Individual final paper(business)(pick a company)(prefer Chinese well known company)

ob-session4-motivation.pdf

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Chapter 7: Mo-va-on Concepts

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Ø https://www.youtube.com/watch? v=rrkrvAUbU9Y

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Neuroscience of Interpersonal Stress and Feedback (Rock, 2008)

Rock, D. (2008). SCARF: a brain-based model for collaborating with and influencing others. Neuroleadership Journal, 1, 44-52.

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Employee Engagement Ø Engagement, satisfaction, commitment, and intention to quit

Ø Engagement represents the energy, effort, and initiative employees bring to their jobs

Ø Satisfaction reFlects the extent to which they feel that the company meets their expectations at work and satisFies its implicit and explicit contracts with them

Ø Commitment captures the extent to which employees engage in corporate citizenship

Ø Intention to quit is the best proxy for employee turnover

Learning Objectives A3er studying this chapter, you should be able to: Ø  Describe the three key elements of mo-va-on. Ø  Evaluate the applicability of early theories of mo-va-on. Ø  Apply the predic-ons of self-determina-on theory to intrinsic and

extrinsic rewards. Ø  Iden-fy the implica-ons of employee job engagement for

management. Ø  Describe goal-seGng theory, self-efficacy theory, and reinforcement

theory. Ø  Demonstrate how organiza-onal jus-ce is a refinement of equity

theory. Ø  Apply the key tenets of expectancy theory to mo-va-ng employees. Ø  Compare contemporary theories of mo-va-on.

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Describe the Three Key Elements of Motivation

Ø Mo#va#on is the processes that account for an individual’s intensity, direc-on, and persistence of effort toward aNaining a goal.

Ø The level of mo-va-on varies both between individuals and within individuals at different -mes.

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Ø The three key elements of mo-va-on are: 1.  Intensity: concerned with how hard a person tries. 2.  Direc-on: the orienta-on that benefits the

organiza-on. 3.  Persistence: a measure of how long a person can

maintain his/her effort.

LO 1 Describe the Three Key Elements of Motivation

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Evaluate the Applicability of Early Theories of Motivation

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Ø Maslow’s need theory has received wide recogni-on, par-cularly among prac-cing managers. Ø Research does not generally validate the theory.

Ø Some researchers have aNempted to revive components of the need hierarchy concept, using principles from evolu-onary psychology.

LO 2 Evaluate the Applicability of Early Theories of Motivation

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Ø Theory X and Theory Y Ø Theory X assump-ons are basically nega-ve.

Ø Employees inherently dislike work and must be coerced into performing.

Ø Theory Y assump-ons are basically posi-ve. Ø Employees can view work as being as natural as rest or play.

LO 2 Evaluate the Applicability of Early Theories of Motivation

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Ø The implica-ons for managers can be explained by using Maslow’s framework Ø Theory X: lower-order needs dominate individuals. Ø Theory Y: higher-order needs dominate individuals. Ø McGregor himself believed that Theory Y assump-ons were more valid than Theory X.

Ø There is no evidence to suggest that either set of assump-ons is valid.

LO 2 Evaluate the Applicability of Early Theories of Motivation

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LO 2 Evaluate the Applicability of Early Theories of Motivation

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LO 2 Evaluate the Applicability of Early Theories of Motivation

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Ø Cri-cisms of Herzberg’s theory: Ø Limited because it relies on self-reports. Ø Reliability of methodology is ques-oned. Ø No overall measure of sa-sfac-on was u-lized. Ø Herzberg assumed a rela-onship between sa-sfac-on and produc-vity, but the research methodology he used looked only at sa-sfac-on, not at produc-vity.

LO 2 Evaluate the Applicability of Early Theories of Motivation

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Ø  McClelland’s Theory of Needs Ø  The theory focuses on three needs: 1.  Need for achievement (nAch): drive to excel, to

achieve in rela-on to a set of standards, to strive to succeed.

2.  Need for power (nPow): need to make others behave in a way that they would not have behaved otherwise.

3.  Need for affilia#on (nAfl): desire for friendly and close interpersonal rela-onships.

LO 2 Evaluate the Applicability of Early Theories of Motivation

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Ø McClelland’s theory has had the best support. Ø It has less prac-cal effect than the others. Ø Because McClelland argued that the three needs are subconscious—we may rank high on them but not know it—measuring them is not easy.

