Unit — 4 Utilizing Human Resources oes caer a] Motivation Concept of Motivation Motivation is psychological process. ft is important in understanding individual behavior. It gives purpose and direction to behavior. Job performance is a function of employee ability plus motivation. Employees may possess skills and abilities, But they may Is and abilities. Motivation induces lock willingness to use those si employees to use their skills and abilities to perform effectively. It is an inner force that energizes people into action. 12 people to put more efforts. Motivation is the act of energi It is willingness to exert high levels of efforts. It is an inner state within the individual that energizes, directs and sustains behavior toward goal achievement. Motivation stats with need. Need is physiological or psychological deficiency. Needs activate drives. The drive is aimed at goals. The interacting relationships among needs, drives and goals are the foundation of motivation process. nn is an individual's According to DeCenzo and Robbins, “Motivat willingness to exert effort to achieve the organization's goals, conditioned by this effort’s ability to satisfy individual need: a process that starts with According to Fred Luthans, “Motivatio a physiological or psychological deficiency or need that activates behavior or a drive that is aimed at a goal or incentive.” According to Stephen P. Robbins, “Motivation is a process that accounts for an individual’s intensity, direction and persistence of efforts toward attaining a goal.” M individual, job, and situation. interacting variables: vation is the result of three Motivation is an important management tool to harmonize and achieve goals of individuals and organization, It induces people for higher productivity. Key points in the coneept of motivation Psychological Concept: Motivation is concemed with needs, desires, motives and drives. It is a psychological concept. It involves efforts to satisfy needs. 2, Complex and Unpredictable: Motivation is complex. It is difficult to predict. Individuals differ in motivation. Motivation changes from time to time. 3. Concerned with Individual: Motivation is concerned with idual is motivated, not the4. Continuous Process: Motivation is a continuous process. Individuals have many needs. When one need is satisfied, another emerges. 5. Pervasive: All managers need to motivate their subordinates for higher performance. It is the job of all levels of managers, 6. Goal-oriented: M ivation involves efforts to achieve goals. It leads to efforts and actions for achieving goals. Nature of Motivation The following points make clear about the nature of motivation:- © Continuous process © Psychological aspect © Positive and negative * Complex and Unpredictable © Total individual motivated © Various techniques «Related to human beings Nature of motivation 1. Continuous Process: Motivation is the continuous process. It never ends. Human needs are innumerable. When one need has been fulfilled, another need appears. Until one’s need has not been fulfilled, he/she cannot be motivated to work. Only those who are B 4, trying to meet their needs cannot be motivated. If motivation is s are also stopped. stopped, organizational activi Psychological Aspect: Motivation is a psychological aspect. It is related to person’s feeling and wants, Without understanding the hidden desire and interest of a person, he/she cannot be motivated to work. He/she does not become ready to work without being ‘motivated. One’s time and physical presence can be bought but his/her enthusiasm, spirit, feeling and loyalty cannot be bought. The task of motivating others is purely a psychological aspect; so, the employees’ feeling, desire, wants and needs should be understood to motivate them to work. Positive and Negative: Motivation becomes both positive and negative. Rewards, allowance, etc. are igh salary, facilities, praise, promotion, cluded in positive motivation, Demotions, holding up of salary, transfer, temporary suspension, threats, ‘warnings, ete. are included in negative motivation. Some can be motivated by positive motivation and some can be motivated by negative motivation Complex and Unpredictable: The task of motivating others is a complex job. They cannot be motivated without understanding their feelings. They cannot be motivated using same things or means. Some can be motivated by financial incentives and some others can be motivated by non-financial means. So, motivation is7. very difficult task. Motivation is related to human behavior. It is very difficult task to study other's behavior and / or predict it Total Individual Motivated: Individuals get motivated to work to fulfill their needs. When a person gets motivated, his/her whole body and mind get motivated. If one wants to wear a cap, not only his/her head, whole body or the person himself gets motivated. So, the task of motivating an individual is not to motivate any part of his body, it is to motivate the total individual. Various Tech jues: There are various techniques to motivate person to work. Some persons can be motivated through positive means like reward and honour whereas some others can be motivated through negative means like threats, wamings, etc, Similarly, some can be motivated by increasing salary, giving promotion, high allowance, ete. Some can be motivated through honour, respect, making them participate in management, ete. Related to Human Beings: Motivation is related to human being. Only human being can be motivated to work. Except human being, nor any other resource or means can be motivated. Process of Mot ation Motivation process can be presented in a model: 14 Tension Action to Goal uicsstied + Physical Satisfy accomplishment >| » Psycho | © Needs [>] Need/motive + sociologica =m satisfied Feedback fe Process of Motivation Motivation process is characterized by: Unsatisfied Needs and Motives: They cause tension within the individual. They indicate deficiency. Tension: It can be physical, psychological or sociological. It is necessary for motivation to occur. Action: Individual engages in action to satisfy needs and motives for tension reduction. Alternatives are searched and choice is made. Accomplishment of Goal: It satisfies the needs and motives. It can be through reward or punishment.5. Feedback: It indicates how wel needs and motives are modified, the goal is accomplished. The Importance of Motivation Men should be heartily interested to do any work. Otherwise, they do not become ready to work even if they are mentally and physically able. They should be activated through motivation. Only then they become ready to work according to organizational goal. So, ‘motivation plays an important role to achieve organizational goal. The importance of motivation can be discussed as follows: 1. High Productivity: Satisfied and high moral employees are necessary to get high productivity. Motivation satisfies them and makes them dedicated to organization. So, motivation is related to goal-oriented activities, which increases productivity decreasing production cost. 2. Health Industrial Relation: Healthy and good relationship establishes good link between management and motivated as well as satisfied employees. The acts of general absence or disobedience, job quitting, demonstration against management, lock-up, Gheraou, code language strike, hunger strike, giving ultimatum, etc. are not done by employees, if there is healthy relation between management and employees. Increase in Willingness to Work: Proper motivational system should be adopted understanding the psychology of the employees. ‘This increases their eagerness to work. 4. Utilization of Factors of Production: Motivated employees do is makes possible to utilize fully available their work sincerel means and resources. Delay, non-cooperation, defiance, cheating, etc. can hardly take place because the employees care for the all the assets of the organization as their own and think organizational success as their own success. 