MOTIVATION

Effort Performance Outcomes

Rowshonara Akter Akhi
Lecturer
Expectancy: Instrumentality Valence:
Jahangirnagar University Person’s
perception that
perception that How desired
their effort will
performanceare the outcomes
result in results in from a
performance outcomes job
Motivation

The set of forces that cause people to behave in

certain ways
Defining Motivation

Key Elements
1. Intensity: how hard a person tries
2. Direction: toward beneficial goal
3. Persistence: how long a person tries
Why to Motivate………….

 Maximum use of individual’s potentials

 Development of high morale
 Increase efficiency
 Reduce dissatisfaction
 Establishment of fair labor management relation
 Initiative and Development
Motivation Equation

Inputs from Outcomes

Organizational Performance received by
members members

Time
Contribute to Pay
Effort
organization Job Security
Education
efficiency, Benefits
Experience
effectiveness Vacation
Skills
and Autonomy
Knowledge
attain goals Responsibility
Work Behav.
Early Theories of Motivation

– Maslow’s Hierarchy of Needs

– McGregor’s Theories X and Y

– Herzberg’s Two-Factor Theory

– McClelland’s Theory of Needs

Hierarchy of Needs Theory
Hierarchy of Needs Theory
Hierarchy
Hierarchyofof
Needs
Needs
Theory
Need Level Description Examples

Self- Realize one’s Use abilities

Actualization full potential to the fullest

Feel good Promotions

Esteem about oneself & recognition

Social Interpersonal
Belongingness interaction, love relations, parties

Job security,
Safety Security, stability
health insurance

Food, water, Basic pay level

Physiological shelter to buy items
Theory X and Theory Y

Theory X Theory Y
 People are lazy.  People are energetic.
 People lack ambition and  People are ambitious
dislike responsibility. and seek responsibility.
 People are self-centered.  People can be selfless.
 People resist change.  People are intelligent.
 Capable of making
 People are gullible and decisions
not very bright.
 Exercise self-direction
 Must be directed and and self-control when
coerced to perform committed to a goal
Two-Factor Theory
Motivation-Hygiene
Two-Factor Theory Theory

• Motivator s: related to nature of the work and how

challenging it is.
– Outcomes are autonomy, responsibility, interesting work.

• Hygiene Factors: relate to the physical &

psychological context of the work.
– Refers to a good work environment, pay, job security.
– When hygiene needs not met, workers are dissatisfied. Note: when
met, they will NOT lead to higher motivation, just will prevent low
motivation.
Contrasting Views of Satisfaction
and Dissatisfaction

Presence Absence
Comparison of Maslow’s & Herzberg’s theories of motivation

Maslow’s Need Hierarchy Herzberg’s Two Factor Theory

M Challenging work
Self-
oti Achievement
actualization
va Growth in the job
to
Esteem or rs Advancement
status Recognition
M
Affiliation or ai
nt Status
acceptance
e Interpersonal relations
n
a Quality of supervision
Security or n Company policy &
safety ce administration
F
Physiological ac Working conditions
needs to Job security
rs 6–14
Salary
McClelland’s Theory of Needs

Need for Achievement Need for Affiliation

The drive to excel, to achieve The desire for friendly
in relation to a set of and close personal
standards, to strive to relationships.
succeed.

Need for Power nPow

The need to make others
behave in a way that they
would not have behaved
otherwise.
nAch nAff
Contemporary Theories of Motivation
 Cognitive Evaluation Theory
 Goal-Setting Theory
 Self Efficacy Theory
 Reinforcement Theory
 Equity Theory
 Expectancy Theory
Cognitive Evaluation Theory

Providing an extrinsic reward for behavior that

had been previously only intrinsically rewarding
tends to decrease the overall level of motivation.
The theory may only be relevant to jobs that
are neither extremely dull nor extremely
interesting.
Goal-Setting Theory (Edwin Locke)

Goal-Setting Theory
The theory that specific and difficult goals, with
feedback, lead to higher performance.

Factors influencing the goals–performance

relationship:
Goal commitment, adequate self-efficacy, task
characteristics, and national culture.
Self-Efficacy Theory

Self-Efficacy
The individual’s belief that he or she is capable of
performing a task.

Self-Efficacy can be increased in Four ways:

 Enactive Mastery
 Vicarious Modeling
 Verbal Persuasion
 Arousal
Reinforcement Theory

The assumption that behavior is a function of its

consequences.

Concepts:
Behavior is environmentally caused.
Behavior can be modified (reinforced) by
providing (controlling) consequences.
Reinforced behavior tends to be repeated.
Reinforcement Theory

Punishment

When negative consequences are

attached directly to undesirable
behavior

Positive Reinforcement
When rewards are tied directly to
performance
Equity Theory

Equity Theory
Individuals compare their job inputs and outcomes
with those of others and then respond to eliminate
any inequities.

