Management_009 Motivation & Performance
-
Upload
adel-saqqa -
Category
Documents
-
view
229 -
download
0
Transcript of Management_009 Motivation & Performance
-
8/9/2019 Management_009 Motivation & Performance
1/43
C h a
p t e r
11
C h a
p t e r
99Motivation and
Performance
Motivation and
Performance
-
8/9/2019 Management_009 Motivation & Performance
2/43
13-2© 2006 The McGraw-Hill Companies, Inc. All rights reserved. McGraw-Hill/Irwin
Learning ObjectivesLearning Objectives
After studying the chapter, you should be able to:
Explain what motivation is and why managersneed to be concerned about it.
Describe from the perspectives of expectancy
theory and equity theory what managers should do
to have a highly motivated workforce.
Explain how goals and needs motivate people andwhat kinds of goals are especially likely to result in
high performance.
-
8/9/2019 Management_009 Motivation & Performance
3/43
13-3© 2006 The McGraw-Hill Companies, Inc. All rights reserved. McGraw-Hill/Irwin
Learning ObjectivesLearning Objectives
Identify the motivation lessons that
managers can learn from operantconditioning theory and social learning
theory. Explain why and how managers can use
pay as a major motivation tool.
-
8/9/2019 Management_009 Motivation & Performance
4/43
13-4© 2006 The McGraw-Hill Companies, Inc. All rights reserved. McGraw-Hill/Irwin
The Nature of MotivationThe Nature of Motivation
Motivation
The psychological forces acting on an individualthat determine:
Direction—possible behaviors the individual could engage
in
Effort—how hard the individual will work
Persistence—whether the individual will keep trying or
give up
Explains why people behave the way they do in
organizations
-
8/9/2019 Management_009 Motivation & Performance
5/43
13-5© 2006 The McGraw-Hill Companies, Inc. All rights reserved. McGraw-Hill/Irwin
The Nature of Motivation (cont’d)The Nature of Motivation (cont’d)
Intrinsically Motivated Behavior
Behavior that is performed for its own sake. The source of the motivation that comes from actually
engaging in the behavior.
The sense of accomplishment and achievement derivedfrom doing the work itself
Extrinsically Motivated Behavior
Behavior that is performed to acquire material orsocial rewards or to avoid punishment. The source of the motivation is the consequences of the
behavior and not the behavior itself.
-
8/9/2019 Management_009 Motivation & Performance
6/43
13-6© 2006 The McGraw-Hill Companies, Inc. All rights reserved. McGraw-Hill/Irwin
Outcomes and InputsOutcomes and Inputs
Outcome
Anything a person gets from a job or anorganization
Pay, job security, autonomy, accomplishment
Input
Anything a person contributes to his or her job or organization
Time, effort, skills, knowledge, work behaviors
-
8/9/2019 Management_009 Motivation & Performance
7/43
13-7© 2006 The McGraw-Hill Companies, Inc. All rights reserved. McGraw-Hill/Irwin
The Motivation EquationThe Motivation Equation
Figure 13.1
-
8/9/2019 Management_009 Motivation & Performance
8/43
13-8© 2006 The McGraw-Hill Companies, Inc. All rights reserved. McGraw-Hill/Irwin
Expectancy TheoryExpectancy Theory
Motivation will be high when workers
believe: High levels of effort will lead to high
performance. High performance
will lead to theattainment of
desired outcomes.
-
8/9/2019 Management_009 Motivation & Performance
9/43
13-9© 2006 The McGraw-Hill Companies, Inc. All rights reserved. McGraw-Hill/Irwin
Expectancy TheoryExpectancy Theory
Major Factors of Motivation
Expectancy—the belief that effort (input)will result in a certain level of performance
Instrumentality—the belief thatperformance results in the attainment ofoutcomes
Valence—how desirable each of theavailable outcomes from the job is to aperson
-
8/9/2019 Management_009 Motivation & Performance
10/43
13-10© 2006 The McGraw-Hill Companies, Inc. All rights reserved. McGraw-Hill/Irwin
Expectancy, Instrumentality, and
Valence
Expectancy, Instrumentality, and
Valence
Figure 13.2
-
8/9/2019 Management_009 Motivation & Performance
11/43
13-11© 2006 The McGraw-Hill Companies, Inc. All rights reserved. McGraw-Hill/Irwin
Expectancy Theory in PracticeExpectancy Theory in Practice
Expectancy: Effort will result in a level ofperformance. Employees will work work hard if they believe they can
attain high performance—organizations must provide theresources that support performance.
