Chapter 9 HRM & Motivational Theories

Motivational Theories Definition: Motivation is the force that drives a person to achieve an objective. It is the desire to work well. Q. What can a HRM do to motivate employees? p192 (4 dot pts) Motivational Theories are used by HRM as a tool for analysing employee motivation. i.e. HRM try to find ways to achieve higher productivity & workplace harmony

Psychologist Abraham Maslow believed that our needs are the forces that motivate individuals. A need is a personal requirement therefore; Maslow assumed that these needs could be arranged according to their importance in a series of steps known as Maslow’s hierarchy of needs.

1. MASLOW’S HIERARCHY of NEEDS Maslow believed that needs are arranged in a hierarchy of importance An employees level of need on the hierarchy must be satisfied before moving to the next level When basic needs are satisfied, they no longer provide motivation & higher order needs become more significant Once a level of need is satisfied, it is no longer effective in motivating an employee’s behaviour Lower-order needs are likely to be satisfied externally. Higher-order needs are likely to be satisfied internally.

5. SELF-ACTUALISATION - Realisation of potential, personal growth 4. SEF- ESTEEM NEEDS -Self-esteem, respect from others 3. SOCIAL NEEDS - Friendship, affection, acceptance by others 2. SAFETY NEEDS - security, stability, freedom from fear or threat 1. PHYSIOLOGICAL NEEDS - food, water, air, shelter Maslow’s hierarchy of needs theory

5. SELF-ACTUALISATION - Interesting & challenging work - Participation in decision-making - Freedom to decide how to do the job 4. ESTEEM -Impressive job title - High status job - Performance bonus 3. SOCIAL -Friendly co-workers -Friendly supervisors - Social & sporting activities 2. SAFETY - Safe & healthy workplace -Job security -Secure wage & guaranteed benefits 1. PHYSIOLOGICAL - Basic wage - Employment / job Maslow’s hierarchy of needs theory & HRM:

In the late 1950s, Frederick Herzberg interviewed approximately 200 engineers and accountants, and asked them what made them feel good about their work. He then asked them what factors had made them feel that way. This research led Herzberg to expand on Maslow's theory by identifying two levels of needs: hygiene factors and motivation factors. This idea he referred to as the motivation–hygiene theory

5. SELF-ACTUALISATION 4. ESTEEM 3. SOCIAL Motivators are higher order needs for achievement. These are intrinsic and include recognition, intrinsic interest in the work, responsibility and achievement. These determine job satisfaction 2. SAFETY 1. PHYSIOLOGICAL Hygiene factors are lower order needs are extrinsic, and are met by pay, safe working conditions, and company policy. Herzberg argued that these factors do not motivate but can prevent motivation from occurring.

Dr Edwin Locke did research on goal setting and motivation during the 1960s He concluded that employees were motivated by clear goals and appropriate feedback regarding their achievement He found that specific and difficult goals led to better performance than vague goals or goals that were too easy to achieve.

3. Performance - Improved as a result 2. Motivation - Increased by feedback on: goal achievement & recognition for effort 1. Set Goal - clear, specific, challenging but not overwhelming & must be accepted by employee

Ethical and socially responsible human resource management HRM develops the code of conduct The code of conduct is a document which outlines principles which guide employee expected behaviours For example, refer to Woolworth’s Code of Conduct & Virgin Blue’s Code of Conduct

HRM will also be required to….. Solve day-to-day problems where questions of ethics arise. For example, there may be a dispute over an employee being promoted, or situations where company funds have been misused.

The CEO of the company, Ray Williams, actually went to jail after pleading guilty to making misleading statements about the financial position of the company. The organisation fostered a culture of cover-ups and corruption. Ray Williams's behaviour has also been questioned. He gave favoured employees gold watches worth $ as gifts, and gave some employees interest-free loans

Some ethical and legal issues arising in the workplace, and the benefits of dealing with them successfully

Specific human resource dilemmas Recruitment Representation Electronic privacy Performance evaluation Employee promotion or dismissal

HRM & Motivation Theories HRM & Maslow’s Theory- HRMs would need to be aware that employees will be at different stages of development, therefore a range of strategies might need to be applied. E.g team building weekend for employees on the ‘social needs’ level. HRM & Herzberg’s Theory- In order to increase motivation levels long term, HRM would need to focus on the aspects that are important to employees, such as achievement and recognition. HRM & Locke’s Theory- employees are set goals; some are determined by employers, some are set together, others are set by the employee themselves. By ensuring the goals set are specific & challenging, HRMs may be able to motivate them. Providing feedback is essential.