Ø The process is -me consuming and expensive, and few organiza-ons have been willing to invest in measuring McClelland’s concept.

LO 2 Evaluate the Applicability of Early Theories of Motivation

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Apply the Predictions of Self-Determination Theory to Intrinsic and Extrinsic Rewards

Ø Self-Determina#on Theory Ø Proposes that people prefer to feel they have control over their ac-ons.

Ø Research on self-determina-on theory has focused on cogni-ve evalua-on theory. Ø People paid for work feel less like they want to do it and more like they have to it.

Ø Proposes that in addi-on to being driven by a need for autonomy, people seek ways to achieve competence and posi-ve connec-ons to others.

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Ø When extrinsic rewards are used as payoffs for performance, employees feel they are doing a good job. Ø Elimina-ng extrinsic rewards can also shi3 an individual’s percep-on of why he or she works on a task from an external to an internal explana-on.

Ø Self-determina-on theory acknowledges that extrinsic rewards can improve even intrinsic mo-va-on under specific circumstances.

LO 3 Apply the Predictions of Self-Determination Theory to Intrinsic and Extrinsic Rewards

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Ø What does self-determina-on theory suggest for providing rewards? Ø A senior sales representa-ve may be mo-vated by a commission.

Ø A computer programmer who values wri-ng code because she likes to solve problems might react nega-vely to an external standard like having to write a certain number of lines of code every day.

Ø Self-concordance: considers how strongly people’s reasons for pursuing goals are consistent with their interests and core values.

LO 3 Apply the Predictions of Self-Determination Theory to Intrinsic and Extrinsic Rewards

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Ø What does all of this mean? Ø For individuals:

Ø Choose your job for reasons other than extrinsic rewards.

Ø For organiza-ons: Ø Provide intrinsic as well as extrinsic incen-ves.

LO 3 Apply the Predictions of Self-Determination Theory to Intrinsic and Extrinsic Rewards

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Identify the Implications of Employee Job Engagement for Management

Ø Job engagement is the investment of an employee’s physical, cogni-ve, and emo-onal energies into job performance. Ø Many studies aNempt to measure this deeper level of

commitment. Ø Gallup organiza-on: more engaged employees in

successful organiza-ons than in average organiza-ons. Ø Academic studies: job engagement is posi-vely

associated with performance and ci-zenship behaviors.

LO 4

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Identify the Implications of Employee Job Engagement for Management

Ø What makes people more engaged in their job? Ø The degree to which an employee believes it is meaningful to engage in work.

Ø A match between the individual’s values and the organiza-on’s.

Ø Leadership behaviors that inspire workers to a greater sense of mission.

LO 4

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Identify the Implications of Employee Job Engagement for Management

Ø Are highly engaged employees geGng “too much of a good thing?” Ø Construct is par-ally redundant with job aGtudes. Ø It may have a “dark side.”

Ø Posi-ve rela-onships between engagement and work-family conflict.

LO 4

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Describe Goal-Setting Theory, Self-EfFicacy Theory & Reinforcement Theory

Ø Goal-SeHng Theory Ø Goals tell an employee what needs to be done and how much effort is needed.

Ø Evidence suggests: Ø Specific goals increase performance. Ø Difficult goals, when accepted, result in higher performance than do easy goals.

Ø Feedback leads to higher performance than does non-feedback.

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Ø Three other factors influencing the goals- performance rela-onship: 1.  Goal commitment 2.  Task characteris-cs 3.  Na-onal culture

LO 5 Describe Goal-Setting Theory, Self-EfFicacy Theory & Reinforcement Theory

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Ø People differ in the way they regulate their thoughts and behaviors. Ø Those with a promo#on focus strive for advancement and accomplishment and approach condi-ons that move them closer toward desired goals.

Ø Those with a preven#on focus strive to fulfill du-es and obliga-ons and avoid condi-ons that pull them away from desired goals.

Ø It’s probably best to be both promo-on and preven-on oriented.

