Organizational Behavior:MotivationEssence of Life

Motivation Defined Implications Associated with This DefinitionBehavior is purposive rather than random- People exhibit both positive (work done on time) and negative (arrive late for work) behavior for a reasonMotivation arouses people to do something- People are unlikely to change a behavior or do something different unless they are motivated to do soMotivation causes people to focus on a desired end-result or goalMotivation fuels the persistence needed to exhibit sustained effort on a taskMotivation: Psychological processes that cause the arousaldirection, and persistence of voluntary actions that are goal directed.

Types of Motives

1- Primary MotivesPhysiological, Unlearned

2- General MotivesNot Physiological, Unlearned

3- Secondary MotivesLearned, Psychological

Content vs. Process Motivation Theories

Content theoriesexplain why people have different needs at different times.Implications of Content Theories: Match rewards with employee needs Offer employees a choice of rewards people have different needs at different timesLimit use of financial rewards as a source of motivation

Process theoriesdescribe the processes through which needs are translated into behavior

The Motivation ProcessUnsatisfiedNeedTensionSearchBehaviorDrivesSatisfiedNeedReductionof Tension

Chapter 4Motivation is the willingness to do something and is conditioned by the ability of the action to satisfy some need for the individual. A need is a physiological or psychological deficiency that makes certain outcomes appear attractive. In the motivation process, an unsatisfied need creates tension, which stimulates drive within the individual. These drives generate a search for goals that if attained will satisfy the need and reduce tension. The greater the tension, the more activity will be needed to bring about relief. Therefore, when we see someone working hard at some activity, we can conclude that they are driven by a desire to achieve a goal they value.

Self- actualizationEsteemSocialSafetyPhysiologicalMaslowsHierarchyof Needs

Chapter 4According to Abraham Maslow, within every human being, the following hierarchy of needs exists. The first three are deficiency needs because they must be satisfied if the individual is to be healthy and secure. The last two are growth needs because they are related to the development and achievement of ones potential. As each of these needs becomes substantially satisfied, the next higher need becomes dominant. 1.Physiological needs. Hunger, thirst, shelter, sex, and other survival needs.2.Safety needs. Security, stability, and protection from physical or emotional harm.3.Belongingness needs. Social interaction, affection, companionship, and friendship.4.Esteem needs. Self-respect, autonomy, achievement, status, recognition, and attention.5.Self-actualization needs. Growth, self-fulfillment, and achieving ones potential.

Needs Hierarchy TheoryMaslow arranged five needs in a hierarchySatisfaction-progression processPeople who experience self-actualization desire more rather than less of this need

Needs HierarchyTheorySelf-ActualizationEsteemBelongingnessSafetyPhysiological

ERG TheoryAlderfers model has three sets of needsAdds frustration-regression process to Maslows model

ERGTheoryNeeds HierarchyTheorySelf-ActualizationEsteemBelongingnessSafetyPhysiologicalGrowthRelatednessExistence

Content Theories of MotivationSelf-ActualizationEsteemBelongingnessSafetyPhysiologicalGrowthRelatednessExistenceMotivator--HygieneTheoryMotivatorsHygienesNeed forAchievementNeed forPowerNeed forAffiliationMcClellandsLearned NeedsERGTheoryNeeds HierarchyTheory

Herzbergs Two-Factor TheoryHygiene FactorsMotivational Factors Quality of supervision Rate of pay Company policies Working conditions Relations with others Job security

Career Advancement Personal growth Recognition Responsibility Achievement

HighHighJob DissatisfactionJob Satisfaction0

Chapter 4Frederick Herzberg asked workers to describe situations in which they felt either good or bad about their jobs. His findings are called motivation-hygiene theory. Herzberg asserted that intrinsic factors are related to job satisfaction whereas extrinsic factors are associated with dissatisfaction. So, he called company policy, supervision, interpersonal relations, working conditions, and salary hygiene factors. When these factors are adequate, people will not be dissatisfied; however, they will not be satisfied either. He believed that achievement, recognition, the work itself, growth, and responsibility are motivational because people find them intrinsically rewarding.

Herzbergs Motivator-Hygiene Model

No SatisfactionSatisfactionJobs that do notJobs offeringoffer achievementachievement,recognition,recognition,stimulating work,stimulating work,responsibility,responsibility,and advancement.and advancement.Motivators Dissatisfaction No DissatisfactionJobs with poor Jobs with goodcompany policies, company policies,and administration, and administration,technical supervision technical supervision,salary, interpersonal salary, interpersonalrelationships with relationships withsupervisors, and supervisors, andworking conditions. working conditions.Hygiene Factors

David C. McClelland and Achievement NeedsCharacteristics of High AchieversModerate Risk TakingNeed for Immediate FeedbackSatisfaction with AccomplishmentsPreoccupation with the Task

Chapter 4Frederick Herzberg asked workers to describe situations in which they felt either good or bad about their jobs. His findings are called motivation-hygiene theory. Herzberg asserted that intrinsic factors are related to job satisfaction whereas extrinsic factors are associated with dissatisfaction. So, he called company policy, supervision, interpersonal relations, working conditions, and salary hygiene factors. When these factors are adequate, people will not be dissatisfied; however, they will not be satisfied either. He believed that achievement, recognition, the work itself, growth, and responsibility are motivational because people find them intrinsically rewarding.

