Chapter 6 Motivation Copyright 1998 Prentice-Hall Inc., adapted by Prof. Dr. vom Kolke 6-1 Motivation The amount of effort that an individual puts into doing something Two types of Motivation – Intrinsic Motivation Behavior performed for its own sake (Motivation comes from performing the work) Example: – jobs, being interesting as jobs Extrinsic Motivation Behavior performed to acquire rewards (Motivation source is the consequence of an action) Example: working just to receive money or other rewards Copyright 1998 Prentice-Hall Inc., adapted by Prof. Dr. vom Kolke 6-4 Motivation Extrinsic and intrinsic motivation are not independent from each other Extrinsic motivation can move out intrinsic motivation (internal satisfaction can be swept out by material reward) Copyright 1998 Prentice-Hall Inc., adapted by Prof. Dr. vom Kolke Motivation (Outcomes & Inputs) – – – Regardless of the source of motivation, people seek outcomes (e.g. accomplishment, autonomy, pay) Organizations hire workers to obtain inputs (e.g. skills, knowledge, work behavior) Managers thus use outcomes to motivate workers to provide inputs. Copyright 1998 Prentice-Hall Inc., adapted by Prof. Dr. vom Kolke Motivation Theories Two types of motivation theories – Content theories (focusing on what causes people to put effort into work) Maslow’s Hierarchy of Needs Herzberg’s Motivation-Hygiene Theory McClelland’s Learned Needs Theory – Process theories (focusing on how people are putting forth efforts [what steps]) Reinforcement Theory Goal Setting Theory (Expectancy Theory) Equity Theory Copyright 1998 Prentice-Hall Inc., adapted by Prof. Dr. vom Kolke Maslow’s Hierarchy of Needs Higher Needs Self-Actualization Esteem Basic Needs Affiliation Safety Physiological Copyright 1998 Prentice-Hall Inc., adapted by Prof. Dr. vom Kolke Maslow’s Hierarchy of Needs Physiological (basic requirements for survival: air, food, water, sex drives) Safety and Security (Shelter/ Protection from outside threat [job security]) Affiliation (affection, friendship, belonging [team work, company social events) Esteem (respect, pos. regard, recognition from others [praise for performance]) Self-Actualization (develop one‘s full potential [meaningful work]) Copyright 1998 Prentice-Hall Inc., adapted by Prof. Dr. vom Kolke 6-6 Maslow’s Hierarchy of Needs Proposed order of needs does not motivate everyone Circumstances can cause an individual to returm to more basic needs level More than one need level important at the same time Cultural values can influence ordering and importance of needs (e.g. collectivism: self-esteem and selfactualization can be irrelevant) Copyright 1998 Prentice-Hall Inc., adapted by Prof. Dr. vom Kolke Maslow’s Hierarchy of Needs Key conclusion – People differ in what needs they are trying to satisfy at work – In a global economy citizens form different countries have different needs to be satisfied through work – As countries develop from lower to higher standard of living need are likely to shift (from basic needs to higher needs) Copyright 1998 Prentice-Hall Inc., adapted by Prof. Dr. vom Kolke Herzberg’s Motivation-Hygiene Theory Herzberg: satisfaction and dissatisfaction are two different dimensions (not opposite ends of single dimension) – Satisfaction is achieved by motivator factors (Aspects of the work itself (intrinsic) and how challenging it is) Presence of these factors satisfies and motivates workers Copyright 1998 Prentice-Hall Inc., adapted by Prof. Dr. vom Kolke Herzberg’s Motivation-Hygiene Theory – Dissatisfaction is prevented by hygiene factors (Aspects outside the work itself (extrinsic) influence workers‘ behavior) These factors being absent, a worker feels dissatisfied; being present brings a person (only) to a neutral state Which Job factors cause people to feel satisfaction or experience dissatisfaction? Copyright 1998 Prentice-Hall Inc., adapted by Prof. Dr. vom Kolke Herzberg’s Motivation-Hygiene Theory Motivation Factors Hygiene Factors – Company policy and – Achievement administration – Recognition – Supervision – Interesting work – Relationship with – Responsibility supervisor – Advancement – Work conditions – Growth – Pay – Relationships with peers – Security Copyright 1998 Prentice-Hall Inc., adapted by Prof. Dr. vom Kolke 6-7 Herzberg’s Motivation-Hygiene Theory Helps focus managers‘ attention on distinction between intrinsic and extrinsic motivation Helps to study how to design jobs more intrinsically motivating Copyright 1998 Prentice-Hall Inc., adapted by Prof. Dr. vom Kolke McClelland’s Learned Needs Theory Poeple‘s individual differences in motivation is not that much influenced by instinctive desires (as in