Referent Comparisons
Self-inside
Self-outside
Other-inside
Other-outside
Equity Theory
– Considers worker’s perceptions of the fairness of work
outcomes in proportion to their inputs.
– The Outcome/input ratio is compared by worker with another
person called a referent.
– The referent is perceived as similar to the worker.

• Equity exists when a person perceives their outcome/input

ratio to be equal to the referent’s ratio.

• Inequity exists when worker’s outcome/input ratio is not

equal to referent.
– Underpayment inequity: ratio is less than the referent. Worker
feels they are not getting the outcomes they should given inputs.
– Overpayment inequity: ratio is higher than the referent. Worker
feels they are getting more outcomes then they should given inputs.
Equity Theory

Condition Person Referent Example

Worker contributes
Outcomes = Outcomes more inputs but also
Equity
Inputs Inputs gets more outputs
than referent

Worker contributes
Underpayment Outcomes < Outcomes more inputs but also
Equity Inputs Inputs gets the same outputs
as referent

Worker contributes
Overpayment Outcomes > Outcomes same inputs but also
Equity Inputs Inputs gets more outputs
than referent
Equity Theory (cont’d)

Choices for dealing with inequity:

1. Change inputs (slack off)
2. Change outcomes (increase output)
3. Distort/change perceptions of self
4. Distort/change perceptions of others
5. Choose a different referent person
6. Leave the field (quit the job)
Equity Theory (cont’d)

Propositions relating to inequitable pay:

1. Overrewarded hourly employees produce more
than equitably rewarded employees.
2. Overrewarded piece-work employees produce less,
but do higher quality piece work.
3. Underrewarded hourly employees produce lower
quality work.
4. Underrewarded employees produce larger
quantities of lower-quality piece work than
equitably rewarded employees
Motivation
Equity and Perception (cont’d)
Theory
 Equity Theory (cont’d)
– Employee responses to perceived inequities:
• Distort own or others’ ratios.
• Induce others to change their own inputs or
outcomes.
• Change own inputs (increase or decrease efforts) or
outcomes (seek greater rewards).
• Choose a different comparison (referent) other
(person, systems, or self).
• Quit their job.
– Employees are concerned with both the absolute and
relative nature of organizational rewards.
Equity Theory (cont’d)

Distributive Justice
Perceived fairness of the amount and allocation of
rewards among individuals.

Procedural Justice
The perceived fairness of the process to determine
the distribution of rewards.
Expectancy Theory
 Expectancy Theory

Developed by Victor Vroom and is a very popular

theory of work motivation.
 Vroom suggests that motivation will be high when
workers feel:
– High levels of effort lead to high performance.
– High performance will lead to the attainment of desire
outcomes.

 Consists of three areas:

– Expectancy, Instrumentality, & Valence.
 Expectancy
Expectancy, Theory & Valence
Instrumentality,

Effort Performance Outcomes

Expectancy:
Instrumentality Valence:
Person’s
perception that How desired
perception that
performance are the outcomes
their effort will
results in from a
result in
outcomes job
performance
 Expectancy
Expectancy, Theory & Valence
Instrumentality,

1. Expectancy is the perception that effort (input) will

result in a level of performance.
– You will work hard if it leads to high performance.
– You would be less willing to work hard if you knew that the best you
would get on a paper was a D regardless of how hard you tried.

2. Instrumentality: Performance leads to

outcomes.
• Workers are only motivated if they think performance leads to an
outcome.
– Managers should link performance to outcomes.

3. Valence: How desirable each outcome is to a person.

• Managers should determine the outcomes
workers want most.
High Motivation:

According to the Expectancy Theory, high motivation

results from high levels of Expectancy,
Instrumentality, & Valence.
– If just one value is low, motivation will be low.
– This means that even if desired outcomes are closely link to
performance, the worker must feel the task is possible to
achieve for high motivation to result.
– Managers need to consider this relationship to build a high
performance firm.
Expectancy Theory (continued………)

High Expectancy High High Valence

Instrumentality
(Worker desires the
(Worker knows that
(Worker perceives that outcomes resulting
if they try, they can
high performance from high
perform)
leads to outcomes) performance)

High
Motivation
 Job Design Theory

Job Characteristics Model

Identifies five job Characteristics:

1. Skill variety
characteristics and their
2. Task identity
relationship to personal
3. Task significance
and work outcomes. 4. Autonomy
5. Feedback
Job Characteristics Model (cont’d)
Job Characteristics Model (JCM)
A conceptual framework for designing motivating jobs
that create meaningful work experiences that satisfy
employees’ growth needs.

Five primary job characteristics:

 Skill variety: how many skills and talents are needed?

 Task identity: does the job produced a completed work?

 Task significance: how important is the job?

 Autonomy: how independence do the jobholder have?

 Feedback: do workers know how well they are doing?

