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sumanpoudel.info.np 4–0
What is Personality?
Personality
The sum total of ways in which an individual reacts
and interacts with others.
Personality Traits
Enduring characteristics
that describe an
individual’s behavior.
Personality
Determinants
• Heredity
• Environment
• Situation
sumanpoudel.info.np 4–1
Today
1. Myers-Briggs
2. Big 5
3. Major Attributes
Locus of Control
Machiiavellianism
Self Esteem
Self Monitoring
4. Holland’s Personality Job Fit
6 types (Realistic, Investigative, Social,
Conventional, Enterprising, Artistic)
4. National Culture
5. Emotions
Risk
Type A/B
Proactive
sumanpoudel.info.np 4–2
The Myers-Briggs Type Indicator
Personality Types
• Extroverted vs. Introverted (E or I)
• Sensing vs. Intuitive (S or N)
• Thinking vs. Feeling (T or F)
• Judging vs. Perceiving (P or J)
Myers-Briggs Type Indicator (MBTI)
A personality test that taps four characteristics and
classifies people into 1 of 16 personality types.
sumanpoudel.info.np 4–3
sumanpoudel.info.np 4–4
The Big Five Model of Personality Dimensions
Extroversion
Sociable, gregarious, and assertive
Agreeableness
Good-natured, cooperative, and trusting.
Conscientiousness
Responsible, dependable, persistent, and organized.
Openness to Experience
Imaginativeness, artistic, sensitivity, and intellectualism.
Emotional Stability
Calm, self-confident, secure (positive) versus nervous, depressed,
and insecure (negative).
Factors influencing individual Behavior
 Ability
– Aptitudes and learning
 Perception
– Objects, People and Situation.
 Personality
– Traits and Characteristics
 Organizational System and resources.
– Leadership , Rewards , Facilities , Structure.
 Motivation
– Attitudes , Beliefs , values , Needs and Goals.
sumanpoudel.info.np 4–5
Major Personality Attributes influencing
Behavior
 Locus of control
 Machiavellianism
 Self Esteem
 Self Monitoring
 Risk Taking
 Personality Type.
sumanpoudel.info.np 4–6
sumanpoudel.info.np 4–7
Locus of Control
Locus of Control
The degree to which people believe they
are masters of their own fate.
Internals
Individuals who believe that they
control what happens to them.
Externals
Individuals who believe that
what happens to them is
controlled by outside forces
such as luck or chance.
sumanpoudel.info.np 4–8
Machiavellianism
Conditions Favoring High Machs
• Direct interaction
• Minimal rules and regulations
• Emotions distract for others
Machiavellianism (Mach)
Degree to which an individual is pragmatic,
maintains emotional distance, and believes
that ends can justify means.
sumanpoudel.info.np 4–9
Self-Esteem and Self-Monitoring
Self-Esteem (SE)
Individuals’ degree of liking
or disliking themselves.
Self-Monitoring
A personality trait that measures
an individuals ability to adjust
his or her behavior to external,
situational factors.
sumanpoudel.info.np 4–10
Risk-Taking
 High Risk-taking Managers
– Make quicker decisions
– Use less information to make decisions
– Operate in smaller and more entrepreneurial
organizations
 Low Risk-taking Managers
– Are slower to make decisions
– Require more information before making decisions
– Exist in larger organizations with stable environments
 Risk Propensity
– Aligning managers’ risk-taking propensity to job
requirements should be beneficial to organizations.
sumanpoudel.info.np 4–11
Personality Types
Type A’s
1. are always moving, walking, and eating rapidly;
2. feel impatient with the rate at which most events take place;
3. strive to think or do two or more things at once;
4. cannot cope with leisure time;
5. are obsessed with numbers, measuring their success in
terms of how many or how much of everything they acquire.
Type B’s
1. never suffer from a sense of time urgency with its
accompanying impatience;
2. feel no need to display or discuss either their achievements
or accomplishments;
3. play for fun and relaxation, rather than to exhibit their
superiority at any cost;
4. can relax without guilt.
sumanpoudel.info.np 4–12
Personality Types
Proactive Personality
Identifies opportunities,
shows initiative, takes
action, and perseveres
until meaningful change
occurs.