Maslow‘s theory) but by learned needs – Need for Achievement (establishing/ maintaining high level of performance) – Individuals want personal responsibility for success/ failure (calculated risk, receive immediate feedback on performance) – strive for personal success (are often dynamic entrepreneurs) Copyright 1998 Prentice-Hall Inc., adapted by Prof. Dr. vom Kolke 6-8 McClelland’s Learned Needs Theory – Need for Achievement (establishing/ maintaining high level of performance) – Tasks too easy or too difficult do not appeal to them (they feel less responsibility for outcome) – Are not concerned about achievement of others (thus not necessarily making them good managers) – Need for Power (concern for reputation, influence, control over others) Individuals high on this need prefer leadership positions and are rated effective leaders by others Individuals high on this need are usually good performers and have above average attendance at work Copyright 1998 Prentice-Hall Inc., adapted by Prof. Dr. vom Kolke McClelland’s Learned Needs Theory – Need for Affiliation (concern for social relationships) Individuals prefer cooperative rather than competitive situations Improving the level of eed achievement (among less economically successful countries or groups) would encourage economic development (of countries or groups) Need for Achievement:individualistic need, not easy applicable to grouporiented cultures with lack of support for personal achievement (Asia, Mexico) Copyright 1998 Prentice-Hall Inc., adapted by Prof. Dr. vom Kolke Conclusions about Content Theories Identify personal factors or needs related to motivation Personal values differ across and within cultures Theories not universal applicable to all cultures Copyright 1998 Prentice-Hall Inc., adapted by Prof. Dr. vom Kolke Answer These Questions to Determine Whether You Score Highest on Need for Achievement, Need for Affiliation, or Need for Power •Do you like situations where you personally must find solutions to problems? •Do you tend to set moderate goals and take moderate, thought-out risks? •Do you want specific feedback about how well you are doing? •Do you spend time considering how to advance your career, how to do your job better, or how to accomplish something important? If you answered yes, then you probably have a high need for achievement. •Do you look for jobs or seek situations that provide an opportunity for social relationships? •Do you consider the feelings of others to be very important? •Do you try to restore disrupted relationships when they occur? If you answered yes, then you probably have a high need for affiliation. •Do you try to influence and control others? •Do you seek leadership positions in a group? •Do you enjoy persuading others? •Are you perceived by others as outspoken, forceful, and demanding? If you answered yes, then you probably have a high need for power. Copyright 1998 Prentice-Hall Inc., adapted by Prof. Dr. vom Kolke Process Theories Focus on (work) process rather than content (makes them more applicable in other countries) – Reinforcement or Learning Theory – Goal Setting Theory – (Expectancy Theory) – Equity Theory Copyright 1998 Prentice-Hall Inc., adapted by Prof. Dr. vom Kolke Reinforcement/ Learning Theory People learn behavior as a function of its consequences (rewarding/ ignoring a behavior increases/ decreases likelihood that a behavior will be repeated) – Managers must know what is rewarding to people they wish to motivate – Efficient reward systems are different across cultures (think of a reward system for a Japanese subsidiary in a western country) Copyright 1998 Prentice-Hall Inc., adapted by Prof. Dr. vom Kolke Reinforcement/ Learning Theory – Reinforcing behavior not successfull where people don‘t see connection: behavior – consequences (e.g. Muslims believe what happens is God‘s will) Where rewards are based on relative status (e.g. in South America everyone associated to a successful performance receives a reward in relation to his relative status) – What people perceive as reward is subject to cultural influence (e.g. praise, appreciation motivate individuals in Southern Europe or Asia) Copyright 1998 Prentice-Hall Inc., adapted by Prof. Dr. vom Kolke Reinforcement/ Learning Theory People learn behavior as a function of other‘s social behavior, they observe (thoughts, beliefs, values and so forth) – People are motivated to imitate other individuals who are highly competent, expert and receive attractive reinforcers (called observational learning) – – Poeple learn to control and reward their own behavior (called self-reinforcement) People can be motivated if they believe in their ability to