Motivation Unit 2.5

3 to 4 I can distinguish between intrinsic and extrinsic needs 5 to 6 I can link motivational theorists to their findings 6 to 7 I can explain the elements of Maslow’s hierarchy of needs Learning intention: To analyse the intrinsic and extrinsic needs that have to be satisfied at work, and the rewards that motivate individuals.

Key Topics Intrinsic and extrinsic needs and rewards (Non-financial and financial) Theories of Motivation Taylor Maslow McGregor Herzberg Motivation in Practice – financial packages and non-financial rewards, teamwork

Motivation Intrinsic vs Extrinsic

Motivation in Theory TheoristTheoryMain Findings F.W.TaylorScientific Mgt Pay, above all, is the main source of motivation A.MaslowHierarchy of Needs Levels of human needs from physiological to self-actualisation F.HerzbergTwo Factor Theory Hygiene factors (which to not motivate alone) and Motivators D.McGregorTheory X & Theory Y Mgt perceptions of the attitudes of their workers

Physiological Needs Safety Needs Social Needs Esteem Needs Self-actualisation Maslow’s Hierarchy of Needs (1943)

Summary of Hierarchy LevelKey Points Physiological Needs Security Needs Social Needs Esteem Needs Self- actualisation

Criticisms of Maslow’s Theory Pg 273/274

Taylor – Scientific Management (1911) Assumption: Employees are primarily motivated by money “What the workmen want from employers beyond anything else is higher wages.” Believed that high productivity could be accomplished by setting output and efficiency targets related to pay Advocated: the use of piece-rate pay system specialisation maximum output repetitive tasks managers role to plan, direct and control

Criticisms of Taylor’s Theory Pg 271/272

McGregor Theory X & Y (1960) Theory X assumes people are lazy so managers have to use the ‘stick’ approach. Theory X states: Workers are motivated by money Workers are lazy and dislike work Workers are selfish, ignore the needs of organisations, avoid responsibility and lack ambition Workers need to be controlled and directed by management Theory X managers are likely to: Adopt an authoritarian mgt style Are likely to follow Taylor’s Scientific Mgt approach McGregor’s theory represents the different assumptions that managers have about their employees.

McGregor Theory X & Y (1960) Theory Y assumes people are motivated by Maslow’s Hierarchy of Needs so are responsible, committed and contribute. Theory Y states: Workers have many different needs which motivate them Workers can enjoy work If motivated, workers can organise themselves and take responsibility Management should create a situation where workers can show creativity and apply their job knowledge Theory Y managers are likely to: Adopt an democratic and decentralised approach in their mgt style

Herzberg’s Two Factor Theory (1959) Herzberg found from research that there are two categories of factors which motivate people at work: 1. Motivators which give workers job satisfaction 2. Hygiene Factors which can lead to dissatisfaction at work

Herzberg’s Two Factor Theory Motivators (causes of satisfaction) Hygiene Factors (causes of dissatisfaction) - Job enlargement (variety, interesting tasks, not necessarily more challenging though) - Job enrichment (more complex and challenging tasks, sense of achievement) - Job empowerment (delegating decision-making power to workers, boost morale, responsibility, opportunities for promotion) - Company policy, rules and regulations - Relationship with peers, subordinates and supervisors - Salary and wages - Security - Status - Working conditions - Supervision and coordination

Criticisms of Herzberg’s Theory Pg 276

Motivation in Practice Benefits of increased motivation Warning signs of poor motivation Non-financial motivators

3 to 4 I can identify the benefits of increased worker motivation 5 to 6 I can explain how different motivators can be used to satisfy worker needs 6 to 7 I can evaluate the effectiveness of the motivators in reducing de- motivation Learning intention: To evaluate the effectiveness of motivation in a workplace

Starter Motivation- Worksheet 1 Fill in the worksheet. Compare your answers with a partner

Motivation in Practice – Non-Financial Non- Financial Motivation Job Enlargement (variety of tasks) Job Rotation (horizontal Loading) Empowerment (decision making power) Recognition and praise Working environment Worker participation Continuous PD Delegation Job Enrichment (vertical loading)

Benefits of having motivated employees Open your and use your textbook to answer worksheet 2

Plenary Discussion disc- Fishbone diagram Summarise the causes and effects of poor motivation in the Fishbone diagram in pairs and compare with the other group

Motivation in Practice – Financial Financial Motivation Wages (time based) Profit-related Pay Performance- Related pay (goals/targets) Commission (% of sales) Salary (fixed annually) Piece Rate Fringe Benefits (perks) Employee Share Ownership