Chapter 4Douglas McGregor said that managers hold one of two sets of assumptions about human nature: either Theory X or Theory Y. Seeing people as irresponsible and lazy, managers who follow Theory X assume the following:1.Employees inherently dislike work and, when they can, will try to avoid it.2.Since employees dislike work, they must be coerced, controlled, or threatened to achieve goals.3.Employees avoid responsibilities and seek formal direction, if possible.4.Most workers place security above all other work-related factors and will display little ambition.Seeing people as responsible and conscientious, managers who follow Theory Y assume the following:1.Employees can view work as being as natural as rest or play.2.When committed to their objectives, people will exercise self-direction and self-control3.The average person can learn to accept, even seek, responsibility. 4.Many workers besides managers have innovative decision-making skills. Unfortunately, no hard evidence confirms that either set of assumptions is universally true. It is more likely that the assumptions of Theory X or Theory Y may be situationally appropriate.

Specific GoalsGoal-SettingTheoryChallengingGoalsGoals andParticipation

Chapter 4Goal setting theory asserts that intentions expressed as goals can be a major source of work motivation. Specific, hard-to-achieve goals produce a higher level of output than a broadly stated goal of do your best. The specificity of the goal itself is an internal stimulus. If factors such as ability and acceptance of goals are held constant, we can state that the more difficult the goals, the higher the performance level. While easier goals are more readily accepted, once a worker accepts a hard task, he or she will persist until the goal is achieved, lowered, or abandoned. The evidence is mixed over the superiority of participation over assigned goals. A significant advantage of participation may be increased acceptance of the goal itself. Those who participate in goal setting are likely to accept and be committed to a course of action that they helped to determine. If acceptance of a goal is a given, the participation may not be relevant. But if acceptance of a goal is not a given, participation does increase the probability that difficult goals will be accepted and pursued.

Effective Goal Setting

Reinforcement Theory

Chapter 4Rather than taking a cognitive approach (as goal-setting theory), reinforcement theory is a behavioral approach which assumes that reinforcement conditions behavior and that behavior is environmentally caused. Reinforcement theory does not concern itself with what initiates behavior, so it is not a true theory of motivation. (See Chapter 12 for a discussion of how using reinforcers to condition behavior gives us considerable insight into how people learn.) Reinforcement theory ignores feelings, expectations, and attitudes, all cognitive variables that are known to influence behavior. But it also has a wide following as a motivational device.

Chapter 4Workers compare their job inputs and outcomes with others. There are three possible perceptions: inequity due to being under-rewarded, equity, or inequity due to being over-rewarded. Equity theory proposes that inequity creates tension, and that this tension can cause an employee to seek fairness. There are four referents that an employee can use: (1) Self-inside: an employees experiences in a different position inside the organization. (2) Self-outside: an employees experiences in a position outside of the organization. (3) Other-inside: an employees perception of persons inside the organization. (4) Other-outside: an employees perception of persons outside of the organization.Workers who perceive an inequity will react in one of six ways: change their inputs, change their outcomes, distort perceptions of self, distort perceptions of others, choose a different referent, or leave the field. Equity theory establishes four propositions relating to inequitable pay. First, given payment by time, over-rewarded employees will produce more than those paid equitably. Second, given payment by quantity of production, over-rewarded employees will produce fewer, but higher quality units, than will equitably paid employees. Third, given payment by time, under-rewarded employees will produce less or poorer quality of output. Fourth, given payment by quantity of production, under-rewarded employees will produce a large number of low-quality units in comparison with equitably paid employees.

Elements of Equity TheoryOutcome/input ratio inputs -- what employee contributes (e.g. skill)outcomes -- what employees receive (e.g. pay)Comparison otherperson/people we compare ratio withnot easily identifiableEquity evaluationcompare outcome/input ratio withthe comparison other

Negative and Positive InequityA. An Equitable SituationSelfOther

Negative and Positive Inequity (cont)

Negative and Positive Inequity (cont)C. Positive InequitySelfOther

Consequences of InequityChange inputsChange outcomesChange perceptionsLeave the fieldAct on the comparison otherChange the comparison otherEquity SensitivityBenevolentsTolerant of being underrewardedEquity SensitivesWant ratio to be equal to the comparison otherEntitledsPrefer receiving proportionately more than others

Organizational JusticeDistributive Justice: The perceived fairness of how resources and rewards are distributed.Procedural Justice: The perceived fairness of the process and procedures used to make allocation decisions.Interactional Justice: The perceived fairness of the decision makers behavior in the process of decision making.

