MOTIVATIONAL THEORIES

SUBMITTED TO:MAM KHADIJA MUSHTAQ

SUBMITTED BY:SUBJECT:
HUMAN RESOURCE MANAGEMENT 12014954-065 12014954-113 12014954-108 12014954-111 12014954-105 12014954-091 KIRAN MANZAR ANDEELA ZULFIQAR RABIA SHUJHA HASEEB WAHEED HASSAN ASGHAR HAFIZ M. ARFAN

SUBMITTED DATE:
8APRIL, 2013

MOTIVATION THEORIES
What is Motivation?
Motivation is the answer to the question Why we do what we do?. The motivation theories try to figure out what the M is in the equation: M motivates P (Motivator motivates the Person). It is one of most important duty of an entrepreneur to motivate people. (I strongly believe that motivating people with visionary and shared goals are more favorable than motivating through tactics, incentives or manipulation through simple carrot and stick approaches because motivating with vision is natural whereas the former is artificial and ephemeral).

Motivation Theories:Motivation Theories explain the different incentives or stimuli that urge a person or employee to achieve his own as well as the companys objectives. Motivation theories are an important part of a managers repertoire. Using the most suitable motivation not only helps the achievement of the objectives, but also serves to build a team spirit and oneness among the employees as they are all travelling towards reaching their personal goals and at the same time also working towards the mission of the company as a whole.

Theories about Motivation

Hierarchy of Needs Maslow:- (1908-1970)
When motivation theory is being considered the first theory that is being recalled is Maslows hierarchy of needs which he has introduced in his 1943 article named as A Theory of Human Motivation. According to this theory, individual strives to seek a hi gher need when lower needs

are fulfilled. Once a lower-level need is satisfied, it no longer serves as a source of motivation. Needs are motivators only when they are unsatisfied.

In the first level, physiological needs exist which include the most basic needs for humans to survive, such as air, water and food.

In the second level, safety needs exist which include personal security, health, well-being and safety against accidents remain.

In the third level, belonging needs exit. This is where people need to feel a sense of belonging and acceptance. It is about relationships, families and friendship. Organizations fulfill this need for people.

In the fourth level, self-esteem needs remain. This is where people looks to be respected and to have self-respect. Achievement needs, respect of others are in this level.

In the top-level, self-actualization needs exist. This level of need pertains to realizing the persons full potential.

According to Maslow, individuals are motivated by unsatisfied needs. As each of these needs is significantly satisfied, it drives and forces the next need to emerge. Maslow grouped the five needs into two categories -Higher-order needs and Lower-order needs. The physiological and the safety needs constituted the lower-order needs. These lower-order needs are mainly satisfied externally. The social, esteem, and self-actualization needs constituted the higher-order needs.

These higher-order needs are generally satisfied internally, i.e., within an individual. Thus, we can conclude that during boom period, the employees lower-order needs are significantly met.(RABIA SHUJHA)

Theory X Theory Y McGregor:-(1906-1964)

In 1960, Douglas McGregor formulated Theory X and Theory Y suggesting two aspects of human behavior at work, or in other words, two different views of individuals (employees): one of which is negative, called as Theory X and the other is positive, so called as Theory Y. According to McGregor, the perception of managers on the nature of individuals is based on various assumptions.

Assumptions of Theory X
An average employee intrinsically does not like work and tries to escape it whenever possible. Since the employee does not want to work, he must be persuaded, compelled, or warned with punishment so as to achieve organizational goals. A close supervision is required on part of managers. The managers adopt a more dictatorial style. Many employees rank job security on top, and they have little or no aspiration/ ambition.

Employees generally dislike responsibilities. Employees resist change. An average employee needs formal direction.

Assumptions of Theory Y
Employees can perceive their job as relaxing and normal. They exercise their physical and mental efforts in an inherent manner in their jobs. Employees may not require only threat, external control and coercion to work, but they can use self-direction and self-control if they are dedicated and sincere to achieve the organizational objectives. If the job is rewarding and satisfying, then it will result in employees loyalty and commitment to organization. An average employee can learn to admit and recognize the responsibility. In fact, he can even learn to obtain responsibility. The employees have skills and capabilities. Their logical capabilities should be fully utilized. In other words, the creativity, resourcefulness and innovative potentiality of the employees can be utilized to solve organizational problems. Thus, we can say that Theory X presents a pessimistic view of employees nature and behavior at work, while Theory Y presents an optimistic view of the employees nature and behavior at work. If correlate it with Maslows theory, we can say that Theory X is based on the assumption that the employees emphasize on the physiological needs and the safety needs; while Theory X is based on the assumption that the social needs, esteem needs and the selfactualization needs dominate the employees. McGregor views Theory Y to be more valid and reasonable than Theory X. Thus, he encouraged cordial team relations, responsible and stimulating jobs, and participation of all in decision-making process.(KIRAN MANZAR)

Motivation Hygiene Herzberg:-(1923-2000)

Frederick Herzberg, introduced his Two Factor Theory in 1959. He suggested that there are two kinds of factors affect motivation, and they do it in different ways:

