Basic Motivation Concept and Application

Human Behavior in Organization BASIC MOTIVATION CONCEPTS AND APPLICATION Reporter: ENGR.CATHERINE T. CAOILE Prof . Jo B. Bitonio HBO Ist Sem 2011

Defining Motivation Key Elements Intensity: how hard a person tries Direction: toward beneficial goal Persistence: how long a person tries Motivation The processes that account for an individual’s intensity, direction, and persistence of effort toward attaining a goal.

Hierarchy of Needs Theory (Maslow) ‏ Hierarchy of Needs Theory There is a hierarchy of five needs —physiological, safety, social, esteem, and self-actualization; as each need is substantially satisfied, the next need becomes dominant. Self-Actualization The drive to become what one is capable of becoming.

Theory X and Theory Y (Douglas McGregor) ‏ Theory X Assumes that employees dislike work, lack ambition, avoid responsibility, and must be directed and coerced to perform. Theory Y Assumes that employees like work, seek responsibility, are capable of making decisions, and exercise self-direction and self-control when committed to a goal.

Two-Factor Theory (Frederick Herzberg) ‏ Two-Factor (Motivation-Hygiene) Theory Intrinsic factors are related to job satisfaction, while extrinsic factors are associated with dissatisfaction. Hygiene Factors Factors —such as company policy and administration, supervision, and salary—that, when adequate in a job, placate workers. When factors are adequate, people will not be dissatisfied.

ERG Theory (Clayton Alderfer) ‏ Core Needs Existence: provision of basic material requirements. Relatedness: desire for relationships. Growth: desire for personal development. Concepts: More than one need can be operative at the same time. If a higher-level need cannot be fulfilled, the desire to satisfy a lower-level need increases. ERG Theory There are three groups of core needs: existence, relatedness, and growth.

David McClelland’s Theory of Needs Need for Achievement The drive to excel, to achieve in relation to a set of standards, to strive to succeed. Need for Affiliation The desire for friendly and close personal relationships. Need for Power The need to make others behave in a way that they would not have behaved otherwise. nAch nPow nAff

Cognitive Evaluation Theory Cognitive Evaluation Theory Providing an extrinsic reward for behavior that had been previously only intrinsically rewarding tends to decrease the overall level of motivation. The theory may only be relevant to jobs that are neither extremely dull nor extremely interesting.

Goal-Setting Theory (Edwin Locke) ‏ Goal-Setting Theory The theory that specific and difficult goals, with feedback, lead to higher performance. Self-Efficacy The individual’s belief that he or she is capable of performing a task. Factors influencing the goals–performance relationship: Goal commitment, adequate self-efficacy, task characteristics, and national culture.

Reinforcement Theory Concepts: Behavior is environmentally caused. Behavior can be modified (reinforced) by providing (controlling) consequences. Reinforced behavior tends to be repeated. The assumption that behavior is a function of its consequences.

Job Design Theory Characteristics: Skill variety Task identity Task significance Autonomy Feedback Job Characteristics Model Identifies five job characteristics and their relationship to personal and work outcomes.

Job Design Theory (cont’d) ‏ Job Characteristics Model Jobs with skill variety, task identity, task significance, autonomy, and for which feedback of results is given, directly affect three psychological states of employees: Knowledge of results Meaningfulness of work Personal feelings of responsibility for results Increases in these psychological states result in increased motivation, performance, and job satisfaction.

Job Design Theory (cont’d) ‏ Skill Variety The degree to which a job requires a variety of different activities. Task Identity The degree to which the job requires completion of a whole and identifiable piece of work. Task Significance The degree to which the job has a substantial impact on the lives or work of other people.

Job Design Theory (cont’d) ‏ Autonomy The degree to which the job provides substantial freedom and discretion to the individual in scheduling the work and in determining the procedures to be used in carrying it out. Feedback The degree to which carrying out the work activities required by a job results in the individual obtaining direct and clear information about the effectiveness of his or her performance.

Computing a Motivating Potential Score People who work on jobs with high core dimensions are generally more motivated, satisfied, and productive. Job dimensions operate through the psychological states in influencing personal and work outcome variables rather than influencing them directly.

Job Design Theory (cont’d) ‏ Concept: Employee attitudes and behaviors are responses to social cues by others. Social Information Processing (SIP) Model The fact that people respond to their jobs as they perceive them rather than to the objective jobs themselves.

Social Information Processing Model (SIP) ‏ Concepts of the SIP Model Employees adopt attitudes and behaviors in response to the social cues provided by others (e.g., coworkers) with whom they have contact. Employees’ perception of the characteristics of their jobs is as important as the actual characteristics of their jobs.

Equity Theory Referent Comparisons: Self-inside Self-outside Other-inside Other-outside Equity Theory Individuals compare their job inputs and outcomes with those of others and then respond to eliminate any inequities.

Equity Theory (cont’d) ‏ Choices for dealing with inequity: Change inputs (slack off) ‏ Change outcomes (increase output) ‏ Distort/change perceptions of self Distort/change perceptions of others Choose a different referent person Leave the field (quit the job) ‏

Equity Theory (cont’d) ‏ Propositions relating to inequitable pay: Over rewarded hourly employees produce more than equitably rewarded employees. Over rewarded piece-work employees produce less, but do higher quality piece work. Under rewarded hourly employees produce lower quality work. Under rewarded employees produce larger quantities of lower-quality piece work than equitably rewarded employees

Equity Theory (cont’d) ‏ Distributive Justice Perceived fairness of the amount and allocation of rewards among individuals. Procedural Justice The perceived fairness of the process to determine the distribution of rewards.