Expectancy Theory of MotivationPersonalGoalsOrganizationalRewards12Outcome 1+ or -Outcome 3+ or -Outcome 2+ or -3

Vrooms Expectancy Theory ConceptsExpectancy: Belief that effort leads to a specific level of performanceInstrumentality: A performance outcome perception.Valence: The Value of a reward or outcome

Managerial Implications of Expectancy TheoryDetermine the outcomes.Identify good performance so appropriate behaviors can be rewarded.Make sure employees can achieve targeted performance levels.Link desired outcomes to targeted levels of performance.Make sure changes in outcomes are large enough to motivate high effort.Monitor the reward system for inequities.

Expectancy Theory in Practice:Increasing the E-to-P expectancytraining, selection, resources, clarify roles, provide coaching and feedbackIncreasing the P-to-O expectancyMeasure performance accurately, explain how rewards are based on past performanceIncreasing outcome valencesUse valued rewards, individualize rewards, minimize countervalent outcomes

Organizational Implications of Expectancy TheoryReward people for desired performance, and do not keep pay decisions secret.Design challenging jobs. Tie some rewards to group accomplishments to build teamwork and encourage cooperation.Reward managers for creating, monitoring, and maintaining expectancies, instrumentalities, and outcomes that lead to high effort and goal attainment.Monitor employee motivation through interviews or anonymous questionnaires.Accommodate individual differences by building flexibility into the motivation program.

GoalsGoal: What an individual is trying to accomplish.Encouraging thedevelopment of goal-attainment strategiesor action plansIncreasingones persistenceRegulatingones effortDirectingones attentionGoalsmotivate theindividualby...Taskperformance

Insights from Goal-Setting ResearchDifficult Goals Lead to Higher Performance.- Easy goals produce low effort because the goal is too easy to achieve.- Impossible goals ultimately lead to lower performance because people begin to experience failure.Specific Difficult Goals Lead to Higher Performance for Simple Rather Than Complex Tasks.- Goal specificity pertains to the quantifiability of a goal.- Specific difficult goals impair performance on novel, complex tasks when employees do not have clear strategies for solving these types of problems.Feedback Enhances The Effect of Specific, Difficult Goals.- Goals and feedback should be used together.Participative Goals, Assigned Goals, and Self-Set Goals Are Equally Effective.- Managers should set goals by using a contingency approach. Different methods work in different situations.Goal Commitment and Monetary Incentives Affect Goal-Setting Outcomes.- Difficult goals lead to higher performance when employees are committed to their goals.- Difficult goals lead to lower performance when employees are not committed to their goals.- Goal based incentives can lead to negative outcomes for employees in complex, interdependent jobs requiring cooperation.* Employees may not help each other. * Quality may suffer as employees pursue quantity goals.* Commitment to difficult goals may suffer.

Guidelines for Writing SMART GoalsSpecificMeasurableAttainableResults orientedTime bound

Effect of Goal Difficulty on PerformanceArea ofOptimalGoalDifficultyHighTask PerformanceLowModerateChallengingImpossibleGoal Difficulty

Approaches to Job Design2. Motivational Approaches these techniques (job enlargement, job rotation, job enrichment, and job characteristics) attempt to improve employees affective and attitudinal reactions and behavioral outcomes.3. Biological and Perceptual- Motor Approaches Biological techniques focus on reducing employees physical strain, effort, fatigue, and health complaints. The Perceptual-Motor Approach emphasizes the reliability of work outcomes by examining error rates, accidents, and workers feedback about facilities and equipment.1. The Mechanistic Approach focuses on identifying the most efficient way to perform a job. Employees are trained and rewarded to perform their jobs accordingly.

The Job Characteristics Model

Skills and Best Practices: Applying the Job Characteristics ModelDiagnose the level of employee motivation and job. satisfaction and consider redesigning jobs when motivation ranges from low to moderate.Determine whether job redesign is appropriate in a given context.Redesign jobs by including employees input.

How Satisfied are You with Your Job?

What is your level of job satisfaction with recognition, compensation, and supervision? Is satisfaction across various aspects of your job equally important? Explain.

Job satisfaction is an effective or emotional response toward various facets of ones job.

Causes of Job SatisfactionNeed Fulfillment: Satisfaction is based on the extent to which a job satisfies a persons needs.Discrepancies: Satisfaction is determined by the extent to which an individual receives what he or she expects from a job.Value Attainment: Satisfaction results from the extent to which a job allows fulfillment of ones work values.Equity: Satisfaction is a function of how fairly an individual is treated at work.Trait/Genetic Components: Satisfaction is partly a function of personal traits and genetic factors.

