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8th edition
    Steven P. Robbins
         Mary Coulter




PowerPoint Presentation by Charlie Cook
        Copyright © 2005 Prentice Hall, Inc.
                       All rights reserved.
What Is Motivation?
 • Motivation
        The processes that account for an individual’s
         willingness to exert high levels of effort to reach
         organizational goals, conditioned by the effort’s
         ability to satisfy some individual need.
               Effort:a measure of intensity or drive.
               Direction: toward organizational goals
               Need: personalized reason to exert effort

        Motivation works best when individual needs are
         compatible with organizational goals.


Copyright © 2005 Prentice Hall, Inc. All rights reserved.      16–5
The Motivation Process




                                                            Exhibit 16.1
Copyright © 2005 Prentice Hall, Inc. All rights reserved.           16–6
What Is Motivation?
 • Need
        An internal state that makes certain outcomes appear
         attractive.
        An unsatisfied need creates tension which is reduced
         by an individual’s efforts to satisfy the need.
 • Early Theories of Motivation
        Maslow’s Hierarchy of Needs
        MacGregor’s Theories X and Y
        Herzberg’s Motivation-Hygiene Theory



Copyright © 2005 Prentice Hall, Inc. All rights reserved.   16–7
Early Theories of Motivation
 • Maslow’s Hierarchy of Needs Theory
        Needs 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 needs
               Lower-order (external): physiological, safety
               Higher-order (internal): social, esteem, self-actualization


Copyright © 2005 Prentice Hall, Inc. All rights reserved.                16–8
Maslow’s Hierarchy of Needs




                                                            Exhibit 16.2
Copyright © 2005 Prentice Hall, Inc. All rights reserved.           16–9
Early Theories of Motivation (cont’d)
 • McGregor’s Theory X and Theory Y
        Theory X
               Assumes     that workers have little ambition, dislike work,
                  avoid responsibility, and require close supervision.
        Theory Y
               Assumes     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.




Copyright © 2005 Prentice Hall, Inc. All rights reserved.                 16–10
Early Theories of Motivation (cont’d)
 • Herzberg’s Motivation-Hygiene Theory
        Job 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.
        Attempted to explain why job satisfaction does not
         result in increased performance.
               The   opposite of satisfaction is not dissatisfaction, but
                  rather no satisfaction.


Copyright © 2005 Prentice Hall, Inc. All rights reserved.                    16–11
Herzberg’s Motivation-Hygiene Theory




                                                            Exhibit 16.3
Copyright © 2005 Prentice Hall, Inc. All rights reserved.          16–12
Contrasting Views of Satisfaction-
 Dissatisfaction




                                                            Exhibit 16.4
Copyright © 2005 Prentice Hall, Inc. All rights reserved.          16–13
Contemporary Theories of Motivation
 • Three-Needs Theory
 • Goal-Setting Theory
 • Reinforcement Theory
 • Designing Motivating Jobs
 • Equity Theory
 • Expectancy Theory



Copyright © 2005 Prentice Hall, Inc. All rights reserved.   16–14
Motivation and Needs
 • Three-Needs Theory
        There are three major acquired needs that are major
         motives in work.
        Need for achievement (nAch)
               The         drive to excel and succeed
        Need for power (nPow)
               The         need to influence the behavior of others
        Need of affiliation (nAff)
               The         desire for interpersonal relationships



Copyright © 2005 Prentice Hall, Inc. All rights reserved.              16–15
Motivation and Goals
 • Goal-Setting Theory
        Proposes that setting 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-Setting
        Increases 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).

Copyright © 2005 Prentice Hall, Inc. All rights reserved.          16–17
Goal-Setting Theory




                                                            Exhibit 16.6
Copyright © 2005 Prentice Hall, Inc. All rights reserved.          16–18
Motivation and Behavior
 • Reinforcement Theory
        Assumes that a desired behavior is a function of its
         consequences, is externally caused, and if reinforced,
         is likely to be repeated.
               Positive reinforcement is preferred for its long-term
                effects on performance
               Ignoring undesired behavior is better than punishment
                which may create additional dysfunctional behaviors.




