1. Copyright © 2007 South-Western. All rights reserved. Chapter 10 Motivating Employees

2. Copyright © 2007 South-Western. All rights reserved. Learning Objectives Motivating Employees SatisfactionIncrease Value DisgruntledTheories

3. Motivating Employees Copyright © 2007 South-Western. All rights reserved. The Key Decisions in Running a Business

4. Motivating Employees Copyright © 2007 South-Western. All rights reserved. Value of Motivation Increase Value Theories Disgruntled Satisfaction Why motivating employees can increase the value of a firm? Reduce cost Increase revenue Accomplish more task Retain employee

5. Motivating Employees Copyright © 2007 South-Western. All rights reserved. Hawthorne Studies Increase Value Theories Disgruntled Satisfaction

6. Motivating Employees Copyright © 2007 South-Western. All rights reserved. Hierarchy of Needs Increase Value Theories Disgruntled Satisfaction

7. Motivating Employees Copyright © 2007 South-Western. All rights reserved. Herzberg’s Theory Increase Value Theories Disgruntled Satisfaction

8. Motivating Employees Copyright © 2007 South-Western. All rights reserved. What’s the relation of Herzberg’s finding and Malsow’s theory?

9. Motivating Employees Copyright © 2007 South-Western. All rights reserved. McGregor’s Theory Increase Value Theories Disgruntled Satisfaction

10. Motivating Employees Copyright © 2007 South-Western. All rights reserved. Application Which theory do you agree with? X? Y? 上班不能坐， 请假要扣奖金 丢了东西要赔 不能聊天

11. Motivating Employees Copyright © 2007 South-Western. All rights reserved. Ouchi’s Theory Z  Long-Term Employment  Collective Decision-making  Individual Responsibility  Slow Evaluation/ Promotion  Specialized Career Path  Holistic Concern for Employees

12. Motivating Employees Copyright © 2007 South-Western. All rights reserved. Expectancy Theory Reward must be desirable. Employees must believe they have a chance to earn the reward.

13. Motivating Employees Copyright © 2007 South-Western. All rights reserved. Expectancy Theory Increase Value Theories Disgruntled Satisfaction Want an “A” Grade? Exams – free questions Grading Scale A = > 99.9% B = 99.9 - 99.8% C = 99.8 - 99.7% D = 99.7 - 99.6% F = < 99.6% No One Ever Passed

14. Motivating Employees Copyright © 2007 South-Western. All rights reserved. Equity Theory Increase Value Theories Disgruntled Satisfaction Compensation should be equitable or in proportion to each employee’s contribution

15. Motivating Employees Copyright © 2007 South-Western. All rights reserved. Reinforcement Theory Increase Value Theories Disgruntled Satisfaction

16. Motivating Employees Copyright © 2007 South-Western. All rights reserved. Motivational Guidelines Equity Responsibility Expectancy Increase Value Theories Disgruntled Satisfaction

17. Motivating Employees Copyright © 2007 South-Western. All rights reserved. Disgruntled Employees Increase Value Theories Disgruntled Satisfaction Motivation Discipline Termination

18. Motivating Employees Copyright © 2007 South-Western. All rights reserved. Job Enrichment Programs Increase Value Theories Disgruntled Satisfaction

19. Motivating Employees Copyright © 2007 South-Western. All rights reserved. Compensation Programs Increase Value Theories Disgruntled Satisfaction Merit system Across-the-board Incentive plans

20. Motivating Employees Copyright © 2007 South-Western. All rights reserved. Compensation Plan Increase Value Theories Disgruntled Satisfaction Employee Goals Achievable Employee Input Business Goals

21. Motivating Employees Copyright © 2007 South-Western. All rights reserved. Security & Schedules Increase Value Theories Disgruntled Satisfaction Job Security Flextime Compressed Workweek Job Sharing

22. Motivating Employees Copyright © 2007 South-Western. All rights reserved. Employee Involvement Increase Value Theories Disgruntled Satisfaction Job Rotation Teamwork Job Enlargement Empowerment Open-Book Participative management

23. Motivating Employees Copyright © 2007 South-Western. All rights reserved. How does the open-book management work?