1. Motivation and Performance
chapter thirteen
Motivation and Performance
McGraw-Hill/Irwin
Contemporary Management, 5/e
Copyright © 2008 The McGraw-Hill Companies, Inc. All rights reserved.

2. Learning Objectives Define motivation.
Understand numerous different approaches to how employees are motivated in the workplace
Maslow’s Hierarchy of Needs
Herzberg’s 2-Factor Theory
McClelland’s Theory of Needs
Equity Theory
Expectancy Theory
Operant Conditioning Theory
Serve up Real World Motivational practices
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3. Q. Why is motivating employees (or not) one of the most important things a manager does?
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© 2005 The McGraw-Hill Companies, Inc. All rights reserved.

4. The Nature of Motivation
Motivation - The psychological forces that determine the direction of a person’s behavior in an organization, a person’s level of effort, and a person’s level of persistence
Direction - possible behaviors the individual could engage in
Effort - how hard the individual will work
Persistence - whether the individual will keep trying or give up

5. Defining Motivation
Motivation is not a personality trait, which either you have or you don’t…
Motivation is something everyone has and it varies by individual and between individuals based upon the situation

6. The Nature of Motivation
Intrinsically Motivated Behavior
The sense of accomplishment and achievement derived from doing the work itself
Extrinsically Motivated Behavior
Behavior that is performed to acquire material or social rewards or to avoid punishment.
The source of the motivation is the consequences of the behavior and not the behavior itself.

7. Outcomes and Inputs
Input - Anything a person contributes to his or her job or organization (Time, effort, skills, knowledge, work behaviors)
Outcome - Anything a person gets from a job or an organization (pay, job security, autonomy, accomplishment)

8. The Motivation Equation
Figure 13.1

9. Motivation Theory #1 – Maslow’s Hierarchy of Needs
Maslow’s Hierarchy of Needs – humans will strive to meet needs, only moving on to higher level needs once a need is met.
Implication – In order to motivate people, you must try to meet the lowest level of unmet needs that they have .

10. Motivation Theory #1 – Maslow’s Hierarchy of Needs
Higher-order needs
Self-actualization
Self-fulfillment
Esteem or ego
Recognition, Confidence, Success, Strength
Social
Acceptance, Belonging, Love, Affection
Safety
Security, Protection, Comfort, Peace, Surroundings
Physiological
Food, Thirst, Sleep, Health, Body needs, Exercise, Rest
Lower-order needs
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11. Maslow’s Hierarchy of Needs
Self-
actualization
Realize one’s
full potential
Use abilities
to the fullest
Esteem
Feel good
about oneself
Promotions
and recognition
Belongingness
Social
interaction, love
Interpersonal
relations, parties
Safety
Security, stability
Job security,
health insurance
Physiological
Food, water,
shelter
Basic pay level
to buy items
Needs
Description
Examples
Lower-level needs must be satisfied before higher-level needs are addressed.
Highest-level needs
Lowest-level needs
Table 13.1

12. Motivation Theory #2 – Herzberg’s 2-Factor Theory
Maintenance Factors – Workplace elements that must be present to prevent dissatisfaction, but being present doesn’t cause motivation
Motivating Factors – Workplace elements that when present will motivate employees
Implication – There are certain factors (like money) which won’t motivate most employees but can de-motivate them if not decent. There are other factors which can motivate employees

13. Job Enrichment - Herzberg
Herzberg’s Maintenance Factors and Motivating Factors
Maintenance Factors (Not Motivators, Motivating Factors
but Prevent Dissatisfaction): (Directly Lead to Satisfaction):
1. Company policy and administration 1. Opportunity for achievement
2. Supervision 2. Opportunity for recognition
3. Relationship with supervisor 3. Work itself
4. Relationship with peers 4. Responsibility
5. Working conditions 5. Advancement
6. Salary 6. Personal growth
7. Relationship with subordinates
Job Enrichment - Herzberg .