5. Environment of Co-operation: Motivation enhances morale of the employees and satisfies them. This increases co-operation among management and employee. Misunderstan feeling develops in them. As a result, coopera employees and jealousy, conflict, etc. vanish. Cooperative e environment prevails everywhere in the organization, 6. Acceptance of Organizational Change: Organization always becomes dynamic. Changes should be made in organization according to the changes in environment. For example, change in rules and regulations, change in procedure, change in technology, etc. Motivated as well as satisfied employees easily accept changes. Types of Motivation ‘The types of motivation are as follows: Positive Motivation: The employees perform their works for the achievement of organizational goal. In positive motivation, their performance is recognized and respected by rewarding and admiring. Their morale is made high. Such motivation improves2 performance, increases mutual cooperation and develops a feeling in them that the organization is their own, they are important for the organization and creates cheerful working environment. The management should adopt the following methods to provide positive motivation: © By admiring and giving rewards for better performance, ‘* By showing personal concern, interest and importance, «By respecting and honoring, «By clearly defining functions, duties and authorities, «By involving them in management, © By distributing profit to them, «By providing good working environment, and «By providing high salary and allowance. Positive motivation is widely used in the present age of business. M.C. Gregar has mentioned about positive motivation in his motivation theory Y. Negative Motivation: The method of motivating employees to work through fear, threat and power is called negative motivation. ‘The employees and motivated to work due to fear of expulsion from job, punishment, or any other actions against them, Their laziness, recklessness, disruptive behavior, etc. automatically end due to fear of their expulsion from job. But such method of motivation can be useful for some persons and it becomes 16 4. momentary. So, this method is scarcely used. $.C. Gregar has ‘mentioned about negative motivation in his theory X. Extrinsic Motivation: Extrinsic motivation is mainly related to financial incentive. Such incentive motivates the employees to show better performance. Generally, high remuneration, facilities on retirement, insurance, rest, leaves with salary, part profit, sick leave, health service facilities, educational allowances, etc. are extrinsie motivation. Intrinsic Motivation: This motivation is related to non-financial incentives. Ego and self-satisfaction awaken intrinsic motivation. This includes respect, dignity, honour, authority, participation in management, satisfaction in performance, ete. For example, what ‘Mother Teresa did for the world was done by intrinsic motivation. Individual Motivation: The individual or personal incentive, which is given to motivate employees for performing organizational works in effective manner, is called individual motivation, Reward, appreciation-letter, certificate, job security, respect, opportunity for personal development, etc, can motivate employees to work. They are means for individual motivation, Group Motivation: If all the employees in group are motivated to make organizational performance effective, motivation. is called group Participation in management, arrangement for suggestion, participation in profit, departmental reward, increase in salary allowance and f ties, improvement in working condition, etc. are the means for group motivation.Theories of Motivation There are various theories of motivation. If all the theories are keenly studied, the nature of motivation becomes clear. Theories of motivation can be divided into two broad categories. They are ~ (1) Early theories, and (2) Contemporary theories. Scientific management and human relation theories are included in early theory, whereas content and process theories are included in contemporary theory. Process theories also include three theories. They are- (1) Performance satisfaction theory, (2) Equity theory, and (3) Expectation theory. Similarly, in the content theory four theories are included. They are ~ (1) Need hierarchy theory, (2) Two-factor theory, (3) E.R.G. theory, and (4) Achievement theory. Fay bn BN as en) Theories of Motivation 71 Here, only contemporary theories of motivation are explained. They are as follows: 1D Content theories 1. Need hierarchy theory 2, Two-factor theory 3. Achievement theory 4, ERG theory © Process theories 1. Expectancy theory 2. Equity theory 3. Performance-satisfaction theory 0 Content Theories Content theories include Maslow’s Need Hierarchy Theory, Hertzberg’s Two ~ factor Theory, McCilain’s Achievement Theory and Clayton Alderfer’s Theory. These theories bring individual needs in practice to understand performance satisfaction and working behavior. Needs may be physiological or psychological. For example, hhunger is physiological need and desire for sentimental support is psychological needs. 1, Need Hierarchy Theory Abraham Maslow was a famous American psychologist. He developed a motivation theory in 1943. It is called Maslow’sHierarchy Theory. According to this theory, every person works being motivated by wants or needs and need has certain order. So, needs should be gradually fulfilled to motivate any person and other needs should also be created. When one need has been fulfilled, another appears. He has divided human needs in five categories such as physiological needs, safety needs, social needs, ego needs and self- actualization needs. It is made clearer by the following figure: Abraham Maslow’s hierarchy of needs 18 cal a) Physiological Needs: According to Maslow, physiol. feeds include basic human needs. The employees get such needs. Besides food, clothes motivated to work to ful and shelter, rest, physical fa etc, are included in such needs. If these elements are in favor, the employees get motivated to work. b) Safety Needs: When physiofogical needs have been fulfilled, vated to meet safety n, job security, then other needs appear. Men become mot need. It includes secure working con reasonable remuneration, and other fa should take proper step considering job security of the employees, Only then they get motivated to work. es. So, a manager safety need has been full social needs. If such needs are jendly behave, interactions with customers, proper supervision, acceptable by si ty, amiable involvement in social organization, committees, etc. are included in social needs. d) Ego or Esteem Needs: When the social needs are fulfilled, the employees want to ful ego needs. \cludes self-respect, th and respectable position, dignity, freedom, admiration, recognition by the bosses, ete. to fulfill such needs, theemployees become ready to work responsibly. So, the management should consider for the ego needs of the employees. ©) Self-actualization Needs: According to Abraham Maslow, after the ego needs have been fulfilled, self-actualization needs appear. Expectation of challenging and creative work, participation in decision-making process, autonomy in work, ete. is included in this need. After physiological, safety, social and ego needs have been fulfilled, the employees want to feel pride in development and creative works In this way, Maslow has said that the needs of employees are gradually created after one need has been ful -d. The employees get motivated to satisfy the needs. It is not necessary to all the employees to go through all the phases of fulfilling the needs. For example, some employees may not have got satisfaction with physiological needs. An employee who has come from poor family cannot meet food, clothes and shelter with his/her salary. So, he/she eannot think of other needs. Criticism of Maslow’s Hierarchy of Needs Theory Maslow’s thought is very important and helpful to understand the needs of employees and what should be done to satisfy them. But there are also weaknesses of this thought. So, it has been criticized. He has tried to simplify human needs and m »n more than necessity. Human psychological aspect is very complex and broad to understand. So, it should not be taken lightly. Maslow has said human needs 79 increase in a hierarchical order one after another, but this is not fully true because human needs cannot be arranged in such hierarchy. Somebody may be feeling both physiological and self actualization needs, whereas other persons may be feeling safety and physiological needs at a time. Lower level need that Maslow has presented has not been fulfilled but higher level need may be urgent for someone. Needs may be different for persons to persons. So, to determine the hierarchy of needs making at first physiological need, and then gradually safety needs, social need, ego need, self-actualization need is not logical. Maslow has presented his view saying that all employees can be equally motivated to work in same environment and the quantity of needs become same in all. But, neither the quantity of needs can be equal in same environment nor they can be equally motivated. So, it can be said that Maslow’s hierarchy of need theory is based on imagination. Maslow has viewed that the employees feel next need afier one need has been met, They are motivated to work for meeting another need. He has not given importance to already fulfilled needs. But already fulfilled-needs are more important, Maslow has said that only interactions, needs and incentives motivate employees to work. But this is devaluation or underestimation of human resources. Human is wise, farsighted, aware and dynamic being. So, he/she does not take only others’ order and encouragement or incentive as the source of motivation to work. He/she himselffherself becomes eager to work So, Maslow’s need theory has been criticized.Two-factor Theory Frederick Herzberg of America has contributed 10 the world by developi Wester Research University of n 1950, an is two-factor important theory to motivate employees to work. Th theory. According to his theory. high-class performance can be achieved by increasing work satisfaction of the employees. This conclusion was drawn from a research carried out by a team of his collaborators. The respondents were groups of 200 engineers and accountants in Petersburg area. Following questions were asked to find out the fact: What made them happy? What made them unhappy? In this research Frederick Herzberg found out what factors make employees happy and what make them unhappy. It is not necessary that the degree of happiness by the factors that make the tors that make them employees happy and unhappiness by the unhappy should by equal. The degree of happiness and unhappiness may be greater or lesser on both conditions. Satisfaction or dissatisfaction depends on environmental elements. The satisfied employees become more dedicated to work and perform effectively than dissatisfied ones. So, Frederick Herzberg has made the following two conclusions: «Factors preventing the dissatisfaction, «Factors increasing the satisfaction. 