Mgmt 300 - Ch. 12

Practical Lessons from the expectancy theory

1. Get to know your employees so that you can determine what outcomes (rewards) they will value 2. Clearly define the performance levels that employees need to achieve in order to earn rewards 3. Provide separate individual and team-based rewards 4. Prove to employees that you have the power, ability, and willingness to give them rewards

Feedback

How much do you find out about how well you're doing? -Describes the extent to which workers receive clear, distinct information about how well they are performing the job

Integrated Model of Motivation

Personal Factors (personality, ability, emotions, etc.) + Contextual Factors Organizational culture, cross cultural values, group norms, etc.) = Motivation and Employee Engagement

Needs

Physiological or psychological deficiencies that arouse behavior

4 Types of reinforcement

TECHNIQUES TO STRENGTHEN BEHAVIOR: (1) positive reinforcement (applying rewards) - use of positive consequences to encourage desirable behavior (2) Negative reinforcement (withholding unpleasantness) - removal of unpleasant consequences following a desired behavior TECHNIQUES TO WEAKEN BEHAVIOR: (3) Extinction (Withholding Rewards) - wthholding or withdrawing positive rewards for undesirable behavior (4) Punishment (applying negative consequences) - applying negative consequences to stop or change undesirable behavior

Gainsharing

The distribution of savings or "gains" to groups of employees who reduce costs and increase measurable productivity

Profit Sharing

The distribution to employees a percentage of the company's profits

Progression hypothesis

The lowest level of ungratified needs motivate behavior and once a level is satisfied, the person progresses up the hierarchy and focuses on the next level (Maslow's hierarchy of needs)

Motivation

The psychological processes that arouse and direct goal-directed behavior -energy & direction -must be inferred from one's behavior

Behavior modification

The use of reinforcement theory to change human behavior

Regression hypothesis

When people become frustrated by a need that is difficult to attain he or she will drop, or regress, one level lower down the hierarchy and intensify his or her efforts at that lower level (Alderfer's ERG theory)

Why motivation is important

You want to motivate people to: 1. Join your organization 2. Stay with your organization 3. Show up for work at your organization 4. Be engaged while at your organization 5. Do extra for your organization

Stock options

certain employees are given the right to buy stock at a future date for a discounted price

Modern approach to job design

"Fit jobs to people" -assumes people are underutilized at work and that they want more variety, challenges, and responsibility -Techniques: JOB ENLARGEMENT (horizontal loading) -increase # of tasks of similar difficult a worker must perform PRO = can increase variety and motivation CON = positive effects don't last JOB ENRICHMENT (vertical loading) -building into a job such motivating factors as responsibility, achievement, recognition, stimulating work, and advancement PRO = entrusting employees with tasks of higher difficulty or responsibility usually reserved for managers CON = may need additional training

How to use punishment to stop undesirable behavior

(1) Punishment tips that are similar to the best practices for positive reinforcement -punish only exceptionally undesirable behavior -administer punishment as soon as possible -Be clear about what behavior is undesirable (2) Other considerations for using punishment -administer punishment in private -combine punishment with positive reinforcement (remind them they can improve their behavior for rewards)

Applying the job characteristics model

(1) diagnose the work environment to see whether a problem exists -job diagnostic survery -MPS - motivating potential score (the amount of internal work motivation associated with a specific job) (2) Determine whether job redesign is appropriate -Low MPS -Core job characteristic could be the problem (3) Consider how to redesign the job -increase core job characteristics that are lower than national norm

Nonmonetary motivators

(1) flexible workplace (2) thoughtfulness) (3) work-life benefits (blaance work and personal lives - extra time off, alternative scheduling, daycare on-site) (4) surroundings (5) skill-building & educational opportunities (6) sabbaticals - month to a year of paid time off to travel, learn, etc

How to use positive reinforcement to motivate employees

(1) reward only exceptionally desirable behavior (2) give rewards as soon as possible (3) be clear about what behavior is desired (4) have different rewards and recognize individual differences

Process perspectives of motivation

**Concerned with the thought processes by which people decide to act -Tries to understand - Why, What, and How for needs 1. equity theory 2. expectancy 3. goal-setting theory

