Unit 9 Motivation

Book Code MB 0038 Smita Choudhary

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Contents
Introduction Early theories of motivation Contemporary theories of motivation Motivating employees in organizations Motivational tools Special issues in motivation
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Motivation
Motivation is the result of interaction of the individual and the situation. Motivation is the processes that account for an individuals intensity, direction, and persistence of effort toward attaining a goal (Robbins, 2003). 1. Intensity defines how hard a person tries. 2. Direction is the orientation that benefits the organization. 3. Persistence defines how long a person can maintain his/her effort.

What Is Motivation?
Direction

Intensity

Persistence

Learning Objectives
After this unit, you will be able to understand Theories of motivation Special issues in motivation

Early Theories of Motivation

In 1950s, three theories of motivation were proposed: Hierarchy of needs theory Theories X and Y Two-factor theory
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Maslows Hierarchy of Needs

Self Be where you want to be

Esteem

Need for respect from others

Social

Need to be in a group, be loved

Safety

Need for stability and consistency

Physiological

Basic needs like food, water

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Maslows Hierarchy of Needs Theory

This theory was proposed by Maslow in 1943. According to this theory, human beings have wants and desires that affect their behavior and only unsatisfied needs affect behavior, satisfied needs cannot. A person moves on to the next level of needs, only when needs at previous level are satisfied. The five needs are-----1. 2. 3. 4. 5. Physiological needs (hunger, thirst, shelter) Safety needs (security and protection from emotional damage) Social needs (affection, belongingness, acceptance, friendship) Esteem needs (self-respect, autonomy, achievement, [internal factors]
status, recognition, attention [external factors]) Self-actualization (growth, achieving ones potential, self-fulfillment).
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Theory X and Theory Y

Theory X
Management assumes that employees are lazy and try to avoid work. Workers need close supervision while they are on work. Workers give high priority to security and show little ambition. Theory X assumes that lower order needs lead people.

Theory Y
Management assumes that employees may be ambitious, self-motivated, accept greater responsibility and are selfcontrolled and self-directed. Employees enjoy their work. If given a chance, employees want to be creative. Productivity increases when employees are given freedom to work without bounding them by rules. Theory Y assumes that higher order needs lead people.

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Herzbergs Two Factor Theory

Herzberg (1959) proposed that two types of factors affect peoples attitude about work. They are Motivators Hygiene factors
This theory is also known as motivation-hygiene theory.

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 Motivators are intrinsic Hygiene factors are factors like extrinsic factors like
Advancement Recognition Responsibility Achievement These factors satisfaction. Company policy Supervision Interpersonal relations Working conditions job Salary Absence of hygiene factors can cause job dissatisfaction but their presence does not motivate or create satisfaction. Hygiene factors describe a persons relationship with the environment in which he/she works.

ensure

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Contemporary Theories of Motivation

The contemporary theories of motivation are
ERG theory McClellands theory of needs Cognitive evaluation theory Goal-setting theory Reinforcement theory Equity theory Expectancy theory
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Alderfers ERG Theory

Existence

Growth

Relatedness

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ERG Theory
Alderfer (1972) classified needs into three categories: The existence category
Provides basic requirements for existence of an individual. Includes Maslows physiological and safety needs.

Relatedness category
It is the desire to maintain important interpersonal relationships. These social and status desires require interaction with others. They support Maslows social need and external component.

Growth category
It is the desire for personal development. These include the intrinsic component from Maslows esteem category and the characteristics of self-actualization.

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Similarity between ERG Theory and Maslows Theory Existence needs are similar to Maslows physiological and safety needs. Relatedness needs are similar to Maslows social needs. Growth needs are similar to Maslows esteem and selfactualization needs. Differences between ERG theory and Maslows theory In ERG theory, more than one need may be existing at the same time. If satisfaction of a higher level need is not achieved, the desire to satisfy a lower level need increases. ERG theory does not assume firm hierarchy.
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Need for Achievement (nAch)

The Theory of Needs

Need for Power (nPow) Need for Affiliation (nAff)

David McClelland
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McClellands Theory of Needs

McClellands theory focuses on three needs: achievement, power and affiliation. They are defined as---

Need for achievement (nAch) It is defined as the need to do

extremely well and try hard to succeed. People with high need for achievement have a strong will to succeed.

Need for power (nPow) It is defined as the need to make others

behave in a way that you like. People with high need for power like to be in charge of any situation.

Need for affiliation (nAff) It is defined as the desire to maintain

friendly and close interpersonal relationship. People with high need for motivation maintain good friendship, like cooperative situations instead of competitive situations and like to have relationships with high level of understanding.
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Based on the McClellands theory of needs, following assumptions can be made (Robbins, 2003): People with high need for achievement like jobs with personal responsibility and where some risk is involved. People with high need for achievement are not necessarily good managers. The need for affiliation and power are related to success of managers. Good managers have high need for power and low need for affiliation.

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Cognitive Evaluation Theory

This theory was proposed by Deci & Ryan in 1985. It states that when organizations use extrinsic rewards as return for superior performance, the intrinsic rewards are reduced. The individual loses control over his or her own behavior and the previous motivation decreases. If extrinsic rewards are removed, the individual may again get motivated by intrinsic rewards.

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Cognitive Evaluation

Intrinsic Motivators

Extrinsic Motivators

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Goal Setting Theory

Locke and Latham (1990) argued that challenging goals produce a higher output than general goals. People perform better when they get feedback on their progress in achieving their goals. A goal is a source of motivation for individuals. There are four contingencies in goal-setting theory: 1. Goal commitment: Goal setting theory assumes that an individual is
committed to the goal.

2. 3. 4.

