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Chapter 13

Motivating Employees




                       1
LEARNING OUTLINE
• What Is Motivation?
  • Define motivation.
  • Explain motivation as a need-satisfying process


• Early Theories of Motivation
   Describe the five levels in Maslow’s hierarchy and how
    Maslow’s hierarchy can be used in motivational efforts.
   Discuss how Theory X and Theory Y managers approach
    motivation.
   Describe Herzberg’s motivation-hygiene theory.
   Explain Herzberg’s views of satisfaction and
    dissatisfaction.
• Contemporary Theories of Motivation
   Describe the job characteristics model as a way to design
    motivating jobs.
   Discuss the motivation implications of equity theory.
   Contrast distributive justice and procedural justice.
   Explain the three key variables in expectancy theory and
    their role in motivation.
                                                           2
LEARNING OUTLINE (cont’d)
Current Issues in Motivation
Describe the cross-cultural challenges of motivation.
Discuss the challenges managers face in motivating
 unique groups of employees.
Describe open-book management and employee
 recognition, pay-for-performance, and stock option
 programs.




                                                    3
r on ThinkExist Now
   Sign In




          Every accomplishment starts with the
          decision to try
          - Anonymous




           “I do not try to dance better than anyone
           else. I only try to dance better than myself.”
           - Mikhail Baryshnikov




                                                       4
What Is Motivation
 Are you a motivated person?

 • What motivates you to:
 1. Go to work
 2. Get an education
 3. Come to my class



Motivation
  willingness to apply high levels of effort to satisfy
   individual needs
   • Effort: a measure of drive (high          low)
   • Need: personal reason
   • Direction: toward personal / career or organizational goals




                                                            5
Motivation..

Personal needs compatible with organizational goals

Analytical                   Accounting, Finance ,
                             Operations depts.

Creative                     Marketing, product
                             development, advertising

Innovation                   R&D., Eng., PD, new
                             business

                             Coordination, Management,
Social interaction
                             HR




                                                      6
Early Theories of Motivation

 Maslow’s Hierarchy of Needs Theory
•    McGregor’s Theory X, Y
•    Herzberg’s Motivation-Hygiene theory




                                            7
Maslow’s Hierarchy of Needs
       (1960s, 1970s)




            Self- Growth, challenge
         Actualization

                        Status,
           Esteem     recognition

            Social   belongingnes,
                      acceptance

            Safety     Security


        Physiological    Food,
                         shelter


                                      8
Maslow’s hierarchy..
• Maslow’s Hierarchy of Needs
  (Physiological, safety, social, esteem, self actualization)


So what does this mean for employers (Managers)



      wages,
     salaries       benefits                            New
                    (health,                         challenges,
                  retirement,                          growth
                 safe working           Job title,
                     env.)                stock
                              group,     options
                            team work




                                                             9
McGregor’s Theory X and Theory Y
 Theory X
  • Assumes employees have little ambition,
    dislike work, avoid responsibility, and require
    close supervision

   So, how do you motivate?
    More close supervision,            Practice____
    more task oriented                 Leadership
                                       style

 Theory Y
  • Assumes employees can exercise self-direction,
    desire responsibility, and like to work

  • Motivation is maximized by participative decision
    making, interesting jobs, and good group relations

   So, how do you motivate?             Practice____
    More team work, job                 Leadership
    redesign, set realistic             style
    goals                                            10
Early Theories of Motivation

 Maslow’s Hierarchy of Needs Theory
 McGregor’s Theory X, Y
•    Herzberg’s Motivation-Hygiene theory




                                            11
Herzberg’s Motivation-Hygiene

       Intrinsic                     Extrinsic
     Motivators                   Hygiene Factors
   • Achievement            • Supervision
   • Recognition            • Company Policy
   • Work Itself            • Relationship with Supervisor
     Responsibility         • Working Conditions
   • Advancement            • Salary
   • Growth                 • Relationship with Peers
                            • Personal Life
                            • Relationship with
                              Subordinates
                            • Status
                            • Security



