Differentiate between intrinsic and extrinsic rewards and describe how they influence motivation Outline the five primary content theories of motivation and describe how they are similar or different Describe the primary process theories of motivation and what each one attempts to measure Explain the different ways in which desired behavior is reinforced within an organization and the role that job design plays in channeling motivation © South-Western, a part of Cengage Learning

Motivation The desire, stimulus, or incentive to pursue a particular course of action Extrinsic rewards Facilitate or motivate task performance that include pay, promotions, fringe benefits, and job security Intrinsic rewards Associated with “doing the job,” include interesting and challenging work, self-direction and responsibility, variety, opportunities to use one’s skills and abilities, and sufficient feedback regarding one’s efforts © South-Western, a part of Cengage Learning

Content Theories Study of incentives and needs that motivate people to perform in a certain way Hierarchy of needs theory ERG theory Two-factor theory Acquired needs theory Four-drive theory © South-Western, a part of Cengage Learning

Maslow’s Hierarchy of Needs Theory Individuals have multiple needs that must be fulfilled in a specific hierarchical order to ensure the greatest level of satisfaction Physiological needs Required for survival—food, water, shelter, and oxygen Safety needs Secure and protected physical and emotional environment Belongingness needs Affiliation such as family, friendships, and intimacy Esteem Needs Self-image, self-confidence, achievement, and respect Self-Actualization Desire to grow and develop into the best person he or she can be © South-Western, a part of Cengage Learning

Aldefer’s ERG Theory Individuals are motivated by three primary needs: existence (basic physical needs), relatedness (connection with others), and growth (personal development) © South-Western, a part of Cengage Learning

Herzberg’s Two-Factor Theory Conditions that simultaneously act as drivers of satisfaction and dissatisfaction are: Hygiene factors: Comprise the makeup of the work environment and are a potential source of dissatisfaction Physiological needs Safety needs Belongingness needs Motivators: Direct consequences of doing the job and the primary cause of satisfaction on the job © South-Western, a part of Cengage Learning

Acquired Needs Theory Individuals are driven or motivated by following three types of needs Need for achievement Need to set, meet, and exceed goals Need for affiliation Need to interact, socialize, and develop friendships Need for power Need to seek opportunities for personal aggrandizement (personalized power) or to make an impact on and influence others (socialized power) © South-Western, a part of Cengage Learning

Four-Drive Theory Fulfilling four drives—the drive to acquire, the drive to bond, the drive to comprehend, and the drive to defend—underlies motivation, and that the degree to which these are satisfied directly affects employees’ emotions and behaviors © South-Western, a part of Cengage Learning

Process Theories of Motivation Why do people behave in certain ways to satisfy their needs and how do they evaluate their overall level of satisfaction after they have attempted to fulfill their needs Goal-setting theory Expectancy theory Equity theory © South-Western, a part of Cengage Learning

Goal-Setting Theory Setting goals that are difficult, but achievable, is a significant motivator of performance Goals direct attention and effort toward goal-relevant activities and away from goal-irrelevant activities 1 Difficult goals make employees want to work harder whether the goals are set by management or the employee 2 Tight deadlines for goal completion lead to a more rapid work pace 3 People use the knowledge and skills they have attained from other activities and apply them to meet new goals 4 © South-Western, a part of Cengage Learning

Performance to outcome expectancy Expectancy Theory Employees expect that high effort should lead to good performance and that good performance, in turn, should lead to reward Effort to performance expectancy Evaluation of whether putting in effort will lead to high performance Performance to outcome expectancy Evaluation of whether successful performance will lead to a desired reward Valance Evaluation of whether the available outcomes are attractive © South-Western, a part of Cengage Learning

Equity Theory People will compare their circumstances with those of similar others and that this behavior motivates them to seek fairness in the way they are rewarded for performance Key to all comparisons is perception © South-Western, a part of Cengage Learning

Reinforcing Motivation Reinforcement theory Positive reinforcement Punishment Individual Behavior and Performance + – Negative reinforcement Extinction Theory of operant conditioning Both positive and negative reinforcement increase behavior while punishment and extinction decrease behavior © South-Western, a part of Cengage Learning

Reinforcement and Conditioning Reinforcement theory Explains that both positive and negative reinforcements can induce certain behaviors Extinction Idea that a behavior stops because it has ceased to be rewarded or punished Punishment Act of presenting an aversive stimulus in response to an undesired behavior Positive reinforcement Act of rewarding a desired behavior Negative reinforcement Act of removing an aversive condition in response to a desired behavior © South-Western, a part of Cengage Learning

Employee Engagement and Empowerment Theory X Employees inherently dislike work and need to be constantly monitored and evaluated to ensure that they do what is expected Theory Y Employees are motivated to do their best and to work to their potential © South-Western, a part of Cengage Learning

Self-Efficacy The belief that one has the capabilities to accomplish organizational goals Enhanced when employees are: Encouraged to expand their repertoire of skills Given opportunities to grow and develop in the organization Grows when individuals complete more complex tasks © South-Western, a part of Cengage Learning

KEY TERMS Acquired needs theory Content theories ERG theory Equity theory Expectancy theory Extinction Extrinsic rewards Four-drive theory Goal-setting theory Hierarchy of needs theory Hygiene factors Intrinsic rewards Motivation Motivators Need for achievement Need for affiliation Need for power Negative reinforcement Positive reinforcement Process theories Punishment Reinforcement theory Self-efficacy Theory of operant conditioning Theory X Theory Y Two-factor theory © South-Western, a part of Cengage Learning