3Defined as the psychological forces within a person that : determine 1 Intensity The effort of how hard people work2 Direction Of business in an Organization3 Persistence How long one can maintain the effort.Intrinsic motivation: Behavior performed for it’s own sake.: Motivation comes from perform the workExtrinsic Motivation: Behavior performed to acquire rewards.Motivation source is the consequence of an action
4OUTCOMES & INPUTSRegardless of the source of motivation, people seek outcomesOutcome: Any thing a person gets from a jobOrganizations hire workers to obtain inputsInputs Any thing a person contributes to his jobeg. Skills. Knowledge , work-behaviorManager thus use outcomes to motivate workers to provide inputs
5Motivation Equation Inputs from Organization Members— Performance Time, Effort, Skills,Education, knowledge,Work-BehaviorPerformanceContribute toOrganizationalEfficiency,Effectiveness &Attain goalsOutcomes received by members.Job security, BenefitsVacations
6Need TheoryPeople are motivated to obtain outcomes at work to satisfy their needs.A need is a requirement for survivalTo motivate a person--- Managers must determine what needs workers want satisfied--- Ensure that a person receives the outcomes when performing well.There are several needs theories:Maslow’s hierarchy of needsAlderfer’s ERG
8Hierarchy of Needs Examples Self Actualization Esteem Belongingness Need LevelDescriptionExamplesSelf ActualizationRealize one’s full potentialUse abilities to the fullestEsteemFeel good about ones selfPromotions & RecognitionsBelongingnessSocial interaction, loveInterpersonal relationSafetySecurity, StabilityJob security, health, insurancePhysiologicalFood, shelter etc.Basic pay levels
11Comparison of Satisfiers and Dissatisfiers Factors characterizing events on the job that led to extreme job dissatisfactionFactors characterizing events on the job that led to extreme job satisfactionComparison of Satisfiers and Dissatisfiers6-3E X H I B I T
12Contrasting Views of Satisfaction and Dissatisfaction PresenceAbsence6-4E X H I B I T
13ERG Theory (Clayton Alderfer) 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.Core NeedsExistence: provision of basic material requirements.Relatedness: desire for relationships.Growth: desire for personal development.
14Self -developmentCreative work Work continually improves skills Alderfer’s ERGGrowthSelf -developmentCreative workWork continually improves skillsRelatednessInterpersonal relations, feelingsGood relations,Feed backExistenceFood, shelter etcBasic pay level to buy itemsHighestlowest
15Motivation – Hygiene Theory Focuses on outcomes that can lead to high motivation, job satisfaction & those that can prevent dissatisfaction.Motivator needs Related to nature of the work & how challenging it is-- Outcomes are autonomy, responsibility , interesting workHygiene Needs Relate to the physical and psychological context of the work-- Refers to a good work environment, pay , job security-- When hygiene not met , workers are dissatisfied
20Reinforcement Theory (Carrot & stick theory) Concepts:Behavior is environmentally caused.Behavior can be modified (reinforced) by providing (controlling) consequences.Reinforced behavior tends to be repeated.
21Equity theory Distributive Justice (perceived fairness of outcome) Procedural Justice(Perceived fairness of processUsed to determine outcome)Interactional Justice(Perceived degree to which one isTreated with dignity & respect)Organizational Justice(Overall perception ofwhat is fair in theWorkplace)
23Motivation - Applications 1)Motivating by Job Design: The Job characteristics modelSkill varietyTask identityTask significanceAutonomyFeedbackHow can Jobs be redesigned?Job rotationJob enlargementJob enrichment
24Alternative Work Arrangements Flexi time Job sharing Telecommuting Ability & Opportunity2) Employee involvementExamples: - Participative Management- Representative Participation- Quality Circles
253) Using Rewards to Motivate Employees What to PayHow to Pay: - Piece - Rate Pay- Merit - Based pay- Bonuses- Skill – Based Pay- Profit-Sharing Plans- Gain sharing- Employee Stock ownership PlansFlexible BenefitsIntrinsic Rewards