Introduction to Business

Lecture 5

Employee Motivation

Based on Chapter 10
from the textbook

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Learning Objectives (1 of 2)
10.1 Define motivation, and identify the classical motivation
theories.
10.2 Explain why many consider expectancy theory to be the
best current explanation of employee motivation.
10.3 Identify the strengths and weaknesses of goal-setting
theory.
10.4 Describe the job characteristics model, and explain how
it helps predict motivation and performance.

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Learning Objectives (2 of 2)
10.5 Define reinforcement theory, and differentiate between
positive and negative reinforcement.
10.6 List five managerial strategies that are vital to
maintaining a motivated workforce.

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 What Motivates Employees to Peak
Performance?
Motivation Engagement
• The combination of forces • An employee’s rational
that move individuals to take and emotional
certain actions and avoid commitment to his or her
other actions work

Source: ttps://www.wiseworks.org/insights_motivate_team_members

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Exhibit 10.1 Four Indicators of
Motivation

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Four Fundamental Needs

The drive to The drive to

acquire bond

The drive to The drive to

comprehend defend

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Classical Theories of Motivation
Scientific management
• A management approach designed to improve
employees’ efficiency by scientifically studying
their work

Source: https://www.simplypsychology.org/maslow.html

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The Hawthorne Studies and the
“Hawthorne Effect”
The Hawthorne effect
• A supposed effect of organizational research, in which
employees change their behavior because they are being
studied and given special treatment
• Validity of the effect is uncertain, and the Hawthorne
studies were richer and more influential than this simple
outcome would suggest

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Exhibit 10.2 Maslow’s Hierarchy of
Needs (1 of 2)
Maslow’s hierarchy
• A model in which human needs are arranged in order
of their priority, with the most basic needs at the
bottom and the more advanced needs toward the top

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Exhibit 10.2 Maslow’s Hierarchy of
Needs (2 of 2)

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Theory X
• A managerial assumption that employees are
irresponsible, are unambitious, and dislike work and
that managers must use force, control, or threats to
motivate them

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Theory Y
• A managerial assumption that employees enjoy
meaningful work, are naturally committed to
certain goals, are capable of creativity, and seek
out responsibility under the right conditions

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Theory X/Y

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Herzberg’s Two Factors
Herzberg’s two-factor theory
• A model that divides motivational forces into satisfiers
(“motivators”) and dissatisfiers (“hygiene factors”)

Source: https://www.7pace.com/blog/two-factor-theory-hiring-engineers

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Exhibit 10.3 Herzberg’s Two-Factor
Theory

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McClelland’s Three Needs
Three-needs theory
• David McClelland’s model of motivation that highlights the
needs for power, affiliation, and achievement

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Explaining Employee Choices (1 of 2)
Expectancy theory
• The idea that the effort employees put into their work
depends on expectations about their own ability to
perform, expectations about likely rewards, and the
attractiveness of those rewards

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Exhibit 10.4 Expectancy Theory

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Explaining Employee Choices (2 of 2)
Equity theory
• The idea that employees base their level of satisfaction on
the ratio of their inputs to the job and the outputs or
rewards they receive from it

Source: https://www.researchgate.net/figure/Adams-Equity-Theory-The-referent-an-employee-selects-add-makes-equity-theory-very_fig52_323695129

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Motivating
with challenging goals

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Motivating with Challenging Goals (1 of 2)
Goal-setting theory
• A motivational theory
suggesting that
setting goals can be

Source: https://wikispaces.psu.edu/display/PSYCH484/6.+Goal+Setting+Theory
an effective way to
motivate employees

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Motivating with Challenging Goals (2 of 2)
• Goals should be specific enough to give employees clarity
and focus
• Goals should be difficult enough to inspire energetic and
committed effort
• There should be clear “ownership” of goals so that
accountability can be established
• Individuals’ should have belief in their ability to meet their
goals

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Management by Objectives
Management by objectives (MBO)
• A motivational approach in which managers and
employees work together to structure personal goals and
objectives for every individual, department, and project to
mesh with the organization’s goals

Source: https://www.ipostjournal.com/management-by-objectives-mbo/

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Exhibit 10.5 Management by
Objectives (MBO)

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Risks and Limitations of Goal-Setting
Theory
• Overly narrow goals
• Overly challenging goals
• Inappropriate time horizons
• Unintentional performance limitations
• Missed learning opportunities
• Unhealthy internal competition
• Decreased intrinsic motivation

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Redesigning Jobs to Stimulate
Performance
Job characteristics model
• A model suggesting that five core job dimensions influence
three critical psychological states that determine motivation,
performance, and other outcomes

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Critical Psychological States (1 of 2)
Experienced meaningfulness of the work
• A measure of how much employees care about the jobs
they are doing
Experienced responsibility for results
• The sense each employee has that his or her efforts
contribute to the outcome

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Critical Psychological States (2 of 2)
Knowledge of actual results
• Employees’ awareness of the real-life results of their
efforts

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Approaches to Modifying Core Job
Dimensions
Job enrichment
• Making jobs more challenging and interesting by
expanding the range of skills required

Cross-training
• Training workers to perform multiple jobs and rotating them
through these various jobs to combat boredom or burnout

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Reinforcing High-Performance Behavior
Reinforcement theory
• A motivational approach
based on the idea that
managers can motivate
employees by
influencing their
behaviors with positive
and negative
reinforcement
Source: https://www.tutorialspoint.com/employee_motivation/employee_motivation_reinforcement_theory.htm

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Types of Reinforcement
Positive reinforcement
• Encouraging desired behaviors by offering pleasant
consequences for completing or repeating those behaviors

Negative reinforcement
• Encouraging the repetition of a particular behavior
(desirable or not) by removing unpleasant consequences
for the behavior

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Exhibit 10.6 Reinforcement and
Punishment

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Motivational Strategies
• Providing timely and frequent feedback
• Personalizing motivational efforts
• Adapting to circumstances and special needs
• Tackling workplace problems before they have a chance to
destroy morale
• Being inspirational leaders

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Source. https://www.essaycorp.com/motivation-strategies-assignment-help
Exhibit 10.7 Personalizing Motivation

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Applying What You’ve Learned (1 of 2)
1. Define motivation, and identify the classical motivation
theories.
2. Explain why many consider expectancy theory to be the
best current explanation of employee motivation.
3. Identify the strengths and weaknesses of goal-setting
theory.
4. Describe the job characteristics model, and explain how it
helps predict motivation and performance.

Copyright © 2020 Pearson Education Ltd. All Rights Reserved.

Applying What You’ve Learned (2 of 2)
5. Define reinforcement theory and differentiate between
positive and negative reinforcement.
6. List five managerial strategies that are vital to maintaining
a motivated workforce.

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Question for Analysis
• Are there any similarities between the classical theories of
motivation? Explain your answer by comparing any two
theories.
• What is cross-training and job enlargement, and (how) can
they be used to combat boredom and burnout in the
workplace?
• Why do managers often find it difficult to motivate employees
who remain after downsizing? Explain your answer in terms of
one or more motivational theories you have learnt.
• Who ultimately has responsibility for motivation, the employee
or his/her manager? Why?

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