Instrumentality: Performance leads to outcomes. Workers are only motivated if they think performance
leads to an outcome—managers must link performance to
outcomes. Valence: How desirable an outcome is to a person.
Workers have preferences for outcomes—managers must
determine which outcomes are valued.
-
8/9/2019 Management_009 Motivation & Performance
12/43
13-12© 2006 The McGraw-Hill Companies, Inc. All rights reserved. McGraw-Hill/Irwin
Expectancy and MotivationExpectancy and Motivation
Motivation is highest when expectancy,
instrumentality, and valence levels are high. If one of the values is low, motivation will be low.
Workers do not believe they can perform well.
Workers do not believe that performance and rewards are
closely linked.
Workers do not value the rewards offered for
performance.
-
8/9/2019 Management_009 Motivation & Performance
13/43
13-13© 2006 The McGraw-Hill Companies, Inc. All rights reserved. McGraw-Hill/Irwin
Expectancy TheoryExpectancy Theory
Figure 13.3
-
8/9/2019 Management_009 Motivation & Performance
14/43
13-14© 2006 The McGraw-Hill Companies, Inc. All rights reserved. McGraw-Hill/Irwin
Need TheoriesNeed Theories
Need
A requirement for survival and well-being.Need Theories
Theories of motivation that focus on what needs
people are trying to satisfy at work and whatoutcomes will satisfy those needs.
Basic premise is that people are motivated toobtain outcomes at work to satisfy their needs. Managers must determine what needs a worker wants
satisfied and ensure that a person receives the outcomes
when performing well.
-
8/9/2019 Management_009 Motivation & Performance
15/43
13-15© 2006 The McGraw-Hill Companies, Inc. All rights reserved. McGraw-Hill/Irwin
Maslow’s Hierarchy of NeedsMaslow’s Hierarchy of Needs
Table 13.1
Self-
actualization
Self Self --
actualizationactualization
Realize one’s
full potential
Realize oneRealize one’’ss
full potentialfull potential
Use abil ities
to the fullest
Use abil itiesUse abil ities
to the fullestto the fullest
EsteemEsteemEsteemFeel good
about oneself
Feel goodFeel good
about oneself about oneself Promotions
and recognition
PromotionsPromotions
and recognitionand recognition
BelongingnessBelongingnessBelongingnessSocial
interaction, love
SocialSocial
interaction, loveinteraction, loveInterpersonal
relations, parties
InterpersonalInterpersonal
relations, partiesrelations, parties
Safety
SafetySafety
Security, stability
Security, stabilitySecurity, stability Job security,
health insurance
Job security,Job security,
health insurancehealth insurance
PhysiologicalPhysiologicalPhysiologicalFood, water,
shelter
Food, water,Food, water,
shelter shelter Basic pay level
to buy i tems
Basic pay levelBasic pay level
to buy i temsto buy items
NeedsNeeds DescriptionDescription ExamplesExamples
Lower Lower --level needs must be satisfied beforelevel needs must be satisfied before
higher higher --level needs are addressed.level needs are addressed.
HighestHighest--levellevel
needsneeds
LowestLowest--levellevel
needsneeds
-
8/9/2019 Management_009 Motivation & Performance
16/43
13-16© 2006 The McGraw-Hill Companies, Inc. All rights reserved. McGraw-Hill/Irwin
Alderfer’s ERG Theory Alderfer’s ERG Theory
After lower level needs satisf ied, person seeks higher needs. Wh After lower level needs satisfied, person seeks higher needs. Whenen
unable to satisfy higher needs, lower needs motivation is raisedunable to satisfy higher needs, lower needs motivation is raised..
GrowthGrowthGrowthSelf-development,
creative work
Self Self --development,development,creative workcreative work
Continually
improve skills
ContinuallyContinuallyimprove skillsimprove skills
RelatednessRelatednessRelatedness Interpersonal
relations, feelings
InterpersonalInterpersonal
relations, feelingsrelations, feelings
Good relations,
accurate feedback
Good relations,Good relations,
accurate feedbackaccurate feedback
ExistenceExistenceExistenceFood, water,
clothing, and shelter
Food, water,Food, water,
clothing, and shelter clothing, and shelter Adequate pay
for necessities
Adequate pay Adequate pay
for necessitiesfor necessities
NeedsNeeds DescriptionDescription ExamplesExamples
HighestHighest--levellevel
needsneeds
LowestLowest--levellevel
needsneeds
Table 13.2
-
8/9/2019 Management_009 Motivation & Performance
17/43
13-17© 2006 The McGraw-Hill Companies, Inc. All rights reserved. McGraw-Hill/Irwin
Herzberg’s Motivation-Hygiene
Theory
Herzberg’s Motivation-Hygiene
TheoryFocuses on outcomes that lead to higher
motivation and job satisfaction, and thoseoutcomes that can prevent dissatisfaction. Motivator needs relate to the nature of the work
itself—autonomy, responsibility, interesting work. Hygiene needs are related to the physical and
psychological context of the work—comfortable
work environment, pay, job security. Unsatisfied hygiene needs create dissatisfaction;
satisfaction of hygiene needs does not lead to motivation
or job satisfaction.
