This document discusses various theories of motivation and their application to employee performance. It aims to identify different motivation theories, understand motivation's role in performance, classify employee needs, and apply theories to analyze performance issues. Theories covered include Maslow's hierarchy of needs, Herzberg's two-factor theory, McClelland's need theory, McGregor's Theory X and Y, and Ouchi's Theory Z. Each theory's key aspects and limitations are explained.

1. Objectives:
a. identify the different Theories of Motivation
b. understand the role of motivation in determining
employee performance
c. classify the basic needs of employees
d. apply motivation theories to analyze performance
problems

2. Group 2
Aranza, Glory Be
Espanola, Shirly
Mamalo, Alija
Porras, Alyssa
Samandalan, Johari

3. Definition of Motivation
Motivation - the process of
arousing and sustaining goal-
directed behavior. It is also
the process of inspiring
people in order to intensify
their desire and willingness
for executing their duties
effectively and for
cooperating to achieve the
common objectives of an
enterprise/company.

4. THEORIES OF MOTIVATION
• Maslow's Hierarchy of Needs
• Herzberg's Two factor Theory
• McClelland’s Need Theory
• McGregors’ X and Y Theories
• Ouchis’ Z Theory

5. MASLOW ‘S THEORY OF MOTIVATION
• We all have a hierarchy of needs that ranges from "lower"
to "higher." As lower needs are fulfilled there is a tendency
for other, higher needs to emerge.”
• Maslow’s theory maintains that a person does not feel a
higher need until the needs of the current level have been
satisfied.
• Abraham Maslow postulated that a person will be
motivated when, all his needs are fulfilled.

6. Maslow’s Hierarchy of Needs
Physiological Needs
Safety Needs
Social Needs
Self Esteem
SA Self Actualization

7. • Physiological Motivation: Provide ample breaks
for lunch , pay salaries that allow workers to buy
life's essentials.
• Safety Needs: Provide a working environment
which is safe, relative job security, and freedom
from threats.
• Social Needs: Generate a feeling of acceptance,
belonging by reinforcing team dynamics.

8. • Esteem Motivators: Recognize achievements,
assign important projects, and provide status to
make employees feel valued and appreciated.
• Self-Actualization: Offer challenging and
meaningful work assignments which enable
innovation, creativity, and progress according to
long-term goals.

9. LIMITATIONS AND CRITICISM
• Maslow’s hierarchy makes sense but little evidence
supports its strict hierarchy. Research has challenged the
order imposed by Maslow’s pyramid. As an example, in
some cultures, social needs are regarded higher than any
others.
• Little evidence suggests that people satisfy exclusively
one motivating need at a time.

10. Herzberg’s Two-factor Theory
Frederick Herzberg performed studies to
determine which factors in an employee's work
environment caused satisfaction or dissatisfaction.
He published his findings in the 1959 book The
Motivation to Work and He classified the needs into
two broad categories; namely hygiene factors and
motivating factors.

11. Herzberg’s Two-Factor Theory
Hygiene Factor - work condition related to dissatisfaction
caused by discomfort or pain
– maintenance factor
– contributes to employee’s feeling not dissatisfied
– contributes to absence of complaints
Motivation Factor - work condition related to the
satisfaction of the need for psychological growth
– job enrichment
– leads to superior performance & effort

12. Motivation–Hygiene
Theory of Motivation
Hygiene factors avoid
job dissatisfaction
• Company policy &
administration
• Supervision
• Interpersonal relations
• Working conditions
• Salary
• Status
• Security
SOURCE: Adapted from Frederick Herzberg, The Managerial Choice: To be Efficient or to Be Human. (Salt Lake City: Olympus, 1982). Reprinted by permission.
• Achievement
• Achievement
recognition
• Work itself
• Responsibility
• Advancement
• Growth
• Salary
Motivation factors
increase job satisfaction

13. LIMITATION AND CRITICISM
• Critics consider Herzberg's two factor theory to be
simplistic - what motivates me may be a dissatisfier
for someone else.
• Its for individuals, not as a homogeneous group
with one set of wants and needs.
• Some factors may be within your control, some
may not.

14. • David Clarence McClelland (May 20, 1917
– March 27, 1998) was an American social
psychologist. He is known for his work in
the field of motivation and especially his
theory of people's "need for achievement.
He developed innovative ways of measuring
psychological characteristics. McClelland
recognized competence and motivation to
achieve as the characteristics best able to
predict success on tasks.
Together with John Atkinson, he developed
the scoring system for the Thematic
Apperception Test (TAT) which is used in
achievement motivation research.

