MGT345 EXAM 2

McClelland's Acquired Needs Theory

•states that three needs - achievement, affiliation, and power - are major motives determining people's behavior in the workplace

Resolution strategies

•Alter inputs •Alter outcomes •Changing CO •Acting on CO •Cognitively distorting the situation •Leaving the field •LEADER ACTIONS: Restore Perception of Equity!

What is Motivation?

•Motivation has been defined as "what a person does (direction), how hard a person works (intensity), and how long a person works (persistence).

Practical Lessons from Equity Theory

1.Employee perceptions are what count 2.Employee participation helps 3.Having an appeal process helps

Patty prefers working alone, is comfortable taking moderate risks, and feels good when accomplishing a goal. Patty probably has a: A.High need for achievement B.High need for affiliation C.High need for power D.Low need for achievement

A, High Need for Achievement

Last year, Diana's boss promised her a big bonus if she met her goals. At the end of the year, after Diana had exceeded her goals, she found her bonus was very small. In the future, Diana's _____ will probably be ____. A.Valence; low Instrumentality; low B.Expectancy; low C.Expectancy; high

B; Expectancy, low

Benefits of team diversity

BEST TO USE WHEN YOU NEED DIFFERENT VIEWPOINTS •Diversity in teams can increase flexibility, creativity, and problem solving. •A meta-analysis of team diversity and team performance found having members with diverse skill sets and backgrounds enhances team creativity and innovation. Specifically, differences in functional expertise, education, and organizational tenure were most related to team performance. •A second meta-analysis of 108 studies in 10,632 teams found cultural diversity leads to process losses through task conflict. Effective team leaders credit diversity for being a key reason for team creative outputs that directly impact organizational success. There is some evidence that diversity training enhances creativity. •An experimental study compared the creativity of teams that attended nationality diversity training to teams that did not have the training (controls). Results of the study indicated that for teams with less positive diversity beliefs, diversity training increased creative performance when the team's nationality diversity was high.

Using Herzberg's Two-Factor Theory

Using two-factor theory to motivate employees Managers should first eliminate dissatisfaction making sure that working conditions, pay levels, and company policies are reasonable Hygiene factors •factors associated with job dissatisfaction which affect the job context in which people work Motivating factors •factors associated with job satisfaction which affects the job content or the rewards of work performance

Functions of team mental models

•Allow team members to interpret information similarly •Shared expectations concerning the future •Develop similar reasoning as to why something happens

Goal-Setting Theory

Edwin Locke developed what is called the goal-setting theory. The idea behind this theory is that goals that are specific and effectively difficult can lead to higher performance if they include self-generated feedback. A difficult goal will help the individual to focus and direct attention as well as energize them to work harder. The difficulty of the goal will increase persistence and force people to be more effective and efficient. The relationship between goals and performance depends on how committed the individual is to the goal as well as how specific the tasks are. Most of the research has been done in the United States so the applicability of this theory to other cultures is suspect.

More about Herzberg's Two-Factor Theory

Herzberg's Two-Factor theory is another one of the earlier developed theories. This theory sets forth that satisfaction and dissatisfaction are not opposites, but two separate ideas. There is a set of factors that when present will help to avoid dissatisfaction in workers. This elements of this group are called hygiene factors and include such things as salary, working conditions, and company policies. There is another set of factors that will help to cause satisfaction in workers. The elements of this group are called motivators and include things such as growth, responsibility, and achievement. These sets are distinct, and the presence of hygiene factors does not cause satisfaction; it just helps avoid dissatisfaction

Team Charter

Like a fraternity/ sorority •Team purpose are clarified and expectations for behavior are set forth •Misunderstandings should be fewer and team members can be reminded of the group's norms

Team purpose

Shared purpose Specific goal Feedback process Team charter

Facts about the Hierarchy of needs

The Hierarchy of Needs Theory was developed by Abraham Maslow in the 1950s. His theory states that with every individual there is a hierarchy of five needs. As each need is met or satisfied, the next need becomes dominant. His theory posits that individuals are stuck in their existing need level until it is satisfied, and then they can move on to the next level. For example, until their safety needs are met they will not be able to move on to the social level. The organization of these need levels may vary across cultures

Early theories of Motivation

There are a number of theories of motivation that help us gain a better understanding of the concept. Some of the earlier theories are not entirely valid anymore, but they are still used by many managers

What is a team?

•A team is a small number of people with complementary skills who are committed to a common purpose, performance goals, and an approach for which they hold themselves mutually accountable •Numerous definitions of teams appear in the literature. •An influential book, The Wisdom of Teams, defines a team as follows: "A team is a small number of people with complementary skills who are committed to a common purpose, performance goals, and approach for which they hold themselves mutually accountable." (Katzenbach, J. R., & Smith, D. K. (1993). The wisdom of teams: Creating the high-performance organization. New York, NY: Harper Business. p. 45) •Another often-cited research definition of a team is: (a) Two or more individuals who; (b) socially interact (face-to-face or, increasingly, virtually); (c) possess one or more common goals; (d) are brought together to perform organizationally relevant tasks; (e) exhibit interdependencies with respect to workflow, goals, and outcomes; (f) have different roles and responsibilities; and (g) are together embedded in an encompassing organizational system, with boundaries and linkages to the broader system context and task environment. (Kozlowski, S. W. J., & Ilgen, D. R. (2006). Enhancing the effectiveness of work groups and teams. Psychological Science in the Public Interest, 7, 77-124. p. 79) •These definitions reflect evidence-based research that has shown that teams engage in social interaction, members depend upon one another, and are part of larger systems (i.e., organizations). Also, research has shown that commitment to a common goal and performance strategies enhances performance. Finally, team members must accept relevant team goals and make a commitment to being accountable for them.

