1. Copyright  2005 McGraw-Hill Australia Pty Ltd PPTs t/a Management: A Pacific Rim Focus 4e by Bartol, Tein, Matthews, Martin 11–1 CHAPTER 11 MOTIVATION

2. Copyright  2005 McGraw-Hill Australia Pty Ltd PPTs t/a Management: A Pacific Rim Focus 4e by Bartol, Tein, Matthews, Martin 11–2 LECTURE OUTLINE Nature of motivation Needs theories Cognitive theories Reinforcement theory Social learning theory

3. Copyright  2005 McGraw-Hill Australia Pty Ltd PPTs t/a Management: A Pacific Rim Focus 4e by Bartol, Tein, Matthews, Martin 11–3 NATURE OF MOTIVATION Motivation is the force energising, or giving direction to, behaviour. It is a complex interaction of behaviours, needs, rewards, reinforcement and cognitive activities.

4. Copyright  2005 McGraw-Hill Australia Pty Ltd PPTs t/a Management: A Pacific Rim Focus 4e by Bartol, Tein, Matthews, Martin 11–4 NATURE OF MOTIVATION ability motivation environmental conditions performance = X X

5. Copyright  2005 McGraw-Hill Australia Pty Ltd PPTs t/a Management: A Pacific Rim Focus 4e by Bartol, Tein, Matthews, Martin 11–5 NEEDS THEORIES Hierarchy-of-needs theory (Maslow) Two-factor theory (Herzberg) ERG theory (Aldefer) Acquired-needs theory (McClelland)

6. Copyright  2005 McGraw-Hill Australia Pty Ltd PPTs t/a Management: A Pacific Rim Focus 4e by Bartol, Tein, Matthews, Martin 11–6 NEEDS THEORIES Hierarchy-of-needs theory (Maslow) Theory arguing that individual needs form a five-level hierarchy

7. Copyright  2005 McGraw-Hill Australia Pty Ltd PPTs t/a Management: A Pacific Rim Focus 4e by Bartol, Tein, Matthews, Martin 11–7 HIERARCHY OF NEEDS Physiological Safety Belongingness Esteem Self-actualisation

8. Copyright  2005 McGraw-Hill Australia Pty Ltd PPTs t/a Management: A Pacific Rim Focus 4e by Bartol, Tein, Matthews, Martin 11–8 NEEDS THEORIES Two-factor theory (Herzberg) Herzberg’s theory that hygiene factors are necessary to keep workers from feeling dissatisfied, but only motivators can lead workers to feel satisfied and motivated.

9. Copyright  2005 McGraw-Hill Australia Pty Ltd PPTs t/a Management: A Pacific Rim Focus 4e by Bartol, Tein, Matthews, Martin 11–9 NEEDS THEORIES Hygiene factors Factors seeming to make individuals feel dissatisfied with their jobs Motivators Factors seeming to make individuals feel satisfied with their jobs

10. Copyright  2005 McGraw-Hill Australia Pty Ltd PPTs t/a Management: A Pacific Rim Focus 4e by Bartol, Tein, Matthews, Martin 11–10 NEEDS THEORIES Two-factor theory (Herzberg) Hygiene factors PAY WORKING CONDITIONS SUPERVISORS COMPANY POLICIES FRINGE BENEFITS These factors help prevent dissatisfaction.

11. Copyright  2005 McGraw-Hill Australia Pty Ltd PPTs t/a Management: A Pacific Rim Focus 4e by Bartol, Tein, Matthews, Martin 11–11 NEEDS THEORIES Two-factor theory (Herzberg)Motivators ACHIEVEMENT RESPONSIBILITY WORK ITSELF RECOGNITION GROWTH ADVANCEMENT These factors promote satisfaction.

12. Copyright  2005 McGraw-Hill Australia Pty Ltd PPTs t/a Management: A Pacific Rim Focus 4e by Bartol, Tein, Matthews, Martin 11–12 NEEDS THEORIES ERG theory (Alderfer) Alternative to Maslow’s hierarchy of needs theory, which argues that there are three levels of individual needs.

