Organizational Behavior: Chapter 6 Motivation

Profit Sharing

- organization-focused - a bonus is received when the publicly reported earning of a company exceed some minimum level, with he magnitude of the bonus contingent on the magnitude of the profits. - occurs from profitability

Lump-sum bonuses

a bonus is received for meeting individual goals but no change is made to base salary,

Instrumentality (Expectancy Theory)

- If I perform well, will I receive outcomes? - represents the belief that successful performance will result in some outcome ex.) if I study very hard for this test I will receive an A.

Persistence of Effort (motivation)

- Motivation determines for how long- the persistence of effort. - How long are you going to work on the task? - For five hour or five minutes? - Motivation decides how long you want to work on a task.

Intensity of effort (motivation)

- Motivation determines how hard an employe works- the intensity of effort - How hard are you going to work on the task? - As hard as you can, or only half-speed? - essentially how much energy are you going to put in.

Direction of Effort (motivation)

- Motivation determines what employees do at a given moment- the direction in which their effort is channeled. - "what are you going to do right now?" - are you going to do the assignment, check social networks, or surf the web, what are you motivated to do?

Goal Setting Theory

- views goals as the primary drivers of the intensity and persistence of effort - goals are defined as the objective or aim of an action and typically refer to attaining a specific standard of proficiency, often within a specified time limit.

What are sources of Self Efficacy?

- Past Accomplishments - Vicarious Experience - Verbal Persuasion - Emotional Cues - these sources are then utilized to: - analyze the task requirements - assess your personal and situational resources. - after conducting the analysis and assessment and utilizing your sources you can now rate your level of self-efficacy for the task.

Needs (valence)

- What makes something "positively valenced?" - outcomes are deemed more attractive when they help satisfy needs - needs can be defined as cognitive groupings or clusters of outcomes that are viewed as having critical psychological or physiological consequences. - different people have different need hierarchies -

Self-efficacy

- a factor that shapes expectancy. - defined as the belief that a person has the capabilities needed to execute the behaviors required for task success. - related to self-confidence or a task-specific version of self-esteem - employees who feel more "efficacious" for a particular task will tend to perceive higher levels of expectancy- and therefore be more likely to choose to exert high levels of effort.

Goal Commitment (Goal Setting Theory)

- a moderator - defined as the degree to which a person accepts a goal and is determined to try to reach it. - When goal commitment is high, assigning specific and difficult goals will have significant benefits for task performance.

Task Complexity (Goal setting theory)

- a moderator - reflects how complicated the information and actions involved in a task are, as well as how much the task changes. - the effects of specific and difficult goals are twice as strong on simple tasks than on complex tasks.

Feedback (goal setting theory)

- a moderator - which consists of updates on employee progress towards goal attainment.

Verbal Persuasion

- a source of self efficacy - friends, coworkers, and leaders can persuade employees that they can "get the job done"

Emotional Cues

- a source of self-efficacy - feelings of fear or anxiety can create doubts about task accomplishment, whereas pride and enthusiasm can bolster confidence levels.

Vicarious Experiences

- a source of self-efficacy - by taking into account their observations and discussions with others who have performed such tasks. - they've seen others perform it, so they either know they can do it or not.

Past accomplishments

- a source of self-efficacy. - the degree to which they have succeeded or failed in similar sorts of tasks in the past. ex.) I have aced the pasts two exams, I should be able to ace this exam as well.

Equity Theory

- a theory that states that people will be motivated when they perceive that they are being treated fairly - acknowledges that motivation doesn't just depend on your own beliefs and circumstances but also on what happens to other people.

Equity Distress (equity theory)

- an imbalance in ratio triggers equity distress - an internal tension that can only be alleviated by restoring balance to the ratios. - usually causes counterproductive behaviors

Self-Set Goals (Goal Setting Theory)

- by assigning specific and difficult goals, it shapes people's own self-set goals - which are the internalized goals that people use to monitor their own task progress. - basically by assigning high level goals. employees will realize how to set decent goals for themselves.

Competence (psychological empowerment)

- captures a person's belief in his or her capability to perform work tasks successfully. - identical to self-efficacy - these people believe they can execute the particular behaviors needed to achieve success at work.

