Lecture 17

Chapter 9MOTIVATING AND LEADING EMPLOYEES

Chapter Outcome Describe the nature and importance of psychological contracts in the workplaceImportance of job satisfaction and employee morale Important theories of motivationStrategies to improve job satisfaction and employee motivationManagerial style of leadership

Psychological ContractSet of expectation held by employees concerning what they will contribute and what the organization will provideEmployees ContributionsOrganizations InducementsResult satisfaction and motivation

Psychological Contract

Human Relations- Interaction Of Employees With Company And Each OtherJob SatisfactionDegree of enjoyment derived from workMoraleOverall attitude towards workTurnoverAnnual % of workforce that leaves and must be replaced Organizational SuccessSatisfied VS dissatisfied worker

Trends In Satisfaction & MoraleMassive Layoffs/Cutbacks

Improving Economy Could Mean Reduced Morale

Reinstate Benefits

High Priorities For Todays WorkforceFamily OrientationSense Of CommunityQuality Of Life IssuesVolunteerismAutonomyFlexibility & Nonconformity

Workplace MotivationMotivation- Forces Affecting Peoples BehaviorClassical Theory/Scientific ManagementBehavior TheoryContemporary Motivational Theories

Classical TheoryFrederick Taylor (1911)

More Money = Greater Motivation

Efficient Company = Higher Profits & Pay

Time-And-Motion Study

Behavior TheoryHawthorne Studies (1925)

Physical Environment Changes Affect Worker Output

Increased Pay did not increase productivity

Hawthorne Effect productivity rose in response to management action that workers interpreted as special attention

Theories X & Y (1960)Belief about how best to use the human resource employed by the firm, Theory Y managers are more likely to have satisfied workforce

Hierarchy Of Needs (1954) Abrahim Maslow

Two-Factor Theory(1959) Fredrick Herzberg Job Satisfaction Depends On Two Factors

Expectancy TheoryVictor Vroom (1964)People Work Towards Rewards

Equity TheoryPeople evaluate their treatment by employers relative to the treatment of others

Strategies for Enhancing Job Satisfaction and Motivation

Reinforcement/Behavior Modification TheoryB.F. Skinner (1957)Behavior can be encouraged or discouraged by means of reward and punishment

ReinforcementPieceworkPerformance = Rewards

Punishment = Negative ReinforcementPresent people with unpleasant consequences

ManagementBy ObjectivesPeter Drucker (1954)Collaborative Goal Setting

RecentManagement StylesParticipative Management Or Employee EmpowermentEmployees Receive Greater ResponsibilityEmployees Feel More Committed To OrganizationTeam Management- Employees Given Decision-Making ResponsibilitySome Employees Frustrated By Increased Responsibility

Job Enrichment

Adding one more motivating factor to the job

Job Enlargement & Job Rotation

Job RedesignAcknowledges that different people want different thingsRestructures work to have a fit between worker and workJob redesign is implemented in one or three waysCombining task or job enlargementForming natural workgroupsEstablishing client relationshipsMore control and feedback

Modified Work SchedulesWork-ShareFlextimeTelecommuting/Virtual OfficeAdvantagesEmployee Freedom/Control Of LifeImproves Individual ProductivityDisadvantagesComplex CoordinationDifficult To Keep Accurate Records

Flextime Schedule

Questions For TelecommutersCan I Manage Deadlines?Can I Be Without The Social Context Of The Office?NetworkingAdvancementWhat Will Be The Impact On My Family?

Managerial Styles& LeadershipManagerial Styles- Patterns Of Management Behavior In Dealing With Employees

Leadership- Motivating Others To Work

Autocratic StyleIssue Orders

Expect Them To Be Followed

Rapid Decision-Making

Democratic StyleAsk For Input From Subordinates

Retains Final Authority

Free-Rein StyleManager Is Advisor To Subordinates

Subordinates Make Decisions

Fosters Creativity

Contingency StyleNo Specific Style Used All The TimeSituation Dictates Managers Leadership StyleDifferent Cultures Have Varying Expectations Of Leaders

21st Century Leadership/ManagementMotivationMoney No Longer PrimeDifferent Desires At WorkVarying Lifestyles Reflect Varying Goals Of EmployeeLeadershipFlatter Organizations = Less AutocraticDiversity Of Workplace = Diversity Of LeadersNetwork Mentalitys