Organizational behavior: Ch. 5, & 6 (only) Concepts

Maslow's Need Hierarchy

(From the bottom) 1. Physiological 2. Safety 3. Love 4. Esteem 5. Self-Actualization

Influences you perception of feedback

- Accuracy - Credibility of the sources - Fairness of the system - Performance-reward expectancies - Reasonableness of the goals or standards

Contingency approach to defining performance

- Behavioral goals - Treat others with professionalism & respect - Objective goals - Sales quotas, production rates, error rates. - Task or project goals - Complete your portion of the team project by Tuesday

Total rewards perspective

- Compensation - base pay, merit pay, incentives, promotions, and pay increases. - Benefits - health and wellness, paid time off, and retirement - Personal growth - training, career development, and performance management

Using self-determination theory to motivate employees

- Competence (provide tangible resources, time, contacts, and coaching) - Autonomy (delegate meaningful assignments and task to enhance feelings of autonomy) -Relatedness (use fun and camaraderie to foster relatedness)

3 different components of organizational justice

- Distributive justice - Procedural justice - Interactional justice

Essential for applying expectancy theory

- Enhance effort ->performance expectancies - Determine desired levels of performance and set SMART goals - Link rewards to desired outcomes

Two Types of motivation

- Extrinsic - Intrinsic

Key Factors of Rewards: Types of Rewards

- Extrinsic - financial and nonfinancial -Intrinsic - meaningfulness and achievement

Reinforcement Schedules

- Fixed ratio - Variable ratio - Fixed interval - Variable interval

Locke & Latham's Theory of goal setting

- Goals that are specific and difficult lead to higher performance than general like "do your best" or "improve performance" - Certain conditions are necessary for goal setting to work - Performance feedback and participation in deciding how to achieve goals are necessary but not sufficient for goal setting to work. - Goal achievement leads to job satisfaction, which in turn reinforces employees to set and commit to even higher levels of performance

Commonly found Perceptual Errors

- Halo - Leniency - Central tendency - Recency effects - Contrast effects

Job Design

- Historical: Top-Down Approach (management designs jobs) - Recent: Bottom-Up (Employee or work teams design jobs) - Emerging: I-Deals (Employee and Management Design Job)

Herzberg's Motivator-Hygiene Theory: Two Ways to improve satisfaction

- Hygiene factors - "What makes employees dissatisfied" - Motivating Factors - "What makes employees satisfied"

Two Functions of Feedback

- Instructional - Motivational

3 person factors that affect or moderate how individuals respond to job enrichment

- Knowledge and skill - Growth need strength (representing the desire to grow and develop as an individual) - Context satisfactions (representing the extent to which employees are satisfied with various aspects of their job)

Content theories

- McGregor's Theory X and Theory Y - Maslow's need hierarchy theory - Acquired needs theory - Self-determination theory - Herzberg's motivator-hygiene theory

Elements of Equity theory

- Outputs - "What do I perceive that I'm getting out of my job" - Inputs - "What do I perceive that I'm putting into my job" - Comparison - "How does my ratio of outputs to inputs compare with relevant others?"

Best pay-for-performance results

- Paid top performers substantially higher than the other employees - Reduce "gaming" of the system by increasing transparency - Utilized multiple measures of performance - Calibrated performance measures to assure accuracy and consistency

Benefits of job rotation

- Provide employees with a broader perspective of the organization - Increased worker flexibility and easier scheduling, cross-trained to performed different jobs - A vehicle to increase employee's knowledge and abilities (build a pipeline of internal talent)

Key Factors of Rewards: Distributed Criteria

- Results - Individual, group, or organizational performance, quantity, and quality - Behaviors and action - teamwork, risk taking, cooperation and creativity - Nonperformance factors - customary or contractual, equity, tenure, level in hierarchy, rewarded

Job characteristics Model

- Skill variety - Task identity - Task significance - Autonomy - Feedback -Moderators

Guidelines for writing SMART Goals

- Specific - Goals should be stated in precise rather than vague terms. - Measurable - A measurement device is needed to assess the extent to which a goal is accomplished. - Attainable - Goals should be realistic, challenging, and attainable. - Results oriented - Corporate goals should focus on desired end results that support the organization's vision. - Time Bound - Goals specify target dates for completion

