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An Overview of Some of the Popular Management Theorists
Alderfer’s ERG Theory
Clayton P Alderfer proposed a hierarchy involving three sets of needs: Existence: needs satisfied by such factors as food, air, water, pay, and working conditions. Relatedness: needs satisfied by meaningful social and interpersonal relationships. Growth: needs satisfied by an individual making creative or productive contributions. Tested by Thematic Apperception Test
ERG Theory Relationships Among Frustration, Importance, and Satisfaction of Needs
Frustration of growth needs Importance of growth needs
Satisfaction of growth needs
Frustration of relatedness needs
Importance of relatedness needs
Satisfaction of relatedness needs
Frustration of existence needs
Importance of existence needs
Satisfaction of existence needs
Chris Argyris (1923 • Influenced by the humanist approach of Abraham Maslow and the socio-technical process of E. Wight Bakke. • Indicated his feelings about how organizations neglected human needs. • If treated like a child one will behave like a child – result is organizational mediocrity
Maturity – Immaturity Continuum
Chris Argyris – Personality vs. Organization
• Certain organizational practices, such as the division of labor, interfere with the development of healthy human personalities. • These practices promote immature, not mature behavior. • In an attempt to self-actualize, individuals run into the obstacles posed by formal organizations. • The result is defensive behaviors, with management reacting by becoming more autocratic or by turning to sugar-coated human relations.
Albert Bandura proposed a social cognitive theory (social learning theory; self-efficacy theory) which refers to an individual’s belief that they are capable of performing a task. Four ways self efficacy can be increased: 1. Enactive mastery – if you’ve performed task in the past, you can do it again 2. Vicarious modeling – you become more confident because you see someone else do the task Social Learning 3. Verbal persuasion – you become more confident because someone convinces you Self-efficacy that you have the skills necessary to Social Cognitive perform task 4. Arousal – if you get “psyched up” then you perform better
Maslow defined human needs as: Physiological: the need for food, drink, shelter, and relief from pain. Safety and security: the need for freedom from threat; the security from threatening events or surroundings. Belongingness, social, and love: the need for friendship, affiliation, interaction, and love. Esteem: the need for self-esteem and for respect from others. Self-actualization: the need to fulfill oneself by maximizing the use of abilities, skills, and potential
Hierarchy of Needs
Maslow’s Need Hierarchy
• Maslow’s theory assumes that a person attempts to satisfy the more basic needs before directing behavior toward satisfying upper-level needs. • Lower-order needs must be satisfied before a higherorder need begins to control a person’s behavior. • A satisfied need ceases to motivate.
Proposed Theory of Needs:
nAch nPow nAff
Need for Achievement (nAch) – drive to excel, to achieve in relation to a set of standards Need for Affiliation (nAff) – the desire for friendly and close interpersonal relationships Need for Power (nPow) – need to make others behave in a way in which they would not have behaved otherwise (to have power over them)
McClelland’s Learned Needs Theory
(n Aff) Power (n Pow)
Douglas McGregor (1906-1964)
• Taught psychology at MIT. • At Antioch College, McGregor found that his classroom teaching of human relations did not always work in practice. • From these experiences, his ideas evolve and lead him to recognize the influence of assumptions we make about people and our managerial style.
• • • Management is responsible for organizing the elements of productive enterprise – money, materials, equipment, people – in the interest of economic ends. With respect to people, this is a process of directing their efforts, motivating them, controlling their actions, modifying their behavior to fit the needs of the organization. Without this active intervention by management, people would be passive – even resistant – to organizational needs. They must, therefore, be persuaded, rewarded, punished, controlled – their activities must be directed. This is management’s task -- in managing subordinate managers or workers. We often sum it up by saying that management consists of getting things done through other people.
• Behind this conventional theory there are several additional beliefs – less explicit, but widespread:
– – – – – The average man is by nature indolent – he works as little as possible. He lacks ambition, dislikes responsibility, prefers to be led. He is inherently self-centered, indifferent to organizational needs. He is by nature resistant to change. He is gullible, not very bright – the ready dupe of the charlatan and the demagogue.