Creates positive change
in the environment,
regardless or even in
spite of constraints or
obstacles.
sumanpoudel.info.np 4–13
Achieving Person-Job Fit
Personality Types
• Realistic
• Investigative
• Social
• Conventional
• Enterprising
• Artistic
Personality-Job Fit
Theory (Holland)
Identifies six personality
types and proposes that
the fit between personality
type and occupational
environment determines
satisfaction and turnover.
sumanpoudel.info.np 4–14
Holland’s
Typology of
Personality
and
Congruent
Occupations
E X H I B I T 4–2
sumanpoudel.info.np 4–15
Relationships
among
Occupational
Personality
Types
E X H I B I T 4–3
Source: Reprinted by special permission of the publisher, Psychological
Assessment Resources, Inc., from Making Vocational Choices, copyright 1973,
1985, 1992 by Psychological Assessment Resources, Inc. All rights reserved.
sumanpoudel.info.np 4–16
Defining Motivation
Key Elements
1. Intensity: how hard a person tries
2. Direction: toward beneficial goal
3. Persistence: how long a person tries
Motivation
The processes that account for an individual’s
intensity, direction, and persistence of effort toward
attaining a goal.
sumanpoudel.info.np 4–17
Needs Theories
Maslow’s 5 levels: Physiological, safety,
social, esteem, self actualization
hierarchy
Must meet lower
first
ERG 3 levels: Existence, relationship,
growth
Can be met at
same time
McClelland Achievement, power, relationship Closely aligned
to job selection
Two Factor
(Hygiene)
The opposite of satisfaction is not
dissatisfaction
Addresses
productivity
sumanpoudel.info.np 4–18
Theories
Theory XY Employees are either
positive or negative
Equity Perceived value in relation
to coworkers
Does not address absenteeism,
turnover, job satisfaction
Reinforcement Reinforcement conditions
behavior
Ignores inner state of employee
Cognitive
Evaluation
Internal vs external
motivation factors
Pay for performance, high and
low level jobs
Expectancy Effort Performance 
Reward Attractive
Reward
More applicable to complex jobs
Goal Setting Clear, difficult goals
higher productivity
Must have feedback, preferably
internal
Job Design Job organization can act ot
increase or decrease effort
sumanpoudel.info.np 4–19
Hierarchy of Needs Theory (Maslow)
Hierarchy of Needs Theory
There is a hierarchy of five
needs—physiological, safety,
social, esteem, and self-
actualization; as each need is
substantially satisfied, the next
need becomes dominant.
Self-Actualization
The drive to become what one is capable of becoming.
sumanpoudel.info.np 4–20
Maslow’s Hierarchy of Needs
Lower-Order Needs
Needs that are satisfied
externally; physiological
and safety needs.
Higher-Order Needs
Needs that are satisfied
internally; social, esteem,
and self-actualization
needs.
E X H I B I T 6–1Source: Motivation and Personality , 2nd ed,, by A.H. Maslow, 1970.
Reprinted by permission of Prentice Hall, Inc., Upper Saddle River, NJ.
sumanpoudel.info.np 4–21
Theory X and Theory Y (Douglas McGregor)
Theory X
Assumes that employees dislike
work, lack ambition, avoid
responsibility, and must be
directed and coerced to perform.
Theory Y
Assumes that employees like
work, seek responsibility, are
capable of making decisions,
and exercise self-direction and
self-control when committed to
a goal.
sumanpoudel.info.np 4–22
Two-Factor Theory (Frederick Herzberg)
Two-Factor (Motivation-Hygiene) Theory
Intrinsic factors are related to job satisfaction,
while extrinsic factors are associated with
dissatisfaction.
Hygiene Factors
Factors—such as company policy
and administration, supervision,
and salary—that, when adequate
in a job, placate workers. When
factors are adequate, people will
not be dissatisfied.
sumanpoudel.info.np 4–23
Comparison of Satisfiers
and Dissatisfiers
Factors characterizing
events on the job that led to
extreme job dissatisfaction
Factors characterizing
events on the job that
led to extreme job
satisfaction
E X H I B I T 6–2
Source: Reprinted by permission of Harvard Business Review. An exhibit from One More Time:
How Do You Motivate Employees? by Frederick Herzberg, September–October 1987. Copyright
© 1987 by the President and Fellows of Harvard College: All rights reserved.
sumanpoudel.info.np 4–24
Cognitive Evaluation Theory
Cognitive Evaluation Theory
Providing an extrinsic reward for behavior that
had been previously only intrinsically rewarding
tends to decrease the overall level of motivation.