80 His research team named the factors preventing dissatisfaction 1 employces as Hygiene Faetors and factors increasing satisfaction as, wse factors are presented in the following Hygiene Factors Motivation Factors Status Challenging Work Intern Achievement Growth Responsibility Advancement Supervision Recognition Ade Work it self Working Conditions Harzberg's Two-factor Theory a) Hygiene Factors: Hygiene factors do not motivate employees They take out dissatisfaction from employee and prevent dissatisfaction from taking place in them. But it is not to satisfy them. They are not satisfying factors. They bring the employees to the zero point of motivation. The hygiene factors which prevent or take out dissatisfaction from employees are as follows: © Salary, wages and other facilities,b) sup # Interpersonal re workers © Job security * Good worki nent, * Policy and administration of the company, © Quality of supervision, © Intemational relation, and © Standard, Here the word hygiene is taken from medical sector. So, iction and take it away from iene means to prevent the employees. But it does not motivate employees. For example, medicine only restores the health of sick persons, but it does not make the health better than it was before. Similarly the hygiene factors bring the employees to the zero point of motivation from negative point. Motivational Factors: The motivational factors found out by Frederick Herzberg and his colleagues positively affect morale, satisfaction, efficiency of the employees and productivity and profitability of the organization. These factors satisfy the employees making them hardworking. Such factors found out by them are: «Premises and identification, e Achievement, © Challenging work, Criticism on Herzberg’s Two-factor Theory Although Herzberg’s two-factor theory has been proved to prevent and take out dissatisfaction of the employees and make them dedicated to org has clearly explained the factors to satisfy and motivate the employees. But, which of the factors averts dissatisfaction and which motivates hem to work differs from persons to persons. He has said that the hygiene factors eliminate dissatisfaction but such factors cannot izational activities, it is not free from criticism. He motivate employees, rather they decrease dissatisfaction to zero point. imination of dissatisfaction means 150 go to positive side; going to positive side means to be motivated to work. Similarly. Herzberg has ven more importance to individuals than to organization. He has i needed 10 satisfy the employees. It is good to give importance to expressed his ideas to change even the organizational structure, if it is human resource in an organization. But, individuals can never be greater than organization. So, individuals should not be considered more important than organization. Organization should not be made minor. He has taken employees’ work satisfaction very lightly. But it is more complex and serious than he has taken it. In his research, he cluded only engineers and accountants. The research did not find anything about the lower level employees and their feeling. The feeling and satisfaction of higher level employees cannot be similar ton of lower level employees, he hygiene ivational factors for lower level employees. The hygiene factors may become motivational factors for some employees and motivational factors may become hy factors also can be mi ene factors for others. Comparison between Need Hierarchy and Two-factor Theory The two-factor theory of Herzberg the amended form of Maslow’s need of hierarchy theory. Maslow’s theory helps to identify human needs whereas Herzberg’s theory helps to know how human dissatisfaction can be prevented and motivate human being to work. The two theories can be compared as follows: Theories of Motivation ‘The above figure makes it clear that the Maslow’s physiological need, safety need and social need, and Herzberg’s lar and Maslow’s ego need and self hygiene factors are ation need are similar to Herzberg’s motivational factors. id the physiological need, safety need and social need motivate people to work. Herzberg has said the hygiene factors inate dissatisfaction and prevent dissatisfaction, but do not Maslow has motivate employees to work. 3. Achievement Theory ‘Achievement theory also is included in content theory under contemporary theory, It is also called ‘Three-need Theory’. This theory was developed by David C McClelland and his colleagues. According to them. There are three needs to motivate human behavior. ‘They are- (a) achievement (b) affiliation, and (c) power. If these needs are satisfied, employees get motivated towards work and eflective performance takes place. a) Need for Achievement, nAch: Need for achievement is the desire to accomplish a good task or perform more effectively than in the past. Willingness to face challenge, willingness to have personal achievement, competitive environment, wi problems and lingness to get success gness to cope with complex ingness to do better than others are included in need for achievement. So, an organization should motivateb) its employees by providing this type of environment and ensure organizational success by fully utilizing their qualification, skill, efficiency and expertise. According to Day C. McClelland and his colleagues, humans are low achievers and high achievers. Low achievers work for high salary and financial incentive while the high achievers do not work for high salary and financial incentive. Rather, they like to do challenging works and also like to take responsibilities. They desire to feel proud of their success and like to take credit of the success. On the whole, they like to be different than the general people. So, an organization should study the employees, identify high achievers and assign them to the complex and challenging tasks. From this both the organization and ‘employees get benefits. Need for aff human companionship and acceptance. It is a social need. As tion nAff: Need for affiliation is the desire for the social beings, employees remain trying to have friendship behavior, have interaction with customers, to be agreeable in society, live affectionately in society, to be involved in social organizations, desire to do team works in organization, take membership of club, etc. If such things are achieved, the employees work with goal. So, an organization should identify such type of employees and provide the suitable environment. 83 ° The organization should identify desiring affiliation and make them take part in interaction with the employees co-workers, assign them the tasks that need direct contact with customers, make them involve in team works, make them s to have contact with the organizations. But, while giving such represent to different committees and give them responsib responsibilities, besides employee's wil ingness, his/her ability also should be considered. Need for Power, nPow: Need for power is the desire to be influential in a group and to control one’s environment. In other words, Desire for taking more authority and keeping others under control is called need for power. The employees to feel such need desire to keep others under their control and command. The employees who want to have more power, desire to take leadership. They desire to determine goal of their organization, desire to take decision, desire to take control over organizational activities. The employees who feel such needs can be motivated to do works by satisfying such power needs. An organization should motivate this type of employees and utilize their qualification, skill, efficiency and expertise for the organizational effectiveness. For doing so, authority should be delegated after to analyze employees’ efficiency and skill But such authority should be carefully delegated. If such powerand authority goes in the hand of wrong person, it will be detrimental to the whole organization. tt doesn't mean that authority and power should never be delegated to any person. Proper power and authority should be delegated to proper employees and should be made for arrangement effective monitoring and evaluation. According to McClelland and his colleagues, theit ‘achievement Theory’ is very important to widely use I managers. If the needs of employees are fi implemented acco: measured and employees loyal, sincere and motivate them to work for the organizational success. 