Jahan University

Bachelor of Business Administration

Department of Business Administration

Subject: Human Resource Management

Lecture# 2 n d
Lecturer: Muzamil Haqmal (MBA HR& Finance)

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Objectives
At the end of this lecture you will be able to learn
1. Concept of motivation
2. Types of motivation
3. Theories of motivation

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Outline of the lecture
Topic 1: Factors Affecting Employees behavior
Topic 2: Types of Motivations
Topic 3 : Theories of Motivation

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 Factors Affecting Employees Behavior

Getting the best out of people is primarily the responsibility of managers and

team leaders by exercising effective leadership.

But it is also the concern of HR specialists who can help to create a work

environment conducive to high performance and can introduce policies and

practices that encourage people to do everything expected of them if not more.

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 Factors Affecting Employees Behavior

1. Motivation – the strength and direction of behavior and the factors that

influence people to behave in certain ways.

2. Commitment – the strength of an individual’s identification with, and

involvement in, an organization.

3. Engagement – a situation in which people are committed to their work and

the organization and are motivated to achieve high levels of performance.

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 Motivation
The term ‘motivation’ derives from the Latin word for movement (mover). A
motive is a reason for doing something.
People are motivated when they expect that a course of action is likely to lead to
the attainment of a goal and a valued reward – one that satisfies their needs and
wants.
Components of motivation are:
1. Direction – what a person is trying to do.
2. Effort – how hard a person is trying
3. Persistence – how long a person keeps on trying
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 Types of Motivation
There are two types of motivations

1. Intrinsic motivation: takes place when individuals feel that their work is important,
interesting and challenging and that it provides them with a reasonable degree of autonomy
(freedom to act), opportunities to achieve and advance, and scope to use and develop their skills
and abilities. It can be described as motivation by the work itself.
◦ Pink (2009) stated that there are three steps that managers can take to improve
motivation:
1. Autonomy
2. Mastery
3. Purpose
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 Types of Motivation
2. Extrinsic motivation: occurs when things are done to or for people in order to
motivate them. These include rewards such as incentives, increased pay,
praise or promotion; and punishments such as disciplinary action,
withholding pay, or criticism.

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 Theories of Motivation
The three main areas of motivation theory –
1. Instrumentality Theory
2. Content Theory
3. Process theory

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 Instrumentality theory
Instrumentality theory states in effect that rewards and punishments are the
best instruments with which to shape behavior.
It assumes that people will be motivated to work if rewards and penalties are
tied directly to their performance.
his theory provides a rationale for financial incentives. It may be successful in
some circumstances, e.g. piece work, merit or performance pay.

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 Content theory
The aim of the content or needs theories was to identify the factors associated with motivation.
The theory focuses on the content of motivation in the shape of needs. Its basis is the belief that an
unsatisfied need creates tension and a state of disequilibrium.
This theory includes the following:
1. Maslow’s hierarchy of needs
2. ERG theory
3. McClelland’s
4. Herzberg’s two-factor model

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Maslow’s hierarchy of needs

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ERG theory

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 McClelland’s Achievement Motivation
An alternative way of classifying needs was developed by McClelland (1961), who based it
mainly on studies of managers. He identified three needs:
1. The need for achievement, defined as the need for competitive success measured against a
personal standard of excellence.
2. The need for affiliation, defined as the need for warm, friendly, compassionate relationships
with others.
3. The need for power, defined as the need to control or influence others.

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 Herzberg’s two-factor model
The two-factor model of motivation developed by Herzberg (1957, 1966) was based on an

investigation into the sources of job satisfaction and dissatisfaction of accountants and engineers

who were asked what made them feel exceptionally good or exceptionally bad about their jobs.

Motivating factors or ‘satisfiers’ relate to the job content and consist of the need for achievement,

the interest of the work, responsibility and opportunities for advancement. These needs are the

intrinsic motivators.

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 Process theory
 In process theory, the emphasis is on the psychological or mental processes and forces that
affect motivation, as well as on basic needs.
It refers to people’s perceptions of their working environment and the ways in which they
interpret and understand it. The main process theories are concerned with
1. Reinforcement,
2. Expectancy,
3. Goals,
4. Equity,
5. Cognitive evaluation.

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 Reinforcement theory
This is the oldest and least complex of the process theories. It is based on ‘the law of effect’.
which states that over time people learn about the relationships between their actions and the
consequences of them and this understanding guides their future behavior. In other words, if they
believe that something has worked previously then they will do it again.