Copyright © 2005 Prentice Hall, Inc. All rights reserved.           16–19
Designing Motivating Jobs
 • Job Design
        The way into which tasks can be combined to form
         complete jobs.
        Factors influencing job design:
               Changing organizational environment/structure
               The organization’s technology
               Employees’ skill, abilities, and preferences

        Job enlargement
               Increasing               the scope (number of tasks) in a job.
        Job enrichment
               Increasing               responsibility and autonomy (depth) in a job.
Copyright © 2005 Prentice Hall, Inc. All rights reserved.                           16–20
Designing Motivating Jobs (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 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?
Copyright © 2005 Prentice Hall, Inc. All rights reserved.                            16–21
Job Characteristics Model




Source: J.R. Hackman and J.L. Suttle (eds.). Improving Life at Work
(Glenview, IL: Scott, Foresman, 1977). With permission of the authors.
                                                                         Exhibit 16.7
Copyright © 2005 Prentice Hall, Inc. All rights reserved.                       16–22
Guidelines for Job Redesign




Source: J.R. Hackman and J.L. Suttle (eds.). Improving Life at Work
(Glenview, IL: Scott, Foresman, 1977). With permission of the authors.
                                                                         Exhibit 16.8
Copyright © 2005 Prentice Hall, Inc. All rights reserved.                       16–23
Designing Motivating Jobs (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.

Copyright © 2005 Prentice Hall, Inc. All rights reserved.      16–24
Motivation and Perception
 • Equity Theory
        Proposes 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).

Copyright © 2005 Prentice Hall, Inc. All rights reserved.                 16–25
Motivation and Perception (cont’d)
 • Equity Theory (cont’d)
        Employee responses to perceived inequities:
               Distortown 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.

Copyright © 2005 Prentice Hall, Inc. All rights reserved.            16–26
Equity Theory




                                                            Exhibit 16.9
Copyright © 2005 Prentice Hall, Inc. All rights reserved.          16–27
Motivation and Perception (cont’d)
 • Equity Theory (cont’d)
        Distributive justice
               The   perceived fairness of the amount and allocation of
                  rewards among individuals (i.e., who received what).
                    – Influences an employee’s satisfaction.
        Distributive
               The    perceived fairness of the process use to determine
                  the distribution of rewards (i.e., how who received
                  what).
                    – Affects an employee’s organizational commitment.



Copyright © 2005 Prentice Hall, Inc. All rights reserved.                16–28
Motivation, Perception, and Behavior
 • Expectancy Theory
        States 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.
               Effort:           employee abilities and training/development
               Performance:                      valid appraisal systems
               Rewards                (goals): understanding employee needs

Copyright © 2005 Prentice Hall, Inc. All rights reserved.                       16–29
Simplified Expectancy Model




                                                            Exhibit 16.10
Copyright © 2005 Prentice Hall, Inc. All rights reserved.           16–30
Motivation, Perception, and Behavior
 (cont’d)
 • Expectancy Relationships
        Expectancy (effort-performance linkage)
               The   perceived probability that an individual’s effort will
                  result in a certain level of performance.
        Instrumentality
               The   perception that a particular level of performance will
                  result in the attaining a desired outcome (reward).
        Valence
               The   attractiveness/importance of the performance
                  reward (outcome) to the individual.


Copyright © 2005 Prentice Hall, Inc. All rights reserved.                  16–31
Integrating
 Contemporary
 Theories of
 Motivation




                                                            Exhibit 16.11
Copyright © 2005 Prentice Hall, Inc. All rights reserved.           16–32
Current Issues in Motivation
 • Cross-Cultural Challenges
        Motivational programs are most applicable in cultures
         where individualism and quality of life are cultural
         characteristics
               Uncertainty   avoidance of some cultures inverts
                Maslow’s needs hierarchy.
               The need for achievement (nAch) is lacking in other
                cultures.
               Collectivist cultures view rewards as “entitlements” to be
                distributed based on individual needs, not individual
                performance.