4. ERG Theory ERG theory also under contemporary theory. The full form of ERG is Existence, Relatedness and Growth. This theory was developed by Clayton Alderfer. This ERG theory of motivation suggests that people's needs are grouped into three possible overlapping categories ~ existence, relatedness and cluded in content theory growth. lar to Maslow’s Need Hierarchy use and is pract not Alderfer’s ERG theory is si Theory. Although Maslow's theory free of criticism. There are various weaknesses of Maslow's Need Hierarchy Theory. Alderfer developed ERG theory by improving the 84 same weaknesses. So, ERG theory can be called the developed form of Maslow’s Need Hierarchy Theory. Maslow has classified human needs into five categories 1i physiological, safety, social, ego and self-actualization in an orderly heory and Alderfer’s ERG theory. According to Asderfer, human needs are of three types. They are- (a) Existence, (b) Relatedness, and (c) Growth. are included in existence need. For example food, air, water, sex, safe working condition, job security, reasonable remuneration, fringe benefits, etc. Humans become very impatient or hasty to satisfy such needs. So, an organization can motivate employees to work by satisfying such needs.b. Relatedness: This need includes interpersonal needs and needs for creation of social relation. Under relatedness needs of Alderfer. it includes Maslow’s social needs. For example: friendly behavior of co-workers, interaction with customers, appropriate supervisor, to be socially agreeable, to live organizations, ete. affectionately in society, to involve in soci an organization, etc. An organization can motivate employees to do works by satisfying such needs. In the words, of Alderfer, relatedness needs focus on how people are related to their social environment. ©. Growth: Under this need the needs for individual/personal development and desires are included. Alderfer's growth needs include Maslow’s ego or esteem needs and self-actualization needs. For example, self-respect, high and respected post, dignity, honor, freedom, appreciation, recognition, identity, ation in decision making, autonomy, challenging, job, parti etc. An organization can motivate such employees to works by satisfying such needs of the employees Comparison between Maslow’s Need Hierarchy and ERG Theory The differences between Maslow’s Need Hierarchy theory and Alderfer’s ERG theory as follows: Maslow has classified human needs into five categories, but Alserfer has classified into three, 85 Maslow’s Need Hierarchy theory is rigid. He opines that humans feel next need only afier one need has been satisfied, but Alderfer’s ERG theory is not as rigid as Maslow’s. Alderfer says human being may feel any need at the same time. Maslow’s Need Hierarchy theory claims that human beings remain effortful to satisfy one need until it is satisfied, he says until the first need has been satisfied, he/she does not feel other needs. But Alderfer's ERG theory does not maintain this claim. The ERG theory is relatively new compared with Maslow's need hierarchy, but research suggests that it may be a more valid account of motivation in organization. The above mentioned Need Hierarchy theory, Tow-factor theory and ERG theory, all have presented human need in the same way. But all theories have classified need differently. This can be made clear by the following figure. qt Voihoror Nel for schiovement Comparison between Content TheoriesProcess Theories: performane Proce: Process theories focus on wh Three popular theories — expectaney t ion theory luded in process. theo ss theories focus on what factors motivate employees and how these factors are related to one another. In th people choose certain behavior option to their satisfaction afier they have attained their goals. 1, Vroom’s Expectancy Theory Instrumentality theory, Path-Goal theory. or VIE theory Victor Vroom’s Expectancy theory socalled s theory ‘maintains that human being is rational, and always remains effortfial for good outcome. He/she selects the best has three ves). This important elements they are — (a) Expei Instrumentality, and (c) Valence. Expectaney: The optimism n individ b. outcome will be achieved from particular be! ior or called expectancy. For example, if any individual does hard. works effectively, then he/she expects increase in productivity In the same way, a student who labours hard in study expects ‘good result in the examination. nd expectation that his/her performance deserves the reward or Instrumentality: The optimism of an individual's belief prize as he/she has wished is called instrumenta ve better performance due to hard labour is, ple, to level outcome and to have salary increased, promotion, or © to better performance is the both as rewards or prize du outcome, If an individual does not expect that recognition despite high quality he/she does not get second le he/she wil performance through hard labour, | not get motivated towards good performance. e. Valence: ‘The priority or importance given to the result or outcome by an individual is called valence. The employees re motivated to achieve the outcome to which they ‘n more importance or valence while they get less motivated to achieve the outcome to which they have given less importance. Some employees give high importance and priori to salary increment and financial incentive while some others give more importance to challenging job. participation decision-ma ng and creative works, Similarly, some ployees give more priority to securit of job. So, an nization can understand their priority and motivate them to propriate works. According to ‘ctor Vroom, the level of motivation of dual employee depends on expectation, instrumentality and valence. So, this theory can be presented in an equation form as follows: indiM=EXIXV. OR Motivation = Expectancy x Instrumental According to Vroom’s expectancy theory. expectancy, instrumentality relat nd valence is nship between them indicates the level of expectancy, instrumentality and valence i increases; and when they decrease, explains expectancy theory of motivation in br Expectancy theory of Motivation (Griffin 2000) (Raters } The following table makes clear the practical us Vroom’s expectancy theory, 87 ‘Objective ‘Application of Explicati ion Theory ign hegre tose noe aes ef tha E>? To increases the Expectancies | employees are capable of performing the job | successful examples employees who have successfully belief that will plain the outcomes that from successful performance, Describe how the employers | rewards were based on past performances, Provide examples of other employees whose good performance has resulted in higher rewards,2. Equity Theory Equity theory is another important process theory. The developer of equity theory is J. Stacy Adams. This theory depends on individual's thinking or judgment. Equity theory suggests that people are motivated to seek social equity as the rewards they receive for performance, ‘As human is social being, he/she wants to be involved in society, and wants to adopt social norms and values. He/she expects equal and impartial behavior of society. organizations and members of the society. So, he/she compares his/her every activity and performance with others, which is called social comparison. an organization, employees _ work qualifications, ability and skill. Besides these things, also affected by psychological factor. Such psychological factor according to ir works are th expectation of the employees that the organization should consider him/her comparatively good and should not be prejudicial towards him. He/she compares himself or herself comparing, if finds impartiality towards himJher, he/she gets motivated towards work. If it is found partiality, then he/she does not get motivated to work. The person he/she compares with or the referent may be another post within the same orgs fh others, While zation, equivalent post outside the organization, other persons of within the same organization, other persons outside the organization ete, 88 tial behavior The employees expect equity and imps posts, similar posts and other persons i d the degree of the behavior with other organizational performance an directly affects their motivation, First they evaluate themselves and evaluate others on the same basi ves with others. Then they find out whether there is Then compare ity or not from the leadership part. If there is what condition the employees realize impartiality or vated to do works? In what condi jon the nployees feel partiality oF to do works? In what con requity and do not yet motivated he employees feel more satisfied and try to own contribution to the organization? Let's find the answer these questions, Equitable Situation First, every dividual employee di les outcomes by inputs nd make out hissher own proportion, If the made out proportion is equal to the proportions of others, then the individual employees that there is impartiality or equity. As a result, the employee gels motivated towards works, Look at the following equation and igure:Zero Inequity Negative Inequity If the employees find their proportion more than other's proportion, they feel more satisfied. They feel their qualifica 1, efficieney have been respected. As a result, they try their contribution to the organization. Look