Case Study Essay
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lecture_4.pptxEmployee Motivation & Performance Practices
Prepared by Raymond Nam Cam Trau
Previously….
Overview and understanding of self-concept, including how we perceive ourselves and the world around us.
Perceptual processes adopted to attach meaning
Developing a global mindset
Overview of This Topic
Motivation and the role of human drives and emotions
Motivation models such as Maslow’s Needs Hierarchy, McClelland’s Learned Needs Theory, Expectancy Theory and Equity Theory.
Role of money in motivating individual, team and organizational performance
Five ways to improve reward effectiveness
Job specialisation vs. job design
Worker empowerment to drives performance
Monetary incentives designed by organizations to sharpen thinking and accelerate creativity, has been found to have the opposite effect on motivation
Financial rewards are not the primary motivators of high engagement and job performance
Intrinsic motivators such as autonomy, mastery and purpose engage workers as they feel they are part of something important
Motivation Defined
The forces within a person that affect the direction, intensity and persistence of voluntary behaviour
Exerting particular effort level (intensity), for a certain amount of time (persistence), toward a particular goal (direction)
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Drives and Needs
Drives (primary needs)
Hardwired brain characteristics (neural states) that energise individuals to maintain balance by correcting deficiencies
Prime movers of behaviour by activating emotions
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Drives and Needs (continued)
Needs
Goal-directed forces that people experience.
Drive-generated emotions directed toward goals
Goals formed by self-concept, social norms, and experience
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Maslow’s Needs Hierarchy Theory
Seven categories—five in a hierarchy—capture most needs
Lowest unmet need is strongest. When satisfied, next higher need becomes primary motivator
Self-actualisation—a growth need because people desire more rather than less of it when satisfied
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What Maslow Contributed to Motivation Theory
Holistic perspective
Integrative view of needs
Humanistic perspective
Influence of social dynamics, not just instinct
Positive perspective
Pay attention to strengths (growth needs), not just deficiencies
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Learned Needs Theory
Needs are amplified or suppressed through self-concept, social norms and past experience
Therefore, needs can be ‘learned’ and can be strengthened through reinforcement, learning and social conditions
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Three Learned Needs
Need for achievement
Need to reach goals, take responsibility
Want reasonably challenging goals
Need for affiliation
Desire to seek approval, conform to others’ wishes, avoid conflict
Effective executives have lower need for social approval
Need for power
Desire to control one’s environment
Personalised versus socialised power
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Activity 1: Survey of personal ranking of work related attributes
What was considered to be the most important work attribute? Which work attribute was most popular among female students?
What was considered to be the least important work attribute?
Using Maslow’s Needs Hierarchy and McClelland’s Motivational Needs discuss what levels of employee needs are being met?
Expectancy Theory of Motivation
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Increasing E–to–P and P–to–O Expectancies
Increasing E–to–P Expectancies
Develop employee competencies
Match employee competencies to jobs
Provide role clarity and sufficient resources
Provide behavioural modelling
Increasing P–to–O Expectancies
Measure performance accurately
Increase rewards with desired outcomes
Explain how rewards are linked to performance
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Increasing Outcome Valences
Ensure that rewards are valued
Individualise rewards
Minimise countervalent outcomes
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Goal Setting
The process of motivating employees and clarifying their role perceptions by establishing performance objectives
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Effective Goal Setting Characteristics
Specific: what, how, where, when and with whom the task needs to be accomplished
Measurable: how much, how well, at what cost
Achievable: challenging, yet accepted (E–to–P)
Relevant: within employee’s control
Time-framed: due date and when assessed
Exciting: employee commitment, not just compliance
Reviewed: feedback and recognition on goal progress and accomplishment
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Equity Theory
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Elements of Equity Theory
Outcome/input ratio
Inputs: what employee contributes (e.g. skill)
Outcomes: what employee receives (e.g. pay)
Comparison other
Person/people against whom we compare our ratio
Not easily identifiable
Equity evaluation
Compare outcome/input ratio with the comparison other
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Correcting Inequity Tension
| ACTION TO CORRECT UNDER REWARDED INEQUITY | EXAMPLES |
| Reduce our inputs | Less organisational citizenship |
| Increase our outcomes | Ask for pay increase |
| Increase other’s outputs | Ask co-worker to work harder |
| Reduce other’s outputs | Ask boss to stop preferentially treating co-worker |
| Change our perceptions | Start thinking that privileges that co-workers get is not that valuable |
| Change comparison others | Compare someone closer to your situation |
| Leave the field | Quit job |
Types of Rewards in the Workplace
Membership and seniority
Job status
Competencies
Task performance
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Membership/Seniority Based Rewards
Some benefits increase with seniority
Advantages
Attract job applicants
Reduce turnover
Disadvantages
Do not motivate high performance
Discourage poor performers from leaving
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Job Status-Based Rewards
Includes job evaluation and status perks
Advantages:
Job evaluation tries to maintain fairness (pay equity)
Motivates competition for promotions
Disadvantages:
Encourages bureaucratic hierarchy
Might undermine cost-efficiency and responsiveness
Reinforces status mentality
Encourages competition, not collaboration
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Competency-Based Rewards
Pay increases with acquired and demonstrated competencies
Skill-based pay
Pay increases with skill modules learned
Advantages
More flexible workforce, better quality, consistent with employability
Disadvantages
Potentially subjective, higher training costs
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Financial Reward Practices
Financial rewards—fundamental part of employment relationship
Pay has multiple meanings
Symbol of success
Reinforcer and motivator
Reflection of performance
Can reduce anxiety
Men value money more than women do
Cultural values influence the meaning and value of money
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Activity 2 Drive: The surprising truth about what motivates us
https://www.youtube.com/watch?v= u6XAPnuFjJc
Do you agree with the argument presented in this video that rewards can in fact demotivate?
