Motivation Learning objectives 1. 2. 3. 4. 5. 6. Motivation refers to a set of forces that energise people to behave in certain ways.

Motivation is necessary to accomplish tasks, to produce quality goods and for other related purposes. Motivation is not an easy job. Change of workforce, change of job designs and delayering of organisations make motivation a difficult task. Motivation theories are of two broad categories early and contemporary theories. Scientific management and human relations model fall under early theories category. Contemporary theories cover content and process models.

Nature of motivation Motivation is a complex phenomenon Motives cant be observed, only inferred from behavior of others Some motives remain active even when original goal is attained

defination Internal and external factors that stimulate desire and energy in people to be continually interested and committed to a job, role or subject, or to make an effort to attain a goal. Motivation results from the interaction of both conscious and unconscious factors such as the (1) Intensity of desire or need, (2) Incentive or reward value of the goal, and (3) Expectations of the individual and of his or her peers. These factors are the reasons one has for behaving a certain way. An example is a student that spends extra time studying for a test because he or she wants a better grade in the class.

McClelland's Human Motivation Theory

Dominant Motivator Achievement

Characteristics of This Person

Has a strong need to set and accomplish challenging goals. Takes calculated risks to accomplish their goals. Likes to receive regular feedback on their progress and achievements. Often likes to work alone.

Affiliation

Wants to belong to the group. Wants to be liked, and will often go along with whatever the rest of the group wants to do. Favors collaboration over competition. Doesn't like high risk or uncertainty.

Power

Wants to control and influence others. Likes to win arguments. Enjoys competition and winning. Enjoys status and recognition.

Motivational quotes
If money was my only motivation, I would organize myself differently. Everybody kind of perceives me as being angry. It's not anger, it's motivation

There are several techniques that businesses should consider in regard to motivation and retention of top performing employees.

Theories on Motivation:-

At a simple level, it seems obvious that people do things, such as go to work, in order to get stuff they want and to avoid stuff they don't want. Why exactly they want what they do and don't want what they don't is still something a mystery. It's a black box and it hasn't been fully penetrated. Overall, the basic perspective on motivation looks something like this:

In other words, you have certain needs or wants (these terms will be used interchangeably), and this causes you to do certain things (behavior), which satisfy those needs (satisfaction), and this can then change which needs/wants are primary (either intensifying certain ones, or allowing you to move on to other ones). A variation on this model, particularly appropriate from an experimenter's or manager's point of view, would be to add a box labeled "reward" between "behavior" and "satisfaction". So that subjects (or employees), who have certain needs do certain things (behavior), which then get them rewards set up by the experimenter or manager (such as raises or bonuses), which satisfy the needs, and so on.

Maslows hierarchy of needs Dominance of Physiological Needs

Maslow Maslow's hierarchy of need categories is the most famous example:

self-actualization esteem belongingness safety physiological

Specific examples of these types are given below, in both the work and home context. (Some of the instances, like "education" are actually satisfiers of the need.)
Need selfactualization Home education, religion, hobbies, personal growth approval of family, friends, community Job

training, advancement, growth, creativity

esteem

recognition, high status, responsibilities

belongingness

family, friends, clubs

teams, depts, coworkers, clients, supervisors, subordinates work safety, job security, health insurance Heat, air, base salary

safety physiological

freedom from war, poison, violence food water sex

According to Maslow, lower needs take priority. They must be fulfilled before the others are activated. There is some basic common sense here -- it's pointless to worry about whether a given color looks good on you when you are dying of starvation, or

being threatened with your life. There are some basic things that take precedence over all else. Or at least logically should, if people were rational. But is that a safe assumption? According to the theory, if you are hungry and have inadequate shelter, you won't go to church. Can't do the higher things until you have the lower things. But the poor tend to be more religious than the rich. Both within a given culture, and across nations. So the theory makes the wrong prediction here. Or take education: how often do you hear "I can't go to class today, I haven't had sex in three days!"? Do all physiological needs including sex have to be satisfied before "higher" needs? (Besides, wouldn't the authors of the Kama Sutra argue that sex was a kind of self-expression more like art than a physiological need? that would put it in the self-actualization box). Again, the theory doesn't seem to predict correctly. Cultural critique: Does Maslow's classification really reflect the order in which needs are satisfied, or is it more about classifying needs from a kind of "tastefulness" perspective, with lofty goals like personal growth and creativity at the top, and "base" instincts like sex and hunger at the bottom? And is self-actualization actually a fundamental need? Or just something that can be done if you have the leisure time?

