ORGANIZATIONAL BEHAVIOR OBJECTIVES LEARNING After studying chapter six and listening to my lecture, you should be able to: 1. Outline the motivation process. 2. Describe Maslow’s need hierarchy. 3. Contrast Theory X and Theory Y. 4. Differentiate motivators from hygiene factors. 5. List the characteristics that high achievers prefer in a job. 6. Summarize the types of goals that increase performance. Defining Motivation Key Elements 1. Intensity: how hard a person tries 2. Direction: toward beneficial goal 3. Persistence: how long a person tries Going “Beyond the Fringe” in Benefits: Especially Creative Reward Practices Company Reward Apple Computer Stock purchase options Publix Super Markets Partial ownership in the company Advanta Corporation Opportunity to help train new employees Westin Hotels Free meals while on the job Worthington Industries Haircuts for $2 while at work Reader’s Digest Fridays off during the month of May Pitney Bowes Courses in real estate, golf, painting, photography, and cake decorating Steelcase Access to camping facilities and equipment Delta Airlines Free airline travel for employees and spouses SAS Company??? Theory X and Theory Y (Douglas McGregor) Need Hierarchy Theory Higher-order needs Selfactualization needs Esteem needs Social needs Safety needs Physiological needs Lower-order needs Two-Factor Theory (Frederick Herzberg) Factors characterizing events on the job that led to extreme job dissatisfaction Factors characterizing events on the job that led to extreme job satisfaction Comparison of Satisfiers and Dissatisfiers Overview of Expectancy Theory Effort Performance Expectancy X Reward Instrumentality X Valence of reward MOTIVATION Abilities and traits Role perceptions and opportunities JOB PERFORMANCE Equity Theory: A Summary and Example INEQUITABLE RELATIONSHIP Bill is underpaid compared to Andy Andy is overpaid compared to Bill Bill’s outcomes ($25,000/year) Bill’s inputs (40 hours/week) Andy’s outcomes ($30,000/year) Andy’s inputs (40 hour/week) Bill feels angry Andy feels guilty EQUITABLE RELATIONSHIP Andy is equitably paid compared to Bill Andy’s outcomes ($30,000/year) Andy’s inputs Andy feels (40 hour/week) satisfied Bill feels satisfied Bill is equitably paid compared to Andy Bill’s outcomes ($30,000/year) Bill’s inputs (40 hours/week) Goal-Setting Theory (Edwin Locke) Goal Setting: Some Impressive Effects 100 Percentage of Maximum Weight Carried on Each Trip Goal level 94 90 Performance at the goal level was sustained seven years after the goal was first set 80 70 60 There was a dramatic improvement in performance after a goal was set 50 1 2 3 Before goal 4 5 6 7 8 9 10 11 12 After Goal Four-Week Periods Seven Years Later ERG Theory (Clayton Alderfer) Concepts: Core Needs Existence: provision of basic material requirements. Relatedness: desire for relationships. Growth: desire for personal development. More than one need can be operative at the same time. If a higher-level need cannot be fulfilled, the desire to satisfy a lowerlevel need increases. David McClelland’s Theory of Needs nPow nAch nAff Matching Achievers and Jobs Cognitive Evaluation Theory Reinforcement Theory Concepts: Behavior is environmentally caused. Behavior can be modified (reinforced) by providing (controlling) consequences. Reinforced behavior tends to be repeated. Flow and Intrinsic Motivation Theory Ken Thomas’s Model of Intrinsic Motivation Employees are intrinsically motivated when rewards an employee gets from work result from: – Choice– the ability to freely self-select and perform task activities. – Competence– the sense of accomplishment from skillfully performing chosen tasks or activities. – Meaningfulness– pursuing a task that matters in the larger scheme of things. – Progress– the feeling of significant advancement in achieving the task’s purpose. Equity Theory Referent Comparisons: Self-inside Self-outside Other-inside Other-outside Equity Theory (cont’d) EXHIBIT 6-7 Equity Theory (cont’d) Choices for dealing with inequity: 1. Change inputs (slack off) 2. Change outcomes (increase output) 3. Distort/change perceptions of self 4. Distort/change perceptions of others 5. Choose a different referent person 6. Leave the field (quit the job) Equity Theory (cont’d) Propositions relating to inequitable pay: 1. Overrewarded employees produce more than equitably rewarded employees. 2. Overrewarded employees produce less, but do higher quality piece work. 3. Underrewarded hourly employees produce lower quality work. 4. Underrewarded employees produce larger quantities of lower-quality piece work than equitably rewarded employees Equity Theory (cont’d) Expectancy Theory EXHIBIT 6-8 Performance Dimensions EXHIBIT 6-9 Integrating Contemporary Theories of Motivation EXHIBIT