MGMT chp 6

Be familiar with the three need theories we discussed in class (Maslow's hierarchy of needs; Alderfer's ERG theory, and McClelland's Acquired Need theory).

1. Maslow's Hierarchy of needs: Humans have innate needs that motivate them in a hierarchical manner where lower level needs must be satisfied before higher level needs are activated. 2. Alderfer's ERG theory: builds on Maslow's theory by combining some of the needs and replacing prepotency with frustration-regression. 3. McClelland's Acquired Needs theory: This theory differs in one significant way from the previous two. It suggests that people are not born with needs but develop them during early life experiences. People can develop needs for all of these but usually one is dominant leading to variances in behavioral tendencies.

1. What are the three components of performance? What are the three components of motivation? What is the role of engagement?

3 components of performance: Motivation, Ability, Opportunity 3 components of motivation: Direction of effort, Intensity of effort, and Persistence of Effort. The role of Engagement: Engagement is more or less a synonym for high levels of intensity and persistence in work effort. Employees who are engaged completely invest themselves and their energies into their jobs.

Be familiar with expectancy theory including the three main components, how those components can be influenced by organizations, and how you can predict performance based on the theory.

3 main components: expectancy, instrumentality, and valence. How can those components be influenced by organizations: ??? We can predict performance by following the motivational force equation: (expectancy) X (Instrumentality X Valence) = motivation ^^^ It doesn't matter how confident you are if performance doesn't result in any outcomes. similarly, it doesn't matter how well performance is evaluated and rewarded if you don't believe you can perform well.

What makes a goal an effective one? Which of the main components of motivation is the focus of goal setting?

A goal must be difficult and specific. SMART goals are effective: Specific Measurable Achievable Results-based Time-sensitive Goal setting is primarily focused towards DIRECTION of effort.

What are the various ways that organizations apply motivational concepts in compensation systems? Be familiar with how each relates to creating a clear goal and connecting the individual's performance to outcomes.

A. Piece-rate: specified rate is paid per unit produced or sold. Effective in manufacturing. B. Merit Pay: increase base pay permanently based on performance in the previous evaluation period. C. Lump-sum Bonus (Incentive): one-time payment based on meeting pre-determined goals. D. Recognition Awards: tangible or intangible awards given on an impromptu basis to recognize achievement. E. Gainsharing: a team-based approach to rewarding employees for achieving goals related to outcomes controlled by employees such as defects, time to complete the activity, safety, and resource use. F. Profit sharing: bonus is paid to employees based on the performance of the organization. G. Effectiveness: 1. Does the method provide a difficult and specific goal for the employee? 2. Can the employee see a connection between their performance and their outcomes taking into account equity and instrumentality?

What is the primary focus of equity theory? How is it determined?

Equity Theory: The equity suggests that employees create a "mental ledger" of the outcomes (or rewards) they get from their job duties. The equity theory acknowledges that motivation doesn't just depend on your own beliefs and circumstances but also what happens to OTHER people. Equity theory argues that you compare your ratio of outcomes and inputs to the ratio of some COMPARISON OTHER, some person who seems to provide an intuitive frame of reference for judging equity.

What are the reactions to inequity and how do they differ in relation to positive and negative inequity?

Equity: no actions needed Underreward inequity: grow your outcomes by talking to your boss or by stealing from the company, or you could shrink your inputs by lowering the intensity of persistence of effort. Overreward Inequity: shrink your outcomes (this is highly unrealistic), or you could grow your inputs through some more high quality work or through some cognitive distortion.

What is the difference between extrinsic and intrinsic motivators? Be familiar with examples of each. Why is money so important?

Extrinsic motivation: motivation that is controlled by some contingency that depends on task performance. Ex: pay, promotions, bonuses, praise, job security Intrinsic motivation: motivation that is felt when task performance serves as its own reward. Ex: enjoyment, accomplishment, knowledge gain Money is so important because it is relevant to many of our needs. Money also conveys a sense of esteem because it signals that employees are competent and well regarded.

What is the role of goal difficulty, feedback, task complexity, and goal commitment in the effectiveness of goal setting? What influences goal commitment?

Goal difficulty results in higher levels of performance than assigning no goals or easy goals. Feedback: If you can't measure yourself or others you have nothing to score yourself against. Imagine trying to beat a high score but your own score is hidden from you. Task Complexity: increasing task complexity decreases the effect of goal difficulty on motivation. Goal commitment: when goal commitment is high, assigning specific and difficult goals will have significant benefits for task performance. What influences goal commitment: rewards, publicity, resources, participation, support

How does motivation relate to job performance and organizational commitment?

Motivation has a strong positive effect on Job performance Motivation has a moderate effect on organizational Commitment.

What is psychological empowerment and what four beliefs make it up?

Psychological empowerment: this represents a form of intrinsic motivation, in that merely performing the work tasks serves as its own reward and supplies many of the intrinsic outcomes. Psychological empowerment is an energy rooted in the belief that work tasks contribute to some larger purpose. 4 beliefs: meaningfulness, self-determination, competence, impact

What are the various comparisons that people could make? What are the different personality types in relation to equity theory?

Various comparisons: a. Job equity: compare yourself to someone doing the same job in the same organization. b. Company equity: Compare yourself to someone doing a different job in the same organization. c. Occupational equity: Compare yourself to someone doing the same job in a different organization. d. Educational equity: Compare yourself to someone with the same level of education. e. Age equity: compare yourself to someone of the same age. different personality types: a. Sensitives: follow the theory as stated. b. Benevolents: comfortable with lower ratio; givers c. Entitleds: must have higher ratio; takers