Creating a Motivating Work Setting

Creating a Motivating Work Setting
Understanding and Managing Organizational Behavior Chapter 7 Sixth Edition Jennifer M. George & Gareth R. Jones Copyright © 2012 Pearson Education, Inc. Publishing as Prentice Hall 7-1

Copyright © 2012 Pearson Education, Inc. Publishing as Prentice Hall
Learning Objectives Appreciate the advantages and disadvantages of the scientific management approach to job design Describe the job characteristics model and its implications for using job design to create a motivating work setting Understand implications of the social information processing model Copyright © 2012 Pearson Education, Inc. Publishing as Prentice Hall

Learning Objectives Appreciate how and why organizational objectives can motivate employees Describe goal setting theory and the kinds of goals that contribute to a motivating work setting Copyright © 2012 Pearson Education, Inc. Publishing as Prentice Hall

Motivating Employees at Zappos
How can organizations create a motivating work setting? Online retailer Zappos is about as unconventional as a company can get. The CEO works from a small messy cubicle, accountants can be seen running Pinewood Derby car races, a conference room decorated by a team resembles a log cabin, visitors touring the company are greeted by the sound of cowbells and horns, and managers are encouraged to socialize with their subordinates. What sets Zappos apart from other online retailers is a focus on creating a motivating work setting in which motivated and happy employees provide outstanding service to customers. Copyright © 2012 Pearson Education, Inc. Publishing as Prentice Hall

Motivation Tools Exhibit 7.1 This Exhibit illustrates the use of job design and goal setting as key factors in motivating employees by linking job design and goal setting to the motivation equation. Copyright © 2012 Pearson Education, Inc. Publishing as Prentice Hall

What Is Job Design? Linking specific tasks to specific jobs Deciding what techniques, equipment, and procedures should be used to perform those tasks Job design may increase motivation and encourage good performance Managers design jobs to increase motivation and encourage employees to perform well, enjoy their work, and receive outcomes available to those who perform at an acceptable level. Copyright © 2012 Pearson Education, Inc. Publishing as Prentice Hall

Job Design: Early Approaches
Scientific management Job enlargement Job enrichment These three theories represent the early approaches to job design. Each suggests how new and existing jobs can be designed to improve motivation and performance. Some can also be used to design a job so that performing the job will promote job satisfaction. These approaches are discussed on the following slides. Copyright © 2012 Pearson Education, Inc. Publishing as Prentice Hall

Scientific Management
A set of principles and practices stressing job simplification and specialization There is one best way to perform any job Management’s responsibility is to determine what that way is Time and motion studies Scientific management was developed in 1911 by Frederick W. Taylor. He published his ideas in a book entitled The Principles of Scientific Management. Taylor was concerned that employees were slacking off and not performing as highly as they should on their jobs. He believed that following the principles of job simplification and job specialization would help managers determine the best way to perform each job. Job simplification is the breaking up of work that needs to be performed in an organization into the smallest identifiable tasks. Jobs are then designed around these narrow tasks. Job specialization is the assignment of employees to perform small, simple tasks. Employees specialize, or focus exclusively, on those tasks. Time and motion studies reveal exactly how long it takes to perform a task and the best way to perform it. Pay is the principal outcome used to motivate employees to contribute their inputs. Copyright © 2012 Pearson Education, Inc. Publishing as Prentice Hall

Disadvantages of the Scientific Management Method
Loss of control Repetitive, boring tasks Meaningless, monotonous work High job dissatisfaction No opportunity to develop and acquire new skills Scientific management focuses exclusively on extrinsic motivation and ignores the important role of intrinsic motivation. This narrow focus results in the disadvantages listed above. Copyright © 2012 Pearson Education, Inc. Publishing as Prentice Hall

Job Enlargement Increasing the number of tasks an employee performs but keeping all of the tasks at the same level of difficulty and responsibility Horizontal job loading Do more tasks Equal level of responsibility Intended to increase intrinsic motivation Job enlargement was the first widespread attempt to counteract some of the disadvantages of designing jobs according to the principles of scientific management. This movement started in the late 1940s and continued through the 1950s. It is referred to as horizontal job loading because the content of a job is expanded but the difficulty remains constant. Proponents thought that increasing the number of tasks performed on a job would increase intrinsic motivation. It was put into effect by companies such as IBM, Maytag, and AT&T. Some reported success but others did not. This is not surprising. Even though employees with enlarged jobs could perform more than one simple task, the tasks could still be boring. In response to the limited effects of job enlargement, job enrichment emerged in the 1960s. Job enrichment is discussed on the next slide. Copyright © 2012 Pearson Education, Inc. Publishing as Prentice Hall