13. Copyright  2005 McGraw-Hill Australia Pty Ltd PPTs t/a Management: A Pacific Rim Focus 4e by Bartol, Tein, Matthews, Martin 11–13 NEEDS THEORIES ERG theory (Alderfer) Existence needs Material & physiological desires Relatedness needs Need to be accepted & to interact Growth needs Need for creativity & productive impact

14. Copyright  2005 McGraw-Hill Australia Pty Ltd PPTs t/a Management: A Pacific Rim Focus 4e by Bartol, Tein, Matthews, Martin 11–14 NEEDS THEORIES Existence needs Physiological (food, water) Pay Benefits Working conditions Existence needs Physiological (food, water) Pay Benefits Working conditions Relatedness needs Relationships with family, work and professional groups Relatedness needs Relationships with family, work and professional groups Growth needs Creativity Innovation Productivity Growth needs Creativity Innovation Productivity Satisfaction-progression principle Frustration-regression principle Satisfaction-progression principle Frustration-regression principle

15. Copyright  2005 McGraw-Hill Australia Pty Ltd PPTs t/a Management: A Pacific Rim Focus 4e by Bartol, Tein, Matthews, Martin 11–15 NEEDS THEORIES Acquired-needs theory (McClelland) Theory stating that our needs are acquired or learned on the basis of our life experiences.

16. Copyright  2005 McGraw-Hill Australia Pty Ltd PPTs t/a Management: A Pacific Rim Focus 4e by Bartol, Tein, Matthews, Martin 11–16 NEEDS THEORIES Acquired needs theory (McClelland) Need for achievement Desire to accomplish challenging tasks Need for affiliation Desire to have warm, friendly relationships Need for power Desire to influence & control

17. Copyright  2005 McGraw-Hill Australia Pty Ltd PPTs t/a Management: A Pacific Rim Focus 4e by Bartol, Tein, Matthews, Martin 11–17 NEEDS THEORIES Acquired needs theory Developed by David McClelland Cites the needs for achievement, power, and affiliation as major motives in work Developed by David McClelland Cites the needs for achievement, power, and affiliation as major motives in work Need for achievement—drive to excel Need for power—influence others’ behaviour Need for affiliation—desire for friendly and close interpersonal relationships Need for achievement—drive to excel Need for power—influence others’ behaviour Need for affiliation—desire for friendly and close interpersonal relationships

18. Copyright  2005 McGraw-Hill Australia Pty Ltd PPTs t/a Management: A Pacific Rim Focus 4e by Bartol, Tein, Matthews, Martin 11–18 COGNITIVE THEORIES Expectancy theory Equity theory Goal-setting theory

19. Copyright  2005 McGraw-Hill Australia Pty Ltd PPTs t/a Management: A Pacific Rim Focus 4e by Bartol, Tein, Matthews, Martin 11–19 COGNITIVE THEORIES Expectancy theory (Vroom) Theory arguing that we consider three main issues (effort-performance, performance-outcome, and valence) before we expend effort necessary to perform at a given level.

20. Copyright  2005 McGraw-Hill Australia Pty Ltd PPTs t/a Management: A Pacific Rim Focus 4e by Bartol, Tein, Matthews, Martin 11–20 COGNITIVE THEORIES Expectancy theory (Vroom) Effort-performance expectancy Our assessment of the probability our efforts will lead to the required level of performance. Performance-outcome expectancy Our assessment of the probability our successful performance will lead to desired outcomes. Valence Our assessment of anticipated value of various outcomes or rewards.

21. Copyright  2005 McGraw-Hill Australia Pty Ltd PPTs t/a Management: A Pacific Rim Focus 4e by Bartol, Tein, Matthews, Martin 11–21 COGNITIVE THEORIES Equity theory (Adams) Theory arguing that we prefer situations of balance, or equity. Implications for managers: – Communication essential to assess equity/inequity perceptions in employees – Complementary to expectancy theory

22. Copyright  2005 McGraw-Hill Australia Pty Ltd PPTs t/a Management: A Pacific Rim Focus 4e by Bartol, Tein, Matthews, Martin 11–22 COGNITIVE THEORIES Goal-setting theory Goal-setting theory [technique] works by focusing attention & action, mobilising effort, increasing persistence, & encouraging the development of strategy to achieve goals.