Extremely Satisfied   Neutral Extremely Dissatisfied




 So to motivate…focus on intrinsic factors
                                                       12
Early Theories of Motivation     Contemporary
                                 Theories of Motivation
1. Maslow’s Hierarchy of Needs
   Theory
                                 1.Job Design
2. McGregor’s Theory X, Y        2.Equity Theory
                                 3.Expectancy Theory
3. Herzberg’s Motivation-
   Hygiene theory




                                                       13
Contemporary Approach…Job design

 Job Design
   Combining tasks to form complete jobs

A.Job Enlargement
   Increasing the scope (number of tasks) in a job

   For example:
  Receptionist – answer phone calls, direct/seat people,
   sign packages.
    • How can it be redesigned ?



B. Job Enrichment
   Increasing responsibility and autonomy (depth)
    • How can the receptionist’ s job be enriched ?



      A & B alone not sufficient to motivate

                                                      14
Job Characteristics Model(JCM)
In addition to job enlargement & job enrichment,

1.    Skill variety: use various skills and talents
2.    Task identity: whole identifiable piece of work
3.    Task significance: meaningful impact
4.    Autonomy: independence, ownership
5.    Feedback: performance



     How can we use this JCM to make the
     Receptionist’s job more motivating ?




                                                   15
1. Job Design
                                            Equity Theory
                                           3. Expectancy Theory



           Motivation and Perception
• Equity Theory
    employees perceive their worth based on the ratio of
     job situation (outcomes) to what they put in (inputs)
     and compare with the inputs-outcomes ratios of
     relevant others

   • If the ratios are perceived as equal then a state of
     equity (fairness) exists

   • If the ratios are perceived as unequal, inequity exists
     and the person feels under - or over rewarded

   • When inequities occur, employees will attempt to do
     something to rebalance the ratios (seek justice)




                                                            16
1. Job Design
                                             2. Equity Theory
                                              Expectancy Theory




  Motivation, Perception and Behavior
• Expectancy Theory
   Individuals act based on the expectation that a given
    outcome will follow and whether that outcome is
    attractive

   Key to the theory is understanding and managing
    employee goals and the link between effort with
    performance/rewards

    Relationship:
  • Perception that an individual’s efforts will result in a
    certain level of performance

  • Perception that a particular level of performance will
    result in attaining a desired outcome (reward)

  • Attractiveness/importance of the performance reward to
    the individual




                                                               17
Integrating the theories
1. Equity – fairness, equitable
2. Expectancy – efforts       performance,
   rewards attractivness of rewards
3. Job design - JCM




                                             18
Motivating - Issues and Challenges

1. Cross-cultural
   • Is the Maslow Hierarchy applicable in all
     cultures ?
   • Collectivist cultures view rewards as
     “entitlements” to be distributed based on
     individual needs, not individual performance

2. Diverse groups
• men and women
• Professional (accounting, engineering,
  doctors)
• Public sector employees
• Unionized employees
• Contingent
• Low-skilled




                                               19
•   men and women
                                  •   Professional
                                  •   Public sector employees
                                  •   Unionized employees
                                  •   Contingent
                                  •   Low-skilled
Issues and challenges…
1. Men/women
 • Men – more autonomy than women
 • Women – more learning opportunities, flexible
   schedules, and good interpersonal relations

2. Professionals
  Characteristics
  • Strong and long-term commitment to their field of
    expertise
  • Loyalty to their profession (accounting,
    engineering, doctors, teachers, nurses, IT)
  • Have the need to regularly update their knowledge
  • Don’t define their workweek 8:00 am to 5:00 pm
  • Motivators
   • Job challenge
   • Organizational support of their work




                                                      20
•   men and women
                                    •   Professional
                                    •   Public sector employees
                                    •   Unionized employees
                                    •   Contingent
                                    •   Low-skilled