14. Motivation Theory #3 – McClelland’s Acquired Needs Theory
People acquire 3 groups of needs through their life experiences, especially early in life:
Need for Achievement – motivated by meeting challenges
Need for Power – motivated by responsibility
Need for Affiliation – motivated by approval
Implication - If a manager understands which of these 3 types of needs is most important for an employee, then they can be motivated accordingly .

15. Motivation Theory #3 - McClelland’s Acquired Needs Theory
nAch
nPow
nAff

16. Motivation Theory #3 – McClelland’s Acquired Needs Theory
Q. Based upon the McClelland’s Theory, what Need are you most motivated by?
Need for Achievement – motivated by meeting challenges
Need for Power – motivated by responsibility
Need for Affiliation – motivated by approval

17. Motivation Theory #3 – McClelland’s Acquired Needs Theory
* Implication - You will likely be happiest by seeking out a work environment that matches your primary Need:
N power - Likely to be happiest in jobs that give you control over budgets, people, and decision-making.
N achievement - Likely to be happiest working in an environment in which you can create something new.
N affiliation – Likely to happiest when you can be working with other people and can form friendships.
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18. Motivation Theory #4 – Equity Theory
Equity theory - People want to be treated fairly in relationship to others.
Inequity exists when a person perceives his or her job inputs (such as effort, skills, and experience) and outcomes (such as pay) to be different than the job inputs and outcomes of another person.
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19. Motivation Theory #4 – Equity Theory
Q. Have you ever seen someone throttle back their work effort because they felt they were underpaid? Or increase their effort because they felt they were overpaid?

20. Motivation Theory #4 – Equity Theory
A person might take several actions to reduce inequity:
Increase efforts on the job
Reduce efforts on the job
Quit the job.
Request a pay increase.
Implication – It is human nature for employees to compare their efforts and rewards to others, therefore managers need to be as fair as possible in rewarding all employees for their efforts.
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© 2005 The McGraw-Hill Companies, Inc. All rights reserved.

21. Motivation Theory #5 – Expectancy Theory
Expectancy Theory is best expressed in the following formula:
Implication – Managers must reward achievements in ways that are meaningful to individual employees. .

22. Motivation Theory #5 – Expectancy Theory
An employee’s motivation will be maximized when they answer “yes” to the following questions:
If I give a maximum effort, will it be recognized?
If it is recognized, will it then be rewarded?
If it is rewarded, are the rewards attractive to me?
If the employee does not expect the answer to be “yes” to each question, they won’t be motivated
Q. Does this apply to you personally?

23. Q. In the workplace, what motivates you the most?
Q. Other than using monetary incentives, how would you motivate your followers?

24. Motivation Theory #6 - Operant Conditioning Theory
People learn to perform behaviors that lead to desired consequences and learn not to perform behaviors that lead to undesired consequences.
Linking specific behaviors to the attainment of specific outcomes (such as pay raises or recognition) can motivate high performance and prevent negative behaviors.

25. Operant Conditioning Tools
Positive Reinforcement - Gives people outcomes they desire when they perform organizationally functionally behaviors
Positive reinforcers: Pay, praises, promotions
Negative Reinforcement - Eliminating undesired outcomes once the functional behavior occurs
Negative reinforcers: criticisms, pay cuts, suspension

26. Avoiding Side Effects of Negative Reinforcement
Downplay the emotional element involved
Try to punish dysfunctional behaviors as soon as they occur
Try to avoid punishing someone in front of others

27. In the Real World… Ways to Motivate Followers
Take an individualized approach
Understand Responsibility, Authority, Autonomy & Accountability = pride & self-esteem
Build a team
Install a flexible benefits program
Utilize job design techniques
Provide Great Leadership!
Properly use recognition

28. Individualizing Motivation
Understand that each individual has different motivators and individuals are motivated differently depending upon the situation
Understand that Motivation is not a personality trait, which either you have or you don’t. It is by degree for everyone
Invite employees to participate in determining their own rewards
Make certain that motivation is being handed out equitably

29. Individualizing Motivation
Connect rewards to both individual & team performance
Ensure that employees are both having fun and producing
Balance the needs of the employee with the needs of the organization (provide the best reward under the circumstances)
View individuals as followers, not as employees!