LO 5 Describe Goal-Setting Theory, Self-EfFicacy Theory & Reinforcement Theory

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LO 5 Describe Goal-Setting Theory, Self-EfFicacy Theory & Reinforcement Theory

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Ø Self-efficacy theory is an individual’s belief that he or she is capable of performing a task. Ø Enac-ve mastery Ø Vicarious modeling Ø Verbal persuasion Ø Arousal

Ø Also known as social cogni-ve theory and social learning theory.

LO 5 Describe Goal-Setting Theory, Self-EfFicacy Theory & Reinforcement Theory

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LO 5 Describe Goal-Setting Theory, Self-EfFicacy Theory & Reinforcement Theory

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Ø Implica-ons of self-efficacy theory: Ø Training programs o3en make use of enac-ve mastery by having people prac-ce and build their skills.

Ø Intelligence and personality are absent from Bandura’s list, but they can increase self-efficacy.

LO 5 Describe Goal-Setting Theory, Self-EfFicacy Theory & Reinforcement Theory

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Ø Reinforcement theory: behavior is a func-on of its consequences. Ø Takes a behavioris-c view, arguing that reinforcement

condi-ons behavior. Ø Behavior is environmentally caused.

Ø Goal-seGng is a cogni-ve approach: an individual’s purposes direct his or her ac-on.

Ø Operant condi1oning theory: people learn to behave to get something they want or to avoid something they don’t want. Ø B.F. Skinner’s behaviorism

LO 5 Describe Goal-Setting Theory, Self-EfFicacy Theory & Reinforcement Theory

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Ø In its pure form, reinforcement theory ignores feelings, aGtudes, expecta-ons, and other cogni-ve variables known to affect behavior.

Ø Some researchers look at the same experiments reinforcement theorists use to support their posi-on and interpret the findings in a cogni-ve framework.

Ø Reinforcement is undoubtedly an important influence on behavior, but few scholars are prepared to argue it is the only one.

LO 5 Describe Goal-Setting Theory, Self-EfFicacy Theory & Reinforcement Theory

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Ø Social-learning theory: we can learn through both observa-on and direct experience. Ø Models are central, and four processes determine their influence on an individual: 1.   ALen#onal processes 2.   Reten#on processes 3.   Motor reproduc#on processes 4.   Reinforcement processes

LO 5 Describe Goal-Setting Theory, Self-EfFicacy Theory & Reinforcement Theory

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Demonstrate How Organizational Justice is a ReFinement of Equity Theory

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Demonstrate How Organizational Justice is a ReFinement of Equity Theory

Ø When employees perceive an inequity, they can be predicted to make one of six choices: 1.  Change their inputs. 2.  Change their outcomes. 3.  Distort percep-ons of self. 4.  Distort percep-ons of others. 5.  Choose a different referent. 6.  Leave the field.

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LO 6 Demonstrate How Organizational Justice is a ReFinement of Equity Theory

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Apply the Key Tenets of Expectancy Theory to Motivating Employees

Ø Expectancy theory argues that a tendency to act in a certain way depends on an expecta-on that the act will be followed by a given outcome and on the aNrac-veness of that outcome to the individual.

Ø An employee will be mo-vated to exert a high level of effort when he or she believes that: Ø Effort will lead to a good performance appraisal. Ø A good appraisal will lead to rewards. Ø The rewards will sa-sfy his or her personal goals.

LO 7

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LO 7 Apply the Key Tenets of Expectancy Theory to Motivating Employees

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Ø Expectancy theory helps explain why a lot of workers aren’t mo-vated on their jobs and do only the minimum necessary to get by.

Ø Three ques-ons employees need to answer in the affirma-ve if their mo-va-on is to be maximized: 1.  If I give maximum effort, will it be recognized in

my performance appraisal? 2.  If I get a good performance appraisal, will it lead

to organiza-onal rewards? 3.  If I’m rewarded, are the rewards aNrac-ve to

me?

LO 7 Apply the Key Tenets of Expectancy Theory to Motivating Employees

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Ø Does expectancy theory work? Ø It tends to be more valid in situa-ons where effort-performance and performance-reward linkages are clearly perceived by the individual.

