Questions should be asked
Organizational behavior
Motivation
MBA
Prof: W.P.Gamini de Alwis
Can you motivate people
Prof: W.P.Gamini de Alwis
Why does man work
The reasons why people act in a certain way
Why does man work for an organization
Why does man work hard for an organization
How to channel the effort toward achieving
organizational goals
1 Prof: W.P.Gamini de Alwis 2
What is motivation
Willingness to exert high level of effort
toward organizational goals, conditioned by
the effort’s ability to satisfy some individual
needs.
Process that account for an individual’s
intensity, direction and persistence of
effort toward attaining a goal.
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Assumptions introduction

The subordinate is prepared to contribute his Factors involving in improving performance

effort Right equipment
It is possible for that effort to be channeled in People with right knowledge, skills and
a particular way abilities
Right kind of organizational framework
Willingness to do work
Managing psychological contract

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Scientific management Human relations approach

Key elements Individual needs are far more complex and

Plan the job of workers people seek satisfaction at work through
Establish best practices – time and motion more than just the physical and material
studies rewards
Incentive- financial
Good working condition
Training

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Human relation –Elton mayo Cont ……

Individuals are social beings- they need to Grievances should be dealt with quickly
satisfy social needs Need to be praise their work
They expect to be treated with dignity and Perform well in secure environment
politeness There is an informal organization within the
Like to have some control over their work organization
situation
Have a right to know what is happening in the
organization

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Individual and organizational needs Models of behavior

Individual needs Organizational needs

High productivity
Physical well being Low absenteeism McGregor
Job satisfaction Cooperation
Personal development Industrial harmony The average human being has an inherent
Achievement Constructive disagreements
Respect from work group Low labor turnover
dislike of work and will avoid it if possible,
wishes to avoid responsibility, has relatively
little ambitions and wants
If these needs are met Hence have to be coerced, controlled,
directed and threatened with punishment
Contented, productive workforce
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Models William Ouchi

Theory Z
Employees will be motivated to higher levels
Theory Y- led to participative management of performance if they are involved in
style meaningful participation in decision making in
Perceive work is as natural as play or rest their organization.
Seek responsibility
Self directed and have self control
Creative but their potentialities are only
partially used
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Types of motivation theories Types of theories

Content theories – they are concerned with Content theories Process theories
the nature and context of motivating factors Maslow’s hierarchy of Expectance theory
needs Equity theory
Process theories – concentrate on elucidating
the thought processes through which McClelland’s acquired Goal setting theory
needs theory
individuals determine their course of action
Alderfer’s ERG theory
Herzberg’s two factor
theory

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Theories of Motivation Hierarchy of Needs Theory (Maslow)
Hierarchy of Needs Theory
Hierarchy of needs Self determination
There is a hierarchy of five
theory theory
needs—physiological, safety,
Theory X and Y Job engagement social, esteem, and self-
Two factor theory Goal setting theory actualization; as each need is
substantially satisfied, the next
McClelland's theory of Reinforcement theory need becomes dominant.
needs Equity theory
Expectancy theory Self-Actualization
The drive to become what one is capable of becoming.

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Maslow’s Hierarchy of Needs McClelland's…..

Lower-Order Needs Higher-Order Needs
Needs that are satisfied Needs that are satisfied Type of personality
externally; physiological internally; social, esteem,
and safety needs. Maslow’s and self-actualization Cupertino – desire to be helpful and to carry
Hierarchy of Needs needs. out the wishes of those who hold legitimate
authority
Approval- want to be accepted, they are
warm and friendly
Power, prestige, money-they value money,
power and prestige

Source: Motivation and Personality , 2nd ed,, by A.H. Maslow, 1970.

Reprinted by permission of Prentice Hall, Inc., Upper Saddle River, NJ.
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McClelland's….. Alderfer’s ERG theory

Curiosity – need to explore, to find out about Existence needs- pay , good working
things and make discoveries condition
Achievement- thought constantly on meeting Relatedness needs- social and ego needs
challenges and succeeding Growth needs- ego , self actualization needs
According to the model there should be a
match between the incentives offered to an
individual to that person’s personality needs

Prof: W.P.Gamini de Alwis 21 Prof: W.P.Gamini de Alwis 22

Herzberg’s two factor theory

motivators and hygiene factors Two factor theory

Motivators = factors with in the job (job itself)

recognition, responsibility, achievement,
advancement, the work itself dissatisfaction
high low
Hygiene factors=related to the context of the
job (around the job factors) supervision, satisfaction high
low
interpersonal relations, salary, working
conditions, policies and rules