Five Dysfunctions of a team

•Absence of Trust •People don't want to be vulnerable •Need to be open about mistakes and weaknesses •Fear of Conflict •Guarded comments •Everything wonderful •Lack of Commitment •No buy in •Avoidance of Accountability •Inattention to Results •Put individual needs above group

Performance Management methods

•BARS--Behaviorally Anchored Rating Scales •Ranking •Graphic rating scale •Frequent discussions/monthly "reviews" •Providing more frequent feedback rather than once a year •It is best to avoid rating traits such as having a positive attitude since they may not relate to actual performance. Most organizations use a standard form to evaluate employee performance. There may be an overall global rating for performance, but there are also specific dimensions that are rated. These ratings are typically on a graphic rating scale having multiple points along a continuum. •Another approach is to use behaviorally anchored rating scales (BARS) in which a vertical scale is presented with specific examples of performance provided. •Some organizations use a forced-ranking method in which all employees in the work group are ranked relative to one another. This approach was made famous by Jack Welch at GE, where he committed to firing the bottom 10% of the workforce each year. Even if the bottom 10% is not fired, such forced ranking systems may make managers uncomfortable and create a culture of competition.

Once Brainstorming is completed

•Capture all the ideas •Prioritize them •Discuss key ideas •Decide on a course of action

The pygmalion Effect: Leader-set high expectations

•Communicate high expectations to followers in four ways: •Create a warmer emotional climate •Teach more and increase challenge •Invite followers to ask questions •Provide feedback on performance •Leaders in organizations can communicate high expectations to followers in the following four ways: 1.Create a warmer emotional climate. 2.Teach more and increasingly challenging. 3.Invite followers to ask questions of clarification. 4.Provide feedback on performance.

Teams arent always the answer

•Complexity of Work: Can the work be done better by more than one person? •Common Purpose: Does the work create a common purpose or set of goals for the people in the group that is more than the aggregate of individual goals? •Interdependence: Are the members of the group interdependent?

Storming

•Confrontation of other's ideas and perspectives • •Can be painful and unpleasant, especially for those who struggle with conflict • •Tolerance must be emphasized • •Need to be mindful to not allow this stage to get out of hand •Most complex and difficult stage to navigate through Sometimes, storming can be resolved quickly while in other situations, teams may never leave the storming stage Can be destructive to team and lower motivation is gets out of control Supervisor need to be accessible but remain directive so that team members resolve their own differences and learn to be comfortable in sharing own ideas. Miracle on Ice - 21:20-23:35 (fight between two players and intro) 40:02-46:35 (puking doing lines)

Norming

•Decides on one goal and plan • •Idea that need to give up own ideas and work toward a common goal together • •No longer focused on the "I" but on the success of the overall team The group can begin to move into norming before storming has been completed Easy to move back to storming and norming based on outside factors (i.e. new situations arise, change in outside climate, etc.) Miracle on Ice 51:30-53:04; (Working together as a team) 1:01:02-1:03:46 (going to coach)

team norms

•Defined as informal and interpersonal rules that team members are expected to follow •May be explicit or implicit

Consensus

•Discussing ideas and deferring final decision until everyone can say they have been heard and will support the final decision

Multi-Voting

•Display the list of options •Number (or letter) all items •Decide how many items must be on the final list •Working individually, each member selects five items •Tally the votes •If a decision is clear, stop •Repeat Steps 4 and 5 until decision reached

8 Ideas for better teamwork

•Each person should give their best - norms •If you see a problem, it's yours - weakest link •Any form of attempting to be right is NOT helpful •Give up judgement - it can lock you into a problem •Take charge of your emotions - no one can make you feel anything •Blame no one - win win •Trust others - be vulnerable "Choosing to risk making something you value vulnerable to another's actions" (Feltman, 2009) •Help is always available - not a weakness!

Nominal Group Technique

•Each team member writes ideas on 3x5 cards •Each member presents one idea to the team. Cards collected and redistributed randomly to team first •Discussion continues until all ideas heard / recorded •Team discusses ideas and asks clarification questions •Each team member silently ranks ideas independently. Highest ranking item is team decision

Equity Theory Ctnd.

•Equity theory suggests employees who perceive inequity will make one of six choices: 1.Change inputs 2.Change outcomes 3.Distort perceptions of self 4.Distort perceptions of others 5.Choose a different CO 6.Leave the field Leaders must to something to help them restore their perception of equity

Social Learning Theory

•Extends operant conditioning •People can learn from watching other people succeed or fail. •Known as observational learning (or modeling) •Social learning theory introduced the social element into how people acquire new skills and described the ways that people learn by watching other people. •Known as observational learning (or modeling), this form of learning explains much behavior in organizations. Second, external reinforcements are not the only factors that influence motivation. Intrinsic reinforcement is related to pride, satisfaction, and a sense of accomplishment in learning something new. Social learning theory considers people's thoughts as well as their perceptions of others (a social cognitive theory). •While reinforcement theorists maintained external rewards create permanent behavioral changes, social learning theory proposes that people can learn things but not necessarily change their behavior.