• • • Management is responsible for organizing the elements of productive enterprise – money, materials, equipment, people – in the interest of economic ends. People are not by nature passive or resistant to organizational needs. They have become so as a result of experience in organizations. The motivation, the potential for development, the capacity for assuming responsibility, the readiness to direct behavior toward organizational goals are all present in people. Management does not put them there. It is a responsibility of management to make it possible for people to recognize and develop these human characteristics for themselves. The essential task of management is to arrange organizational conditions and methods of operation so that people can achieve their own goals best by directing their own efforts toward organizational objectives.
Work is inherently distasteful to most people. Most people are not ambitious, have little desire for responsibility, and prefer to be directed. Most people have little capacity for creativity in solving organizational problems. Motivation occurs only at the physiological and safety levels. Most people must be closely controlled and often coerced to achieve organizational objectives.
Work is as natural as play, if the conditions are favorable. Self-control is often indispensable in achieving organizational goals. The capacity for creativity in solving organizational problems is widely distributed in the population. Motivation occurs at the social, esteem, and selfactualization levels, as well as physiological and security levels. People can be self-directed and creative at work if properly motivated.
Frederick Herzberg (1923-2000)
• His research emphasized job enrichment (depth) rather than job enlargement
– Job context (hygiene factors) – needed to be optimal to prevent job dissatisfaction. These factors (according to Herzberg) did not motivate. – Job content (motivators) – factors that did lead to motivation – Money (according to Herzberg) could motivate if it was seen as a reward for accomplishment; but if money was given without regard for merit, then it was a hygiene factor.
Motivation and Hygiene Factors
HYGIENE FACTORS ENVIRONMENT
Policies and Administration Supervision Working Conditions Interpersonal Relations Money, Status, Security
MOTIVATORS WHAT THEY DO
Recognition for Accomplishment
Challenging Work Increased Responsibility Growth and Development
Herzberg’s Two-Factor Theory
Factors within the job context: Pay
Factors within the job content: Achievement
Dissatisfiers Hygiene factors
Traditional and Herzberg Views of Satisfaction Dissatisfaction
High job dissatisfaction Low job satisfaction
High job satisfaction
II. HERZBERG’S TWO-FACTOR VIEW
Motivators •Feeling of achievement •Meaningful work •Opportunities for advancement •Increased responsibility •Recognition •Opportunities for growth Hygienes •Pay •Status •Job security •Working conditions •Fringe benefits •Policies and procedures •Interpersonal relations
High job satisfaction
Low job dissatisfaction
High job dissatisfaction
Motivation and Hygiene Factors
THE JOB SURROUNDINGS AND THE HYGIENE FACTORS SUPERVISION
RESPONSIBILITY BENEFITS ACHIEVEMENT
THE JOB ITSELF AND THE WORK ITSELF MOTIVATOR RECOGNITION FACTORS
COMPANY POLICY AND ADMINISTRATION
ADVANCEMENT SECURITY STATUS
A Comparison of the Content Theories
Maslow (need hierarchy) Herzberg (two-factor theory) Alderfer McClelland
Higher order needs
The work itself •Responsibility •Advancement Motivators •Growth
Achievement Recognition Quality of interpersonal relations among peers, with supervisors, with subordinates
Need for achievement
Growth Need for power
Belongingness, social, and love
Safety and security
Need for affiliation
Hygiene conditions Job security
Working conditions Salary
• Richard Hackman, Edward Lawler, and Greg Oldham’s work extended Herzberg’s notions by adding a situational (it depends…) dimension
– Key job characteristics – Depending on an individual’s “growth-need strength,” these characteristics could be amplified to make the job more meaningful.
