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1 MGTO120s Motivating Employees Jian Liang MGTO, HKUST

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MGTO120s Motivating Employees. Jian Liang MGTO, HKUST. Where We Are. Management. Basic Concepts (Ch1). Basic Concepts (Ch1). Basic Concepts (Ch1). Organize (Ch10,11 & 13). Organize (Ch 10, 11,12,13). Retrospect (ch2). Retrospect (ch2). Retrospect (ch2). Context - PowerPoint PPT Presentation


  • MGTO120s

    Motivating Employees

    Jian Liang


  • Where We Are Management Basic Concepts(Ch1)Context

    (ch3,4,& 5)Retrospect

    (ch2)Plan(ch6,7,8,& 9)Organize(Ch 10 LeadControlBasic Concepts(Ch1)Context

    (ch3,4,& 5)Retrospect

    (ch2)Plan(ch6,7,8,& 9)Organize(Ch 10,11,12,13) LeadControlBasic Concepts(Ch1)Context

    (ch3,4,& 5)Retrospect

    (ch2)Plan(ch6,7,8,& 9)Organize(Ch10,11 & 13) LeadControlMotivating employee(Ch16)

  • Learning ObjectivesWhat Is Motivation?Define motivation.Explain motivation as a need-satisfying process.Early Theories of MotivationDescribe the five levels in Maslows hierarchy and how Maslows hierarchy can be used in motivational efforts.Discuss how Theory X and Theory Y managers approach motivation.Describe Herzbergs motivation-hygiene theory.

  • Learning Objectives (Contd)Contemporary Theories of MotivationDescribe the three needs McClelland proposed as being present in work settings.Describe the job characteristics model as a way to design motivating jobs.Discuss the motivation implications of equity theory.Contrast distributive justice and procedural justice.Explain the three key linkages in expectancy theory and their role in motivation.

  • Lets start from a comparison What managers think employee want Good pay Job security Promotion and growth Good working conditions Interesting work Tactful discipline Loyalty to employees Full appreciation of work done Help with personal problems Feeling of being in on thingsEmployees really want 54671108293Adapted from Kenneth Kovoch, advanced Management Journal

  • On the folly of rewarding A, while hoping for B

    Managers who complain about lack of motivation in their workers might do well to consider the possibility that the reward systems they have installed are paying off for behavior other than what they are seekingand this is what regularly frustrates societal efforts to bring about honest politicians and civic-minded managers. Steven Kerr (AME, 1995, p.13)

  • What Is Motivation?The processes that account for an individuals willingness to exert high levels of effort to reach organizational goals, conditioned by the efforts ability to satisfy some individual need.Effort: a measure of intensity or drive.Direction: toward organizational goalsNeed: personalized reason to exert effortMotivation works best when individual needs are compatible with organizational goals.

  • The Motivation Process

  • Early Theories of MotivationMaslows Hierarchy of Needs TheoryNeeds were categorized as five levels of lower- to higher-order needs.Individuals must satisfy lower-order needs before they can satisfy higher order needs.Satisfied needs will no longer motivate.Motivating a person depends on knowing at what level that person is on the hierarchy.Hierarchy of needsLower-order (external): physiological, safetyHigher-order (internal): social, esteem, self-actualization

  • Maslows Hierarchy of Needs drive to become what one is capable of becoming.

  • He wrote it to bring McGregor and me down to earth. --- Peter Drucker, 1995

  • Early Theories of Motivation (contd)McGregors Theory X and Theory YTheory XAssumes that workers have little ambition, dislike work, avoid responsibility, and require close supervision.Theory YAssumes that workers can exercise self-direction, desire responsibility, and like to work.Motivation is maximized by participative decision making, interesting jobs, and good group relations.

  • Early Theories of Motivation (contd)Herzbergs Motivation-Hygiene TheoryJob satisfaction and job dissatisfaction are created by different factors.Hygiene factors: extrinsic (environmental) factors that create job dissatisfaction.Motivators: intrinsic (psychological) factors that create job satisfaction.The opposite of satisfaction is not dissatisfaction, but rather no satisfaction

  • Herzberg and his study

  • Contrasting Views of Satisfaction-Dissatisfaction

  • Herzbergs Two-Factor TheoryHygiene FactorsMotivational Factors Quality of supervision Rate of pay Company policies Working conditions Relations with others Job security Recognition Responsibility Achievement Interesting duties Opportunity for growthHighHighJob DissatisfactionJob Satisfaction0

  • Functions of the Two Factors Attempted to explain why job satisfaction does not result in increased performance.Hygiene factor: simple keep the worker on the job---they keep him/her from going else-where for work. Its presence reduces dissatisfaction, and causes dissatisfaction. But it has no effect on motivation Motivational factor: the presence will both satisfy and motivate employees. Their absence may not necessarily cause dissatisfaction, it will decrease motivation.

  • Contemporary Theories of MotivationThree-Needs TheoryDesigning Motivating JobsEquity TheoryExpectancy Theory

  • Motivation and NeedsThree-Needs TheoryThere are three major acquired needs that are major motives in work.Need for achievement (nAch)The drive to excel and succeedNeed for power (nPow)The need to influence the behavior of othersNeed of affiliation (nAff)The desire for interpersonal relationships

  • Projective testsRorschach inkblots. Thematic Apperception Test (TAT): 31 ambiguous pictures

  • Goal-Setting TheorySetting goals that are accepted, specific, and challenging yet achievable will result in higher performance than having no or easy goals.Benefits of Participation in Goal-SettingIncreases the acceptance of goals.Fosters commitment to difficult, public goals.Provides for self-feedback (internal locus of control) that guides behavior and motivates performance (self-efficacy).

