INDEX

Serial No: Topic

1. Definition
2. The Motivation Process
3. Types of Theories
4. Maslow's Need Hierarchy
5. Alderfer’s ERG Theory
6. McGregor's Theory X and Theory Y
7. Herberg’s Two-factor Theory
8. McClelland's Need Theory
9. Importance of Motivation in an Organization

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Definition: Motivation is a process of arousing and sustaining goal-directed behavior
induced by the expectation of satisfying individual needs

The motivation process:

Unsatisfied need => Tension => Drives => Search Behavior => Satisfied needs =>
Reduction of tension => New unsatisfied needs

Types of theories:

(a) Need-based theories:

• Maslow's need hierarchy

• McGregor's Theory X and Theory
• Herzberg's two-factor theory
• Alderfer's ERG theory
• McClelland's need theory

(b). Process-based theory:

• Equity theory
• Expectancy theory
• Goal-setting theory
• Reinforcement theory:
• Attribution theory

(c) Individual-organizational goal-congruence theories:

• Exchange
• Accommodation
• Socialization
• Identification

Maslow's Need Hierarchy:

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(a) A hierarchy of five basic needs:

• Physiological needs: hunger, thirst, shelter, sex, and other bodily needs
• Safety needs: security and protection from physical and emotional harm
• Social needs: affection, belongingness, love, acceptance, and friendship.
• Esteem needs: internal esteem (self-respect, autonomy, achievement), and
external esteem (status, recognition, attention, power, and face)
• Needs for self-actualization: the drive to best realize one's potential, including
potential in personal growth, achievements, and self-fulfillment.

Low-order needs: physiological and safety needs, they are satisfied externally (payment,
unions)

High-order needs: social, esteem, and self-actualization needs, they are satisfied
internally.

(b). Basic assumptions:

• A substantially satisfied need no longer motivates

• It is the lowest level of ungratified need in the hierarchy that motivates behavior
• As a lower level of need is met, a person moves up to the next level of needs as a
source of motivation

Alderfer's ERG theory:

(a). Three groups of core needs:

• Existence needs: physiological and safety needs

• Relatedness needs: the desire foe maintaining important interpersonal
relationships: social needs, and the external components of the esteem needs
• Growth needs: an intrinsic desire for personal development: the intrinsic
component of esteem, and self-actualization

(b). Basic assumptions:

• Satisfied low-order needs lead to the desire to satisfy higher-order needs.

• Multiple needs can be operating as motivators at the same time.
• Frustration in attempting to satisfy a higher-level need can result in regression to a
lower need.

McGregor's theory X and theory Y:

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 Theory X: the assumption that employees dislike work, are lazy, dislike responsibility,
and much be coerced to perform.

Theory Y: the assumptions that employees like work, are creative, seek
responsibilities, and can excise self-direction.

• Theory X: assumes that lower-order needs motivate individual behavior.

• Theory Y: assumes that higher-order needs motivate individual behavior.

Herberg's two-factor theory:

(a). Contrasting views of satisfaction and dissatisfaction:

• Traditional view:

Satisfaction   Dissatisfaction

• Herzberg's view:

Satisfaction   No satisfaction
No dissatisfaction   Dissatisfaction

(b). Two factors:

• Motivation factors: the factors that lead to job satisfaction. They are mostly
intrinsic factors such as achievement, recognition, work itself, responsibility,
advancement, and growth

• Hygiene factors: the factors that lead to the prevention of dissatisfaction. They are
mostly extrinsic factors such as company policy and administration, supervision,
work condition, and salary.

Management implications: job enlargement & enrichment, empowerment, and

participative management

Criticism:

• Job satisfaction does not necessarily lead to high motivation

• Attribute theory as an explanation

McClelland's Need Theory:

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 • Need for achievement: the drive to excel, to set a higher goal, to seek higher
responsibility, and to strive to succeed.

The characteristics of a higher achiever:

• Seek personal responsibility

• Seek feedback on their performance
• Seek moderate risks and goals
• Need for power: the desire to have impact on, to influence and control the
behavior of others.
o Socialized power: used for social benefits
o Personalized power: used for personal gain
• Need for affiliation: the desire to be liked and accepted by others.

Importance of motivation in an organization:

Motivation is one of the most important factors determining organizational efficiency. All
organizational facilities will go to waste in absence of motivated people to utilize these
facilities effectively. Every superior in the organization must motivate its subordinates for
the right types of behavior. The performance of human beings in the organization is
dependent on the ability in the motivation. Rensis Likert called motivation as" the cost of
the management". Motivation is an effective instrument in the hands of management in
inspiring the workforce. Motivation increases the willingness of the workers to work,
thus increasing efficiency and effectiveness of the organization.

• Best utilization of resources: - Motivation ensures best and efficient utilization of

all types of resources. Utilization of resources is possible to their fullest extent if the
man is induced to contribute their efforts towards attaining organizational goals. Thus,
people should be motivated to carry out the plans, policies and programs laid down by
the organization.
• Will to Contribute: - there is a difference between "Capacity to work" and
"willingness to work". One can be physically and mentally fit to work but he may not
be willing to work. Motivation results in feeling of involvement to present his better
performance. Thus, motivation bridges the gap between capacity to work and
willingness to work.
• Reduction in Labor Problems: - all the members try to concentrate their efforts to
achieve the objectives of the organization and carry out plans in accordance with the
policies and programs laid down by the organization if the management introduced
motivational plans. It reduces labor problems like labor turnover, absenteeism,
indiscipline, grievances, etc. because their real wages increase by the motivational
plans.
• Sizeable increase in production and productivity: - when motivated properly,
people try to put efforts produce more, thus increasing their efficiency and as a result
of this general production and productivity of the organization increases. They

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(motivated employees) use the methods, system and technology effectively in the best
interest of the organization.
• Basis of Cooperation: - In a zeal to produce more the member's work 'an s a team
to pull the weight effectively, to get their loyalty to the group and the organization, to
carry out properly the activities allocated and generally to play an efficient part in
achieving the purpose which the organization has undertaken'. Thus, motivation is a
basis of cooperation to get, the best result out of the efforts of the human beings on the
job.
• Improvement upon skill and knowledge:- all the members will try to be efficient
as possible and will try it improve upon the skill and knowledge to the progress of the
organization which, in turn will provide the promised and more, ultimately enabling
them to satisfy their needs - personal and social both.
• Acceptance of organizational change: - change is the law of nature. Due to several
changes in the society, changes in technology, value system, etc. organization has to
incorporate these changes to cope with the requirement of the time. If people are
effectively motivated, they gladly accept, introduce and implement these changes
without reserving any resistance to change and negative attitude, thus keeping the
organization on the right track of progress.
• Better Image: - a firm that provides opportunities for the advancement of its
people has a better image in the minds of the public as a good employer. This, image
helps in attracting qualified personnel and thus simplifies the staffing function. This
will also improve employee satisfaction and reduce industrial stifle.

In a nutshell, to achieve the organizational and individual goals in an economical and

efficient manner, motivation is an important tool in the hands of management to direct
the behavior of subordinates in the desired and appropriate direction and thus minimize
the wastage of human and other resources.