Job Characteristics Theory

•Five core dimensions of the job characteristics theory: •Skill variety-•The extent to which people use different skills and abilities at work. The employee is not doing the same repetitive tasks over and over. •Task identityThe task is one that people experience from beginning to end. In other words, they identify with an entire work product •Task significance•The degree to which the job is seen as having an impact on others. The work does something good for society. •AutonomyThe employee has the freedom to plan and perform his or her own work. The employees have discretion about their work and are not intensely supervised •Feedback•The job provides information on how effective the employee's work is. Just doing the work itself provides performance feedback.

Feedback Seeking

•Five patterns of feedback seeking: •How frequently people seek feedback •How they seek it (e.g., observing, comparing, asking) •The timing •Who they ask for feedback from (e.g., the boss) •What they ask for feedback about (e.g., successful completion of a task)

Nonmonetary Ways of Motivating Employees

•Flexible workplace •Thoughtfulness •Work-life benefits •Surroundings •Skill-building & educational opportunities •Sabbaticals The most common non-monetary incentive is the flexible workplace Companies need to offer employees a means of balancing their work and their personal lives Companies need to create a work environment that is conducive to productivity Companies can help employees build their skills by developing "shadowing" programs and offering tuition reimbursement Offering sabbaticals to long-term employees gives people a change to recharge themselves

Goal Setting

•For goals to motivate employees, they must have certain properties. These goal-setting principles can be remembered with the acronym SMART for specific, measurable, actionable, relevant, and time-based goals.

Tuckmans five models

•Forming •Members feel much uncertainty •Storming •Lots of conflict between members of the group •Norming •Members have developed close relationships and cohesiveness •Performing •The group is finally fully functional •Terminating/Adjourning •In temporary teams/groups, characterized by concern with wrapping up activities rather than performance

Tuckman's Five-stage Model

•Forming--clarify purpose and ground rules •Storming--address conflict and maintain focus on purpose •Norming--remind followers of ground rules and address deviations •Performing--celebrate successes along the way to reaching the goal •Adjourning--arrange a celebration to recognize the team's accomplishments

Goal-Setting Theory cntd.

•Goals increase performance when goals are: Specific Difficult, but accepted by employees Accompanied by feedback: self-generated feedback is best •SMART Specific Measurable Achievable Realistic Time Based •Contingencies in goal-setting theory Goal commitment: public goals better Task characteristics: simple and familiar is better National culture: Western culture suits best

The pygmalion effect: Expectations and low performance

•Golem Effect--Expectations may also work in the opposite direction, where lower expectations lead to lower performance •Bosses can "kill" followers' motivation by having low expectations

Compare and Contrast Maslow's Hierarchy with McClelland's need theory

•Herzberg's Two-Factor Theory relates lower and higher order needs and relates them to Job Satisfaction. This is also called the "motivator-hygiene theory" and sought to answer the question of what people really want from their work. •When people think about what makes them dissatisfied with work, they think of things like supervision, pay, company policies, and the working conditions, which are called "hygiene." On the other hand, when people think of what satisfies them, they are more likely to think of things like advancement, recognition, and achievement, called "motivators." Hygiene factors can only bring a person's satisfaction to the level of "no dissatisfaction" (in other words, they stop complaining about their pay). To motivate people, leaders need to focus on the motivators such as providing people with a sense of achievement.

McClelland's High Achievers

•High achievers prefer jobs with: nPersonal responsibility nFeedback nIntermediate degree of risk (50/50) •High achievers are not necessarily good managers •High nPow and low nAff is related to managerial success

Performing

•High performing teams • •Able to accomplish goals effectively without destructive conflict • •Supervisors are now able to take on a participative leadership role

Does Trust Impact Team Performance?

•How much time do you spend building trust with your team members? •New research shows that leaders would do well to spend more time creating trusting partnerships among team members. •A meta-analysis of 112 studies representing over 7,700 teams found that the degree to which team members trust one another increases team performance (achieving shared goals). Trust makes a significant difference. This study also revealed how trust works and the team situations when it matters most. Trust within a team setting reduces the feelings of vulnerability that members experience and this helps them to work more effectively together to achieve team goals. In other words, when trust is present, team members are more likely to admit they don't know something, and critique one another's ideas. They are more likely to share creative ideas and resolve conflict. But the opposite holds true as well. When there is a lack of trust, people are more defensive and work at odds with the team goals. They also avoid criticism and don't provide constructive feedback. This defensiveness impairs the team from optimal functioning. The findings of this study are summarized in Figure 10.1 above.

Self-determination Theory

•Intrinsic motivation is a function of a person's needs for autonomy and competence •The problem is that rewards may have conflicting effects (i.e., the person sees a monetary reward as both controlling and informational) •Intrinsic motivation is a function of a person's needs for autonomy and competence in the theory of self-determination (also known as cognitive evaluation theory). Autonomy is the need to work alone without constant surveillance. Competence is the sense of mastery an employee has over their job. •The effects of a reward depend on how the person views the reward's effect on their autonomy and competence. Rewards that diminish these perceptions tend to decrease intrinsic motivation. The issue with extrinsic rewards like money is that such rewards might be interpreted by employees as controlling by the boss rather than indicators of their competence. If the reward is seen as controlling, then the individual's need for autonomy is challenged, and this undermines intrinsic motivation. If a reward is seen as useful feedback and informational, then it increases motivation. •For example, setting limits for employees could be seen as either informational or controlling depending on the relationship with the boss. Managers can create a climate of trust that alters whether a person views their rewards as controlling or good feedback. •For example, a leader can communicate a pay raise without compromising motivation by emphasizing the informational aspect of the raise as valuable feedback rather than just money.