Meaningfulness (psychological empowerment)

- captures the value of a work goal or purpose relative to a person's own ideals and passions. - when a task has values that you value, you might find it easier to concentrate on that task and get excited about it.

Company Equity

- compare yourself to others in the same company, but in different jobs, with similar levels of responsibility and working conditions

Age Equity

- compare yourself to others the same age.

Educational Equity

- compare yourself to others who have attained the same education level.

External Comparisons (equity theory)

- comparing yourself to someone in a different company.

Internal Comparisons (equity theory)

- comparing yourself to someone in the same company.

Expectancy Theory

- describes the cognitive process that employees go through to make choices among different voluntary responses. - argues that employee behavior is directed toward pleasure and away from pain or, more generally, toward certain outcomes and away from others. - The choices depend on three specific beliefs that are based in our past learning and experience: expectancy, instrumentality, and valence.

Effects of Motivation on Organizational Commitment

- equity has a moderate positive effect on organizational commitment. - People who experience equity tend to feel higher levels or affective and normative commitment.

Comparison Other (equity theory)

- equity theory argues that you compare your ratio of outcomes and inputs to the ratio of some comparison other. - which is some person who seems to provide an intuitive frame of reference for judging equity.

Motivational Force (expectancy theory)

- expectancy, instrumentality, and valence = motivational force. - E -> P X [(P-->O)XV] - motivational force equals zero if any one of the three beliefs is zero.

How do you decide which outcome would be most attractive to employees?

- first: realize that the attractiveness of many rewards varies across cultures. - ex.) giving a gift card in some cultures could be seen as a bribe. - second: employees underestimate how powerful a motivator pay is for them.

What are the three moderators of Goal Setting Theory?

- goal commitment - task complexity - feedback

specific and difficult goals (goal setting theory)

- goal setting theory argues that by assigning specific and difficult goals to employees it will result in higher levels of performance than assigning no goals, easy goals, or "do your best" goals. - specific goals gives people a number to shoot for. "a measuring stick" - difficult goals increase task performance because when goals are easy there is no reason to work your hardest or your longest. As goals become more difficult, the intensity and persistence of effort become maximized. - therefore, a difficult goal is one that stretches employees to perform at their maximum level while staying within the boundaries of their ability.

What happens when the comparison result of equity theory results in overreward inequity?

- grow your inputs through more high quality work, or through some cognitive distortion. - which is where you think my inputs must be better than the other person's inputs.

What happens when the comparison result of equity theory results in under reward inequity?

- grow your outcomes by talking to your boss or by stealing from the company - shrink your inputs by lowering the intensity or persistence of effort.

Expectancy (Expectancy Theory)

- if I exert a lot of effort, will I perform well? - represents the belief that exerting a high level of effort will result in the successful performance of some task. - ex.) If I work very hard, I will finish the inventory count in time.

What does it mean to be equitably treated according to equity theory, and how do employees respond to inequity?

- if the ratio of outcomes to inputs is balance between you and your comparison other then you feel a sense of equity. - employees respond to inequity by either changing their inputs or outcomes.

Money and Diversity

- men are more likely to view money as representing achievement, respect, and freedom than are women. - employees with higher salaries are more likely to view money in achievement-related terms - younger employees are less likely to view money in a positive light.

Meaning of Money

- money is relevant to many needs. - people differ in how they view the meaning of money. - which is the degree to which they view money as having symbolic, not just economic value. -three dimensions: achievement (money symbolizes success). respect (money brings respect in one's community) and freedom (money provides opportunity)

Effects of Motivation on Job performance

- motivation has a strong positive effect on job performance. - People who experience higher levels of motivation tend to have higher levels of task performance.

Extrinsic Motivation

- motivation that is controlled by some contingency that depends on task performance - bonuses, promotions, praise, pay, job security, etc.

Intrinsic Motivation

- motivation that is felt when task performance serves as its own reward - enjoyment, interestingness, accomplishment, knowledge gain, skill development, personal expression, etc.

What happens when the comparison result of equity theory results in equity?

- no actions are needed

Self-determination (psychological empowerment)

- reflects a sense of choice in the initiation and continuation of work tasks. - employees with high levels of this can choose what tasks to work on, how to structure those tasks, and how long to purse those taks.