Correlates of Job SatisfactionVariables Related Direction of Strength ofwith Satisfaction Relationship RelationshipMotivation Positive ModerateJob Involvement Positive ModerateOrganizational Citizenship behavior Positive ModerateOrganizational Commitment Positive StrongAbsenteeism Negative WeakTardiness Negative WeakTurnover Negative ModerateHeart Disease Negative ModeratePerceived Stress Negative StrongPro-Union Voting Negative ModerateJob Performance Positive WeakLife Satisfaction Positive ModerateMental Health Positive Moderate

OrganizationalObjectivesDivisionalObjectivesDepartmentalObjectivesIndividualObjectivesWhat Is Management by Objectives?

Chapter 5Management by objectives (MBO) emphasizes participation to set goals that are tangible, verifiable, and measurable. MBOs appeal lies in its emphasis on converting overall organizational objectives into specific objectives for units and members of the organization. As the figure above shows, the organizations overall objectives are translated into specific objectives for each succeeding level (divisional, departmental, or individual) in the organization. But because lower-unit managers jointly participate in setting their own goals, MBO works from the bottom-up as well as from the top down. The result is a hierarchy of objectives that links objectives at one level to those at the next level. And for the individual worker, MBO provides specific personal performance objectives. So each person has an identified specific contribution to make to his or her units performance. If all individuals achieve their goals, then their units goals will be attained and the overall objectives of the organization will become a reality.

Key Elements of MBOGoalSpecificityExplicitTime PeriodParticipation inDecision MakingPerformanceFeedback

Chapter 5There are four ingredients common to MBO programs: participation in decision making, goal specificity, an explicit time period, and performance feedback. MBO objectives should be concise statements of expected accomplishments. It is not enough merely to state the desire to cut costs, improve service, or boost quality. Such desires have to be converted into tangible objectives that can be measured and evaluated: for example, to cut costs by seven percent. The objectives of MBO are not unilaterally set by the boss and then assigned to subordinates. MBO replaces imposed goals with participatively set goals. The superior and subordinate jointly choose the goals and agree on how they will be measured.Each objective has a specific time period in which it is to be completed. So managers have not only specific objectives but also stipulated time periods in which to accomplish them.The final feedback in an MBO program is feedback on performance. MBO seeks to give continuous feedback on progress toward goals so that individuals can monitor and correct their own actions. Continuous feedback, supplemented by more formal periodic management evaluations, takes place at all levels of the organization.

Linking MBO and Goal-Setting Theory

Chapter 5Goal-setting theory demonstrates that hard goals result in a higher level of individual performance than do easy goals. Furthermore, specific hard goals result in higher levels of performance than do no goals at all or generalized goals of do your best. And feedback leads to higher performance. MBO advocates specific goals and feedback. MBO implies, but does not state, that the goals must be perceived as feasible. Consistent with goal setting theory, MBO would be most effective when goals are difficult enough to require that the person must stretch to reach them.The only area of disagreement between MBO and goal-setting theory is in the area of participation. MBO strongly advocates it, whereas goal-setting theory notes that assigning goals to subordinates frequently works just as well. The major benefit of participation, however, is that is appears to induce individuals to establish more difficult goals.

Employee RecognitionProgramsRecognition andReinforcementDefiningRecognitionRecognition Plansin Practice

Chapter 5Recognition can be a powerful motivator. Employee recognition programs can take many forms--the best ones use multiple sources and recognize individual and group accomplishments. Consistent with reinforcement theory, rewarding behavior with recognition immediately following that behavior is likely to encourage its repetition. And that recognition can take many forms: from personal congratulations for a job well done to public celebrations of on-the-job accomplishments.In todays competitive global marketplace, most organizations are under severe cost constraints. Since it costs relatively little money to recognize superior performance, employee recognition programs are particularly attractive. Maybe that is why a recent survey of 3,000 employers found that two-thirds either use or plan to use special recognition awards.

Employee InvolvementProgramsParticipativeManagementRepresentativeParticipationEmployeeStock OwnershipQualityCircles

Chapter 5Work teams perform many tasks and assume many of the responsibilities once handled by supervisors. Employee involvement has become a catchall term that covers a variety of techniques--employee participation, empowerment, workplace democracy, and employee ownership. We can define employee involvement as a process of participation that uses the entire capacity of employees and is designed to encourage increased commitment to the organizations success. There are four main forms of employee involvement. The distinct trait of all participative management programs is joint decision making in which workers share a significant degree of decision-making power with their supervisors. Almost every country in Western Europe has some type of legislation which requires companies to practice representative participation in which workers are represented by a small group of employees who actually participate. The two most common forms are (1) works councils which link employees with management and (2) board representatives who sit on the board of directors and represent the interests of the workers. A quality circle is a group of eight to ten employees and supervisors who share an area of responsibility. They take responsibility for solving quality problems and provide their own feedback, but management controls the final implementation of recommended decisions. Employee stock ownership plans (ESOPs) are benefit plans in which employees acquire stock in the company.

