+ Understanding Canadian Business Chapter 11 Motivating Employees

+ Learning Goals 1. Identify the levels of Maslow’s hierarchy of needs, and relate their importance to employee motivation. 2. Distinguish between the motivators and hygiene factors identified by Herzberg. 3. Explain how job enrichment affects employee motivation and performance. 4. Describe the key principles of goal-setting, expectancy, reinforcement, and equity theories. 5. Explain how open communication builds teamwork, and describe how managers are likely to motivate teams in the future.

+ Everyday Leadership Drew Dudley

+ Why Motivate Employees? Losing an employee is costly. Motivating the right people to join and remain in the company is a major function of management. Intrinsic reward: personal satisfaction of a job well done. Extrinsic: outside recognition of a job well done. Key to Leadership Success Motivating others to do their Best

+ Intrinsic vs. Extrinsic Rewards

+ Maslow’s Hierarchy of Needs Based on the idea that motivation comes from need. If a need is met, it’s no longer a motivator, so a higher-level need becomes the motivator. Higher-level needs demand the support of lower-level needs. If you are thirsty, it will take you back to the physiological need The movie Up explains Maslow’s Hierarchy of Needs Maslow’s Hierarchy of Needs

+ Herzberg’s Motivating Factors Work itself Achievement Recognition Responsibility Growth and advancement

+ Herzberg’s Motivating Factors Herzberg’s study asked workers to rank various job-related factors in order of importance relative to motivation. Sense of accomplishment Earned recognition Interest in the work itself Opportunity for growth Opportunity for advancement Importance of responsibility Peer and group relationships Pay Supervisor’s fairness Company policies and rules

+ Herzberg’s Motivating Factors Herzberg noted that the factors receiving the most votes were clustered around job content. Workers like to feel that they contribute to the company. Motivators – job factors that cause employees to be productive and that give them satisfaction Hygiene factors – job factors that can cause dissatisfaction if missing but that do not necessarily motivate if increased.

+ Herzberg’s Motivating Factors Motivators Work itselfAchievementRecognitionResponsibility Growth and advancement Hygiene Company policy and administration Supervision Working conditions Interpersonal relations Salary, status and job security These factors can cause dissatisfaction, but changing them will have little motivational effect

+ Job Enrichment Skill variety Task Identity Task significance Autonomy Feedback Job enlargement Job rotation

+ Employee-Oriented Motivational Techniques 1. Goal-setting theory Goal-setting theory Clarity. Challenge. Commitment. Feedback. Task complexity.

+ S.M.A.R.T. Goal Questionnaire S pecific – What will the goal accomplish? How and why will it be accomplished? M easureable – How will you measure whether or not the goal has been reached? A chievable – Is it possible? Have others done it successfully? R ealistic – What is the reason, purpose, or benefit of accomplishing the goal? T ime-bound – What is the established completion date and does that completion date create a practical sense of urgency?

+ Employee-Oriented Motivational Techniques 2. Expectancy theory Individuals have different sets of goals and can be motivated if they believe that:

+ Employee-Oriented Motivational Techniques 3. Reinforcement theory Reinforcement theory In reinforcement theory a combination of rewards and/or punishments is used to reinforce desired behavior or extinguish unwanted behavior.

+ Employee-Oriented Motivational Techniques 4. Equity theory Employees become de-motivated if they feel their inputs are greater than the outputs.

+ Employee-Oriented Motivational Techniques Inputs includ e: EffortLoyaltyFlexibility DeterminationEnthusiasmTrust Superiors Support Colleagues Personal Sacrifice

+ Employee-Oriented Motivational Techniques Outputs include: Financial Rewards Recognition Responsibility Sense of Achievement

+ Employee-Oriented Motivational Techniques How will employees behaviour change if they believe their input is greater than the output? EffortCompensation?

+ Building Teamwork Create an organizational culture that rewards listening. Train managers and supervisors to listen. Remove barriers to open communication. Actively undertake to facilitate communication.

+ Pep Talk about Teamwork and Leadership By Kid President