Ø If individuals were actually rewarded for performance rather than seniority, effort, skill level, and job difficulty, it might be much more valid.

LO 7 Apply the Key Tenets of Expectancy Theory to Motivating Employees

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Compare Contemporary Theories of Motivation

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Implications for Managers Ø Make sure extrinsic rewards for employees are not viewed as coercive, but instead provide information about competence and relatedness.

Ø Consider goal-setting theory, as clear and difFicult goals often lead to higher levels of employee productivity.

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Implications for Managers Ø Consider reinforcement theory regarding quality and quantity of work, persistence of effort, absenteeism, tardiness, and accident rates.

Ø Consult equity theory to help understand productivity, satisfaction, absence, and turnover variables.

Ø Expectancy theory also offers a powerful explanation of performance variables such as employee productivity, absenteeism, and turnover. 7-45

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Chapter 8: Mo-va-on: From Concepts to Applica-ons

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Learning Objectives After studying this chapter, you should be able to: Ø Describe the job characteristics model and the way it motivates by changing the work environment.

Ø Compare the main ways jobs can be redesigned. Ø Explain how speciFic alternative work arrangements can motivate employees.

Ø Describe how employee involvement measures can motivate employees.

Ø Demonstrate how the different types of variable-pay programs can increase employee motivation.

Ø Show how Flexible beneFits turn beneFits into motivators.

Ø Identify the motivational beneFits of intrinsic rewards. 8-48

LO 1

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Describe the Job Characteristics Model and the Way It Motivates by

Changing the Work Environment

Describe the Job Characteristics Model and the Way It Motivates by

Changing the Work Environment Ø The core dimensions of the job characteristics model (JCM) can be combined into a single predictive index called the motivating potential score (MPS).

Ø Evidence supports the JCM concept that the presence of a set of job characteristics does generate higher and more satisfying job performance.

Ø A few studies have tested the JCM in different cultures, but the results aren’t very consistent.

LO 1

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Compare the Main Ways Jobs Can Be Redesigned

Ø Repetitive jobs provide little variety, autonomy, or motivation.

Ø Job Rotation Ø Referred to as cross-training. Ø Periodic shifting from one task to another. Ø Strengths: reduces boredom, increases motivation, and helps employees better understand their work contributions.

Ø Weaknesses: creates disruptions, requires extra time for supervisors addressing questions and training time, and reduced efFiciencies.

LO 2

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LO 2

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Compare the Main Ways Jobs Can Be Redesigned

Ø Relational Job Design Ø To make jobs more prosocially motivating: Ø Connect employees with the beneFiciaries of their work. Ø  Relate stories from customers who have found the company’s products or services

to be helpful.

Ø Meet beneFiciaries Firsthand. Ø  Employees see that their ac-ons affect a real person, and that their jobs have

tangible consequences. Ø  Connec-ons make customers or clients more accessible in memory and more

emo-onally vivid. Ø  Leads employees to consider the effects of their ac-ons more. Ø  Fosters higher levels of commitment.

LO 2

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Compare the Main Ways Jobs Can Be Redesigned

Explain How SpeciFic Alternative Work Arrangements Can Motivate Employees

LO 3

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Explain How SpeciFic Alternative Work Arrangements Can Motivate Employees

Ø Job Sharing Ø Two or more people split a 40-hour-a-week job.

Ø Declining in use. Ø Can be difFicult to Find compatible pairs of employees who can successfully coordinate the intricacies of one job.

Ø Increases Flexibility and can increase motivation and satisfaction when a 40-hour-a- week job is just not practical.

LO 3

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Ø Telecommuting Ø Employees who do their work at home at least two days a week on a computer that is linked to their ofFice. Ø Virtual ofFice Ø Well-known organizations actively encourage telecommuting

LO 3

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Explain How SpeciFic Alternative Work Arrangements Can Motivate Employees

Ø Telecommuting Advantages Ø Larger labor pool Ø Higher productivity Ø Less turnover Ø Improved morale Ø Reduced ofFice-space costs

LO 3

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Explain How SpeciFic Alternative Work Arrangements Can Motivate Employees

Ø Telecommuting Disadvantages Ø Employer

Ø Less direct supervision of employees. Ø DifFicult to coordinate teamwork. Ø DifFicult to evaluate non-quantitative performance.

