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					 Chapter 6

Work Motivation

  Michael A. Hitt
  C. Chet Miller
 Adrienne Colella

   Slides by R. Dennis Middlemist
Knowledge Objectives

1. Define work motivation and explain why it is important
   to organizational success.
2. Discuss how managers can use Maslow’s need
   hierarchy and ERG theory to motivate associates.
3. Explain how Herzberg’s two-factor theory of
   motivation has influenced current management
4. Describe how need for achievement, need for
   affiliation, and need for power relate to work
   performance and motivation.
Knowledge Objectives
5. Discuss the application of expectancy theory to
6. Understand equity theory and procedural justice, and
   discuss how fairness judgments influence work
7. Explain how goal-setting theory can be used to
   motivate associates.
8. Describe how to enrich jobs and how job enrichment
   can enhance motivation.
9. Based on all theories of work motivation, describe
   specific actions that can be taken to increase and
   sustain employee motivation.

   Motivation
    –   Forces within a person
    –   Willful direction, intensity, and persistence of
        the person’s efforts
    –   Achieving specific goals not due to
          Ability
          Environmental   demands

   Person’s level of performance is a function (f)
    of both ability and motivation:
        Performance = f (Ability x Motivation)
   Theories of Motivation
    –   Content theories
    –   Process theories
Content Theories: Need Hierarchy
      Satisfied Needs
                                      Unsatisfied to
                         People motivated by desire Needs
                         satisfy specific needs, arranged in
                         a hierarchical order of Self-

                                          Esteem Needs

                                           Social and
                                      Belongingness Needs

                               *Lower level needs must be
                                          Safety Needs
                                 satisfied before a person
                                  can be motivated by
                                       Physiological Needs
                                     higher level needs
    Maslow’s Need Hierarchy
  Content Theories: ERG Theory

                              Actualization                                             Growth Needs

                            Esteem Needs

                            Social and                                                  Relatedness
                       Belongingness Needs                                                Needs

                             Safety Needs
                                                                                       Existence Needs
                        Physiological Needs
                                                                                       Alderfer’s ERG
                  Maslow’s Need Hierarchy                                                  Theory
Adapted from: Exhibit 6-1 Maslow’s Need Hierarchy and Alderfer’s ERG Theory Compared
Content Theories: ERG Theory

   Two differences between Maslow’s and
    Alderfer’s theories
    –   Notion of prepotency is not fixed in ERG theory
            May become concerned about a higher order need before
             lower order need is satisfied
            May still have strong desire to satisfy lower order need,
             even when the higher order need seems most important
    –   Even when a need is satisfied, it may remain as the
        dominant motivator if the next need in the hierarchy
        cannot be satisfied (frustration-regression process)
Content Theories: Achievement,
Affiliation, and Power

   People with a high need for achievement
    –   Prefer to set their own goals
    –   Set goals of moderate difficulty, but that are achievable
    –   Like to solve problems rather than leave the results to chance
    –   Are more interested in achieving the goal than in the
        associated rewards
    –   Prefer situations in which they receive regular, concrete
        feedback on their performance
    –   Are positive thinkers who find workable solutions to life’s
        hurdles and challenges
    –   Take a strong personal responsibility for their work
Content Theories: Achievement,
Affiliation, and Power

   People with a high need for affiliation
    –   Have a strong desire to be liked and to stay on good terms
        with most other people.
    –   Tend not to make good managers because they often treat
        different people in different ways (for example, may apply
        inconsistent rules)
    –   Are more concerned with initiating and maintaining personal
        relationships than with focusing on the task at hand
Content Theories: Achievement,
Affiliation, and Power

   People with a high need for institutional power
    –   Are concerned about the functioning of the organization and
        have a desire to serve others
    –   Are controlled in their exercise of power
   People with a high need for personal power
    –   Desire to influence others for their own personal gain
    –   Are more impulsive in exercising power
    –   Show little concern for other people
    –   Are focused on obtaining symbols of prestige and status (such
        as big offices)
Content Theories: Achievement,
Affiliation, and Power Conclusion
   People with a high need for institutional power are
    particularly good at
    –   Increasing morale
    –   Creating clear expectations
    –   Getting others to work for the good of the organization
   People high in need for achievement
    –   Take responsibility for their own work and require short-term
    –   Are reluctant to delegate work to others and to be patient in
        working toward long-term objectives
   Effective managers have both a high need for
    achievement and a high need for institutional power
Two-Factor Theory

   Focuses on the rewards or outcomes of
    performance that satisfy individuals’ needs
   Job satisfaction and dissatisfaction are not
    opposites ends of the same continuum but are
    independent states
   Job factors leading to satisfaction are different
    from those leading to dissatisfaction, and vice
Two-Factor Theory
When increased, lead             When deficient, lead to
to greater satisfaction          greater dissatisfaction
        Motivators                      Hygienes
 Achievement                     Salary
 Recognition                     Technical supervision
 Responsibility                  Working conditions
 Opportunity for advancement     Company policies,
 or promotion                    administration, and procedures
 The work itself                 Interpersonal relationships with
 Potential for personal growth   peers, supervisors, and
Process Theories:
Expectancy Theory