3. Public Sector
 • Productivity is more difficult to measure because the
   work carried out is often of a service nature
 • Harder to make link between rewards and productivity
 • Setting goals significantly improves motivation of
   public sector employees


4. Unionized Environment


5. Contingent Workers
  • Becoming permanent employee
  • Opportunity for training
  • Equity in compensation and benefits


6. Low-Skilled, Minimum-Wage Employees
  • Employee recognition programs
  • Praise
  • Money ? (overtime?)

                                                        21
From Theory to Practice


                 Recognize individual
                    differences



                                        Match people to
Don’t ignore money                           jobs


                        Guidelines
                      for Motivating
                        Employees         Individualize
    Use
 recognition                                rewards




      Check the system          Link rewards to
         for equity              performance


                     Set S.M.A.R.T
                         goals

                                                     22
Review summary

Early Theories
• Maslow
• Theory X , Y
• Motivators – Hygiene


Contemporary Theories
• Job design
• Equity
• Expectancy

Current issues/challenges – how to motivate
• Cross cultural
• Unionized
• Public sector, Professionals
• Low-skilled

                                              23
Review HW Questions

1. Compare and contrast the early theories and the
   contemporary theories. Do they reflect the needs of the
   time.

2. Maslow’s theory may have a North American bias.
   Explain how Maslow’s hierarchy of needs can differ in
   other societies.

