Chapter 16 Motivating Employees The Concept of Motivation • Motivation - the arousal of enthusiasm and persistence to pursue a course of action • Forces either intrinsic or extrinsic to a person that arouse enthusiasm and persistence • Employee motivation affects productivity • A manager’s job is to channel motivation toward the accomplishment of goals To find the right combination of motivational techniques & rewards 2 16.1 A Simple Model of Motivation 3 Content Perspectives on Motivation If managers understand employees’ needs, they can design appropriate reward systems Needs motivate people Needs translate into an internal drive that motivates behavior People have a variety of needs 4 16.3 Maslow’s Hierarchy of Needs 5 ERG Theory by Clayton Alderfer Existence needs - the needs for physical well-being Relatedness needs - the needs for satisfactory relationships with others Growth needs - the needs that focus on the development of human potential and the desire for personal growth frustration–regression principle: failure to meet a high-order need may cause a regression to an already satisfied lower-order need 6 The Motivational Benefits of Job Flexibility 7 16.4 Herzberg’s Two-Factor Theory DQ – What is a manager’s role, from the Herzberg Model perspective? McClelland’s Acquired Needs Theory Certain types of needs are acquired or learned during an individual’s lifetime. People are not born with these needs, but may learn them through life experiences Need for achievement Need for affiliation Need for power 9 Process Perspectives on Motivation • To explain how employees select behaviors with which to meet their needs and determine if their choices were successful Goal Setting Theory Equity Theory Expectancy Theory Copyright ©2012 by South-Western, a division of Cengage Learning. All rights reserved. 10 Process Theories – Goal Setting Theory • Increase motivation by setting goals - Specific, challenging goals increase motivation and performance when the goals are accepted by subordinates who receive feedback to indicate progress toward goal achievement • Key components of the Goal Setting Theory: – Goal specificity – Goal difficulty – Goal acceptance – Feedback Process Theories – Equity Theory by J. Stacy Adams • Individual perceptions of fairness – how fairly treated relative to others • Perceived inequity can be reduced by: » Changing work effort » Changing outcomes » Changing perception » Leaving the job • Inequity occurs when the input-to-outcome ratios are out of balance 12 Process Theories – Expectancy Theory by Victor Vroom • Motivation depends on individuals’ expectations about their ability to perform tasks and receive desired rewards • E P: putting effort into a given task will lead to high performance • P O: successful performance of a task will lead to the desired outcome • Valence – the value or attraction an individual has for an outcome 13 16.6 Major Elements of Expectancy Theory Reinforcement Perspective on Motivation Behavior Modification Reinforcement theory techniques used to modify behavior Reinforcement An act that causes a behavior to be repeated or inhibited Law of Effect Positively reinforced behavior tends to be repeated and unreinforced behavior inhibited Positive Reinforcement Pleasant and rewarding consequences following a desired behavior 15 4 Reinforcement Tools Extinction Withholding of a positive reward Avoidance learning Removal of an unpleasant consequence once a behavior is improved Punishment Imposition of unpleasant outcomes on an employee Positive Reinforcement Pleasant and rewarding consequences following a desired behavior 16 16.7 Changing Behavior with Reinforcement Social Learning Theory Individual’s motivation can result from thoughts, beliefs, and observations – Vicarious learning – observational learning from seeing others’ behaviors and rewards – Self-reinforcement – motivating yourself by reaching goals and providing positive reinforcement for yourself – Self-efficacy – belief about your own ability to accomplish tasks 18 Job Design for Motivation Job Simplification Job Rotation Job Enlargement Job Enrichment 19 16.8 The Job Characteristics Model Depending on an employee needs; Cross-cultural differences Core Job Dimensions Dimensions that determine a job’s motivational potential: Based on: Skill variety Task identity Task significance Autonomy Feedback → Critical Psychological States → Personal and Work Outcomes → Employee GrowthNeed Strength 21 Innovative Ideas for Motivating • Organizations are using various types of incentive compensation to motivate employees to higher levels of performance • Variable compensation is a key motivational tool • Incentive plans can backfire; They should be combined with motivational ideas and intrinsic rewards and meeting higher-level needs • Incentives should reward the desired behavior • Empowering employees • Greater meaning at work 16.9 New Motivational Compensation Programs Empowering People to Meet Higher Needs Employees receive information about company performance Employees have knowledge and skills to contribute to company goals Employees have the power to make substance decisions Employees are rewarded based on company performance 24 A Continuum of Empowerment Giving Meaning to Work through Engagement • Instill a sense of support and meaning • Help employees obtain intrinsic reward • Focus on learning, contribution, and growth Factors Affecting Engagement ? ? ? Engagement 27 Discussion Questions • • • • • • • • • • • • • Define motivation. Explain the difference between intrinsic and extrinsic rewards. Identify and describe content theories of motivation based on employee needs. Identify and explain process theories of motivation. Describe the reinforcement perspective. Describe how the reinforcement perspective can be used to motivate employees. Explain social learning theory. Explain vicarious learning. Explain self-reinforcement. Explain self-efficacy. Discuss major approaches to job design and how job design influences motivation. Explain how empowerment heightens employee motivation. Identify three elements of employee engagement and describe some ways managers can create a work environment that promotes engagement. Discussion Questions (in progress) • What is the manager’s role from the Herzberg Model perspective? 29