Ø Employee Ø May not be noticed for his or her efforts.

LO 3

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Explain How SpeciFic Alternative Work Arrangements Can Motivate Employees

Ø The Social and Physical Context Of Work Ø The job characteristics model shows most employees are more motivated and satisFied when their intrinsic work tasks are engaging.

Ø Research demonstrates that social aspects and work context are as important as other job design features.

LO 3

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Explain How SpeciFic Alternative Work Arrangements Can Motivate Employees

Describe How Employee Involvement Measures Can Motivate Employees

Ø Employee Involvement: a participative process that uses employees’ input to increase their commitment to the organization’s success.

Ø Examples of Employee Involvement Programs Ø Participative management Ø Representative participation

LO 4

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Describe How Employee Involvement Measures Can Motivate Employees

Ø Participative management Ø Joint decision making. Ø Acts as a panacea for poor morale and low productivity.

Ø Trust and conFidence in leaders is essential. Ø Studies of the participation-performance have yielded mixed results.

LO 4

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Describe How Employee Involvement Measures Can Motivate Employees

Ø Representative participation Ø Workers are represented by a small group of employees who actually participate in decision making. Ø Almost every country in Western Europe requires representative participation.

Ø The two most common forms: Ø  Works councils Ø  Board representa-ves

LO 4

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Describe How Employee Involvement Measures Can Motivate Employees

Ø Linking Employee Involvement Programs and Motivation Theories Ø Theory Y is consistent with participative management.

Ø Theory X aligns with autocratic style. Ø Two-factor theory aligns with employee involvement programs in providing intrinsic motivation.

Ø Extensive employee involvement programs clearly have the potential to increase employee intrinsic motivation in work tasks.

LO 4

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Demonstrate How the Different Types of Variable-Pay Programs Can Increase Employee Motivation

Ø What to Pay: Establishing a Pay Structure Ø Complex process that entails balancing internal equity and external equity.

Ø Some organizations prefer to pay leaders by paying above market.

Ø Paying more may net better-qualiFied and more highly motivated employees who may stay with the Firm longer.

LO 5

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Ø How to Pay: Rewarding Individual Employees Through Variable-Pay Programs Ø Many organizations are moving away from paying solely on credentials or length of service. Ø Piece-rate plans Ø Merit-based pay Ø Bonuses Ø ProFit sharing Ø Gain sharing Ø Employee stock ownership plans

Ø Earnings therefore Fluctuate up and down.

LO 5

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Demonstrate How the Different Types of Variable-Pay Programs Can Increase Employee Motivation

Ø Piece-Rate Pay Ø Workers are paid a Fixed sum for each unit of production completed.

Ø A pure piece-rate plan provides no base salary and pays the employee only for what he or she produces.

Ø Limitation: not a feasible approach for many jobs. Ø Although incentives are motivating and relevant for some jobs, it is unrealistic to think they can constitute the only piece of employees’ pay.

LO 5

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Demonstrate How the Different Types of Variable-Pay Programs Can Increase Employee Motivation

Ø Merit-Based Pay Ø Based on performance appraisal ratings. Ø Allows employers to differentiate pay based on performance.

Ø Creates perceptions of relationships between performance and rewards.

Ø Limitations: Ø Based on annual performance appraisal; merit pool Fluctuations based on economic conditions; unions typically resist merit-based pay plans.

LO 5

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Demonstrate How the Different Types of Variable-Pay Programs Can Increase Employee Motivation

Ø Bonuses Ø An annual bonus is a signiFicant component of total compensation for many jobs.

Ø Increasingly include lower-ranking employees. Ø Many companies now routinely reward production employees with bonuses when proFits improve.

Ø Downside: employees’ pay is more vulnerable to cuts.

LO 5

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Demonstrate How the Different Types of Variable-Pay Programs Can Increase Employee Motivation

Ø Skill-Based Pay Ø Bases pay levels on how many skills employees have or how many jobs they can do.

Ø Increases the Flexibility of the workforce. Ø Facilitates communication across the organization because people gain a better understanding of each other’s jobs.

