Basic Motivation

Concepts
 BMC a producer of software products, gives
top priority to keep talented workers by:
 Pay an incentive to designers of new products.
 Gives a percentage of any sales their products
generate,
 Provides other rewards to top performers/
performing teams.
 Profit-per-employee is among the highest in the
industry.
 The company is introducing new products at
a breathtaking pace.
What Is Motivation?

Direction

Intensity Persistence
Motivation is the process that accounts
for an individual’s intensity, direction, and
persistence of effort toward the
attainment of a goal.
 Three key elements
 Intensity is how hard a person tries
 Direction is the orientation that helps
realize the objective
 Persistence is a measure of how long a
person can maintain his/her effort

 Motivated individuals stay with a task

long enough to achieve their goal
 Imp. Theories of Motivation
 Maslow’s Hierarchy of Needs Theory
 Theory x, theory Y -By Douglas McGregor
 Motivation-Hygiene Theory or Herzberg’s Two-
factor Theory
 ERG Theory by Clayton Alderfer
 The Theory of Needs by David McClelland
 Goal-setting Theory - Edwin Locke
 Equity theory- J.Stacy Adams
 Expectancy Theory- Victor Vroom
 Maslow’s
Hierarchy of Needs Theory
Deficiency needs - they must be satisfied if
the individual is to be healthy and secure.

Physiological. Hunger, thirst, shelter and

other survival needs.
Safety. Security, stability, and protection

from physical or emotional harm.

Social. Social interaction, affection,

companionship, and friendship.

 Growth needs - are related to the
development and achievement of one’s
potential

 Esteem. Self-respect, autonomy,

achievement, status, recognition, and
attention
 Self-actualization. Growth, self-
fulfillment, and achieving one’s potential
Maslow’s
Hierarchy of Needs Theory
Self-Actualization

Esteem

Social

Safety

Physiological
 As each of these needs becomes substantially
satisfied, the next higher need becomes
dominant.

 Higher-order needs are satisfied internally.

 Lower-order needs are predominantly

satisfied externally.
 By Douglas McGregor

Little Ambition
Theory X Dislike Work
Workers
Avoid Responsibility

Self-Directed
Theory Y
Enjoy Work
Workers
Accept Responsibility
 Theory X
 Assumptions
 Individuals
 Inherently dislike work and will try to avoid it
 They avoid responsibilities
 Seek formal direction
 Place security above all other work-related
factors
 Display little ambition
 They must be coerced, controlled, or
threatened to achieve goals
Theory Y
 Assumptions:
 Individuals
 View work as being as natural as rest or play
 Committed to their objectives
 The individual can learn to accept, even seek,
responsibility
 Individuals have innovative decision-making
skills
 Individuals will exercise self-direction and
self-control
Implications
 Theory X assumes that lower-order
needs dominate individuals

 Theory Y assumes that higher-order

needs dominate individuals
Proposals of Mc Gregor
 Participative decision making
 Responsible and challenging tasks
 Good group relations
- Maximize motivation
 Motivation-Hygiene Theory
 Frederick Herzberg asked workers to describe
situations in which they felt either good or
bad about their jobs

 Theory asserts that

 Intrinsic factors are related to job

satisfaction - motivating factors

 Extrinsic factors are associated with

dissatisfaction - hygiene factors

 Herzberg’s Two-factor Theory

Hygiene Factors Motivational Factors

• Quality of supervision • Career Advancement
• Remuneration • Personal growth
• Company policies
• Working conditions • Recognition
• Relations with others • Responsibility
• Job security • Achievement
Contrasting Views of Satisfaction
and Dissatisfaction

Presence Absence
 Job satisfaction factors are distinct from job
dissatisfaction factors

 Managers who eliminate job dissatisfaction

factors may not necessarily motivate
 When hygiene factors are adequate, people will
not be dissatisfied; Neither will they be satisfied

 To motivate people - emphasize intrinsically

rewarding factors
Contemporary Theories of
Motivation
 ERG Theory
There are three groups of core needs: existence,
relatedness, and growth

Existence: Basic material existence requirements.