Job Characteristics Model
Core Job Characteristics
Skill Variety Task Identity Task Significance Critical Psychological State
Outcomes (Personal and Work)
Meaningfulness of Work
Responsibility for Outcomes
Feedback About Job
Knowledge of Results of Work
Employee Growth Need
High Internal Work Motivation High Quality Work Performance High Satisfaction with Work Low Absenteeism and Turnover
Motivation: Expectancy Theory Victor Vroom
• The expectancy theory of Victor Vroom helps explain the choosing process among individuals in terms of the value (valence) of the reward and the expectancy of receiving the reward.
• Lyman Porter and Edward Lawler extended Vroom’s work with their model of expectancy.
Expectancy Theory (Lyman W. Porter – Edward E. Lawler III)
Revised Diagram of the Theoretical Model
Value of Reward
Abilities And Traits
Perceived 8 Equitable Rewards
3 6 9
Perceived 2 Effect-Reward Probability
SOURCE: Managerial Attitudes and Performance, 1968, Richard D. Irwin Inc.
Principles of Expectancy Theory
• V1 = S(V2 x I)
– The valence associated with various first-level outcomes is a sum of the multiplication of the valences (V2) attached to all second-level outcomes with their respective instrumentalities
• M = f(V1 x E)
– Motivation is a multiplicative function of the valence for each first-level outcome (V1) and the perceived expectancy (E) that a given behavior will be followed by a particular first-level outcome
• P = f(M x A)
– Performance is considered to be a multiplicative function of motivation (the force) and ability
Process Theories of Motivation: Expectancy Theory (continued)
Management practices: • Managers need to focus on employee expectations for success. • Managers must actively determine which second-level outcomes are important to employees. • Managers should link desired second-level outcomes to the organization’s performance goals.
Expectancy Theory Example
Expectancy (probability of performance given effort) Performance outcome (valences x instrumentalities) Instrumentalities (how much performance outcome and second-level outcome are associated
Valences of secondlevel outcomes (in parentheses) Day off (6) Recognition/compliment from boss (3) Mention of performance in personnel record (1) Day off (6) Recognition/compliment from boss (3) Mention of performance in personnel record (1) Day off (6) Recognition/compliment from boss (3) Mention of performance in personnel record (1)
0.6 Finishing budget on time (6.9) 1.0 0.3 2.76 0.4
Finishing budget on required day but after deadline (3.2)
0.2 0.7 -0.1
1.0 0.0 Finishing budget on day after deadline (.20) 0.2 -0.4
• Equity theory is not a new one but focuses on how individuals perceive their reward or pay compared to what others are receiving. • Issues of social justice and distributive justice are involved in the theories of Stacy Adams and Elliot Jaques.
Process Theories of Motivation: Equity Theory
• Employees compare their efforts and rewards with those of others in similar work situations. • Individuals, who work in exchange for rewards from the organization, are motivated by a desire to be equitably treated at work. • Equity exists when employees perceive that the ratios of their inputs (efforts) to their outcomes (rewards) are equivalent to the ratios of other similar employees. • Inequity exists when these ratios are not equivalent.
The Equity Theory of Motivation
A person (P) with certain inputs (I) and receiving certain outcomes (O)
Compares his/her input/outcome ratio to reference person’s (RP) inputs (I) and outcomes (O)
OP IP OP IP OP IP
ORP = IRP or
< ORP IRP
or > ORP IRP
IP: Inputs of the person
OP: Outcomes of the person
IRP: Inputs of reference person ORP: Outcomes of reference person
Managing Across Cultures
• Geert Hofstede (1928 - ) describes cultural differences in different countries.
– Individualism vs. collectivism (group orientation); – Power Distance: The level of preference for equality or inequality within groups: – Uncertainty avoidance: The preference for risk vs. structure. – Masculinity (assertiveness) vs. femininity (tender values). – Long term vs. Short term orientation.
Geert Hofstede Courtesy of Prof. Hofstede
Last Thoughts …… from Peter Drucker
“I would hope that American managers—indeed, managers worldwide—continue to appreciate what I have been saying almost since day one: that management is so much more than exercising rank and privilege; it’s so much more than ‘making deals.’ Management affects people and their lives, both in business and in many other aspects as well. The practice of management deservers our utmost attention; it deserves to be studied”
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