Adequate self-efficacy: Self-efficacy is the belief of an individual that

he can perform a task. Higher self-efficacy results in higher success. Task characteristics: Individual goal setting does not produce same result for all tasks. Goals have more effect on performance when tasks are simple, well-learned, and independent. National culture: Goal setting theory depends on culture and is more suited to North American cultures.

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Reinforcement Theory
This theory was proposed by Komaki et. al. in 1991. It argues that reinforcement affects human behavior. According to this theory, behavior depends on its consequences. Behavior can be changed by controlling results. Reinforced behavior gets repeated.

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Equity Theory
o This theory was proposed by Adams in 1965. o According to this theory employees compare their job inputs and outcomes with others. o Equity exists with an individual feels that his/her input-outcome ratio is same as the person who he/she compares with. o If this ratio is not equal, the individual feels inequity. o An employee uses one of the following four comparisons: 1. Self-inside: It is an employees experiences at different positions in his 2. 3. 4.
current organization. Self-outside: It is an employees experiences in situations or positions outside his current organization. Other-inside: An employee compares himself to other individuals inside the organization. Other-outside: An employee compares himself to other individuals outside the organization.

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 When employees sense inequity, they can make one of the following six choices:
Change their inputs Change their outcomes Change opinions of self Change opinions of others Leave the field

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Organizational Justice
Justice in organizations is of three types: o Distributive justice: It is fairness in the way rewards are distributed among people. o Procedural justice: It is fairness in the procedures used to determine outcomes. o Interactional justice: It is fairness in the interpersonal treatment used to determine organizational outcomes.

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Motivational Tips
Some important motivational tips are: Avoid underpayment Avoid overpayment Take peoples opinion in decisions that affect them Explain the outcomes in a socially open manner.

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Expectancy Theory
Victor Vroom proposed this theory in 1964. This theory suggests that the tendency to act in a particular way depends on the outcome of the act and its attractiveness to an individual. According to this theory, the factors that decide motivation are:

Expectancy: It is the belief of an individual that his/her efforts

will positively affect his/her performance.

Instrumentality:

It is the individuals belief about being rewarded according to his or her performance. she expects from the organization.

Valence: It is the value an individual gives to the rewards he or Other determinants:

opportunities to perform, etc.
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skills and abilities, role perceptions,

Relationships in expectancy theory Effort performance relationship: It is the possibility that putting in a given amount of effort will lead to performance. Performance reward relationship: It is the degree to which the individual believes that performing at a particular level will produce the desired outcome. Rewards-personal goals relationship: It is the degree to which rewards given by an organization satisfy an individuals personal goals or needs and how attractive these rewards are for individuals. Performance formula Performance = f (Ability * Motivation * Opportunity)
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Motivating Employees in Organizations

On the basis of all motivation theories, following suggestions are available to motivate employees in organizations. Recognize individual differences: Different employees have different need. So, it is important to understand the needs of every employee. Use goals and feedback: Real and specific goals should be provided to employees. Employees should be given regular feedback about their performance. Include employees in decision making: Employees should be involved in decisions that affect them Link rewards to performance: Rewards should be linked to performance of employees. Maintain equity: The employees should feel that the rewards are equal to the input they give.

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Motivational Tools
1) Management by Objectives:
This tool focuses on setting goals that are tangible, verifiable, and measurable. The four elements common to MBO programmes are (Robbins, 2003). a. b. Goal specificity: The objectives in MBO should be clear. Participative decision making: The manager and employee should

jointly set the goals.

c. An explicit time period: Each objective should be completed in a specific time period. d. Performance feedback: An employee should be given feedback about his progress so that he can check and correct his actions.

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2) Employee Recognition Programs

These programs include personal attention, expressing interest, approval and appreciation for a job well done. Employee recognition programs are linked to reinforcement theory. Both concepts suggest that rewarding a behavior with recognition would cause repetition of such behavior. Recognition can be in any of the following ways: Personally congratulating an employee Sending a written message or an e-mail Declaring the employee as a contributor to organizations objectives.

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3) Employee Involvement
Employee involvement involves
Participative management Workplace democracy Empowerment Employee ownership

Involving employees in decision making has a positive effect on their motivation, commitment to the organization, productivity and job satisfaction. Some forms of employee involvement are

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Participative Management
The logic for participative management is
Managers do not know everything their employees do Better decisions Increased commitment to decisions Rewarding employees makes their job more interesting

The two common forms of participative management are:

Work councils: They are groups of elected employees who must be consulted when management makes decisions. Board representatives: They are employees who form part of companys board of directors and take care of the interests of the employees.
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Quality Circles
These are groups of eight to ten employees and supervisors who share responsibility. Key components of QC are (Robbins, 2003): They meet regularly to discuss their problems, find causes of problems, suggest solutions and take corrective action. The final implementation decision is taken by the management.

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Employee Stock Ownership Plans (ESOPs)

o In ESOPs, an employee stock ownership trust is created. o Companies contribute stock or cash to buy stock for the trust and give the stock to the employees. o Employees normally cannot take possession of their shares or sell them till they are employed at the company.
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Special Issues in Motivation

Motivating professionals The professional employees look for more intrinsic satisfaction from their work than blue-collar employees. They have a strong and long-term commitment to their field of expertise and are more loyal to their profession than to their employer. They do not give high priority to money and promotions. They give priority to job challenges. How to handle professionals Give challenging projects to them. Give them autonomy or freedom Reward them with educational opportunities Reward them with recognition
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Motivating Temporary Workers

Temporary workers can be motivated by
Permanent job opportunity to them Providing them opportunity for training
Motivating Low Skilled Workers Low skilled workers can be motivated by Giving them flexible work schedules Giving them higher pay package

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Thank You

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