perform a task successfully (called self-efficacy) Copyright 1998 Prentice-Hall Inc., adapted by Prof. Dr. vom Kolke Goal Setting Theory People are motivated by intentions to work toward a goal they want to accomplish – Performance is increased When goals are specific (quantitative) rather than vague When goals are difficult (but achievable) rather than easy to achieve When feedback is given on one‘s own output When workers are committed to the set goals When they participate in goal setting (although this is no prerequsition) self-efficacy ( belief in one‘s ability to accomplish a task) is high When Copyright 1998 Prentice-Hall Inc., adapted by Prof. Dr. vom Kolke Goal Setting Theory Culture can affect the goal setting process – In low power distance countries (e.g. Israel) participation in goal setting is stronger and more important (people are more committed to goals they participate in setting) – In high power distance countries (e.g. USA) employees commit to supervisor set goals (direct participaton not necessary) – In collective countries (e.g. China) self-efficacy is low (due to relationships as basis to accomplish tasks contrast to one‘s own belief in one‘s talents) Copyright 1998 Prentice-Hall Inc., adapted by Prof. Dr. vom Kolke Equity Theory Considers worker’s perceptions of the fairness of work outcomes in proportion to their inputs. – The Outcome/input ratio is compared by worker with another person called a referent (the referent is perceived as similar to the worker) – Equity exists when a person perceives his/ her outcome/ input ratio to be equal to the referent’s ratio Copyright 1998 Prentice-Hall Inc., adapted by Prof. Dr. vom Kolke Equity Theory Inequity exists when worker’s outcome/input ratio is not equal to referent. – – Underpayment inequity: ratio is less than the referent. Worker feels they are not getting the outcomes they should given inputs. Overpayment inequity: ratio is higher than the referent. Worker feels they are getting more outcomes then they should (given inputs) Restoring Equity: Inequity creates tension in workers to restore equity. – In underpayment, workers reduce input levels to correct. – Overpayment, worker can change the referent to adjust. If inequity persists, worker will often leave the firm. Copyright 1998 Prentice-Hall Inc., adapted by Prof. Dr. vom Kolke Equity Theory Figure 12.4 Condition Equity Underpayment Equity Overpayment Equity Person Referent Example Worker contributes more inputs but also gets more outputs than referent Outcomes Inputs = Outcomes Inputs Outcomes Inputs Worker contributes < Outcomes more inputs but also Inputs gets the same outputs as referent Outcomes Inputs Worker contributes same inputs but also gets more outputs than referent > Outcomes Inputs Copyright 1998 Prentice-Hall Inc., adapted by Prof. Dr. vom Kolke Responses to Perceived Inequities in Work Situations What happens when inequities exist? – If person A believes an inequity exists and her ratio is too small, she may reduce her inputs ask for more outputs change the comparison person rationalize that equity exists leave the situation – If person B believes an inequity exists, and his ratio is too large, he may increase his inputs ask for reduced outputs change the comparison person rationalize that equity exists leave the situation Copyright 1998 Prentice-Hall Inc., adapted by Prof. Dr. vom Kolke Equity Theory Cultural differences – Equity norm „competes“ with equality norm Equity norm (outcome to input ratio should be relatively equal for every employee) is prevalent individualistic cultures Equality norm (each employee gets the same outcome regardless of inputs) is prevalent in collective cultures, thereby maintaining interpersonal harmony All process theories have to consider cultural differences when applied to countries other than USA (were these theories have been developed) Copyright 1998 Prentice-Hall Inc., adapted by Prof. Dr. vom Kolke Convergence or Divergence? Popularity of U.S. business education leads to an emphasis on U.S. motivation theories Global corporations desire to develop consistent policies and practices worldwide Application of U.S. motivation theories not applicable across cultures Need to develop adaptable systems that are consistent and effective in motivating people across cultures Copyright 1998 Prentice-Hall Inc., adapted by Prof. Dr. vom Kolke 6-15 Implications for Managers Choosing a single approach to motivation is difficult Compared, process theories appear more promising than content theories Need to understand people who work for you to select an appropriate system Copyright 1998 Prentice-Hall Inc., adapted by Prof. Dr. vom Kolke 6-16