1. CHAPTER 10: MOTIVATING EMPLOYESS & TEAM BUILDING
INTRO:
Hot Topic!
CHAPTER 10: MOTIVATING EMPLOYESS & TEAM BUILDING

2. Overview The importance of satisfaction among employees:
Happy workers => happy customers => successful businesses (profit)
People are motivated by a variety of things
Intrinsic reward [personal satisfaction]
Extrinsic reward [given to you by someone]

3. Traditional Theories of Motivation
Frederick Taylor
American “efficiency engineer”
The Principles of Scientific Management, 1911
Goal: to increase worker productivity (to benefit firm/worker)
There is 1 best way to perform each task – observe/study performance to find that best way.
Time-motion studies (shovel studies)
Focus on EFFICIENCY
“Father of Scientific Management”

4. Followers of Taylor Gantt Frank & Lillian Gilbreth
Developed charts to plot every detail of work in advance
Frank & Lillian Gilbreth
Used Taylor’s ideas to study bricklaying
Principle of Motion Economy
=> every job broken down into specific motions (therblig)
Analyze each motion to improve efficiency

5. Summary, Scientific Management
People are like machines
People motivated by money
No thoughts about psychological/human aspects of work
UPS

6. Elton Mayo Hawthorne Studies, 1927-1933
Test amount of lighting needed for optimum productivity at electric plant
Why did results confuse researchers?
Profound change in management thinking:
Hawthorne effect = people behave differently when they know they’re being studied.
Shift: away from Taylor toward human-based management
Pay was found to be ineffective motivator

7. Maslow People are motivated to satisfy unmet NEEDS
Needs have a hierarchy of importance
Satisfied needs no longer motivate

8. Herzberg
What can managers do (with the job itself) to motivate employees?
A “modern-day” look at Taylor’s theory
Study (1960s) asked workers to rank job-related motivating factors (list, pg. 265)
Job content = most motivating
Sense of achievement, responsibility, etc.
Job environment factors = less motivating
Good pay, job security, friendly managers Absence = demotivating
Presence = not motivating

9. Conclusions of Herzberg
Two types of factors (pg. 266):
MOTIVATORS
Lead to productive, satisfied employees
HYGIENE (MAINTENANCE) FACTORS
Cause dissatisfaction if missing; but do not motivate if increased
“The number one motivator is not money, but a sense of achievement and recognition for a job well-done.”
Compare to Maslow’s Theory (pg. 267)

10. Job Enrichment Extension of Maslow & Herzberg Theories
MOTIVATIONAL STRATEGY emphasizes motivating workers through the job itself.
Completion of task from start to end (job enlargement)
Opportunities for personal achievement, challenge, recognition, variety (job rotation)
How is this related to Maslow’s theory?
5 characteristics of work are important (pg. 268)
Opposite of job simplification

11. McGregor’s Theory X and Theory Y
How do managers feel about their workers?
This will determine how they motivate them.
Theory X managers believe:
Employees do not like to work
They do not like responsibility
They must be forced, controlled, threatened with punishment to perform
They are motivated by fear and money

12. Theory Y Theory Y managers believe: Employees like to work
They seek and like to be given responsibilities
They are creative, committed to goals
They are motivated by a variety of rewards
Emphasis on relaxed managerial atmosphere
Empowerment is key
Trend in U.S. is toward Theory Y

13. William Ouchi Studied success of Japanese companies
Japanese management approach = Type J
Lifetime employment, collective decision- making and responsibility, concern for workers
Focus on trust, groups, family
American management approach = Type A
Short-term employment, individual decision- making and responsibility
Focus on individual rights, achievements

14. Ouchi’s Theory Z
Not practical for American managers to adopt strategies based on another country’s culture
Theory Z = a Hybrid (Blends J & A) pg. 272
Since economic decline, Japan rethinking managerial approaches
Ex: Hitachi
Has conformity hurt Japanese businesses?
Will they move to Hybrid Theory Z in future?

15. MBO (Management by Objectives)
Goal-setting Theory: setting ambitious but attainable goals will motivate workers
Everyone should be involved in goal-setting and implementation
Peter Drucker developed: MBO, a system to help employees motivate themselves. (pg. 273)
Helping vs. Coaching
Central idea of MBO?

16. Vroom’s Expectancy Theory
Employee expectations can affect motivation
Three questions that are asked (pg. 274)
Reinforcement Theory
Motivation is a result of carrot-and-stick approach (reward/punishment)
We act to receive rewards and avoid punishment
Equity Theory
Motivation affected by fairness we perceive

17. 1, 2, 3. Southwest Airlines 4, 5, 6. Apple 7, 8, 9. Google 10, 11
1, 2, 3 Southwest Airlines 4, 5, 6 Apple 7, 8, 9 Google 10, 11 Wegman’s 12, 13 Enterprise Rent-A-Car 14, 15, 16 Starbucks 17, 18, 19 Zappos 20, 21, 22 UPS or Disney