PieceRate Variable Pay PlansProfitSharing Gainsharing BonusPlans

Chapter 5What differentiates variable-pay plans from more traditional programs is that a person is not paid for time on the job or seniority. A portion of his or her pay is based on some individual or organizational measure of performance. Unlike traditional base-pay plans, there is no guarantee that the worker who made $60,000 last year will make the same amount this year. With variable pay, earnings fluctuate with the measure of performance. This type of pay plan is attractive to management since it turns part of an organizations fixed labor costs into a variable cost, thus reducing expenses if performance declines. In piece-rate pay plans, workers are paid a fixed sum for each production unit that is completed. In a pure piece-rate plan, a worker gets no base salary and is paid only for what he or she produces. In a modified piece-rate plan, a worker gets a base hourly wage plus a piece-rate differential. Bonuses can be paid to executives for improving the companys financial fortunes or to all employees based on how much a company earns on its cost of investment capital. Profit-sharing plans are organization-wide programs which distribute compensation based on some established formula designed around a companys profitability. Gainsharing is a formula-based group incentive plan. Improvements in group productivity from one period to the next determine the total amount of money to be allocated. The savings that are generated by improved productivity are split between the company and the employees.

Skill-Based Pay Plans

Promotes Flexibility Facilitates Communication Satisfies Ambitious Workers

Topping Out Obsolescence of Skills Performance versus Skills

AdvantagesDisadvantages

Chapter 5Skill-based pay is an alternative to job-based pay. Rather than allowing a job title to define a pay category, individuals are paid based on how many skills they have or how many jobs they can do. Skill-based pay promotes flexibility. Filling staffing needs is easier when employee skills are interchangeable. Skill-based pay facilitates communication in the organization as people learn about the jobs that others do. It also helps meet the needs of ambitious workers who confront minimal advancement opportunities.The down-side of skill-based pay is that people can top out by learning all the skills the program calls for. Also, skills can become obsolete. Finally, skill-based plans do not address level of performance, only whether someone has a particular skill. Although it is possible to assess how well employees perform each of the skills and combine that assessment with a skill-based plan, doing so is not an inherent part of skill-based pay.

Hierarchyof NeedsSkill-Based Plans andMotivation TheoriesNeed forAchievementEquity TheoryReinforcementTheory

Chapter 5Skill-based plans are consistent with several theories of motivation. Since they encourage employees to expand their skills and grow, they are consistent with Maslows hierarchy of needs theory. Among employees whose lower-order needs are substantially satisfied, the opportunity to grow can be a motivator. Paying people to expand their skills is also consistent with research on the need for achievement. High achievers have a compelling need to do things better or more efficiently. By improving their skills or learning new ones, high achievers will find their jobs more challenging. There is also a link between skill-based pay and reinforcement theory. Skill-based pay encourages employees to learn, cross-train, and cooperate with others on the job. To the degree that management wants employees to behave in such ways, skill-based pay should reinforce those behaviors.Skill-based pay may also have equity implications. When employees make their input-output comparisons, skills may provide a fairer input criterion for determining pay than factors such as seniority or education. The use of skill-based pay may increase the perception of equity, therefore, and help optimize employee motivation.

The Meaning of MoneyMoney and employee needsaffects several needs, not just existence needsMoney and attitudesMoney ethic -- not evil, represents success, should be budgeted carefullyMoney and self-identityInfluences our self-perceptionsEvidence that men more than women identify with money

..

Types of Rewards in the WorkplaceMembership and seniorityJob statusCompetenciesPerformance

..

Membership/Seniority Based RewardsFixed wages, seniority increasesAdvantages guaranteed wages may attract job applicantsseniority-based rewards reduce turnover Disadvantagesdoesnt motivate job performancediscourages poor performers from leavingmay act as golden handcuffs

Job Status-Based RewardsIncludes job evaluation and status perksAdvantages:job evaluation tries to maintain pay equitymotivates competition for promotionsDisadvantages:employees exaggerate duties, hoard resourcescreates psychological distance across hierarchyInconsistent with flatter organizations

Competency-Based RewardsPay increases with competencies acquired or demonstratedSkill-based payPay increases with skill modules learnedAdvantages More flexible work force, better quality, consistent with employabilityDisadvantagesPotentially subjective, higher training costs

Performance-Based Rewards

Problems with Performance RewardsShift attention away from motivation job itself to extrinsic rewardsCreate a psychological distance with reward giverDiscourage risk takingUsed as quick fixes

Improving Reward EffectivenessLink rewards to performanceEnsure rewards are relevantTeam rewards for interdependent jobsEnsure rewards are valuedBeware of unintended consequences

..

