1. Chapter 12 Motivation

3. Learning Objectives After reading this chapter, you should be able to:  Differentiate between extrinsic and intrinsic motivation.  Describe the need theories of motivation and their implications for managing.  Generate steps that can be taken to improve performance by applying the various process models of motivation.  Apply reinforcement principles to manage performance.  Identify causes of low performance and how they could be improved using the expectancy model.  Understand the basic approaches to motivation.  Identify features of job design that can affect worker motivation.  Apply the job characteristics model to link job design to motivation.

4. Motivation  Categories of Theories:  Content theories of motivation seek to understand what underlies and drives motivation  Process theories of motivation seek to understand what steps can be taken to improve and maintain motivation  Types of Motivation: Intrinsic motivation- comes from the personal satisfaction of the work itself Extrinsic motivation – comes from the rewards that are linked to job performance, such as a paycheck

5. Content View of Motivation Maslow’s Hierarchy of Needs Alderfer’s ERG Theory McClelland’s Need Theory Herzberg’s Two- Factor Theory

6. Need Theories Needs Needs are physiological or psychological deficiencies that arouse behavior. Maslow’s Need Theory Motivation is a function of five basic needs- physiological safety, love, esteem, and self- actualization. McClelland’s Need Theory The needs for achievement, affiliation, and power affect behavior.

7. Prentice Hall, 2001Chapter 67 Maslow’s Hierarchy of Needs Self-actualization Esteem Needs Social Needs Safety Needs Physiological Needs

8. Alderfer’s ERG Theory Existence Growth Relationships

9. Prentice Hall, 2001Chapter 69 Herzberg’s Two-Factor Theory Hygiene Factors Motivational Factors Quality of supervision Rate of pay Company policies Working conditions Relations with others Job security Quality of supervision Rate of pay Company policies Working conditions Relations with others Job security Career Advancement Personal growth Recognition Responsibility Achievement Career Advancement Personal growth Recognition Responsibility Achievement High Job Dissatisfaction Job Satisfaction 0

10. Prentice Hall, 2001Chapter 610 McClelland’s Needs Theory McClelland’s Needs Theory Need for Achievement(nAch) Achievement(nAch) Power(nPow) Power(nPow) Affiliation(nAff) Affiliation(nAff)

11. Process View of Motivation Goal-Setting Theory Equity Theory Reinforcement Theory Expectancy Theory

12. Goal: Goal: What an individual is trying to accomplish. Encouraging the development of goal- attainment strategies or action plans Increasing one’s persistence Regulating one’s effort Directing one’s attention Goals motivate the individual by... Task performance Goals

13. Goal-Setting Theory  Effective Goals are:  Accepted by employees  Challenging and realistic  Specific, quantifiable, and measurable

14. Prentice Hall, 2001Chapter 714 MBO: Cascading of Objectives OrganizationalObjectives DivisionalObjectives DepartmentalObjectives IndividualObjectives The XYZ Company Consumer Products Industrial Products DevelopmentResearchMarketingCustomerServiceSalesProduction

15. Equity Theory Personal Outcomes Others’ Outcomes Others’ Outcomes InputsInputs versus Fairness is achieved when the ratios are equivalent.

16. A. An Equitable Situation Self Other $2 1 hour = $2 per hour $4 2 hours = $2 per hour Negative and Positive Inequity

17. $2 1 hour = $2 per hour $3 1 hour = $3 per hour B. Negative Inequity Self Other Negative and Positive Inequity (cont)

18. $2 1 hours = $1 per hour C. Positive Inequity $3 1 hour = $3 per hour Self Other Negative and Positive Inequity (cont)

19.  Inequity occurs when the ratio is not equivalent and creates cognitive dissonance  To restore equity, people may use one of the following:  Reduce inputs by cutting back on the effort, and if the imbalance becomes too great, to leave the firm  Influence the outcome, such as persuade the boss for a raise  Decrease others’ outcomes, such as spread rumors about others  Increase effort level if they think they are getting more than they deserve Equity Theory (cont)

20. Prentice Hall, 2001Chapter 620 Reinforcement Theory Conditions Positive Reinforcement Punishment ExtinctionNegative Reinforcement Apply Withdraw Contingency PositiveNegative Nature of Outcome

21. Conditioning illustrated Pavlov as illustrated in The Office

22. Expectancy: Expectancy: Belief that effort leads to a specific level of performance Instrumentality: Instrumentality: A performance  outcome perception. Valence: Valence: The Value of a reward or outcome Vroom’s Expectancy Theory Concepts

23. Expectancy Theory of Motivation Effort V1 V2 Expectancy Rewards Tasks Instrumentality

24. Motivation by Design  Job Enlargement  Job Rotation  Job Enrichment  Job Characteristics Model

25. Job Characteristics Model Skill varietyExperiencedHigh internal Task identitymeaningfulnesswork motivation Task significanceof the work High quality AutonomyExperienced work performance responsibility for outcomes ofHigh satisfaction the workwith the work FeedbackKnowledge of theLow absenteeism actual results ofand turnover the work activities Core job dimensions Personal and work outcomes Critical psychological states Employee growth need strength

26. Video: The Container Store

27. Management Is Everyone’s Business 12.2... P. 483  Refer to movie, Office Space: What would you suggest to Peter’s boss? What would you suggest to Joanna’s boss?