By the end of the presentations learners should be
Explain the importance of motivation to an
Explain the theory of motivation , there merits and
State the implications of the theories to the manager
Motivation is derived from the word ’motive’
which means needs, desires, wants or drives
within the individuals. It is the process of
stimulating people to actions in order to
accomplish the goals. One of the most
important functions of management is to
create willingness amongst the employees to
perform in the best of their abilities. Therefore
the rolof a leader e is to awaken interest in
performance of employees in their jobs.
4. Introduction .......
In the work goal context, the psychological
factors stimulating the people’s behavior can
• desire for money
• Desire for success
• Desire for recognition
• team work, etc
The process of motivation consists of three stages:-
i. A felt need or drive
ii. A stimulus in which needs have to be
iii. When needs are satisfied, it implies
accomplishment of goals.
Therefore, we can say that motivation is a
psychological phenomenon which means needs
and wants of the individuals have to be tackled
by framing an incentive plan.
6. Importance of motivation to an
Motivation is a very important for an organization
because of the following benefits;
• Puts human resources into action
Every concern requires physical, financial and
human resources to accomplish the goals. It is
through motivation that the human resources can
be utilized by making full use of it. This can be
done by building willingness in employees to
work. This will help the enterprise in securing
best possible utilization of resources.
• Improves level of efficiency of employees
The level of a subordinate or a employee does not
only depend upon his qualifications and abilities.
For getting best of his work performance, the gap
between ability and willingness has to be filled
which helps in improving the level of
performance of subordinates. This will result into-
– Increase in productivity,
– Reducing cost of operations, and
– Improving overall efficiency.
8. • Leads to achievement of organizational goals
The goals of an enterprise can be achieved only
when the following factors take place :-
– There is best possible utilization of resources,
– There is a co-operative work environment,
– The employees are goal-directed and they act in a
– Goals can be achieved if co-ordination and co-
operation takes place simultaneously which can
be effectively done through motivation.
• Builds friendly relationship
Motivation is an important factor which brings
employees satisfaction. This can be done by
keeping into mind and framing an incentive
plan for the benefit of the employees. This
could initiate the following things:
– Monetary and non-monetary incentives,
– Promotion opportunities for employees,
– Disincentives for inefficient employees.
• Leads to stability of work force
Stability of workforce is very important from the
point of view of reputation and goodwill of a
concern. The employees can remain loyal to the
enterprise only when they have a feeling of
participation in the management. The skills and
efficiency of employees will always be of
advantage to employees as well as employees.
This will lead to a good public image in the
market which will attract competent and
qualified people into a concern. As it is said, “Old
is gold” which suffices with the role of motivation
11. To individual
1.Motivation will help him achieve his personal
2.If an individual is motivated, he will have job
3.Motivation will help in self-development of
4.An individual would always gain by working
with a dynamic team.
12. Theories of motivation
• Needs approaches:
• Maslows’ hierachy of needs
• Herbzbergs two factor theory
• Alderfers ERG theory
• Cognitive approaches:
• Vroom’s expectancy theory
• Equity theory/social comparison
• Goal setting theory
13. Hertzberg’s Two-Factor Theory
• The Two-Factor Theory of motivation (otherwise known as dual-
factor theory or motivation-hygiene theory) was developed by
psychologist Frederick Herzberg in the 1950s.
• He analysed the responses of 200 accountants and engineers who
were asked about their positive and negative feelings about their
work, & found 2 factors that influence employee motivation and
• 1. Motivator factors – these are factors that lead to satisfaction and
motivate employees to work harder. Examples might include
enjoying your work, feeling recognised and career progression.
2. Hygiene factors – These factors can lead to dissatisfaction and a
lack of motivation if they are absent. Examples include salary,
company policies, benefits, relationships with managers and co-
• According to Herzberg’s findings, while motivator and hygiene
factors both influenced motivation, they appeared to work
completely independently of each other.
14. • Motivator factors increased employee
satisfaction and motivation; their absence
didn’t necessarily cause dissatisfaction.
