Ch14.ppt

PowerPoint Presentation
to Accompany Chapter 14 of
Management Fundamentals
Canadian Edition
Schermerhorn  Wright
Prepared by: Michael K. McCuddy
Adapted by: Lynda Anstett & Lorie Guest
Published by: John Wiley & Sons Canada, Ltd.

Management Fundamentals - Chapter 14 2
Planning Ahead — Chapter 14 Study Questions
 What is motivation?
 What are the different types of individual needs?
 What are the process theories of motivation?
 What role does reinforcement play in motivation?
 What are the challenges of motivation in the new
workplace?

Study Question 1: What is motivation?
 Basic motivational concepts
– Motivation—the forces within the individual that
account for the level, direction, and persistence of
effort expended at work.
– Reward—a work outcome of positive value to the
individual
– Extrinsic rewards—valued outcomes given to
someone by another person.
– Intrinsic rewards—valued outcomes that occur
naturally as a person works on a task.

 To achieve maximum motivational potential in
linking rewards to performance …
– Respect diversity and individual differences to best
understand what people want from work.
– Allocate rewards to satisfy the interests of both
individuals and the organization.

 Types of motivation theories
– Content theories
• Human needs and how people with different needs may
respond to different work situations.
– Process theories
• How people give meaning to rewards and make decisions on
various work-related behaviors.
– Reinforcement theory
• How people’s behavior is influenced by environmental
consequences.

Study Question 2: What are the different types
of individual needs?
 Needs
– Unfulfilled physiological and psychological desires of
an individual.
– Explain workplace behavior and attitudes.
– Create tensions that influence attitudes and behavior.
– Good managers and leaders facilitate employee need
satisfaction.

Types of content theories:
• Hierarchy of needs theory
• ERG theory
• Two-factor theory
• Acquired needs theory

 Hierarchy of needs theory
– Developed by Abraham Maslow.
– Lower-order and higher-order needs affect workplace
behavior and attitudes.
– Lower-order needs:
• Physiological, safety, and social needs.
• Desires for physical and social well being.
– Higher-order needs:
• Esteem and self-actualization needs.
• Desire for psychological growth and development.

Hierarchy of needs theory
– Deficit principle
• A satisfied need is not a motivator of behavior.
– Progression principle
• A need at one level does not become activated until
the next lower-level need is satisfied.

Figure 14.1 Opportunities for satisfaction
in Maslow’s hierarchy of human needs.

ERG theory
– Developed by Clayton Alderfer.
– Three need levels:
• Existence needs — desires for physiological and
material well-being.
• Relatedness needs — desires for satisfying
interpersonal relationships.
• Growth needs — desires for continued
psychological growth and development.

ERG theory
– Any/all needs can influence behavior at one
time.
– Frustration-regression principle.
• An already satisfied lower-level need becomes
reactivated when a higher-level need is frustrated.

Two-factor theory
– Developed by Frederick Herzberg.
– Hygiene factors:
• Elements of the job context.
• Sources of job dissatisfaction.
– Satisfier factors:
• Elements of the job content.
• Sources of job satisfaction and motivation.

Figure 14.2 Herzberg’s two-factor theory.

Acquired needs theory
– Developed by David McClelland.
– People acquire needs through their life
experiences.
– Needs that are acquired:
• Need for Achievement (nAch)
• Need for Power (nPower)
• Need for Affiliation (nAff)

– Need for Achievement (nAch)
• Desire to do something better or more efficiently, to
solve problems, or to master complex tasks.
– People high in (nAch) prefer work that:
• Involves individual responsibility for results.
• Involves achievable but challenging goals.
• Provides feedback on performance.

– Need for Power (nPower)
• Desire to control other persons, to influence their
behavior, or to be responsible for other people.
• Personal power versus social power.
– People high in (nPower) prefer work that:
• Involves control over other persons.
• Has an impact on people and events.
• Brings public recognition and attention.

