2. Chapter 13
Motivating for
Performance

3. Learning Objectives After studying Chapter 13, you will know:
the kinds of behaviors managers need to motivate in people
how to set challenging, motivating goals
how to reward good performance
the key beliefs that affect people’s motivation
the ways in which people’s individual needs affect their behavior
how to create a motivating, empowering job
how people assess fairness and how to achieve fairness
the causes and consequences of a satisfied workforce

4. Motivating For Performance
Motivation
forces that energize, direct, and sustain a person’s efforts
highly motivated people, with adequate ability and understanding of the job, will be highly productive
managers must know what behaviors they want to motivate people to exhibit
Dial Up User’s
High Speed User’s

5. Behaviors That Companies Want Employees To Exhibit
Join the
organization
Exhibit good
citizenship
Remain in the
organization
Companies
must
motivate
workers to:
Achieve high
output
Come to work
regularly

6. Setting Goals Goal setting theory Goals that motivate
people have conscious goals that energize them and direct their thoughts and behaviors toward a particular end
Goals that motivate
goals should be acceptable to employees
goals should be challenging but attainable
goals should be specific, quantifiable, and measurable
Limitations of goal setting
individualized goals create competition and reduce cooperation
single productivity goals interfere with other dimensions of performance

7. Reinforcing Performance
Law of effect
behavior that is followed by positive consequences will likely be repeated
Reinforcers
positive consequences that motivate behavior
Organizational behavior modification (OB Mod)
application of reinforcement theory in organizational settings
influences people’s behavior and improves performance by systematically managing work conditions and the consequences of people’s actions

8. Reinforcing Performance (cont.)
Consequences of behavior
positive reinforcement - applying valued consequences that increase the likelihood that a person will repeat the behavior that led to it
negative reinforcement - removing or withholding an undesirable consequence
can involve the threat of punishment
punishment - administering an aversive consequence
extinction - withdrawing or failing to provide a reinforcing consequence
Reward system has to support the firm’s strategic intent

9. The Consequences Of Behavior
Positive reinforcement or
negative reinforcement
Same behavior
likely to be
repeated
less likely to be
Punishment
extinction
Behavior

10. Performance-Related Beliefs
Expectancy theory
proposes that people will behave based on their perceived likelihood that their effort will lead to a certain outcome and on how highly they value that outcome
effort-to-performance link
expectancy - employees’ perception of the likelihood that their efforts will enable them to attain their performance goals
performance-to-outcome link
instrumentality - perceived likelihood that performance will be followed by a particular outcome
valence - value an outcome holds for the person contemplating it
for motivation to be high, expectancy, instrumentalities, and total valence of all outcomes must all be high

11. Basic Concepts Of Expectancy Theory
Effort
Performance
Outcome
Expectancy
Instrumentality

12. Performance-Related Beliefs (cont.)
Expectancy theory (cont.)
managerial implications of expectancy theory
increase expectancies
provide a work environment that facilitates good performance
set realistically attainable performance goals
identify positively valent outcomes
understand what people want to get out of work
make performance instrumental toward positive outcomes
good performance should be followed by personal recognition and praise, favorable performance reviews, and other positive results

13. Understanding People’s Needs
Content theories
indicate the kinds of needs that people want to satisfy
the extent to which and the ways in which a person’s needs are met or not met affect her/his behavior on the job
Maslow’s need hierarchy
human needs are organized into five major types
physiological - food, water, sex, and shelter
safety or security - protection against threat and deprivation
social - friendship, affection, belonging, and love
ego - independence, achievement, freedom, recognition, and self-esteem
self-actualization - realizing one’s potential

14. Understanding People’s Needs (cont.)
Maslow’s need hierarchy (cont.)
postulates that people satisfy these needs one at a time, from bottom to top
people motivated to satisfy lower needs before they try to satisfy higher needs
once satisfied, a need is no longer a powerful motivator
not altogether accurate theory of human motivation
nonetheless, made three major contributions
identified important need categories
helped to think in terms of lower- and higher-level needs
increased salience of personal growth and self-actualization

15. Understanding People’s Needs (cont.)
Alderfer’s ERG theory
postulates that people have three basic need sets
Existence needs - material and physiological desires
Relatedness needs - involve relationships with other people
satisfied by the process of mutually sharing thoughts and feelings
Growth needs - motivate people to productivity or creativity
satisfied by fully utilizing personal capacities and developing new capacities
postulates that several different needs can be operating at once
has greater scientific support than Maslow’s hierarchy
both theories remind managers of the types of reinforcers or rewards that can be used to motivate people

16. Comparison Of Maslow’s Need Hierarchy And ERG Theory
Growth
Self-
actualization
Relatedness
Ego
Social
Existence
Safety
Physiological
Maslow
Alderfer

17. Understanding People’s Needs (cont.)
McClelland’s needs
achievement - strong orientation toward accomplishment and an obsession with success and goal attainment
affiliation - strong desire to be liked by other people
power - desire to influence or control other people
personalized power - negative force
expressed through the manipulation and exploitation of others
socialized power - positive force
channeled toward the constructive improvement of organizations and societies
managerial success associated with low need for affiliation and moderate to high need for power

18. Understanding People’s Needs (cont.)
Need theories: International perspectives
need importance varies from country to country
not all people are motivated by the same needs
achievement, growth, and self-actualization are profoundly important in the U.S. and other Anglo-American countries
these needs are not universally important, however