Physiological + safety needs of Maslow’s Hierarchy

Relatedness: The desire for maintaining important

interpersonal relationships.
Social + External factor of Esteem need

Growth: An intrinsic desire for personal development.

Intrinsic component of esteem + Self- Actualization.
 ERG Theory demonstrates

1. More than one need may be operative at the same

time
2. If the gratification of a higher-level need is stifled,
the desire to satisfy a lower-level need increases.
(Frustration-regression dimension)

ERG theory represents a more valid version of need hierarchy

 Need for
Achievement The Theory
(nAch)
of Needs
Need for
Power
(nPow)

Need for David

Affiliation McClelland
(nAff)
 Proposed three learned needs motivate
behavior
 Need for achievement -
 Need to excel
 To achieve in relation to a set of standards, to
strive to succeed
 Need for power
 To make others behave in ways in which they
would not have behaved otherwise
 Need for affiliation
 Desire for interpersonal relationships
Predictions Based on the Theory
 Individuals with a high need to achieve are
strongly motivated in situations where
 Personal responsibility
 Feedback
 Intermediate degree of risk
 High achievers are interested in how well
they do personally and not in influencing
others to do well
 The needs for affiliation and power tend
to be closely related to managerial
success.

 The best managers are high in their

need for power and low in their need
for affiliation.
Goal-Setting Theory (Edwin
Locke)
 Goal-setting Theory

 Specificity  Commitment
 Challenge  Self-efficacy
 Feedback  Task characteristics
 Participation  Culture
 Edwin Locke proposed
 Intentions to work toward a goal are a
major source of work motivation
 Goals tell an employee what needs to be
done and how much effort is needed
 Effective
EffectiveGoal
GoalSetting
Setting

Specific
Goals

Results-Oriented
Goals

Challenging Task Task

Goals Effort Performance

Goal
Commitment
Participation in
Goal Formation
(sometimes)
 EQUITY THEORY- J.Stacy Adams

Individuals compare their job inputs and

outcomes with those of others and then respond
so as to eliminate any inequities.
 Ratio Employee’s
Comparison* Perception

Outcomes A < Outcomes B Inequity (Under-Rewarded)

Inputs A Inputs B
Outcomes A Outcomes B
= Equity
Inputs A Inputs B
Outcomes A Outcomes B
Inputs A > Inputs B Inequity (Over-Rewarded)

*
Where A is the employee, and B is a relevant other or referent.
 Inequity creates tension employee to seek
fairness.
 Four referents that an employee can use:
 Self-inside: an employee’s experiences in a
different position inside the organization.
 Self-outside: an employee’s experiences in a
position outside of the organization.
 Other-inside: an employee’s perception of
persons inside the organization.
 Other-outside: an employee’s perception of
persons outside of the organization.
 Workers who perceive an inequity will react in
one of the six following ways:
 Change inputs
 Change outcomes
 Distort perceptions of self
 Distort perceptions of others
 Choose a different referent, or
 Leave the field
 Expectancy Theory-Victor Vroom

The strength of a tendency to act in a certain

way depends on the strength of an expectation
that the act will be followed by a given
outcome and on the attractiveness of that
outcome to the individual.
Individual 1 Individual 2 Organizational
Effort Performance Rewards

1. Effort-performance relationship
Personal
2. Performance-rewards relationship
Goals
3. Rewards-personal goals relationship
1. Effort-performance relationship: The probability perceived by the
individual that exerting a given amount of effort will lead to
performance.

2. Performance-reward relationship: The degree to which the individual

believes that performing at a particular level will lead to the attainment
of desired outcome.

3. Reward-personal goals relationship: The degree to which

organizational rewards satisfy an individual’s personal goals or needs
and the attractiveness of those potential rewards for the individual.
 Performance Dimensions
Don’t forget abilities and opportunities
Ability

Performance

Motivation Opportunity
 Success on a job is facilitated or hindered by
the existence or absence of support resources

 Performance = f(a  M  O)
 If either is inadequate, performance will be

negatively affected