3. Give examples of how the “nature of the job” itself can
   be a motivational factor.

4. Can motivational factors differ according to employee
   type? Explain.

5. How does Jack Welch’s HR practices complement /or
   support motivational factors?




                                                      24

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28765719 motivation

  • 2. LEARNING OUTLINE • What Is Motivation? • Define motivation. • Explain motivation as a need-satisfying process • Early Theories of Motivation  Describe the five levels in Maslow’s hierarchy and how Maslow’s hierarchy can be used in motivational efforts.  Discuss how Theory X and Theory Y managers approach motivation.  Describe Herzberg’s motivation-hygiene theory.  Explain Herzberg’s views of satisfaction and dissatisfaction. • Contemporary Theories of Motivation  Describe the job characteristics model as a way to design motivating jobs.  Discuss the motivation implications of equity theory.  Contrast distributive justice and procedural justice.  Explain the three key variables in expectancy theory and their role in motivation. 2
  • 3. LEARNING OUTLINE (cont’d) Current Issues in Motivation Describe the cross-cultural challenges of motivation. Discuss the challenges managers face in motivating unique groups of employees. Describe open-book management and employee recognition, pay-for-performance, and stock option programs. 3
  • 4. r on ThinkExist Now Sign In Every accomplishment starts with the decision to try - Anonymous “I do not try to dance better than anyone else. I only try to dance better than myself.” - Mikhail Baryshnikov 4
  • 5. What Is Motivation Are you a motivated person? • What motivates you to: 1. Go to work 2. Get an education 3. Come to my class Motivation  willingness to apply high levels of effort to satisfy individual needs • Effort: a measure of drive (high low) • Need: personal reason • Direction: toward personal / career or organizational goals 5
  • 6. Motivation.. Personal needs compatible with organizational goals Analytical Accounting, Finance , Operations depts. Creative Marketing, product development, advertising Innovation R&D., Eng., PD, new business Coordination, Management, Social interaction HR 6
  • 7. Early Theories of Motivation  Maslow’s Hierarchy of Needs Theory • McGregor’s Theory X, Y • Herzberg’s Motivation-Hygiene theory 7
  • 8. Maslow’s Hierarchy of Needs (1960s, 1970s) Self- Growth, challenge Actualization Status, Esteem recognition Social belongingnes, acceptance Safety Security Physiological Food, shelter 8
  • 9. Maslow’s hierarchy.. • Maslow’s Hierarchy of Needs  (Physiological, safety, social, esteem, self actualization) So what does this mean for employers (Managers) wages, salaries benefits New (health, challenges, retirement, growth safe working Job title, env.) stock group, options team work 9
  • 10. McGregor’s Theory X and Theory Y  Theory X • Assumes employees have little ambition, dislike work, avoid responsibility, and require close supervision So, how do you motivate? More close supervision, Practice____ more task oriented Leadership style  Theory Y • Assumes employees can exercise self-direction, desire responsibility, and like to work • Motivation is maximized by participative decision making, interesting jobs, and good group relations So, how do you motivate? Practice____ More team work, job Leadership redesign, set realistic style goals 10
  • 11. Early Theories of Motivation  Maslow’s Hierarchy of Needs Theory  McGregor’s Theory X, Y • Herzberg’s Motivation-Hygiene theory 11
  • 12. Herzberg’s Motivation-Hygiene Intrinsic Extrinsic Motivators Hygiene Factors • Achievement • Supervision • Recognition • Company Policy • Work Itself • Relationship with Supervisor Responsibility • Working Conditions • Advancement • Salary • Growth • Relationship with Peers • Personal Life • Relationship with Subordinates • Status • Security Extremely Satisfied Neutral Extremely Dissatisfied So to motivate…focus on intrinsic factors 12
  • 13. Early Theories of Motivation Contemporary Theories of Motivation 1. Maslow’s Hierarchy of Needs Theory 1.Job Design 2. McGregor’s Theory X, Y 2.Equity Theory 3.Expectancy Theory 3. Herzberg’s Motivation- Hygiene theory 13
  • 14. Contemporary Approach…Job design Job Design  Combining tasks to form complete jobs A.Job Enlargement  Increasing the scope (number of tasks) in a job For example: Receptionist – answer phone calls, direct/seat people, sign packages. • How can it be redesigned ? B. Job Enrichment  Increasing responsibility and autonomy (depth) • How can the receptionist’ s job be enriched ? A & B alone not sufficient to motivate 14