Job Enrichment Designing jobs to provide opportunities for employee growth by giving employees more responsibility and control over their work Vertical job loading Based on Herzberg’s motivator-hygiene theory Job enrichment is referred to as vertical job loading because employees are given some of the responsibilities that used to belong to their supervisors. It is aimed at increasing intrinsic motivation so that employees enjoy their jobs more. When employees are given more responsibility, they are more likely to feel competent and to feel that they have control over their own work behaviors. Copyright © 2012 Pearson Education, Inc. Publishing as Prentice Hall

Enrichment Methods Allow employees to plan their own work schedules Allow employees to decide how the work should be performed Allow employees to check their own work Allow employees to learn new skills These are methods a manager can use to enrich existing jobs. Copyright © 2012 Pearson Education, Inc. Publishing as Prentice Hall

OB Today: Tough Economic Times
Employees are taking on more responsibilities in order to prevent layoffs. As a result of the recession and economic downturn in the late 2000’s, Aaron Leventhal, CEO of Hero Arts, a small company that manufactures decorative rubber stamps in Richmond, California, told his 100 employees that orders were down and layoffs might be in store. Upon hearing the news, Lay Luangrath, a Hero Arts employee who answers the phones and responds to customers questions, volunteered to take on additional responsibilities. In particular, Luangrath offered to expand the scope of his job to include information technology responsibilities such as maintenance of the company’s computer system. Copyright © 2012 Pearson Education, Inc. Publishing as Prentice Hall

The Job Characteristics Model
Skill variety Task identity Task significance Autonomy Feedback The Job Characteristics Model was proposed by Richard Hackman and Greg Oldham in the 1970s and built on the early approaches. They attempted to identify exactly which job characteristics contribute to intrinsically motivating work and what the consequences of these characteristics are. According to this model, any job has five core dimensions that affect intrinsic motivation. The higher a job scores on each dimension, the higher the level of intrinsic motivation. Skill variety is the extent to which a job requires an employee to use a number of different skills, abilities, or talents. Employees are more intrinsically motivated by jobs that are high on skill variety. Task identity is the extent to which a job involves performing a whole piece of work from its beginning to its end. The higher the level of task identity, the more intrinsically motivated an employee is likely to be. Task significance is the extent to which a job has an impact on their lives or work of other people in or out of the organization. Employees are more likely to enjoy performing their jobs when they think their jobs are important in the wider scheme of things. Autonomy is the degree to which a job allows an employee the freedom and independence to schedule work and decide how to carry it out. High autonomy generally contributes to high levels of intrinsic motivation. Feedback is the extent to which performing a job provides a employee with clear information about his or her effectiveness. Receiving feedback has a positive effect on intrinsic motivation. Copyright © 2012 Pearson Education, Inc. Publishing as Prentice Hall

Job Diagnostic Survey Scales used to measure the five dimensions Allows for the computation of a job’s motivating potential score A measure of the overall potential of a job to foster intrinsic motivation Average of skill variety, task identity, and task significance multiplied by autonomy and feedback Identifies the dimensions most in need of redesign Hackman and Oldham developed the Job Diagnostic Survey to measure employees’ perceptions of their jobs on each of the core dimensions. The scales used to measure the five dimensions are shown in Exhibit 7.2. It is possible to compute the job’s motivating potential score. The motivating potential score (MPS) is a measure of the overall potential of a job to foster intrinsic motivation. Because the Job Diagnostic Survey provides for each of the core dimensions a score ranging from a low of 1 to a high of 7, the lowest MPS possible for a job is 1 and the highest MPS possible is 343 (7 * 7 * 7). Hackman and Oldham suggest that an average motivating potential score for jobs in U.S. corporations is around 128. It can also be used to identify the core dimensions that are most in need of redesign in order to increase a job’s motivating potential score. Copyright © 2012 Pearson Education, Inc. Publishing as Prentice Hall

Sample Job Diagnostic Survey Profiles
Exhibit 7.3 This Exhibit shows a survey profile for a gardener who works for a landscape company. The gardener’s levels of task identity and autonomy are especially low and should be the main focus of any redesign efforts. Copyright © 2012 Pearson Education, Inc. Publishing as Prentice Hall

Ways to Redesign Jobs to Increase MPS
Combine tasks so that an employee is responsible for work from start to finish Group tasks into natural work units Allow employees to interact with customers or clients Vertically load jobs to give employees more control and higher levels of responsibility Open feedback channels This list is excerpted from Exhibit 7.4. The table lists these common ways to redesign jobs in order to increase MPS, identifies the core job dimensions affected by each method, and provides an example. Copyright © 2012 Pearson Education, Inc. Publishing as Prentice Hall

