Motivating Employees CHAPTER 9 The Future of Business The Essentials 4 th Edition Gitman & McDaniel...
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Motivating Employees CHAPTER 9 The Future of Business The Essentials 4 th Edition Gitman & McDaniel Prepared by Deborah Baker Chapter 9 Copyright ©2009 by South-Western, a division of Cengage Learning. All rights reserved © George Doyle / Stockbyte / Getty Images
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Transcript of Motivating Employees CHAPTER 9 The Future of Business The Essentials 4 th Edition Gitman & McDaniel...
MotivatingEmployees
CH
AP
TE
R 9
The Future of BusinessThe Essentials 4th EditionGitman & McDaniel
Prepared byDeborah Baker
Chapter 9Copyright ©2009 by South-Western, a division of Cengage Learning. All rights reserved
© G
eorg
e D
oyle
/ S
tock
byte
/ G
etty
Imag
es
2
Learning Goals
CH
AP
TE
R 91 What are the basic principles of Frederick
Taylor’s concept of scientific management?
2 What did Elton Mayo’s Hawthorne studies reveal about worker motivation?
3 What is Maslow’s hierarchy of needs, and how do these needs relate to employee motivation?
4 How are McGregor’s Theories X and Y and Ouchi’s Theory Z used to explain worker motivation?
3
Learning Goals (continued)
CH
AP
TE
R 95 What are the basic components of Herzberg’s
motivator-hygiene theory?
6 What four contemporary theories on employee motivation offer insights into improving employee performance?
7 How can managers redesign existing jobs to increase employee motivation and performance?
8 What initiatives are organizations using today to motivate and retain employees?
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What are the basic principles of Frederick Taylor’s concept of scientific management?
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Early Theories of Motivation
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Taylor’s Principles of Scientific Management
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What did Elton Mayo’s Hawthorne studies reveal about worker motivation?
2
The Hawthorne Studies
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Hawthorne Effect
The Hawthorne Effect
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The phenomenon that employees perform better when they feel singled out for attention or feel that management is concerned about their welfare.
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What is Maslow’s hierarchy of needs, and how do these needs relate to employee motivation?
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Maslow’s Hierarchy of Needs
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Maslow’s hierarchy of needs
Maslow’s Hierarchy of Needs
A theory of motivation developed by Abraham Maslow; holds that humans have five levels of needs and act to satisfy their unmet needs.
At the base of the hierarchy are fundamental physiological needs, followed in order by safety, social, esteem, and self-actualization needs.
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How are McGregor’s Theories X and Y and Ouchi’s Theory Z used to explain worker motivation?
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Theories X, Y and Z
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McGregor’s Theory X
The average person dislikes work and will avoid it if possible
People must be controlled, directed, or threatened with punishment
The average person prefers to be directed, avoids responsibility, is unambitious, and wants security
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McGregor’s Theory Y
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Work is as natural as play or rest
Workers can be motivated using positive incentives
The average person seeks out responsibility
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Ouchi’s Theory Z
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Long-term employment
Slow career development
Moderate specialization
Group decision making
Individual responsibility
Informal control over the employee
Concern for workers
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What are the basic components of Herzberg’s motivator-hygiene theory?
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Herzberg’s Motivator-Hygiene Theory
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CONCEPT check
What did Elton Mayo’s studies reveal about employee productivity?
How can a manager use an understanding of Maslow’s hierarchy to motivate employees?
How do the Theory X, Theory Y, and Theory Z management styles differ?
5
166
What four contemporary theories on employee motivation offer insights into improving employee performance?
6
Contemporary Views on Motivation
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Expectancy Theory Managers should do the following to motivate employees: Managers should do the following to motivate employees:
Determine the rewards valued by each employee
Determine the desired performance level and communicate it to employees
Make the performance level attainable
Link rewards to performance
Determine what factors might counteract the effectiveness of an award
Make sure the reward is adequate for the level of performance6
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Equity Theory
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Employees evaluate their outcomes in relation to their inputs and compare to their past experience in… Employees evaluate their outcomes in relation to their inputs and compare to their past experience in…
1. A different position in the current organization
2. A different organization
or…
3. Another employee’s experience inside the organization
4. Another employee’s experience outside the organization
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Employee Choices if an Inequity Exists
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goal-setting theory
Goal-Setting Theory
A theory of motivation based on the premise that an individual’s intention to work toward a goal is a primary source of motivation.
1. Specific goals lead to a higher level of performance
2. More difficult goals lead to better performance
3. Feed back on progress toward the goal enhances performance
Components:
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reinforcement theory
Reinforcement Theory
People do things because they know that certain consequences will follow.
• Positive• Negative• None
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Consequences:
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CONCEPT check
Discuss the three relationships central to expectancy theory.
Explain the comparison process that is a part of equity theory.
How does goal-setting theory contribute to our understanding of motivation?
What are the main elements of reinforcement theory?
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237
How can managers redesign existing jobs to increase employee motivation and performance?
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From Motivation Theory to Application
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Motivational Job Design
Job EnrichmentJob Enrichment
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Work-Scheduling Options
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FlextimeFlextime Employees decide what their work hours will beEmployees decide what their work hours will be
CompressedWorkweek
CompressedWorkweek
Fitting 40 hours into a shorter workweekFitting 40 hours into a shorter workweek
Job SharingJob Sharing Allows two individuals to split the tasks and hours of a workweekAllows two individuals to split the tasks and hours of a workweek
TelecommutingTelecommuting Employees work from home via a linked computer Employees work from home via a linked computer
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Economic Incentives
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CONCEPT check
Explain the difference between job enlargement and job enrichment.
What are the four work-scheduling options that can enhance employee performance?
Are all employees motivated by the same economic incentives? Explain.
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28
What initiatives are organizations using today to motivate and retain employees?
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Trends in Employee Motivation
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Trends in Employee Motivation
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The Rising Costs of Absenteeism
Alternative work arrangements
Ability to leave for children’s school functions
Telecommuting
Compressed work weeks
Top programs for reducing unscheduled absencesTop programs for reducing unscheduled absences
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Turnover
1. Better compensation elsewhere
2. Career opportunities elsewhere
3. Dissatisfaction with potential for career development
Biggest reasons for increasing turnover ratesBiggest reasons for increasing turnover rates
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CONCEPT check
What benefits can an organization derive from training and educational opportunities, and stock ownership programs?
Why are sabbaticals growing in popularity as work-life balance tools?
Why are absenteeism and turnover rates increasing and what is the impact on companies?
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