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© Prentice Hall, 200 7 Excellence in Business, 3e Chapter 10 - 1 Employee Motivation, Employee Motivation, Workforce Trends, and Workforce Trends, and Labor Relations Labor Relations

© Prentice Hall, 2007Excellence in Business, 3eChapter 10 - 1 Employee Motivation, Workforce Trends, and Labor Relations

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Page 1: © Prentice Hall, 2007Excellence in Business, 3eChapter 10 - 1 Employee Motivation, Workforce Trends, and Labor Relations

© Prentice Hall, 2007 Excellence in Business, 3e Chapter 10 - 1

Employee Motivation, Employee Motivation, Workforce Trends, and Workforce Trends, and

Labor RelationsLabor Relations

Page 2: © Prentice Hall, 2007Excellence in Business, 3eChapter 10 - 1 Employee Motivation, Workforce Trends, and Labor Relations

© Prentice Hall, 2007 Excellence in Business, 3e Chapter 10 - 2

Motivating Motivating EmployeesEmployees

EngagementEngagement

MoraleMorale

Page 3: © Prentice Hall, 2007Excellence in Business, 3eChapter 10 - 1 Employee Motivation, Workforce Trends, and Labor Relations

© Prentice Hall, 2007 Excellence in Business, 3e Chapter 10 - 3

What Is Motivation?What Is Motivation?

NeedsNeeds

OutcomesOutcomes

ActionsActions

Page 4: © Prentice Hall, 2007Excellence in Business, 3eChapter 10 - 1 Employee Motivation, Workforce Trends, and Labor Relations

© Prentice Hall, 2007 Excellence in Business, 3e Chapter 10 - 4

Workforce MotivationWorkforce Motivation

Monetary Rewards

Fair Treatment

Satisfying Work

Work-Life Balance

Page 5: © Prentice Hall, 2007Excellence in Business, 3eChapter 10 - 1 Employee Motivation, Workforce Trends, and Labor Relations

© Prentice Hall, 2007 Excellence in Business, 3e Chapter 10 - 5

Theories of MotivationTheories of Motivation

• Frederick W. Taylor

• Maslow’s Hierarchy of Needs

• Herzberg’s Two-Factor Theory

• Theory X, Theory Y, and Theory Z

• Equity Theory

• Expectancy Theory

Page 6: © Prentice Hall, 2007Excellence in Business, 3eChapter 10 - 1 Employee Motivation, Workforce Trends, and Labor Relations

© Prentice Hall, 2007 Excellence in Business, 3e Chapter 10 - 6

Frederick W. TaylorFrederick W. Taylor

MonetaryRewards

PersonalProductivity

ScientificScientificManagementManagement

ScientificScientificManagementManagement

Page 7: © Prentice Hall, 2007Excellence in Business, 3eChapter 10 - 1 Employee Motivation, Workforce Trends, and Labor Relations

© Prentice Hall, 2007 Excellence in Business, 3e Chapter 10 - 7

Self-Esteem NeedsSelf-Esteem Needs

Social NeedsSocial Needs

Safety NeedsSafety Needs

Physiological NeedsPhysiological Needs

Self-Self-ActualizationActualization

Maslow’s HierarchyMaslow’s Hierarchy

Five NeedCategoriesFive NeedCategories

Page 8: © Prentice Hall, 2007Excellence in Business, 3eChapter 10 - 1 Employee Motivation, Workforce Trends, and Labor Relations

© Prentice Hall, 2007 Excellence in Business, 3e Chapter 10 - 8

Herzberg’s Two-Factor TheoryHerzberg’s Two-Factor Theory

MotivationMotivationMotivationMotivation

•AchievementAchievement•RecognitionRecognition•ResponsibilityResponsibility•Work itselfWork itself•Personal growthPersonal growth

•AchievementAchievement•RecognitionRecognition•ResponsibilityResponsibility•Work itselfWork itself•Personal growthPersonal growth

HighlyHighlySatisfiedSatisfied

HighlyHighlyDissatisfiedDissatisfied

Neither SatisfiedNeither SatisfiedNor DissatisfiedNor Dissatisfied

Motivators InfluenceMotivators InfluenceSatisfaction LevelSatisfaction Level

Hygiene FactorsHygiene FactorsInfluence SatisfactionInfluence Satisfaction

Area of Area of SatisfactionSatisfaction

Area ofArea ofDissatisfactionDissatisfaction

Hygiene FactorsHygiene FactorsHygiene FactorsHygiene Factors

•Working conditionsWorking conditions•Pay and securityPay and security•Company policiesCompany policies•SupervisorsSupervisors•Interpersonal relationshipsInterpersonal relationships

•Working conditionsWorking conditions•Pay and securityPay and security•Company policiesCompany policies•SupervisorsSupervisors•Interpersonal relationshipsInterpersonal relationships

