Lecture 3 Motivation Concepts BBA 352 Organizational Behavior

Lecture 3 Motivation Concepts BBA 352 Organizational Behavior Department of Business Administration Dr. S. Chan Charmaine@chuhai. edu. hk http: //home. chuhai. hk/~charmaine/

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

Early Theories of Motivation These early theories may not be directly valid, but they do form the basis for contemporary theories and are still used by practicing managers. ØMaslow’s Hierarchy of Needs Theory ØMc. Gregor’s Theory X and Theory Y ØHerzberg’s Two-Factor Theory ØMc. Clelland’s Theory of Needs

Maslow’s Hierarchy of Needs There is a hierarchy of five needs. As each need is substantially satisfied, the next need becomes dominant. Assumptions Higher Order Internal Lower Order External Self. Actualization Esteem Social Safety Physiological – Individuals cannot move to the next higher level until all needs at the current (lower) level are satisfied – Must move in hierarchical order

Maslow’s Hierarchy of Needs Maslow’s hierarchy of needs Physiological Needs needs for oxygen, food, water, and a relatively constant body temperature. They are the strongest needs because if a person were deprived of all needs, the physiological ones would come first in the person's search for satisfaction. Safety Needs When all physiological needs are satisfied, the needs for security can become active. Adults have little awareness of their security needs except in times of emergency or periods of disorganization in the social structure. Children often display the signs of insecurity and the need to be safe. Needs of Love, Affection and Belongingness When the needs for safety and for physiological well-being are satisfied, the next class of needs for love, affection and belongingness can emerge. Maslow assumes people seek to overcome feelings of loneliness, involves giving / receiving love, affection and the sense of belonging. Needs for Esteem When the first three needs are satisfied, the needs for esteem can become dominant. These involve needs for both self-esteem and for the esteem a person gets from others. Humans have a need for a stable, firmly based, high level of self-respect, and respect from others. When these needs are satisfied, the person feels self-confident and valuable as a person in the world. When these needs are frustrated, the person feels inferior, weak, helpless and worthless. Needs for Self-Actualization The needs for self-actualization is a person's need to be and do that which the person was "born to do. " "A musician must make music, an artist must paint, and a poet must write. " These needs make themselves felt in signs of restlessness. The person feels on edge, tense, restless.

Maslow’s Hierarchy of Needs • A satisfied need is not a motivator of behavior. Therefore a person who already receives a more than adequate level of salary, additional payments may have no effect on motivation • A motivator for one person may not be effective with another, so different people will have different combinations of needs • Effective motivation results from an accurate assessment of the needs of the individual under the manager’s supervision • E. g. - motivated by building their confidence. - How to motivate a staff who’s great need for esteem but working performance is not good? —By announcing his/her poor performance to colleagues in a meeting

Mc. Gregor’s Theory X and Theory Y Ø Two distinct views of human beings: Theory X (basically negative) and Theory Y (positive). – Theory X, employees inherently have little motivation, dislike work, avoid responsibility, self-centred and do not care about organizational goal, resist change, they are assumed work for money and security. – How to manage theory X staff: they must be directed or forced to change, use implicit threats, close supervision, tight control – Theory Y, workers are perceived as self directed, enjoy work and seek responsibility. They will be committed to their objectives if the reward are appropriate that higher level of fulfilment is motivated. Also assume that creativity and ingenuity are common – Mc. Gegor suggests that participative decision making, responsibility can challenging job would help maximize employees’ job motivation – Decentralization and delegation, job enlargement, participative management, performance appraisals can be used. Ø No empirical evidence to support this theory.

Herzberg’s Two-Factor Theory/ Motivationhygiene theory Key Point: Satisfaction and dissatisfaction are not opposites but separate constructs • This theory has substantially contributed to the understanding of motivation at work, particularly extended Maslow’s theory to the work situation and highly the importance of job content factors. ` • There are two types of motivators, one type which results in satisfaction with the job (the motivators ), and the other which merely prevents dissatisfaction (the hygienes). Dissatisfaction hygiene includes : • company policy/administration • working conditions • supervision • interpersonal relations • money • status • security Job satisfaction motivator includes: • achievement • recognition • work itself • responsibility • advancement

Herzberg’s Two-Factor Theory/ Motivationhygiene theory Key Point: Satisfaction and dissatisfaction are not opposites but separate constructs -Herzberg: Factors to job satisfaction could be different from factors to job dissatisfaction—they are two different constructs. -Intrinsic factors (true motivators) such as advancement, recognition, achievement, work itself, responsibility, growth are related to job satisfaction -Extrinsic factors (hygiene factors) such as supervision, pay, company policies and working environment are major factors lead to job dissatisfaction. -Improving extrinsic factors not necessary lead to an increase in job satisfaction, managers remove improve extrinsic factors may bring peace at work but not necessarily motivation.