Flow Diagram of Needs Satisfaction

Ordering of Needs Across Countries

Country United States and Japan France Germany India Malawi China Need Priority Self-actualization, esteem, safety, physiological and social Self-actualization, esteem, physiological, safety and social Self-actualization, physiological, esteem, social and safety Physiological, self-actualization, esteem, social and safety Physiological, self-actualization, esteem, safety and social Self-actualization, safety, physiological and social

Two Factor theory (Herzberg)

According to Herzberg, two kinds of factors affect motivation, and they do it in different ways:

hygiene factors. These are factors whose absence motivates, but whose presence has no perceived effect. They are things that when you take them away, people become dissatisfied and act to get them back. A very good example is heroin to a heroin addict. Long term addicts do not shoot up to get high; they shoot up to stop being sick -- to get normal. Other examples include decent working conditions, security, pay, benefits (like health insurance), company policies, interpersonal relationships. In general, these are extrinsic items low in the Maslow/Alderfer hierarchy. motivators. These are factors whose presence motivates. Their absence does not cause any particular dissatisfaction, it just fails to motivate. Examples are all the things at the top of the Maslow hierarchy, and the intrinsic motivators.

So hygiene factors determine dissatisfaction, and motivators determine satisfaction. The two scales are independent, and you can be high on both. If you think back to the class discussion on power, we talked about a baseline point on the well-being scale. Power involved a threat to reduce your well-being, causing dissatisfaction. Hence, power basically works by threatening to withhold hygiene factors. Influence was said to fundamentally be about promising improvements in well-being -- when you are influenced to do something, it is because you want to, not because you were threatened. Influence basically works by offering to provide motivators (in Herzberg's terms).

Essence of the two-factor Theory

Difference Between Maslows and Herzbergs Motivational Theories

Issue
Type of theory The satisfaction performance relationship Effect of need satisfaction

Maslow
Descriptive Prescriptive Unsatisfied needs energise behaviour, this behaviour causes A satisfied need is not a motivator (except self actualisation) needs are motivators Hierarchy of needs Pay is a motivator if it satisfies needs All needs are motivators at various motivators Macro view deals with all aspects with work related motivation Relevant for all workerswhite collar andworkers

Herzberg
Needs cause performance

A satisfied (hygiene) need is not a motivator, other satisfied No hierarchy Pay is not a motivator Only some needs are times Micro view deals primarily

Need order Effect of pay Effect of needs View of motivation Exsistance Worker level

Probably more relevant to professional

Alderfer's ERG theory Alderfer classifies needs into three categories, also ordered hierarchically:

growth needs (development of competence and realization of potential) relatedness needs (satisfactory relations with others) existence needs (physical well-being)

This is very similar to Maslow -- can be seen as just collapsing into three tiers. But maybe a bit more rational. For example, in Alderfer's model, sex does not need to be in the bottom category as it is in Maslow's model, since it is not crucial to (the individual's) existence. (Remember, this about individual motivation, not species'

survival.) So by moving sex, this theory does not predict that people have to have sex before they can think about going to school, like Maslow's theory does. Alderfer believed that as you start satisfying higher needs, they become more intense (e.g., the power you get the more you want power), like an addiction. Do any of these theories have anything useful to say for managing businesses? Well, if true, they suggest that

Not everyone is motivated by the same things. It depends where you are in the hierarchy (think of it as a kind of personal development scale) The needs hierarchy probably mirrors the organizational hierarchy to a certain extent: top managers are more likely to motivated by selfactualization/growth needs than existence needs. (but try telling Bill Clinton that top executives are not motivated by sex and cheeseburgers...)

Two Key Components of ERG Theory; Satisfaction Progression and Frustration-Regrssion

Matching Content Theories

Expectancy Theory:-

APPLICATION OF EXPECTANCY THEORY:Variable Expectancies Objective To increase the belief that employees are capable of performing the job successfully Applications Select people with required skills and knowledge. Provide required training and clarify job requirements. Provide sufficient time and resources. Assign simpler or fewer tasks until employees can master them. Provide examples of similar employees who have successfully performed the tasks. Provide counseling and coaching to employees who lack self-confidence. instrumentalities To increase the belief that good performance will result in valued outcomes Measure job performance accurately. Clearly explain the outcomes that will result from successful performance. Describe how the employees rewards were based on past performances Valences of outcomes To increase the expected value of outcomes resulting from desired performance Distribute rewards that employees value. Individualise rewards. Minimise the presence of countervalent outcomes

EXAMPLES OF INPUTS AND OUTCOMES IN ORGANISATIONS

Inputs
Age Attendance Interpersonal skills Communication skills Job effort (long hours) Level of education Past experience Performance Personal appearance Seniority Social status Technical skills

Outcomes
Challenging job assignment Fringe benefits Job perquisites (parking space or office location) Job security Monotony Promotion Recognition Responsibility Salary Seniority benefits Status symbols Working conditions