Page 9: © Prentice Hall, 2007Excellence in Business, 3eChapter 10 - 1 Employee Motivation, Workforce Trends, and Labor Relations

© Prentice Hall, 2007 Excellence in Business, 3e Chapter 10 - 9

McGregor’s McGregor’s AssumptionsAssumptions

Theory X EmployeesTheory X Employees Theory Y EmployeesTheory Y Employees

Dislike workDislike work

Motivated by threats Motivated by threats

Avoid responsibilitiesAvoid responsibilities

Value securityValue security

Enjoy workEnjoy work

Committed to goals Committed to goals

Accept responsibilitiesAccept responsibilities

Have mental potentialHave mental potential

Page 10: © Prentice Hall, 2007Excellence in Business, 3eChapter 10 - 1 Employee Motivation, Workforce Trends, and Labor Relations

© Prentice Hall, 2007 Excellence in Business, 3e Chapter 10 - 10

Ouchi’s Theory ZOuchi’s Theory Z

Informal Controlwith Formal

Measurements

Slow Evaluationand Promotion

Moderate Degreeof Career

Specialization

Holistic Concernfor the Individual

Consensus-BasedDecision Making

Long-TermEmployment

IndividualResponsibility

Page 11: © Prentice Hall, 2007Excellence in Business, 3eChapter 10 - 1 Employee Motivation, Workforce Trends, and Labor Relations

© Prentice Hall, 2007 Excellence in Business, 3e Chapter 10 - 11

Equity TheoryEquity TheoryRatio

Comparison*Employee’sPerception

Outcomes A

Inputs A

Outcomes A

Inputs A

Outcomes A

Inputs A

Outcomes B

Inputs B

Outcomes B

Inputs B

Outcomes B

Inputs B

<

=

>

Inequity (Under-Rewarded)

Equity

Inequity (Over-Rewarded)

*Where A is the employee, and B is a relevant other or referent.

Page 12: © Prentice Hall, 2007Excellence in Business, 3eChapter 10 - 1 Employee Motivation, Workforce Trends, and Labor Relations

© Prentice Hall, 2007 Excellence in Business, 3e Chapter 10 - 12

Expectancy TheoryExpectancy Theory

IndividualEffort

IndividualEffort

IndividualPerformance

IndividualPerformance

OrganizationalRewards

OrganizationalRewards

IndividualGoals

IndividualGoals

Quality ofeffort put forthdepends on. . .

Quality ofeffort put forthdepends on. . .

…expectationsof

…and expectationsof

…attractiveness of rewards relative to

Page 13: © Prentice Hall, 2007Excellence in Business, 3eChapter 10 - 1 Employee Motivation, Workforce Trends, and Labor Relations

© Prentice Hall, 2007 Excellence in Business, 3e Chapter 10 - 13

Workplace Workplace Motivation Motivation StrategiesStrategies

SettingSettingGoalsGoals

SettingSettingGoalsGoals

ReinforcingReinforcingBehaviorBehavior

ReinforcingReinforcingBehaviorBehavior

Page 14: © Prentice Hall, 2007Excellence in Business, 3eChapter 10 - 1 Employee Motivation, Workforce Trends, and Labor Relations

© Prentice Hall, 2007 Excellence in Business, 3e Chapter 10 - 14

Management by Management by ObjectivesObjectives

Setting GoalsSetting Goals

Planning ActionPlanning Action

Implementing PlansImplementing Plans

Reviewing PerformanceReviewing Performance

1

2

3

4

Page 15: © Prentice Hall, 2007Excellence in Business, 3eChapter 10 - 1 Employee Motivation, Workforce Trends, and Labor Relations

© Prentice Hall, 2007 Excellence in Business, 3e Chapter 10 - 15

Reinforcement TheoryReinforcement Theory

Behavior ModificationBehavior Modification

Avoid UnpleasantAvoid UnpleasantConsequencesConsequences

Obtain PleasantObtain PleasantConsequencesConsequences

PositiveNegative Reinforcement

Page 16: © Prentice Hall, 2007Excellence in Business, 3eChapter 10 - 1 Employee Motivation, Workforce Trends, and Labor Relations

© Prentice Hall, 2007 Excellence in Business, 3e Chapter 10 - 16

Keeping Pace Keeping Pace With Today’s Work ForceWith Today’s Work Force

Staffing ChallengesStaffing ChallengesStaffing ChallengesStaffing Challenges

Demographic ChallengesDemographic ChallengesDemographic ChallengesDemographic Challenges

Alternative Work ArrangementsAlternative Work ArrangementsAlternative Work ArrangementsAlternative Work Arrangements

Page 17: © Prentice Hall, 2007Excellence in Business, 3eChapter 10 - 1 Employee Motivation, Workforce Trends, and Labor Relations

