Principles of Management

Motivating
Employees
AFTER STUDYING THIS CHAPTER YOU SHOULD BE ABLE TO:

• Define, What is Motivation.

• Recognize the process and importance of motivation.
• Asses how theories of motivation help’s manger at
workplace to manage and motivate the peoples.
• Describe current issues in Motivation.
• Articulate the differences between the theories of
motivation.
Nature Of Motivation

P
E
R
Environmen
Ability Motivation tal
Conditions
= F
O
R
M
A
N
C
E
 What Is Motivation?

– The processes that account for an individual’s

willingness to exert high levels of effort to reach
organizational goals, conditioned by the effort’s
ability to satisfy some individual need.

• Effort: a measure of intensity or drive.

• Direction: toward organizational goals
• Need: personalized reason to exert effort

– Motivation works best when individual needs are

compatible with organizational goals.
The Motivation Process
Motivation Process according to Theories

NEED Theories

Behaviours

Reward / Reinforcement
 Reinforcement Theory
 Social Learning Theory
 Need
Theories
a. MASLOW’S HIERACHY OF NEED
Potential means of fulfillment at work

Self Actualization Need Challenging Projects, Opportunities for

Personal growth and fulfillment Innovation and creativity, Training

Esteem need Important projects, Recognition,

Achievement, status, prestigious office location
responsibility

Belongingness Need Good Coworkers, peers, superiors,

Family, affection, relationship, customers.
workgroup

Job security, benefits, like life insurance,

Safety Need safety regulations
Protection, security, laws. limits

Physiological Need Basic pay, Work space, heat, water,

company cafeteria
Need Basic life need: air, food, drink,
shelter

Hierarchy
Criticism

Maslow’s hierarchy stimulated thinking about people's different

needs, but it had some flows.
 Research shows need may cluster into two or three categories, not
five.
 The hierarchy may not be same for all.
 Research has shown variations, with people from Greece and
Japan being more motivated by safety needs will more likely be
prime motivators of behavior.
 Entrepreneurs may chase dreams for years despite lower-level
needs being relatively deprived.
b. Herzberg's two-factor theory
Hygiene Factors Motivators
(Job Context) (Job Content)

Pay Achievements
Working Condition Responsibility
Supervisor Work itself
Company Policies Recognition
Fringe benefits Growth & Advancement

Hygiene Factors help to Motivators help to

prevent dissatisfaction promote satisfaction

High Neutral point High

Dissatisfaction satisfaction
Criticism

• The two-factor theory has been criticized because

researcher could not get the same result with other study
methods.
 c. ERG Theory
Alternative to Maslow’s hierarchy of need

Existence Need include various forms of material and physiological

●

desires, such as food and water, as well as work related

forms such as pay, fringe benefits and physical working
Need condition.

Relatednes Need addressing our relationships with

●

significant others, such as families, friendship

s Need groups, work group and professional groups.

Growth Need impelling creativity and innovation,

●

along with the desire to have a productive

Need impact on our surroundings.
 ●
Principle starting that satisfaction of one
Satisfaction level of need encourages concern with
Progression Principle the next level.

Frustration- Principle starting that if we are continually frustrated

●

in our attempts to satisfy a higher-level need, we may

regression Principle cease to be concerned about that need
Criticism
 Both Maslow’s and ERG theory are hard to test, requiring
changes to individuals' need and fulfillment levels to be
measured and tracked overtime.

 If ERG theory is supported and people try to fulfill ,any

needs at once, then motivating staff mean providing many
ways to fulfill needs. With ERG theory’s frustration
regression element, managers must allow employees to
satisfy growth needs, or they may lose interest.
 d. Acquired need theory
Theory stating that our needs are acquired or learned on the basis of our life experiences.

Need for ●
Desire to accomplish challenges tasks and
Achievement achieve a standard of excellence in one’s work.
(nAch)

Need for affiliation ●

Desire to maintain warm, friendly
(nAff) relationship with other.

Need for Power ●

Desire to influence others and
(nPow) control one’s environment.
 Personal Need of power in which individual wants to
●

dominate others for the sake of

Power demonstrating their ability to wield power.

