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MGT 162
 Fundamentals of
  Management

Unit 5 – Motivating
 Organizational
     Members
   MOHAMMAD FIRDAUS BIN MOHAMAD
Learning outcome
1. Define motivation
2. Discuss the process of motivation.
3. Explain and identify the theories of
   motivation
Motivation
• Process that account for an individual’s
  intensity, direction and persistence of effort
  toward attaining a goal.
• The forces acting upon or within a person
  that cause that person to behave in a specific,
  goal-directed manner.
• A psychological process that gives purpose
  and direction to behavior.
     • Motivation   Ability = Performance
       M A=P
The Relationship between Motivation
         and Performance
Definition
• Defined as the psychological forces within
  a person that determine:
       1) direction of behavior in an organization;
       2) the effort or how hard people work;
       3) the persistence displayed in meeting goals.
  –   Intrinsic Motivation: behavior performed for
      its own sake.
       •   Motivation comes from performing the work.
  –   Extrinsic Motivation: behavior performed to
      acquire rewards.
       •   Motivation source is the consequence of an action.
Motivation process
   NEEDS (UNFUFILLED)



         TENSION



          DRIVE



    SEARCH BEHAVIOR


  SATISFIED NEEDS (NEEDS
         FULFILLED



     REDUCE TENSION
Needs-Based Approaches to
            Motivation
           Maslow’s                        Herzberg’s
       Hierarchy of Needs                Two-Factor Model




                            Motivation




                        Acquired-Needs Model


© 2007 Thomson/South-
Western. All rights
reserved.
1) Maslow Hierarchy of
            needs
• Founded by Abraham Maslow
• He stated that people possess a set of five
  needs in them.
• Any deprived need will dominate the
  attention of people and will determine
  their attitude & behavior.
Hierarchy of Needs
    Need Level          Description           Examples

         Self-         Realize one’s         Use abilities
     Actualization     full potential        to the fullest

                        Feel good           Promotions
       Esteem
                       about oneself        & recognition

                           Social           Interpersonal
    Belongingness
                      interaction, love    relations, parties

                                            Job security,
        Safety       Security, stability
                                           health insurance

                       Food, water,        Basic pay level
     Physiological
                         shelter            to buy items

Lower level needs must be satisfied before higher needs are
                       addressed.
2) Herzberg - Factor Theory
Theory assume there are two group of
factors;
• Motivators account for high level of job
  satisfaction and motivation
• Hygiene factors can cause dissatisfaction
  with work.
MOTIVATERS       HYGIENE FACTORS
   (Lead to job       (Lead to job
   satisfaction)     Dissatisfaction)
ACHIEVEMENT        INTERPERSONAL RELATIONSHIP

RECOGNITON         COMPANY POLICY/
                   ADMINISTRATION

WORK ITSELF        SUPERVISION

RESPONSIBILITY     SALARY

ADVANCEMENT        WORKING CONDITION
3) David McLelland Acquired
• Proposed that people develop a profile of
  needs that influence behavior.
• These needs are learned through life
  experiences.
• Employees with high achievement needs
  enjoy challenges and strive in stimulating
  environment.
Needs                 Elaboration
1   Need for      -A    person’s desire    to   be
    achievement   independent,   to     accomplish
                  complex tasks & to resolve
                  problems.

2   Need for      -A person’s desire to influence &
    power         control behavior in others, to
                  complete and to exercise authority.


3   Need for      -A person’s desire to associate with
    affiliation   others. To form friendly relationship
                  and to avoid conflict.
Process-Based Approaches to
               Motivation
           Expectancy Model




             Equity Model




              Goal Setting



           Reinforcement
              Theory

© 2007 Thomson/South-
Western. All rights
reserved.
1) Expectancy Theory
• Developed by Victor Vroom and is a very
  popular theory of work motivation.
• Vroom suggests that motivation will be
  high when workers feel:
  – High levels of effort lead to high
    performance.
  – High performance will lead to the
    attainment of desire outcomes.
• Consists of three areas:
  – Expectancy, Instrumentality, & Valence.
Expectancy, Instrumentality, & Valence

        Effort          Performance         Outcomes



    Expectancy:
                       Instrumentality      Valence:
      Person’s
                       perception that     How desired
   perception that
                        performance      are the outcomes
   their effort will
                          results in          from a
       result in
                          outcomes              job
    performance
Expectancy Theory

High Expectancy               High                High Valence
                         Instrumentality
                                                 (Worker desires the
(Worker knows that
                        (Worker perceives that    outcomes resulting
if they try, they can
                          high performance            from high
      perform)
                          leads to outcomes)        performance)




