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Chapter 16. Motivating Employees. The Concept of Motivation. Motivation – the arousal of enthusiasm and persistence to pursue a course of action Forces either intrinsic or extrinsic to a person that arouse enthusiasm and persistence Employee motivation affects productivity
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Chapter 16 Motivating Employees
The Concept of Motivation • Motivation –the arousal of enthusiasm and persistence to pursue a course of action • Forces either intrinsic or extrinsic to a person that arouse enthusiasm and persistence • Employee motivation affects productivity • A manager’s job is to channel motivation toward the accomplishment of goals
Content Perspectives on Motivation If managers understand employees’ needs, they can design appropriate reward systems • Needs motivate people • Needs translate into an internal drive that motivates behavior • People have a variety of needs
ERG Theory • Existence needs – the needs for physical well-being • Relatedness needs – the needs for satisfactory relationships with others • Growth needs – the needs that focus on the development of human potential and the desire for personal growth Frustration-regression principle: failure to meet a high-order need may cause a regression to an already satisfied lower-order need
Acquired Needs • Need for achievement • Need for affiliation • Need for power
Process Perspectives on Motivation How people select behavioral actions • Goal-Setting Theory • Equity Theory • Expectancy Theory
Goal-Setting Theory • Increase motivation and enhance performance by setting goals and providing timely feedback • Key components of the theory: • Goal specificity • Goal difficulty • Goal acceptance • Feedback
Equity Theory • Individual perceptions of fairness • Inequity occurs when the input-to-outcome ratios are out of balance • Perceived inequity can be reduced by: • Changing work effort • Changing outcomes • Changing perception • Leaving the job
Expectancy Theory • Motivation depends on individuals’ expectations about their ability to perform tasks and receive desired rewards • E → P: determining whether putting effort into a given task will lead to high performance • P → O: determining whether successful performance of a task will lead to the desired outcome • Valence – the value or attraction an individual has for an outcome
Reinforcement Perspective on Motivation Behavior Modification Reinforcement theory techniques used to modify behavior Reinforcement Anything that causes a behavior to be repeated or inhibited Law of Effect Positively reinforced behavior tends to be repeated and unreinforced behavior inhibited
Four Reinforcement Tools Extinction Withholding of a positive reward Punishment Imposition of unpleasant outcomes on an employee Avoidance learning Removal of an unpleasant consequence once a behavior is improved Positive Reinforcement Pleasant and rewarding consequences following a desired behavior
Social Learning Theory Individual’s motivation can result from the person’s observations of other people’s behavior • Vicarious learning – observational learning from seeing others’ behaviors and getting rewarded for them
Job Design for Motivation • Job Rotation • Job Enlargement • Job Enrichment
Core Job Dimensions Dimensions that determine a job’s motivational potential: • Skill variety • Task identity • Task significance • Autonomy • Feedback • Based on: • Critical Psychological States • Personal and Work Outcomes • Employee Growth-Need Strength
Innovative Ideas for Motivating • Organizations are using various types of incentive compensation to motivate employees to higher levels of performance • Variable compensation is a key motivational tool • Incentive plans can backfire • They should be combined with motivational ideas and intrinsic rewards and meeting higher-level needs • Incentives should reward the desired behavior
Empowering People to Meet Higher Needs • Employees receive information about company performance • Employees have knowledge and skills to contribute to company goals • Employees have the power to make substance decisions • Employees are rewarded based on company performance