  • 15. Job Characteristics Model(JCM) In addition to job enlargement & job enrichment, 1. Skill variety: use various skills and talents 2. Task identity: whole identifiable piece of work 3. Task significance: meaningful impact 4. Autonomy: independence, ownership 5. Feedback: performance How can we use this JCM to make the Receptionist’s job more motivating ? 15
  • 16. 1. Job Design  Equity Theory 3. Expectancy Theory Motivation and Perception • Equity Theory  employees perceive their worth based on the ratio of job situation (outcomes) to what they put in (inputs) and compare with the inputs-outcomes ratios of relevant others • If the ratios are perceived as equal then a state of equity (fairness) exists • If the ratios are perceived as unequal, inequity exists and the person feels under - or over rewarded • When inequities occur, employees will attempt to do something to rebalance the ratios (seek justice) 16
  • 17. 1. Job Design 2. Equity Theory  Expectancy Theory Motivation, Perception and Behavior • Expectancy Theory  Individuals act based on the expectation that a given outcome will follow and whether that outcome is attractive  Key to the theory is understanding and managing employee goals and the link between effort with performance/rewards Relationship: • Perception that an individual’s efforts will result in a certain level of performance • Perception that a particular level of performance will result in attaining a desired outcome (reward) • Attractiveness/importance of the performance reward to the individual 17
  • 18. Integrating the theories 1. Equity – fairness, equitable 2. Expectancy – efforts performance, rewards attractivness of rewards 3. Job design - JCM 18
  • 19. Motivating - Issues and Challenges 1. Cross-cultural • Is the Maslow Hierarchy applicable in all cultures ? • Collectivist cultures view rewards as “entitlements” to be distributed based on individual needs, not individual performance 2. Diverse groups • men and women • Professional (accounting, engineering, doctors) • Public sector employees • Unionized employees • Contingent • Low-skilled 19
  • 20. men and women • Professional • Public sector employees • Unionized employees • Contingent • Low-skilled Issues and challenges… 1. Men/women • Men – more autonomy than women • Women – more learning opportunities, flexible schedules, and good interpersonal relations 2. Professionals Characteristics • Strong and long-term commitment to their field of expertise • Loyalty to their profession (accounting, engineering, doctors, teachers, nurses, IT) • Have the need to regularly update their knowledge • Don’t define their workweek 8:00 am to 5:00 pm • Motivators • Job challenge • Organizational support of their work 20
  • 21. men and women • Professional • Public sector employees • Unionized employees • Contingent • Low-skilled 3. Public Sector • Productivity is more difficult to measure because the work carried out is often of a service nature • Harder to make link between rewards and productivity • Setting goals significantly improves motivation of public sector employees 4. Unionized Environment 5. Contingent Workers • Becoming permanent employee • Opportunity for training • Equity in compensation and benefits 6. Low-Skilled, Minimum-Wage Employees • Employee recognition programs • Praise • Money ? (overtime?) 21
  • 22. From Theory to Practice Recognize individual differences Match people to Don’t ignore money jobs Guidelines for Motivating Employees Individualize Use recognition rewards Check the system Link rewards to for equity performance Set S.M.A.R.T goals 22
  • 23. Review summary Early Theories • Maslow • Theory X , Y • Motivators – Hygiene Contemporary Theories • Job design • Equity • Expectancy Current issues/challenges – how to motivate • Cross cultural • Unionized • Public sector, Professionals • Low-skilled 23
  • 24. Review HW Questions 1. Compare and contrast the early theories and the contemporary theories. Do they reflect the needs of the time. 2. Maslow’s theory may have a North American bias. Explain how Maslow’s hierarchy of needs can differ in other societies. 3. Give examples of how the “nature of the job” itself can be a motivational factor. 4. Can motivational factors differ according to employee type? Explain. 5. How does Jack Welch’s HR practices complement /or support motivational factors? 24