Copyright © 2005 Prentice Hall, Inc. All rights reserved.              16–33
Current Issues in Motivation (cont’d)
 • Cross-Cultural Consistencies
        Interesting work is widely desired, as is growth,
         achievement, and responsibility.
 • Motivating Unique Groups of Workers
        Motivating a diverse workforce through flexibility:
               Men          desire more autonomy than do women.
               Women    desire learning opportunities, flexible work
                  schedules, and good interpersonal relations.




Copyright © 2005 Prentice Hall, Inc. All rights reserved.               16–34
Current Issues in Motivation (cont’d)
 • Flexible Work/Job schedules
        Compressed work week
               Longer            daily hours, but fewer days
        Flexible work hours (flextime)
               Specific   weekly hours with varying arrival, departure,
                  lunch and break times around certain core hours during
                  which all employees must be present.
        Job Sharing
               Two         or more people split a full-time job.
        Telecommuting
               Employees                  work from home using computer links.

Copyright © 2005 Prentice Hall, Inc. All rights reserved.                         16–35
Current Issues in Motivation (cont’d)
 • Motivating Professionals
        Characteristics of professionals
               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.
               Don’t define their workweek as 8:00 am to 5:00 pm.

        Motivators for professionals
               Jobchallenge
               Organizational support of their work




Copyright © 2005 Prentice Hall, Inc. All rights reserved.              16–36
Current Issues in Motivation (cont’d)
 • Motivating Contingent Workers
        Opportunity to become a permanent employee
        Opportunity for training
        Equity in compensation and benefits
 • Motivating Low-Skilled, Minimum-Wage
   Employees
        Employee recognition programs
        Provision of sincere praise




Copyright © 2005 Prentice Hall, Inc. All rights reserved.   16–37
Current Issues in Motivation (cont’d)
 • Designing Appropriate Rewards Programs
        Open-book management
               Involving   employees in workplace decision by opening
                  up the financial statements of the employer.
        Employee recognition programs
               Giving  personal attention and expressing interest,
                  approval, and appreciation for a job well done.
        Pay-for-performance
               Variable   compensation plans that reward employees on
                  the basis of their performance:
                    – Piece rates, wage incentives, profit-sharing, and lump-sum
                      bonuses
Copyright © 2005 Prentice Hall, Inc. All rights reserved.                    16–38
Current Issues in Motivation (cont’d)
 • Designing Appropriate Rewards Programs
   (cont’d)
        Stock option programs
               Using  financial instruments (in lieu of monetary
                compensation) that give employees the right to
                purchase shares of company stock at a set (option)
                price.
               Options have value if the stock price rises above the
                option price; they become worthless if the stock price
                falls below the option price.



Copyright © 2005 Prentice Hall, Inc. All rights reserved.                16–39
Recommendations for Designing Stock Options




* Vesting refers to the time that must pass before a person can exercise the option.

Source: P. Brandes, R. Dharwadkar, and G.V. Lemesis, “Effective Employee Stock
Option Design: Reconciling Stakeholder, Strategic, and Motivational Factors,”
Academy of Management Executive, February 2003, p. 84.
                                                                                       Exhibit 16.12b
Copyright © 2005 Prentice Hall, Inc. All rights reserved.                                       16–40
Recommendations for Designing Stock Options




Source: P. Brandes, R. Dharwadkar, and G.V. Lemesis, “Effective Employee Stock
Option Design: Reconciling Stakeholder, Strategic, and Motivational Factors,”
Academy of Management Executive, February 2003, p. 84.
                                                                                 Exhibit 16.12b
Copyright © 2005 Prentice Hall, Inc. All rights reserved.                                 16–41
From Theory to Practice:
 Guidelines for Motivating Employees
 • Recognize individual                                     • Link rewards to
   differences                                                performance
 • Match people to jobs                                     • Check the system for
                                                              equity
 • Use goals
                                                            • Use recognition
 • Ensure that goals are
   perceived as attainable                                  • Don’t ignore money
 • Individualize rewards