Hygiene factors didn’t appear to increase
satisfaction and motivation but their absence
caused an increase in dissatisfaction.
15. How to apply it to the workplace
• This theory implies that for the happiest and most productive
workforce, you need to work on improving both motivator and
• To help motivate your employees, make sure they feel appreciated
and supported. Give plenty of feedback and make sure your
employees understand how they can grow and progress through
• To prevent job dissatisfaction, make sure that your employees feel
that they are treated right by offering them the best possible
working conditions and fair pay. Make sure you pay attention to
your team and form supportive relationships with them.
• “For true engagement to occur in a company you must first remove
the issues that cause dissatisfaction – the baseline benefits offered
by the company that satisfy the hygiene needs of the employee.
Then you must focus on the individual and what they want out of
their association with your enterprise.”
16. Maslow’s Hierarchy of Needs
• The Hierarchy of Needs theory was coined by psychologist
Abraham Maslow in his 1943 paper “A Theory of Human
• The theory states that individuals’ most basic needs must be met
before they become motivated to achieve higher level needs.
• The hierarchy is made up of 5 levels:
• 1. Physiological – these needs must be met in order for a person to
survive, such as food, water and shelter.
2. Safety – including personal and financial security and health and
3. Love/belonging – the need for friendships, relationships and
4. Esteem – the need to feel confident and be respected by others.
5. Self-actualisation – the desire to achieve everything you possibly
can and become the most that you can be.
17. According to the hierarchy of needs, you must be in good health, safe and
secure with meaningful relationships and confidence before you are able to
be the most that you can be.
• How to apply it to the
• In order to get the most out
of your team, you should
also make sure you support
them in other aspects of
their lives outside work.
Perhaps you could offer
flexible working hours to
give employees time to
focus on their families and
make sure they are paid
fairly to help them feel
18. Hawthorne Effect
• The Hawthorne Effect was first described by Henry A. Landsberger in
1950 who noticed a tendency for some people to work harder and
perform better when they were being observed by researchers.
• The Hawthorne Effect is named after a series of social experiments on
the influence of physical conditions on productivity at Western
Electric’s factory at Hawthorne, Chicago in the 1920s and 30s.
• The researchers changed a number of physical conditions over the
course of the experiments including lighting, working hours and
breaks. In all cases, employee productivity increased when a change
was made. The researchers concluded that employees became
motivated to work harder as a response to the attention being paid to
them, rather than the actual physical changes themselves.
19. How to apply it to the workplace
• The Hawthorne Effect studies suggest that employees
will work harder if they know they’re being observed.
• It is not recommended to watch your employees all
day, you could try providing regular feedback, letting
your team know that you know what they’re up to and
how they’re doing.
• Showing your employees that you care about them and
their working conditions may also motivate them to
• Encourage your team to give you feedback and
suggestions about their workspace and development.
20. Expectancy Theory
• Expectancy Theory proposes that people will choose how
to behave depending on the outcomes they expect as a
result of their behaviour. In other words, we decide what to
do based on what we expect the outcome to be. At work, it
might be that we work longer hours because we expect a
• However, Expectancy Theory also suggests that the process
by which we decide our behaviours is also influenced by
how likely we perceive those rewards to be. In this
instance, workers may be more likely to work harder if they
had been promised a pay rise (and thus perceived that
outcome as very likely) than if they had only assumed they
might get one (and perceived the outcome as possible but
21. Expectancy Theory is based on three
• 1. Expectancy – the belief that your effort will result in your
desired goal. This is based on your past experience, your self
confidence and how difficult you think the goal is to achieve.
2. Instrumentality – the belief that you will receive a reward if
you meet performance expectations.
3. Valence – the value you place on the reward.
22. • Therefore, according to Expectancy Theory, people are
most motivated if they believe that they will receive a
desired reward if they hit an achievable target. They are
least motivated if they don’t want the reward or they don’t
believe that their efforts will result in the reward.
How to apply it to the workplace
• set achievable goals for your employees and provide
rewards that they actually want.