Job Characteristics Model (cont’d)

– Jobs with skill variety, task identity, task significance,

autonomy, and for which feedback of results is given,
directly affect three psychological states of employees:
• Knowledge of results
• Meaningfulness of work
• Personal feelings of responsibility for results
– Increases in these psychological states result in
increased motivation, performance, and job
satisfaction.
Job Characteristics Model (cont’d)

Skill Variety
The degree to which a job requires a variety of
different activities.

Task Identity
The degree to which the job requires completion of
a whole and identifiable piece of work.

Task Significance
The degree to which the job has a substantial
impact on the lives or work of other people.
Job Characteristics Model (cont’d)

Autonomy
The degree to which the job provides substantial
freedom and discretion to the individual in
scheduling the work and in determining the
procedures to be used in carrying it out.

Feedback
The degree to which carrying out the work activities
required by a job results in the individual obtaining
direct and clear information about the effectiveness
of his or her performance.
Job Characteristics Model (cont’d)

Motivating Potential Score(MPS)

MPS=Skill Variety + Task Identity +Task Significance/3 x

Autonomy x Feedback

People who work on jobs with high core dimensions are generally
more motivated, satisfied, and productive.
Job dimensions operate through the psychological states in
influencing personal and work outcome variables rather than
influencing them directly.
Job Characteristics Model (cont’d)
 Suggestions for Using the JCM
– Combine tasks (job enlargement) to create more
meaningful work.
– Create natural work units to make employees’ work
important and whole.
– Establish external and internal client relationships to
provide feedback.
– Expand jobs vertically (job enrichment) by giving
employees more autonomy.
– Open feedback channels to let employees know how
well they are doing.
Alternative Work Arrangements

 Flextime: Flexible working

hours

 Job sharing: An arrangement

that allow two or more
individuals to split a traditional
40 hour-a-week job.

 Telecommuting : working
from home at least two days a
week on a computer that is
linked to the employee’s office.
Sample Flextime Scheduling

6:00 7:00 8:00 9:00 10:00 11:00 12:00 1:00 2:00 3:00 4:00 5:00 6:00
A.M. A.M. A.M. A.M. A.M. A.M. NOON P.M. P.M. P.M. P.M. P.M. P.M.

Flexible Core Flexible Core Flexible

Time Time Time Time Time

Joe

Sue

Pat
Evaluating Modified Schedules and Alternative
Workplaces

Advantages Disadvantages
 More satisfied,  Challenging to
committed employees coordinate and manage
 Less congestion  Poor fit for some
workers
Employee Involvement

Employee Involvement
Program:

 Participative Management

 Representative Participation

 Quality Circles
Employee Involvement Programs
Employee Involvement Programs
Employee Involvement Programs
How a Typical
Quality Circle
Operates
Using Reward to Motivate Employees

Various Variable Pay

Programs:
 Piece Rate Pay
 Merit Based Pay
 Bonus
 Skill Based Pay
 Profit Sharing Plan
 Gain Sharing
 Employee Stock
Ownership Plan(ESOP)
Variable Pay Programs (cont’d)

Merit Based Pay:

A pay plan based on
performance appraisal
ratings.

Bonus:
A pay plan that rewards
employees for recent
performance rather than
historical performance
Variable Pay Programs (cont’d)

Benefits of Skill-based Pay Plans:

1. Provides staffing flexibility.
2. Facilitates communication across the organization.
3. Lessens “protection of territory” behaviors.
4. Meets the needs of employees for advancement
(without promotion).
5. Leads to performance improvements.
Variable Pay Programs (cont’d)

Drawbacks of Skill-based Pay Plans:

1. Lack of additional learning opportunities that will
increase employee pay.
2. Continuing to pay employees for skills that have
become obsolete.
3. Paying for skills which are of no immediate use
to the organization.
4. Paying for a skill, not for the level of employee
performance for the particular skill.
Variable Pay Programs (cont’d)
Variable Pay Programs (cont’d)
Special Issues in Motivation
 Motivating Professionals
– Provide challenging projects.
– Allow them the autonomy to be productive.
– Reward with educational opportunities.
– Reward with recognition.
– Express interest in what they are doing.
– Create alternative career paths.
 Motivating Contingent Workers
– Provide opportunity for permanent status.
– Provide opportunities for training.
– Provide equitable pay.
Special Issues in Motivation (cont’d)
 Motivating the Diversified Workforce
– Provide flexible work, leave, and pay schedules.
– Provide child and elder care benefits.
– Structure working relationships to account for cultural
differences and similarities.
 Motivating Low-Skilled Service Workers
– Recruit widely.
– Increase pay and benefits.
– Make jobs more appealing.
Special Issues in Motivation (cont’d)
 Motivating People Doing Highly Repetitive Tasks
– Recruit and select employees that fit the job.
– Create a pleasant work environment.
– Mechanize the most distasteful aspects of the job.
From Theory To Practice

Recognize
Match people
individual
to jobs
differences

Don’t ignore
Use goals
money Suggestions
for
Motivating
Ensure that goals
Check the system Employees are perceived as
for equity
attainable

Link rewards Individualize

to performance rewards