Hygiene factors: - Hygiene factors are those job factors which are essential for existence
of motivation at workplace. These do not lead to positive satisfaction for long-term. But if these factors are absent then they lead to dissatisfaction. In other words, hygiene factors are those factors which when adequate/reasonable in a job, pacify the employees and do not make them dissatisfied. Hygiene factors are also called as dissatisfies or maintenance factors as they are required to avoid dissatisfaction. These factors describe the job environment/scenario. The hygiene factors symbolized the physiological needs which the individuals wanted and expected to be fulfilled. Hygiene factors include: Pay Company Policies and administrative policies Fringe benefits Physical Working conditions Status Job Security

Motivational factors- According to Herzberg, the hygiene factors cannot be regarded as

motivators. The motivational factors yield positive satisfaction. These factors are inherent to work. These factors motivate the employees for a superior performance. These factors are called satisfiers. These are factors involved in performing the job. Employees find these factors intrinsically rewarding. The motivators symbolized the psychological needs that were perceived as an additional benefit. Motivational factors include: Recognition Sense of achievement Growth and promotional opportunities Responsibility Meaningfulness of the work (ANDEELA ZULFIQAR)

Achievement,Affiliation,and Power Motive McClelland:-(1917-1998)

In his 1961 book named as The Achieving Society, David McClelland identified three basic needs that people develop and acquire from their life experiences.

Needs for achievement:The need for achievement is characterized by the wish to take responsibility for finding solutions to problems, master complex tasks, set goals and get feedback on level of success. The people who have a high achievement need likes to take personal responsibility.

Needs for affiliation:The need for affiliation is characterized by a desire to belong, an enjoyment of teamwork, a concern about interpersonal relationships, and a need reduce uncertainty.

Needs for power:The need for power is characterized by a drive to control and influence others, a need to win arguments, a need to persuade and prevail.

According to McClelland, the presence of these motives or drives in an individual indicates a predisposition to behave in certain ways. Therefore, from a manager's perspective, recognizing which need is dominant in any particular individual affects the way in which that person can be motivated. Although these categories of needs are not exclusive, generally individuals develop a dominant bias or emphasis towards one of the three needs. Entrepreneurs usually have high degree of achievement needs. (HASEEB WAHEED)

Equity Theory Adams:-(1735-1826)

Adams' Equity Theory calls for a fair balance to be struck between an employee's inputs (hard work, skill level, tolerance, enthusiasm, and so on) and an employee's outputs (salary, benefits, intangibles such as recognition and so on). According to the theory, finding this fair balance serves to ensure a strong and productive relationship is achieved with the employee, with the overall result being contented, motivated employees.

Adams' Equity Theory is named for John Stacey Adams, a workplace and behavioral psychologist, who developed this job motivation theory in 1963. Much like many of the more prevalent theories of motivation (such as Maslow's Hierarchy of Needs and Herzberg's Two-

Factor Theory), Adams' Equity Theory acknowledges that subtle and variable factors affect an employee's assessment and perception of their relationship with their work and their employer.

The theory is built-on the belief that employees become de-motivated, both in relation to their job and their employer, if they feel as though their inputs are greater than the outputs. Employees can be expected to respond to this is different ways, including de-motivation (generally to the extent the employee perceives the disparity between the inputs and the outputs exist), reduced effort, becoming disgruntled, or, in more extreme cases, perhaps even disruptive.

It is important to also consider the Adams' Equity Theory factors when striving to improve an employee's job satisfaction, motivation level, etc., and what can be done to promote higher levels of each. To do this, consider the balance or imbalance that currently exists between your employee's inputs and outputs, as follows:

Inputs typically include:

Effort Loyalty Hard Work Commitment Skill Ability Flexibility Tolerance Determination Enthusiasm Trust in superiors

Outputs typically include:

recognition Reputation Responsibility Sense of Achievement Praise Stimulus Sense of Advancement/Growth Job Security

While obviously many of these points can't be quantified and perfectly compared, the theory argues that managers should seek to find a fair balance between the inputs that an employee gives, and the outputs received. And according to the theory, employees should be content where they perceive these to be in balance. (HAFIZ M. ARFAN)

Expectancy Theory Vroom:-(9august-1932)

The expectancy theory was proposed by Victor Vroom of Yale School of Management in 1964. According to Vroom to motivate someone mere offering a person something to satisfy his important needs will not be sufficient. In order for the person to be motivated, he must also be reasonably sure that he has the ability to obtain the reward. An employee's motivation increases when he values a particular outcome highly and when he feels a reasonably good chance of achieving the desired goal. This definition says that: Any individual acts in a way to reach a maximal effect with a minimal effort.

Three components of Expectancy theory are: Expectancy - As already explained a persons level of expectancy determines whether he or
she believes that a high level of effort will result in a high level of performance. Expectancy is, thus, the belief that efforts are linked to performance.

Instrumentality - A persons perception about the extent to which performance at a certain

level will result in the attainment of outcomes. There should be firm conviction within the employee that high performance will lead to desirable outcomes. Instrumentality is, in short, the belief that performance is related to rewards.

Valence - The importance placed upon the reward. It refers to how desirable each of the
outcomes available from a job or organization is to a person. This is because according to the theory people may differ in the preferences for outcomes.

The equation suggests that human behavior is directed by subjective probability. Vroom was of view that employees consciously decide whether to perform or not at the job. This decision solely depended on the employees motivation level which in turn depends on three factors of expectancy, valence and instrumentality. (HASSAN ASGHAR)

The end