Motivation Theory

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4. Effective directing of people leads the organization to effectiveness. Needs are feelings influence the behaviour and activities of the individual. Electronic copy available at: http://ssrn. A person behaves in such a way that he can satisfy his goals or needs. both at organizational and individual levels. not piece-meal. The form of motivation depends upon the type of needs. 2.Motivation causes goal-directed behaviour. Motivation and Its Definition: The willingness to exert high level of effort to reach organizational goals. He cannot be motivated by fulfilling some of his needs partly. It is not a time bound programme or a touch-and-go affair. An employee is an indivisible unite and he needs are interrelated. the following characteristics of motivation can be identified 1. and continues him in the course of action of action already initiated” Nature of Motivation: On the basis of the above description. A soon as one need is satisfied new ones arise. Robert Dubin defines Motivation as “the complex forces starting and keeping a person at work in an organization. 5.2 Introduction: Motivation is one of the most important factors affecting human behaviour and performance.Motivation is a continuous process. Motivation is something that moves the person to action.Motivation is a psychological . A person cannot be motivated in parts. It is based on human needs which generate within an individual. This is the reason why managers attach great importance to motivation in organizational setting. has called motivation as “the core of management”. Human needs are infinite. Financial incentives include pay.Motivation may be financial or non-financial. Rensis Likert. 3. conditioned by the efforts ability to satisfy some individual need.Motivation is total.

.McGregor’s Theory X and Theory Y D. esteem. There is no universal theory or approach to motivation.Motivation is a complex process.Porter-Lawler Model of Motivation A. etc. social. Theories of Motivation: A.Theory Z E. praise. and self-actualization – and as each need is substantially satisfied.Alderfer’s ERG Theory F. participation in decision-making. . individuals differ in what motivates them. Maslow’s Need Hierarchy Theory: There is a hierarchy of five needs – physiological. safety.3 allowance.Maslow’s Need Hierarchy Theory B.Herzberg’s Motivation-Hygiene Theory C. a manager has to analyse and understand variety of needs and has to use variety of rewards to satisfy them. 6. Non-financial incentives consist of recognition. the next need becomes dominant. responsibility. He should not expect overnight results. challenging job. Therefore. Moreover.Vroom’s Expectancy Theory G. bonus and prerequisites.

These needs imply the need for self-preservation and economic independence. These are the need to seek affiliation and affection of one’s fellow beings. self – respect. independence.A. etc. job security. 4. clothing. power. these are the most primary or basic needs and must be satisfied before all other needs. achievement. water.Social Needs: Man is a social animal. friendship. food..Physiological: These needs relate to the survival and maintenance of human life.4 1. It involves self fulfillment or achieving what one considers to be his mission in life.Self – Actualization Needs: This implies “the desire to become more and more of what one is. sex. belonging. On .Safety or Security Needs: Once Physiological needs are satisfied to be reasonable level. prestige.S. 3. safety needs emerge and become dominant. rest. to become everything that on is capable of becoming”. He therefore. 5. People form informal groups to seek meaningful associations companionship. Esteem needs consist of such things as self – confidence. 2. love and affection. insurance against risk etc. wants association. Herzberg’s Motivation-Hygiene Theory: Frederick Herzberg and his associates conducted research wherein they interviewed 20 engineers and accountants from nine different companies in Pittsburg area of U. People want bodily safety. B. praise and status. Therefore. shelter. provision for old age. It includes the needs of air.Self Esteem or Ego Needs: These are concerned with awareness of self importance and recognition from others. These executives were asked to recall specific incidents in their experience which made them feel either exceptionally good or exceptionally bad about their jobs.

