ORGANIZATIONAL BEHAVIOR

Course Leader: Dr. Berihun Muche

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CHAPTER 05

Motivation Concepts

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Chapter Learning Objectives
● After studying this chapter, you should be able to:
● – Describe the three elements of motivation.
● – Identify the early theories of motivation and evaluate their applicability today.
● – Apply the predictions of the self-determination theory to intrinsic and extrinsic
rewards.
● – Compare and contrast goal-setting theory and management by objectives.
● – Contrast reinforcement theory and goal-setting theory.
● – Demonstrate how organizational justice is a refinement of
equity theory.
● – Apply the key tenets of expectancy theory to motivating
employees.
● – Compare contemporary theories of motivation.

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Defining Motivation
● The result of the interaction between the individual and the situation.
● The processes that account for an individual’s intensity, direction, and
persistence of effort toward attaining a goal – specifically, an
organizational goal.
● Three key elements:
o – Intensity – how hard a person tries
o – Direction – effort that is channeled toward, and consistent with,
organizational goals
o – Persistence – how long a person can maintain effort

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 QUESTION TIME
______________ is defined as the processes that account
for an individual's intensity, direction, and persistence
of effort toward attaining a goal.

A) Leadership
B) Management
C) Learning
CREDITS: This presentation template was created by
D) Emotional
Slidesgo, labor icons by Flaticon, infographics &
including
E) Motivation images by Freepik

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Early Theories of Motivation
● These early theories may not be valid, but they do form the basis for
contemporary theories and are still used by practicing managers.
● Maslow’s Hierarchy of Needs Theory
● McGregor’s Theory X and Theory Y
● Herzberg’s Two-Factor Theory
● McClelland’s Theory of Needs

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 Maslow’s Hierarchy of Needs
● There is a hierarchy of five needs. As each need is substantially satisfied,
the next need becomes dominant.

Self-Actualization
Assumptions – Individuals cannot
move to the next
Esteem higher level until
Higher Order
all needs at the
Internal
current (lower)
Social
level are satisfied
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Lower Order
External
Psychological

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McGregor’s Theory X and Theory Y
● Two distinct views of human beings: Theory X (basically negative) and
Theory Y (positive).
o Managers used a set of assumptions based on their view
o The assumptions molded their behavior toward employees

Theory X Theory Y

• Workers have little • Workers are self-

ambition directed
• Dislike work • Enjoy work
• Avoid responsibility • Accept responsibility
● No empirical evidence to support this theory.

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Herzberg’s Two-Factor Theory
● A theory that relates intrinsic factors to job satisfaction and associates
extrinsic factors with dissatisfaction. Also called motivation-hygiene theory

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 Herzberg’s Two-Factor Theory
● Key Point: Satisfaction and dissatisfaction are not opposites but separate
constructs

Hygiene
Motivators
Factors

Extrinsic and Intrinsic and

Related to Company Related to
Growth
Policies
Dissatisfaction Satisfaction
Salary Responsibility

Work
Achievement
Conditions

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 QUESTION TIME
According to the two-factor theory, ________.
a. A) there exists a hierarchy of needs within every human being, and as
each need is satisfied, the next one becomes dominant
b. B) most employees inherently dislike work and must therefore be
directed or even coerced into performing it
c. C) employees view work as being as natural as rest or play, and therefore
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e. E) achievement, power, and affiliation are three important needs that help
explain motivation
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Two-Factor Theory
● Herzberg says that hygiene factors must be met to remove dissatisfaction.
If motivators are given, then satisfaction can occur.

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McClelland’s Three Needs Theory
● Need for Achievement (nAch)
o The drive to excel, to achieve in relation to a set of standards, to strive
to succeed
● Need for Power (nPow)
o The need to make others behave in a way that they would not have
behaved otherwise
● Need for Affiliation (nAff)
o The desire for friendly and close interpersonal relationships

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Contemporary Theories of Motivation
● Self-Determination Theory
● Goal-Setting Theory
o Management by Objectives (MBO)
● Self-Efficacy Theory
o Also known as Social Cognitive Theory or Social Learning Theory
● Reinforcement Theory
● Equity Theory
● Expectancy Theory

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Self-Determination Theory
● People prefer to feel they have control over their actions, so anything that
makes a previously enjoyed task feel more like an obligation than a freely
chosen activity will undermine motivation.
● Major Implications for Work Rewards
o Intrinsic and extrinsic rewards are not independent
o Extrinsic rewards may decrease intrinsic rewards
o Goal setting is more effective in improving motivation
o Verbal rewards increase intrinsic motivation; tangible
rewards reduce it

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Locke’s Goal-Setting Theory
● Basic Premise:
o That specific and difficult goals, with self-generated feedback, lead to
higher performance
● Difficult Goals:
o Focus and direct attention
o Energize the person to work harder
o Difficulty increases persistence
o Force people to be more effective and efficient

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Implementation: Management by Objectives
● MBO is a systematic way to utilize goal-setting.
● Corporate goals are broken down into smaller, more specific goals at each
level of organization.

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Cascading of Objectives

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Management by Objectives
● Four common ingredients to MBO programs:
o Goal specificity
o Participative decision making
o Explicit time period
o Performance feedback.

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Bandura’s Self-Efficacy Theory
● An individual’s belief that he or she is capable of performing a task.
o Higher efficacy is related to:
• Greater confidence
• Greater persistence in the face of difficulties
• Better response to negative feedback (work harder)
o Self-efficacy complements Goal-Setting Theory
Increased
Confidence

Higher
Given Hard Goal
Performance

Higher Self-Set
Goal
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Justice and Equity Theory

Procedural
Justice
• Fairness of
outcome process
Interactional
Distributive
Justice
Justice • Being treated
• Fairness of
with dignity and
outcome
respect

Organizational
Overall perception
Justice of what is fair in the
workplace.

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Vroom’s Expectancy Theory
● The strength of a tendency to act in a certain way depends on the strength
of an expectation that the act will be followed by a given outcome and on
the attractiveness of the outcome to the individual.

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Global Implications
● Motivation theories are often culture-bound.
o Maslow’s Hierarchy of Needs Theory
• Order of needs is not universal
o McClelland’s Three Needs Theory
• nAch presupposes a willingness to accept risk and performance
concerns – not universal traits
o Adams’ Equity Theory
• A desire for equity is not universal
• “Each according to his need” – socialist/former
communists
● Desire for interesting work seems to be universal.
o There is some evidence that the intrinsic factors of
Herzberg’s Two-Factor Theory may be universal
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Summary and Managerial Implications
● Need Theories (Maslow, Alderfer, McClelland, Herzberg)
o Well known, but not very good predictors of behavior
● Goal-Setting Theory
o While limited in scope, good predictor
● Equity Theory
o Best known for research in organizational justice
● Expectancy Theory
o Good predictor of performance variables but shares
many of the assumptions as rational decision making

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DISCUSSION POINT
● Identify the early and contemporary theories of
motivation and evaluate their applicability.

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Slidesgo, including icons by Flaticon, infographics &
(Please images by
discuss your thoughts onFreepik
the LMS discussion board)

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ANY QUESTIONS

?
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THANK YOU!

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