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                      Motivation                     Equilibrium
Energizes Behavior
 Deprivation/                                 Satisfaction         Need
                  Directs Behavior
                     Organization of Effort
                     Reaching Equilibrium                Drive

                                       Sustains Behavior
                                        Maintaining motivation
                                        Ability to change course
                                        Importance of Feedback
              Motivation: Its Basic
               Direction    Maintenance      Goal

 Desire to                                  Good
make a good   Work extra hard   Persist   impression
impression                                  made

       Need Theories: A Comparison
           Growth needs

           5. Self-actualization needs
                                         • Growth needs
           4. Esteem needs
   Deficiency Needs

   3. Social needs                             • Relatedness needs

   2. Safety needs
                                                 • Existence needs

   1. Physiological needs

Maslow’s need hierarchy theory             Alderfer’s ERG theory
            ERG Theory
           Relatedness Needs

Existence Needs                 Growth Needs

  Discussion: Considering these
 theories, how might companies
     motive their employees
• What types of incentives would motivate
• How can employers satisfy employees’
• Would the same type of incentives or
  rewards satisfy all employees?
              Goal Setting
People’s Behavior is Guided by Intentions
  • Goals provide direction    Specific goals
    are more effective
  • Goals mobilize behavior Difficult goals
    generate more effort
  • Feedback about goal attainment sustains
                               GOAL SETTING: SOME IMPRESSIVE EFFECTS
Percentage of Maximum Weight

     Carried on Each Trip

                                80                                     Performance at the goal level
                                                                      was sustained seven years after
                                70                                         the goal was first set

                                60                    There was a dramatic
                                                       improvement in per-
                                50                    formance after a goal
                                                             was set

                                     1 2 3    4 5 6 7 8 9 10 11 12                               Seven
                                                                                               Years Later
                                     Before   After Goal
                                      goal                 Four-Week Periods

            Goal Commitment

 Publically stated goals
                            Commitment to
       High nAch
Internal Locus of Control
    Goal Setting Applications

• Management by Objectives (MBO)
  – Performance review procedure by which employees
    and managers jointly make goals for next review
    period. They also work out the details for reaching
    those goals. Performance is regularly monitored.
• Organizational Behavioral Management (OBM)
  (remember learning theory?)
  – Application of goal setting (or other behavioral science
    technology) to change the behavior of large units within
    the organization
     • Logging example
        Distributive Justice:
      Perceptions of how fairly
       rewards are distributed
 Theory 1: Exchange Theory

     If Inputs = Outputs       Satisfaction

Effort,          Rewards       O
Motivation,      Bonus             =1
Performance,     Promotions    I
Skills,          Pay Raise
Expertise        Recognition
Theory 2: Equity Theory --
Compare I/O ratios to others
Self          Other

Outcome       Outcome
          =                    Satisfaction
Input         Input
              Examples of Equity
1.                          2.
  Self    Other                  Self        Other

  4       4                      4           8

  4       4                      4           8

3. Self   Other    4.                            5.
                        Self         Other            Self   Other

     4    4             4            8                2      4

     2    2             2            4                4      8
       Examples of Inequity
1. Underpayment = Self O/I < Other O/I
                  Self    Other
                  4       8

                  4       4

2. Overpayment = Self O/I < Other O/I

                   Self    Other
                   4       2

                   4       4
                    A SUMMARY

                                     TYPE OF REACTION
                        Behavioral                        Psychological
Type of Inequity   (what you can do is...)           (what you can think is...)
Overpayment        Raise your inputs (e.g., work     Convince yourself that your
inequity           harder), or lower your outcomes   outcomes are deserved
                   (e.g. work through a paid         based on your inputs (e.g.,
                   vacation)                         rationalize that you work
                                                     harder than others and so
                                                     you deserve more pay)
Underpayment       Lower your inputs (e.g., reduce   Convince yourself that oth-
inequity           effort), or raise your outcomes   ers’ inputs are really higher
                   e.g., get a raise in pay)         than your own (e.g., ration-
                                                     alize that the comparison
                                                     worker is really more quali-
                                                     fied and so deserves
                                                     higher outcomes)
                                                 Employee Theft: A Reaction to Underpayment
                                                       Employees of the factories in which there was a pay cut
                                                       Employees of the factories in which there was no pay cut
percentage of unaccounted for loss of property

                                                                                               Employee theft was
                                                   8                                           greatest in factories
                                                                                                whose employees
                                                   7                                            experienced a cut
                                                                                                   in their pay.
                 Theft Rate

                                                            Theft rates were                  Theft rates were
                                                   5        identical before                 identical after pay
                                                             pay was cut in                    was restored to
                                                   4          one of them.                     normal levels.




