  • 21. Herzberg theory & significance • Herzberg was the first to show that satisfaction and dissatisfaction at work nearly always arose from different factors, and were not simply opposing reactions to the same factors, as had always previously been (and still now by the unenlightened) believed. • In 1959 Herzberg wrote the following useful little phrase, which helps explain this fundamental part of his theory, i.e., that the factors which motivate people at work are different to and not simply the opposite of the factors which cause dissatisfaction: • "We can expand ... by stating that the job satisfiers deal with the factors involved in doing the job, whereas the job dissatisfiers deal with the factors which define the job context."
  • 22. Herzberg's findings revealed that certain characteristics of a job are consistently related to job satisfaction, while different factors are associated with job dissatisfaction. These are: Herzberg’s Motivators
  • 23. Herzberg’s hygiene factors Examples of Herzberg's 'hygiene' needs (or maintenance factors) in the workplace are: 1. policy 2. relationship with supervisor 3. work conditions 4. salary 5. company car 6. status 7. security 8. relationship with subordinates 9. personal life
  • 24.
  • 26. Types of Reinforcement Positive Reinforcement-rewards Punishment-Application of a negative outcome Negative Reinforcement-removal of negative outcomes when behavior is performed Extinction-absence of reinforcement (removal of positive reinforcement) Drawbacks
  • 27. Reinforcement Process Source: From L. W. Porter and E. E. Lawler III. Managerial Attitudes and Performance. Homewood, Ill.: Irwin, 1968, p. 165. Used with permission Adapted from Figure 14.6 Stimulus (situation) Response (behavior) Consequences (rewards and punishments) Future Behavior 14.9
  • 28. Equity Theory Individuals try to find a balance between their inputs and outputs relative to a referent other However, a referent other is not always present
  • 29. Results of Inequity Equity-I am being treated fairly Under-rewarded-will look to increase rewards, or decrease inputs to match rewards Over-rewarded-will change referent to match cognitions or increase inputs Leaving and distortion
  • 30. Reinforcement Theory Behaviors are functions of consequences that they produce If a behavior is followed by a pleasant experience it will be repeated In order to change behaviors the consequences must be changed
  • 32. Goal Setting Theory Assignment of specific, moderately difficult, and providing feedback will provide motivation to work Employee participation Receive rewards Provide competencies for achievement
  • 33. High Task Performance Low Moderate Challenging Impossible Area of Optimal Goal Difficulty Effect of Goal Difficulty on Performance Goal Difficulty
  • 34. Expectancy Theory Combines goal setting and reinforcement theories Three questions drive motivation With effort can I perform? With performance, will I be rewarded? Do I value the rewards?
  • 35. Terms Expectancy-belief that effort will lead to performance Instrumentality-performance leads to rewards (does performance level matter) Valence-value of rewards
  • 36. E-to-P Expectancy P-to-O Expectancy Outcomes & Valences Outcome 1 + or - Effort Performance Outcome 3 + or - Outcome 2 + or - Expectancy Theory of Motivation
  • 37. Justice Theory Procedural Justice - fairness issues concerning the methods, mechanisms, and processes used to determine outcomes Distributive Justice - concerns the fairness of outcomes, includes equity theory Interactional Justice - concerns the way one is treated informally during procedures and distributions
  • 38. How they interact Procedural justice and interactional justice can buffer inequity to some level Above that threshold, procedural and interactional justice do not matter If equity is present, then interactional and procedural do not matter Does order of procedural or interactional justice matter?
  • 45. Types of Rewards Extrinsic-external rewards such as money, fringe benefits, job security Intrinsic-internal satisfaction outcomes from doing work Satisfaction-employee’s attitude about work situations Intrinsic motivation and Intrigue??????
  • 47. Conclusion  Motivation Theories suggest many ways of keeping the employees motivated on what they do.  Although, a manager is not required to learn all these motivation theories, having an idea of certain theories may be an advantage for day-to day activities.  These theories give the managers a set of techniques that they can try out in the corporate environments.  Some of these theories have been used in business for decades, although we do not know them Explicitly.  Please use them to motivate your staff for greater productivity through enhanced performance