   Three factors affect decision to exert effort
    –   Expectancy
            Subjective probability that effort will lead to performance
    –   Instrumentality
            Subjective probability that a given level of performance will
             lead to certain outcomes
    –   Valence
            An Individual’s expected satisfaction associated with each
             outcome resulting from performance
  Expectancy Theory

    Force = Effort E                     Performance   I1        Outcome 1   V1
      E = Subjective probability that                       I3 Outcome 2     V2

         effort will lead to performance                       Outcome 3     V3
      I = Subjective probability that
         performance will lead to various
      V = Valence = Expected
         satisfaction with each outcome
      Motivational Force = E C S(I C V)

Adapted from Exhibit 6-2 Expectancy Theory
Process Theories:
Expectancy Theory

   To increase motivation
    –   Heighten expectancy by increasing associates’
        beliefs that exerting effort will lead to higher levels of
        performance (training, support)
    –   Increase instrumentalities by clearly linking high
        performance to outcomes (pay for performance)
    –   Increase valence by providing outcomes that are
        highly valued (provide rewards employees desire)
Process Theories: Equity Theory

   Motivation is based on a person’s assessment
    of the ratio of the outcomes or rewards (pay,
    status) he receives for input on the job (effort,
    skills) compared with the same ratio for a
    comparison other
          My Outcomes vs. Other’s Outcomes
           My inputs       Other’s Inputs
Process Theories: Equity Theory
              My Outcomes       Other’s Outcomes
         IF                 =
               My inputs         Other’s Inputs
Employees may
  –   Increase or decrease inputs
  –   Change their outcomes
  –   Distort their perceptions of inputs and/or outcomes
  –   Distort perceptions of other’s inputs and/or
  –   Change the referent others
  –   Leave the organization
Procedural Justice

                  Based on          Formal
                   accurate        grievance
                 information      procedures

       free from                           Ethical code

                                               Treated with
 Voice in the                                       Given
  decision                                       reasons for
  process                                         decisions
Goal-Setting Theory

   Goal-setting theory
    –   Difficult and specific goals increase human
        performance because the affect effort, persistence,
        and direction of behavior
            Goal difficulty
            Goal specificity
            Goal commitment
            Participation in setting goals
            Feedback
  Factors Affecting Goal Commitment
         Exhibit 6-3                     Factors Affecting Goal Commitment
    Factors Increasing the Desirability of Attaining a Given Goal
    1.    The goal is set by an appropriate authority figure.
    2.    Rewards and punishments are tied to goal attainment (or failure).
    3.    The goal fosters a sense of self-achievement and potential for development.
    4.    The goal assigner is perceived as trustworthy.
    5.    The goal assigner is supportive and promotes self-efficacy.
    6.    Peer models are committed to the goal.
    7.    The goal assigner provides a rationale for the goal.
    8.    The goal provides a challenge to prove oneself and meets ego needs.
    9.    The goal is public.
    Factors Increasing the Perceived Ability of Attaining a Given Goal
    1.    There is high self-efficacy on the task.
    2.    There are successful role models
    3.    The task is not impossibly difficult
    4.    Expectancy for success is high.
    5.    There is competition with others.

Exhibit 6-3: Factors Affecting Goal Commit ment
       Motivating Associates: Integration of Theory
  Exhibit 6-4                   Motivation Practices Resulting from Motivation Theories
                                                           Motivation Practices
Motivation                     Find Meaningful Tie Rewards Redesign Provide  Clarify
Theories                       Individual      to          Jobs     Feedback Expectations
                               Rewards         Performance                   and Goals
Need Hierarchies               X                            X        X

McClelland’s Needs X                                   X       X          X          X

Herzberg’s                                                     X
Two-Factor Theory

Expectancy Theory               X                      X                  X          X

Equity Theory                   X                      X                  X          X
Goal-Setting Theory                                    X                  X          X

     Exhibit 6-3: Factors Affecting Goal Commit ment
Motivating Associates: Integration of Theory

   Tie individual rewards to individual needs
    –   Individuals differ on what they find “rewarding”
    –   Tailor individual rewards to individual needs
    –   Do not overemphasize extrinsic rewards
   Tie rewards to performance
    –   Performance is difficult to measure
    –   Managers may lack flexibility in determining rewards
    –   Intrinsic rewards may work when extrinsic rewards
        are unavailable
Motivating Associates: Integration of Theory

   Redesign jobs
    –   Job enlargement: add tasks of equal complexity to
        increase variety and use of skills
    –   Job enrichment: make jobs more motivating by
        increasing responsibility
            Skill variety
            Task identity
            Task significance
            Autonomy
            Feedback
Motivating Associates: Integration of Theory

   Provide feedback
    –   In conjunction with goals
    –   Repeat at regular intervals
    –   Provide information as to how performance can be
    –   Come from a credible source
    –   Focus on the performance, not the person
Clarify Expectations and Goals
   Motivating potential of goals
   Align individual goals with organizational goals
   Management by Objectives
    –   Together, the supervisor and associate establish the
        associate’s short-term performance goals
    –   Regular meetings are held to discuss the associate’s progress
        in meeting the goals
    –   Checkpoints and benchmarks are established to measure the
        associate’s progress
    –   A discussion is held at the end of some time period to evaluate
        the associate’s accomplishment of the goals

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