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 Comparison of Satisfiers and
Dissatisfiers
Factors characterizing events
on the job that led to extreme
job dissatisfaction
Prof: W.P.Gamini de Alwis
David McClelland’s Theory of Needs
Need for Achievement
The drive to excel, to achieve
in relation to a set of
standards, to strive to
succeed.
Need for Power
The need to make others
behave in a way that they
would not have behaved
otherwise.
nAch
Prof: W.P.Gamini de Alwis
McClelland's acquired needs theory
Factors characterizing
events on the job that led
to extreme job
satisfaction Need for power
High level
Need to achieve
Middle level
Need for affiliation
Lower level
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ERG Theory (Clayton Alderfer)
Need for Affiliation ERG Theory
The desire for friendly There are three groups of core needs: existence,
and close personal relatedness, and growth.
relationships.
Core Needs Concepts:
nPow 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
relationships. be fulfilled, the desire to
Growth: desire for personal satisfy a lower-level need
nAff development. increases.
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Matching High Achievers and Jobs Job Design Theory

Job Characteristics
Model Characteristics:
Identifies five job 1. Skill variety
characteristics and their
2. Task identity
relationship to personal
and work outcomes. 3. Task significance
4. Autonomy
5. Feedback

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Job Design Theory (cont’d) The Job Characteristics Model

Job Characteristics Model
Jobs with skill variety, task identity, task
significance, autonomy, and for which
feedback of results is given, directly affect
three psychological states of employees:
Knowledge of results
Meaningfulness of work
Personal feelings of responsibility for results

Increases in these psychological states result

in increased motivation, performance, and job
satisfaction.
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Job Design Theory (cont’d) Job Design Theory (cont’d)
Skill Variety Autonomy
The degree to which a job requires The degree to which the job provides substantial
a variety of different activities. freedom and discretion to the individual in
scheduling the work and in determining the
Task Identity procedures to be used in carrying it out.

The degree to which the job requires completion of

a whole and identifiable piece of work.

Task Significance
The degree to which the job has a substantial
impact on the lives or work of other people.
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Job Design Theory (cont’d) Equity theory – J.S.Adams

Feedback
The degree to which carrying out the work activities
required by a job results in the individual obtaining
direct and clear information about the effectiveness
of his or her performance.
People strive to achieve a situation of
balance or equity in terms of the perceived
ratio of inputs to outcomes in relation to a
comparison others
When there is a in equity:
We are motivated to change our inputs or
outputs, or other party’s inputs or outputs.

Prof: W.P.Gamini de Alwis 35 Prof: W.P.Gamini de Alwis 36

Equity Theory Equity Theory (cont’d)
Equity Theory
Individuals compare their job inputs and outcomes
with those of others and then respond to eliminate
any inequities.

Referent
Comparisons:
Self-inside
Self-outside
Other-inside
Other-outside
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Equity Theory (cont’d) Equity Theory (cont’d)

Propositions relating to inequitable pay:

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)
1. Over rewarded hourly employees produce more
than equitably rewarded employees.
2. Over rewarded piece-work employees produce
less, but do higher quality piece work.
3. Under rewarded hourly employees produce
lower quality work.
4. Under rewarded employees produce larger
quantities of lower-quality piece work than
equitably rewarded employees

Prof: W.P.Gamini de Alwis 39 Prof: W.P.Gamini de Alwis 40

Equity Theory (cont’d) Expectancy theory
Distributive Justice
People are not necessarily motivated by
Perceived fairness of the
amount and allocation of
internal needs, but more by the expectation
rewards among individuals. that certain actions will achieve an outcome
seen by them as desirable.
Procedural Justice People perform well when they can see a
The perceived fairness of
connection between effort, performance and
the process to determine reward.
the distribution of
rewards.

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Expectancy ….. Expectancy Theory

Valance is the strength of preference for a
particular outcome. negative to positive
Instrumentality is the extent to which one
outcome will lead to another
Expectancy Theory (Victor Vroom)
The strength of a tendency to act in a certain way
depends on the strength of an expectation that the
act will be followed by a given outcome and on the
attractiveness of that outcome to the individual.