Institutional Need of power in which individual focus on

●

working with others to solve problems and

Power further organizational goals.
Criticism

• Its easy to develop the achievement need and

other needs such as affiliation, may be more
difficult to develop.
 Comparison of needs in four
theories
Maslow: hierarchy of need Alderfer: ERG Herzberg: McClelland:
theory theory Two-factor acquired need
theory theory
Physiological
Existence
Safety and security Hygiene

Belongingness & love Relatedness Need for affiliation

Self-esteem
Need for
Self-Actualization Growth Motivators achievement
And power
 Cognitive
Theories
Theories attempting to isolate thinking patterns we use in
deciding whether or not to behave in a certain way.
 a. Expectancy Theory

E P P O Valance
What is the probability What is the probability
that i can perform at What value do I place
that my good
the required level if I on the potential
performance will lead
outcomes
try? to desired outcomes?

OUTCOMES: bonus, praise,

EFFORT PERFORMANCE
feeling of accomplishment
Implication for managers

• Apart from the P_O expectancy, expectancy theory has other

managerial implication. Managers must foster height subordinate
E_P expectancy. Their expectancy leads to high success motivation.
• They foster this through clear performance expectation; setting
challenges but reachable performance goals; ensuring employees
are trained and have a resources to reach required performance
level ;and being encouraged.
• Expectancy theory gives useful guidelines, however managers
results may not be as expected from their efforts unless employees
see outcomes as equitable. An issue equity theories address.
 b. Equity Theory
– Proposes that employees perceive what they get
from a job situation (outcomes) in relation to what
they put in (inputs) and then compare their inputs-
outcomes ratio 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).
– Employee responses to perceived inequities:

• Distort own or others’ ratios.

• Induce others to change their own inputs or outcomes.
• Change own inputs (increase or decrease efforts) or
outcomes (seek greater rewards).
• Choose a different comparison (referent) other (person,
systems, or self).
• Quit their job.
– Employees are concerned with both the absolute
and relative nature of organizational rewards.
Equity Theory
– Distributive justice
• The perceived fairness of the amount and allocation of
rewards among individuals (i.e., who received what).
– Influences an employee’s satisfaction.

– Procedural justice
• The perceived fairness of the process use to determine
the distribution of rewards (i.e., how who received
what).
– Affects an employee’s organizational commitment.
Implication for managers

 To apply expectancy theory’s recommendation,

managers must be two-way subordinate
communication to understand their perception of
equity,
 Subordinate must know the “rules” of outcome
allocation relative to inputs.
 Manager must have good communication with
subordinates, peers, customer and others associated
with the job.
 c. Goal Setting Theory
– Proposes that setting goals that are accepted, specific,
and challenging yet achievable will result in higher
performance than having no or easy goals.

• Benefits of Participation in Goal-Setting

– Increases the acceptance of goals.
– Fosters commitment to difficult, public goals.
– Provides for self-feedback (internal locus of control)
that guides behavior and motivates performance
(self-efficacy).
 d. Reinforcement Theory
Assumes that a desired behavior is a function of its
consequences, is externally caused, and if reinforced, is likely
to be repeated.

Types
Positive Negative Extinction Punishment
Job Design

– The way into which tasks can be combined to form

complete jobs.
– Factors influencing job design:
• Changing organizational environment/structure
• The organization’s technology
• Employees’ skill, abilities, and preferences
– Job enlargement
• Increasing the scope (number of tasks) in a job.
– Job enrichment
• Increasing responsibility and autonomy (depth) in a job.
 Job Characteristics Model
(JCM)

– A conceptual framework for designing motivating jobs that

create meaningful work experiences that satisfy
employees’ growth needs.
– Five primary job characteristics:
• Skill variety: how many skills and talents are needed?
• Task identity: does the job produce a complete work?
• Task significance: how important is the job?
• Autonomy: how much independence does the jobholder have?
• Feedback: do workers know how well they are doing?
Job Characteristics Model
 Suggestions for Using the JCM
– Combine tasks (job enlargement) to create more
meaningful work.
– Create natural work units to make employees’ work
important and whole.
– Establish external and internal client relationships to
provide feedback.
– Expand jobs vertically (job enrichment) by giving
employees more autonomy.
– Open feedback channels to let employees know how well
they are doing.
Thanks