Job Dimensions and Psychological States
Experienced meaningfulness of the work Experienced responsibility for work outcomes Knowledge of results Hackman and Oldham proposed that the five core job dimensions contribute to three critical psychological states that determine how employees react to the design of their jobs: experienced meaningfulness of the work, experienced responsibility for work outcomes, and knowledge of results. Experienced meaningfulness of the work is the degree to which employees feel their jobs are important. Experienced responsibility for work outcomes is the extent to which employees feel that they are personally responsible or accountable for their job performance. Knowledge of results is the degree to which employees know how well they perform their jobs on a continuous basis. It stems from the core dimension of feedback. Copyright © 2012 Pearson Education, Inc. Publishing as Prentice Hall

Work and Personal Outcomes
High intrinsic motivation High job performance High job satisfaction Low absenteeism and turnover Hackman and Oldham further proposed that the critical psychological states result in four key outcomes for employees and their organizations. When the five core dimensions are high, employees will be intrinsically motivated. They will also be motivated to perform at a high level. They will be more satisfied because they will have more opportunities for growth and development on the job. When employees enjoy performing their jobs, they will be less likely to be absent or quit. Copyright © 2012 Pearson Education, Inc. Publishing as Prentice Hall

Job Characteristics Model
Exhibit 7.5 This Exhibit illustrates the full Job Characteristics Model including the resulting psychological states and work and personal outcomes. Copyright © 2012 Pearson Education, Inc. Publishing as Prentice Hall

Individual Differences
Growth-need strength Knowledge and skills Satisfaction with the work context The Job Characteristics Model acknowledges the role that individual differences play in determining how employees respond to the design of their jobs. Growth-need strength is the extent to which an individual wants his or her work to contribute to personal growth, learning, and development. Knowledge and skills at an appropriate level enable employees to perform their jobs effectively. When employees do not have the necessary knowledge and skills, the relationships depicted in Exhibit 7.5 may be weak or even negative. Satisfaction with the work context describes how satisfied employees are with extrinsic outcomes they receive from their jobs. Hackman and Oldham reasoned that when employees are dissatisfied with their work context, they spend much of their energy trying to deal with their dissatisfaction with the context and are not able to appreciate and respond to the potential for intrinsic motivation on their jobs. Copyright © 2012 Pearson Education, Inc. Publishing as Prentice Hall

The Social Information Processing Model
Factors other than the core dimensions influence how employees respond to job design Social information Social environment provides employees with information about how they should evaluate their jobs and work outcomes The Job Characteristics Model is complemented by another approach to job design, the social information processing model. It was developed in 1978 by Gerald Salancik and Jeffrey Pfeffer. According to this model, factors other than the core dimensions specified by Hackman and Oldham influence how employees respond to the design of their jobs. Salancik and Pfeffer propose that how employees perceive and respond to the design of their jobs is influenced by social information and by employees’ own past behaviors. Social environment refers to the other individuals with whom employees come into contact at work. It includes coworkers, supervisors, and other members of the work group. The model suggests that the social environment provides employees with information about how they should evaluate their jobs and work outcomes. The increasing reliance of organizations on contingent employees has some interesting implications for social environments at work. Contingent workers are employees organizations hire or contract with on a temporary basis to fill needs for labor which change over time. They have little job security and loyalty to their organizations. Copyright © 2012 Pearson Education, Inc. Publishing as Prentice Hall

Meeting Organizational Objectives
Social identity theory Goal setting Management by objectives (MBO) Organizational objectives describe the overarching purpose of an organization—what it stands for and what it seeks to accomplish. Organizational objectives contribute to creating a motivating work setting because they can provide employees with a sense of meaning and purpose. These three theories address the role of objectives in creating a motivating work setting. They are discussed further on the following slides. Copyright © 2012 Pearson Education, Inc. Publishing as Prentice Hall

Social Identity Theory
People tend to classify themselves and others into social categories Team membership Religious affiliation Social identity theory indicates that people tend to classify themselves and others into social categories such as a member of a certain group or team, religion, political party, or organization. When people identify with an organization, one of the ways in which they define themselves is in terms of being a member of the organization and they see their destiny as being connected to the destiny of the organization. Copyright © 2012 Pearson Education, Inc. Publishing as Prentice Hall