The theory may only be relevant to
jobs that are neither extremely
dull nor extremely interesting.
sumanpoudel.info.np 4–25
Goal-Setting Theory (Edwin Locke)
Goal-Setting Theory
The theory that specific and difficult goals, with
feedback, lead to higher performance.
Self-Efficacy
The individual’s belief that he or
she is capable of performing a task.
Factors influencing the goals–
performance relationship:
Goal commitment, adequate self-
efficacy, task characteristics, and
national culture.
sumanpoudel.info.np 4–26
Reinforcement Theory
Concepts:
Behavior is environmentally caused.
Behavior can be modified (reinforced) by
providing (controlling) consequences.
Reinforced behavior tends to be repeated.
The assumption that behavior is a function of its
consequences.
sumanpoudel.info.np 4–27
Job Design Theory
Characteristics:
1. Skill variety
2. Task identity
3. Task significance
4. Autonomy
5. Feedback
Job Characteristics
Model
Identifies five job
characteristics and their
relationship to personal
and work outcomes.
sumanpoudel.info.np 4–28
Job Design Theory (cont’d)
Skill Variety
The degree to which a job requires
a variety of different activities.
Task Identity
The degree to which the job requires completion of
a whole and identifiable piece of work.
Task Significance
The degree to which the job has a substantial
impact on the lives or work of other people.
sumanpoudel.info.np 4–29
Job Design Theory (cont’d)
Autonomy
The degree to which the job provides substantial
freedom and discretion to the individual in
scheduling the work and in determining the
procedures to be used in carrying it out.
Feedback
The degree to which carrying out the work
activities required by a job results in the individual
obtaining direct and clear information about the
effectiveness of his or her performance.
sumanpoudel.info.np 4–30
Equity Theory
Referent
Comparisons:
Self-inside
Self-outside
Other-inside
Other-outside
Equity Theory
Individuals compare their job inputs and outcomes
with those of others and then respond to eliminate
any inequities.
sumanpoudel.info.np 4–31
Equity Theory (cont’d)
Choices for dealing with inequity:
1. Change inputs (slack off)
2. Change outcomes (increase output)
3. Distort/change perceptions of self
4. Distort/change perceptions of others
5. Choose a different referent person
6. Leave the field (quit the job)
sumanpoudel.info.np 4–32
Equity Theory (cont’d)
Propositions relating to inequitable pay:
1. Overrewarded hourly employees produce
more than equitably rewarded employees.
2. Overrewarded piece-work employees
produce less, but do higher quality piece
work.
3. Underrewarded hourly employees produce
lower quality work.
4. Underrewarded employees produce larger
quantities of lower-quality piece work than
equitably rewarded employees
sumanpoudel.info.np 4–33
Expectancy Theory Relationships
 Effort–Performance Relationship
– The probability that exerting a given amount of effort
will lead to performance.
 Performance–Reward Relationship
– The belief that performing at a particular level will lead
to the attainment of a desired outcome.
 Rewards–Personal Goals Relationship
– The degree to which organizational rewards satisfy an
individual’s goals or needs and the attractiveness of
potential rewards for the individual.
MOTIVATION: FROM CONCEPT TO APPLICATIONS
 "we review a number of motivation techniques and programs
that have gained varying degrees of acceptance in practice.
 And for each of the techniques and programs we review, we
specifically address how they build on one or more of the
motivation theories covered in the previous slides"
sumanpoudel.info.np 4–34
MANAGEMENT BY OBJECTIVES (MBO)
 "Management by objectives emphasizes
participatively set goals that are tangible,
verifiable, and measurable…
 MBO's appeal undoubtedly lies in its emphasis
on converting overall organizational objectives
into specific objectives for organizational units
and individual members.
 MBO operationalizes the concept of objectives
by devising a process by which objectives
cascade down through the organization"
sumanpoudel.info.np 4–35
EMPLOYEE RECOGNITION PROGRAMS
 "Recognition can take many forms. You can
personally congratulate an employee in private for a
good job.
 You can send a handwritten note or an e-mail
message acknowledging something positive that
the employee has done.
 For employees with a strong need for social
acceptance, you can publicly recognize
accomplishments.
 And to enhance group cohesiveness and
motivation, you can celebrate team successes. You
can use meeting to recognize the contributions and
achievements of successful work teams"sumanpoudel.info.np 4–36
EMPLOYEE INVOLVEMENT PROGRAMS
 "Employee involvement has become a convenient
catchall term to cover a variety of techniques.
