1. PowerPoint Presentation by Charlie Cook Copyright © 2005 Prentice Hall, Inc. All rights reserved. Chapter 9 Motivating, Satisfying, and Leading Employees

2. Copyright © 2005 Prentice Hall, Inc. All rights reserved.9–2 Key Topics Psychological contracts in the workplace Job satisfaction and employee morale Theories of employee motivation Job satisfaction and employee motivation Managerial styles of leadership

3. Copyright © 2005 Prentice Hall, Inc. All rights reserved.9–3 Psychological Contract: A Set of Employment Expectations Contributions:  What does each employee expect to contribute to the organization? Inducements:  What will the organization provide to each employee in return?

4. Copyright © 2005 Prentice Hall, Inc. All rights reserved.9–4 Satisfied Employees Are More Productive and More Committed Job Satisfaction:  Degree of enjoyment employees derive from doing their jobs High Morale:  An overall positive employee attitude toward the workplace Low Turnover:  A low percentage of employees leave each year MORALE TURNOVER MORALE

5. Copyright © 2005 Prentice Hall, Inc. All rights reserved.9–5 Raising Morale Is a High Priority When Unemployment Is Low

6. Copyright © 2005 Prentice Hall, Inc. All rights reserved.9–6 Highly Motivated Employees Are Critical to Business Success Motivation  The set of forces that cause people to behave in certain ways Classical Behavior: The Hawthorne Studies Contemporary

7. Copyright © 2005 Prentice Hall, Inc. All rights reserved.9–7 The Human Resources Model: Theory X and Theory Y (McGregor) Theory X  People are lazy.  People lack ambition and dislike responsibility.  People are self-centered.  People resist change.  People are gullible and not very bright. Theory Y  People are energetic.  People are ambitious and seek responsibility.  People can be selfless.  People want to contribute to business growth and change.  People are intelligent. Table 9–1

8. Copyright © 2005 Prentice Hall, Inc. All rights reserved.9–8 Maslow’s Hierarchy of Needs Figure 9–1

9. Copyright © 2005 Prentice Hall, Inc. All rights reserved.9–9 Two-Factor Theory of Motivation (Herzberg) Figure 9–2

10. Copyright © 2005 Prentice Hall, Inc. All rights reserved.9–10 Expectancy Theory Model Figure 9–3

11. Copyright © 2005 Prentice Hall, Inc. All rights reserved.9–11 Equity Theory Employees evaluate their treatment relative to the treatment of others  Inputs: Employee contributions to their jobs  Outputs: What employees receive in return The perceived ratio of contribution to return determines perceived equity.

12. Copyright © 2005 Prentice Hall, Inc. All rights reserved.9–12 Equity Theory: Possible Assessments Figure 9–4

13. Copyright © 2005 Prentice Hall, Inc. All rights reserved.9–13 Strategies for Enhancing Job Satisfaction and Morale Reinforcement/behavior modification Management by objectives Participative management and empowerment Job enrichment and job redesign Modified work schedules

14. Copyright © 2005 Prentice Hall, Inc. All rights reserved.9–14 Reinforcement/Behavior Modification Theory Positive Reinforcement PunishmentPunishment When rewards are tied directly to performance. When negative consequences are attached directly to undesirable behavior.

15. Copyright © 2005 Prentice Hall, Inc. All rights reserved.9–15 Identifying Resources Counseling Setting Verifiable Goals and Clear Plans Meeting Management by Objectives (MBO): Collaborative Goal-setting Collaborative Goal Setting and Planning Communicating Organizational Goals and Plans Periodic Review Evaluation Figure 9–5

16. Copyright © 2005 Prentice Hall, Inc. All rights reserved.9–16 Participative Management and Empowerment Increasing job satisfaction by encouraging participation Team management represents a growing trend.

17. Copyright © 2005 Prentice Hall, Inc. All rights reserved.9–17 Job Enrichment and Job Redesign Job Enrichment:  Adding one or more motivating factors to job activities Job Redesign:  Designing a better fit between workers and their jobs  Combining tasks  Forming natural work groups  Establishing client relationships

18. Copyright © 2005 Prentice Hall, Inc. All rights reserved.9–18 Modified Work Schedules Work share programs Flextime programs and alternative workplace strategies Telecommuting and virtual offices

19. Copyright © 2005 Prentice Hall, Inc. All rights reserved.9–19 Sample Flextime Scheduling Figure 9–6

20. Copyright © 2005 Prentice Hall, Inc. All rights reserved.9–20 Evaluating Modified Schedules and Alternative Workplaces Advantages  More satisfied, committed employees  Less congestion Disadvantages  Challenging to coordinate and manage  Poor fit for some workers

21. Copyright © 2005 Prentice Hall, Inc. All rights reserved.9–21 The process of motivating others to work to meet specific objectives Managerial Leadership

22. Copyright © 2005 Prentice Hall, Inc. All rights reserved.9–22 Managerial Styles Contingency Approach The appropriate style in any situation is contingent on the unique elements of that situation Contingency Approach The appropriate style in any situation is contingent on the unique elements of that situation Autocratic Style Democratic Style Free-rein Style

23. Copyright © 2005 Prentice Hall, Inc. All rights reserved.9–23 Motivation and Leadership in the 21st Century MotivationMotivation  Security and pay are no longer enough LeadershipLeadership  “Coach” mentality  Diversity  Flexibility

24. Copyright © 2005 Prentice Hall, Inc. All rights reserved.9–24 Chapter Review Describe psychological contracts Discuss the importance of job satisfaction and employee morale Summarize the most important theories of employee motivation Describe strategies to improve job satisfaction and employee motivation Discuss different managerial styles