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Sourabh Munjal
After studying this chapter,
you should be able to:

1. Outline the motivation process.

2. Describe Maslow’s need hierarchy.
3. Differentiate motivators from hygiene factors.

4. List the characteristics that high achievers prefer in a job.

5. Summarize the types of goals that increase performance.
Motivation @ work

Motivation Sourabh Munjal

Motivation @ Work & Business

Example of motivating employees

When Walt was in need of money for his motion picture projects, he
thought to raise more money from the park “Disneyland”

Motivation Sourabh Munjal

Motivation @ Work & Business
A team of seven employees selected, out of
them one women, put up a calendar and shows
what happened in the park day by day.

“Let’s open the park on Mondays and Tuesdays,” and let

corporates allow their employees discounted

Motivation Sourabh Munjal

Motivation @ Work & Business

Plan was extremely

successful and Walt send
A Mickey to each of “It’s fantastic.
seven member with a You’re fantastic.
envelope “100 shares of
Disney, 25 $1000 bills
Do it again.”
and a hand written note:

Motivation Sourabh Munjal

Motivation @ work
• At afternoon all seven were back in office and same lady
with an clock in her hands and suggested new idea to open
Disneyland on Thursday nights in month of May.

Motivation Sourabh Munjal

Motivation @ Work & Business
Again Plan was extremely
successful and beyond
Again Mickey was at door of “It’s fantastic.
seven member with a You’re fantastic.
envelope “25 $1000 bills and
a hand written note and this Do it again.”
time with a key of brand new

Motivation Sourabh Munjal

Motivation @ Work & Business

Any Guess what happen that


Motivation Sourabh Munjal
Motivation @ Work & Business
Only six out of them came back in afternoon.
One was missing
The lady with calendar and clock drove away
with the $50000, 100 share and Ferrari.

Financial incentives and same treatments to all

team members did not work well to motivate her
to remain more in Disney.

Motivation Sourabh Munjal

Defining Motivation

• Motivation derived from Latin Word “Movere” means to move.

“Motivation is process that starts with the

Physiological Or Psychological deficiency or need
that activate a behaviour or drive aimed at a

goal or incentive .”
-Fred Luthans

Motivation Sourabh Munjal

• Needs are created whenever
Need there is Physiological or
Psychological imbalance.

• Are action oriented & provide

Drives or Motive thrust

• Are placed at the end of

Incentives motivation cycle.

Motivation Sourabh Munjal

I ntrinsic vs. Extrinsic Motivation
Extrinsic factors are external to the individual. Factors,
like money, vacation time, or awards, are all external to
the individual.

Intrinsic factors are internal to the individual, such as the

drive to excel, fear of failure, or desire to be

Motivation Sourabh Munjal

Theories of Motivation
Content Theories Process Theories Contemporary
Scientific Management Lewin & Tolman Theories
(wage Incentives)
Expectancy concerns Festinger & Homans
Human Relation
Security, working conditions Vroom Cognitive dissonance /
Maslow Valance/expectancy exchange
Hierarchy of needs
Porter & Lawler Adam
Herzberg Performance-Satisfaction Equity/justice
Two factor theory
Alderfer E P and P O expectancies
ERG needs
nAch, nAff, nPow

Motivation Sourabh Munjal

Maslow’s Hierarchy of Needs

Higher-Order Needs:
Needs that are satisfied
internally; social, esteem,
and self-actualization Esteem

Lower-Order Needs:
Needs that are satisfied Safety
externally; physiological
and safety needs.
Motivation Sourabh Munjal
Herzberg’s Two-factor Theory of Motivation

Based on study conducted on 200 accountants and engineers

employed by firms in and around Pittsburg, Pennsylvania,
Frederick Herzberg developed two factor theory of motivation.
These two factors are:

Motivators: The satisfiers

Hygiene factors: The dissatisfiers

Motivation Sourabh Munjal
Herzberg’s Two-factor Theory of Motivation

Two essential Questions were asked in

When did you feel particularly good about your
job – what turned you on?

When did you feel exceptionally bad about your

job – what turned you off?