 For instance, it encompasses such popular ideas
as employee participation or participative
management, workplace democracy,
empowerment, and employee ownership…
 We define it as a participative process that uses
the entire capacity of employees and is designed
to encourage increased commitment to the
organizations's success.
sumanpoudel.info.np 4–37
EXAMPLES: EIP
 a) Participative Management.
 A process in which subordinates share a
significant degree of decision-making power
with their immediate superiors.
 b) Representative Participation
 Workers participate in organizational decision
making through a small group of
representative employees.
sumanpoudel.info.np 4–38
EXAMPLES: EIP
 C) Quality Circes
 "The quality circle concept is frequently mentioned
as one of the techniques that Japanese firms
utilize that has allowed them to make high-quality
products at low costs.
 Originally begun in the United States and exported
to Japan in the 1950s, the quality circle became
quite popular in North America and Europe during
the 1980s"
 d) Employee Stock Ownership Plans (ESOPs)
 Company-established benefit plans in which
employees acquire stock as part of their benefits.
sumanpoudel.info.np 4–39
VARIABLE PAY PROGRAMS
 A portion of an employee's pay is based on some
individual and/or organizational measure of
performance.
 a) Piece-Rate Pay Plans
 Workers are paid a fixed sum for each unit of
production completed.
 b) Profit-Sharing Plans
 Organization wide programs that distribute
compensation based on some established formula
designed around a company's profitability.
sumanpoudel.info.np 4–40
 C) Gainsharing
 An incentive plan in which improvements in group
productivity determine the total amount of money that
is allocated.
 "Isn't gainsharing the same as profit sharing?
 They're similar but not the same thing.
 By focusing on productivity gains rather than profits,
gainsharing rewards specific behaviors that are less
influenced by external factors. Employees in a
gainsharing plan can receive incentive awards even
when the organization isn't profitable"
sumanpoudel.info.np 4–41
SKILL-BASED PAY PLANS
 Pay levels are based on how many skills
employees have or how many jobs they can
do.
 "Skill-based pay additionally helps meet the
needs of ambitious employees who confront
minimal advancement opportunities. These
people can increase their earnings and
knowledge without a promotion in job title.
Finally, skill-based pay appears to lead to
performance improvements"
sumanpoudel.info.np 4–42
FLEXIBLE BENEFITS
 Employees tailor their benefit program to
meet their personal needs by picking and
choosing from a menu of benefit options.
 "Giving all employees the same benefits
assumes all employees have the same
needs. Of course, we know this assumption is
false. Thus, flexible benefits turn the benefits'
expenditure into a motivator.
sumanpoudel.info.np 4–43
SPECIAL ISSUES IN MOTIVATION
 a) MOTIVATING PROFESSIONALS
 "Professionals are typically different from
nonprofessionals.
 They have a strong and long-term commitment to
their field of expertise.
 Their loyalty is more often to their profession than to
their employer.
 To keep current in their field, they need to regularly
update their knowledge, and their commitment to
their profession means they rarely define their
workweek in terms of 8 to 5 and five days a week"
sumanpoudel.info.np 4–44
SPECIAL ISSUES IN MOTIVATION
 b) MOTIVATING CONTINGENT WORKERS
 "… contingent employees don't have the security
or stability that permanent employees have.
 As such, they don't have the security or stability
that permanent employees have.
 As such, they don't identify with the organization
or display the commitment that other employees
do.
 Temporary workers also are typically provided
with little or no health care, pensions, or similar
benefits"
sumanpoudel.info.np 4–45
SPECIAL ISSUES IN MOTIVATION
 C)MOTIVATING THE DIVERSIFIED WORKFORCE
 "Not everyone is motivated by money.
 Not everyone wants a challenging job.
 The needs of women, singles, immigrants, the physically
disabled, senior citizens, and others from diverse groups are
not the same as a married, white American male with three
dependents…
 If you're going to maximize your employees' motivation, you've
got to understand and respond to this diversity.
sumanpoudel.info.np 4–46
MOTIVATING LOW-SKILLED SERVICE WORKERS
 "One of the most challenging motivation problems
in industries such as retailing and fast food is: How
do you motivate individuals who are making very
low wages and who have little opportunity to
significantly increase their pay in either their current
jobs or through promotions?
 These jobs are typically filled with people who
have limited education and skills, and pay levels
are little above minimum wage"
sumanpoudel.info.np 4–47
MOTIVATING PEOPLE DOING HIGHLYREPETITIVE TASKS
 "Motivating individuals in these jobs can be made easier
through careful selection.
