Copyright ©2011 Pearson Education, Inc. publishing as Prentice Hall

Learning Objectives Define and explain motivation Compare and contrast early theories of motivation Compare and contrast contemporary theories of motivation Discuss current issues in motivating employees Copyright ©2011 Pearson Education, Inc. publishing as Prentice Hall

Motivation “The value in the companies comes from employees who are motivated to be there”

Motivation How I can motivate my employees ?

Motivation Money/Reward/Incentive Growth/Achievement Power/ Status
friendship

What is Motivation? Motivation The process by which a person’s efforts are energized, directed, and sustained toward attaining a goal Managers can’t view motivation as personal element that they think some people are motivated and others aren’t. Individuals differ in motivational drive Overall motivation varies from situation to situation How to keep motivation in high level ? Therefore, understand what employees want is important. Motivation refers to the process by which a person’s efforts are energized, directed, and sustained toward attaining a goal. Copyright ©2011 Pearson Education, Inc. publishing as Prentice Hall

Three Elements of Motivation
This definition has three key elements: Energy - a measure of intensity (strength of emotion) or drive. Direction - effort channeled in a direction that benefits the organization. Persistence - when employees persist (continue to do without fed up) in putting forth effort to achieve those goals. This definition has three key elements: energy, direction, and persistence.4 The energy element is a measure of intensity or drive. A motivated person puts forth effort and works hard. However, the quality of the effort must be considered as well as its intensity. High levels of effort don’t necessarily lead to favorable job performance unless the effort is channeled in a direction that benefits the organization. Effort that’s directed toward, and consistent with, organizational goals is the kind of effort we want from employees. Finally, motivation includes a persistence dimension. We want employees to persist in putting forth effort to achieve those goals. Copyright ©2011 Pearson Education, Inc. publishing as Prentice Hall

What Is Maslow’s Hierarchy of Needs Theory?
Maslow was a psychologist who proposed that within every person is a hierarchy of five needs: Physiological needs (Food, drink, shelter, etc) Safety needs (security and protection) Social needs (Affection, belongingness, friendship, etc) Esteem needs (self respect, status, recognition) Self-actualization needs (Growth, achieving on potential ) The best-known motivation theory is probably Abraham Maslow’s hierarchy of needs theory. Maslow was a psychologist who proposed that within every person is a hierarchy of five needs: Physiological needs Safety needs Social needs Esteem needs Self-actualization needs Copyright ©2011 Pearson Education, Inc. publishing as Prentice Hall

Maslow’s need theory has received wide recognition, especially among practicing managers. Its popularity probably can be attributed to the theory’s intuitive logic and ease of understanding.9 But Maslow provided no empirical support for his theory, and several studies that sought to validate it could not An individual moves up the needs hierarchy from one level to next level One need is satisfied, an individual isn’t motivated to satisfy that needs. To motivate someone, you need understand what level that person is on the hierarchy and focus on satisfying need at or above that level Copyright ©2011 Pearson Education, Inc. publishing as Prentice Hall

What Are McGregor’s Theory X and Theory Y?
Douglas McGregor is best known for proposing two assumptions about human nature: Theory X Negative view of people The assumption that employees dislike work, are lazy, avoid responsibility, and must be coerced (force) to work If you need help, ask for it Theory Y Positive view of people The assumption that employees are creative, enjoy work, seek responsibility, and can exercise self-direction Proposed that participation in decision making, responsible, challenging job and good group relation Douglas McGregor is best known for proposing two assumptions about human nature: Theory X and Theory Y.12 Very simply, Theory X is a negative view of people that assumes workers have little ambition, dislike work, want to avoid responsibility, and need to be closely controlled to work effectively. Theory Y is a positive view that assumes employees enjoy work, seek out and accept responsibility, and exercise self-direction. Copyright ©2011 Pearson Education, Inc. publishing as Prentice Hall

What Is Herzberg’s Two-Factor Theory (motivation-hygiene theory)?
Herzberg’s two-factor theory proposes that: He want to know when people feels good (satisfy) and bad Intrinsic (value) factors are related to job satisfaction Extrinsic (non value) factors are associated with job dissatisfaction The replies people gave when they felt good about their jobs were significantly different from replies they gave when they felt badly Hygiene Factors Factors that eliminate job dissatisfaction but don’t motivate. Motivators Factors that increase job satisfaction and motivation Frederick Herzberg’s two-factor theory (also called motivation-hygiene theory) proposes that intrinsic factors are related to job satisfaction, while extrinsic factors are associated with job dissatisfaction. Herzberg’s theory enjoyed wide popularity from the mid-1960s to the early 1980s, despite criticisms of his procedures and methodology. Although some critics said his theory was too simplistic, it has influenced how we currently design jobs. Copyright ©2011 Pearson Education, Inc. publishing as Prentice Hall

