(Organizational Behavior)
Gonzalo44
Ch.6forlecture2021FAll.pptxLearning Objectives
Describe the history of job design approaches
Understand how to increase the motivating potential of a job
Understand why goals should be SMART
Set SMART goals
Give performance feedback effectively
Describe individual, team, and organization based incentives that can be used to motivate the workforce
Chapter 6 Designing a Motivating Work Environment
Performance with Purpose: The Case of PepsiCo
PepsiCo owns beverages such as Pepsi, Mountain Dew, Tropicana, and 7Up, as well as snacks such as Lay’s chips, Doritos, and Quaker.
Performance with Purpose (PwP) decision-making strategy and sustainability goals
Reduce greenhouse gas emissions across global value chain
Include PwP-related goals in performance reviews
Tie resource allocations to sustainability impact
Link major investments to PWP goals and objectives
Case Discussion Questions
How do you think PwP motivates employees at PepsiCo?
Explain the role of goals as a motivational tool. Are there mechanisms outside of goals and incentives that would make PwP motivate employees?
Would this be the type of company you would be interested in working for? Why or why not?
6.1. Intrinsic Motivation
Scientific Management and Job Specialization
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Scientific Management
Based on ideas from Frederic Taylor’s 1911 book, “Principles of Scientific Management”
Job Specialization
Among the most influential books of the 20th century
Break down jobs into their simplest components
Assign tasks so each employee performs a select number of tasks in a repetitive manner
Alternatives to Job Specialization
Job Rotation
Job Enrichment
Job Enlargement
Moving employees from job to job at regular intervals
Allowing workers more control over how they perform tasks
Expanding the tasks performed by employees to add more variety
The Job Characteristics Model
High work
effectiveness
High growth
satisfaction
High general job
satisfaction
High intrinsic
work motivation
Outcomes
Knowledge of the
actual results of
the work activities
Experienced
responsibility for
outcomes of the
work
Experienced
meaningfulness of
work
Critical
psychological
state
Feedback from
job
Autonomy
Skill variety
Task identity
Task significance
Core
job
characteristics
Moderators
Knowledge and skill
Growth need strength
Context satisfaction
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Empowerment
| Structural Empowerment | ||||
| Decision authority | Leadership styles | Organizational structure | Access to information | Organizational climate |
| Felt Empowerment | |||
| Meaningful work | Feeling confident about performing the job | Having discretion and autonomy at work | Ability to influence how the company operates |
What is the difference between job enlargement and job enrichment? Which of these approaches is more useful in dealing with the boredom and monotony of job specialization?
Does a job with a high motivation potential motivate all employees? Under which conditions is the model less successful in motivating employees?
How would you increase the empowerment levels of employees?
Discussion
6.2. Goal Setting
SMART Goals
Give an example of a SMART goal.
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S
Specific
M
Measurable
A
Aggressive
R
T
Realistic
Time-Bound
Why Do SMART Goals Motivate?
SMART Goals
Energize
Give Direction
Provide Challenge
Make You Think Outside the Box
When Are Goals More Effective?
Feedback
Ability
Goal Commitment
Management by Objectives
Use corporate strategy to set company wide goals
Determine team- and department-level goals
Collaboratively set individual-level goals that align with corporate strategy
Develop an action plan
Periodically review performance and revise goals
Give an example of a SMART goal.
If a manager tells you to “sell as much as you can,” is this goal likely to be effective? Why or why not?
How would you ensure that employees are committed to the goals set for them?
Discussion
Model for Motivation Enhancement
1. GOALS/EXPECTATIONS
Accepted
Challenging and specific
Feedback
2.
ABILITY
Aptitude
Training
Resources
4.
EQUITY
Social comparisons
Personal expectations
5.
SALIENCE
Personal needs
6.
TIMELINESS
EFFORT
(Desire and Commitment)
PERFORMANCE
3. OUTCOMES
(Rewards and Discipline)
SATISFACTION
Absenteeism
and Turnover
+
-
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6.3. Providing Feedback
Performance Appraisal
Many companies have a formal, companywide process of providing feedback to employees.
Improving Individual Performance
Figure 9-1
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Test Your Knowledge
True (A) or False (B)
The higher one gets in an organization the better the quality of their feedback is.
Feedback is so valuable, it is typically accepted and appreciated.
Feedback is too infrequent in organizations.
Feedback needs to be tailored to the recipient.
The manager’s expertise is irrelevant when giving feedback.
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Tips for Giving Good Feedback
Focus feedback on performance, not personalities
Give specific feedback tied to observable behavior or measurable results
Channel feedback toward key result areas
Give feedback as soon as possible
Give positive feedback for improvement, not just final results
Base feedback on accurate and credible information
Pair feedback with clear expectations for improvement.
OB Toolbox
Conducting an Effective Performance Appraisal Meeting
Before the meeting
Ask the person to complete a self-appraisal
Complete the performance appraisal form
Avoid recency bias
Handle the logistics
During the meeting
Be sure to recognize effective performance
Do not start the meeting with a criticism
Give employees lots of opportunities to talk
Show empathy and support
Set goals and create an action plan
Bias in Performance Appraisals
Unfair Appraisal
Liking
Leniency
Stereotypes
Why Do Extrinsic Rewards Fail to Motivate?
Too much emphasis on monetary rewards
Rewards lack an “appreciation effect”
Extensive benefits become entitlements
Counterproductive behavior is rewarded
Too long a delay between performance and rewards
Too many one-size-fits-all rewards
Use of one-shot rewards with a short-lived motivational impact
Continued use of demotivating practices such as layoffs, across-the-board raises and cuts, and excessive executive compensation
6.4. Individual- vs. Team-based pay
When should team-based pay systems be used?
Individual- vs. Team-based pay
When should team-based pay systems be used?
How to Make Team-Based Pay Work
Prepare employees with interpersonal skills training.
Don’t introduce team-pay until teams are running smoothly.
Blend individual and team incentives.
Start by rewarding teamwork behaviors and then evolve to incentives for team results.
Make sure each team member has a clear line of sight to key team results.
What are the advantages and disadvantages of bonuses compared to merit pay? Which one would you use if you were a manager at a company?
What are the advantages of using awards as opposed to cash as an incentive?
How effective are stock options in motivation employees? Why do companies offer them?
Discussion
Goal setting, Motivating Employees and Ethics
When goal accomplishment is rewarded, and when rewards are desirable, employees will have two basic options:
Work hard to reach goals
Cheat to reach goals
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Many observers and employees are concerned about the spread between CEO pay and average employee pay. Is it ethical for CEOs to be paid so much more than other employees? Under which conditions would it be unethical?
Discussion
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What are the motivational problems (and the causes) here?
What are the motivation theories applicable to the issues?
How to solve the problems?
Case Study (Perfect Pizzaria)
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