 People vary in their tolerance for ambiguity.
 Many individuals prefer jobs that have a minimal amount of
discretion and variety.
 Such individuals are obviously a better match to
standardized jobs than individuals with strong needs for
growth and autonomy.
 Standardized jobs should also be the first considered for
automation”
sumanpoudel.info.np 4–48
Thank you
sumanpoudel.info.np 4–49

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MBA 1 sem OB Individual Personality and motivation

  • 1. sumanpoudel.info.np 4–0 What is Personality? Personality The sum total of ways in which an individual reacts and interacts with others. Personality Traits Enduring characteristics that describe an individual’s behavior. Personality Determinants • Heredity • Environment • Situation
  • 2. sumanpoudel.info.np 4–1 Today 1. Myers-Briggs 2. Big 5 3. Major Attributes Locus of Control Machiiavellianism Self Esteem Self Monitoring 4. Holland’s Personality Job Fit 6 types (Realistic, Investigative, Social, Conventional, Enterprising, Artistic) 4. National Culture 5. Emotions Risk Type A/B Proactive
  • 3. sumanpoudel.info.np 4–2 The Myers-Briggs Type Indicator Personality Types • Extroverted vs. Introverted (E or I) • Sensing vs. Intuitive (S or N) • Thinking vs. Feeling (T or F) • Judging vs. Perceiving (P or J) Myers-Briggs Type Indicator (MBTI) A personality test that taps four characteristics and classifies people into 1 of 16 personality types.
  • 5. sumanpoudel.info.np 4–4 The Big Five Model of Personality Dimensions Extroversion Sociable, gregarious, and assertive Agreeableness Good-natured, cooperative, and trusting. Conscientiousness Responsible, dependable, persistent, and organized. Openness to Experience Imaginativeness, artistic, sensitivity, and intellectualism. Emotional Stability Calm, self-confident, secure (positive) versus nervous, depressed, and insecure (negative).
  • 6. Factors influencing individual Behavior  Ability – Aptitudes and learning  Perception – Objects, People and Situation.  Personality – Traits and Characteristics  Organizational System and resources. – Leadership , Rewards , Facilities , Structure.  Motivation – Attitudes , Beliefs , values , Needs and Goals. sumanpoudel.info.np 4–5
  • 7. Major Personality Attributes influencing Behavior  Locus of control  Machiavellianism  Self Esteem  Self Monitoring  Risk Taking  Personality Type. sumanpoudel.info.np 4–6
  • 8. sumanpoudel.info.np 4–7 Locus of Control Locus of Control The degree to which people believe they are masters of their own fate. Internals Individuals who believe that they control what happens to them. Externals Individuals who believe that what happens to them is controlled by outside forces such as luck or chance.
  • 9. sumanpoudel.info.np 4–8 Machiavellianism Conditions Favoring High Machs • Direct interaction • Minimal rules and regulations • Emotions distract for others Machiavellianism (Mach) Degree to which an individual is pragmatic, maintains emotional distance, and believes that ends can justify means.
  • 10. sumanpoudel.info.np 4–9 Self-Esteem and Self-Monitoring Self-Esteem (SE) Individuals’ degree of liking or disliking themselves. Self-Monitoring A personality trait that measures an individuals ability to adjust his or her behavior to external, situational factors.
  • 11. sumanpoudel.info.np 4–10 Risk-Taking  High Risk-taking Managers – Make quicker decisions – Use less information to make decisions – Operate in smaller and more entrepreneurial organizations  Low Risk-taking Managers – Are slower to make decisions – Require more information before making decisions – Exist in larger organizations with stable environments  Risk Propensity – Aligning managers’ risk-taking propensity to job requirements should be beneficial to organizations.
  • 12. sumanpoudel.info.np 4–11 Personality Types Type A’s 1. are always moving, walking, and eating rapidly; 2. feel impatient with the rate at which most events take place; 3. strive to think or do two or more things at once; 4. cannot cope with leisure time; 5. are obsessed with numbers, measuring their success in terms of how many or how much of everything they acquire. Type B’s 1. never suffer from a sense of time urgency with its accompanying impatience; 2. feel no need to display or discuss either their achievements or accomplishments; 3. play for fun and relaxation, rather than to exhibit their superiority at any cost; 4. can relax without guilt.
  • 13. sumanpoudel.info.np 4–12 Personality Types Proactive Personality Identifies opportunities, shows initiative, takes action, and perseveres until meaningful change occurs. Creates positive change in the environment, regardless or even in spite of constraints or obstacles.
