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Foundations of Employee Motivation
McGraw-Hill/IrwinMcShane/Von Glinow OB 5e Copyright © 2010 by The McGraw-Hill Companies, Inc. All rights reserved.
Employee Motivation and Engagement at Rackspace
Rackspace hosting has a highly motivated and engaged workforce by rewarding performance, fulfilling personal needs, and providing strengths-based feedback.
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Motivation Defined
The forces within a person that affect the direction, intensity, and persistence of voluntary behavior
Exerting particular effort level (intensity), for a certain amount of time (persistence), toward a particular goal (direction).
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Employee Engagement
Emotional and cognitive motivation, self-efficacy to perform the job, a clear understanding of one’s role in the organization’s vision and a belief that one has the resources to perform the job
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Drives and Needs
Drives (aka-primary needs, fundamental needs, innate motives)• Neural states that energize individuals to correct deficiencies
or maintain an internal equilibrium• Prime movers of behavior by activating emotions
Self-concept, social norms,and past experience
Drives(primary needs)
NeedsDecisions
and Behavior
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Drives and Needs
Needs• Goal-directed forces that people experience. • Drive-generated emotions directed toward goals• Goals formed by self-concept, social norms, and experience
Self-concept, social norms,and past experience
Drives(primary needs)
NeedsDecisions
and Behavior
5-6
Self-Self-actual-actual-izationization
PhysiologicalPhysiological
SafetySafety
BelongingnessBelongingness
EsteemEsteem
Seven categories capture most needs
Five categories placed in a hierarchy
Need toNeed toknowknow
Need for Need for beautybeauty
Maslow’s Needs Hierarchy Theory
5-7
Maslow’s Needs Hierarchy Theory
Lowest unmet need has strongest effect
When lower need is satisfied, next higher need becomes the primary motivator
Self-actualization -- a growth need because people desire more rather than less of it when satisfied
Self-Self-actual-actual-izationization
PhysiologicalPhysiological
SafetySafety
BelongingnessBelongingness
EsteemEsteem
Need toNeed toknowknow
Need for Need for beautybeauty
5-8
Evaluating Maslow’s Theory
Lack of support for theory
People have different hierarchies – don’t progress through needs in the same order
Needs change more rapidly than Maslow stated
Self-Self-actual-actual-izationization
PhysiologicalPhysiological
SafetySafety
BelongingnessBelongingness
EsteemEsteem
Need toNeed toknowknow
Need for Need for beautybeauty
5-9
What Maslow Contributed to Motivation Theory
More holistic• Integrative view of needs
More humanistic• Influence of social
dynamics, not just instinct
More positivistic• Pay attention to strengths,
not just deficiencies
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What’s Wrong with Needs Hierarchy Models?
Wrongly assume that everyone has the same needs hierarchy (i.e. universal)
Instead, likely that each person has a unique needs hierarchy• Shaped by our self-concept --
values and social identity
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Learned Needs Theory
Needs are amplified or suppressed through self-concept, social norms, and past experience
Therefore, needs can be “learned” (i.e. strengthened or weakened through training)
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Three Learned Needs
Need for achievement• Need to reach goals, take responsibility • Want reasonably challenging goals
Need for affiliation• Desire to seek approval, conform to others wishes,
avoid conflict• Effective executives have lower need for social approval
Need for power• Desire to control one’s environment• Personalized versus socialized power
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Four-Drive Theory
Drive to BondDrive to Bond
Drive to LearnDrive to Learn
• Drive to form relationships and social commitments• Basis of social identity
• Drive to satisfy curiosity and resolve conflicting information
Drive to DefendDrive to Defend• Need to protect ourselves• Reactive (not proactive) drive• Basis of fight or flight
Drive to AcquireDrive to Acquire• Drive to take/keep objects and experiences• Basis of hierarchy and status
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Features of Four Drives
Innate and hardwired• everyone has them
Independent of each other• no hierarchy of drives
Complete set• no drives are excluded from the model
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How Four Drives Affect Motivation
1. Four drives determine which emotions are automatically tagged to incoming information
2. Drives generate independent and often competing emotions that demand our attention