Motivation Sourabh Munjal

Herzberg’s Two-factor Theory of Motivation

Dissatisfaction Not dissatisfied Positive

and but satisfaction
demotivation not motivated and motivation

Hygiene Factors Motivational Factors

•Company policies
•Quality of supervision
•Career advancement
•Relations with others
•Personal growth
•Personal life
•Job interest
•Rate of pay
•Job security
•Working conditions

Motivation Sourabh Munjal

Herzberg’s Two-factor Theory of Motivation

Contrasting Views of Satisfaction and Dissatisfaction

Traditional view

Satisfaction Dissatisfaction

Herzberg's view
Satisfaction No satisfaction

Hygiene Factors
No dissatisfaction Dissatisfaction

Motivation Sourabh Munjal

Contrast betweenNeeds
Maslow’s & Herzberg’s Theories
Maslow Herzberg


Esteem Motivators

Hygiene Factors

Motivation Sourabh Munjal

ERG Theory (Clayton Alderfer)
There are three groups of core needs: existence, relatedness, and growth.

Core Needs Concepts:

Existence: provision of basic More than one need can be
material requirements. operative at the same time.
Relatedness: desire for If a higher-level need cannot
be fulfilled, the desire to
Growth: desire for personal satisfy a lower-level need
development. increases.
The most robust finding in social science is
that Attaching incentives to work harder ends
with no work or
David McClelland’s Theory of Needs
Need for Achievement Need for Affiliation
The drive to excel, to achieve The desire for friendly
in relation to a set of and close personal
standards, to strive to relationships.

Need for Power nPow

The need to make others
behave in a way that they
would not have behaved
nAch nAff
Matching High Achievers and Jobs
Theories of Motivation

Needs theories Process theories

• Maslow’s hierarchy • Expectancy Theory
of needs • Goal Setting Theory
• Herzberg’s two
factor theory
Expectancy Theory

Individual 1 Individual 2 Organisational

Effort Performance Rewards

1. Effort-Performance relationship = Expectancy

2. Performance-Rewards relationship = Instrumentality
3. Rewards-Personal goals relationship = Valence

Prentice Hall, 2001 Chapter 6 26

How Expectancy Theory Works

Your tutor offers you £1 million if you memorise the textbook by tomorrow morning.

Expectancy Instrumentality Valence

Effort - Performance Link Performance - Rewards Link Rewards - Personal Goals Link

No matter how much effort Your tutor does not look There are a lot of wonderful things
you put in, probably not possible like someone who has £1 million you could do with £1 million
to memorise the text in 24 hours

E=0 I=0 V=1

Conclusion: Though you value the reward, you will not be motivated to do this task.
Goal Setting (Edwin Locke)

Goals Effects on Person

Directs attention
Specific Energises Performance
Difficult Encourages persistency
Accepted New strategies developed

• Self-fulfilment and satisfaction
• Difficult goals lead to higher performance
• Motivation to act depends on the attractiveness of the
Equity Theory
Individuals compare their job inputs and outcomes with those of others and
then respond to eliminate any inequities.

Referent Comparisons:
Equity Theory (cont’d)
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)
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
4. Underrewarded employees produce larger quantities of
lower-quality piece work than equitably rewarded
Equity Theory (cont’d)
Distributive Justice
Perceived fairness of the amount and
allocation of rewards among individuals.

Procedural Justice
The perceived fairness of the
process to determine the distribution
of rewards.
Performance Dimensions

Source: Adapted from M. Blumberg and C.D. Pringle, “The Missing Opportunity in
Organizational Research: Some Implications for a Theory of Work Performance,” Academy of
Management Review, October 1982, p. 565.
Begin with the end in mind

What are your talents?

What is your ultimate career goal?
What can you achieve in 2 years?
What are your personal goals?


Intensity Persistence

Prentice Hall, 2008

Robbins, S. (2001). Organisational behaviour. Frenchs Forest, N.S.W.:
Prentice Hall.

Vroom, V. (1964). Work and motivation. New York: Wiley.

Maslow, A. (1970). Motivation and personality. New York: Harper &


Brooks, I. (2009). Organisational behaviour. Harlow, England: Prentice

Hall/Financial Times.