Copyright © 2005 Prentice Hall, Inc. All rights reserved.                            16–42

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Robbins ppt16

  • 1. 8th edition Steven P. Robbins Mary Coulter PowerPoint Presentation by Charlie Cook Copyright © 2005 Prentice Hall, Inc. All rights reserved.
  • 2. What Is Motivation? • Motivation  The processes that account for an individual’s willingness to exert high levels of effort to reach organizational goals, conditioned by the effort’s ability to satisfy some individual need.  Effort:a measure of intensity or drive.  Direction: toward organizational goals  Need: personalized reason to exert effort  Motivation works best when individual needs are compatible with organizational goals. Copyright © 2005 Prentice Hall, Inc. All rights reserved. 16–5
  • 3. The Motivation Process Exhibit 16.1 Copyright © 2005 Prentice Hall, Inc. All rights reserved. 16–6
  • 4. What Is Motivation? • Need  An internal state that makes certain outcomes appear attractive.  An unsatisfied need creates tension which is reduced by an individual’s efforts to satisfy the need. • Early Theories of Motivation  Maslow’s Hierarchy of Needs  MacGregor’s Theories X and Y  Herzberg’s Motivation-Hygiene Theory Copyright © 2005 Prentice Hall, Inc. All rights reserved. 16–7
  • 5. Early Theories of Motivation • Maslow’s Hierarchy of Needs Theory  Needs 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 needs  Lower-order (external): physiological, safety  Higher-order (internal): social, esteem, self-actualization Copyright © 2005 Prentice Hall, Inc. All rights reserved. 16–8
  • 6. Maslow’s Hierarchy of Needs Exhibit 16.2 Copyright © 2005 Prentice Hall, Inc. All rights reserved. 16–9
  • 7. Early Theories of Motivation (cont’d) • McGregor’s Theory X and Theory Y  Theory X  Assumes that workers have little ambition, dislike work, avoid responsibility, and require close supervision.  Theory Y  Assumes 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. Copyright © 2005 Prentice Hall, Inc. All rights reserved. 16–10
  • 8. Early Theories of Motivation (cont’d) • Herzberg’s Motivation-Hygiene Theory  Job 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.  Attempted to explain why job satisfaction does not result in increased performance.  The opposite of satisfaction is not dissatisfaction, but rather no satisfaction. Copyright © 2005 Prentice Hall, Inc. All rights reserved. 16–11
  • 9. Herzberg’s Motivation-Hygiene Theory Exhibit 16.3 Copyright © 2005 Prentice Hall, Inc. All rights reserved. 16–12
  • 10. Contrasting Views of Satisfaction- Dissatisfaction Exhibit 16.4 Copyright © 2005 Prentice Hall, Inc. All rights reserved. 16–13
  • 11. Contemporary Theories of Motivation • Three-Needs Theory • Goal-Setting Theory • Reinforcement Theory • Designing Motivating Jobs • Equity Theory • Expectancy Theory Copyright © 2005 Prentice Hall, Inc. All rights reserved. 16–14
  • 12. Motivation and Needs • Three-Needs Theory  There are three major acquired needs that are major motives in work.  Need for achievement (nAch)  The drive to excel and succeed  Need for power (nPow)  The need to influence the behavior of others  Need of affiliation (nAff)  The desire for interpersonal relationships Copyright © 2005 Prentice Hall, Inc. All rights reserved. 16–15
  • 13. Motivation and Goals • Goal-Setting Theory  Proposes that setting 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-Setting  Increases 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). Copyright © 2005 Prentice Hall, Inc. All rights reserved. 16–17
  • 14. Goal-Setting Theory Exhibit 16.6 Copyright © 2005 Prentice Hall, Inc. All rights reserved. 16–18
  • 15. Motivation and Behavior • Reinforcement Theory  Assumes that a desired behavior is a function of its consequences, is externally caused, and if reinforced, is likely to be repeated.  Positive reinforcement is preferred for its long-term effects on performance  Ignoring undesired behavior is better than punishment which may create additional dysfunctional behaviors. Copyright © 2005 Prentice Hall, Inc. All rights reserved. 16–19
