Drivers of MotivationUnderstanding & ManagingDrivers of Motivation1OutlineThe Nature of MotivationLevel 1 MotivationLevel 2 MotivationContent TheoriesProcess TheoriesMotivation PracticesLevel 3 MotivationNew way forward4-Drive Model of Motivation2The Nature of MotivationMotivation is a behaviour Motivation is the set of forces that lead people to behave in particular ways.Motivation is important in organizations because, in conjunction with ability and environment, it determines performance.P = M + A + EP = PerformanceM = Motivation (must want to do the job) A = Ability (must be able to do the job)E = Environment (must have the resources to do the job)3Performance DimensionsLevel 1 MotivationMotivation level 1 presumes that humans are biological creatures, struggling for survivalBehavioral drivers:FearHungrinessThirstinessWorked very well till a point5Motivation Level 2Motivation level 2 presumes that humans also responded to rewards and punishments in their environmentBiological drivers are ok, but sometimes they do not fit to modern cultural engineeringHumans are more than the sum of our biological urgesBehavioral drivers:To seek rewardTo avoid punishment6Motivation Level 2Historical perspectivesScientific ManagementHuman RelationsContent theories of motivation - Need-Based TheoriesTry to list specific things that motivate behavior.Maslows hierarchy of needs modelAlderfers modified need hierarchy modelMcClellands motivation theoryHerzbergs two factor theoryMcGregors Theory X and YProcess theories of motivationExplain how people go about satisfying their needs.Expectancy theory of choicesEquity theoryGoal setting theoryReinforcement Theory7Motivation Level 2NEED-Creates desire to fulfill needs (food, friendship, recognition, achievement) BEHAVIOR-Results in actions to fulfill needs REWARDS-Satisfy needs; intrinsic or extrinsic rewardsFEEDBACK-Reward informs person whether behavior was appropriate and should be used again8The Hierarchy of Needs9ERG Theory defined Chris Alderfers ERG theory is based on the assumption that people have three types of need: Existence, Relatedness, and Growth:Existence needs are concerned with physiological factors, which at work are expressed as concern over remuneration and working conditions.Relatedness needs are concerned with having meaningful interactions with other peopleco-workers, managers, customers, etc.Growth needs are concerned with personal development, creativity, and feelings of achievement (see self-actualization).ERG Theory Key points for managersThe message for managers is that policies andpractices must be devised to help satisfy these needs because this will result in fulfilled and motivated employees.Although very similar to Maslow's hierarchy of needs, ERG theory does not stipulate (mean: require/insist on/specify) that the needs have to be met in a particular order.611McClellands Need Theory The Need for Achievement Desire to accomplish something difficult The Need for Affiliation Desire to spend time in social relationships and activities The Need for Power Desire to influence, coach, teach, or encourage others to achieve12The Need for AchievementCharacteristics of High-Need AchieversTend to set moderately difficult goals and make moderately risky decisions.Want immediate, specific feedback on their performance.Have a preoccupation with work.Assume a personal responsibility for getting things done.13The Need for AffiliationAffiliation and IndividualsIndividuals with a high need for affiliation tend to want reassurance and approval from others and usually are genuinely concerned about others feelings.Persons with a high need for affiliation often work in jobs with lot of interpersonal contact.14The Need for PowerPeople with a high need for power can be successful managers if:They seek power for the betterment of the organization rather than for their own interests.They have a fairly low need for affiliation (fulfilling a personal need for power may well alienate others in the workplace).They have the self-control to curb their desire for power when it threatens to interfere with effective organizational or interpersonal relationships.15Theory of Needs: Implications for ManagementPeople with different needs are motivated differently.High need for Achievement: High achievers should be given challenging projects with SMART goals. They should be provided frequent and instant feedback. While money is not an important motivator, it is an effective form of feedback.High need for Affiliation: Employees with a high affiliation need perform best in a cooperative environment.High need for Power: Management should provide power (mean: ability to influence) seekers the opportunity to manage othersNote:McClellands theory allows for the shaping of a persons needs; training programs can be used to modify ones need profile.Herzbergs two-factor theoryAsserts that two types of factors exist in the workplace:a. Extrinsic (dissatisfier, hygiene) factors-exist in the work context (e.g., pay, job security, status, working conditions, e.t.c.). Cause dissatisfaction when not present in the