© Prentice Hall, 2007 Excellence in Business, 3e Chapter 10 - 17

Staffing ChallengesStaffing Challenges

Employee Loyalty

Employee Workloads

Work-Life Balance

Workforce Alignment

Page 18: © Prentice Hall, 2007Excellence in Business, 3eChapter 10 - 1 Employee Motivation, Workforce Trends, and Labor Relations

© Prentice Hall, 2007 Excellence in Business, 3e Chapter 10 - 18

Aligning the Workforce Aligning the Workforce and the Organizationand the Organization

External Forces Internal Forces Employees

Changing Markets

Competition

Advances in Technology

Government Regulations

Strategy Shifts

Information Systems

Production Systems

Product Sales

Personal Goals

Better Jobs

Temporary Retirement

Permanent Retirement

Page 19: © Prentice Hall, 2007Excellence in Business, 3eChapter 10 - 1 Employee Motivation, Workforce Trends, and Labor Relations

© Prentice Hall, 2007 Excellence in Business, 3e Chapter 10 - 19

Fostering Employee Fostering Employee LoyaltyLoyalty

Manage EffectivelyManage Effectivelyand Ethicallyand Ethically

Manage EffectivelyManage Effectivelyand Ethicallyand Ethically

Give EmployeesGive Employeesa Stakea Stake

Give EmployeesGive Employeesa Stakea Stake

Work WithWork WithEmployeesEmployeesWork WithWork WithEmployeesEmployees

Take CareTake Careof Employeesof Employees

Take CareTake Careof Employeesof Employees

Page 20: © Prentice Hall, 2007Excellence in Business, 3eChapter 10 - 1 Employee Motivation, Workforce Trends, and Labor Relations

© Prentice Hall, 2007 Excellence in Business, 3e Chapter 10 - 20

Monitoring Monitoring Employee WorkloadsEmployee Workloads

Employee BurnoutEmployee Burnout

Long Work Hours

Long Work Hours “Ghost Work”“Ghost Work” Communication

Technology

CommunicationTechnology

QualityOf Work

QuantityOf Work

Page 21: © Prentice Hall, 2007Excellence in Business, 3eChapter 10 - 1 Employee Motivation, Workforce Trends, and Labor Relations

© Prentice Hall, 2007 Excellence in Business, 3e Chapter 10 - 21

Work-Life Balance Work-Life Balance

Job EnrichmentJob EnrichmentJob EnrichmentJob Enrichment

ReducesReducesSpecializationSpecialization

ReducesReducesSpecializationSpecialization

ExpandsExpandsResponsibilitiesResponsibilities

ExpandsExpandsResponsibilitiesResponsibilities

Job RedesignJob RedesignJob RedesignJob Redesign

RestructuresRestructuresWorkWork

RestructuresRestructuresWorkWork

CoordinatesCoordinatesSkills and JobsSkills and JobsCoordinatesCoordinates

Skills and JobsSkills and Jobs

Page 22: © Prentice Hall, 2007Excellence in Business, 3eChapter 10 - 1 Employee Motivation, Workforce Trends, and Labor Relations

© Prentice Hall, 2007 Excellence in Business, 3e Chapter 10 - 22

Demographic Demographic ChallengesChallenges

Workforce Diversity

UnderstandingUnderstanding

EmbracingEmbracing

MaximizingMaximizing

Page 23: © Prentice Hall, 2007Excellence in Business, 3eChapter 10 - 1 Employee Motivation, Workforce Trends, and Labor Relations

© Prentice Hall, 2007 Excellence in Business, 3e Chapter 10 - 23

Workforce Diversity Workforce Diversity IssuesIssues

ImmigrationImmigration

AgeAge

ReligionReligion

GenderGender

RaceRace

GlobalizationGlobalization

Page 24: © Prentice Hall, 2007Excellence in Business, 3eChapter 10 - 1 Employee Motivation, Workforce Trends, and Labor Relations

© Prentice Hall, 2007 Excellence in Business, 3e Chapter 10 - 24

Diversity InitiativesDiversity Initiatives

Policies

Procedures

Training

Page 25: © Prentice Hall, 2007Excellence in Business, 3eChapter 10 - 1 Employee Motivation, Workforce Trends, and Labor Relations

© Prentice Hall, 2007 Excellence in Business, 3e Chapter 10 - 25

Alternative Work Alternative Work ArrangementsArrangements

FlextimeFlextime

TelecommutingTelecommuting

Job SharingJob Sharing

Flexible Career PathsFlexible Career Paths

Page 26: © Prentice Hall, 2007Excellence in Business, 3eChapter 10 - 1 Employee Motivation, Workforce Trends, and Labor Relations