at the following equation increase and figure: 89 Under the input of eq communication sk output of this theory, benefits, job requisites, promotion, recogniseniority benefits, status symbols, working condition, ete. Look at the following table. Example of Inputs and Outcomes in Organizations Inputs Outcome Age ‘Challenging job assignments ‘Attendance Fringe benefits Interpersonal skills ‘Communication skills Tob requisites Tob security Job effort (long hour) Monotony Level of education Promotion Past experience Recognition - Performance Responsibility Personal appearance Salary Seniority Seniority benefits Social status Status symbols Technical skills Working conditions Training According to equity theory, if the proportion of input and output is more than others or equal, the employees feel satisfied and get motivated towards works. But, if this proportion is less than others, they become disappointed, feel injustice towards them\. In this situation, they may take the following steps: ‘© They don’t do hard labour and generally remain inactive, or «Request tothe organization for inerease of output, for example, for promotion, for challenging job, or for seniority benefits, or © If both the above mentioned demands are not fulfilled, (even for some employees), they may take decision may be detrimental and sorrowful to both the employees and organization. Performance-satisfaction Theory Performance-satisfaction theory was developed by Porter and Lawler. This theory comes under process theory. They have accepted all the motivation. performance and satisfaction as separate factors. According to them, performance cannot take place only by efforts; needs ability, role and other attributes. Intrinsic and extrinsic rewards are necessary for satisfaction, Such rewards should be based on impartiality. The figure is a multivariable model of moti Porter and Lawler. This has shown how the performance becomes effective and how the employees feel satisfied. As shown in the figure, boxes 1, 2 and3 are the same victor Vroom’s equation.Performance-satisfaction theory The Porter and Lawler Model of Motivation The performance-satisfaction theory of Porter and Lawler offers the following guidelines: a. Place the right person on the right job, b. Carefully explain to the employees what their roles are and make sure that they understand, c. Prescribe in concrete terms the actual performance levels expected of the individual, and d. Make sure that the rewards dispersed are valued by the employees. oT Relationship between Motivation and Performance A highly motivated person works hard at a job, an unmotivated person dies not. Motivation encourages employees for better performance. It develops a feeling in their heart and mind for works. ‘As a result, organization's productivity increases and employees feel satisfied. Performance means, to skillfully and effective. accomplish the works assigned to them. If the performance is effective, productivity increases, This ensures organizational success. Motivation and performance have positive relationship. Motivated employees perform their works satisfactorily. Even if a person is physically able and skilful to perform works, but is not motivated to do so, he/she does not perform works satisfactorily and e tively. Let’s remind the maxim, “A horse can be taken to river, be forced to sip water”. This means only taking the horse to but river results nothing, the horse must feel thirsty to sip water. Exactly the same, onl |, efficient, qualified and able to do works, performance of the employees cannot be better and effective, they must be motivated towards works. To motivate the employees towards works, they should be made participate in decision making process, share in financial benefits, assignment to challenging works, participation being sI profits, good working environment, representation, involvement in works, working freedom etc. techniques should be adopted.Only motiva good performance. Employees themselves also should be able and ¢ the employees to do works also cannot make efficient, In the lack of competency and efficiency, performance cannot be good and effective only by motivation, They should be made able by conducting training and development, workshop, seminars. ete, so, good performance is the output of both the motivation and ability. In the absence of any one, effe performance cannot take place. It can be presented in the followii ‘equation: Effective performance = Ability X Motivation Positive relationship exists between motivation and performance. If motivation is increased, performance also gets increased. If motivation gets decreased, performance also decreased. Here, motivation means motivation paired with ability. This is made clear by the following figure: Performance Motivation Performance Motivation 92 hip between motivation and performance ce relati between and relationship exists If motivation is increased, performance also gets improved, motivation also Posit performance. improved, and when performance increases, This process continuously goes on in cyclical form. Motivation brings improvement in performance and the performance paired with improvement increases motivation. Following figure | Performance " Cyclical relationship between motivation and performance makes it clear. The above mentioned study makes us clear that motivation paired with qualification, ability, skill, efficiency, experience brings improvement in performance. Improvement in performance is essential to increases productivity and to achieve organizational effectiveness. Organization employees towards work. should compulsorily motivate the For motivation the employees, both financial and non-financial incentives techniques should be adopted. The following figure makes it clear.Financial incentive Motivation [—) ‘According to Fred Luthans, “Frustration occurs when a motivated drive is blocked before a person reaches a desired goal.” Nature of Frustration Frustration involves: Non-financial incentives Improved performance Relationship of incentives with performance and motivation In conclusion, motivation and performance have positive relations. Only hollow motivation to the employees cannot bring improvement in performance. So, motivation with necessary ability becomes meaningful for performance. If the motivation with ability is increased, performance also gets increased. Financial as well as non- financial motivation should be provided to the employees to motivate the employees. Frustration Frustration occurs when a motivated drive is blocked. This prevents an employee to reach his desired goal. It is an obstruction to goal-oriented behavior. When an individual is blocked from behaving the way he would like to behave or from getting what he wants, he is said to be frustrated. It is a consequence of job stress. Motivated |—>) Barriers >| Goal _ Drive - POE e_covert Frustration “Defense mechanisms a. Drive: It is a motivated need. b. Blocking: A drive is blocked that prevents goal achievement ©. Barriers: They block the drive and lead to frustration. They can be: © Overt Barriers: Outward or physical barriers © Covert Barriers: Inward or mental bartiers. d. Defense Mechanisms: Frustration can trigger any of the following defense mechanisms by an individual:© Aggression: bar him, It is reacting physically by ier. Aggressive individual strikes ou © Withdrawal: Wt is back 1g away. giving up or becoming lual is apathetic. It passivity. An indiv disinterested. It in depression or even suicide. It is continue trying to achieve the goal. Don’t give up. * Compromise: The individual subs new direction. He goes around the barriers and seeks goal achievement outside the job. tutes a new goal or a Causes of Frustration There are various causes for frustration in the employees. The main causes are: (1) divergent personé unclear relationship and communication, (4) lack of participation, (5) lack of goal integration, (6) lack of freedom, (7) organizational climate. and (8) lack of socialization ty, (2) scarce resow 1. Divergent Personality may be distinct or Employees or persons jivergent personalities. The persons having such personalities do not feel satisfied with the things the others may feel satisfied. They feel themselves to be more special than others. In the reality, such ego or 94 y be sick of fem needs are not satisfied. As a result, they m: 2. Scarce Resources If resource is scarce but competition is high, then there occurs obstruction in achievement of goal in the lack of easy availability of resources, Due to the same obstruction, employees get frustrated. So, limited or scarce resources also become a cause for frustration. position, duties, authorities and In an responsibilities of the employees should be clearly defined. Otherwise, organization, there arises conflict among them. Such conflict may cause frustration in the employees. In an organization if there is no clear communication system among employees, frustration may occur in them due to conflict. Therefore, working procedures, circulars, advices, suggestions and request, ete. should be clear. 