1. Motivation Sung Jae Park, Ph.D.

2. Why is Motivation important  Under optimal conditions, effort can often be increased and sustained  Delegation without constant supervision is always necessary (micromanaging or constant support is difficult  Employees can become self-motivated  Motivated employees can provide competitive advantage by offering suggestions & working to satisfy customers  Job performance = f (ability X motivation X organizational support)

3. Major Theories of Motivation  Need Approaches:  Maslow’s Hierarchy of Needs  Alderfer’s ERG Theory  Herzberg’s Two Factor Theory  McClelland’s Learned Needs Theory  Cognitive Approaches:  Expectancy Theory  Equity Theory/ Social Comparison  Goal Setting Theory  Reinforcement Approaches:  Reinforcement Theory (behavior modification)

4. Major Theories of Motivation  Maslow’s Hierarchy of Needs 1. Businesses typically do well satisfying lower order needs. 2. Model stipulates that there are 5 needs and that the order is “fixed”. Research indicates some may only have 2-3 need hierarchy; others 5-6. The order may also be inverted and meeting needs outside of work not accounted for. 3. Model not developed from average employees

5. Major Theories of Motivation  Alderfer’s ERG Theory

6. Major Theories of Motivation  Herzberg’s Two Factor Theory  Job satisfaction is equivalent to being motivated (influence of Human Relations) and assumption that the happy worker is a productive worker  Job satisfaction/dissatisfaction are separate concepts with unique determinants  Determinants of Job Dissatisfaction are Hygiene Factors:  Pay, fringe benefits; Working conditions; Quality of supervision; Interpersonal relations  Determinants of Job Satisfaction are Motivator Factors:  Work itself, responsibility; Advancement; Recognition

7. Major Theories of Motivation  Herzberg’s Two Factor Theory Contributions  1st to argue that job content/job design was important  Job enrichment as a motivational strategy  Model appealing, easy to understand.  Explained why “more” hygiene factors did not increase motivation Criticisms  Some individual differences, like desire for pay, rejected as a motivator. Also, not everyone wants an enriched job  Assumes satisfaction (presence of motivators) = motivation

8. Major Theories of Motivation  McClelland’s Learned Needs Theory INDIVIDUAL NEEDWORK PREFERENCES JOB EXAMPLE High need for achievement High need for affiliation High need for power - Individual responsibility - Challenging but achievable goals - Feedback on performance - Interpersonal relationships - Opportunities to communicate - Control over other persons - Attention - Recognition Field sales person with challenging quota and opportunity to earn individual bonus Customer service representative; member of work unit subject to group wage bonus plan Formal position of supervisory responsibility; appointment as head of special task force or committee

9. Major Theories of Motivation  Cognitive Approaches:  the decision to expend effort  the level of effort to exert  how effort can be made to persist over time

10. Major Theories of Motivation  Expectancy Theory:  Involves 3 cognitions/perceptions:  Expectancy - the perceived probability that effort will lead to task performance.  Instrumentality - the perceived probability that performance will lead to rewards.  Valence - the anticipated value of a particular outcome to an individual.

11. Major Theories of Motivation  Equity Theory:  The thinking process by which one makes a decision to exert effort is a function of social comparison  Based on individual perceptions of outcomes (what your receive from expending effort to complete a task), job inputs (what you bring or contribute to the task) and perceptions of a referent person.  Involves 3 relevant perceptions:  Perceptions of outcomes received from performing a task. (e.g., pay)  Perceptions of inputs required to perform a task.  Perceptions of the outcomes and inputs of a REFERENCE PERSON.  If: Outcomes Self = Outcomes Reference Person Inputs Self Inputs Reference Person  Then equity exists. 

12. Major Theories of Motivation  Equity Theory:  INPUTS  Skill, Time, Effort, Loyalty, Hard Work  Commitment, Ability, Adaptability  Flexibility, Tolerance, Determination  Enthusiasm, Personal Sacriice, Trust in Superiors  Support from co-workers and colleagues  Equity Theory:  OUTCOMES  Job Security, Esteem, Salary, Praise  Employee benefit, expenses, Thanks  Recognition, Reputation,  Sense of Achievement, Responsibility

13. Major Theories of Motivation  Goal Setting Theory:  Goals can affect performance in three ways:  1 - goals focus people and direct efforts to goal-relevant activities  2 - goals can lead to more effort and are measurable (think SMART)  3 - goals influence persistence  Goals affected by:  1 - Goal difficulty (how hard I this)  2 - Goal Commitment (how committed am I to this)  3 - Goal specificity (what is needed exactly)  4 - Goal acceptance (I’m in this 100%)

14. Major Theories of Motivation  Reinforcement Theory:  Some view this approach as an explanation of motivation; others limit it to how motivation is sustained over time.  Does not have to rely on needs, perceptions or cognitions. Managers can design work environment to provide “reinforcers” that strengthen desired behaviors & weaken undesired behaviors. “Motivation is a function of the environment”.  Others allow for cognitions in that people can observe rewards and punishments applied to others. Called social learning or vicarious learning.  Behavior that leads toward rewards tends to be repeated  Behavior that tends to lead toward no rewards or toward punishment tends to be avoided  The type of reinforcer & the timing (schedule) of reinforcement are key