  • 16. Designing Motivating Jobs • Job Design  The way into which tasks can be combined to form complete jobs.  Factors influencing job design:  Changing organizational environment/structure  The organization’s technology  Employees’ skill, abilities, and preferences  Job enlargement  Increasing the scope (number of tasks) in a job.  Job enrichment  Increasing responsibility and autonomy (depth) in a job. Copyright © 2005 Prentice Hall, Inc. All rights reserved. 16–20
  • 17. Designing Motivating Jobs (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 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? Copyright © 2005 Prentice Hall, Inc. All rights reserved. 16–21
  • 18. Job Characteristics Model Source: J.R. Hackman and J.L. Suttle (eds.). Improving Life at Work (Glenview, IL: Scott, Foresman, 1977). With permission of the authors. Exhibit 16.7 Copyright © 2005 Prentice Hall, Inc. All rights reserved. 16–22
  • 19. Guidelines for Job Redesign Source: J.R. Hackman and J.L. Suttle (eds.). Improving Life at Work (Glenview, IL: Scott, Foresman, 1977). With permission of the authors. Exhibit 16.8 Copyright © 2005 Prentice Hall, Inc. All rights reserved. 16–23
  • 20. Designing Motivating Jobs (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. Copyright © 2005 Prentice Hall, Inc. All rights reserved. 16–24
  • 21. Motivation and Perception • Equity Theory  Proposes 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). Copyright © 2005 Prentice Hall, Inc. All rights reserved. 16–25
  • 22. Motivation and Perception (cont’d) • Equity Theory (cont’d)  Employee responses to perceived inequities:  Distortown 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. Copyright © 2005 Prentice Hall, Inc. All rights reserved. 16–26
  • 23. Equity Theory Exhibit 16.9 Copyright © 2005 Prentice Hall, Inc. All rights reserved. 16–27
  • 24. Motivation and Perception (cont’d) • Equity Theory (cont’d)  Distributive justice  The perceived fairness of the amount and allocation of rewards among individuals (i.e., who received what). – Influences an employee’s satisfaction.  Distributive  The perceived fairness of the process use to determine the distribution of rewards (i.e., how who received what). – Affects an employee’s organizational commitment. Copyright © 2005 Prentice Hall, Inc. All rights reserved. 16–28
  • 25. Motivation, Perception, and Behavior • Expectancy Theory  States 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.  Effort: employee abilities and training/development  Performance: valid appraisal systems  Rewards (goals): understanding employee needs Copyright © 2005 Prentice Hall, Inc. All rights reserved. 16–29
  • 26. Simplified Expectancy Model Exhibit 16.10 Copyright © 2005 Prentice Hall, Inc. All rights reserved. 16–30
  • 27. Motivation, Perception, and Behavior (cont’d) • Expectancy Relationships  Expectancy (effort-performance linkage)  The perceived probability that an individual’s effort will result in a certain level of performance.  Instrumentality  The perception that a particular level of performance will result in the attaining a desired outcome (reward).  Valence  The attractiveness/importance of the performance reward (outcome) to the individual. Copyright © 2005 Prentice Hall, Inc. All rights reserved. 16–31
  • 28. Integrating Contemporary Theories of Motivation Exhibit 16.11 Copyright © 2005 Prentice Hall, Inc. All rights reserved. 16–32
  • 29. Current Issues in Motivation • Cross-Cultural Challenges  Motivational programs are most applicable in cultures where individualism and quality of life are cultural characteristics  Uncertainty avoidance of some cultures inverts Maslow’s needs hierarchy.  The need for achievement (nAch) is lacking in other cultures.  Collectivist cultures view rewards as “entitlements” to be distributed based on individual needs, not individual performance. Copyright © 2005 Prentice Hall, Inc. All rights reserved. 16–33