Psychological Empowerment

- reflects an energy rooted in the belief that work tasks contribute to some larger purpose. - a form of intrinsic motivation, in that merely performing the work tasks serves as its own reward. - four concepts: meaningfulness self-determination competence impact

Impact (psychological empowerment)

- reflects the sense that a person's actions "make a difference" that progress is being made toward fulfilling some important purpose. - polar opposite of this is "learned helplessness" the sense that it doesn't matter what a person does, nothing will make a difference. - managers can instill a sense of impact by celebrating milestones along the journey to task accomplishment.

Rank the motivating forces by strongest effect on job performance

- self-efficacy/ competence - difficult and specific goals - the motivational force created by high levels of valence, instrumentality, expectancy - perceptions of equity

Cognitive Distortion (equity theory)

- simply rethinking your inputs- reexamine your mental ledger to see if you may have undersold your true contributions. - occurs when ooerreward happens between you and the comparison other. - this allows you to restore balance mentally, without altering your behavior in anyway.

Task Strategies (Goal Setting Theory)

- specific and difficult goals also trigger the creation of task strategies. - which are defined as learning plans and problem-solving approaches used to achieve successful performance. - basically goals motivate people to work both harder and smarter.

S.M.A.R.T. Goals

- stands for: - Specific - Measurable - Achievable - Results-based - Time-sensitive

Engagement

- synonymous with high levels of intensity and persistence in work effort. - People who are "engaged" completely invest themselves and their energies into their jobs. - Outwardly, engaged employees devote a lot of energy to their jobs, striving as hard as they can to take initiative and get the job done. - Inwardly, engaged employees focus a great deal of attention and concentration on their work, sometimes becoming so absorbed, involved, and interested in their tasks that they lose track of time. - low levels of engagement can be contagious, crossing over from one employee to the next. - 30 percent of employees are engaged ( a stable statistic over the past decade).

Job Equity

- the most powerful drive of citizenship behavior. - compare yourself to to others doing the same job in the same company, with similar levels of education, seniority and performance.

Occupational Equity

- the most powerful driver of employee withdrawal - compare yourself to others doing the same job in other companies, with similar levels of education, seniority, and performance.

Gainsharing

- unit-focused - a bonus is received for meeting unit goals for criteria controllable by employees. - occurs from Productivity

Valence (Expectancy Theory)

- will the outcomes be satisfying? - Will I value the outcomes? - reflects the anticipated value of the outcomes associated with performance. - I do something because I value not getting in trouble I do something because I value the bonus bestowed for good performance. - Employees are more motivated when successful performance helps them attain attractive outcomes, such as bonuses, while helping them avoid unattractive outcomes, such as disciplinary actions.

Recognition awards

Tangible awards (gift cards, merchandise, trips, special events, time off, plaques) or intangible awards (praise) are given on an impromptu basis to recognize achievement

Merit Pay

an increase to base salary is made in accordance with performance evaluation ratings

Motivation

a set of energetic forces that originates both within and outside an employee, initiates work-related effort, and determines its direction, intensity, and persistence. - motivation is not one thing but rather a set of distinct forces. (both internal and external)

Piece-rate

a specified rate is paid for each unit produced, each unit sold, or each service provided

Commonly studied needs in OB

existence: physiological, safety - the need for the food, shelter, safety, and protection required for human existence. Relatedness: love, belongingness - the need to create and maintain lasting, positive, interpersonal relationships. Control: autonomy, responsibility - the need to be able to predict and control one's future. Esteem: self-regard, growth - the need to hold a high evaluation of oneself and to feel affection and respected by others. Meaning: self-actualization - the need to perform tasks that one cares about and that appeal to one's ideals and sense of purpose.

Strategies for Fostering Goal Commitment

rewards: - tie goal achievement to the receipt of monetary or nonmonetary rewards. Publicity: - publicize the goal to significant others and coworkers to create some social pressure to attain it. support: - provide supportive supervision to aid employees if they struggle to attain the goal. participation: - collaborate on setting the specific proficiency level and due date for a goal, so that the employee feels a sense of ownership over the goal. resources: - provide the resources needed to attain the goal and remove any constraints that could hold back task efforts.

What two qualities make goals strong predictors of task performance, according to goal setting theory?

specific and difficult