-
8/9/2019 Management_009 Motivation & Performance
18/43
13-18© 2006 The McGraw-Hill Companies, Inc. All rights reserved. McGraw-Hill/Irwin
McClelland’s Needs for Achievement,
Affiliation, and Power
McClelland’s Needs for Achievement,
Affiliation, and Power Need for
Achievement A strong need to
perform challenging
tasks well and meet
personal standards
for excellence
-
8/9/2019 Management_009 Motivation & Performance
19/43
13-19© 2006 The McGraw-Hill Companies, Inc. All rights reserved. McGraw-Hill/Irwin
McClelland’s Needs for Achievement,
Affiliation, and Power
McClelland’s Needs for Achievement,
Affiliation, and Power
Need for Affiliation
A concern for good interpersonal relations,
being liked, and getting along
Need for Power A desire to control or influence others
-
8/9/2019 Management_009 Motivation & Performance
20/43
13-20© 2006 The McGraw-Hill Companies, Inc. All rights reserved. McGraw-Hill/Irwin
Equity TheoryEquity Theory
Focuses on people’s perceptions of the
fairness (or lack of fairness) of their workoutcomes in proportion to their work inputs. A relative outcome to input ratio comparison to
oneself or to another person (referent) perceivedas similar to oneself.
Equity exists when a person perceives that their
outcome/input ratio to be equal to the referent’sratio. If the referent receives more outcomes, they should also
give more inputs to achieve equity.
-
8/9/2019 Management_009 Motivation & Performance
21/43
13-21© 2006 The McGraw-Hill Companies, Inc. All rights reserved. McGraw-Hill/Irwin
Equity TheoryEquity Theory
Condition Person Referent Example
EquityEquityEquityOutcomes = Outcomes
Inputs Inputs
OutcomesOutcomes == OutcomesOutcomes
Inputs InputsInputs Inputs
Worker contr ibutesmore inputs but also
gets more outputs
than referent
Worker contributesWorker contr ibutes
more inputs but alsomore inputs but also
gets more outputsgets more outputs
than referentthan referent
Underpayment
Equity
Underpayment
EquityOutcomes < Outcomes
Inputs Inputs
Outcomes < Outcomes
Inputs Inputs
Worker contr ibutesmore inputs but also
gets the same outputs
as referent
Worker contr ibutesmore inputs but also
gets the same outputs
as referent
Overpayment
Equity
OverpaymentOverpayment
EquityEquityOutcomes > Outcomes
Inputs Inputs
OutcomesOutcomes >> OutcomesOutcomes
Inputs InputsInputs Inputs
Worker contr ibutes
same inputs but also
gets more outputs
than referent
Worker contributesWorker contr ibutessame inputs but alsosame inputs but also
gets more outputsgets more outputs
than referentthan referent
Table 13.3
-
8/9/2019 Management_009 Motivation & Performance
22/43
13-22© 2006 The McGraw-Hill Companies, Inc. All rights reserved. McGraw-Hill/Irwin
Equity TheoryEquity Theory
Inequity exists when worker’s outcome/input
ratio is not equal to referent. Underpayment inequity: ratio is less than the
referent.
Workers feel they are not getting the outcomes they
should for their inputs.
Overpayment inequity: ratio is higher than the
referent.
Workers feel they are getting more outcomes than they
should for their inputs.
-
8/9/2019 Management_009 Motivation & Performance
23/43
13-23© 2006 The McGraw-Hill Companies, Inc. All rights reserved. McGraw-Hill/Irwin
Equity TheoryEquity Theory
Restoring Equity: Inequity creates tension in
workers causing them to attempt to restoreequity.
In underpayment, workers may reduce input levels
to correct (rebalance) the ratio or seek a raise.
In overpayment, workers may change the referent
person and readjust their ratio perception. If inequity persists, workers will often choose to
leave the organization.