Organisational
rewards
Profit sharing
Share ownership
Stock options
Balanced scorecard
Team
rewards
Bonuses
Gain sharing
Individual
rewards
Bonuses
Commissions
Piece rate
Performance-Based Rewards
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Performance-related Rewards
‘Performance-related rewards (or incentives) are rewards given in recognition of past performance (individually or collectively) and in order to reinforce and enhance future performance’ (Nankervis et. al., 2013, p. 454)
Should teachers, doctors, etc. who work in professions that are driven by passion or social outcomes be paid for individual performance?
Job Design
Assigning tasks to a job, including the interdependency of those tasks with other jobs
Organisation's goal—to create jobs that can be performed efficiently, yet employees are motivated and engaged
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Job Design and Work Efficiency
Dividing work into separate jobs that include a subset of the tasks required to complete the product or service
Scientific management
Frederick Winslow Taylor
Advocated job specialisation
Taylor also emphasised person-job matching, training, goal setting, work incentives
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Evaluating Job Specialisation
| ADVANTAGE | DISADVANTAGE |
| Less time changing activities | Job boredom |
| Lower training costs | Discontentment pay |
| Job mastered quickly | Higher costs |
| Better person-job matching | Lower quality |
| Lower motivation |
Job Design and Work Motivation
Motivation is now the central focus of many job design changes
Motivator: hygiene theory proposes that employees experience job satisfaction when they fulfill growth and esteem needs (motivators), and experience dissatisfaction when they have poor working conditions (hygienes)
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Job Characteristics Model
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Job Design Practices that Motivate Workers
Job Rotation
Moving from one job to another
Benefits
Minimises repetitive strain injury
Multi-skills the workforce
Potentially reduces job boredom
Job ‘A’
Job ‘B’
Job ‘C’
Job ‘D’
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Job Enlargement
Adding tasks to an existing job
Example: video journalist
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Job Enlargement
Adding tasks to an existing job
Improves work efficiency and flexibility
Example: video journalist
Performs several tasks previously performed by people in a few jobs
Also example of job enrichment due to increased autonomy
Problem: Just adding more tasks will not increase job satisfaction or performance—need job enrichment (adding autonomy and job knowledge)
Job Enrichment
Giving employees more responsibility for scheduling, coordinating and planning their own work
1. Clustering tasks into natural groups
Stitching highly interdependent tasks into one job
E.g. video journalist, assembling entire product
2. Establishing client relationships
Directly responsible for specific clients
Communicate directly with those clients
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Empowerment Practices
Meaning
Competence
Employees believe their work is important
Employees have feelings of self-efficacy
Impact
Employees feel their actions influence success
Self-determination
Employees feel they have freedom and discretion
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Supporting Empowerment
Individual factors
Possess required competencies, able to perform the work
Job design factors
Autonomy, task identity, task significance, job feedback
Organisational factors
Resources, learning orientation, trust
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Conclusion
Applying motivation theories to understand what drives individual behaviour.
Money plays to a role in motivation individuals up to a certain extent, however, other intrinsic motivators are more effective in changing these behaviours.
Achieving performance through Job specialization, job design, etc..
More recently it has been found that worker empowerment drives performance
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Thank you & any questions?
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