Ø Limitations: Ø People can “top-out” and learn all the skills. Ø Don’t address performance.

LO 5

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Demonstrate How the Different Types of Variable-Pay Programs Can Increase Employee Motivation

Ø ProEit-Sharing Plans Ø Organization-wide programs that distribute compensation based on some established formula centered around a company’s proFitability.

Ø Appear to have positive effects on employee attitudes at the organizational level. Ø Employees have a feeling of psychological ownership.

LO 5

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Demonstrate How the Different Types of Variable-Pay Programs Can Increase Employee Motivation

Ø Gainsharing Ø Uses improvements in group productivity from one period to the next to determine the total amount of money allocated.

Ø Common among large manufacturing companies and in some healthcare organizations.

Ø Ties rewards to productivity gains rather than proFits. Ø Employees can receive incentive awards even when the organization isn’t proFitable.

Ø Because the beneFits accrue to groups of workers, high performers pressure weaker ones to work harder, improving performance for the group as a whole.

LO 5

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Demonstrate How the Different Types of Variable-Pay Programs Can Increase Employee Motivation

Ø Employee Stock Ownership Plan (ESOP) Ø A company-established beneFit plan in which employees acquire stock, often at below-market prices, as part of their beneFits.

Ø Increases employee satisfaction and innovation. Ø Employees need to psychologically experience ownership.

Ø Can reduce unethical behavior.

LO 5

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Demonstrate How the Different Types of Variable-Pay Programs Can Increase Employee Motivation

Ø Evaluation of Variable Pay Ø Do variable-pay programs increase motivation and productivity? The answer is a quali&ied yes. Ø Studies generally support the idea that organizations with proFit-sharing plans have higher levels of proFitability than those without them.

Ø Are there cultural differences? Ø Maybe, but more research is needed.

LO 5

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Demonstrate How the Different Types of Variable-Pay Programs Can Increase Employee Motivation

Show How Flexible BeneFits Turn BeneFits Into Motivators

Ø Flexible BeneFits: Developing a BeneFits Package Ø Flexible beneEits individualize rewards.

Ø Allow each employee to choose the compensation package that best satisFies his or her current needs and situation. Ø  Replaces the “one-benefit-plan-fits-all” programs designed for a male with a wife

and two children at home that dominated organiza-ons for more than 50 years.

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Ø There are three basic types of programs: 1.  Modular plans: pre-designed with each module

put together to meet the needs of a speciFic group of employees.

2.  Core-plus plans: a core of essential beneFits and a menu-like selection of other beneFit options.

3.  Flexible spending plans: employees set aside pretax dollars up to the amount offered in the plan to pay for particular beneFits, such as healthcare and dental premiums.

LO 6

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Show How Flexible BeneFits Turn BeneFits Into Motivators

Identify the Motivational BeneFits of Intrinsic Rewards

Ø Intrinsic Rewards: Employee Recognition Programs Ø Organizations are increasingly recognizing that important work rewards can be both intrinsic and extrinsic.

Ø Rewards are intrinsic in the form of employee recognition programs and extrinsic in the form of compensation systems. Ø Financial incentives might be more motivating in the short-term, but nonFinancial rewards are more important in the long-term.

LO 7

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Identify the Motivational BeneFits of Intrinsic Rewards

LO 7

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Implications for Managers

Ø  Recognize individual differences. Ø  Spend the time necessary to understand what’s important to each employee.

Ø  Design jobs to align with individual needs and maximize their motivation potential.

Ø  Use goals and feedback. Ø  You should give employees Firm, speciFic goals, and they should get feedback on how well they are faring in pursuit of those goals.

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Implications for Managers Ø  Allow employees to participate in decisions that affect

them. Ø Employees can contribute to setting work goals, choosing their own beneFits packages, and solving productivity and quality problems.

Ø  Link rewards to performance. Ø Rewards should be contingent on performance, and employees must perceive the link between the two.

Ø  Check the system for equity. Ø Employees should perceive that experience, skills, abilities, effort, and other obvious inputs explain differences in performance and hence in pay, job assignments, and other obvious rewards. 8-79