Motivation

Examples Company Reward Apple Computer Publix Super Markets Advanta Corporation Westin Hotels Worthington Industries Reader’s Digest Pitney Bowes Reward Stock purchase options Partial ownership in the company Opportunity to help train new employees Free meals while on the job Haircuts for $2 while at work Fridays off during the month of May Courses in real estate, golf, painting, photography, and cake decorating Free airline travel for employees and spouses 6

Motivation Theories Contents theories Process Theories

Content theories 1) Hierarchy needs theory(Abraham Maslow) 2) ERG theory(Clayton Alderfer ) 3) Acquired needs theory (David McClelland) 4) Two factor theory (Herzberg)

Need Hierarchy Theory Higher-order needs Esteem needs Social needs Lower-order needs 3

ERG Theory (Clayton Alderfer) Core Needs Existence: provision of basic material requirements. Relatedness: desire for relationships. Growth: desire for personal development.

David McClelland’s Theory of Needs nAch nPow nAff

Hygiene Factors & Motivation factors Two-Factor Theory (Frederick Herzberg) Hygiene Factors & Motivation factors

Comparison of Satisfiers and Dissatisfiers Factors characterizing events on the job that led to extreme job dissatisfaction Factors characterizing events on the job that led to extreme job satisfaction Comparison of Satisfiers and Dissatisfiers

Process Theories Theory X & Theory Y Equity theory Expectancy theory Cognitive Evaluation Theory Goal setting theory

1) Theory X and Theory Y (Douglas McGregor)

2) Equity theory Referent Comparisons: Self-inside Self-outside Other-inside Other-outside

Reaction to inequity: Change inputs (slack off) quit the job increase/decrease output change perceptions of self change perceptions of others Choose a different referent person quit the job

RELATED TERMS

3) Expectancy Theory

Three Components of Expectancy Theory Effort Performance Reward Expectancy Instrumentality Valence of reward X X MOTIVATION Abilities and traits Role perceptions and opportunities JOB PERFORMANCE 5

4) Cognitive Evaluation Theory

Use of Extrinsic rewards leads to decline in intrinsic rewards

Out growth of cognitive evaluation theory--- Self concordance Degree to which people strive for the goals-----consistent with the rewards Pursue goals because of Intrinsic rewards--- achieve it & satisfied Pursue goals because of extrinsic rewards--- don't achieve it & not satisfied

5) Goal-Setting Theory (Edwin Locke)

Goal commitment Task characteristics Culture Three factors that affect the goals Goal commitment Self set goals Internal locus of control Task characteristics Independent Culture Low power distance Seek challenging goals

Applied though MBO