  • 14. sumanpoudel.info.np 4–13 Achieving Person-Job Fit Personality Types • Realistic • Investigative • Social • Conventional • Enterprising • Artistic Personality-Job Fit Theory (Holland) Identifies six personality types and proposes that the fit between personality type and occupational environment determines satisfaction and turnover.
  • 16. sumanpoudel.info.np 4–15 Relationships among Occupational Personality Types E X H I B I T 4–3 Source: Reprinted by special permission of the publisher, Psychological Assessment Resources, Inc., from Making Vocational Choices, copyright 1973, 1985, 1992 by Psychological Assessment Resources, Inc. All rights reserved.
  • 17. sumanpoudel.info.np 4–16 Defining Motivation Key Elements 1. Intensity: how hard a person tries 2. Direction: toward beneficial goal 3. Persistence: how long a person tries Motivation The processes that account for an individual’s intensity, direction, and persistence of effort toward attaining a goal.
  • 18. sumanpoudel.info.np 4–17 Needs Theories Maslow’s 5 levels: Physiological, safety, social, esteem, self actualization hierarchy Must meet lower first ERG 3 levels: Existence, relationship, growth Can be met at same time McClelland Achievement, power, relationship Closely aligned to job selection Two Factor (Hygiene) The opposite of satisfaction is not dissatisfaction Addresses productivity
  • 19. sumanpoudel.info.np 4–18 Theories Theory XY Employees are either positive or negative Equity Perceived value in relation to coworkers Does not address absenteeism, turnover, job satisfaction Reinforcement Reinforcement conditions behavior Ignores inner state of employee Cognitive Evaluation Internal vs external motivation factors Pay for performance, high and low level jobs Expectancy Effort Performance  Reward Attractive Reward More applicable to complex jobs Goal Setting Clear, difficult goals higher productivity Must have feedback, preferably internal Job Design Job organization can act ot increase or decrease effort
  • 20. sumanpoudel.info.np 4–19 Hierarchy of Needs Theory (Maslow) Hierarchy of Needs Theory There is a hierarchy of five needs—physiological, safety, social, esteem, and self- actualization; as each need is substantially satisfied, the next need becomes dominant. Self-Actualization The drive to become what one is capable of becoming.
  • 21. sumanpoudel.info.np 4–20 Maslow’s Hierarchy of Needs Lower-Order Needs Needs that are satisfied externally; physiological and safety needs. Higher-Order Needs Needs that are satisfied internally; social, esteem, and self-actualization needs. E X H I B I T 6–1Source: Motivation and Personality , 2nd ed,, by A.H. Maslow, 1970. Reprinted by permission of Prentice Hall, Inc., Upper Saddle River, NJ.
  • 22. sumanpoudel.info.np 4–21 Theory X and Theory Y (Douglas McGregor) Theory X Assumes that employees dislike work, lack ambition, avoid responsibility, and must be directed and coerced to perform. Theory Y Assumes that employees like work, seek responsibility, are capable of making decisions, and exercise self-direction and self-control when committed to a goal.
  • 23. sumanpoudel.info.np 4–22 Two-Factor Theory (Frederick Herzberg) Two-Factor (Motivation-Hygiene) Theory Intrinsic factors are related to job satisfaction, while extrinsic factors are associated with dissatisfaction. Hygiene Factors Factors—such as company policy and administration, supervision, and salary—that, when adequate in a job, placate workers. When factors are adequate, people will not be dissatisfied.
  • 24. sumanpoudel.info.np 4–23 Comparison of Satisfiers and Dissatisfiers Factors characterizing events on the job that led to extreme job dissatisfaction Factors characterizing events on the job that led to extreme job satisfaction E X H I B I T 6–2 Source: Reprinted by permission of Harvard Business Review. An exhibit from One More Time: How Do You Motivate Employees? by Frederick Herzberg, September–October 1987. Copyright © 1987 by the President and Fellows of Harvard College: All rights reserved.
  • 25. sumanpoudel.info.np 4–24 Cognitive Evaluation Theory Cognitive Evaluation Theory Providing an extrinsic reward for behavior that had been previously only intrinsically rewarding tends to decrease the overall level of motivation. The theory may only be relevant to jobs that are neither extremely dull nor extremely interesting.