© Prentice Hall, 2007 Excellence in Business, 3e Chapter 10 - 26

Working With Labor Working With Labor UnionsUnions

Wages and BenefitsWages and Benefits

Working ConditionsWorking Conditions

Job SecurityJob Security

Page 27: © Prentice Hall, 2007Excellence in Business, 3eChapter 10 - 1 Employee Motivation, Workforce Trends, and Labor Relations

© Prentice Hall, 2007 Excellence in Business, 3e Chapter 10 - 27

How Unions Are StructuredHow Unions Are Structured

Labor FederationLabor FederationLabor FederationLabor Federation

National UnionsNational UnionsNational UnionsNational Unions International UnionsInternational UnionsInternational UnionsInternational Unions

United Steelworkers United Steelworkers of Americaof America

United Steelworkers United Steelworkers of Americaof America

United AutoUnited AutoWorkersWorkers

United AutoUnited AutoWorkersWorkers

Local UnionsLocal UnionsLocal UnionsLocal Unions Local UnionsLocal UnionsLocal UnionsLocal Unions

ShopShopStewardSteward

ShopShopStewardSteward

BusinessBusinessAgentAgent

BusinessBusinessAgentAgent

ShopShopStewardSteward

ShopShopStewardSteward

BusinessBusinessAgentAgent

BusinessBusinessAgentAgent

Rank andRank andFileFile

Rank andRank andFileFile

Rank andRank andFileFile

Rank andRank andFileFile

Rank andRank andFileFile

Rank andRank andFileFile

Rank andRank andFileFile

Rank andRank andFileFile

Union of Needletrades,Union of Needletrades,Industrial, Textile EmployeesIndustrial, Textile Employees

Union of Needletrades,Union of Needletrades,Industrial, Textile EmployeesIndustrial, Textile Employees

Page 28: © Prentice Hall, 2007Excellence in Business, 3eChapter 10 - 1 Employee Motivation, Workforce Trends, and Labor Relations

© Prentice Hall, 2007 Excellence in Business, 3e Chapter 10 - 28

How Unions OrganizeHow Unions Organize

Unioncertified asbargaining

agent

Conduct pre-election campaign

Petition NLRB for election

Request union as bargaining agent

Distribute authorization cards

Determine interestin unionization

Select target group

Campaign forauthorization

cards

Certificationelection

Election

Step 1 Step 2

Page 29: © Prentice Hall, 2007Excellence in Business, 3eChapter 10 - 1 Employee Motivation, Workforce Trends, and Labor Relations

© Prentice Hall, 2007 Excellence in Business, 3e Chapter 10 - 29

Collective Bargaining Collective Bargaining ProcessProcess

PreparingPreparingto Meetto Meet

PreparingPreparingto Meetto Meet MeetingMeetingMeetingMeeting Reaching anReaching an

AgreementAgreementReaching anReaching anAgreementAgreement

11 22 33

Voting andVoting andRatificationRatificationVoting andVoting andRatificationRatification

44 55

Page 30: © Prentice Hall, 2007Excellence in Business, 3eChapter 10 - 1 Employee Motivation, Workforce Trends, and Labor Relations

© Prentice Hall, 2007 Excellence in Business, 3e Chapter 10 - 30

Resolving an ImpasseResolving an Impasse

MediationMediation

ArbitrationArbitration

Page 31: © Prentice Hall, 2007Excellence in Business, 3eChapter 10 - 1 Employee Motivation, Workforce Trends, and Labor Relations

© Prentice Hall, 2007 Excellence in Business, 3e Chapter 10 - 31

When Negotiations When Negotiations Break DownBreak Down

LaborLabor ManagementManagement

StrikeStrikeStrikeStrike

BoycottBoycottBoycottBoycott

PublicityPublicityPublicityPublicity

StrikebreakersStrikebreakersStrikebreakersStrikebreakers

LockoutsLockoutsLockoutsLockouts

InjunctionsInjunctionsInjunctionsInjunctions

Page 32: © Prentice Hall, 2007Excellence in Business, 3eChapter 10 - 1 Employee Motivation, Workforce Trends, and Labor Relations

© Prentice Hall, 2007 Excellence in Business, 3e Chapter 10 - 32

Union Membership TodayUnion Membership Today

0%

20%

40%

60%

80%

100%

1950s 2000s0%

20%

40%

60%

80%

100%

1950s 2000s

Page 33: © Prentice Hall, 2007Excellence in Business, 3eChapter 10 - 1 Employee Motivation, Workforce Trends, and Labor Relations

© Prentice Hall, 2007 Excellence in Business, 3e Chapter 10 - 33

The Labor The Labor Movement TodayMovement Today

Health-CareHealth-CareCostsCosts

Health-CareHealth-CareCostsCosts

InternationalInternationalCompetitionCompetitionInternationalInternationalCompetitionCompetition