Equity Theory

•focuses on employee perceptions as to how fairly they think they are being treated compared to others •Inputs, outputs, comparison •CO Who is the comparison other? •My inputs •Their inputs •My outcomes •Their outcomes

Intrinsic Vs Extrinsic rewards

•Intrinsic motivation is when someone works on a task because they find it interesting and gain satisfaction from the task itself. •Extrinsic motivation involves the performance to outcome instrumentality between the task and a tangible reward. Satisfaction does not come from the task itself but rather from the extrinsic outcome to which the activity leads (e.g., working extra hours to earn a bonus). •Work should be set up in a manner so effective performance leads to both intrinsic and extrinsic rewards to produce job satisfaction. There are other sources of motivation in addition to intrinsic and extrinsic such as the enhancement of self-concept and the degree to which a person internalizes the goals of the organization.

Job Characteristics Theory Cntd.

•Job Characteristic Theory-designed jobs give internal rewards •Individual's growth needs are moderating factors •Motivating jobs must •Be autonomous •Provide feedback •Have at least one of the three meaningfulness factors •Job Characteristics Theory creates motivational jobs as they are designed to give internal rewards. •Positive outcomes are moderated by individual growth needs as each individual will respond differently. •In order for the jobs to increase motivation there should be a high degree of autonomy, feedback and a least one meaningfulness factor such as significance, identity, or variety. •Note that because the JCT is relatively individualistic, job enrichment strategies might not have the same effect in collectivistic cultures as they do in individualistic cultures like the United States.

Work Redesign and Job Stress

•Job rotation--periodic shifting of an employee from one task to another •Job enrichment--increasing the degree to which the worker controls the planning, execution and evaluation of their work •Job Crafting •The extent to which individuals can demonstrate initiative in designing their own work

Leadership Implications: Motivating with Rewards

•Leaders motivate followers with •Frequent feedback •Proper rewards •Implementing a fair and rewarding compensation system •Leaders play an important role in managing follower motivation and performance. •Research has shown that the relationship between and leader and follower (i.e., LMX) is an important factor in the performance appraisal process. •Leaders need to pay close attention to the extent to which followers perceive that the performance appraisal process is procedurally fair. •Leaders should ask their followers how they feel about the organization's performance appraisal procedures and practices on an informal basis. Suggestions for improving the process should be taken seriously. •Knowing reinforcement and social learning basics is essential to understanding how reward systems operate in organizations

Team Effectiveness

•Leaders must measure output to determine effectiveness •Output can be defined differently •Team effectiveness has a number of dimensions. The input-process-output model defines the different aspects of team effectiveness. •First, input refers to the individual characteristics of team members (e.g., skills and abilities) and the resources they have at their disposal. Inputs may also refer to knowledge and personality. •Process is the second aspect of team effectiveness and refers to how the team interacts. Examples of process include team development and patterns of participation. Also, trust, cross-training, and coordination relate to team effectiveness., •Third, the most obvious measure of team effectiveness is team output--the collective work product generated from the team (team performance). Output has three components: (1) performance as rated by those outside of the team, (2) how well team member individual needs are met, and (3) the willingness of team members to stay on the team.

Extrinsic Motivation

•Life should be fair •Equity theory - social comparison •Expectancy theory

Minimizing Group Think

•Limit group size (≤10) •Encourage group leaders to actively seek input from all members and avoid expressing their own opinions •Appoint a "devil's advocate" • •YOUR JOB AS A LEADER IS TO MINIMIZE THIS

Implications for Managers

•Make sure extrinsic rewards for employees are not viewed as coercive, but instead provide information about competence and relatedness. •Consider goal-setting theory. Clear and difficult goals often lead to higher levels of employee productivity. •Consider reinforcement theory regarding quality and quantity of work, persistence of effort, absenteeism, and accident rates. •Consult equity theory to help understand productivity, satisfaction, absence, and turnover variables. •Expectancy theory offers a powerful explanation of performance variables such as employee productivity, absenteeism, and turnover.

Management By Objectives

•Management by objectives (MBO): Converts overall organizational objectives into specific objectives for work units and individuals •Common ingredients: Goal specificity Explicit time period Performance feedback Participation in decision making An implementation of the goal-setting theory is Management by Objectives, better known as MBO. MBO is a systematic way to utilize goal-setting theory in which goals are set jointly by managers and employees. The goals must be tangible, verifiable, and measurable in order to be effective. The manager helps to break down the organizational goals into smaller, more specific goals for the employee. In order for MBO to be effective, the goals must be specific, the employees must participate in the goal setting, there must be a defined time period, and feedback must be incorporated into the process.

The Meaning of Money

•Money has symbolic meaning for employees, and it represents nonmonetary aspects of life such as achievement, success, competence, autonomy, security, and power. Some people feel that money may even bring many friends. Employees pay attention to money and compare what they make to their peers. Perceived pay inequity motivates employees to take action, and compensation is often the focus of employee grievances and lawsuits regarding fairness. •Nobel laureate George Akerlof, a pioneer in the field of behavioral economics, found that "gifts" are viewed as acts of kindness by an employer, which carries more meaning than cash.

More about McClellands Three Fundamental Needs

•Most of McClelland's research was on nAch. There is some research support for the idea that people who have a higher need to achieve do perform at higher levels and people with a higher nAch may be more successful entrepreneurs. However, a high need to achieve is not necessarily related to being an effective leader since those with higher nAch may be more interested in their own attainment rather than coaching others to succeed. •McClelland's theory has received more research support than other need theories; however, the application of the theory to motivate followers is limited because these needs are believed to be learned at a young age (in other words, it may not be possible to increase an adult's nAch).