Maslow's Hierarchy of Needs

*People are motivated by five levels of needs 1. Physiological needs (food) 2. Safety needs (avoid violence) 3. Love needs 4. esteem needs (status, self-respect) 5. self-actualization needs (self-fulfillment-highest need) *Progression hypothesis

Content (need-based) perspectives of motivation

*Theories that emphasize the needs that motivate people 1. Maslow's Hierarchy of needs 2. Alderfer's ERG theory 3. McClelland's Acquired Needs Theory 4. Herzberg's two factor theory

Traditional approach to job design

-"Fit people to jobs" -Assumes that people will gradually adapt to any work situation -Techniques: JOB SIMPLIFICATION - the process of reducing the number of tasks a worker performs -stripping down a job to its simplest elements enables workers to focus on doing more of the same task PRO = increases employee efficiency and productivity CON = repetitive jobs lead to boredom and dissatisfaction

Incentive Motivation

-A wage itself does not give employees much incentive to work hard -Most workers rate having a caring boss higher than they value money -Dissatisfaction with the boss is the #1 reason people leave their job

Goal

-An objective that a person is trying to accomplish through his or her efforts -it is human nature for people to set and strive for goals -SMART goals = specific, measurable, attainable, results-oriented, target dates

Alderfer's ERG Theory

-Assumes that three basic needs influence behavior -consistent with the finding that individual and cultural differences influence our need states -People are motivated by different needs at different times in their lives 1. existence needs (low level) - desire for physiological and material well-being 2. relatedness needs (mid level) - desire to have meaningful relationships with people who are significant to us 3. growth needs (high level) - desire to grow as human beings and to use our abilities to their fullest potential **Different individuals place different weights (or importance) on each of these needs **Regression hypothesis

Operant Conditioning

-BF Skinner -The process of controlling behavior by manipulating its consequences

Contingency Factors

-Degree to which individuals want personal and psychological development: (1) knowledge and skill (2) desire for personal growth (3) context satisfactions

Equity Theory

-Developed by Stacey Adams -Focuses on employee perceptions as to how fairly they think they are being treated compared to others -Employees are motivated to resolve feelings of injustice in subjective comparisons to the rewards that others receive for task performance -3 comparison dimensions: 1. inputs = "What you think you are putting into the job" (time, effort, etc) 2. outputs = (rewards) "What you think you're getting out of the job" (pay, benefits, etc.) 3. Comparison = "How we think our ratio of input to outputs compares to others" (equity or inequity)

Law of Effect

-Edward Thorndike -Behavior that results in a pleasant outcome is likely to be repeated and behavior that results in unpleasant outcomes is not likely to be repeated

Extrinsic Rewards

-Payoff a person receives from others for performing a particular task -money, praise

Herzberg's Two Factor Theory

-Proposed that work satisfaction and dissatisfaction arise from two different factors (work satisfaction from motivating factors, and work dissatisfaction from hygiene factors) -MOTIVATION FACTORS (higher level) - factors associated with job satisfaction which affects the job content or rewards of work performance (recognition, achievement, etc) -HYGIENE FACTORS (lower level) - factors associated with job dissatisfaction which affect the job context in which people work (pay, working conditions, etc.)

Intrinsic Rewards

-Satisfaction a person receives from performing the particular task itself -feeling of accomplishment

McClelland's Acquired Needs Theory

-States that three needs (achievement, affiliation, and power) are major motives determining people's behavior in the workplace -Humans are not born with needs, but rather learn them through life experiences 1. Need for achievement (desire to achieve excellence in challenging tasks) 2. Needs for affiliation (desire for friendly and warm relations with other people) 3. Need for power (desire to be responsible for or control other people)

Goal-Setting Theory

-Suggests that employees can be motivated by goals that are specific and challenging, but achievable -prerequisite for success: people understand and accept the goals 4 Motivational Mechanism: (1) Directing your attention - Focus of goal-relevant tasks and ignore irrelevant ones (2) Regulating the effort expended - exert energy proportionate with the goal's difficulty (3) Increasing your persistence - view obstacles as challenges to surpass, not reasons to fail (4) Fostering use of strategies and actions plans - focus on achieving success