  • 30. Current Issues in Motivation (cont’d) • Cross-Cultural Consistencies  Interesting work is widely desired, as is growth, achievement, and responsibility. • Motivating Unique Groups of Workers  Motivating a diverse workforce through flexibility:  Men desire more autonomy than do women.  Women desire learning opportunities, flexible work schedules, and good interpersonal relations. Copyright © 2005 Prentice Hall, Inc. All rights reserved. 16–34
  • 31. Current Issues in Motivation (cont’d) • Flexible Work/Job schedules  Compressed work week  Longer daily hours, but fewer days  Flexible work hours (flextime)  Specific weekly hours with varying arrival, departure, lunch and break times around certain core hours during which all employees must be present.  Job Sharing  Two or more people split a full-time job.  Telecommuting  Employees work from home using computer links. Copyright © 2005 Prentice Hall, Inc. All rights reserved. 16–35
  • 32. Current Issues in Motivation (cont’d) • Motivating Professionals  Characteristics of professionals  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.  Don’t define their workweek as 8:00 am to 5:00 pm.  Motivators for professionals  Jobchallenge  Organizational support of their work Copyright © 2005 Prentice Hall, Inc. All rights reserved. 16–36
  • 33. Current Issues in Motivation (cont’d) • Motivating Contingent Workers  Opportunity to become a permanent employee  Opportunity for training  Equity in compensation and benefits • Motivating Low-Skilled, Minimum-Wage Employees  Employee recognition programs  Provision of sincere praise Copyright © 2005 Prentice Hall, Inc. All rights reserved. 16–37
  • 34. Current Issues in Motivation (cont’d) • Designing Appropriate Rewards Programs  Open-book management  Involving employees in workplace decision by opening up the financial statements of the employer.  Employee recognition programs  Giving personal attention and expressing interest, approval, and appreciation for a job well done.  Pay-for-performance  Variable compensation plans that reward employees on the basis of their performance: – Piece rates, wage incentives, profit-sharing, and lump-sum bonuses Copyright © 2005 Prentice Hall, Inc. All rights reserved. 16–38
  • 35. Current Issues in Motivation (cont’d) • Designing Appropriate Rewards Programs (cont’d)  Stock option programs  Using financial instruments (in lieu of monetary compensation) that give employees the right to purchase shares of company stock at a set (option) price.  Options have value if the stock price rises above the option price; they become worthless if the stock price falls below the option price. Copyright © 2005 Prentice Hall, Inc. All rights reserved. 16–39
  • 36. Recommendations for Designing Stock Options * Vesting refers to the time that must pass before a person can exercise the option. Source: P. Brandes, R. Dharwadkar, and G.V. Lemesis, “Effective Employee Stock Option Design: Reconciling Stakeholder, Strategic, and Motivational Factors,” Academy of Management Executive, February 2003, p. 84. Exhibit 16.12b Copyright © 2005 Prentice Hall, Inc. All rights reserved. 16–40
  • 37. Recommendations for Designing Stock Options Source: P. Brandes, R. Dharwadkar, and G.V. Lemesis, “Effective Employee Stock Option Design: Reconciling Stakeholder, Strategic, and Motivational Factors,” Academy of Management Executive, February 2003, p. 84. Exhibit 16.12b Copyright © 2005 Prentice Hall, Inc. All rights reserved. 16–41
  • 38. From Theory to Practice: Guidelines for Motivating Employees • Recognize individual • Link rewards to differences performance • Match people to jobs • Check the system for equity • Use goals • Use recognition • Ensure that goals are perceived as attainable • Don’t ignore money • Individualize rewards Copyright © 2005 Prentice Hall, Inc. All rights reserved. 16–42