  • 26. sumanpoudel.info.np 4–25 Goal-Setting Theory (Edwin Locke) Goal-Setting Theory The theory that specific and difficult goals, with feedback, lead to higher performance. Self-Efficacy The individual’s belief that he or she is capable of performing a task. Factors influencing the goals– performance relationship: Goal commitment, adequate self- efficacy, task characteristics, and national culture.
  • 27. sumanpoudel.info.np 4–26 Reinforcement Theory Concepts: Behavior is environmentally caused. Behavior can be modified (reinforced) by providing (controlling) consequences. Reinforced behavior tends to be repeated. The assumption that behavior is a function of its consequences.
  • 28. sumanpoudel.info.np 4–27 Job Design Theory Characteristics: 1. Skill variety 2. Task identity 3. Task significance 4. Autonomy 5. Feedback Job Characteristics Model Identifies five job characteristics and their relationship to personal and work outcomes.
  • 29. sumanpoudel.info.np 4–28 Job Design Theory (cont’d) Skill Variety The degree to which a job requires a variety of different activities. Task Identity The degree to which the job requires completion of a whole and identifiable piece of work. Task Significance The degree to which the job has a substantial impact on the lives or work of other people.
  • 30. sumanpoudel.info.np 4–29 Job Design Theory (cont’d) Autonomy The degree to which the job provides substantial freedom and discretion to the individual in scheduling the work and in determining the procedures to be used in carrying it out. Feedback The degree to which carrying out the work activities required by a job results in the individual obtaining direct and clear information about the effectiveness of his or her performance.
  • 31. sumanpoudel.info.np 4–30 Equity Theory Referent Comparisons: Self-inside Self-outside Other-inside Other-outside Equity Theory Individuals compare their job inputs and outcomes with those of others and then respond to eliminate any inequities.
  • 32. sumanpoudel.info.np 4–31 Equity Theory (cont’d) Choices for dealing with inequity: 1. Change inputs (slack off) 2. Change outcomes (increase output) 3. Distort/change perceptions of self 4. Distort/change perceptions of others 5. Choose a different referent person 6. Leave the field (quit the job)
  • 33. sumanpoudel.info.np 4–32 Equity Theory (cont’d) Propositions relating to inequitable pay: 1. Overrewarded hourly employees produce more than equitably rewarded employees. 2. Overrewarded piece-work employees produce less, but do higher quality piece work. 3. Underrewarded hourly employees produce lower quality work. 4. Underrewarded employees produce larger quantities of lower-quality piece work than equitably rewarded employees
  • 34. sumanpoudel.info.np 4–33 Expectancy Theory Relationships  Effort–Performance Relationship – The probability that exerting a given amount of effort will lead to performance.  Performance–Reward Relationship – The belief that performing at a particular level will lead to the attainment of a desired outcome.  Rewards–Personal Goals Relationship – The degree to which organizational rewards satisfy an individual’s goals or needs and the attractiveness of potential rewards for the individual.
  • 35. MOTIVATION: FROM CONCEPT TO APPLICATIONS  "we review a number of motivation techniques and programs that have gained varying degrees of acceptance in practice.  And for each of the techniques and programs we review, we specifically address how they build on one or more of the motivation theories covered in the previous slides" sumanpoudel.info.np 4–34
  • 36. MANAGEMENT BY OBJECTIVES (MBO)  "Management by objectives emphasizes participatively set goals that are tangible, verifiable, and measurable…  MBO's appeal undoubtedly lies in its emphasis on converting overall organizational objectives into specific objectives for organizational units and individual members.  MBO operationalizes the concept of objectives by devising a process by which objectives cascade down through the organization" sumanpoudel.info.np 4–35
  • 37. EMPLOYEE RECOGNITION PROGRAMS  "Recognition can take many forms. You can personally congratulate an employee in private for a good job.  You can send a handwritten note or an e-mail message acknowledging something positive that the employee has done.  For employees with a strong need for social acceptance, you can publicly recognize accomplishments.  And to enhance group cohesiveness and motivation, you can celebrate team successes. You can use meeting to recognize the contributions and achievements of successful work teams"sumanpoudel.info.np 4–36
  • 38. EMPLOYEE INVOLVEMENT PROGRAMS  "Employee involvement has become a convenient catchall term to cover a variety of techniques.  For instance, it encompasses such popular ideas as employee participation or participative management, workplace democracy, empowerment, and employee ownership…  We define it as a participative process that uses the entire capacity of employees and is designed to encourage increased commitment to the organizations's success. sumanpoudel.info.np 4–37