Goal Setting Explains what types of goals are most effective in producing high levels of motivation and performance Emphasizes how to motivate employees to contribute inputs to their jobs Stresses importance of ensuring that employees’ inputs result in acceptable levels of job performance A goal is what an individual is trying to accomplish through his or her behavior and actions. Goal-setting theory focuses on how to motivate employees to contribute inputs to their jobs. Edwin Locke and Gary Latham are the leading experts in goal-setting theory and research. They suggest that the goals employees try to attain at work have a major impact on their levels of motivation and performance. Copyright © 2012 Pearson Education, Inc. Publishing as Prentice Hall

Goal Characteristics Specificity Difficulty Specific goals lead to higher performance than do vague goals or no goals. Difficult goals lead to higher motivation and performance than do easy or moderate goals. Difficult goals are goals that are hard (but not impossible) for most employees to reach. Moderate goals can be achieved, on average, by about half of the people working toward the goal. The major proposition of goal-setting theory is that goals that are both specific and difficult lead to higher motivation and performance than do easy, moderate, or vague goals or no goals at all. This is true whether the goals are set by managers for their subordinates, by employees for themselves, or by managers and employees together. It is important that the goals be accepted and that employees are committed to attaining goals. Copyright © 2012 Pearson Education, Inc. Publishing as Prentice Hall

How Do Goals Affect Motivation?
By directing employees’ attention and action toward goal-relevant activities By encouraging higher levels of effort By encouraging the development of action plans By causing persistence in the face of difficulty This slide explains how goals affect motivation and performance. There are limits to goal-setting theory. Specifically, difficult goals will not lead to high motivation and performance when employees lack the skills and abilities needed to perform at a high level, when employees are given complicated and difficult tasks that require all of their attention and require a considerable amount of learning, and when employees need to be creative. Copyright © 2012 Pearson Education, Inc. Publishing as Prentice Hall

Management by Objectives (MBO)
Goal-setting process Setting and evaluation of goals with manager on periodic basis Basic Steps Goal setting Implementation Evaluation MBO is a goal-setting process in which a manager meets periodically with the manager who is his or her supervisor to set goals and evaluate the extent to which previously set goals have been achieved. The objective of MBO is to make sure that all goals that are set contribute to organizational effectiveness. MBO programs are usually reserved for managers. Although the form and content varies from organization to organization, most MBO programs have three basic steps. The success of a MBO program depends on the appropriateness and difficulty of the goals that are set. Copyright © 2012 Pearson Education, Inc. Publishing as Prentice Hall

Basic Steps in MBO Exhibit 7.7 Goal setting Implementation Evaluation The objective of MBO is to make sure that all goal setting contributes to the organization’s effectiveness. Most MBO programs are usually reserved for managers, but the programs can also be used as a motivational tool for nonmanagers. Although the form and content of MBO programs vary from organization to organization, most programs have three basic steps: goal setting, implementation, and evaluation. 1. Goal setting. The manager and the supervisor meet and jointly determine the goals the manager will try to achieve during a specific time period, say, 6 or 12 months. In our earlier example, Allison Rios, the division manager for frozen vegetables, met with the vice president to whom she reports, and together they decided that she should work throughout the coming year toward the goal of reducing operating expenses by 25 percent. 2. Implementation. The manager is given the autonomy to decide how to meet the goals in the specified time period. Progress toward goal attainment is periodically assessed and discussed by the manager and her or his supervisor. In our example, Rios came up with several ways to cut expenses, including the development of more efficient inventory and product distribution systems and upgrading the production facilities. Rios made and implemented these decisions on her own and periodically met with her supervisor to review how her plans were working. 3. Evaluation. At the end of the specified time period, the manager and supervisor again meet to assess the extent of goal attainment, discuss why some goals may not have been attained, and set goals for the next period. Copyright © 2012 Pearson Education, Inc. Publishing as Prentice Hall

This work is protected by United States copyright laws and is provided solely for the use of instructors in teaching their courses and assessing student learning Dissemination or sale of any part of this work (including on the WorldWideWeb) will destroy the integrity of the work and is not permitted. The work and materials from it should never be made available to students except by instructors using the accompanying text in their classes. All recipients of this work are expected to abide by these restrictions and to honor the intended pedagogical purposes and the needs of other instructors who rely on these materials. All rights reserved. No part of this publication may be reproduced, stored in a retrieval system, or transmitted, in any form or by any means, electronic, mechanical, photocopying, recording or otherwise, without the prior written permission of the publisher. Printed in the United States of America. Copyright © 2012 Pearson Education, Inc. Publishing as Prentice Hall

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