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Motivation psychological processes that arouse and direct goal-directed behavior Does high motivation mean better job performance?
A=Yes, B=No Is money the only motivator?

Theories of Motivation
Content Theories
Identify internal factors influencing motivation

Process Theories
Identify the process by which internal factors and cognitions influence motivation

Maslows Need Hierarchy Alderfers ERG McClellands Need Herzbergs MotivatorHygiene

Adams Equity Vrooms Expectancy Goal Setting Theory

Maslows Need Hierarchy Theory

How does the theory work? What research support does this theory have? What are the managerial implications of this theory?

The theory suggests that there are five human needs and that these are arranged in such a way that lower, more basic needs must be satisfied before higher-level needs become activated. The lowest need that is not well gratified will tend to dominate behavior.

Physiological needs refer to satisfying fundamental biological drives (e.g., the need for food, air, water, and shelter). Organizations must provide employees with a salary that affords them adequate living conditions. Similarly, sufficient opportunities to rest (e.g., coffee breaks) and to engage in physical activity (e.g., fitness and exercise facilities) also are important for people to meet these needs. Safety needs refer to the need for a secure environment that is free from threats of physical or psychological harm. Organizations can provide employees with safety equipment, life and health insurance, and security forces. Similarly, jobs that provide tenure and nolayoff agreements provide a psychological security blanket that helps to satisfy safety needs. Social needs are the needs to have friends and to be loved and accepted by other people. Organizations, for example, may encourage participation in social events.

Esteem needs are a persons need to develop self-respect and to gain the approval of othersexamples include the desire to achieve success, have prestige, and be recognized by others. Companies may have award banquets to recognize distinguished achievements. Giving monetary bonuses--even small ones--in recognition of employees suggestions for improvement also helps to promote their esteem. Nonmonetary awards (e.g., trophies and plaques) provide reminders of an employees important contributions as well and continuously fulfill esteem needs. Self-actualization is the need to become all that one can be, to develop ones fullest potential. Individuals who have self-actualized are working at their peak, and they represent the most effective use of an organizations human resources. Although research does not clearly support this theory of motivation, there is one key managerial implication worth noting. A satisfied need may lose its motivational potential. Therefore, managers are encouraged to motivate employees by devising programs or practices aimed at satisfying emerging or unmet needs.

Maslow separated five needs into higher and lower needs Lower physiological, safety Higher social, self esteem, self actualization Higher needs are satisfied internally(inside person) lower needs are satisfied externally pay In order to motivate someone, one need to know in which hierarchy his needs are in and focus on those needs

Employees Varying Needs

ERG theory
Clayton Alderfer reworked this theory ERG three groups of individual needs Existence (physiological and safety) Relatedness (social and status) Growth (self actualization) No hierarchy, all equal needs


Alderfers ERG Theory

Existence: Desire for physiological and materialistic wellbeing Relatedness: Desire to have meaningful relationships with significant others Growth: Desire to grow and use ones abilities to their fullest potential

Two factor theory

Job satisfaction has been associated with positive organizational outcomes Motivation is a primary determinant Psychologist Frederick Herzberg also called motivation hygiene theory Individuals attitude towards work can determine success/ failure His question was what do people want from job? Two factors motivation factors and hygiene factors


Herzbergs Motivator-Hygiene Model

Basic premise: Job satisfaction is not a continuum from satisfied to dissatisfied Rather, there are two continuums No Satisfaction Satisfaction Dissatisfaction No dissatisfaction


Herzbergs Motivator-Hygiene Model

Factors associated with hygienes drop below acceptable levels job dissatisfaction starts Employee is not having job satisfaction, does not mean he is dissatisfied State - not satisfied, not dissatisfied Unproductive stage Managers should recognize these aspects and promote satisfaction and eliminate dissatisfaction


McClellands Need Theory

The Need for Achievement
Desire to accomplish something

The Need for Affiliation

Desire to spend time in social relationships and activities

The Need for Power

Desire to influence, coach, teach, or encourage others to achieve


2004 The McGraw-Hill Companies, Inc. All rights

McClelland identified three needs that individuals have at differing levels. He argued that each of us have these needs but at varying degrees. Those who have a high need for achievement share three common characteristics: a preference for tasks of moderate difficulty, situations in which their performance is due to their own efforts, and a desire for more performance feedback on their successes and failures. Those with a high need for affiliation have a strong desire for approval and reassurance from others, a tendency to conform to the wishes of others when pressured by people whose friendships they value, and a sincere interest in the feelings of others. Finally, those with a high need for power seek to influence and direct others, exercise control over others, and maintain leader-follower relations.

Needs theory
Need for Achievement (nAch) drive to excel , to achieve Need for power (nPow) exercise control Need for affiliation (nAff) desire for friendly and close interpersonal relationship High achievers perform best And are strongly motivated


McClellands Needs Theory in Practice

Is high need for power good or bad?

A= Good, B=Bad, C= It depends

What is the most important need for leaders?

Achievement Affiliation Power

What is the least important?

Achievement Affiliation Power


Test Your Knowledge

A manager made the following work assignments based on her perception of her employees needs. Sam responsible for orienting new employees to the team; Rex responsible for operations of an entire division; Jose researcher in R & D. Which of the following set of pairs below is probably true?
Sam- power; Rex- achievement; Jose- affiliation; Sam affiliation; Rex- power; Jose achievement Sam achievement, Rex affiliation, Jose power Sam achievement; Rex power; Jose - affiliation

Modern theories (process theories)

Cognitive evaluation theory: introduction of extrinsic rewards , such as pay, for work effort that was intrinsically rewarding , tends to decrease the motivation Extrinsic rewards reduces motivation of those individuals who prefer intrinsic rewards


Goal-Setting Theory
Goal what an individual is trying to accomplish

Goal setting theory

Edwin Locke proposed that intention to work toward a goal is the motivation Goals tells employee what needs to be done and how much effort is required
General goals Specific goals

Specific goals produce high level of output Challenging goals get our attention and we work hard to reach it

Management by objectives Peter Drucker
Set goals Time frame Review Feedback on progress

Equity Theory
Employees make comparisons of their job inputs and outcomes relative to those of others We perceive what we get from a job situation in relation to what we put into We compare our outcome input ratio to outcome input ratio relevant of others If we perceive our ratio to be equal to that of the relevant others with whom we compare ourselves, A state of equity exists If ratio is unequal, we experience ratio equity tension


Equity Theory
A. An Equitable Situation



$2 1 hour

= $2 per hour

$4 2 hours

= $2 per hour


Equity Theory
B. Negative Inequity



$2 1 hour

= $2 per hour

$3 1 hour

= $3 per hour


Equity Theory
C. Positive Inequity



$3 1 hour

= $3 per hour

$2 1 hours

= $1 per hour

Employees compares themselves to others in other organizations or present job with past jobs Equity theory focused on distributive justice DJ Employees perceived fairness of the amount and allocation of rewards among individuals (historically) Increasingly equity is thought from the standpoint of organizational justice OJ Employees perceive their organizations as justified, when they believe there is a match between their input and outcome(rewards) Perception plays role here , one feel just , other may not

Under organizational justice , 1)Procedural justice fairness of process used to determine the distribution of rewards 2)interactional justice an individuals perception of the degree to which she / he is treated with dignity, concern and respect When people are treated (perception again) unjust, they start to hate supervisors

(negative attitude developing)

On these forms of justice, distributive justice is most strongly related to job satisfaction with outcomes and organizational commitment Procedural justice relates to strongly to job satisfaction, employee trust and withdrawal from the organization , job performance and citizenship behavior