4. Lack of Participation: Lack of participation also occurs frustration in employees. They desire to have participation in decision-making and profits. If they cannot get such things, frustration occurs in them.5. Lack of Goal Integration: There should be integration between organizational goals and s of the employees. If it does not occur, the employees be dedicated individual go cannot towards organizational goal. As a rest frustration takes place in them. So, there shou ational goals. In the lack of this, frustration be integration between personal goals and organ ‘occurs in the employees. 6. Lack of Freedom: Employees like t60 work in an organization freely. But, if there is no environment to work freely, then there occurs frustration in them, So, in the lack of freedom, frustration takes place in the employees. 7. Organizational Climate: If the There should be good environment in an organizat behavior of supervisor is not good and co-workers are not helpful, manager does not give credit to the employee for his/her works, and there is no qualitative working condition ete., then the organizational environment becomes adverse. Such adverse environment makes the employees frustrated. 8. Lack of Socialization: In an organization there may be employees belonging different Tanguages, mother tongues, religions, ideas, thoughts, family backgrounds, and so on. Such things bring difference in theit behavior, norms and values. There should be socialization in the organization, 95 and harmony among their values. norms and Lack of socialization orms the lack of socialization behaviors can be the cause of frustration. So, may be the cause for frustration. ] Factors Avoiding Elimination of Frustration Frustration We can correct the situation of frustration by using the various methods / techniques to prevent and side by side managing the situation which can be mentioned as: ‘© Motivating the employees who are frustrated. © Finding the root/cause of frustration and preventing it ‘© Solving the problems of sufferers. © Counseling the sufferers. © Gi surance to the personnel) workers who are under frustration. © Decentralizing the responsibilities, authority, autonomy, etc. Moral and Job Satisfaction Concept If any obstruction does not occur I the course of their work towards goal achievement, the employees get satisfaction from the works. To get full satisfaction from work is called job satisfaction. If the desired output is achieved by working, it is job satisfaction.Job satisfaction is the opposite situation to frustration. If frustration does not occur in performance, job satisfaction is achieved; when job satisfaction is achieved, no frustration takes place. Job satisfaction brings improvement in performance and organizational effectiveness can be achieved. If job satisfactio positive attitude towards felt, the employees accept works and make . Salary, working conditions, supe work group, interesting works, etc. are related to job s Different authors and scholars have defined job satisfaction as follows: According to Stephen P. Robbins, “Job satisfaction is an individual's general attitude towards his/her job.” According to Newstrom and Davis, “Job satisfaction is a set of favorable and unfavorable feelings with which employees view their work, According to F. A Locke, “Job satisfaction is a pleasurable or positive emotional state resulting from the appraisal of one’s job or job experience.” ‘According to Fred Luthans, “Job satisfaction is a result of employees’ perception how well their job provides those things that are viewed as important.” ‘According to Amold and Fieldman, “Job satisfaction is the amount of overall positive feelings that individuals have towards their jobs.” 96 Expectations about the Disewpancie fe—m[ Actual Job = Pay + Pay + Work iselt : + Promotion eS . + Supervisi s + Supervision «Connors + Cosworkers + Working con + Working Sample of Job Satisfai Jdman, there should not be According to Amold and discrepancy between expectations for job and actual job condition for job satisfaction. If there is discrepancy between these two factors, the employees do not feel job satisfaction. If salary, job, promotion, supervision, co-workers and working condition, ete. are as expected and fulfilled, only then the employees feel satisfaction, otherwise they do not. The more discrepancy between expected job and actual job, the greater become dissatisfaction. In conclusion, to get satisfaction by the employees in their works is called job satisfaction. Making positive attitude towards their works by the employees is job satisfaction. If there is not discrepancy between job expectation and actual job, then employees feel job performance and satisfaction. As a result, improvement comes organi tional productivity increases.Determinants / Factors Related to Job Satisfaction There are various factors related to job satisfaction. Among them wages and salary, nature of job. promotion, nature of supervision, working condition, work group, work freedom, reward and punishment, etc. are the main factors. 1. Wages and Salary Employees receive wages and salary for their works done. Wages and salary is the major determined for job satisfaction. This satisfies human needs. If wages and salary is according to qualification, ability and experience and based on the principle of equality and market needs, then the employees feel job satisfaction, otherwise they do not. Wages and saiary is the symbol achievements and source of identify 2, Nature of Job Nature of job is another related factor to job satisfaction, Job should be according to the desire of the employees. The undesired job becomes uninteresting to the employees. Most of the employees desire to perform challenging and interesting job and get job satisfaction. So, for job satisfaction they should be provided desire job. 3. Promotion Promotion is one of the other important related factors to job satisfaction. Promotion means to step up to post from present one. Salary is also increased when promoted to the upper post. Promotion 97 nal status, provides opportunity for challen; 1 in decision-making. So, promotion has increases pos! and opportunity to take pai positive impact on job satisfaction. 4, Nature of Supervision Nature of supervision also affects job satisfaction. The styles of supervision are of two types: (a) democratic, and (b) autocratic. Democratic style of supervision is helpful and employee cantered. The supervisors adopting such style show equal behavior to the employees working under them give importance to their individual interests and participate them in decision making process. Such style increases job satisfaction in the employees. Autocratic style is not helpful to employees. The supervisors adopting such style give importance to directions and orders, and want the employees to perform works under their order, direction and pressure. Such style of supervision bi gs job dissatisfaction employees. 5. Working Condition The another factor related to job satisfaction is working condition. It includes sufficient place, proper decoration, clean and attractive environment, lighted working place, proper temperature, less noise, ete. if the working condition is good, employees get job satisfaction. Otherwise job satisfaction diminishes,6. Nature of Work Group Working group satisfies the need of social interaction of the employees. If the relationship with other co-workers is good, and they are helpful, then every employee feels job satisfaction, otherwise feels dissatisfaction. 7. Work Freedom Work should be challenging and interesting and the employees should feel free to do such work. If there is freedom in performance, the employees feel happy with their achievements and performance and get oppoortunity to fully mobilize their ability and competence Direction, order and intervention in performance diminish job satisfaction, 8. Reward and Pun Implementation of the system of reward and punishment by proper performance appraisal brings improvement in performance. This heightens willpower of the employees. As a result, positive effect comes on job satisfaction. Concept of Performance Appraisal Appraisals are judgments of the characteristics, traits and performance of others. Therefore, performance appraisal is a process of determining how well employees do their jobs (degree of job effectiveness). According to W. F. Cascio, “Performance evaluation is a review of the job-relevant strengths and weakness of ar individual 98. or a team in an organization.” According to Dale S. Beach, “Performance evaluation is the systematic evaluation of in with respect to their performance on the job and their potential for development.” Performance Appraisal may be done by superiors, ates, rating committee and even by oneself. peers, subort Importance / Goal Performance Appraisal Performance appraisal serves many useful purposes. They are: Uses of Performance Appraisal 1. Performance Improvement Job-relatcd strengths and weaknesses of employees are identified. Feedback is given to employees about their performance rating. Performance improvement plan can be worked out to remove performance deficiency for the employee. © Communication improves between managers and employees. 