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Chap010 BUS137

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Motivating People

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Chap010 BUS137

  1. 1. McGraw-Hill/Irwin Copyright © 2009 by The McGraw-Hill Companies, Inc. All rights reserved.
  2. 2. Learning Objectives L01: Behaviors managers need to motivate people L02: Principles for setting goals that motivate employees L03: How to reward good performance effectively L04: Key beliefs that affect people’s motivation L05: Ways in which people’s individual needs affect their behavior. L06: Ways to create jobs that motivate. L07: How people assess fairness and how to achieve fairness. L08: Identify causes and consequences of a satisfied workforce. 10-2
  3. 3. Motivating for Performance Motivation  forces that energize, direct and sustain a person’s efforts. Organizations want to motivate people to:  Join the organization, and stay  Come to work regularly  Work hard to achieve high output and high quality  Exhibit good citizenship  be committed and perform above and beyond the call of duty to help the company 10-3
  4. 4. Goal Setting Theory Proposes that people have conscious goals that energize them and direct their thoughts and behaviors toward a particular end 10-4
  5. 5. Well-crafted goals are highly motivating Meaningful Acceptable Challenging but Attainable Specific and quantifiable 10-5
  6. 6. Stretch Goals Targets that are exceptionally demanding, and that some people would never even think of.  Vertical stretch goals are aligned with current activities including productivity and financial results  Horizontal stretch goals involve people’s professional development, such as attempting and learning new, difficult things 10-6
  7. 7. Reinforcing Performance Law of effect  Law formulated by Edward Thorndike in 1911  Behavior that is followed by positive consequences will likely be repeated Reinforcers  Positive consequences that motivate behavior Organizational behavior modification (OB mod)  Application of reinforcement theory in organizational settings 10-7
  8. 8. Key Consequences of Behavior1. Positive reinforcement  applying a consequence that increases the likelihood that the person will repeat the behavior that led to it.2. Negative reinforcement  removing or withholding an undesirable consequence.3. Punishment  administering an aversive consequence.4. Extinction  withdrawing or failing to provide a reinforcing consequence. 10-8
  9. 9. What do you want toreinforce? Solid solutions NOT quick fixes Risk taking NOT risk avoiding Applied creativity NOT mindless conformity Decision action NOT analysis paralysis Smart work NOT busywork Simplification NOT needless complication Quietly effective behavior NOT squeaky wheels Quality work NOT fast work Loyalty NOT turnover Working together NOT working against 10-9
  10. 10. Rewards Support the firm’s strategy Relate people’s performance in relation to strategic objectives Can be nonmonetary  intellectual challenge, greater responsibility, autonomy, recognition, flexible benefits, and greater influence over decisions 10-10
  11. 11. Should you punish mistakes?Appropriate Inappropriate Violation of law, ethical  When poor performance standards, important is not the individual’s safety rules fault When employees  When managers take out perform like a slacker their frustrations on the wrong people 10-11
  12. 12. How to Manage Mistakes Recognize that everyone makes mistakes  Handle constructively by discussing and learning from them Praise people who deliver based news to their bosses Don’t punish, unsuccessful good-faith efforts Encourage people to try new things and don’t punish them if what they try doesn’t work out. 10-12
  13. 13. Performance-related Beliefs Expectancy theory  people will behave based on their perceived likelihood that their effort will lead to a certain outcome and  on how highly they value that outcome. Effort ∇ Performance ∇ Outcome 10-13
  14. 14. Managerial Implications of ExpectancyTheoryc Increase expectancies  Provide work environment that facilitates good performance  Set realistically attainable performance goalsy Identify positively valent outcomes  Understand want people want to get out of workp Make performance instrumental toward positive outcomes  Follow good performance by personal recognition and praise, favorable performance reviewers, pay increases, and other positive results 10-14
  15. 15. Maslow’s Need Hierarchy 10-15
  16. 16. Types of Motivation Extrinsic motivation  rewards given to a person by the boss, the company or some other person - EXTERNAL Intrinsic motivation  rewards a worker derives directly from performing the job itself - INTERNAL 10-16
  17. 17. Designing Motivating Jobs Job rotation  changing from one routine task to another to alleviate boredom Job enlargement  Giving people additional tasks at the same time to alleviate boredom Job enrichment  Changing a task to make it inherently more rewarding, motivating, and satisfying 10-17
  18. 18. Herzberg’s two-factor theory Proposed two broad categories of factors that affect people working on their jobs  Hygiene factor  Workplace characteristics that can make people dissatisfied  Company policies, working conditions, pay, and supervision  Motivators  Factors that make a job more motivating  Additional job responsibilities, opportunities for personal growth and recognition, and feelings of achievement 10-18
  19. 19. What is empowerment? The process of sharing power with employees, thereby enhancing their confidence in their ability to perform their jobs and their belief that they are influential contributors to the organization. 10-19
  20. 20. Equity Theory Proposes that people assess how fairly they have been treated according to two key factors 1. Outcomes – various things the person receives on the job 2. Inputs – contributions the person makes to the organization 10-20
  21. 21. How people restore equity Reducing their inputs Increase their outcomes Decrease others’ outcomes Increase others’ inputs 10-21
  22. 22. Quality of work life programsCreate workplace that enhances employee well-being and satisfactionSatisfy the full range of employee needs 10-22
  23. 23. Feedback should… Be useful Address your employee’s request for feedback 10-24
  24. 24. YOU should be able to L01: Identify the kinds of behaviors managers need to motivate people L02: List principles for setting goals that motivate employees L03: Summarize how to reward good performance effectively L04: Describe the key beliefs that affect people’s motivation 10-25
  25. 25. YOU should be able to L05: Discuss ways in which people’s individual needs affect their behavior. L06: Define ways to create jobs that motivate. L07: Summarize how people assess fairness and how to achieve fairness. L08: Identify causes and consequences of a satisfied workforce. 10-26
  26. 26. 10-27
  27. 27. Test Your Knowledge Describe the characteristics of goals that most effectively motivate people. 10-28
  28. 28. Test Your KnowledgeIdentify four examples of people advertently reinforcing the wrong behaviors, or punishing or extinguishing good behaviors 10-29
  29. 29. Test Your Knowledge Discuss the managerial implications ofexpectancy theory. Relate them specifically to expectancy theory. 10-30
  30. 30. Test Your KnowledgeA difference between Maslows Need Hierarchy and Alderfers ERG Theory is that A) ERG theory states that various needs operate simultaneously. B) Maslows hierarchy has more scientific validity. C) Maslows hierarchy reminds managers that even if one need seems to motivate people, other needs may still need attention. D) ERG theory focuses on five levels of need. E) only Maslows theory serves to remind managers of the types of reinforcers that can be used to motivate people. 10-31
  31. 31. Test Your Knowledge Compare and contrast job enlargement, jobenrichment, and job rotation. Give an example of each. 10-32
  32. 32. Procedural Justice making andUsing a fair process in decision making sure others know that the process was as fair as possible. 10-33
  33. 33. Test Your KnowledgeDescribe a time when you felt unfairly treated and explain why. How did you respond to the inequity? What other options might you have had? 10-34
  34. 34. Test Your Knowledge Identify the cause and consequences of a satisfied workforce. 10-35