1. Motivation Theories What is Motivation? Motivation has to do with “WILL DO” rather than “CAN DO” performance; “CAN DO” performance is ensured through other HR systems, such as SELECTION and TRAINING. Motivation involves three elements (Steers & Porters, 1975): l direction or the choice of a particular course of action l effort or intensity through which the action is pursued l persistence or the extent to which one maintains and perseveres on the course of action chosen.

2. Intrinsic vs. Extrinsic Compensation (or relational vs. transactional returns) “People work for love or for money. Few of us ever seem to get enough of either.” Jack Falvey, Wall Street Journal, 12/6/82

3. Intrinsic vs. Extrinsic Motivation l Intrinsic: psychological states that result from performing the job l Extrinsic: monetary and nonmonetary rewards that result from performing the job. Job IntrinsicExtrinsic Pre-k teacher Poet Systems analyst Quality Inspector

4. »Extrinsic theories argue that external factors (e.g., salary, social status) keep individuals motivated. »Intrinsic theories maintain that the manner in which individuals perceive and process their world, rather than the objective world per se, provides a better explanation of people’s motivation. Management implications? Pay attention to people’s perceptions and attributions (e.g., perceptions of procedural vs. distributive justice)

5. 6-6 Maslow’s Hierarchy of Needs l Physiological l Safety and Security l Affiliation l Esteem l Self-Actualization

6. 6-7 Herzberg’s Two-Factor Motivation-Hygiene Theory Dissatisfaction Hi Lo Hi Hygiene Factors » Company policy and administration » Supervision » Relationship with supervisor » Work conditions » Salary » Relationships with peers » Security Motivation Factors » Achievement » Recognition » Interesting work » Responsibility » Advancement » Growth Satisfaction

7. Motivation Theories Needs-Satisfaction Theory David McClelland’s Learned Needs (trainable): l Need for Achievement (nAch) l Need for Power l Need for Affiliation Idea of Person-Job-Organization “FIT”

8. McClelland’s Needs-Satisfaction Theory 1. It is important for me to accomplish many things in life.12345 2. It is important for me to have many friends.12345 3. I like to be better than others.12345 4. I like to have the upper hand in a relationship.12345 5. I feel hurt when people don’t like me.12345 6. I always try to get an A in every class.12345 7. Failure greatly upsets me.12345 8. Family is very important to me.12345 9. I enjoy being in charge of other people.12345 10. I hate to be alone.12345 11. I resent being told what to do.12345 12. Awards are important to me.12345 Not true  True nAchnAffnPow

9. Motivation Theories Vroom’s Expectancy Theory l Expectancy: belief that effort will result in the target behavior »Can be increased through skill-based pay. l Instrumentality: belief that behavior will result in valued outcomes. »Can be increased by linking pay to controllable aspects of behavior. l Valence: anticipated value from such outcomes.. »Can be increased by identifying valued outcomes.

10. 6-10 Reinforcement Theory Principles: l Giving a reward/reinforcer increases the likelihood a behavior will be repeated l Ignoring behavior increases the likelihood that it will not be repeated l Punishment usually puts an immediate end to a behavior but does not guarantee it will stop in the long run

11. Behavioral Reinforcement Process l identify and measure the target behavior: sales, absenteeism, tardiness. l choose a reinforcement principle: +/- reinforcement, punishment. What will be the reinforcer? l decide how often the effect will be administered: ratio or interval. l choose a fixed or a variable schedule of reinforcement

12. Behavioral Reinforcement Target problem behavior (e.g., sales, “ blue Monday” absenteeism, tardiness) Describe type of reinforcement Describe how will they earn the reinforcement (what do they need to do) Describe when and how will the reinforcement be administered (timing, frequency, etc.)

13. Job Satisfaction vs. Motivation Job satisfaction is an ATTITUDE l cognitive component: what the individual thinks about the “object” of the attitude (e.g., desirability). l emotional component: feelings and emotions towards the object.

14. Consequences of Job Dissatisfaction Job dissatisfaction Intent to quit Turnover Organizational Citizenship behavior Absenteeism Tardiness Task performance

15. Figure 1-1 The Influence of Core Job Characteristics on Intrinsic Compensation and Subsequent Benefits to Employers Skill variety Task identity Task significance Core Job Characteristics Autonomy Feedback Experienced meaningfulness of the work Critical Psychological State Lower turnover Lower absenteeism Enhanced job performance Greater job satisfaction Benefit to Employers Experienced responsibility for work outcomes Gained knowledge of results from work activities

16. The Job Satisfaction Wheel Job satisfaction personality social support working conditions control & autonomy role job characteristics pay

17. The Job Satisfaction Wheel l Personality: extent to which one’s personality (conscientiousness, extraversion, emotional stability, openness to experience, agreeableness) fit the job. l Control: amount of perceived control over the job. l Role: ambiguity and conflict inherent in one’s job responsibilities. l Job characteristics: complexity, demands of the job. l Working conditions: convenience, physical comfort, travel, schedule. l Support: from family, coworkers, supervisor, subordinates. l Pay: compensation & benefits.

18. The Job Satisfaction Wheel Identify an individual who is (or used to be) either very dissatisfied or very satisfied with his/her job. Assign a percentage to each factor in the job satisfaction wheel according to its importance in explaining this individual’s dissatisfaction (or satisfaction) with his/her job. Factor % Personality Pay Control Role Job characteristics Working conditions Social Support TOTAL 100%

19. Katz and Khan’s model of traditional skill progression into management jobs technical administrative people Corporate ladder

20. Business trend Skill changes Flat Structures E-commerce Globalization Discussion Question 1-1 Think about how the emerging business trends listed below will change Katz & Khan’s model of skill requirements. Identify other on-going business trends and their possible impact on skill changes.