Job DesignAssigning tasks to a job, including the interdependency of those tasks with other jobsTechnology influences, but does not determine, job designEmployability affects job design

.

Evaluating Job SpecializationLess time changing tasksLower training costsJob mastered quicklyBetter person-job matching

Job boredomDiscontentment payLower qualityLower motivation

AdvantagesDisadvantages

Job Characteristics ModelWorkmotivation

Growthsatisfaction

Generalsatisfaction

WorkeffectivenessCriticalPsychologicalStatesCore JobCharacteristicsOutcomes

Job Rotation vs. Job EnlargementJob EnlargementJob RotationJob 1Operate CameraJob 2Operate SoundJob 3Report StoryJob 1

Operate CameraOperate SoundReport StoryJob 2

Operate CameraOperate SoundReport StoryJob 3

Operate CameraOperate SoundReport Story

Job Enrichment StrategiesEmpowering employeesgiving employees more autonomyfeeling of control and self-efficacyForming natural work unitscompleting an entire taskassigning employees to specific clientsEstablishing client relationshipsemployees put in direct contact with clients

Obstacles to Job DesignDifficult to accurately measure job characteristics Resistance to changeskilled workerslabor union leaderssupervisorsProblem finding optimal level of enrichment and specialization

A Job Performance Model of MotivationAbility, Job knowledgeDispositions & TraitsEmotions, Moods, &AffectBeliefs & ValuesIndividual InputsPhysical EnvironmentTask DesignRewards & ReinforcementSupervisory Support &CoachingSocial NormsOrganizational CultureJob ContextArousal Attention Intensity & & Direction PersistenceMotivational ProcessesMotivatedBehaviorsSkillsEnable, Limit

A Job Performance Model of Motivation (cont.)Individual InputsJob ContextMotivational ProcessesFocus: Direction, What we doIntensity: Effort, how hard we tryQuality: Task strategies, the way we do itDuration: Persistence, how long we stick to itSkillsEnable, LimitPerformanceMotivated Behaviors