David Mc. Clelland’s Three Needs Theory ØNeed for Achievement (n. Ach) – The drive to excel, to achieve in relation to a set of standards, to strive to succeed – They want to have success and need to receive positive feedback – Avoid low and high risk – Like to work alone, or with high achiever – Mc. Clelland believes they can be best leaders although they can be too demanding and result driven ØNeed for Power (n. Pow) – The need to make others behave in a way that they would not have behaved otherwise – High need for personal power, want to direct and influence others – Enjoy competition and status-oriented position – Lack flexibility and people centered skills

David Mc. Clelland’s Three Needs Theory ØNeed for Affiliation (n. Aff) – The desire for friendly and close interpersonal relationships – They want to be liked and accepted by others, focus on personal interaction – They tend to conform to the norms of their work group – Prefer cooperation over competition – They perform well in customer service and client interaction – Mc. Clelland believed that strong n. Aff undermines objectivity of and decision making capability of managers

Performance Predictions for High n. Ach Ø People with a high need for achievement are likely to: – Prefer to undertake activities with a 50/50 chance of success, avoiding very low- or high-risk situations – Be motivated in jobs that offer high degree of personal responsibility, feedback, and moderate risk – Not necessarily make good managers – too personal a focus. Most good general managers do NOT have a high n. Ach – Need high level of n. Pow and low n. Aff for managerial success Ø Good research support, but it is not a very practical theory, difficult to measure the needs 6 -11

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

Locke’s Goal-Setting Theory (late 1960’s) Ø Basic Premise: – That specific and difficult goals, with self-generated feedback, lead to higher performance – Goal is a major source of work motivation. It tells employees what needs to be done, and how much effort will be needed. Ø Difficult Goals: – – Be focus and direct attention Energize the person to work harder Difficulty increases persistence Force people to be more effective and efficient Ø Relationship between goals and performance depends on: – Goal commitment (the more public the better!) – Task characteristics (simple, well-learned) – Culture (best match is in North America)

Implementation: Management by Objectives Ø MBO is a systematic way to utilize goal-setting. Ø Goals must be: – Tangible – Verifiable – Measurable Ø Corporate goals are broken down into smaller, more specific goals at each level of organization. Ø Four common ingredients to MBO programs: – – Goal specificity Participative decision making Explicit time period Performance feedback Ø MBO may fail in implementation when: lack of commitment by top managers, unrealistic expectations inability or unwillingness of management to allocate rewards cultural factors, e. g. Japan, low risk, long term goals.

Bandura’s Self-Efficacy Theory Ø An individual’s belief that he or she is capable of performing a task. Ø One with higher self-efficacy has higher confidence in the ability to success, more willing to master the challenge and not be easy to give up in difficult situation – Higher efficacy is related to: • Greater confidence • Greater persistence in the face of difficulties • Better response to negative feedback (work harder) – Self-Efficacy complements Goal-Setting Theory.

Increasing Self-Efficacy Ø Enactive mastery – – – Most important source of efficacy Gaining relevant experience with task or job “Practice makes perfect” Ø Vicarious modeling – – Increasing confidence by watching others perform the task Most effective when observer sees the model to be similar to himor herself Ø Verbal persuasion – – Motivation through verbal conviction Pygmalion (畢馬龍效應) and Galatea effects - self-fulfilling prophecies Ø Arousal – – Getting “psyched up” – emotionally aroused – to complete task Can hurt performance if emotion is not a component of the task

Adams’ Equity Theory Ø Employees compare their ratios of outcomes-to-inputs of relevant others. – When ratios are equal: state of equity exists – there is no tension as the situation is considered fair – Fairness between inputs: effort, experience, education, competence and output: salary, raises, recognition) relative to those of others. – When ratios are unequal: tension exists due to unfairness • Under-rewarded states cause anger • Over-rewarded states cause guilt – Tension motivates people to act to bring their situation into equity

Equity Theory’s “Relevant Others” Ø Can be four different situations: – Self-Inside • The person’s experience in a different job in the same organization – Self-Outside • The person’s experience in a different job in a different organization – Other-Inside • Another individual or group within the organization – Other-Outside • Another individual or group outside of the organization

Reactions to Inequity Ø Employee behaviors to create equity: – – – Change inputs (slack off) Change outcomes (increase output) Distort/change perceptions of self Distort/change perceptions of others Choose a different referent person Leave the field (quit the job) Ø Propositions relating to inequitable pay: – Paid by time: • Overrewarded employees produce more • Underrewarded employees produce less with low quality – Paid by quality: • Overrewarded employees give higher quality • Underrewarded employees make more of low quality

Justice and Equity Theory Procedural Justice Distributive Justice • Fairness of outcome process • Fairness of outcome Interactional Justice • Being treated with dignity and respect Organizationa l Justice Overall perception of what is fair in the workplace.

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. ØEffort-performance relationship: perception about a given amount of effort will lead to performance – If I give a maximum effort, will it be recognized in my performance appraisal? ØPerformance-reward relationship: perception of the degree of performing a particular level will lead to attainment of a desired outcome – If I get a good performance appraisal, will it lead to better rewards? ØRewards-personal goal relationship: The attractiveness of the reward which satisfies an individual personal goal or needs – If I ‘m rewarded, are the rewards that I find personally attractive?