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HNDBM – 5. Motivation Applications. Lim Sei Kee @ cK. Management By Objectives (MBO). Is a motivational technique in which the manager and the employee work together to set employee goals Common ingredients of MBO : Specific goals Participative decision making Explicit time period
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HNDBM – 5. Motivation Applications Lim SeiKee @ cK
Management By Objectives (MBO) • Is a motivational technique in which the manager and the employee work together to set employee goals • Common ingredients of MBO : • Specific goals • Participative decision making • Explicit time period • Feedback on goal progress
Employee involvement program • A participative process that uses the entire capacity of employees and is designed to encourage increased commitment to the organization’s success
Forms of Employee Involvement • Participative Management • Representative Participation • Quality Circles • Employee Stock Ownership Plans
Participative Management • A process in which subordinates share a significant degree of decision-making power with their immediate superiors.
Representative Participation • Workers participate in organizational decision making through a small group of representative employees. • Work Councils – groups of nominated or elected employees who must ne consulted when management makes decisions involving personnel • Board Representatives – a form of representative participation; employees sit on a company’s board of directors and represent the interests of the firm’s employees
Quality Circles • A work group of employees who meet regularly to discuss their quality problems, investigate causes, recommend solutions and take corrective actions.
Employee Stock Ownership Plans • Company-established benefit plans in which employees acquire stock as part of their benefits
Job redesign • Job Rotation • Job Enlargement • Job Enrichment
Job Rotation - The periodic shifting of an employee from one task to another • Job Enlargement - Increasing the number and variety of tasks that an individual performs results in jobs with more diversity • Job Enrichment - The vertical expansion of jobs, increasing the degree to which the worker controls the planning, execution, and evaluation of his or her work.
Job Scheduling • Flextime • Job Sharing • Telecommuting
Flextime - Flexible work hours • Job Sharing – An arrangement that allows two or more individuals to split a traditional 40-hour-a-week job • Telecommuting – Refers to employees who do their work at home at least two days a week on a computer that is linked to their office.
Variable – pay programs • Piece-rate pay plans – Workers are paid a fixed sum for each unit of production completed • Profit-sharing plans – Organization-wide programs that distribute compensation based on some established formula designed around a company’s profitability • Gainsharing – An incentive plan in which improvements in group productivity determine the total amount of money that is allocated
Skill-based pay plans • Pay levels are based on how many skills employees have or how many jobs they can do • Encourage employees to acquire broader range of skills
Flexible benefits • Employees tailor their benefit program to meet their personal needs by picking and choosing from a menu of benefit options • Modular plans – predesigned packages of benefits, with each module put together to meet the needs of a specific group of employees • Core-plus plans – core of essential benefits and a-menu-like selection of other benefit options from which employees can select and add to the core • Flexible spending plans – allow employees to set aside up to the dollar amount offered in the plan to pay particular services