                                                              Before              During                  After
                                                             Pay Cut              Pay Cut                Pay Cut       15
           Procedural Justice
• Perceived fairness of the processes by
  which organizational decisions are made
  – Voice: giving employees a say in how decisions
    are made
  – Error correction: allow opportunity for errors to
    be corrected
  – Consistently apply rules and policies
  – Bias suppression
         Interactional Justice
• Quality of interpersonal treatment (by
  supervisor) when decisions are made and
  – Information justification: thoroughness of
    information received about at decision
  – Social sensitivity: amount of dignity and
    respect demonstrated in the course of
    presenting an undesirable decision.
 Applications of Justice Theories
• Employee Selection
• Pay systems
  – Two-tier wage structures
  – Pay secrecy
• Participative Decision Making
• Downsizing
        Expectancy Theory

People will be motivated to engage in
a behavior (make a choice) to the
degree that they believe that the
behavior will lead to a valued outcome
            Expectancy Theory: An
   Effort                           Skills and
              Expectancy             abilities

Performance       X
                Instru-                              Job
               mentality   Motivation            Performance
 Rewards          X
              Valence of
               Rewards           Role perceptions
                                 and opportunities

         Expectancy Model:
Expectancy:       The degree to which you
                  expect that hard work (effort)
                  will lead to good performance
                  or high accomplishments
Instrumentality: The perception that if you
                  perform well you will be
Valence:          How much do you value the
                  rewards you may receive
         Expectancy Theory, con’t
  • Force: the motivation to choose a
    particular course of action.
         Force  E (V * I )
Where:   E= Expectancy (probability that effort leads to
         V=Valence (rating of how satisfying various rewards
         will be)
         I=Instrumentality (relationship between taking this
         option and gaining this reward)
Example: Choose between Job A vs.
             Job B
• 1. What are the possible outcomes I would get
  from getting a job, and how much do I value each
  of these outcome (Valence)
   – Good salary                      7
   – Good Pension                     6
   – Interesting work                 8
   – Travel opportunities             4
   Valences are measured on a scale from 1 (not at all
     satisfiying) to 10 (extremely satisfying)
        Expectancy example, cont
 • Instrumentality: What is the relationship
   (subjective correlation) between choosing
   job A or job B and obtaining this outcome?
               Instrumentality   Instrumentality
               for Job A         for Job B
High salary            .75       .50
Good Pension .         .25       .75
Interesting work       .50       .75
Travel                 .75       .25
    Expectancy example, con’t
• Expectancy: What is the probability that if I
  work hard, I will be successful:
  – In Job A:         .40
  – In Job B:         .70
    Force: Which job should I choose
                     Force  E(V * I )
Job A:             Valence       Instrum.        V*I
High salary          7           .75             5.25
Good Pension         6           .25             1.50
Interesting work     8           .50             4.00
Travel               4           .75             3.00
                                          Sum    13.75
                                 Expectancy      .40
                         Force=.40(13.75) =      5.5
Job B.             Valence      Instrum.        V*I
High salary          7          .50             3.50
Good Pension         6          .75             4.50
Interesting work     8          .75             6.00
Travel               4          .25             1.00
                                         Sum    15.00
                                Expectancy      .70
                        Force=.70(15.00) =      10.5
    Application of Expectancy
• Clarify expectancies between effort and
  performance and follow through with
  – Pay for performance
  – Stock option plans and other incentive
• Provide valued rewards
  – Cafeteria-style benefits
   Motivating Jobs Through Job
• Scientifically managed jobs: boring,
  repetitive, few skills utilized
• Job Enlargement: add more tasks of similar
  skill level to the job Horizontal Loading
• Job Enrichment: add more responsibility
  and autonomy to the job Vertical Loading
                            Job Enlargement and Job Enrichment: A Comparison
                                                                                                       Enlarged Job

                                                         Level of Responsibility
                                                          (vertical job loading)
                                                                                         Job enlargement adds more tasks
                                                                                         at the same level of responsibility.

                                                                                             Task       Task       Task        Task
Level of Responsibility

                                                                                                         2          3           4
 (vertical job loading)

                               Standard Job               (low)
                                                                                     (low)             Number of Tasks           (high)
                                                                                                    (horizontal job loading)
                                                         Level of Responsibility
                                 Task     Task            (vertical job loading)       Enhanced Job
                                  1        2                                                                        Job enrichment adds
                                                                                                                     more responsibility
                                                                                                                    to the same number
                          (low) Number of Tasks (high)                                       Task       Task
                              (horizontal job loading)
                                                                                                                          of tasks.
                                                                                              1          2

                                                                                   (low) Number of Tasks (high)
                                                                                      (horizontal job loading)
       Job Characteristics model
Job Characteristics    Critical Psyc. States     Job Outcomes

Skill Variety           Experienced            Internal work

Task Identity   }
Task Significance
                        Meaningfulness of
                                               Job satisfaction
                        Responsibility for     Satisfaction
Autonomy                work outcomes          Low absenteeism
                                               High quality
Feedback                Knowledge of           performance

                      Growth Need Strength
      Enriching Jobs: Some Suggestions From
           the Job Characteristics Model

Principles of Job Description                             Core Job Dimensions

1. Combines jobs enabling worker to perform               Skill variety
   the entire job                                         Task identity

2. Establishes client relationships allowing providers    Skill variety
   of a service to meet the recipients                    Autonomy

3. Load jobs vertically allowing greater responsibility   Autonomy
   an control over work

4. Open feedback channels giving workers knowledge Feedback
   of the results of their work