MOTIVATIONMOTIVATION

Defined as theDefined as the psychological forcespsychological forces within a person that :within a person that :

determinedetermine 1 1 Intensity Intensity The effort of how hard people workThe effort of how hard people work

2 2 Direction Direction Of business in an OrganizationOf business in an Organization

3 3 Persistence Persistence How long one can maintain the effort.How long one can maintain the effort.

Intrinsic motivationIntrinsic motivation: Behavior performed for it’s own sake.: Behavior performed for it’s own sake.

: Motivation comes from perform the work: Motivation comes from perform the work

Extrinsic MotivationExtrinsic Motivation: Behavior performed to acquire : Behavior performed to acquire rewards.rewards.

Motivation source is the consequence of an actionMotivation source is the consequence of an action

OUTCOMES & INPUTSOUTCOMES & INPUTS Regardless of the source of motivation, people seek Regardless of the source of motivation, people seek

outcomesoutcomes

OutcomeOutcome: Any thing a person gets from a job: Any thing a person gets from a job

Organizations hire workers to obtain inputsOrganizations hire workers to obtain inputs

Inputs Inputs Any thing a person contributes to his jobAny thing a person contributes to his job

eg. Skills. Knowledge , work-behavioreg. Skills. Knowledge , work-behavior

Manager thus use outcomes to motivate workers to Manager thus use outcomes to motivate workers to provide inputsprovide inputs

Motivation EquationMotivation Equation

Inputs from Organization Members—Time, Effort, Skills,Education, knowledge,Work-Behavior

PerformanceContribute to OrganizationalEfficiency,Effectiveness &Attain goals

Outcomes received by members.Job security, BenefitsVacations

Need TheoryNeed Theory

People are motivated to obtain outcomes at work to People are motivated to obtain outcomes at work to satisfy their needs.satisfy their needs.

A need is a requirement for survivalA need is a requirement for survival To motivate a personTo motivate a person

--- --- Managers must determine what needs workers Managers must determine what needs workers want satisfiedwant satisfied

--- Ensure that a person receives the outcomes when --- Ensure that a person receives the outcomes when performing well.performing well.

There are several needs theories:There are several needs theories: Maslow’s hierarchy of needsMaslow’s hierarchy of needs Alderfer’s ERGAlderfer’s ERG

Maslow’s Hierarchy of NeedsMaslow’s Hierarchy of Needs

E X H I B I T 6-1

Hierarchy of NeedsHierarchy of Needs

Need LevelNeed Level DescriptionDescription ExamplesExamples

Self Self ActualizationActualization

Realize one’s full Realize one’s full potentialpotential

Use abilities to the Use abilities to the fullestfullest

EsteemEsteem Feel good about Feel good about ones selfones self

Promotions & Promotions & RecognitionsRecognitions

BelongingnessBelongingness Social interaction, Social interaction, lovelove

Interpersonal Interpersonal relationrelation

SafetySafety Security, StabilitySecurity, Stability Job security, Job security, health, insurancehealth, insurance

PhysiologicalPhysiological Food, shelter etc.Food, shelter etc. Basic pay levelsBasic pay levels

Theory X and Theory Y (Douglas McGregor)Theory X and Theory Y (Douglas McGregor)

Two-Factor Theory (Frederick Herzberg)Two-Factor Theory (Frederick Herzberg)

CompaComparison rison

of of SatisfieSatisfiers and rs and DissatiDissatisfierssfiers

E X H I B I T 6-3

Factors characterizing events on the job that led to extreme job dissatisfaction

Factors characterizing events on the job that led to extreme job satisfaction

Contrasting Views of SatisfactionContrasting Views of Satisfactionand Dissatisfactionand Dissatisfaction

E X H I B I T 6-4

Presence Absence

ERG Theory (Clayton Alderfer)ERG Theory (Clayton Alderfer)

Core Needs

Existence: provision of basic material requirements.

Relatedness: desire for relationships.

Growth: desire for personal development.

Core Needs

Existence: provision of basic material requirements.

Relatedness: desire for relationships.

Growth: desire for personal development.

Concepts:

More than one need can be operative at the same time.

If a higher-level need cannot be fulfilled, the desire to satisfy a lower-level need increases.