workplace, but do not motivate employees when present.b. Intrinsic (satisfier, motivator) factors-exist in the job content (e.g., recognition, achievement, responsibility, possibility of growth, the work itself). Dont greatly dissatisfy when not present in the job, highly motivate when present.Is money a motivator or not?17McGregors Theory X and YTheoryXEmployees dislike work and try to avoid itEmployees prefer to be controlled and directedEmployees seek security, not responsibilityEmployees must be intimidated by managers to performEmployees are motivated by financial rewards18McGregors Theory X and YTheory YEmployees like work and view work as a natural part of lifeEmployees prefer limited control and directionEmployees will seek responsibility under proper work conditionsEmployees have the capacity to be creative and solve problemsEmployees perform better in work environments that are non intimidatingEmployees are motivated by many different needs ($, time off,recognition, praise)19The Expectancy Theory of MotivationThe Basic Expectancy ModelSuggests that people are motivated by how much they want something and the likelihood they perceive of getting it.Effort-to-Performance ExpectancyA persons perception of the probability that effort will lead to successful performance.Performance-to-Outcome ExpectancyA persons perception of the probability that performance will lead to certain (desired) outcomes.Outcomes and ValencesThe degree of attractiveness or unattractiveness (valence) of a particular outcome (reward that results from performance) to a person.20Outcome 1Outcome 2Outcome 3A General Model of Vrooms Expectancy TheoryHigh EffortDecision to Exert Effort Expectancy What are my chancesof reaching myperformance goal if I work hard?Expectancy What are my chancesof reaching myperformance goal if I slack off? Performance GoalInstrumentality What are my chances of getting various outcomes if I achievemy performance goal? ValenceHow much do I value these outcomes?Outcome 1Outcome 2Outcome 3Low EffortPerformanceGoal21Evaluation and Implications in PracticePractical use of the theory by managers:Determine the primary outcome each employee wants.Make sure the desired levels of performance are possible.Link desired outcomes and desired performance.Analyze the situation for conflicting expectations.Make sure the rewards are large enough.22InputsOutcomesTimePay/bonussesEducation/trainingFringe benefitsExperienceChallenging assignmentsSkillsJob securityCreativityCareer advancement/promotionsSeniorityStatus symbolsLoyalty to organisationPleasant/safe working environmentAgeOpportunity for personal growth/developmentPersonality traitsSupportive supervisionEffort expendedRecognitionPersonal appearanceParticipation in important decisions24EQUITY THEORYBased on assumption that individuals are motivated by a desire to be treated fairly at work.The theorys key concepts.Person-individual who perceives equity or inequity.Comparison other-group or person used by Person as a referent regarding the ratio of inputs and outcomes.Inputs-individual characteristics that the Person brings to the job. Achieved or ascribed.Outcomes-what Person received from the job.Equity: when Persons ratio of inputs to outcomes equals the ratio of Comparison other. Inequity exists when ratios are unequal.23The individual organisation exchange relationshipFactors considered when making equity comparisons25Responses to Perceptions of Equity and InequityGoal Setting TheoryGoal settingIs a useful method of enhancing employee performance. From a motivational perspective, a goal is a desirable objective.Goals are useful for two purposes:Goals provide a useful framework for managing motivation. Managers and employees can set goals for themselves and then work toward them.Goals are an effective control device; control is monitoring by management of how well the organization is performing.26The Goal-Setting Theory of Motivation27Evaluation and ImplicationsResearch on goal-setting theory has confirmed:That goal difficulty and specificity are closely associated with performance.That goal acceptance and commitment are important.That goal-setting theory may focus too much on short-run goals at the expense of long-term performance.MBO28Specific SMART-ER ModelMeasurable Attainable Results oriented Time boundExtending of capabilities29Rewarding to those involvedReinforcement TheoryReinforcement TheoryBased on the idea that behavior is a function of its consequences.Behavior that results in pleasant consequences (reward) is likely to be repeated.Behavior that results in unpleasant consequences (punishment) is less likely to be repeated.30Reinforcement OptionsStimulus Employees work behavior (Mary Banner) Possible ActionSubmits budget reports on timeORPraise & publicly recognize Marys behavior Type of reinforcementPositive reinforcementYou (as a manager) want all budget reports submitted on timeOR Is considerably late submitting budget reports Do not reprimand MaryWithhold praise and recognition of Marys values Negative reinforcementExtinctionORPrivately or publiclyreprimand