Articles of motivation How to Motivate and Retain Employees Essentials Every Organization Should Know
It is imperative for any business organization to retain the top employees by means ofmotivation. An engaged workforce is a productive workforce. Businesses cannot achieve desired goals without experienced and qualified staff. Therefore, organizations need to motivate their employees to obtain the best possible results for a long period of time. There are several techniques that businesses should consider in regard to motivation and retention of top performing employees. Monetary Compensation What is your company strategy in regard to compensation? Although money isnt everything, it is a key motivator in regard to employment. Businesses need to keep in mind what other employers are paying for similar positions. If employees are properly compensated for their work they will feel as though they are a valued member of the team. Also consider incentives such as bonuses and perks. Organizational Culture Your leadership team must be engaged in order to have staff buy-in. Values, policies, practices, and behaviors all make up the culture of your company. Building an engaging company culture is not something that happens overnight. You must work at it. Employees are looking for follow-through and commitment from the leadership team. Constant Feedback In order to retain top performers, a business needs to provide constant feedback. The days of quarterly or even annual reviews being the sole form of feedback are long gone. Employees want to receive constant, specific, and clearly defined feedback from their supervisors. Usage of positive feedback about the accomplishment is essential to motivate an employee. Additionally, an organization must praise the employee promptly to reflect a positive and motivating gesture. Clear Communication Is your company mission statement clearly understood by all of your employees? You are leading a team and you need to ensure all members of your team know what direction to head. What is your business working to accomplish? What are the short and long term goals of your organization? Your mission statement should be posted in a very visible place for all employees to see. Consider adding your mission statement to the about us section of your website.

Employee Involvement Every business looking to retain its employees should improve organizational communication. Top management needs to learn the art of involving employees in the decision-making process. Though, management will most likely make the final and ultimate decisions, seeking advice from staff members can infuse a sense of employee ownership in the process. Staff members should be encouraged to actively participate in the decision making process by providing suggestions and feedback. Learning & Development Opportunities The goal of talent development is to maintain a competitive advantage for your business. Employees want to know that there are growth opportunities within the organization. Mentorship programs help to facilitate development activities through allowing newer employees to shadow more tenured staff. If an employee feels that there is a long-term plan for them within your organization that will afford them opportunities that align with their professional goals, they will be more apt to stay with your organization for the long-term. Getting Rid Of Bad Employees Why would you hang on to employees that have negative attitudes and low performing? Have you ever heard the saying, One rotten apple spoils the whole barrel? If your employees see that youre letting their co-worker getaway with poor performance the rest of the team will resent that. Why should everyone else have to pull the weight of the poor performer? Additionally, employees with bad attitudes can poison your entire staff. Cut your losses!

Four Key Components of Weighing Employee Value

As a manager, gauging employee value is a hard but necessary task. It allows you to decide who to let go when times get tough, and who to retain to ensure the companys growth. Sometimes, the decisions are simple based on the skills they bring to the company and other times it is hard, due to the balance of costs versus skills. Here are four major factors to consider when measuring employee value.

Initiative
Does the employee exhibit initiative, or do they come to work everyday without motivation, merely going through the motions? Valuable employees will value the company, and work hard to find new, efficient ways to do things. They will demonstrate initiative by bringing new ideas to the table. Poor employees will go through the day-to-day grind doing the bare minimum and clocking out, offering few suggestions at meetings. Employees who show initiative are potential leaders, whereas employees who never show initiative are eternal followers. Potential leaders are far more valuable than mindless drones.

Judgment
Judgment is a difficult thing to gauge, as an exceptional employee may make a poor judgment by taking an oversized risk, while an average employee may make consistently safe decisions and never suffer as a result. It depends on your priorities as a leader. Maybe you need aggressive employees who arent afraid to take risks, but you may also need stable middle managers who can keep the ship on course without attempting to make a name for themselves with high risks. Valuable employees also exhibit strong decision making skills they are able to quickly and effectively calculate the benefits and drawbacks of two decisions and act accordingly. These employees must also be able to make an unpopular short-term decision if it is better for the company in the long-term.

Loyalty
A valuable employee is one who takes his or her work personally; a poor employee is one who leaves it at the office. While it may be a bad idea to live to work, it is a hallmark of an effective employee. Poor employees will fail to think of ways to advance the company, and thus fail to show the initiative necessary to attain higher corporate ranks. The employee must also be loyal to your company; a disloyal employee moonlighting at a competitor, or one who is about to leave, can spread contagious negativity through your ranks, and is better to be terminated as soon as possible.

Cost Efficiency
A valuable employee is one who trades a valuable skill set for his or her pay scale. You may have one excellent employee on your team who is paid $100K annually, but you may be able to fill his or her shoes with three new employees with similar skill sets for $30K each. A team of three may be more cost effective, due to the flexibility of the combined parts. In addition, one overpaid employee may recognize his or her value to the company and demand higher pay, which would put you, as the leader, in a tight spot. Monitor your mature employees carefully to see which ones are the least cost effective, and the let them go.

Hopefully, this well help you get started on weeding out your ineffective employees while maintaining your most valuable ones.