– Need for Affiliation (nAff)
• Desire to establish and maintain friendly and warm
relations with other persons.
– People high in (nAff) prefer work that:
• Involves interpersonal relationships.
• Provides for companionship
• Brings social approval.

Questions for summarizing the content
theories of motivation:
– How many different individual needs are there?
– Can a work outcome or reward satisfy more
than one need?
– Is there a hierarchy of needs?
– How important are the various needs?

Figure 14.3 Comparison of Maslow’s, Alderfer’s,
Herzberg’s, and McClelland’s motivation theories.

Study Question 3: What are the process
theories of motivation?
 Process theories of motivation …
– How people make choices to work hard or not.
– Choices are based on:
• Individual preferences.
• Available rewards.
• Possible work outcomes.
 Types of process theories:
– Equity theory.
– Expectancy theory.
– Goal-setting theory.

Equity theory
– Developed by J. Stacy Adams.
– When people believe that they have been
treated unfairly in comparison to others, they
try to eliminate the discomfort and restore a
perceived sense of equity to the situation.
• Perceived inequity.
• Perceived equity.

Figure 14.4 Equity theory and the role of
social comparison.

Equity theory
– People respond to perceived negative inequity
by changing …
• Work inputs.
• Rewards received.
• Comparison points.
• Situation.

 Managerial implications of equity theory—
– Underpaid people experience anger.
– Overpaid people experience guilt.
– Perceptions of rewards determine motivational
outcomes.
– Negative consequences of equity comparisons should
be minimized, if not eliminated.
– Do not underestimate the impact of pay as a source of
equity controversies in the workplace.
• Gender equity.
• Comparable worth.

Expectancy theory
– Developed by Victor Vroom.
– Key expectancy theory variables:
• Expectancy — belief that working hard will result in
desired level of performance.
• Instrumentality — belief that successful
performance will be followed by rewards.
• Valence — value a person assigns to rewards and
other work related outcomes.

Figure 14.5 Elements in the expectancy
theory of motivation.

Expectancy theory
– Motivation (M), expectancy (E),
instrumentality (I), and valence (V) are related
to one another in a multiplicative fashion:
M = E x I x V
– If either E, I, or V is low, motivation will
be low.

 Managerial implications of expectancy
theory—
– To maximize expectancy, managers should:
• Select workers with ability.
• Train workers to use ability.
• Support work efforts.
• Clarify performance goals.

theory—
– To maximize instrumentality, managers should:
• Clarify psychological contracts.
• Communicate performance-outcome possibilities.
• Identify rewards that are contingent on performance.

theory—
– To maximize valence in a positive direction,
managers should:
• Identify individual needs.
• Adjust rewards to match individual needs.

Figure 14.6 Managerial implications of
expectancy theory.

 Goal-setting theory
– Developed by Edwin Locke.
– Properly set and well-managed task goals can be highly
motivating.
– Motivational effects of task goals:
• Provide direction to people in their work.
• Clarify performance expectations.
• Establish a frame of reference for feedback.
• Provide a foundation for behavioral self-management.

 Key issues and principles in the goal-setting
process:
– Set specific goals.
– Set challenging goals.
– Build goal acceptance and commitment.
– Clarify goal priorities.
– Provide feedback on goal accomplishment.
– Reward goal accomplishment.

Goal-setting theory
– Participation in goal setting …
• Unlocks the motivational potential of goal setting.
• Management by objectives (MBO) promotes
participation.
• When participation is not possible, workers will
respond positively if supervisory trust and support
exist.

Study Question 4: What role does
reinforcement play in motivation?
 Fundamentals of reinforcement theory …
– Reinforcement theory focuses on the impact of external
environmental consequences on behavior.
– Law of effect — impact of type of consequence on
future behavior.
– Operant conditioning:
• Developed by B.F. Skinner.
• Applies law of effect to control behavior by
manipulating its consequences.

