CHAPTER 8 MOTIVATING YOUR EMPLOYEES

1. Define motivation 2. Identify & define 5 personality characteristics relevant to understanding behavior of employees 3. Explain elements & focus of 3 early theories of motivation 4. Identify characteristics that stimulate the achievement drive in high achievers 5. Identify 3 relationships in expectancy theory that determine an individual’s level of effort 6. List actions a supervisor can take to maximize employee motivation 7. Describe how supervisors can design individual jobs to maximize employee performance 8. Explain the effect of workforce diversity on motivating employees

 Willingness to do something  Conditioned upon the action’s ability to satisfy some need  Need  Physiological or psychological deficiency  makes certain outcomes seem attractive

 Personality types  Locus of control  Source of control over individual’s behavior  Internal – we control our own behaviors  External – our lives are controlled by external forces  Machiavellianism  Manipulative behaviors  Ends justify means  Self-esteem  How much you like or dislike yourself  Low-SEs  High-SEs

 Personality types (cont.)  Self-monitoring  Adjust behavior to external situational factors  High – adapt easily, capable of presenting striking contradictions between public and private selves  Low – display true feelings and beliefs in almost every situation  Risk propensity  Willingness to take risk  Rapid decision making with less information

 Understand why people act the way they do  Understand how people are motivated  Match personality types with compatible jobs

 Hierarchy of needs (Maslow, 1954)  Hierarch of needs  Physiological  Safety  Social  Esteem  Self-actualization  Each needs satisfy  Next level  Substantially satisfied needs no longer motivates  Not supported by studies

 Theory X – Theory Y (Douglas McGregor, 1960)  Theory X assumptions  Employees dislike work  avoid it  Must be coerced, controlled, or threatened  Employees will avoid responsibilities and seek formal direction  Workers place security above all other factors  little ambition  Theory Y assumptions  Employees view work as natural  Exercise self-direction and self-control once committed to objectives  The average person can learn to accept, even seek, responsibility  Ability to make good decisions is widely dispersed throughout the population

 Theory X – Theory Y (cont.)  McGregor: Theory Y more valid  Participation in decision making  Responsible and challenging jobs  Good group relations  No evidence to confirm validity  Theory X or Theory Y assumptions maybe appropriate in different situations

 Motivation – Hygiene theory (Herzberf, 1959)  Motivators differentiate satisfaction and no satisfaction  Achievement  Recognition  Work itself  Responsibility  Growth  Hygiene factors differentiate dissatisfaction and no dissatisfaction  Working conditions  Salary  Policy

 Need for achievement (McClelland, 1961)  Drive to succeed  Intrinsic motivation to do better  High achiever  Preference  Personal responsibility  Feedback  Medium degree of risk  Entrepreneurial

 Equity Theory (Adams, 1965)  Employees compare input-outcome ratios  If equal  fair  Unequal  attempt to correct  Expectancy Theory  Employees analyze relationships between  effort-performance;  performance-reward; and  reward-personal goals  Level of effort depends on expectations that these relationships can be achieved

 Recognize individual differences  Match people to jobs  Set challenging goals  Encourage participation  Individualize rewards  Link rewards to performance  Check for equity  Don’t ignore the money

 Job design  Skill variety  Task variety  Task significance  Autonomy  Feedback  Job enrichment  Increase control over the planning, execution and evaluation of people’s work

 Motivating a diverse workforce  Flexibility  Cultural differences  Should employees be paid for performance or time on the job?  Pay for performance  Competency based compensation

 Motivating minimum-wage employees  Rewards  Job design  Motivating professional and technical employees  Job challenge  Recognition  Alternative career paths

 Improve work-life balance  Flextime  Job sharing  Employee Stock Ownership Plan (ESOP)