Expectancy is the extent of the probability

that a particular effort or action will lead to a
particular outcome
M = E*I*V

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Expectancy Theory Relationships
Effort–Performance Relationship
The probability that exerting a given amount of effort
will lead to performance.
Performance–Reward Relationship
The belief that performing at a particular level will lead
to the attainment of a desired outcome.
Rewards–Personal Goals Relationship
The degree to which organizational rewards satisfy an
individual’s goals or needs and the attractiveness of
potential rewards for the individual.
Prof: W.P.Gamini de Alwis 45
Implication of expectancy theories
Relationship between performance and
reward should be clear, explicit and
understood. Rewards should be attainable
and performance should be rewarded
Performance evaluation and reward must be
fair. No favorism.
Jobs, tasks and roles should be designed
according to needs
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Implication of expectancy theories
Need to know what particular rewards and
outcomes are important to people
Different rewards are needed for different
people-treated fairly and equitable
The meaning of different levels of
performance should be clear and specific and
should be reasonable and achievable
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Porter and Lawler
Effort is the amount of energy exerted by an
employee on a given ask.
Motivation ƒ value of rewards and perceived
effort-reward probability
The value placed on a reward depends on its
degree of attractiveness and desirability
The perceived effort-reward probability is the
likelihood of getting the desired reward for a
given amount of effort
Prof: W.P.Gamini de Alwis 48
Porter and Lawler
Performance is the output and it depend on
effort and ability
High motivation high effort
Reward high effort
Reward may be intrinsic or extrinsic
Intrinsic rewards are much more likely to
produce attitudes about satisfaction
Prof: W.P.Gamini de Alwis
Goal setting theory - Latham and Locke
People are more motivated and achieve
higher performance when:
They are set specific goals
These goals are stretch them
Goals have been agreed between
subordinate and superior
Employees receive feedback
Prof: W.P.Gamini de Alwis
Porter and Lawler
Satisfaction is derived from the extent to
which actual rewards fall short, meet or
exceed the expectation.
Satisfaction is more dependent on
performance than performance is on
satisfaction
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Goal-Setting Theory (Edwin Locke)
Goal-Setting Theory
The theory that specific and difficult goals, with
feedback, lead to higher performance.
Factors influencing the goals–
performance relationship:
Goal commitment, adequate self-
efficacy, task characteristics, and
national culture.
Self-Efficacy
The individual’s belief that he or
she is capable of performing a task.
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Reinforcement Theory Reinforcement theory
The assumption that behavior is a function of its Desired Undesired
consequences.
Positive reinforcement Punishment

Target behaviors occurs more Target behavior occurs less

presentation often
often
Concepts:
Negative
Behavior is environmentally caused. Negative
Target behaviors occurs more
Behavior can be modified (reinforced) by Target behavior occurs less
often
often
providing (controlling) consequences. withdrawl

Reinforced behavior tends to be repeated.

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Performance Dimensions Integrating

Contemporary
Theories of
Motivation

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Definition and Role of Intrinsic Motivation

When it comes to motivation, there are two
types: external (extrinsic) and intrinsic.
External motivations are forces from outside
of yourself that propel you to act.
Intrinsic motivations, however, come from
inside yourself. Malone and Lepper have
defined intrinsic motivation as what people
will do without external inducement. If
intrinsic motivation is internal, then what
inside of us is driving us to be motivated?
Prof: W.P.Gamini de Alwis
Generally, people are motivated by rewards.
Whether it be money, gifts or status, rewards
give us a reason to actually do something.
With intrinsic motivation, however, the
rewards are different. People are intrinsically
motivated by the enjoyment and success of
actually accomplishing something.
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Factors of Intrinsic Motivation problems

Even though intrinsic motivation is within ourselves, Conflict between individual and
there still must feelings or desires that promote the
motivation. There are seven different factors that
organizational goals
promote intrinsic motivation: Group goals are difficult to identify
1. Challenge
2. Curiosity
3. Control
4. Fantasy
5. Competition
6. Cooperation
7. Recognition

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Implication of motivation theory application

Job designing Different pay systems

Reward system is important because it the Job rotation Flexible benefits
way of converting the different needs into a Flexi work Employee
practical situation arrangement involvement
The job it self should be considered as a Job enrichment
motivating factor Job enlargement
MBO
Employee recognition

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Managers implication

It should be simple Required time

Easy to understand Options
Achievable Financial and non
Reasonable financial
Link to performance but Outside job as well as
other factors too should within the job
be considered participatory

Prof: W.P.Gamini de Alwis 63