                           High
                          Motivation
2) Equity Theory
Considers worker’s perceptions of the fairness of
work outcomes in proportion to their inputs.
  • Adams notes it is the relative rather than the
    absolute level of outcomes a person receives.
     – The Outcome/input ratio is compared by
       worker with another person called a
       referent.
     – The referent is perceived as similar to the
       worker.
Equity Theory
Equity exists when a person perceives
their outcome/input ratio to be equal to
the referent’s ratio.
  –If the referent receives more
   outcomes, they should also give
   more inputs to achieve equity.
ADAM’S EQUITY THEORY
PERCIEVED RATIO                          EMPLOYEE’S
  COMPARISON                             ASSESSMENT
 Outcomes A         Outcomes B
                                               Inequity
                <                          (Under rewarded)
   Inputs A           Inputs B
 Outcomes A         Outcomes B
                =                                 Equity
   Inputs A           Inputs B
 Outcomes A         Outcomes B
                                               Inequity
                >                           (Over rewarded)
   Inputs A           Inputs B

* Person A is the employee, and Person B is a relevant other or referent
3) Reinforcement theory
Based on the idea that people learn to repeat
 behaviors that are positively rewarded (reinforced)
 and avoid behaviors that are punished (not
 reinforced).
Application of reinforcement theory (also called
 behavior modification) involves changing one’s
 own behavior or the behavior of another.
Managers should reward desirable employee
 behavior (e.g., high performance) and punish
 behavior (e.g., poor performance) that is not.
Increasing Desired Behavior
 • Positive Reinforcement
      – The administration of positive and rewarding
        consequences following a desired behavior.
 • Negative Reinforcement
      – Also called avoidance learning, strengthens
        desired behavior by allowing escape from an
        undesirable consequence.


© 2007 Thomson/South-
Western. All rights
reserved.
Decreasing Desired Behavior
 • Extinction
      – The withdrawal of the positive reward or
        reinforcing consequences for an undesirable
        behavior.
 • Punishment
      – The administration of negative consequences
        following undesirable behavior.


© 2007 Thomson/South-
Western. All rights
reserved.
Four Types of Reinforcers




© 2007 Thomson/South-
Western. All rights
reserved.
4) Goal Setting Theory
–   A process intended to increase efficiency
    and effectiveness by specifying the
    desired    outcomes    toward      which
    individuals, groups, departments, and
    organizations work.
Goals setting serves three
                        purposes:
   1. To guide and direct behavior toward
      overall     organizational  goals  and
      strategies.
   2. To provide challenges and standards
      against which the individual can be
      assessed.
   3. To define what is important and provide
      a framework for planning.
© 2007 Thomson/South-
Western. All rights
reserved.
SMART Goal Setting
  • Effective goal setting should be:
       –   Specific
       –   Measurable
       –   Achievable
       –   Results oriented
       –   Time-related



© 2007 Thomson/South-
Western. All rights
reserved.