As shown in Exhibit 10-3, Herzberg proposed that a dual continuum existed: The opposite of “satisfaction” is “no satisfaction,” and the opposite of “dissatisfaction” is “no dissatisfaction.” Copyright ©2011 Pearson Education, Inc. publishing as Prentice Hall

What Is McClelland’s Three-Needs Theory?
Three acquired (efforts) needs are major motives at work Need for Achievement (nAch) The drive to succeed and excel in relation to a set of standards Need for Power (nPow) The need to make others behave in a way that they would not have behaved otherwise (different way) Need for Affiliation (nAff) The desire for friendly and close interpersonal relationships Affiliation-link or connection made by affiliating David McClelland and his associates proposed the three-needs theory, which says there are three acquired (not innate) needs that are major motives in work. These three needs include the need for achievement (nAch), which is the drive to succeed and excel in relation to a set of standards; the need for power (nPow), which is the need to make others behave in a way that they would not have behaved otherwise; and the need for affiliation (nAff), which is the desire for friendly and close interpersonal relationships. Of these three needs, the need for achievement has been researched the most. Copyright ©2011 Pearson Education, Inc. publishing as Prentice Hall

How Do the Contemporary Theories Explain Motivation?
This theory support by research Goal setting theory Job design theory Equity theory Expectancy theory

1. What Is Goal-Setting Theory?
Get best result or Get A. Specific goals increase performance Difficult goals, when accepted, result in higher performance What does goal setting theory tell us? With challenging result are superior motivating forces and do better if they get feedback between performance and goal Self-Efficacy An individual’s belief that he or she is capable of performing a task There is substantial research support for goal-setting theory, which says that specific goals increase performance and that difficult goals, when accepted, result in higher performance than do easy goals. Copyright ©2011 Pearson Education, Inc. publishing as Prentice Hall

Exhibit 10-4 summarizes the relationships among goals, motivation, and performance. Our overall conclusion is that the intention to work toward hard and specific goals is a powerful motivating force. Under the proper conditions, it can lead to higher performance. However, there is no evidence that such goals are associated with increased job satisfaction Relation among goals, motivation and performance Overall conclusion that work toward and and specific goals is a powerful motivating force Copyright ©2011 Pearson Education, Inc. publishing as Prentice Hall

2. How Does Job Design Influence Motivation?
The way tasks are combined to form complete jobs Should design job deliberately (think carefully) to reflect the demands, technology and employees skill, abilities and preferences. What are the ways that managers can design motivating job? Job Characteristics Model (JCM)-Richard Hackman A framework for analyzing and designing jobs that identifies five primary core job dimensions, their interrelationships, and their impact on outcomes Job Enrichment The vertical expansion of a job by adding planning and evaluation responsibilities We use the term job design to refer to the way tasks are combined to form complete jobs. Copyright ©2011 Pearson Education, Inc. publishing as Prentice Hall

Exhibit 10-5 presents the model. Notice how the first three dimensions—skill variety, task identity, and task significance—combine to create meaningful work. Copyright ©2011 Pearson Education, Inc. publishing as Prentice Hall

The JCM significant guidance to managers for job design for both individual and teams The JCM provides significant guidance to managers for job design for both individuals and teams. The suggestions shown in Exhibit 10-6, which are based on the JCM, specify the types of changes in jobs that are most likely to improve in each of the five core job dimensions. Copyright ©2011 Pearson Education, Inc. publishing as Prentice Hall

3. What Is Equity Theory? Equity Theory The theory that an employee compares his or her job’s input-outcomes ratio with that of relevant others and then corrects any inequity Your salary is RM50,000/year but your friend receive RM60,000/year with the same job. Referent The persons, systems, or selves against which individuals compare themselves to assess equity Equity theory, developed by J. Stacey Adams, proposes that employees compare what they get from a job (outcomes) in relation to what they put into it (inputs) and then compare their inputs-outcomes ratio with the inputs-outcomes ratios of relevant others Copyright ©2011 Pearson Education, Inc. publishing as Prentice Hall

Equity Theory (cont.) Originally, equity theory focused on distributive justice and then issues of procedural justice Distributive Justice Perceived fairness of the amount and allocation of rewards among individuals Procedural Justice Perceived fairness of the process used to determine the distribution of rewards Which one is better ? Originally, equity theory focused on distributive justice, which is the perceived fairness of the amount and allocation of rewards among individuals. More recent research has focused on looking at issues of procedural justice, which is the perceived fairness of the process used to determine the distribution of rewards Copyright ©2011 Pearson Education, Inc. publishing as Prentice Hall

4. How Does Expectancy Theory Explain Motivation?
An individual tends to act in a certain way, based on: the expectation that the act will be followed by a given outcome the attractiveness of that outcome to the individual Performance-reward linkage was clear, employees hard work and performance achievements were always rewarded by the company with reward she valued The most comprehensive explanation of how employees are motivated is Victor Vroom’s expectancy theory.40 Although the theory has its critics, most research evidence supports it. Expectancy theory states that an individual tends to act in a certain way based on the expectation that the act will be followed by a given outcome and on the attractiveness of that outcome to the individual. Copyright ©2011 Pearson Education, Inc. publishing as Prentice Hall