2. Reward Management The results of performance appraisal serve as an objective basis, pkage between for decisions regarding reward and punishment. The “efforts-performance-rewards” increases the motivation of employees for increased efforts. Pay rise is generally based on performance of employees. So are incentives.3. Training and Development Decisions Performance appraisal \dicates performance deficiencies in employees. It serves as a guide for identifying training and development needs. Management Development needs of managers ean also be identified to realize their future potential. 4. Promotion, Transfer, Termination Decisions Performance appraisal results serve as a basis for the following resource decisions. ¢ Promoting outstanding and promising performers for upward movernent in organizational hierarchy © Transfer of employees to achieve a better fir bet and job, ween people Termination Of employee to weed out low performers through dismissal, lay off, or downsizing. 5. Validation of Selection Tests Performance appraisal results can be compared with the scores. of selection tests to find out the validation of selection tests. 6. Supervisory Understanding Periodie performance appraisal encourages supervisors to observe the job performance of their subordinates. They take an interest in helping them. This improves communication and mutual understanding between the supervisor and subordinates Relationships get strengthened. Grievances get reduced. 7. Career planning and Succession planning Performance appraisal facilitates Planning of employees. It helps an employee to assess the effectiveness of his career goals and paths for self-development, ¢ Organizations can use it for succession planning to identify managers who are ready to move into higher positions. 8. Policy Formulation Performance appraisal results provide information for policy Jes can be related to performance appraisal, formulation. Sui promotion, wansfer. training, management development and career development, Process of Performance Appraisal Performance appraisal process generally involves the lowing steps. 1, Set performance Standards: First of all, job performance for each employee and work group should be set. They serve as the criteria of performance —what is to be done and how well it is to be done. They can be in terms of quality, quantity, time, costs etc, 2. Communicate Standards to Employees: The performance standards should be, then, communicated to each employee. The main objectives of standards should be made clear.of the Measure Actual Performance: The actual perfor sof employee during © spe weasured, rc fied period i information for me. tual performance i. Performance observatio i. Internal reports Special reports: Specialists can be hired to provide special report about job performance of employees. Find Dey actual performance i tion (Performance Deficiencies): In this stage. the compared with performance st set in advance. Then the magnitude. nature. causes and incidence of deviations are analyzed. It of The res Discuss Appraisal with the Employe the performance appraisal is discussed wi ployee. T provides performance feedback to the employee. discussion is based on comparing actual results with agreed standards in a constructive manner This is the final stage it Initiate Corrective Action: performance appraisal. Under this, one or more of the following actions is/are initiated. i. Change deviations: Such actions are intended to get things back on the track. 100 to make ther sup grads ds: P n appropriate period. Methods of Performance Appraisal formance standards may be revised for the next 12 assignment: The employee is given a chance for organizations. None should be dismissed or accepted as appropriate they relate to the particular needs of the organization for a particular type of employees. Thus, no one method is always best. Broadly I the methods to appraisal can be classified into: (1) absolute standards, (2) relative standards, and (3) objectives. Appraisal Methods > Relative Standards Objectives Graphic rating seale heel Forced choice Essay method Critical incident nethod f Behaviorally jored rating seales (BARS) a. Group order ranking, vidual ranking, c. Paired comparison a, Management by objectives (MBO)1. Absolute Standards Absolute standards evaluate employees in terms of performance standards without reference to others. This means that fellow employees are not compared with any other persons. Absolute Standards facilitate measurement of performance on number of specific dimensions so that employee can be en more helpful feedback than is generated by comparative procedures. Absolute standards include graphic rating scale, checklist, forced choice, essay appraisal, and behaviorally anchored rating scales (BARS). a) Graphic Rating Seale: The graphic rating scale is the simplest and most popular technique for appraising performance. This method provides some kind of a scale of measuring absolute differences between employees in respect of specific trai canbe used to assess traits such as quantity and quali work, job knowledge, cooperation, 1o; attendance, honesty, integrity, attitudes, and rater evaluates on employee on such performance traits using a continuum made up of clearly defined scale point. Thus, graphic rating scale lists a number of trait and a range of performance value for each trait. The employee is then rated by identifying the score that best describes the level of performance for each trait and computes the employee's numerical score as shown in figure. Instructions: For the following performances factors/traits, please indicate on the rating scale your evaluation of the employees names below: Det Date: 207 / Employee's Name: Rater’s Name: 101 Excellent Good Acceptable Fair Poor 5 4 3 2 1 1. Dependability = ——— § —__ ——— ———- —— 2 tive - = 3 output 4, Attendance — 5. Cooperation ees 20. Quality of work = — Total + * + + ‘Total Score : Graphic Rating Scale 2 scales have several advantages. They are Graphic ra ‘ely easy to develop and use. They are simple which permits rek many employees to be quickly evaluated. They permit quantitativend comparison, There Every type of job can be evaluated with the rating scale the onl Fequirement being that job performance criteria should be changed. method several disadvantages. The descriptive words used in such scales may have different meanings to different raters. This method offers little protection from rating errors such s leniency, severity, central tendency, and Halo errors. The rater’s biases are likely to influence evalu: n, and the jases are particularly pronounced on subjective criteria such s cooperation, attitude and initiative. Cheek List Items < ig i 1. Is the employee really interested in the job? Does he or she knowledge about the job? posses adequate r 4. Does he or she maintain his or her equipment in good condition? cooperate wi is or her attendance satisfactory? Does he or she coworkers? Does he or she keep his/her temper? Does he or she obey orders? Does he or she observe safety precaution? Does he or she complete what he or she pens Hr dt | commences? iy? — 10. Does he or she evade responsi Figure: Sample Checklist Items for Operators 102 b) °) Klist: The checklist is a simple rating method in which ith a series of statement that c the supervisor is provided describe job related behavior. The rater checks off those behavior that apply to employce (rates) and tick the *Yes’ column if the answer to the behavior/statement is positive and ‘No’ column if the answer to the behavior/statement is negative. A typical checklist is given in above figure. Once the checklist is complete, the rater forwards the ist to the human resource department (HRD) where the actual evaluation of the employee takes place. An analyst in the HRD then scores the checklist. When points are allocated to the t, it becomes weighted checklist. The final evaluation check! can then be retuned to the rating manager for discussion with the employee, or someone from the HRD can provide the feedback to the employee. ‘The advantages of a checklist are ease of ‘administration, limited training of raters, and standardization statements! The disadvantages include rater’s biases (especially the halo effect), use of personality criteria instead of terpretation of checklist items. performance criteria, and mi Forced Choice: A force choice method is a special type of checklist in which the rater has to choose between two or more statements. In this, the rater is given a series of statements about an employee. These statements are arranged in blocks oftwo or more and in each block the rater, but only one is actually related to actual job performance. This method is known as forced choice method because the rater is forced to select statement, which are ready-made. Here is a forced choice statement for the job of professor. 1. Patient with slow learner 2. Lectures with confidence 3. Keeps the interest ad attention of the class In the example above statementitem 1 and 2 are socially desirable but has little to do with how effectively a professor teaches, whereas statement 3 is truly diagnostic of good teaching. In this method only items that are important for job performance are scored in determination the performance level of the employee. The major advantage of this method is to reduce personal bias of the rater as the rater does not know the ‘right” answer. Similarly, it helps to control, intentional leniency because the rater is not sure dislike this method because they are forced to make distinction between statements that are difficult to differentiate between. Raters also may feel frustrated with a system where they do not know what a” or “bad” answer. Last but not least, it is represent a “goo difficult to construct and validate the statements under the forced choice method. 