1. Copyright © 2005 by South-Western, a division of Thomson Learning All rights reserved 1 Chapter 14 Work Motivation

2. Copyright © 2005 by South-Western, a division of Thomson Learning All rights reserved 2 Learning Objectives Describe four approaches that can be used to explain employee motivation and satisfaction. Explain how managers can use goals and rewards to improve performance. Describe how jobs can be designed to be motivation and satisfying.

3. Copyright © 2005 by South-Western, a division of Thomson Learning All rights reserved 3 Learning Objectives (cont.) State how the organization context affects motivation and satisfaction. Describe how individual differences in needs can affect employees’ work. Describe how understanding motivation can help managers improve employee performance and satisfaction.

4. Copyright © 2005 by South-Western, a division of Thomson Learning All rights reserved 4 Understanding Motivation and Satisfaction Motivation is a psychological state that exists whenever internal and/or external forces stimulate, direct, or maintain behaviors. Satisfaction is a psychological state that indicates how a person feels about his or her situation, based on a evaluation of the situation.

5. Copyright © 2005 by South-Western, a division of Thomson Learning All rights reserved 5 Employee Motivation and Satisfaction (adapted from Figure 14.1) Consequences for employers And employees - Improved individual and team performance - Satisfied Customers - High Morale - Reduced turnover Employee Motivation Employee Satisfaction Manager Behavior Job Design Organization Context Individual Differences

6. Copyright © 2005 by South-Western, a division of Thomson Learning All rights reserved 6 Managerial Approach Goal-setting theory states that managers can direct the performance of their employees by assigning specific, difficult goals that employees accept and are will to commit to. Management by objectives (MBO) is a participative goal-setting technique used in many U.S. organizations.

7. Copyright © 2005 by South-Western, a division of Thomson Learning All rights reserved 7 How Goal Setting Works (adapted from Figure 14.2) Goals -Specific -Difficult -Accepted Effects on Employee -Directs attention -Energizes -Encourages persistency -New strategies developed Performance Feedback

8. Copyright © 2005 by South-Western, a division of Thomson Learning All rights reserved 8 Process of Reinforcement and Behavior Change (adapted from Figure 14.3) Employee Avoids a Negative Consequence (Negative Reinforcement) or Employee Experiences a Reward (Positive Reinforcement) Employee Experiences No Consequences (Extinction) Employee Experiences a Negative Consequence (Punishment) A Situation Experienced By Employee Employee Reacts By Exhibiting Behavior X Stimulus Response of Employee (Behavior X) Consequences for Employee Likelihood of Behavior X in a Similar Future Situation

9. Copyright © 2005 by South-Western, a division of Thomson Learning All rights reserved 9 Managerial Approach (cont.) Expectancy theory states that people tend to choose behaviors that they believe will help them achieve their personal goals (e.g., a promotion or job security) and avoid behaviors that they believe will lead to undesirable personal consequences (e.g., a demotion or criticism).

10. Copyright © 2005 by South-Western, a division of Thomson Learning All rights reserved 10 Expectancy Theory (adapted from Figure 14.4) ? ? ? Instrumentality Question: If I perform the behavior, what will be the consequences? Valence Question: How much do I value the consequences associated with the behavior? Expectancy Question: If I make an effort, will I be able to perform the behavior? EffortPerformance Obtain desired outcomes (e.g., rewards, recognition, pride) Receive undesirable outcomes (e.g., punishment, ridicule shame)

11. Copyright © 2005 by South-Western, a division of Thomson Learning All rights reserved 11 Job Design Approach Job characteristics theory states that employees are more satisfied and motivated when their jobs are meaningful, when jobs create a feeling of responsibility, and when jobs are designed to ensure that some feedback is available.

12. Copyright © 2005 by South-Western, a division of Thomson Learning All rights reserved 12 Job Characteristics Theory (adapted from Figure 14.6) Growth Need Strength Three Critical Psychological States ExperiencedExperiencedKnowledge of meaningfulness responsibility foractual work of workwork outcomesresults Personal and Work Outcomes High internalHigh-qualityHigh satisfactionLow absenteeism workworkwith theand turnover motivationperformancework Five Job Characteristics Skill varietyAutonomyFeedback Task Identity Task significance

13. Copyright © 2005 by South-Western, a division of Thomson Learning All rights reserved 13 Organizational Approach Herzberg’s two-factor theory states that two separate and distinct aspects or the work context are responsible for motivation and satisfying employees.

14. Copyright © 2005 by South-Western, a division of Thomson Learning All rights reserved 14 Two–Factor Theory (adapted from Figure 14.7)

15. Copyright © 2005 by South-Western, a division of Thomson Learning All rights reserved 15 The Link between Recognition and performance (adapted from Figure 14.8) Recognizing employees helps me motivate them. 75 Recognizing my employees for good work makes it easier to get the work done. 90858095 Providing non-monetary recognition when they do well improves their performance. Recognizing employees provides them with useful feedback. Percent Percent managers agreeing

16. Copyright © 2005 by South-Western, a division of Thomson Learning All rights reserved 16 Organizational Approach (cont.) Equity theory states that employees judge whether they’ve been treated fairly by comparing the ratio of their outcomes and inputs to the ratios of others doing similar work. Reactions to perceived inequity –Increase their outputs –Decrease their outputs –Change their compensation through legal or other actions –Modify their comparison by choosing another person for comparison –Distort reality by rationalizing that the inequities are justified –Leave the situation

17. Copyright © 2005 by South-Western, a division of Thomson Learning All rights reserved 17 Individual Differences Approach A need is a strong feeling of deficiency in some aspect of a person’s life that creates an uncomfortable tension. Hierarchy of needs describes the order in which people seek to satisfy their desires.

18. Copyright © 2005 by South-Western, a division of Thomson Learning All rights reserved 18 Moving up and Down the Needs Hierarchy (adapted from Figure 14.9) Satisfaction-Progression Frustration-Regression

19. Copyright © 2005 by South-Western, a division of Thomson Learning All rights reserved 19 Guidelines for Managers Clearly communicate the organization's mission to employees and explain how their contribution to the organization will help the organization realize its mission. State the behaviors and performance achievements that are desired and explain how they will be rewarded. Design jobs with high motivating potential. Provide frequent and constructive feedback.

20. Copyright © 2005 by South-Western, a division of Thomson Learning All rights reserved 20 Guidelines for Managers (cont.) Provide rewards for desired behavior and outcomes. Provide rewards that employees value. Provide equitable rewards. Recognize that each person is unique.