Leadership Implications: Who will lead?

•Motivation to Lead (MTL)--An individual differences construct that affects a leader's decisions to assume leadership training, roles, and responsibilities and that affect his or her intensity of effort at leading •Three basic reasons based on Motivation to Lead: •Affective-Identity MTL:1.the natural tendency to lead others, reflects the value an individual places on a leadership role and most directly reflects leadership self-efficacy and experience. For example, how would you answer the question, "most of the time I prefer to be a leader rather than a follower when working in a group"?•Social-Normative MTL: -the tendency to lead because of a sense of duty or responsibility, is associated with general attitudes towards social norms. For example, how would you answer the question, "I feel that I have a duty to lead others if I am asked"?•Non-Calculative MTL: 1.where people agree to lead without calculating the costs and benefits of assuming leadership, is associated with an individual's level of altruism. For example, how would you answer the question, "I am only interested in leading a group if there are clear advantages for me"? (if your answer is no, you tend to have a higher non-calculative MTL)

McClelland's Three Fundamental Needs

•Need for achievement (nAch)--the drive to succeed at high levels •Need for power (nPow)--the need to influence others to do what you want •Need for affiliation (nAff)--the need for close personal relationships

Team Diversity Challenges

•Not all team processes translate cross-culturally. One study surveyed members of 461 self-managed work teams (SMWTs) in four countries: the United States, Finland, Belgium, and the Philippines Resistance to self-managed work teams (SMWTs) was affected by cultural values of collectivism and power distance. •Collectivism is group orientation and power distance is respect for authority. Also, the degree of determinism (i.e., the belief that "people should not try to change the paths their lives are destined to take") affected reactions to the implementation of SMWTs. •Employees in the Philippines were significantly more likely to reject self-management compared to employees in the United States. Caution should be exercised when implementing SMWTs and other forms of participation in countries with high power distance. •Individuals in high power distance cultures respect authority and expect the leader to have all the answers. They may be confused by a leader who asks for their input and make the attribution that the leader is not competent to make the decision alone. Similar reactions to the offer of participation might be found in Russia and Mexico., Participation in countries with high power distance may not be appropriate, and managers should check cultural assumptions before offering participation to multicultural teams. •Diversity presents a challenge to the team leader in that there is a greater need to manage conflict. But it appears to be worth the effort since benefits can be realized through increased creativity and satisfaction in diverse teams.

Why are teams so popular?

•Over the last decade we have seen the use of teams grow exponentially in organizations. There are a number of reasons why this is true. Teams can enhance the use of employee talents and tend to be more flexible and responsive to change. Teams can help to keep employees engaged in their work and increase their participation in decision making, thus increasing their motivation. However, teams are not always effective, and so it is important to take a look at how to deploy teams effectively.

Team Decision-Making Option

•Participation in decisions •Brainstorming •Consensus •Multi-voting •Nominal group technique •Stepladder

Problems with performance reviews

•Perceptions of bias in the process •Fear of punishment •Time consumed by the process •Employees don't like negative feedback •Employees may tune out the boss once the rating is known •There are issues related to performance appraisals that a leader needs to know about. Some employees view the appraisal process as unfair and showing favoritism. Others may fear the appraisal process and view it as punitive. There are perceptual biases that may affect the rater's ability to accurately rate follower performance. These errors have been shown by research to affect the performance rating process. In addition, there may be a tendency for a rater to be too lenient (or too strict) in their ratings. They might have a central tendency error in which they rate all dimensions of performance as average (e.g., rating every dimension as 3 on a 5-point scale). Cultural values such as power distance and collectivism may influence how a rater assesses the performance of another person. Performance appraisals should be supported by training for those making the ratings to avoid these errors and increase sensitivity to the perspectives of employees from different cultural backgrounds.

The Pygmalion Effect

•Perceptions sometimes result in a self-fulfilling prophecy in which high expectations of performance by leaders actually create conditions in which followers succeed •Pygmalion effect boosts performance by leaders raising their expectations of followers

Performance Managment

•Performance management is essential for the determination of compensation and other outcomes such as promotions. But there are other objectives that are equally important. •The performance management session is an opportunity to regularly discuss an employee's performance and results. The leader can identify the follower's strengths, weaknesses, and areas for improvement. •The process supports pay equity in which followers are paid according to their inputs and results, and it supports a climate of organizational justice. •Performance management, thus, provides essential feedback for followers. Importantly, it can recognize exceptional performance and document weak performance. Also, it can lead to effective goal setting for future performance and identify training that may be needed to improve skills. •Most organizations use the performance management process for compensation decisions, and performance improvement as well as to provide feedback to employees.

Context factors in team success

•Presence of adequate resources •Effective leadership and structure •Climate of trust in the team •Performance evaluation and reward system that reflects team contributions Understanding the context is important for teams to be effective. The team needs the right resources to do the job well. Members also need effective leadership and structure to facilitate a process that will help the team succeed. It is important that teams fit together, so they can successfully utilize the individual skills present in the group. Trust is also an important aspect of teams and essential for group cohesiveness, as we have seen previously. Finally, the reward system needs to be equitable and based on team contributions.