  • SpecificityChallengeFeedbackParticipationCommitmentSelf-efficacyCharacteristicsCultureGoal-Setting Theory

  • Designing Motivating JobsThe way into which tasks can be combined to form complete jobs.Factors influencing job design:Changing organizational environment/structureThe organizations technologyEmployees skill, abilities, and preferencesJob enlargementIncreasing the scope (number of tasks) in a job.Job enrichmentIncreasing responsibility and autonomy (depth) in a job.

  • Designing Motivating Jobs (contd)Job Characteristics Model (JCM)A conceptual framework for designing motivating jobs that create meaningful work experiences that satisfy employees growth needs.

  • Job Characteristics Model (JCM)Five primary job characteristics:Skill variety: how many skills and talents are needed?Task identity: does the job produce a complete work?Task significance: how important is the job?Autonomy: how much independence does the jobholder have?Feedback: do workers know how well they are doing?

  • Job Characteristics Model

  • Guidelines for Job RedesignSource: J.R. Hackman and J.L. Suttle (eds.). Improving Life at Work (Glenview, IL: Scott, Foresman, 1977). With permission of the authors.

  • Designing Motivating Jobs (contd)Suggestions for Using the JCMCombine 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.

  • Motivation and PerceptionEquity TheoryProposes that employees perceive what they get from a job situation (outcomes) in relation to what they put in (inputs) and then compare their inputs-outcomes ratio with the inputs-outcomes ratios of relevant others.If the ratios are perceived as equal then a state of equity (fairness) exists.If the ratios are perceived as unequal, inequity exists and the person feels under- or over-rewarded.When inequities occur, employees will attempt to do something to rebalance the ratios (seek justice).

  • Motivation and Perception (contd)Equity Theory (contd)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

  • Motivation and Perception (contd)Equity Theory (contd)Distributive justiceThe perceived fairness of the amount and allocation of rewards among individuals (i.e., who received what).Procedural justice The perceived fairness of the process use to determine the distribution of rewards (i.e., how who received what).

  • Motivation, Perception, and BehaviorExpectancy TheoryStates that an individual tends to act in a certain way based on the expectation that the act will be followed by a given outcome and on the attractiveness of that outcome to the individual.Key to the theory is understanding and managing employee goals and the linkages among and between effort, performance and rewards.

  • Motivation, Perception, and Behavior (contd)Core elements in expectancy theory Effort: employee abilities and training/developmentPerformance: valid appraisal systemsRewards (goals): understanding employee needs

  • Motivation, Perception, and Behavior (contd)Expectancy RelationshipsExpectancy (effort-performance linkage)The perceived probability that an individuals effort will result in a certain level of performance.InstrumentalityThe perception that a particular level of performance will result in the attaining a desired outcome (reward).ValenceThe attractiveness/importance of the performance reward (outcome) to the individual.

  • Simplified Expectancy Model

  • Current Issues in MotivationMotivating ProfessionalsHow are Professionals different?Strong and long-term commitment to their field of expertise.Loyalty is to their profession, not to the employer.Have the need to regularly update their knowledge.Dont define their workweek as 8:00 am to 5:00 pm.Motivators for professionalsJob challengeOrganizational support of their work

  • Current Issues in Motivation (contd)Motivating Contingent WorkersOpportunity to become a permanent employeeOpportunity for trainingEquity in compensation and benefitsMotivating Low-Skilled, Minimum-Wage EmployeesEmployee recognition programsProvision of sincere praise

  • Debate Extrinsic or Intrinsic Motivation?

  • Extrinsic motivationFor: The bottom line: economic rewards have to be competitiveEconomic rewards are indicators of achievement and statusIncentive pay (to induce higher level of efforts)Labor costs versus labor investment.Against: Induces only temporary compliance. Pay is not a motivator. Rewards punish. Rewards rupture relationships. Rewards ignore reasons. Rewards discourage risk-taking. Rewards undermine interest.

  • Intrinsic MotivationFor:The Hawthorn experiment;Individuals enjoy work, collective activities;Individuals respond to peer pressures, social comparison;Socialization, professional training shape behaviors;Against (?):To what extent?Under what conditions?

  • In general, the more cognitive sophistication and open-ended thinking that was required, the worse people performed when working for a reward.

    Aflie Kohn (2000, p. 55)

  • Motivation: From Theory to Practice

  • Case Analysis Cards from Two Hotels: Which One can Motivate You

  • Dear Guest: The management of this hotel would greatly appreciate it if you would consider reusing your towels a second day. This would greatly help us reduce our operating costs. Please place any towels that you are willing to reuse back on the rack. This will tell housekeeping not to replace them. Thank you very much. Sincerely, The management

  • Dear Guest: As a responsible citizen, you are probably concerned about doing your part to help preserve our fragile environment. If you are, the management of this hotel would like to suggest a way that you could make a real difference. Every year, millions of tons of detergent pollute our environment through the laundering of hotel towels that really dont need to laundered. This is where you can help. If you are willing to reuse your towels, simple place them back on the rack. This will tell housekeeping not to replace them. Thank you so much for doing your part in keeping our plant green. Sincerely, The management

  • Summary and takeawaysMotivation and incentive matter.

    Incentives take different formsFinancial, social recognitionIndividual-based, collective-basedShort-term, long-term

    Motivations vary withWork environmentsDifferent types of career linesStages in the life course

    A key managerial task is to figure out what motivates your employees and design your incentive plan accordingly.