Avoids working work Interpersonal relations with peers Job Context Extrinsic in Nature Maintenance Maslow’s Two Lower end Needs Possibilities of Growth Job Content Intrinsic in Nature Motivational Maslow’s Three Higher end Needs Neutral Job Satisfaction Motivational Factors Non – Monitory in Nature Seeks Responsibilities. These are called ‘Hygiene Factors’ because they support the mental health of employees. Some of the Hygiene Factors are.  Wages. Cordial relation will prevent frustration and dissatisfaction.Hygiene Factor: These factors provide no motivation to employees but the absence of these factors serves as dissatisfies. supervisors and subordinates. The job security may be in the form of tenure or it could be supported by a strong union.  Working conditions and job security. . Herzberg concluded that there are some job conditions which operate primarily to dissatisfy employees while other job conditions operate primarily to build strong motivation and high job satisfaction.5 the basis of their study. salary and other types of employee benefits. Herzberg’s Two Factor Theory Job Dissatisfaction Hygiene Factors Monitory in Nature Seeks Money. Many of these factors are traditionally perceived by management as motivators but these are really more potent as dissatisfies.  Company policies and administrative rules that govern the working environment. and likes to 1. He called these factors hygiene factors and motivating factors respectively.  Interpersonal relation with peers.

Their absence or decrease will affect the level of job satisfaction. Douglas McGregor has introduced two theories in his famous book.” They are called ‘X’ theory and ‘Y’ theory.  Fear of punishment can motivate the workers into action. C.  Workers may do the job half-heartedly. McGregor’s Theory X and Theory Y: Prof. a manager has thorough knowledge and excludes workers from decisionmaking process.  The worker may know the hazards of non-performance of a work. possibility of growth and responsibility. Assumptions of theory  Workers have an aversion to work inherently. The workers should follow whatever decisions are taken by the manager. “The Human side of Enterprise. They are also known as satisfiers. . 1.’ In other words. advancement. A manager has authority or power to take decisions.Motivational Factor: These factors help to build strong motivation and high job satisfaction. These factors are achievement.  Workers may find a way to postpone the work completion in laziness. work itself. These are related with the job content.6 2. Some of these Motivational Factor’s are:  The Job itself  Recognition  Achievement  Responsibility  Growth and advancement.Theory X: The theory is based on ‘papa knows best.

 Worker can put in his best efforts for the accomplishment of enterprise objectives early. self-motivation.  Once the worker understands the purpose of job. self-discipline and selfcontrol. X-theory is considered as traditional theory and Y-theory is considered as modern theory. Theory Z: Prof. William G.  The existing worker has competence to work and can take right decision. A job is as natural just like a play.  If right motivation scheme is prepared by the management. Assumptions of theory  The average human being has the tendency to work. Y-theory emphasis the importance of workers in the accomplishment of enterprise objectives. This theory believes in the philosophy of management.Ouchi has developed theory Z.7  No worker is ready to accept any responsibility.  Worker has self-direction.Theory Y: Y-theory is just opposite to X-theory. D. This theory is based on comparative study of Japanese and American management practices. Theory Z describes how Japanese management practices can be adopted to the environment of other countries especially in the United States. he may extend his co-operation for job completion. . the worker is ready to accept extra responsibility. So. 2. Theory Z can be treated as a model for motivation.

Alderfer has categorized the various needs into three categories: existence needs. Thus. Also. Based on these observations.8 Both major and minor decisions are taken through consensus in the truly democratic and dynamic management. particularly the former. security. Alderfer’s ERG Theory: Alderfer has provided an extension of the Maslow’s need hierarchy and Herzberg’s two – factor theory of motivation. Existence Needs: Existence needs include all needs related to physiological and safety aspects of an individual. and achievement needs are not clear. E. and growth needs. the lines of demarcation between social. family relationship prevails between the employer and employees. Like the previous theories. Alderfer believes that there is a value in categorizing needs and that there is a basic distinction between lower – order needs and higher – order needs. Need Hierarchy ERG Theory Growth Relatedness Existence 1. Besides. relatedness needs. and social needs. existence needs group . Based on the empirical evidences. he has found that there seems to be some overlapping between physiological. esteem.