Example: How hard she/he was willing to work was dependent on the level of performance that to be meet and if he/she achieved the performance she would received the reward. And since she value he reward, she always work hard to exceed the goals. It includes three variables or relationships (see Exhibit 10-8): 1. Expectancy or effort-performance linkage is the probability perceived by the individual that exerting a given amount of effort will lead to a certain level of performance. 2. Instrumentality or performance-reward linkage is the degree to which the individual believes that performing at a particular level is instrumental in attaining the desired outcome. 3. Valence or attractiveness of reward is the importance that the individual places on the potential outcome or reward that can be achieved on the job. Valence considers both the goals and needs of the individual. Copyright ©2011 Pearson Education, Inc. publishing as Prentice Hall

Motivation Theory Goal setting theory Job design theory Equity theory Expectancy theory Many of the ideas underlying the contemporary motivation theories are complementary, and you’ll understand better how to motivate people if you see how the theories fit together. Exhibit 10-9 presents a model that integrates much of what we know about motivation. Its basic foundation is the expectancy model. Copyright ©2011 Pearson Education, Inc. publishing as Prentice Hall

Motivating a Diverse Workforce
The keys are flexibility and autonomy Compressed Workweek (flexible work arrangement) Flexible work arrangement to help employees cope with high fuel prices A workweek in which employees work longer hours per day but fewer days per week. Increase work hours from 8 hours to 10 hours but reducing in working days from 5 to 4 days Flexible Work Hours (flextime) A scheduling system in which employees are required to work a certain number of hours per week but are free, within limits, to vary the hours of work Certain working hours but starting, ending and lunch hour are flexible To maximize motivation among today’s workforce, managers need to think in terms of flexibility. For instance, studies tell us that men place more importance on having autonomy in their jobs than do women. In contrast, the opportunity to learn, convenient and flexible work hours, and good interpersonal relations are more important to women. Copyright ©2011 Pearson Education, Inc. publishing as Prentice Hall

Motivating a Diverse Workforce (cont.)
Job Sharing When two or more people split (share) a fulltime job Example: Mc Donald introduced family contract to reduce absenteeism and turnover Telecommuting A job approach in which employees work at home but are linked by technology to the workplace A diverse array of rewards is needed to motivate employees with such diverse needs. Many of the work/life balance programs (see Chapter 6) that organizations have implemented are a response to the varied needs of a diverse workforce. In addition, many organizations have developed flexible work arrangements that recognize different needs. These types of programs may become even more popular as employers look for ways to help employees cope with high fuel prices Copyright ©2011 Pearson Education, Inc. publishing as Prentice Hall

Designing Appropriate Rewards Programs
Open-Book Management An organization’s financial statements are shared with all employees Employees will be motivated to make better decision about their work and the implications To get employees to think like an owner by seeing the impact their decisions have on financial results A diverse array of rewards is needed to motivate employees with such diverse needs. Many of the work/life balance programs (see Chapter 6) that organizations have implemented are a response to the varied needs of a diverse workforce. In addition, many organizations have developed flexible work arrangements that recognize different needs. These types of programs may become even more popular as employers look for ways to help employees cope with high fuel prices Copyright ©2011 Pearson Education, Inc. publishing as Prentice Hall

Employee Recognition Programs Programs that consist of personal attention and expressions of interest, approval, and appreciation for a job well done Incentive system to better promote productivity and retention among workers Not only from manager but from other peers (team members) How to do recognition: Personally congratulate an employees Send handwriting or Publicly recognize accomplishments Celebrate team success for enhance group cohesiveness A diverse array of rewards is needed to motivate employees with such diverse needs. Many of the work/life balance programs (see Chapter 6) that organizations have implemented are a response to the varied needs of a diverse workforce. In addition, many organizations have developed flexible work arrangements that recognize different needs. These types of programs may become even more popular as employers look for ways to help employees cope with high fuel prices Copyright ©2011 Pearson Education, Inc. publishing as Prentice Hall 30

Pay-for-Performance Programs Variable compensation plans that pay employees on the basis of some performance measurement Wage incentive program, profit sharing and lump-sum bonuses Traditionally, pay based on time on job Compatible with Expectancy theory: Strong relation between their performance and reward A diverse array of rewards is needed to motivate employees with such diverse needs. Many of the work/life balance programs (see Chapter 6) that organizations have implemented are a response to the varied needs of a diverse workforce. In addition, many organizations have developed flexible work arrangements that recognize different needs. These types of programs may become even more popular as employers look for ways to help employees cope with high fuel prices Copyright ©2011 Pearson Education, Inc. publishing as Prentice Hall 31

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