Motivation is the willingness to do something and is conditioned by the ability of the action to satisfy some need for the individual. A need is a physiological or psychological deficiency that makes certain outcomes appear attractive. In the motivation process, an unsatisfied need creates tension, which stimulates drive within the individual. These drives generate a search for goals that if attained will satisfy the need and reduce tension. The greater the tension, the more activity will be needed to bring about relief. Therefore, when we see someone working hard at some activity, we can conclude that they are driven by a desire to achieve a goal they value. According to Abraham Maslow, within every human being, the following hierarchy of needs exists. The first three are deficiency needs because they must be satisfied if the individual is to be healthy and secure. The last two are growth needs because they are related to the development and achievement of ones potential. As each of these needs becomes substantially satisfied, the next higher need becomes dominant. 1.Physiological needs. Hunger, thirst, shelter, sex, and other survival needs.2.Safety needs. Security, stability, and protection from physical or emotional harm.3.Belongingness needs. Social interaction, affection, companionship, and friendship.4.Esteem needs. Self-respect, autonomy, achievement, status, recognition, and attention.5.Self-actualization needs. Growth, self-fulfillment, and achieving ones potential.Frederick Herzberg asked workers to describe situations in which they felt either good or bad about their jobs. His findings are called motivation-hygiene theory. Herzberg asserted that intrinsic factors are related to job satisfaction whereas extrinsic factors are associated with dissatisfaction. So, he called company policy, supervision, interpersonal relations, working conditions, and salary hygiene factors. When these factors are adequate, people will not be dissatisfied; however, they will not be satisfied either. He believed that achievement, recognition, the work itself, growth, and responsibility are motivational because people find them intrinsically rewarding. Frederick Herzberg asked workers to describe situations in which they felt either good or bad about their jobs. His findings are called motivation-hygiene theory. Herzberg asserted that intrinsic factors are related to job satisfaction whereas extrinsic factors are associated with dissatisfaction. So, he called company policy, supervision, interpersonal relations, working conditions, and salary hygiene factors. When these factors are adequate, people will not be dissatisfied; however, they will not be satisfied either. He believed that achievement, recognition, the work itself, growth, and responsibility are motivational because people find them intrinsically rewarding. Douglas McGregor said that managers hold one of two sets of assumptions about human nature: either Theory X or Theory Y. Seeing people as irresponsible and lazy, managers who follow Theory X assume the following:1.Employees inherently dislike work and, when they can, will try to avoid it.2.Since employees dislike work, they must be coerced, controlled, or threatened to achieve goals.3.Employees avoid responsibilities and seek formal direction, if possible.4.Most workers place security above all other work-related factors and will display little ambition.Seeing people as responsible and conscientious, managers who follow Theory Y assume the following:1.Employees can view work as being as natural as rest or play.2.When committed to their objectives, people will exercise self-direction and self-control3.The average person can learn to accept, even seek, responsibility. 4.Many workers besides managers have innovative decision-making skills. Unfortunately, no hard evidence confirms that either set of assumptions is universally true. It is more likely that the assumptions of Theory X or Theory Y may be situationally appropriate. Goal setting theory asserts that intentions expressed as goals can be a major source of work motivation. Specific, hard-to-achieve goals produce a higher level of output than a broadly stated goal of do your best. The specificity of the goal itself is an internal stimulus. If factors such as ability and acceptance of goals are held constant, we can state that the more difficult the goals, the higher the performance level. While easier goals are more readily accepted, once a worker accepts a hard task, he or she will persist until the goal is achieved, lowered, or abandoned. The evidence is mixed over the superiority of participation over assigned goals. A significant advantage of participation may be increased acceptance of the goal itself. Those who participate in goal setting are likely to accept and be committed to a course of action that they helped to determine. If acceptance of a goal is a given, the participation may not be relevant. But if acceptance of a goal is not a given, participation does increase the probability that difficult goals will be accepted and pursued. Rather than taking a cognitive approach (as goal-setting theory), reinforcement theory is a behavioral approach which assumes that reinforcement conditions behavior and that behavior is environmentally caused. Reinforcement theory does not concern itself with what initiates behavior, so it is not a true theory of motivation. (See Chapter 12 for a discussion of how using reinforcers to condition behavior gives us considerable insight into how people learn.) Reinforcement theory ignores feelings, expectations, and attitudes, all cognitive variables that are known to influence behavior. But it also has a wide following as a motivational device. Workers compare their job inputs and outcomes with others. There are three possible perceptions: inequity due to being under-rewarded, equity, or inequity due to being over-rewarded. Equity theory proposes that inequity creates tension, and that this tension can cause an employee to seek fairness. There are four referents that an employee can use: (1) Self-inside: an employees experiences in a different position inside the organization. (2) Self-outside: an employees experiences in a position outside of the organization. (3) Other-inside: an employees perception of persons inside the organization. (4) Other-outside: an employees perception of persons outside of the organization.Workers who perceive an inequity will react in one of six ways: change their inputs, change their outcomes, distort perceptions of self, distort perceptions of others, choose a different referent, or leave the field. Equity theory establishes four propositions relating to inequitable pay. First, given payment by time, over-rewarded employees will produce more than those paid equitably. Second, given payment by quantity of production, over-rewarded employees will produce fewer, but higher quality units, than will equitably paid employees. Third, given payment by time, under-rewarded employees will produce less or poorer quality of output. Fourth, given payment by quantity of production, under-rewarded employees will produce a large number of low-quality units in comparison with equitably paid employees.