According to Vroom. felling of personal growth.Valence: According to Vroom. Vroom’s model is built around the concepts of value. and force. Relatedness Needs: Relatedness needs include all those needs that involve relationship with other people whom the individual cares. F. expectancy. Growth needs: Growth needs involve the individual making creative efforts to achieve full potential in the existing environment. etc.Vroom’s Expectancy Theory: Vroom’s expectancy theory has its roots in the cognitive concepts in the choice behaviour utility concepts of classical economic theory. 2.9 physiological and safety needs of Maslow into one category as these have similar impact on the behaviour of the individual. These include Maslow’s self – actualization need as wellas that part of the esteem need which is internal to the individual like feeling of being unique. valence means the strength of an individual’s preference to a particular outcome. 3. its basic assumption is that the choice made by a person among alternative courses of action is lawfully related to psychological events occurring contemporaneously with the behaviour. Relatedness needs cover Maslow’s social needs and that part of esteem needs which is derived from the relationship with other people. people will be motivated to do things to achieve some goals to the extent that they expect that certain action on their part will help them to achieve the goal. Vroom’s concept of force is basically equivalent to motivation and may be shown to be the algebraic sum of products of valences multiplied by expectations. Thus Motivation (force) = ∑ Valence X Expectancy 1. Other terms equivalent to .

The superior performance (first – level outcome) is being instrumental in obtaining promotion (second – level outcome). attitude. Expectancy is different from instrumentality input into valence. that is. the probability that a particular action will lead to the out come. Expectance Motivation (force) First – level Outcomes Instrumentalities Second – level Outcomes Outcome 1a Outcome 1 Outcome 1b Outcome 2a Outcome 2 Outcome 2b Vroom’s expectancy theory 2. G. Hunt and Hill have exemplified it by promotion motive. 3.Expectancy: Another factor in determining the motivation is expectancy.10 valence used in various theories of motivation are incentive. They propose a multivariate model to explain the complex relationship that exists between job attitudes and job performance.Porter-Lawler Model of Motivation: Porter-Lawler have derived a substantially more complete model of motivation and have applied it in their study primarily of managers. and expected utility.Instrumentality: Another major input into the valence is the instrumentality of the first – level outcome in obtaining a derived second – level outcome. Their . Expectancy differs from instrumentality in that it relates efforts to first – level outcomes whereas instrumentality relates first – and second – level outcomes to each other.

11 model encounters some of the simplistic traditional assumptions made about the positive relationship between satisfaction and performance. rather. Value of reward Ability and traits Perceived equitable rewards Intrinsic rewards Satis faction Effort Performance accomplishment Perceived effort – reward Probability Role perception Extrinsic rewards Porter – Lawler Motivation Model 1. if an individual has little ability . Perceived reward probability refers to the individual’s perception of the probability that differential rewards depend upon differential amounts of effort. Thus. 2.Effort: Effort refers to the amount of energy exerted by an employee on a given task. performance is determined by the amount f effort and the ability and role perception of the individual. These two factors – value of reward and perception of effort – reward probability – determine the amount of effort that the employee will put in.Performance: Effort leads to performance but both these may not be equal.

the autonomy in performing the job. improving quality of work life. managers should take into consideration how an individual reacts to his work which is a function of fit among. In applying motivation theories. need patterns. motivation theories help in designing reward system. 3.Satisfaction: Satisfaction is derived from the extent to which actual rewards fall short.individual’s personality characteristics. However. the intrinsic rewards are much more likely to produce attitudes about satisfaction that are related to performance. both intrinsic and extrinsic aspects of the job must be considered. values. Conclusion: Various theories of Motivation. his performance may be ineffective in spite of his putting in great efforts.12 and/or inaccurate role perception. Thus. in applying motivation theories at workplace. have various applications in management practices. 4. Intrinsic factors are directly related to the contents of a job while extrinsic factors are related to the context or environment in which the job is performed. meet or exceed the individual’s perceived level of equitable rewards. 2. and ability. 1. . If actual rewards meet or exceed perceived equitable rewards. Thus. and work design. the individual will feel satisfied. if these are less than equitable rewards . empowering employees. discussed above. he will be dissatisfied. and the use of skills in performing the job.Rewards: Performance is seen as leading to intrinsic rewards and extrinsic rewards.characteristics of job such as nature of challenge it offers.

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