Stepladder

•Present the task •Two-member discussion •Add one member •Repeat by adding one member at a time •Final decision by consensus

Team Creativity and Innovation

•Processes and outcomes of developing new ideas for innovation •Encompasses what team members do behaviorally •Communication of new ideas •Positive behaviors of leaders •Team creativity involves both processes and outcomes of developing new ideas for innovation. •Team creativity encompasses what team members do behaviorally, cognitively, and emotionally as they define problems, generate ideas, and attempt new ways of doing their work. •Communication of new ideas and sharing information with diverse others leads to higher creativity. •The sharing of information increases team innovation, and this is facilitated by the leader being positive. The positive behaviors of leaders should be directed at individuals, but also at the entire team. Expressing positive affect supports being a transformational leader, and stimulates creativity both in the team as well as in individuals. Also, shared team goals result in higher creativity.

Punishment

•Punishment is the presentation of an adverse event or outcome that causes a decrease in the behavior it follows. There are two kinds of punishment: 1.Punishment by application is the presentation of an unpleasant event or outcome to weaken the response it follows (e.g., writing a letter to an employee's file for failing to meet a deadline). 2.Punishment by removal (also called extinction) is when a pleasant event or outcome is removed after a behavior occurs (e.g., withholding praise when an employee does not perform well).

Social Loafing

•Reduction in motivation and effort when individuals work collectively compared with when they work individually or coactively •Occurs in larger teams

Regulatory Focus Theory

•Regulatory Focus Theory (RFT) is an alternative approach to understanding how individuals strive to meet their goals. •According to RFT, individuals who are promotion-focused are oriented toward growth and development, and becoming their ideal. •In contrast, individuals who are prevention-focused are oriented toward the things they feel that have to do and focus on their job responsibilities. It's important to ensure that the person's regulatory orientation (i.e., whether they are promotion- or prevention-focused) fits the situation they are in. •For example, a promotion-focused person will want to be provided with goals that stretch their abilities. Promotion-focused individuals have a need for achievement, focus on advancement, and set learning goals. •In contrast, a person who is prevention-focused would be stressed out by such stretch goals and should be given goals that are within their job description. A prevention focus is a tendency to aim for getting to an end because of a fear of an undesirable alternative. Prevention-focused individuals are vigilant and careful, emphasize fears, focus on avoiding threats, and set prevention goals. The motivating force of a prevention focus is the avoidance of pain.

Positive Reinforcement vs Negative Reinforcement

•Reinforcement is any event that strengthens or increases the behavior it follows. Skinner's research found there are "reinforcers" that increase behavior and those that decrease behavior. The two kinds of reinforcement that increase behavior are as follows: 1.Positive reinforcement is a favorable event or outcome presented after the behavior (e.g., praise or a bonus). 2.Negative reinforcement is the removal of an unpleasant event or outcome after the display of a behavior (e.g., ending the daily criticism when an employee shows up for work on time).

Reinforcement Theory

•Reinforcement theory is based upon the law of effect, which states that past actions that lead to positive outcomes tend to be repeated, whereas past actions that lead to negative outcomes will diminish. The law of effect led to the development of operant conditioning (sometimes referred to as reinforcement theory). •In this approach to motivation, individual personality, thoughts, and attitudes don't motivate behavior. Instead, the emphasis in operant condition is on the environment. •The goal of reinforcement theory is to explain learned behavior. B. F. Skinner is the psychologist most associated with this approach, and he conducted experiments with animals to understand how behavior could be shaped by setting up systems of rewards and punishments. These rewards (or punishments) were contingent on the response of the animals he studied (probably the most well-recognized studies are those of rats who were taught to run mazes through the shaping of their behavior with pellets of food as rewards).

Solution to problems with performance reviews

•Reward for the results AND the behaviors •This way, desired results are achieved, and the proper behaviors occur •Reduces potential unethical or harmful behavior •For example, in profit-sharing plans, employee bonuses are based upon reaching a financial target such as return on assets or net income. Stock options are a variation of profit sharing where employees are given stock options as part of their compensation package. Gain-sharing plans are another alternative, in which compensation is tied to unit-level performance (e.g., the employees receive a percentage of the sales increase or cost savings for efficiency improvements). These plans tend to increase performance. •Other benefits that employees may value as rewards include flexible working hours, job sharing, remote working, and sabbaticals from work.

Management by Objectives

•SMART goal setting has been applied using management by objectives (MBO). MBO is a performance appraisal program where leaders meet with their direct reports and set specific performance objectives jointly. Progress toward objectives is periodically reviewed and rewards are allocated on the basis of that progress.

Turning Individuals into Team Players

•Selection: Need employees who have the interpersonal as well as technical skills •Training: Workshops on problem-solving, communications, negotiation, conflict-management, and coaching skills •Rewards: Encourage cooperative efforts rather than individual ones Not all employees are team players. In the United States, for example, our individualistic culture can create challenges for teams. In fact, it is not always possible to turn everyone into a team player. When formulating teams it is important to carefully select the right employees who are more attuned to teamwork. Managers should also carefully craft a reward system to encourage cooperative efforts rather competitive ones. In addition, while managers need to recognize individual contributions to the team, they also need to discourage social loafing.

Contemporary Theories of Motivation

•Self-Determination Theory •Goal-Setting Theory Management by Objectives There are a number of contemporary theories of motivation that have utilized the older theories to provide us with a deeper understanding of motivation in the workplace.