15. McClelland’s Theory of Needs
He affirms that we all have three motivating
drivers, which do not depend on our gender or
age. Namely:
– Need for Achievement
– Need Power
– Need for Affiliation

16. McClelland’s Need Theory:
Need for Achievement
Need for Achievement - a
manifest (easily perceived)
need that concerns
individuals’ issues of
excellence, competition,
challenging goals,
persistence, and overcoming
difficulties.

17. Need for Achievement
• Personal Responsibility, Feedback, Moderate risk
• Typical Behaviors:
High: must win at any cost, must be on top, and receive
credit.
Low: Fears failure, avoids responsibility

18. McClelland’s Need Theory:
Need for Power
Need for Power - a manifest
(easily perceived) need that
concerns an individual’s need
to make an impact on others,
influence others, change
people or events, and make a
difference in life.

19. Need for Power
• Influence, Competitive
• Typical Behaviors:
High: Demands blind loyalty and harmony, does not
tolerate disagreement.
Low: Remains aloof, maintains social distance

20. McClelland’s Need Theory:
Need for Affiliation
Need for Affiliation - a
manifest (easily perceived)
need that concerns an
individual’s need to establish
and maintain warm, close,
intimate relationships with
other people

21. Need for Affiliation
• Acceptance, Friendship, and Cooperative
• Typical Behaviors:
High: Desires control of everyone and everything,
exaggerates own position and resources.
Low: Dependent/subordinate, minimizes
own position and resources

22. McGregor’s X and Y
Theories

24. • Douglas McGregor (1906 –1964) was a famous
management professor in the field of personal
development and motivational theory.
• He is best known for his development of the Theory X
and Theory Y, a leadership theory on two different
leadership styles.

25. • Douglas McGregor has earned his Bachelor (B.E.) in
Mechanical Engineering at the Rangoon Institute of
Technology (RIT) in Burma.
• In 1932 he earned his Bachelor (B.A.) in Administration at
the Wayne State University. Still he wasn’t finished on
studying. He had a special interest in psychology and
went to the Harvard University. First he earned his master
(M.A.) in 1935 and in 1935 got his Ph.D. degree in social
psychology.

26. THEORY X
McGregor believe that this theory relies on the
authoritarian style of management, where the
managers are required to give instructions and keep
a close check on each employee. As it is assumed,
the employees are not motivated and they dislike
working.

27. • Theory X is a motivational theory, which involves high
supervision and control over the subordinates, and
greater degree of centralization.

28. Assumptions of Theory X
• The employee is lazy and dislikes work.
• The employee is not ambitious and dislikes responsibility
and therefore prefers to be led.
• The employee is self- centered and indifferent towards the
organizational interest.
• The management must intervene to keep the employees
working towards the economic end. They must be
persuaded, rewarded, motivated, punished, and controlled
to get the work completed.
• Most Employee resist change.

29. THEORY Y
According to McGregor, this theory relies on the
participative style of management, where the managers
assume that the employees are self- directed and self-
motivated to accomplish the organizational objectives.
Theory Y, is an advanced theory, wherein it is assumed
that the workers are self-directed and self-motivated, for
growth and development and takes active part in decision
making.

30. Assumptions on Theory Y
• The average human being does not inherently dislike
work, they are creative and self-motivated and likes to
work with greater responsibilities.
• Employees are self-directed and self-controlled and
therefore the threat of punishment is not only the means
for getting the desired results.
• The extent to which an employee is committed to
objectives is determined by the rewards associated with
their achievement.

31. • The average human being is ambitious and is ready to
take responsibilities. He likes to lead rather than to be led
by others.
• The employees exercise a relative high degree of
imagination and creativity in solving the complex
organizational problems.

32. Ouchis’ Z Theory

33. THEORY Z
William Ouchi believes that this theory relies on
Participative management and workplace teamwork
approach or Japanese Management Style. This is a
development beyond theory X and Y that blended the
best of Eastern and Western management practices. He
argued that the secret to their success was not what they
were producing but how they were managing their
people.

34. Benefits of Theory Z
• Increased employee’s commitment
• Improved morale
• Improved Job Satisfaction
• Drastic Increases in productivity

35. Assumptions of Theory Z
• Employees seek to build cooperative and intimate working
relationships with their coworkers. In other words,
Employees have a strong desire for affiliation.
• Employees expects reciprocity and support frim the
company.
• Employees can be trusted to do their jobs to their utmost
ability and look after for their own and other’s well-being.

36. Theory Z suffers from the following
limitations:
• It merely provides job security and may fail to develop
loyalty among employees.
• Participation of employees in the decision-making process
is very difficult.
• Theory Z suggests organisation without any structure.
• The theory may not be applicable in different cultures.

38. THANK YOU! :)