Management by objectives (MBO) emphasizes participation to set goals that are tangible, verifiable, and measurable. MBOs appeal lies in its emphasis on converting overall organizational objectives into specific objectives for units and members of the organization. As the figure above shows, the organizations overall objectives are translated into specific objectives for each succeeding level (divisional, departmental, or individual) in the organization. But because lower-unit managers jointly participate in setting their own goals, MBO works from the bottom-up as well as from the top down. The result is a hierarchy of objectives that links objectives at one level to those at the next level. And for the individual worker, MBO provides specific personal performance objectives. So each person has an identified specific contribution to make to his or her units performance. If all individuals achieve their goals, then their units goals will be attained and the overall objectives of the organization will become a reality. There are four ingredients common to MBO programs: participation in decision making, goal specificity, an explicit time period, and performance feedback. MBO objectives should be concise statements of expected accomplishments. It is not enough merely to state the desire to cut costs, improve service, or boost quality. Such desires have to be converted into tangible objectives that can be measured and evaluated: for example, to cut costs by seven percent. The objectives of MBO are not unilaterally set by the boss and then assigned to subordinates. MBO replaces imposed goals with participatively set goals. The superior and subordinate jointly choose the goals and agree on how they will be measured.Each objective has a specific time period in which it is to be completed. So managers have not only specific objectives but also stipulated time periods in which to accomplish them.The final feedback in an MBO program is feedback on performance. MBO seeks to give continuous feedback on progress toward goals so that individuals can monitor and correct their own actions. Continuous feedback, supplemented by more formal periodic management evaluations, takes place at all levels of the organization. Goal-setting theory demonstrates that hard goals result in a higher level of individual performance than do easy goals. Furthermore, specific hard goals result in higher levels of performance than do no goals at all or generalized goals of do your best. And feedback leads to higher performance. MBO advocates specific goals and feedback. MBO implies, but does not state, that the goals must be perceived as feasible. Consistent with goal setting theory, MBO would be most effective when goals are difficult enough to require that the person must stretch to reach them.The only area of disagreement between MBO and goal-setting theory is in the area of participation. MBO strongly advocates it, whereas goal-setting theory notes that assigning goals to subordinates frequently works just as well. The major benefit of participation, however, is that is appears to induce individuals to establish more difficult goals. Recognition can be a powerful motivator. Employee recognition programs can take many forms--the best ones use multiple sources and recognize individual and group accomplishments. Consistent with reinforcement theory, rewarding behavior with recognition immediately following that behavior is likely to encourage its repetition. And that recognition can take many forms: from personal congratulations for a job well done to public celebrations of on-the-job accomplishments.In todays competitive global marketplace, most organizations are under severe cost constraints. Since it costs relatively little money to recognize superior performance, employee recognition programs are particularly attractive. Maybe that is why a recent survey of 3,000 employers found that two-thirds either use or plan to use special recognition awards. Work teams perform many tasks and assume many of the responsibilities once handled by supervisors. Employee involvement has become a catchall term that covers a variety of techniques--employee participation, empowerment, workplace democracy, and employee ownership. We can define employee involvement as a process of participation that uses the entire capacity of employees and is designed to encourage increased commitment to the organizations success. There are four main forms of employee involvement. The distinct trait of all participative management programs is joint decision making in which workers share a significant degree of decision-making power with their supervisors. Almost every country in Western Europe has some type of legislation which requires companies to practice representative participation in which workers are represented by a small group of employees who actually participate. The two most common forms are (1) works councils which link employees with management and (2) board representatives who sit on the board of directors and represent the interests of the workers. A quality circle is a group of eight to ten employees and supervisors who share an area of responsibility. They take responsibility for solving quality problems and provide their own feedback, but management controls the final implementation of recommended decisions. Employee stock ownership plans (ESOPs) are benefit plans in which employees acquire stock in the company. What differentiates variable-pay plans from more traditional programs is that a person is not paid for time on the job or seniority. A portion of his or her pay is based on some individual or organizational measure of performance. Unlike traditional base-pay plans, there is no guarantee that the worker who made $60,000 last year will make the same amount this year. With variable pay, earnings fluctuate with the measure of performance. This type of pay plan is attractive to management since it turns part of an organizations fixed labor costs into a variable cost, thus reducing expenses if performance declines. In piece-rate pay plans, workers are paid a fixed sum for each production unit that is completed. In a pure piece-rate plan, a worker gets no base salary and is paid only for what he or she produces. In a modified piece-rate plan, a worker gets a base hourly wage plus a piece-rate differential. Bonuses can be paid to executives for improving the companys financial fortunes or to all employees based on how much a company earns on its cost of investment capital. Profit-sharing plans are organization-wide programs which distribute compensation based on some established formula designed around a companys profitability. Gainsharing is a formula-based group incentive plan. Improvements in group productivity from one period to the next determine the total amount of money to be allocated. The savings that are generated by improved productivity are split between the company and the employees.Skill-based pay is an alternative to job-based pay. Rather than allowing a job title to define a pay category, individuals are paid based on how many skills they have or how many jobs they can do. Skill-based pay promotes flexibility. Filling staffing needs is easier when employee skills are interchangeable. Skill-based pay facilitates communication in the organization as people learn about the jobs that others do. It also helps meet the needs of ambitious workers who confront minimal advancement opportunities.The down-side of skill-based pay is that people can top out by learning all the skills the program calls for. Also, skills can become obsolete. Finally, skill-based plans do not address level of performance, only whether someone has a particular skill. Although it is possible to assess how well employees perform each of the skills and combine that assessment with a skill-based plan, doing so is not an inherent part of skill-based pay. Skill-based plans are consistent with several theories of motivation. Since they encourage employees to expand their skills and grow, they are consistent with Maslows hierarchy of needs theory. Among employees whose lower-order needs are substantially satisfied, the opportunity to grow can be a motivator. Paying people to expand their skills is also consistent with research on the need for achievement. High achievers have a compelling need to do things better or more efficiently. By improving their skills or learning new ones, high achievers will find their jobs more challenging. There is also a link between skill-based pay and reinforcement theory. Skill-based pay encourages employees to learn, cross-train, and cooperate with others on the job. To the degree that management wants employees to behave in such ways, skill-based pay should reinforce those behaviors.Skill-based pay may also have equity implications. When employees make their input-output comparisons, skills may provide a fairer input criterion for determining pay than factors such as seniority or education. The use of skill-based pay may increase the perception of equity, therefore, and help optimize employee motivation.