Notas del editor

  1. We define motivation as the willingness to exert high levels of effort to reach organizational goals, conditioned by the effort’s ability to satisfy some individual need. Effort is a measure of intensity or drive. High levels of effort are unlikely to lead to favourable job performance unless the effort is channeled in a direction that benefits the organization. A need is an internal state that makes certain outcomes appear attractive. An unsatisfied need creates tension that stimulates drives within an individual. These drives generate a search behaviour to find particular goals that, if attained, will satisfy the need and reduce the tension (see Exhibit 13.1 ).
  2. We define motivation as the willingness to exert high levels of effort to reach organizational goals, conditioned by the effort’s ability to satisfy some individual need. Effort is a measure of intensity or drive. High levels of effort are unlikely to lead to favourable job performance unless the effort is channeled in a direction that benefits the organization. A need is an internal state that makes certain outcomes appear attractive. An unsatisfied need creates tension that stimulates drives within an individual. These drives generate a search behaviour to find particular goals that, if attained, will satisfy the need and reduce the tension (see Exhibit 13.1 ).
  3. We define motivation as the willingness to exert high levels of effort to reach organizational goals, conditioned by the effort’s ability to satisfy some individual need. Effort is a measure of intensity or drive. High levels of effort are unlikely to lead to favourable job performance unless the effort is channeled in a direction that benefits the organization. A need is an internal state that makes certain outcomes appear attractive. An unsatisfied need creates tension that stimulates drives within an individual. These drives generate a search behaviour to find particular goals that, if attained, will satisfy the need and reduce the tension (see Exhibit 13.1 ).
  4. Maslow’s hierarchy of needs theory was developed by Abraham Maslow. It states that there is a hierarchy of five human needs (see Exhibit 13.2 ): 1. Physiological (basic food, drink, water, shelter, and sexual needs) 2. Safety (security and protection from physical and emotional harm) 3. Social (affection, belongingness, acceptance, and friendship) 4. Esteem (internal factors such as self-respect, autonomy, and achievement, and external factors such as status, recognition, and attention) 5. Self-actualization (a person’s drive to become what he or she is capable of becoming). a. As each need is substantially satisfied, the next need becomes dominant. b. Maslow also separated the needs into lower-level needs (includes the physiological and safety needs) and higher-level needs (includes social, esteem, and self-actualization). c. Although Maslow’s theory is widely recognized, research generally has not validated the theory.
  5. Maslow’s hierarchy of needs theory was developed by Abraham Maslow. It states that there is a hierarchy of five human needs (see Exhibit 13.2 ).
  6. Maslow’s hierarchy of needs theory was developed by Abraham Maslow. It states that there is a hierarchy of five human needs (see Exhibit 13.2 ): 1. Physiological (basic food, drink, water, shelter, and sexual needs) 2. Safety (security and protection from physical and emotional harm) 3. Social (affection, belongingness, acceptance, and friendship) 4. Esteem (internal factors such as self-respect, autonomy, and achievement, and external factors such as status, recognition, and attention) 5. Self-actualization (a person’s drive to become what he or she is capable of becoming). a. As each need is substantially satisfied, the next need becomes dominant. b. Maslow also separated the needs into lower-level needs (includes the physiological and safety needs) and higher-level needs (includes social, esteem, and self-actualization). c. Although Maslow’s theory is widely recognized, research generally has not validated the theory.
  7. McGregor’s Theory X and Theory Y were developed by Douglas McGregor and describe two distinct views of human nature. 1. There are two types of motivators: a. extrinsic motivators —factors that are external to the individual b. intrinsic motivators —factors that are internal 2. Theory X assumes that employees dislike work, are lazy, seek to avoid responsibility, and must be coerced to perform. In other words, it posits that people are motivated exclusively by extrinsic factors. 3. Theory Y assumes that employees are creative, seek responsibility, and can exercise self-direction. This theory suggests that employees are intrinsically motivated. a. Another way of looking at the X and Y theories is that theory X assumes that lower-order needs (Maslow’s) dominate individuals, and Theory Y assumes that higher-order needs dominate. 4. Our current knowledge of motivation tells us that neither theory alone fully accounts for employee behaviour. What we know is that motivation is the result of the interaction of the individual and the situation. Individuals differ in their basic motivational drive.
  8. Maslow’s hierarchy of needs theory was developed by Abraham Maslow. It states that there is a hierarchy of five human needs (see Exhibit 13.2 ): 1. Physiological (basic food, drink, water, shelter, and sexual needs) 2. Safety (security and protection from physical and emotional harm) 3. Social (affection, belongingness, acceptance, and friendship) 4. Esteem (internal factors such as self-respect, autonomy, and achievement, and external factors such as status, recognition, and attention) 5. Self-actualization (a person’s drive to become what he or she is capable of becoming). a. As each need is substantially satisfied, the next need becomes dominant. b. Maslow also separated the needs into lower-level needs (includes the physiological and safety needs) and higher-level needs (includes social, esteem, and self-actualization). c. Although Maslow’s theory is widely recognized, research generally has not validated the theory.