-
8/9/2019 Management_009 Motivation & Performance
24/43
13-24© 2006 The McGraw-Hill Companies, Inc. All rights reserved. McGraw-Hill/Irwin
Goal Setting TheoryGoal Setting Theory
Focuses on identifying the types of
goals that are effective in producinghigh levels of motivation and explainingwhy goals have these effects.
Considers how managers can ensurethat workers focus their inputs in thedirection of high performance and theachievement of organizational goals.
-
8/9/2019 Management_009 Motivation & Performance
25/43
13-25© 2006 The McGraw-Hill Companies, Inc. All rights reserved. McGraw-Hill/Irwin
Goal Setting TheoryGoal Setting Theory
Goal
What a person is trying to accomplish.Characteristics of Motivating Goals
Specific and not vague in providing direction
Difficult but not impossible to attain
Accepted and committed to by workers
Feedback on goal attainment is important.Goals point out what is important to the firm.
Workers should be encouraged to develop action
plans to attain goals.
-
8/9/2019 Management_009 Motivation & Performance
26/43
13-26© 2006 The McGraw-Hill Companies, Inc. All rights reserved. McGraw-Hill/Irwin
Learning TheoriesLearning Theories
Theories that focus on increasing
motivation and performance by linkingoutcomes to performance and the
attainment of goals.
-
8/9/2019 Management_009 Motivation & Performance
27/43
13-27© 2006 The McGraw-Hill Companies, Inc. All rights reserved. McGraw-Hill/Irwin
Learning TheoriesLearning Theories
Learning
A relatively permanent change in person’sknowledge or behavior that results from
practice or experience.
-
8/9/2019 Management_009 Motivation & Performance
28/43
13-28© 2006 The McGraw-Hill Companies, Inc. All rights reserved. McGraw-Hill/Irwin
Operant Conditioning TheoryOperant Conditioning Theory
Operant Conditioning
People learn to perform behaviors that leadto desired consequences and learn not toperform behaviors that lead to undesired
consequences.
Linking specific behaviors to the attainment
of specific outcomes can motivate highperformance and prevent behaviors thatdetract from organizational effectiveness.
-
8/9/2019 Management_009 Motivation & Performance
29/43
13-29© 2006 The McGraw-Hill Companies, Inc. All rights reserved. McGraw-Hill/Irwin
Operant Conditioning ToolsOperant Conditioning Tools
Positive Reinforcement
Getting desired outcomes for performingneeded work behaviors Positive reinforcers: Pay, praises, or promotions
Negative Reinforcement
Eliminating undesired outcomes once the
desired behavior occurs Negative reinforcers: criticisms, pay cuts,
suspension
-
8/9/2019 Management_009 Motivation & Performance
30/43
13-30© 2006 The McGraw-Hill Companies, Inc. All rights reserved. McGraw-Hill/Irwin
Operant Conditioning ToolsOperant Conditioning Tools
Extinction
Curtailing the performance of a dysfunctionalbehavior by eliminating whatever is reinforcing it.
Behavior is not rewarded and over time, the worker stops
performing it.
Punishment
Administering an undesired/negative consequenceto immediately stop a dysfunctional behavior.
Manager administers an undesired consequence to
worker (verbal reprimand, demotion, pay cut).
-
8/9/2019 Management_009 Motivation & Performance
31/43
Organizational BehaviorOrganizational Behavior
-
8/9/2019 Management_009 Motivation & Performance
32/43
13-32© 2006 The McGraw-Hill Companies, Inc. All rights reserved. McGraw-Hill/Irwin
Organizational Behavior
Modification
Organizational Behavior
Modification Has been criticized for ethical implications
of application and effects on workers. Appears to be effective in promoting
organizational efficiency.
-
8/9/2019 Management_009 Motivation & Performance
33/43
13-33© 2006 The McGraw-Hill Companies, Inc. All rights reserved. McGraw-Hill/Irwin
Steps in
Organizational
Behavior
Modification
Figure 13.4
-
8/9/2019 Management_009 Motivation & Performance
34/43
13-34© 2006 The McGraw-Hill Companies, Inc. All rights reserved. McGraw-Hill/Irwin
Social Learning TheorySocial Learning Theory
A theory that takes into account how
learning and motivation are influencedby people’s
thoughts andbeliefs and their
observations ofother people’s
behavior.
-
8/9/2019 Management_009 Motivation & Performance
35/43
13-35© 2006 The McGraw-Hill Companies, Inc. All rights reserved. McGraw-Hill/Irwin
Social Learning TheorySocial Learning Theory
Conditions for Social Learning
The learner observes the model performing thebehavior.