23. Copyright  2005 McGraw-Hill Australia Pty Ltd PPTs t/a Management: A Pacific Rim Focus 4e by Bartol, Tein, Matthews, Martin 11–23 REINFORCEMENT THEORY Theory arguing that our behaviour can be explained by consequences in the environment.

24. Copyright  2005 McGraw-Hill Australia Pty Ltd PPTs t/a Management: A Pacific Rim Focus 4e by Bartol, Tein, Matthews, Martin 11–24 REINFORCEMENT THEORY Types of reinforcement: Positive Uses pleasant, rewarding consequences to encourage desired behaviour. Use of shaping. Negative Stimuli (unpleasant) so an individual will engage in the desired behaviour to stop the stimuli.

25. Copyright  2005 McGraw-Hill Australia Pty Ltd PPTs t/a Management: A Pacific Rim Focus 4e by Bartol, Tein, Matthews, Martin 11–25 REINFORCEMENT THEORY Types of reinforcement (cont.): Extinction Stopping previously available positive outcomes from a behaviour to decrease the behaviour. Punishment Providing negative consequences to decrease or discourage a behaviour.

26. Copyright  2005 McGraw-Hill Australia Pty Ltd PPTs t/a Management: A Pacific Rim Focus 4e by Bartol, Tein, Matthews, Martin 11–26 REINFORCEMENT THEORY Fixed interval: given on fixed time schedule. Uneven responses; extinction rapid if reinforcement late, or stops Fixed interval: given on fixed time schedule. Uneven responses; extinction rapid if reinforcement late, or stops Fixed ratio: given after fixed number of cases of desired behaviour. High response rates, rapid extinguishment if stopped even temporarily. Fixed ratio: given after fixed number of cases of desired behaviour. High response rates, rapid extinguishment if stopped even temporarily. Variable ratio: given on variable or random frequency of behaviour basis. High response rate, very slow extinguishment Variable ratio: given on variable or random frequency of behaviour basis. High response rate, very slow extinguishment Variable interval: given on variable or random time basis. High, steady response rate, slow extinguishment, if stopped Variable interval: given on variable or random time basis. High, steady response rate, slow extinguishment, if stopped Using reinforcement theory: encourage desired behaviour, be clear on what is desired. Use variable interval & variable ratio reinforcement. Punish moderately severely & promptly. Using reinforcement theory: encourage desired behaviour, be clear on what is desired. Use variable interval & variable ratio reinforcement. Punish moderately severely & promptly.

27. Copyright  2005 McGraw-Hill Australia Pty Ltd PPTs t/a Management: A Pacific Rim Focus 4e by Bartol, Tein, Matthews, Martin 11–27 SOCIAL LEARNING THEORY Social learning theory (Bandura) Theory arguing that learning occurs through continuous reciprocal interaction of our behaviours, various personal factors and environmental forces.

28. Copyright  2005 McGraw-Hill Australia Pty Ltd PPTs t/a Management: A Pacific Rim Focus 4e by Bartol, Tein, Matthews, Martin 11–28 SOCIAL LEARNING THEORY Learning occurs by continuous interaction between our behaviours, personal factors and environmental forces, viz.: Symbolic processes Self-control/regulation Vicarious learning

29. Copyright  2005 McGraw-Hill Australia Pty Ltd PPTs t/a Management: A Pacific Rim Focus 4e by Bartol, Tein, Matthews, Martin 11–29 LECTURE SUMMARY Nature of motivation Motivational process Motivation & performance Needs theories Hierarchy of needs Two-factor ERG Acquired needs

30. Copyright  2005 McGraw-Hill Australia Pty Ltd PPTs t/a Management: A Pacific Rim Focus 4e by Bartol, Tein, Matthews, Martin 11–30 LECTURE SUMMARY Cognitive theories Expectancy Equity Goal-setting Reinforcement theory Positive, negative, extinction, punishment as reinforcement Social learning theory Symbolic processes, self-control, vicarious learning