• Rewards don’t have to come in the form of pay rises,
bonuses or all-expenses paid nights out. Praise,
opportunities for progression and “employee of the month”
style rewards can all go a long way in motivating your
24. Alderfer's ERG theory
• Alderfer classifies needs into three
categories, also ordered hierarchically:
• growth needs (development of
competence and realization of potential)
• relatedness needs (satisfactory relations
• existence needs (physical well-being)
• This is very similar to Maslow -- can be
seen as just collapsing into three tiers. But
maybe a bit more rational.
25. Alderfer believed that as you start satisfying higher
needs, they become more intense (e.g., the power you
get the more you want power), like an addiction.
26. Equity Theory
• Suppose employee A gets a 20% raise and employee B gets a 10% raise.
Will both be motivated as a result? Will A be twice as motivated? Will be
B be negatively motivated?
• Equity theory says that it is not the actual reward that motivates, but the
perception, and the perception is based not on the reward in isolation, but
in comparison with the efforts that went into getting it, and the rewards
and efforts of others. If everyone got a 5% raise, B is likely to feel quite
pleased with her raise, even if she worked harder than everyone else. But
if A got an even higher raise, B perceives that she worked just as hard as A,
she will be unhappy.
• In other words, people's motivation results from a ratio of ratios: a person
compares the ratio of reward to effort with the comparable ratio of
reward to effort that they think others are getting.
27. • Of course, in terms of actually predicting how a
person will react to a given motivator, this will get
• People do not have complete information about
how others are rewarded. So they are going on
perceptions, rumors, inferences.
• Some people are more sensitive to equity issues
• Some people are willing to ignore short-term
inequities as long as they expect things to work
out in the long-term.
28. Goal setting theory
• This theory states that goal setting is essentially linked to task
performance. It states that specific and challenging goals along with
appropriate feedback contribute to higher and better task performance.
• In simple words, goals indicate and give direction to an employee about
what needs to be done and how much efforts are required to be put in.
The important features of goal-setting theory are as follows:
• The willingness to work towards attainment of goal is main source of job
• Clear, particular and difficult goals are greater motivating factors than
easy, general and vague goals.
• Specific and clear goals lead to greater output and better performance.
Unambiguous, measurable and clear goals accompanied by a deadline for
completion avoids misunderstanding.
• Goals should be realistic and challenging. This gives an individual a feeling
of pride and triumph when he attains them, and sets him up for
attainment of next goal.
• The more challenging the goal, the greater is the reward generally and the
more is the passion for achieving it.
29. • Better and appropriate feedback of results
directs the employee behaviour and
contributes to higher performance than
absence of feedback as It helps employees to
work with more involvement and leads to
greater job satisfaction.
• Employees’ participation in goal is not always
desirable. Participation of setting goal,
however, makes goal more acceptable and
leads to more involvement.
30. Goal setting theory has certain
eventualities such as:
• Self-efficiency- Self-efficiency is the individual’s self-confidence and
faith that he has potential of performing the task. Higher the level
of self-efficiency, greater will be the efforts put in by the individual
when they face challenging tasks. While, lower the level of self-
efficiency, less will be the efforts put in by the individual or he
might even quit while meeting challenges.
• Goal commitment- Goal setting theory assumes that the individual
is committed to the goal and will not leave the goal. The goal
commitment is dependent on the following factors:
– Goals are made open, known and broadcasted.
– Goals should be set-self by individual rather than designated.
– Individual’s set goals should be consistent with the organizational
goals and vision.
31. • Advantages of Goal Setting Theory
• Goal setting theory is a technique used to raise incentives for
employees to complete work quickly and effectively.
• Goal setting leads to better performance by increasing motivation
and efforts, but also through increasing and improving the feedback
• Limitations of Goal Setting Theory
• At times, the organizational goals are in conflict with the managerial
goals. Goal conflict has a detrimental effect on the performance if it
motivates incompatible action drift.
• Very difficult and complex goals stimulate riskier behaviour.
• If the employee lacks skills and competencies to perform actions
essential for goal, then the goal-setting can fail and lead to
undermining of performance.
• There is no evidence to prove that goal-setting improves job