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Unit 5 motivation

  • 1. MGT 162 Fundamentals of Management Unit 5 – Motivating Organizational Members MOHAMMAD FIRDAUS BIN MOHAMAD
  • 2. Learning outcome 1. Define motivation 2. Discuss the process of motivation. 3. Explain and identify the theories of motivation
  • 3. Motivation • Process that account for an individual’s intensity, direction and persistence of effort toward attaining a goal. • The forces acting upon or within a person that cause that person to behave in a specific, goal-directed manner. • A psychological process that gives purpose and direction to behavior. • Motivation Ability = Performance M A=P
  • 4. The Relationship between Motivation and Performance
  • 5. Definition • Defined as the psychological forces within a person that determine: 1) direction of behavior in an organization; 2) the effort or how hard people work; 3) the persistence displayed in meeting goals. – Intrinsic Motivation: behavior performed for its own sake. • Motivation comes from performing the work. – Extrinsic Motivation: behavior performed to acquire rewards. • Motivation source is the consequence of an action.
  • 6. Motivation process NEEDS (UNFUFILLED) TENSION DRIVE SEARCH BEHAVIOR SATISFIED NEEDS (NEEDS FULFILLED REDUCE TENSION
  • 7. Needs-Based Approaches to Motivation Maslow’s Herzberg’s Hierarchy of Needs Two-Factor Model Motivation Acquired-Needs Model © 2007 Thomson/South- Western. All rights reserved.
  • 8. 1) Maslow Hierarchy of needs • Founded by Abraham Maslow • He stated that people possess a set of five needs in them. • Any deprived need will dominate the attention of people and will determine their attitude & behavior.
  • 9. Hierarchy of Needs Need Level Description Examples Self- Realize one’s Use abilities Actualization full potential to the fullest Feel good Promotions Esteem about oneself & recognition Social Interpersonal Belongingness interaction, love relations, parties Job security, Safety Security, stability health insurance Food, water, Basic pay level Physiological shelter to buy items Lower level needs must be satisfied before higher needs are addressed.
  • 10. 2) Herzberg - Factor Theory Theory assume there are two group of factors; • Motivators account for high level of job satisfaction and motivation • Hygiene factors can cause dissatisfaction with work.
  • 11. MOTIVATERS HYGIENE FACTORS (Lead to job (Lead to job satisfaction) Dissatisfaction) ACHIEVEMENT INTERPERSONAL RELATIONSHIP RECOGNITON COMPANY POLICY/ ADMINISTRATION WORK ITSELF SUPERVISION RESPONSIBILITY SALARY ADVANCEMENT WORKING CONDITION
  • 12. 3) David McLelland Acquired • Proposed that people develop a profile of needs that influence behavior. • These needs are learned through life experiences. • Employees with high achievement needs enjoy challenges and strive in stimulating environment.
  • 13. Needs Elaboration 1 Need for -A person’s desire to be achievement independent, to accomplish complex tasks & to resolve problems. 2 Need for -A person’s desire to influence & power control behavior in others, to complete and to exercise authority. 3 Need for -A person’s desire to associate with affiliation others. To form friendly relationship and to avoid conflict.
  • 14. Process-Based Approaches to Motivation Expectancy Model Equity Model Goal Setting Reinforcement Theory © 2007 Thomson/South- Western. All rights reserved.
  • 15. 1) Expectancy Theory • Developed by Victor Vroom and is a very popular theory of work motivation. • Vroom suggests that motivation will be high when workers feel: – High levels of effort lead to high performance. – High performance will lead to the attainment of desire outcomes. • Consists of three areas: – Expectancy, Instrumentality, & Valence.
  • 16. Expectancy, Instrumentality, & Valence Effort Performance Outcomes Expectancy: Instrumentality Valence: Person’s perception that How desired perception that performance are the outcomes their effort will results in from a result in outcomes job performance
  • 17. Expectancy Theory High Expectancy High High Valence Instrumentality (Worker desires the (Worker knows that (Worker perceives that outcomes resulting if they try, they can high performance from high perform) leads to outcomes) performance) High Motivation
  • 18. 2) Equity Theory Considers worker’s perceptions of the fairness of work outcomes in proportion to their inputs. • Adams notes it is the relative rather than the absolute level of outcomes a person receives. – The Outcome/input ratio is compared by worker with another person called a referent. – The referent is perceived as similar to the worker.
  • 19. Equity Theory Equity exists when a person perceives their outcome/input ratio to be equal to the referent’s ratio. –If the referent receives more outcomes, they should also give more inputs to achieve equity.
  • 20. ADAM’S EQUITY THEORY PERCIEVED RATIO EMPLOYEE’S COMPARISON ASSESSMENT Outcomes A Outcomes B Inequity < (Under rewarded) Inputs A Inputs B Outcomes A Outcomes B = Equity Inputs A Inputs B Outcomes A Outcomes B Inequity > (Over rewarded) Inputs A Inputs B * Person A is the employee, and Person B is a relevant other or referent
  • 21. 3) Reinforcement theory Based on the idea that people learn to repeat behaviors that are positively rewarded (reinforced) and avoid behaviors that are punished (not reinforced). Application of reinforcement theory (also called behavior modification) involves changing one’s own behavior or the behavior of another. Managers should reward desirable employee behavior (e.g., high performance) and punish behavior (e.g., poor performance) that is not.
  • 22. Increasing Desired Behavior • Positive Reinforcement – The administration of positive and rewarding consequences following a desired behavior. • Negative Reinforcement – Also called avoidance learning, strengthens desired behavior by allowing escape from an undesirable consequence. © 2007 Thomson/South- Western. All rights reserved.
  • 23. Decreasing Desired Behavior • Extinction – The withdrawal of the positive reward or reinforcing consequences for an undesirable behavior. • Punishment – The administration of negative consequences following undesirable behavior. © 2007 Thomson/South- Western. All rights reserved.
  • 24. Four Types of Reinforcers © 2007 Thomson/South- Western. All rights reserved.
  • 25. 4) Goal Setting Theory – A process intended to increase efficiency and effectiveness by specifying the desired outcomes toward which individuals, groups, departments, and organizations work.
  • 26. Goals setting serves three purposes: 1. To guide and direct behavior toward overall organizational goals and strategies. 2. To provide challenges and standards against which the individual can be assessed. 3. To define what is important and provide a framework for planning. © 2007 Thomson/South- Western. All rights reserved.
  • 27. SMART Goal Setting • Effective goal setting should be: – Specific – Measurable – Achievable – Results oriented – Time-related © 2007 Thomson/South- Western. All rights reserved.