  • 39. EXAMPLES: EIP  a) Participative Management.  A process in which subordinates share a significant degree of decision-making power with their immediate superiors.  b) Representative Participation  Workers participate in organizational decision making through a small group of representative employees. sumanpoudel.info.np 4–38
  • 40. EXAMPLES: EIP  C) Quality Circes  "The quality circle concept is frequently mentioned as one of the techniques that Japanese firms utilize that has allowed them to make high-quality products at low costs.  Originally begun in the United States and exported to Japan in the 1950s, the quality circle became quite popular in North America and Europe during the 1980s"  d) Employee Stock Ownership Plans (ESOPs)  Company-established benefit plans in which employees acquire stock as part of their benefits. sumanpoudel.info.np 4–39
  • 41. VARIABLE PAY PROGRAMS  A portion of an employee's pay is based on some individual and/or organizational measure of performance.  a) Piece-Rate Pay Plans  Workers are paid a fixed sum for each unit of production completed.  b) Profit-Sharing Plans  Organization wide programs that distribute compensation based on some established formula designed around a company's profitability. sumanpoudel.info.np 4–40
  • 42.  C) Gainsharing  An incentive plan in which improvements in group productivity determine the total amount of money that is allocated.  "Isn't gainsharing the same as profit sharing?  They're similar but not the same thing.  By focusing on productivity gains rather than profits, gainsharing rewards specific behaviors that are less influenced by external factors. Employees in a gainsharing plan can receive incentive awards even when the organization isn't profitable" sumanpoudel.info.np 4–41
  • 43. SKILL-BASED PAY PLANS  Pay levels are based on how many skills employees have or how many jobs they can do.  "Skill-based pay additionally helps meet the needs of ambitious employees who confront minimal advancement opportunities. These people can increase their earnings and knowledge without a promotion in job title. Finally, skill-based pay appears to lead to performance improvements" sumanpoudel.info.np 4–42
  • 44. FLEXIBLE BENEFITS  Employees tailor their benefit program to meet their personal needs by picking and choosing from a menu of benefit options.  "Giving all employees the same benefits assumes all employees have the same needs. Of course, we know this assumption is false. Thus, flexible benefits turn the benefits' expenditure into a motivator. sumanpoudel.info.np 4–43
  • 45. SPECIAL ISSUES IN MOTIVATION  a) MOTIVATING PROFESSIONALS  "Professionals are typically different from nonprofessionals.  They have a strong and long-term commitment to their field of expertise.  Their loyalty is more often to their profession than to their employer.  To keep current in their field, they need to regularly update their knowledge, and their commitment to their profession means they rarely define their workweek in terms of 8 to 5 and five days a week" sumanpoudel.info.np 4–44
  • 46. SPECIAL ISSUES IN MOTIVATION  b) MOTIVATING CONTINGENT WORKERS  "… contingent employees don't have the security or stability that permanent employees have.  As such, they don't have the security or stability that permanent employees have.  As such, they don't identify with the organization or display the commitment that other employees do.  Temporary workers also are typically provided with little or no health care, pensions, or similar benefits" sumanpoudel.info.np 4–45
  • 47. SPECIAL ISSUES IN MOTIVATION  C)MOTIVATING THE DIVERSIFIED WORKFORCE  "Not everyone is motivated by money.  Not everyone wants a challenging job.  The needs of women, singles, immigrants, the physically disabled, senior citizens, and others from diverse groups are not the same as a married, white American male with three dependents…  If you're going to maximize your employees' motivation, you've got to understand and respond to this diversity. sumanpoudel.info.np 4–46
  • 48. MOTIVATING LOW-SKILLED SERVICE WORKERS  "One of the most challenging motivation problems in industries such as retailing and fast food is: How do you motivate individuals who are making very low wages and who have little opportunity to significantly increase their pay in either their current jobs or through promotions?  These jobs are typically filled with people who have limited education and skills, and pay levels are little above minimum wage" sumanpoudel.info.np 4–47
  • 49. MOTIVATING PEOPLE DOING HIGHLYREPETITIVE TASKS  "Motivating individuals in these jobs can be made easier through careful selection.  People vary in their tolerance for ambiguity.  Many individuals prefer jobs that have a minimal amount of discretion and variety.  Such individuals are obviously a better match to standardized jobs than individuals with strong needs for growth and autonomy.  Standardized jobs should also be the first considered for automation” sumanpoudel.info.np 4–48