Operant conditioning strategies:
– Positive reinforcement
• Increases the frequency of a behavior through the
contingent presentation of a pleasant consequence.
– Negative reinforcement
• Increases the frequency of a behavior through the
contingent removal of an unpleasant consequence.

Operant conditioning strategies:
– Punishment
• Decreases the frequency of a behavior through the
contingent presentation of an unpleasant
consequence.
– Extinction
• Decreases the frequency of a behavior through the
contingent removal of an pleasant consequence.

 Successful implementation of positive
reinforcement is based on …
– Law of contingent reinforcement —
• Reward delivered only if desired behavior is
exhibited.
– Law of immediate reinforcement —
• More immediate the delivery of a reward,
the more reinforcement value it has.

 Guidelines for using positive reinforcement:
– Clearly identify desired work behaviors.
– Maintain a diverse inventory of rewards.
– Inform everyone about what must be done to
get rewards.
– Recognize individual differences when
allocating rewards.
– Follow the laws of immediate and contingent
reinforcement.

Figure 14.7 Applying reinforcement
strategies: case of total quality management.

 Schedules of reinforcement:
– Continuous reinforcement administers a reward each
time a desired behavior occurs.
– Intermittent reinforcement rewards behavior only
periodically.
– Acquisition of behavior is quicker with continuous
reinforcement.
– Behavior acquired under an intermittent schedule is
more permanent.

 Guidelines for using punishment:
– Tell the person what is being done wrong.
– Tell the person what is being done right.
– Match the punishment to the behavior.
– Administer punishment in private.
– Follow laws of immediate and contingent
reinforcement.

 Ethical issues in reinforcement:
– Ignores individuality.
– Restricts freedom of choice.
– Ignores the possibility of other types of motivation.
 Key concern is whether it is ethical to not control
behavior well enough to serve both individual and
organizational goals.

Study Question 5: What are the challenges of
motivation in the new workplace?
 Integrated model of motivation
– Motivation leads to work effort that, when combined
with appropriate individual abilities and organizational
support, leads to performance accomplishment.
– The motivational impact of any rewards received for
this performance accomplishment depends on equity
and reinforcement considerations.
– Ultimately, satisfaction with rewards should lead to
increased motivation to work hard in the future.

Figure 14.8 An integrated approach to
motivational dynamics.

 Pay for performance
– Paying people for performance is consistent with:
• Equity theory.
• Expectancy theory.
• Reinforcement theory.
– Merit pay
• Awards a pay increase in proportion to individual performance
contributions.
• Provides performance contingent reinforcement.
• May not succeed due to weakness in performance appraisal
system or lack of consistency in application.

Incentive compensation systems:
– Skill-based pay.
• Links pay to the number of job-relevant skills an
employee masters.
– Bonus pay plans.
• One-time or lump-sum payments based on the
accomplishment of specific performance targets or
some extraordinary contribution.

Incentive compensation systems:
– Profit-sharing plans.
• Some or all employees receive a proportion of net
profits earned by the organization.
– Gain-sharing plans.
• Groups of employees share in any savings realized through
their efforts to reduce costs and increase productivity.
– Employee stock ownership plans.
• Employees own stock in the company that employs them.

COPYRIGHT
Copyright © 2007 John Wiley & Sons Canada, Ltd. All rights
reserved. Reproduction or translation of this work beyond that
permitted by Access Copyright (The Canadian Copyright Licensing
Agency) is unlawful. Requests for further information should be
addressed to the Permissions Department, John Wiley & Sons
Canada, Ltd. The purchaser may make back-up copies for his or her
own use only and not for distribution or resale. The author and the
publisher assume no responsibility for errors, omissions, or damages
caused by the use of these programs or from the use of the
information contained herein.

Ch14.ppt

Recommended

Recommended

More Related Content

Similar to Ch14.ppt

Similar to Ch14.ppt (20)

Recently uploaded

Recently uploaded (20)

Ch14.ppt