The learner accurately perceives the model’s
behavior. The learner remembers the behavior.
The learner has the skills and abilities needed to
perform the behavior. The learner sees or knows that the model is
positively reinforced for the behavior.
-
8/9/2019 Management_009 Motivation & Performance
36/43
13-36© 2006 The McGraw-Hill Companies, Inc. All rights reserved. McGraw-Hill/Irwin
Social Learning TheorySocial Learning Theory
Vicarious Learning (Observational
Learning) Learning that occurs when a learner is
motivated to perform a behavior bywatching another person perform and berewarded.
People are motivated to imitate models who arehighly competent, expert, receive attractivereinforcers, and are friendly or approachable.
-
8/9/2019 Management_009 Motivation & Performance
37/43
13-37© 2006 The McGraw-Hill Companies, Inc. All rights reserved. McGraw-Hill/Irwin
Social Learning TheorySocial Learning Theory
Self-Reinforcement
Any desired or attractive outcome or award that aperson can give himself or herself for goodperformance. “The self-management of behavior”
Self-efficacy A person’s belief about his or her ability to perform
a behavior successfully. Influences motivation both when managers provide
reinforcement and when workers themselves provide it.
-
8/9/2019 Management_009 Motivation & Performance
38/43
13-38© 2006 The McGraw-Hill Companies, Inc. All rights reserved. McGraw-Hill/Irwin
Pay and MotivationPay and Motivation
Pay as a Motivator
Expectancy: Instrumentality, the associationbetween performance and outcomes, must be highfor motivation to be high.
Need Theory: pay is used to satisfy many needs. Equity Theory: pay is given in relation to inputs.
Goal Setting Theory: pay is linked to attainment of
goals. Learning Theory: outcomes (pay), is distributed
upon performance of functional behaviors.
f
-
8/9/2019 Management_009 Motivation & Performance
39/43
13-39© 2006 The McGraw-Hill Companies, Inc. All rights reserved. McGraw-Hill/Irwin
Merit Pay and PerformanceMerit Pay and Performance
Merit Pay Plan
A compensation plan that bases pay on based onindividual, group and/or organization performance.
Individual plan: when individual performance
(sales) can accurately measured.
Group plan: when group that works closely
together is measured and rewarded as a group.
Organization plan: when group or individual
outcomes not easily measured.
S l I B ?
-
8/9/2019 Management_009 Motivation & Performance
40/43
13-40© 2006 The McGraw-Hill Companies, Inc. All rights reserved. McGraw-Hill/Irwin
Salary Increase or Bonus?Salary Increase or Bonus?
Motivational Value of a Bonus Is Higher
When: Salary levels are unrelated to current performance.
Changes in other compensation items (cost of
living, seniority) are not having a large effect inincreasing compensation.
Salaries rarely change and performance does.
Benefits of Using Bonuses Do not become permanent part of compensation
Are more directly tied to current performance Provide more flexibility in distributing rewards
S l I B ?S l I B ?
-
8/9/2019 Management_009 Motivation & Performance
41/43
13-41© 2006 The McGraw-Hill Companies, Inc. All rights reserved. McGraw-Hill/Irwin
Salary Increase or Bonus?Salary Increase or Bonus?
Employee Stock Option
A financial instrument that entitles thebearer to buy shares of an organization’sstock at a certain price during a certain
period of time or under certain conditions. Uses
To attract high-level managersTo motivate employee performance through
ownership in the firm
E l f M it P PlE l f M it P Pl
-
8/9/2019 Management_009 Motivation & Performance
42/43
13-42© 2006 The McGraw-Hill Companies, Inc. All rights reserved. McGraw-Hill/Irwin
Examples of Merit Pay PlansExamples of Merit Pay Plans
Piece-rate Pay
Employee’s pay is based on the number of unitsthat the employee produces.
Commission Pay Employee’s pay is based on a percentage of sales
that the employee makes.
Organization-based Merit Plans Scanlon plan—focuses on reduced expenses or
cutting costs
Profit sharing—employees receive a share of anorganization’s profits
M i E l th t thi d !M i E l th t thi d !
-
8/9/2019 Management_009 Motivation & Performance
43/43
13-43© 2006 The McGraw-Hill Companies, Inc. All rights reserved. McGraw-Hill/Irwin
Movie Example: that thing you do!Movie Example: that thing you do!
What motivates the
members of theband, The
Oneders?