Concepts:

More than one need can be operative at the same time.

If a higher-level need cannot be fulfilled, the desire to satisfy a lower-level need increases.

Alderfer’s ERGAlderfer’s ERG

GrowthGrowth Self -Self -developmentdevelopmentCreative Creative workwork

Work Work continually continually improves improves skillsskills

RelatednessRelatedness Interpersonal Interpersonal relations, relations, feelingsfeelings

Good Good relations,relations,

Feed backFeed back

ExistenceExistence Food, shelter Food, shelter etcetc

Basic pay Basic pay level to buy level to buy itemsitems

lowest

Highest

Motivation – Hygiene TheoryMotivation – Hygiene Theory

Focuses on outcomes that can lead to high Focuses on outcomes that can lead to high motivation, job satisfaction & those that can motivation, job satisfaction & those that can prevent dissatisfaction.prevent dissatisfaction.

Motivator needs Motivator needs Related to nature of the work & how Related to nature of the work & how challenging it ischallenging it is

-- Outcomes are autonomy, responsibility , interesting work-- Outcomes are autonomy, responsibility , interesting work Hygiene NeedsHygiene Needs Relate to the physical and psychological Relate to the physical and psychological

context of the workcontext of the work

-- Refers to a good work environment, pay , job security-- Refers to a good work environment, pay , job security

-- When hygiene not met , workers are dissatisfied -- When hygiene not met , workers are dissatisfied

David McClelland’s Theory of NeedsDavid McClelland’s Theory of Needs

nAch

nPow

nAff

Matching Achievers and Matching Achievers and JobsJobs

E X H I B I T 6-5

Cognitive Evaluation TheoryCognitive Evaluation Theory

Goal-Setting Theory (Edwin Locke)Goal-Setting Theory (Edwin Locke)

Reinforcement Reinforcement Theory (Carrot & stick theory)Theory (Carrot & stick theory)

Concepts:

Behavior is environmentally caused.

Behavior can be modified (reinforced) by providing (controlling) consequences.

Reinforced behavior tends to be repeated.

Concepts:

Behavior is environmentally caused.

Behavior can be modified (reinforced) by providing (controlling) consequences.

Reinforced behavior tends to be repeated.

Equity theoryEquity theory

Distributive JusticeDistributive Justice

(perceived fairness of (perceived fairness of

outcome)outcome)

Procedural JusticeProcedural Justice

(Perceived fairness of process(Perceived fairness of process

Used to determine outcome)Used to determine outcome)

InteractionalInteractional Justice Justice

(Perceived degree to which one is (Perceived degree to which one is

Treated with dignity & respect) Treated with dignity & respect)

Organizational Justice

(Overall perception of what is fair in the

Workplace)

Expectancy TheoryExpectancy Theory

E X H I B I T 6-8

Motivation - ApplicationsMotivation - Applications

1)1)Motivating by Job DesignMotivating by Job Design: The Job characteristics model: The Job characteristics model Skill varietySkill variety Task identityTask identity Task significanceTask significance AutonomyAutonomy FeedbackFeedback

How can Jobs be redesigned?How can Jobs be redesigned? Job rotationJob rotation Job enlargementJob enlargement Job enrichmentJob enrichment

Alternative Work ArrangementsAlternative Work Arrangements Flexi timeFlexi time Job sharingJob sharing TelecommutingTelecommuting

Ability & OpportunityAbility & Opportunity

2) 2) Employee involvementEmployee involvementExamples: - Participative ManagementExamples: - Participative Management

- Representative Participation- Representative Participation

- Quality Circles- Quality Circles

3) 3) Using Rewards to Motivate EmployeesUsing Rewards to Motivate Employees What to PayWhat to Pay How to Pay: - Piece - Rate PayHow to Pay: - Piece - Rate Pay - Merit - Based pay- Merit - Based pay - Bonuses- Bonuses - Skill – Based Pay- Skill – Based Pay - Profit-Sharing Plans- Profit-Sharing Plans - Gain sharing- Gain sharing - Employee Stock ownership Plans- Employee Stock ownership Plans Flexible BenefitsFlexible Benefits Intrinsic Rewards Intrinsic Rewards