Mary Punishment31The Special Circumstances that Stick and Carrot WorkOffer a rationale for why the task is necessaryAcknowledge that the task is boringAllow people to complete the task their won way32When to use RewardsYes Can you increase the tasks challenge or variety, make it less routineOr connect it to a larger purpose? Thats pretty hardSure, I can Do that Use rewards evenif-then. But be Sure to Offer a rationale for why the task is necessaryAcknowledge that the task is boringAllow people to completeIs the taskmostly Routine?No Concentrate on building a healthy, long-term motivational environment that pays people fairly and that fosters autonomy, mastery and purpose.Avoid if-then rewards in almost allsituations. Consider unexpected, contingent, now-that rewards. And remember that those rewards Will be more effective if: the task their won wayThey offer praise and feedback rather than things people can touch or spendThey provide useful information rather than an attempt to control33Problems on Motivation Level 2Motivation level 2 suffers from 3 compatibility problems:It does not clearly fit with the way many new business models are organising what we do.Because we are intrinsically motivated purpose maximizers, and not only extrinsically motivated profit maximizersIt does not comport with the way that 21st century economics thinks about we do.Because economists are finally realizing that we are full- fledged human beings, not single-mined economic robotsIt is hard to reconcile with much of what we actually do at work.Because for growing numbers of people, work is often creative, interesting, and self-directed rather than unrelentingly routine, boring, and other-directed34Level 3 MotivationLevel 3 motivation presumes that humans have a third drive:To learnTo createTo better the world35Seven Reasons Carrots and Sticks (often) Dont WorkThey can extinguish intrinsic motivationThey can diminish performanceThey can crush creativityThey can crowd out good behaviourThey can encourage cheating, shortcuts, and unethical behaviourThey can become addictiveThey can foster short-term thinking36Recognition PromotionsGifts Extrinsic = OutsideIntrinsic = InsideFeeling of Job Well DonePrideSense of Achievement PraiseSalary IncreaseStatus37The Soma Puzzle ExperimentDay 1Day 2Day 3Group ANo rewardRewardNo rewardGroup BNo rewardNo rewardNo rewardEdward Deci, 1969, Carnegie Mellon Un.Twogroups ofparticipant3-hour sessions for eachThe Soma Puzzle ExperimentLessons:Motivation seem to operate by laws that ran counter to what most scientists and people believe.When external reward is used for some activity, the subjects lose intrinsic interests for the activity.Rewards can deliver a short-term boost, but the effect wears off and worse, can reduce a persons longer-term motivation to continue the projectThe Candle Problem ExperimentKurl Duncker, 1930 and Sam Glucksberg, 1962 & 1964You sit in a table and you have the following materials: a candle, some tacks and a book of matchesTarget: to attach the candle on the wall so that the wax does not drip on the table.Two groups:RewardNon-rewardResult: The reward group needed on average 3,5 minutes longer in order to solve the puzzleThe Candle Problem ExperimentLessons:An incentive designed to clarify thinking and sharpen creativity it ends up clouding thinking and dulling creativityRewards by their nature narrow our focusThey are ok when there is a single clear path to the solution of a problem.However, when the task is challenging and more solutions can emerge are really terribleThe Nature of Level 3 MotivationMotivation level 3 call us to understand the new realities of how we organise, think about, and do what we do.All these are fueled by intrinsic rather than extrinsic rewards.So, there is a need to move beyond level 2 and incorporate level 3 motivation, where the main motivators are:Freedom, challenge, purpose of the undertaking itself,Any other gains are well-come but mainly as a bonusThree Elements of Level 3 MotivationAutonomyPeople want to be accountable and they want to have the control over their tasks, their time, their technique and their teamMasteryMotivation level 3 has an incremental theory of intelligence, prizes learning goals over performance goals, and welcomes effort as a way to improve at something that mattersPurposeMotivation level 3 does not reject profits, but it places equal emphasis on purpose maximization. Its goal is to pursue purpose and use the catalyst rather than the objectiveSelf-Efficacy or Social Learning TheoryIndividuals belief that he or she is capable of performing a taskSelf-efficacy increased by:Enactive mastery gain experienceVicarious modeling see someone else do the taskVerbal persuasion someone convinces you that you have the skillsArousal get energized4445Self-Efficacy Implications in the workplaceJob Design TheoryJob Characteristics ModelIdentifies five job characteristics and their relationship to personal and work outcomes. Characteristics:Skill varietyTask identityTask significanceAutonomyFeedbackJob Design Theory (contd)Job Characteristics ModelJobs