Other Contemporary Theories of Motivation

•Self-Efficacy Theory •Reinforcement Theory •Equity Theory Organizational Justice •Expectancy Theory

Self-Determination Theory

•Self-determination theory: People prefer to have control over their actions so when they feel they are forced to do something they previously enjoyed, motivation will decrease nCognitive evaluation theory: Proposes that the introduction of extrinsic rewards for work (pay) that was previously intrinsically rewarding tends to decrease overall motivation nSelf-concordance: Considers how strongly people's reasons for pursuing goals are consistent with their interests and core values

Self-Efficacy Theory

•Self-efficacy theory: An individual's belief that he or she is capable of performing a task Also known as social cognitive theory or social learning theory In layman's language it's _________ •Self-efficacy increased by: 1.Enactive mastery: gain experience 2.Vicarious modeling: see someone else do the task 3.Verbal persuasion: someone convinces you that you have the skills Arousal: get energized

Sources of Performance Management ratings

•Self-ratings •Immediate supervisor •Human resources •Managers one level above the supervisor •Higher management •Peers (coworkers) •Subordinates/employee's followers •Customers •(360-degree performance appraisal)•In most organizations, the immediate supervisor is involved in the performance appraisal and often is the only person conducting the review. This appraisal is often reviewed by the human resources department. In some cases, the process is reviewed by a manager one level above the supervisor. However, recent trends have included ratings from higher management, peers (coworkers), the employee's followers, and customers. Performance appraisal may also include self-ratings in which the employee rates his own performance, and this becomes a part of the file. However, self-ratings are typically used for development purposes and not for compensation or promotion decisions because they suffer from self-interest bias, and they don't agree well with supervisor ratings. In a 360 degree performance appraisal, the input from a number of these sources is included to provide a more comprehensive view of an employee's performance. The research evidence on 360 degree suggests it increases the perspectives that provide input into the review process., The challenge with 360 degree reviews is that organizations don't often provide necessary training for peers to provide constructive feedback. Peers, for example, tend to be more lenient than supervisors in rating their coworkers., Despite these challenges, 360-degree feedback has been implemented successfully in numerous organizations

Brainstorming

•Separates idea generation from evaluation •Produces many new ideas •Stimulates creativity •Group meets together •Much group interaction

SMART Goal Setting

•Specific: Well-defined, clear to anyone who has basic knowledge of the task. •Measurable: Know if the goal is obtainable and how far away completion is. Know when it has been achieved. •Achievable: Agreement of stakeholders about what the goals should be. Make sure it is possible. •Relevant: The goal you set needs to matter--to the individual setting it and/or the organization. •Time Based: Enough time to achieve the goal, but not too much time.

Team Metrics

•Task metrics--the "what" of teamwork •Process metrics--the "how" of teamwork •Individual development metrics--the "learning" in teamwork (how much individuals are developing new skills and learning from being on the team) •It is important to have measures (or metrics) to assess how a team is performing over time and to provide feedback to team members. Metrics are important to assess team effectiveness. There are three types of metrics for teamwork: 1.Task metrics. These are the "what" of teamwork. They relate to the actual work the team is performing. For example, task metrics might be goals for quantity and/or quality and deadlines for the project completion. It is important to set 30-day targets as mini-goals toward task completion so team members have a sense of forward momentum. 2.Process metrics. These are the "how" of teamwork. These metrics are assessment of how the teamwork is operating. For example, process metrics might be assessments of team communication or who is participating. Teams often focus on task goals to the exclusion of process goals, but they are important because the process affects task performance. 3.Individual development metrics. These metrics relate to how much individuals are developing new skills and learning through teamwork. For example, individual development metrics might be how well one team member is developing leadership abilities from working with the team. Individual development is important to track, since the hallmark of a high-performance team is when team members genuinely care about the development of their teammates.

Team Learning

•Team learning is an ongoing process through which teams acquire, combine, and apply knowledge. For example, asking questions, seeking feedback, improvising, discussing errors, challenging underlying assumptions, and reflecting on specific results or unexpected outcomes increases a team member's knowledge. •Team learning originates in individual intuitions, is amplified through interpretation, and emerges at the team level as collective thoughts and actions. •Teams that have a higher learning orientation (a proactive climate toward learning) outperform teams that don't. •One key factor for team learning to translate into performance is the degree to which team members agree that they feel a sense of psychological safety for taking risks. Team psychological safety allows members to take risks and be more creative and innovative.

Virtual Teams

•Team members are geographically dispersed and meet through electronic methods •Unique challenges: •Take more time to get things done •Technology problems •Have Less social support •Share less information

Team Mental Models

•Team members' shared, organized understanding and mental representation of knowledge about key elements of the team's relevant environment

Cohesion

•Team spirit experienced in high-performing teams •Cohesive groups perform better because they are more motivated and able to organize tasks around a common goal

Positive Teamwork

•Teams trust one another •They engage in conflict around ideas •They commit to decisions and plans of action •They hold one another accountable for delivering on plans •The focus on the achievement of collective results.

Do you have Grit?

•high level of effort and persistence "grit" and defines it as "perseverance and passion for long-term goals." Grit is the ability to stick to a goal and not give up even in the face of adversity. Research has shown that grit may be as important as intelligence

Herzberg's Two-Factor Theory

•proposed that work satisfaction and dissatisfaction arise from two different factors - work satisfaction from so-called motivating factors and work dissatisfaction from so-called hygiene factors

The pygmalion effect; individually set high expectations

•The Galatea effect is present when an individual sets high expectations for themselves and then performs to these expectations. Such a follower already has high self-esteem and believes in his or her ability to succeed. The Galatea effect was examined by conducting an experiment where subjects' self-esteem was boosted by a series of positive feedback messages. This intervention resulted in improved self-esteem, motivation, and an impact on performance. Thus, leaders need to provide ongoing feedback and provide challenging assignments to increase follower expectations. The Galatea effect suggests followers may even exceed the leader's expectations when they have confidence in their ability to succeed.