Expectancy Theory

-Victor Vroom -Suggests that people are motivated by 2 things - how much they want something, how likely they think they'll get it -3 key beliefs of expectancy theory (1) expectancy - belief that a particular level of effort will lead to a particular level of performance (2) Instrumentality - the expectation that successful performance of the task will lead to the desired outcome (3) Valence - the value a worker assigns to an outcome

Personal Power

-bad -They need to dominate others, including manipulating others for one's own gratification (McClelland's theory)

Institutional Power

-good -They need to solve problems that further the organization's goals (McClelland's theory)

Nonmonetary needs

-need for work-life balance -need to expand skills -need to mattter

Pay for knowledge

-skill-based pay -employee pay is tied to the number of job relevant skills or academic degrees they earn

Pay for performance

-the merit pay - bases pay on one's results -piece rate = employees paid according to how much output they produce -sales commission = sales reps are paid a percentage of the earnings they company made from their sales

Job Characteristics Model

1. Five core job characteristics (that affect) 2. three psychological states of an employee (that affect) 3. work outcomes (the employee's motivation, performance and satisfaction skill variety, task identity, task significance (characteristics) affect experienced meaningfulness of work (psychological state) Autonomy (characteristic) affects experienced responsibility for work outcomes (psychological state) Feed back (characteristic) affects knowledge of actual results of the work (psychological state) ALL affect high work motivation, high work performance, high work satisfaction, low absenteeism and turnover (work outcomes)

Autonomy

How much discretion does your job give you? -Describes the extent to which a job allows an employee to make choices about scheduling different tasks and deciding how to perform them

4 characteristics of the best compensation plans

1. Rewards must be linked to performance and be measurable 2. Rewards must satisfy individual needs 3. Rewards must be agreed on by manager and employees 4. rewards must be believable and achievable by employees

Cycle of Motivation

1. Unfulfilled need - Desire is created to fulfill a need 2. Motivation - you search for ways to satisfy the need 3. Behaviors - you choose a type of behavior you think might satisfy the need 4. Rewards - Two types of rewards satisfy needs - extrinsic or intrinsic 5. Feedback - reward informs you whether behavior worked and should be used again (back to 1)

Practical lessons from equity theory

1. employee perceptions are what count, not the reality of the situation 2. employee participation helps foster perceptions of equity 3. having an appeal process helps disarm lingering feelings of inequity

Results of Equity theory comparison

1. perceived equity (satisfaction, support organization, cooperate in group settings, won't change behavior) 2. perceive inequity (employees feel resentful, behavior change - reduce inputs, try to increase outputs, distort perception of inequity, change object of comparison, leave situation)

4 Characteristic of Good Goals

1. specific (quantitative when possible) 2. challenging, but achieveable 3. linked to action plans (an action plan outlines the activities or tasks that need to be accomplished in order to obtain a goal) 4. don't have to be set jointly to be effective (can be set by managers, employees, or both together) **Feedback enhances goal attainment

3 traits of great employees

1. they trust management 2. they take pride in their company 3. They have a sense of camaraderie with their colleagues

2 elements and 2 approaches of job design

2 elements: (1) the division of an organization's work among its employees (2) the application of motivational theories to jobs to increase satisfaction and performance 2 approaches: (1) traditional (2) modern

Reinforcement

Anything that causes a given behavior to be repeated

Reinforcement Theory

Attempts to explain behavior change by suggesting that behavior with positive consequences tends to be repeated, whereas behavior with negative consequences tends not to be repeated

Bonuses

Cash awards given to employees who achieve specific performance objectives

Skill Variety

How many different skills does your job require? -describes the extent to which a job requires a person to use a wide range of different skills and abilities

Task identity

How many different tasks are required to complete the work? -describes the extent to which a job requires a worker to perform all the tasks needed to complete the job from beginning to end

Task significance

How many other people are affected by your job? -described the extend to which a job affects the lives of other people, whether inside or outside the organization