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 Expectancy theory
Expectancy theory states that motivation will be high when people know what they have to do
in order to get a reward, expect that they will be able to get the reward and expect that the reward
will be worthwhile.

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 Equity theory
Equity theory, as defined by Adams (1965), is concerned with the perceptions people have about
how they are being treated as compared with others.
He proposed that employees assess the fairness or otherwise of their rewards (outcomes) in
relation to their effort or qualifications (inputs) and that they do this by comparing their own
input/output ratio against that of other individuals.

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 Cognitive evaluation theory
Cognitive evaluation theory contends that the use of extrinsic rewards may destroy the
intrinsic motivation that flows from inherent job interest.
Its investigated that ‘Rewards, like feedback, when used to convey to people a sense of
appreciation for work well done, will tend to be experienced informational and will maintain or
enhance intrinsic motivation.

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 Motivation and Job Satisfaction
Positive and favorable attitudes towards the job indicate job satisfaction.

Negative and unfavorable attitudes towards the job indicate job dissatisfaction.

The factors that affect job satisfaction Levels of job satisfaction or dissatisfaction
are influenced by:
1. The intrinsic motivating factors.
2. The quality of supervision.
3. Success or failure.

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 Job satisfaction and performance
It is a commonly held and not unreasonable belief that an increase in job satisfaction
results in improved performance.

Research was based on the belief that productivity could be increased by making
workers more satisfied, primarily through pleasant and supportive supervision and by
meeting their social needs.

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 Motivation and Money
Money, in the form of pay or some other sort of remuneration, is regarded by many
people as the most obvious extrinsic reward.

Money can therefore provide positive motivation in the right circumstances not only
because people need and want money but also because it serves as a highly tangible
means of recognition.

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 The Meaning of Organizational
Commitment
Commitment refers to attachment and loyalty. It is associated with the feelings of
individuals about their organization.
1. A strong desire to remain a member of the organization.

2. A strong belief in and acceptance of the values and goals of the organization.

3. A readiness to exert considerable effort on behalf of the organization.

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 Factors affecting Commitments
Kochan and Dyer (1993) indicated that the factors affecting the level of commitment
in what they called ‘mutual commitment firms’ were as follows
1. Strategic level

2. Functional (human resource policy) level

3. Workplace level

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 The Meaning of Employees
Engagement
Engagement takes place when people are committed to their work and the
organization and are motivated to achieve high levels of performance.
Engagement is ‘the individual’s involvement and satisfaction with as well as
enthusiasm for work.
Engagement have three core facets.
1. Intellectual engagement – thinking hard about the job and how to do it better;
2. Affective engagement – feeling positively about doing a good job;
3. Social engagement – actively taking opportunities to discuss work-related
improvements with others at work.

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Drivers of employee engagement
Job challenge
• this takes place when the scope of jobs is broad, job responsibility is high and there is a high work load.

Autonomy
• the freedom, independence and discretion allowed to employees in scheduling their work and determining the
procedures for carrying it out.

Variety
• jobs which allow individuals to perform many different activities or use many different skills.

Feedback
• providing employees with direst and clear information about the effectiveness of their performance.

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Drivers of employee engagement
Fit

• the existence of compatibility between an individual and a work environment (e.g., job,
organization, manager, co-workers) which allows individuals to behave in a manner consistent
with how they see or want to see themselves.

Opportunities for development

• these make work meaningful because they provide pathways for employee growth and fulfilment.

Rewards and recognition

• these represent both direct and indirect returns on the personal investment of one’s time in acting
out a work role.

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 Outcomes of engagement
high levels of engagement have been shown to relate to: lower absenteeism and
higher employee retention.
1. Increased employee effort and productivity;

2. Improved quality and reduced error rates;

3. Increased sales;

4. Higher profitability, earnings per share and shareholder returns;

5. Enhanced customer satisfaction and loyalty;

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 Burnout
Burnout can take place when individuals are placed under too much pressure to
perform. It is sometimes called disengagement.

It is more likely to happen when workers have no control over their work
environment. Burnout can result in failure, absenteeism or leaving the organization.

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Conclusion
1. Concept of motivation
2. Types of motivation
3. Theories of motivation

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References
1. Human Resource Management Book by Hijratullah Tahir

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