Expectancy Theory Expectancy Theory (Victor Vroom) ‏ The strength of a tendency to act in a certain way depends on the strength of an expectation that the act will be followed by a given outcome and on the attractiveness of that outcome to the individual.

Expectancy Theory Relationships Effort–Performance Relationship The probability that exerting a given amount of effort will lead to performance. Performance–Reward Relationship The belief that performing at a particular level will lead to the attainment of a desired outcome. Rewards–Personal Goals Relationship The degree to which organizational rewards satisfy an individual’s goals or needs and the attractiveness of potential rewards for the individual.

What is MBO? Key Elements Goal specificity Participative decision making An explicit time period Performance feedback Management by Objectives (MBO) ‏ A program that encompasses specific goals, participatively set, for an explicit time period, with feedback on goal progress.

Linking MBO and Goal-Setting Theory MBO Goal-Setting Theory Goal Specificity Yes Yes Goal Difficulty Yes Yes Feedback Yes Yes Participation Yes No (qualified) ‏

Why MBO’s Fail Unrealistic expectations about MBO results Lack of commitment by top management Failure to allocate reward properly Cultural incompatibilities

Employee Recognition Programs Types of programs Personal attention Expressing interest Approval Appreciation for a job well done Benefits of programs Fulfil employees’ desire for recognition. Encourages repetition of desired behaviors. Enhance group/team cohesiveness and motivation. Encourages employee suggestions for improving processes and cutting costs.

What is Employee Involvement? Employee Involvement Program A participative process that uses the entire capacity of employees and is designed to encourage increased commitment to the organization’s success. Participative Management A process in which subordinates share a significant degree of decision-making power with their immediate superiors.

Examples of Employee Involvement Programs (cont’d) ‏ Representative Participation Workers participate in organizational decision making through a small group of representative employees. Works Councils Groups of nominated or elected employees who must be consulted when management makes decisions involving personnel. Board Representative A form of representative participation; employees sit on a company’s board of directors and represent the interests of the firm’s employees.

Examples of Employee Involvement Programs (cont’d) ‏ Quality Circle A work group of employees who meet regularly to discuss their quality problems, investigate causes, recommend solutions, and take corrective actions.

Examples of Employee Involvement Programs (cont’d) ‏ Employee Stock Ownership Plans (ESOPs) ‏ Company-established benefit plans in which employees acquire stock as part of their benefits.

Linking EI Programs and Motivation Theories Employee Involvement Programs Theory Y Participative Management Two-Factor Theory Intrinsic Motivation ERG Theory Employee Needs

Job Design and Scheduling Job Rotation The periodic shifting of a worker from one task to another. Job Enlargement The horizontal expansion of jobs. Job Enrichment The vertical expansion of jobs.

Work Schedule Options Flexitime Employees work during a common core time period each day but have discretion in forming their total workday from a flexible set of hours outside the core. Job Sharing The practice of having two or more people split a 40-hour-a-week job .

Work Schedule Options Categories of telecommuting jobs: Routine information handling tasks Mobile activities Professional and other knowledge-related tasks Telecommuting Employees do their work at home on a computer that is linked to their office.

Telecommuting Advantages Larger labor pool Higher productivity Less turnover Improved morale Reduced office-space costs Disadvantages (Employer) ‏ Less direct supervision of employees Difficult to coordinate teamwork Difficult to evaluate non-quantitative performance

Variable Pay Programs Variable Pay Programs A portion of an employee’s pay is based on some individual and/or organization measure of performance. Piece rate pay plans Profit sharing plans Gain sharing plans

Variable Pay Programs (cont’d) ‏ Profit-Sharing Plans Organization wide programs that distribute compensation based on some established formula designed around a company’s profitability. Gain Sharing An incentive plan in which improvements in group productivity determine the total amount of money that is allocated. Piece-rate Pay Plans Workers are paid a fixed sum for each unit of production completed.

Skill-Based Pay Plans Benefits of Skill-based Pay Plans: Provides staffing flexibility. Facilitates communication across the organization. Lessens “protection of territory” behaviors. Meets the needs of employees for advancement (without promotion). Leads to performance improvements. Pay levels are based on how many skills employees have or how many jobs they can do.

Skill-Based Pay Plans (cont’d) ‏ Drawbacks of Skill-based Pay Plans: Lack of additional learning opportunities that will increase employee pay. Continuing to pay employees for skills that have become obsolete. Paying for skills which are of no immediate use to the organization. Paying for a skill, not for the level of employee performance for the particular skill.

Flexible Benefits Flexible Spending Plans: allow employees to use their tax-free benefit dollars purchase benefits and pay service premiums. Modular Plans: predesigned benefits packages for specific groups of employees. Core-Plus Plans: a core of essential benefits and a menu-like selection of other benefit options. Employees tailor their benefit program to meet their personal need by picking and choosing from a menu of benefit options.

Implications for Managers Motivating Employees in Organizations Recognize individual differences. Use goals and feedback. Allow employees to participate in decisions that affect them. Link rewards to performance. Check the system for equity.

Reference: Organizational Behavior by: Stephen P. Robbins Eleventh Edition

Basic Motivation Concept and Application

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