Positive reinforcement schedules

- Spot rewards - Variable rewards/bonuses - Celebrations

Types of job crafting

- Task boundaries - Relational nature of one's job - Cognitive crafting

4 types of measures

- Timeliness - Completed on time - Quality - How well was the work done - Quantity - How much - Financial metrics - What were the profits, returns, or other relevant accounting-financial outcomes

Tip for increasing Goal Commitment and Success

- Write your goals down: It helps guard against daydreaming or wishful thinking & provides a record - Identify Key Obstacles and Sources of Support: Be proactive and try to identify what or who might get in your way. - What's in it for YOU?: List the benefits of achieving the goal -Break it down: Is helpful to break them down into smaller, sub-or intermediate goals. Visualize. - Organize: Preparation is key - Reward Yourself: We encourage you to reward yourself both for progress while pursuing your goal

Important drivers of employee engagement and PM

- setting clear expectations - helping employees accomplish work - providing regular feedback - finding new opportunities for employees to succeed and develop

3 Innate needs

1. Competence Needs - "I need to feel efficacious" 2. Autonomy Needs - "I need to feel independent to influence my environment" 3. Relatedness Needs - "I want to be connected with others"

Two General Categories of motivation theories

1. Content theories of motivation (focus on identifying internal factors such as needs and satisfaction that energize employee motivation) 2. Process theories of motivation (focus on explain the process by which internal factors and environment characteristics influence employee motivation) *Process theories are more dynamic than content theories*

3 Desired outcomes from rewards

1. Desired outcome - More of what you intended and for which you are rewarded. 2. Nothing - The reward can have no effect 3. Undesired side-effects - rewards reinforce or motivate the wrong behaviors

5 practical lessons that can be drawn from equity and justice theories

1. Employee perception are what count 2. Employees want a voice in decisions that affect them 3. Employees should be given an appeals process 4. Leader behavior matters 5. A climate for justice makes a difference

3 key elements of Vroom's theory

1. Expectancy - "Can I achieve my desired level of performance" (Effort) 2. Instrumentality - "What intrinsic and extrinsic rewards will I receive if I achieve my desired level of performance" (Performance Goal) 3. Valence - "How much do I value the rewards I receive" (Outcomes)

4 Motivational mechanisms

1. Goals direct attention 2. Goals regulate effort 3. Goals increase persistence 4. Goals foster the development and application of task strategies and action plans

3 practical applications of the Herzberg Theory

1. Hygiene first - eliminate dissatisfaction 2. Motivation Next 3. A few well-chosen words

Why managers care about motivation

1. Join the organization 2. Stay with the organization 3. Be engaged at work 4. Perform organizational citizenship behaviors (OCBs) 5. Help others

Common Uses of Performance Management

1. Make employee-related decisions (performance can be used to justify a pay raise 2. Guide employee development (by assisting in identifying your strengths and weaknesses) 3. Send strong signals to employees (what they are supposed to do)

3 Basic needs

1. Need for achievement 2. Need for affiliation 3. Need for power

Important Sources of Feedback

1. Others ( peers, supervisors, outsiders) 2. Task (ready source of objective feedback 3. Self (you)

Two types of Goals

1. Performance goal 2. Learning goal

Using Acquired Needs Theory to Motivate Employees

1. Set goals 2. Provide feedback 3. Administer rewards 4. Assign tasks 5. Design the job

Feedback for executive or high-level managers

1. They can seek feedback from others by creating an environment in which employees feel they can be honest and open 2. Separating feedback from the performance review process also helps, especially for executives who typically are not reviewed formally if at all. 3. They can create a mechanism to collect feedback anonymously.

3 practical implications of the job characteristics model

1. This model can be used to increase employee job satisfaction 2. Managers can enhance employees' intrinsic motivation and performance, while reducing absenteeism and stress, by increasing the core job characteristics 3. Managers are likely to find noticeable increases in the quality of performance after a job redesign program.

Key Factors of Rewards: Desired Outcomes

Attract Motivate Retain Develop Engage

Performance management links to

Individual Team Organizational

Effective Performance Management

Step 1: Defining performance - Set goals and communicate performance expectations Step 2: Monitoring and evaluating performance - Measure and evaluate progress and outcomes. Step 3: Reviewing performance - Deliver feedback and coaching Step 4: Provide consequences - Administer valued rewards and appropriate punishment

Goal-Setting Process

Step A: Set Goals (SMART) Step B: Promote goal commitment Step C: Provide support and feedback Step D: Create action plans

Key Factors of Rewards

Types of Rewards Desired Outcomes Distribution Criteria