with skill variety, task identity, task significance, autonomy, and for which feedback of results is given, directly affect three psychological states of employees:Knowledge of resultsMeaningfulness of workPersonal feelings of responsibility for resultsIncreases in these psychological states result in increased motivation, performance, and job satisfaction.The Job Characteristics ModelJob Design Theory (contd)Skill VarietyThe degree to which a job requires a variety of different activities (how may different skills are used in a given day, week, month?).Task IdentityThe degree to which the job requires completion of a whole and identifiable piece of work (from beginning to end).Task SignificanceThe degree to which the job has a substantial impact on the lives or work of other people.Job Design Theory (contd)AutonomyThe degree to which the job provides substantial freedom and discretion to the individual in scheduling the work and in determining the procedures to be used in carrying it out.FeedbackThe degree to which carrying out the work activities required by a job results in the individual obtaining direct and clear information about the effectiveness of his or her performance.51Examples of High and Low Job CharacteristicsCharacteristicsExamples Skill VarietyHigh varietyThe owner-operator of a garage who does electrical repair, rebuilds engines,does body work, and interacts with customersLow varietyA bodyshop worker who sprays paint eight hours a day Task IdentityHigh identityA cabinetmaker who designs a piece of furniture, selects the wood, builds the object, and finishes it to perfectionLow identityA worker in a furniture factory who operates a lathe to make table legs Task SignificanceHigh significance Nursing the sick in a hospital intensive care unitLow significance Sweeping hospital floors AutonomyHigh autonomyA telephone installer who schedules his or her own work for the day, and decides on the best techniques for a particular installationLow autonomyA telephone operator who must handle calls as they come according to aroutine, highly specified procedure FeedbackHigh feedbackAn electronics factory worker who assembles a radio and then tests it to determine if it operates properlyLow feedbackAn electronics factory worker who assembles a radio and then routes it to a quality control inspector who tests and adjusts itComputing a Motivating Potential ScorePeople who work on jobs with high core dimensions are generally more motivated, satisfied, and productive.Job dimensions operate through the psychological states in influencing personal and work outcome variables rather than influencing them directly.Improving Task Significance Through the Voice of the CustomerRolls Royce Engine Services in California introduced Voice of the Customer, an initiative in which customers talk to production staff about how the quality of these engines are important to them. It gives employees with relatively repetitive jobs the sense that they're not just working on a part but rather are key in keeping people safe, explains a Rolls Royce executive.53level 3 Motivation TipsIndividualGive yourself a performance reviewDeliberate practice has one objective: to improve performanceRepeat, repeat, repeatSeek constant and critical feedbackFocus ruthlessly on where you need helpPrepare for the process to be mentally and physically exhaustinglevel 3 Motivation TipsOrganisationalEncourage peer-to-peer Now-that rewardsConduct an autonomy auditTake 3 steps toward giving up controlInvolve people in goal-settingUse non-controlling languageHold office hoursDesign for intrinsic motivationApply FedEx DaysEnsure internal and external fairness56If you use performance metrics, make sure them wide-ranging, relevant and hard to game4-Drive Model of MotivationAcquireWe all have a drive to acquiremoney, things,58prestige, power57BondWe also want to Bond with others -and have positive, meaningful relationships60We also strive toUNDERSTAND andfeelCHALLENGEDComprehend or Challenged59And we need to DEFENDthosethings andideas we BELIEVE INDefendAcquireBondReward SystemsRecognitionPerks CultureTeamworkSocial eventsChallenge & Comprehend DefendJob DesignTraining62Big picture ReputationFocus on competition61TransparencyImpact Acquire thruRewardAnything to do with RecognitionAnything to do with PerksAnything to do with Salary Incentives Benefits AwardsThank yousTop of class Time offSpecial allowanceImprove Bonding byCultureAnything to do with TeamworkAnything to do with SocialAnything to do withValuesNorms64Daily behaviors Job structureProjectsSupport GatherSports/teamsFunChallenge & ComprehendJob DesignAnything to do with TrainingAnything to do with GoalsAnything to do with63Job sharingNew challengesMentoring Skill trainingPeople trainingCoaching Stretch goalsEmployee inputLine of siteBuild the will to DefendReputationAnything to do with ThreatsAnything to do with TransparencyAnything to do with65CompanyGroup 2005 Prentice Hall Inc. All rights reserved.766Personal/ideas CompetitorsEnvironmentOutside Current Issues / SuccessTrustBEHAVIORThese humans are crazy67