Schedules of Reinforcement

•The first schedule is continuous--a specified behavior is rewarded or punished every time it occurs. This is not seen often in organizations; however, it is useful during the learning process (e.g., when an employee is learning to use a new computer program). In this example, the employee would be allowed to leave work one half hour early (a positive event) each time he completes a module of a computer training program successfully. •Once the employee has attained an acceptable level of mastery, they are moved to a partial reinforcement schedule. For example, the employee is no longer rewarded or punished every time, but they are rewarded (punished) on a more random basis as described next.

Social Learning Theory- the modeling process

•The modeling process has four steps: 1.Attention. To learn, a person has to be paying attention to another's behavior. People pay attention to things that are either interesting or new. 2.Retention. The information must be stored for access in the future. This is important to observational learning since a person must remember what they have observed. 3.Reproduction. Once information is noted and retained, the next step is that the person imitates (i.e., performs) the behavior that they recall. Repeating the behavior (i.e., practicing) leads to improved performance. 4.Motivation. For observational learning to work, the person needs motivation to imitate. Thus, social learning theory discusses the roles of reinforcement and punishment. For example, if you see another student rewarded with extra credit points for participating in class every day, you might begin to do the same.

Maslow's hierarchy of needs

•The most well-known theory of need motivation is the Maslow hierarchy of needs. The theory was the first to point out that there are individual differences in motivation. •The first level in the hierarchy of needs is physiological needs (e.g., hunger, sex, and other bodily needs). •The next level is safety needs (e.g., the need for protection from physical harm). •At the third level of the hierarchy are a person's social needs (e.g., belongingness and friendship). •The fourth level is esteem needs (e.g., status and recognition from others). •Finally, at the top of the hierarchy is what Maslow termed self-actualization, which is the drive to meet our fullest capacity (e.g., growth and feeling fulfilled as a person). • •Physiological and safety needs are lower-order needs and social, esteem, and self-actualization are higher-order needs, according to the theory. When a need is not satisfied, it becomes dominant. For example, if a person's safety is threatened, then they focus on finding a place where there is no threat of physical harm.

What money can and cannot do

•There are pros and cons of using money as a motivational tool. •On the one hand, organizations that appropriately tie pay to performance and pay more have higher rates of return. A study of hospitals showed that pay level practices and pay structures combined to affect resource efficiency, patient care outcomes, and financial performance. •On the other hand, tying pay directly to performance can have dysfunctional or even unethical consequences. For example, Green Giant, a producer of frozen and canned vegetables, implemented a pay system that rewarded employees for removing insects from vegetables. It was later discovered that employees were bringing insects from home and putting them into the vegetables to receive the monetary rewards.

Relationship between intrinsic and extrinsic rewards

•There can be synergistic effects between intrinsic and extrinsic motivation, and there are two psychological mechanisms that illustrate this. •First, "extrinsics in service of intrinsics" refers to how extrinsic rewards may support an employee's sense of competence if they don't undermine autonomy (self-determination). For example, a reward can be more time to work on creativity projects. This has been implemented at Google, where engineers and project managers are given 20% of their work time to work on something that they are passionate about. In other words, one day per week they can work on anything they like, even if it falls outside of the scope of their job or is unrelated to the mission of the company. A second mechanism is the motivation-work cycle match. This is the understanding that innovation occurs in phases and intrinsic motivation may be more important during the idea generation phase. However, when the project is being implemented, extrinsic rewards may be needed to ensure that deliverables are produced on time and within the budget. A longitudinal study found support for this idea in study of project teams. Team members reported higher levels of radical creativity in early phases of a project compared to incremental creativity at later phases. Thus, one type of motivation may not suit all types of project work

Organizational Behavior Modification (OB MOD)

•Used to increase performance and reduce absenteeism •Meta-analysis found that OB Mod increased task performance by 17% •However, results of interventions using OB Mod were stronger in manufacturing than service organizations

pay dispersion

•When employees receive different levels of rewards for individual efforts •Can cause jealously among employees and/or harm team performance •If pay dispersion creates pay inequity due to discrimination, it may result in litigation under the Equal Pay Act•Another caveat regarding money as a motivational tool is that care must be taken when implementing systems in which employees receive different levels of rewards for individual efforts. This results in pay dispersion, which can cause jealously among employees or harm team performance. If pay dispersion creates pay inequity due to discrimination, it may result in litigation under the Equal Pay Act of 1963.

Work Group Versus Work Teams

•Work Group--interacts primarily to share information and make decisions to help one another perform within each member's area of responsibility •Work Team--generates coordinated effort; individual efforts result in a level of performance greater than the sum of individual inputs

Virtual Teams: Keys to Success

•You must lead differently. •You must arrive at decisions differently. •You must build trust differently. •You must communicate differently. •(Meyer, 2010)

Expectancy Theory

•suggests that people are motivated by several things: (1) how much they want something and (2) how likely they think they are to get it 3) if they believe they can do the task •Expectancy •belief that a particular level of effort will lead to a particular level of performance •Instrumentality •expectation that successful performance of the task will lead to the desired outcome •Valence •the value a worker assigns to an outcome