19. Designing Motivating Jobs
Rewards may be available from the nature of the job
extrinsic reinforcers - reinforcers given to a person by the boss, the company, or some other person
intrinsic reward - derived directly from performing the job itself
essential to the motivation underlying creativity
the result of a challenging problem
the result of work that is exciting in and of itself
‘mechanistic’ approach to job design - characterizes a demotivating job
highly specialized, simple and routine
results in employee dissatisfaction, absenteeism, and turnover

20. Designing Motivating Jobs (cont.)
Job rotation
changing from one routine task to another to alleviate boredom
can benefit everyone when done properly
Job enlargement
giving people additional tasks at the same time to alleviate boredom
additional tasks at the same level of responsibility
Job enrichment
changing a task to make it inherently more rewarding, motivating, and satisfying
adds higher levels of responsibility

21. Designing Motivating Jobs (cont.)
Herzberg’s two-factor theory
distinguished between two broad categories of factors that affect people working on their jobs
hygiene factors - characteristics of the workplace
make people unhappy
will not make people truly satisfied
motivators - characteristics of the job itself
when present, jobs presumed to be both satisfying and motivating
theory has been widely criticized
nevertheless, highlights the distinction between extrinsic and intrinsic rewards
reminds managers that worker motivation depends on more than extrinsic rewards

22. Designing Motivating Jobs (cont.)
The Hackman and Oldham model of job design
well designed jobs produce three critical psychological states
meaningfulness - believe that work is important to other people
responsibility - feel personally responsible for how the work turns out
knowledge of results - know how well the job was performed
psychological states produced by five core job dimensions
skill variety - different job activities involving several skills
task identity - completion of a whole, identifiable piece of work
task significance - important impact on the lives of others
autonomy - independence and discretion in making decisions
feedback - information about job performance

23. Designing Motivating Jobs (cont.)
The Hackman and Oldham model of job design (cont.)
effective job enrichment increases all five core dimensions
effectiveness of a job enrichment program depends on a person’s growth need strength
growth need strength - degree to which individuals want personal and psychological development

24. The Hackman And Oldham Model Of Job Enrichment
Core job
dimensions
Critical
psychological
states
Personal and work outcomes
High internal work motivation
High-quality
work performance
High job
satisfaction
Low absenteeism
and turnover
Experienced meaningfulness
of the work
Skill variety
Task identity
Task significance
Experienced responsibility for work outcomes
Autonomy
Feedback
Knowledge of results
Employee growth
need strength

25. Designing Motivating Jobs (cont.)
Empowerment
process of sharing power with employees, thereby enhancing their beliefs about being influential contributors
employees perceive meaning in work
employees feel competent
employees derive a sense of self-determination
employees believe they have an impact on important decisions
empowering environment
provides information required to perform at one’s best
knowledge available about how to use the information
employees have the power to make decisions
employees receive rewards for contributions

26. Actions That Empower Employees
Increase
signature authority
at all levels
Reduce the
number of rules
Reduce the
number of
approval steps
Assign
nonroutine
jobs
Specific
actions to
empower
Provide more
freedom of access
to people
Allow
independent
judgment
Provide more
freedom of access
to resources
Define jobs
more broadly as
projects

27. Achieving Fairness Equity theory Assessing equity
two factors used to assess how fairly one has been treated
outcomes - various things the person receives on the job
inputs - contributions the person makes to the organization
people expect the outcomes they receive to be proportional to the inputs they provide
people also pay attention to the outcomes and inputs of others
Assessing equity
equity exists when the ratios are equal
assessments of equity are subjective perceptions or beliefs

28. Achieving Fairness (cont.)
Restoring equity
inequity causes dissatisfaction and leads to attempts to restore balance to the relationship
a variety of behavioral and perceptual options may be used to restore equity
alter Person’s ratio
reduce inputs - give less effort, perform at lower levels, quit
increase outcomes - request higher grade, better pay
alter Other’s ratio
decrease outcomes
increase inputs

29. Achieving Fairness (cont.)
Fair process
procedural justice - using a fair process in decision making and making sure others know that the process was as fair as possible
fair processes make unfair outcomes more palatable
explain how a decision is made
make an unbiased decision
offer a chance to voice complaints
collaborate in making decision

30. Job Satisfaction Correlates of job satisfaction
job satisfaction is unrelated to job performance
the greater the job dissatisfaction:
the higher turnover
the higher absenteeism
the lower corporate citizenship
the more grievances and lawsuits
the higher the probability of a strike
the more likely that stealing and/or vandalism will occur
the poorer the mental and physical health of the workers

31. Job Satisfaction (cont.)
Quality of work life (QWL)
programs designed to create a workplace that enhances employee well-being
goal is to satisfy the full range of employee needs
organizations differ drastically in their attention to QWL
in assessing the effects of QWL, productivity is defined broadly to include turnover, absenteeism, accidents, theft, sabotage, creativity, and quality of work

32. Categories Of Quality Of Life
Adequate and fair
compensation
Safe and
healthy
environment
Socially responsible
organizational
actions
Jobs develop
human
capacities
Quality
of Work
Life
Minimum infringe-
ments on personal
and family needs
Chance for personal
growth and security
Constitutionalism
Supportive
social
environment

33. Job Satisfaction (cont.)
Psychological contracts
a set of perceptions of what employees owe their employers, and what their employers owe them
has important implications for employee satisfaction/motivation
historically, this relationship has been stable in many companies
now, mergers, layoffs, and other disruptions have undermined the ‘old deal’
versus
Benefits provided by
the organization
Benefits promised by
Contributions provided
by the employee
Contributions promised