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Organisational Systems – EM 501

Dr. Syed Mehmood Hasan

Assistant Professor (IMD)

Motivation

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What Is Motivation?

Direction

Persistence Intensity

WHAT IS MOTIVATION?

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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.

HIERARCHY OF NEEDS THEORY (MASLOW)

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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.

MASLOW’S HIERARCHY OF NEEDS

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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.

Self

Esteem

Social

Safety

Physiological

ASSUMPTIONS OF MASLOW’S HIERARCHY

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Movement up the Pyramid

•Individuals cannot move to the next higher level until

all needs at the current (lower) level are satisfied.

Maslow Application:

A homeless person

will not be motivated to

meditate!

•Individuals

therefore must

move up the

hierarchy in order

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Theory X Managers See Workers As…

Disliking Work

Avoiding Responsibility

Having Little Ambition

Theory Y

Managers See Workers As…

Enjoying Work

Accepting Responsibility

Self-Directed

HERZBERG’S TWO-FACTOR THEORY

Separate constructs Hygiene Factors---

Extrinsic & Related to Dissatisfaction

Motivation Factors---Intrinsic and Related to

Satisfaction

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Bottom Line: Satisfaction and

Dissatisfaction are not Opposite Ends of the

Same Thing! Hygiene

Factors:

•Salary

•Work

Conditions

•Company

Policies

Motivators:

•Achievement

•Responsibility

•Growth

COMPARISON OF SATISFIERS

AND DISSATISFIERS ©

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Factors characterizing

events on the job that led to

extreme job dissatisfaction

Factors

characterizing events

on the job that led to

extreme job

satisfaction

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.

CONTRASTING VIEWS OF SATISFACTION AND

DISSATISFACTION

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DAVID MCCLELLAND’S THEORY OF NEEDS

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Need for Achievement

The drive to excel, to achieve in relation to a set of standards, to strive to succeed.

Need for Affiliation

The desire for friendly and close personal relationships.

Need for Power

The need to make others behave in a way that they would not have behaved otherwise.

Bottom Line:

Individuals have

different levels of

needs in each of these

areas, and those

levels will drive their

behavior

MATCHING HIGH ACHIEVERS AND JOBS

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E X H I B I T 6–4

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COGNITIVE EVALUATION THEORY

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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.

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What Would Herzberg Say? What Would Maslow Say?

GOAL-SETTING THEORY (EDWIN LOCKE) ©

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Basic Premise: That specific and difficult goals, with self-generated feedback, lead to

higher performance.

But, the relationship between goals and

performance will depend on

•goal commitment

–“I want to do it & I can do it”

•task characteristics (simple, well-learned)

•national culture

GOAL SETTING IN ACTION: MBO PROGRAMS

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Management By Objectives Programs

• Company wide goals & objectives

• Goals aligned at all levels

• Based on Goal Setting Theory

WHAT IS MBO?

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Key Elements

1. Goal specificity

2. Participative decision making

3. An explicit time period

4. Performance feedback

Management by Objectives (MBO)

A program that encompasses specific goals, participatively set, for an explicit time period, with feedback on goal progress.

CASCADING OF OBJECTIVES

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LINKING MBO AND GOAL-SETTING

THEORY

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MBO Goal-Setting Theory

Goal Specificity Yes Yes

Goal Difficulty Yes Yes

Feedback Yes Yes

Participation Yes No

(qualified)

WHY MBOS FAIL

Unrealistic expectations about MBO results

Lack of commitment by top management

Failure to allocate reward properly

Cultural incompatibilities

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SELF-EFFICACY ©

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Self Esteem, which is….

Individuals’ degree of liking or disliking themselves.

•An individual’s feeling that s/he can

complete a task (e.g. “I know I can!”)

•Enhances probability that goals will

be achieved

Not to be confused with:

SELF-EFFICACY AND GOAL SETTING

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FOUR WAYS OF INCREASING SELF EFFICACY

(BANDURA)

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1. Enactive Mastery

2. Vicarious Modeling

3. Verbal Persuasion

4. Arousal

Note: Basic Premise/Mechanism of Pygmalion and

Galatea Effects

REINFORCEMENT THEORY

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Assumptions:

•Behavior is environmentally caused.

•Behavior can be modified (reinforced) by providing (controlling) consequences.

•Reinforced behavior tends to be repeated.

Argues that behavior is a function of its

consequences.

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EQUITY THEORY

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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.

EQUITY THEORY (CONT’D)

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E X H I B I T 6–8

EQUITY THEORY (CONT’D) ©

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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)

EQUITY THEORY (CONT’D)

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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.

JUSTICE AND EQUITY THEORY

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THREE TYPES OF JUSTICE

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Distributive Justice

Perceived fairness of the outcome (the final

distribution).

“Who got what?”

Procedural Justice

The perceived fairness of the process used to

determine the outcome (the final distribution).

“How was who gets what decided?”

Interactional Justice

The degree to which one is treated with dignity

and respect.

“Was I treated well?”

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EXPECTANCY THEORY

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Ethical Values and Behaviors of Leaders

Bottom line

• All three links between the boxes must be intact or

motivation will not occur. Thus,

• Individuals must feel that if they try, they can perform

And

• If they perform, they will be rewarded

And

• When they are rewarded, the reward will be something

they care about

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Putting It All Together