103 4) Essay Method: Probably the simplest method of appraisal is to write a short essay describing an employee's performance. Rater describes in his owns words what he perceives about the employees’ performance in essay form. In this method, the rater must describe about the performance of employees within a number f broad categories, such as (1) the rater’s overall impression of the employee's performance, (2) the jobs that the employee is now able or qualified to perform, (3) the strength and weaknesses of the employee, (4) the training and Although, this independently, it is most frequently found in combination with other methods. development. method may be used The major advantage of the essay method is its simplicity. It requires no complex forms or extensive training to complete. It can provide details information that can be a useful basis for personnel decisions. But its weaknesses are many. This method is most subjective. The essay method can consume much time because the rater must collect the information necessary to develop the essay and then write it. Comparison of individuals across the organization is not easy because the essays are unstructured and likely to vary widely in terms of length and content. Another inherent limitation of this method is that the raters may have unequal skills in writing. A skillful writer can present a more dramatic case about an employee than an awkward writer can. Thus, the quality of therati igs depends, not actually on employee performance but on the wi g ability of the rater. As this method provides qualitative data and HRM decisions improve when useful quantitative data are generated, ™ Critical Incidents of a Plant Manager Continuing Targets Critical Incidents | Duties Scheduling Full utilization of [Tastituted new production production for personnel & sched plant machinery in ing system, decreased late orders by plant; orders 10% last month, delivered on time | increased machine utilization in plant by 20% last mor ‘ Supervise Minimize Tet inventory storage procurement of | inventory costs | costs rise by 15% last raw materials and | while keeping | month, over ordered parts inventory control | adequate supplies | “A’ and “B’ by 20% on hand under ordered part °C” ‘Supervise No shut downs | Instituted new preventive machinery due to faulty maintenance system for maintenance machinery plant prevented a machine breakdown by 1g a faulty plant Figure: Critical Incidents of a Plant Manager discov 104 cident method, the idents of the ©) Critical Incident Method: Under critica supervisor continuously records the critical employee performance or work related behavior. It represents an exception behavior of an employee at work. It focuses on certain behavior of an employee that makes the difference between doing a job effectively and doing it ineffectively, Thus, a supervisor/rater keeps a long for each employee, recording behaviors and performance incidents that are particularly effective or ineffective. The supervisor rtes the performance of the employees on the basis of notes taken in the log. Critical focuses on behaviors that judge performance rather than personalities. Examples of critical incidents of a plant manager are given in above figure. One of the advantages of the critical incident method is that the evaluation is based on actual job behavior. The supervisor obtains a great many specific examples of behavior so that his written evaluation provide factual documentation and vague employee is also easy. This method certainly helps in reducing bias in the evaluation. The drawbacks of this method are: (1) it is time consuming and cumbersome for the rater to maintain detailed logs. (2) it is hard to quantify the narrative incidents into a final evaluation. In their narrative form, incidents o not permit comparisons across individuals or departments, (3) negative incidents are generally more noticeable than positive ones.1) Behaviorally Anchored Rating Scales (BARS): Behaviorally anchored rating scales (BARS) combine the major elements of Sraphic rating scale and critical incident methods. These scales are constructed through the use of “critical incident”. Critical incidents are examples of specific job behaviors that determine various levels of performance. They are said to be behaviorally anchored in that the scales represent a range of descriptive Statements of behavior varying from the least to the most effective. Various job dimensions will be identified to form BAR and defined by employees who know the job. There is one scale for each significant broad performance area or job dimension. The form for a BARS usually covers 6 to 10 specially defined performance dimensions, each with various descriptive behaviors. Each dimensions is based on observable behavior and is meaningful to the employees being evaluated A rater must indicate which behavior on scale best describes an employee’s performance. For example, for a managerial position, the significant job dimensions may include: planning, organizing, controlling, leadership, decision making, communication, and coordination. Illustrates a BARS developed for the performance dimension decision making”. The dimension is defined for the rater, the behavior define the particular response categories for the rater, 105 and the response made by the rater is precise and easy to interpret. A Behaviorally Anchored Rating Seale for the Performance Dimension of Decision Making Extremely good 7 Could be expected to conduct performance detailed talks with workers to solve technical problems. Good performance «g Could be expected to take problem to a higher level when problem is beyond his/her own powers to handle Slightly good 5 Could be expected to solve performance problem as they arise, Neither poor nor rn Could be expected to provide 200d performance temporary solutions to problems hat keep appearing. Slightly poor 3 performance Could be expected to make decisions without considering reactions from subordinates. Poor performance A Could be expected to give personal feelings priority when making decisions Extremely poor 7 Could be expected to refuse to make deci performance ions when needed.A number of advantages are associated with the use of BARS. Since job knowledgeable employees participate in the actual development steps. the final evaluation form should be acceptable as a measure of actual performance and a good guage of performance on that job BARS also provide participation to both rater and rate in their development. They become familiar with different aspects of the job as a result of discussions of job dimensions and anchors in small group. Any conflict over the desired performance can be clarified n subsequent discussions. Their participation in the design of BARS ensures their commitment to this method. It can minimize employee's defensive attitudes toward evaluation. BARS are based on job related behavior. Attachment to behavioral anchors to different scales enables the rates to understand what they must do to accomplish desired appraisals. It also provides valuable insight into developing training programs. The skills to be developed are specified in terms of actual behavioral incidents rather than abstract or general skills. The critical incidents along the scale help to clarify what is meant by extremely good performance, good performance, average performance, and so forth. Thus, the 106 evaluation seems to be relatively reliable in that different raters’ appraisal of the same person tent to be similar. Developing a BARS can be a more time consuming and costly than developing other appraisal tools. It would seem that BARS should be superior to other appraisal methods. However, some critics have resented results indicating that the approach is not always the most relevant, stable, and practical These critics also suggest that more research comparing BARS with the other methods is needed. Since BARS are necessarily job related, use of this method may not be practical in many organizations because each job category requires its own BARS. 2. Relative Standards Instead of evaluating employee's performance against established standards, an appraisal system can be based on dividuals are compared with other individuals. These methods are relative rather comparison. In this second category of appraisal methods, than absolute measures. The popular relative methods are group order ranking, individual ranking, and paired comparison. a) Group Order Ranking: in group order ranking the evaluator has to place a fixed number or percentage of employees into each several performance categories. This means that rating is forced to place employees into various classifications. For examples “top one-fifth” or “second one-fifth”. So if'a rater has