  9. 1. Hygiene factors are factors that eliminated dissatisfaction. They included things such as supervision, company policy, salary, working conditions, security, and so forth—extrinsic factors associated with job context, or those things surrounding a job. 2. Motivators were factors that increased job satisfaction and hence motivation. They included things such as achievement, recognition, responsibility, advancement, and so forth—intrinsic factors associated with job content, or those things within the job itself. 3. Herzberg’s theory has been criticized for the statistical procedures and methodology used in his study. 4. Even considering the criticisms, Herzberg’s theory has had a strong influence on how we currently design jobs.
  10. Maslow’s hierarchy of needs theory was developed by Abraham Maslow. It states that there is a hierarchy of five human needs (see Exhibit 13.2 ): 1. Physiological (basic food, drink, water, shelter, and sexual needs) 2. Safety (security and protection from physical and emotional harm) 3. Social (affection, belongingness, acceptance, and friendship) 4. Esteem (internal factors such as self-respect, autonomy, and achievement, and external factors such as status, recognition, and attention) 5. Self-actualization (a person’s drive to become what he or she is capable of becoming). a. As each need is substantially satisfied, the next need becomes dominant. b. Maslow also separated the needs into lower-level needs (includes the physiological and safety needs) and higher-level needs (includes social, esteem, and self-actualization). c. Although Maslow’s theory is widely recognized, research generally has not validated the theory.
  11. Job design can be used to influence employee motivation. Job design is the way tasks are combined to form complete jobs. Managers should design jobs to reflect the demands of the changing environment as well as the organization’s technology, skills, and abilities and preferences of its employees. 1. Job Enlargement . One of the earliest efforts at overcoming the drawbacks of job specialization was through increasing job scope , the number of different tasks required in a job and the frequency with which those tasks are repeated. a. This type of job design is called job enlargement —the horizontal expansion of a job or an increase in job scope. b. Job design programs that focused solely on task enlargement haven’t been very successful. c. When knowledge enlargement activities were implemented, however, workers were more satisfied and made fewer errors. 2. Job Enrichment . Another approach to designing motivating jobs is job enrichment, which is the vertical expansion of a job by adding planning and evaluating responsibilities. a. In job enrichment, job depth — the degree of control employees have over their work — is increased. b. Research evidence on job enrichment activities has been inconclusive about its benefits.
  12. Skill variety, task identity, and task significance combine to create meaningful work. Autonomy leads to an increased sense of responsibility for outcomes of the work. Feedback leads to knowledge of the actual results of the work activities. b. The JCM suggests that intrinsic (internal) rewards are gained when an employee learns (knowledge of results through feedback) that he or she personally (experienced responsibility through autonomy of work) has performed well on a task that he or she cares about (experienced meaningfulness of work through skill variety, task identify, and/or task significance). c. The more that these three conditions characterize a job, the greater the employee’s work motivation, performance, and satisfaction and the lower his or her absenteeism and likelihood of resigning.
  13. Equity theory, developed by J. Stacey Adams, says that an employee perceives what he or she got from a job situation (outcomes) in relation to what he or she put into it (inputs) and then compares the inputs-outcomes ratio with the inputs-outcomes ratios of relevant others and finally corrects any inequity (see Exhibit 13.7 ).
  14. Expectancy theory is the theory that an individual tends to act in a certain way based on the expectation that the act will be followed by a given outcome and on the attractiveness of that outcome to the individual. Three relationships are important to this theory (see Exhibit 13.8 ). 1. Effort-performance linkage (expectancy) is the probability perceived by the individual that exerting a given amount of effort will lead to a certain level of performance. 2. Performance-reward linkage (instrumentality) is the degree to which an individual believes that performing at a particular level is instrumental in, or will lead to, the attainment of a desired outcome. 3. Attractiveness of the reward (valence) is the importance that the individual places on the potential outcome or reward that can be achieved on the job.
  15. In today’s global environment, motivational programs that work in one location may not be effective in another. There is an American bias in some of the motivational theories. For example, in Japan, Greece, and Mexico security needs would be at the top of Maslow’s pyramid. The motivation concept of achievement need clearly has an American bias. Equity theory is relatively strong in the U.S. based on pay-for-performance systems.
  16. This group of employees values challenging work, problem solving, and support.
  17. Several suggestions for motivating employees are given and are based on what is currently known about motivation. A. Recognize individual differences in terms of needs, attitudes, personality, and other important individual factors. B. Match people to jobs by identifying what needs are important to individuals and trying to provide jobs that allow them to fulfill those needs. C. Individualize rewards. Because employees have different needs, what is a reward and reinforcer to one may not work for another. D. Link rewards to performance by making rewards contingent on desired levels of performance. E. Check the system for equity. Employees should perceive that the rewards or outcomes are equal to the inputs given. F. Use recognition. Using recognition is a powerful, yet low-cost means to reward employees. G. Don’t ignore money. The allocation of performance-based increases, piecework bonuses, and other pay incentives is important in determining employee motivation.