3. Mental skill set relies on social norms, personal values, and experience to transform drive-based emotions into goal-directed choice and effort
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Four Drive Theory of Motivation
Social norms, personal values, and experience transform drive-based emotions into goal-directed choice and effort
Drive to Acquire
Social norms
Drive to Bond
Drive to Learn
Drive to Defend
Personal values
Past experience
Mental skill set resolves competing drive demandsMental skill set resolves
competing drive demandsGoal-directed
choice and effortGoal-directed
choice and effort
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Implications of Four Drive Theory
Provide a balanced opportunity for employees to fulfil all four drives
• employees continually seek fulfilment of drives• avoid having conditions support one drive more
than others
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E-to-PExpectancy
P-to-OExpectancy
Outcomes& Valences
Outcome 1Outcome 1+ or -+ or -
EffortEffort PerformancePerformance
Outcome 3Outcome 3+ or -+ or -
Outcome 2Outcome 2+ or -+ or -
Expectancy Theory of Motivation
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Increasing E-to-P and P-to-O Expectancies
Increasing E-to-P Expectancies• Assuring employees they have competencies• Person-job matching • Provide role clarification and sufficient resources• Behavioral modeling
Increasing P-to-O Expectancies• Measure performance accurately• More rewards for good performance• Explain how rewards are linked to performance
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Increasing Outcome Valences
Ensure that rewards are valued
Individualize rewards
Minimize countervalent outcomes
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Making Every Day Count in NYC
New York City mayor Michael
Bloomberg has challenging goals
to accomplish, and he doesn’t
want any of his remaining tenure
wasted. Bloomberg had special
clocks installed in a dozen city
government offices that count
down how many days remain in
his mayoral term.
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Goal Setting
The process of motivating
employees and clarifying their role
perceptions by establishing
performance objectives
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Effective Goal Setting CharacteristicsSpecific -- measureable change within a time frame
Relevant – within employee’s control and responsibilities
Challenging – raise level of effort
Accepted (commitment) – motivated to accomplish the goal
Participative (sometimes) – improves acceptance and goal quality
Feedback – information available about progress toward goal
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Characteristics of Effective Feedback
1. Specific – connected to goal details
2. Relevant – Relates to person’s behavior
3. Timely – to improve link from behavior to outcomes
4. Sufficiently frequent• Employee’s knowledge/experience• task cycle
5. Credible – trustworthy source
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Feedback Through Strengths-Based Coaching
Maximizing the person’s potential by focusing on their strengths rather than weaknesses
Motivational because:• people inherently seek feedback about their
strengths, not their flaws• person’s interests, preferences, and competencies
stabilize over time
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Multisource Feedback
Received from a full circle of people around the employee
Provides more complete and accurate information
Several challenges
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Evaluating Goal Setting and Feedback Goal setting has high validity and
usefulness Goal setting/feedback limitations:
• Focuses employees on measurable performance
• Motivates employees to set easy goals (when tied to pay)
• Goal setting interferes with learning process in new, complex jobs
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Keeping Pay Equitable at Costco
Costco Wholesale CEO Jim Sinegal
(shown in this photo) thinks the large
wage gap between many executives
and employees is blatantly unfair.
“Having an individual who is making
100 or 200 or 300 times more than
the average person working on the
floor is wrong,” says Sinegal, whose
salary and bonus are a much smaller
multiple of what his staff earn.
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Organizational Justice
Distributive justice• Perceived fairness in
outcomes we receive relative to our contributions and the outcomes and contributions of others
Procedural justice• Perceived fairness of the
procedures used to decide the distribution of resources
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• • EmotionsEmotions
• • AttitudesAttitudes
• • BehaviorsBehaviors
DistributionPrinciples Distributive Distributive
JusticeJusticePerceptionsPerceptions
Procedural Procedural JusticeJustice
PerceptionsPerceptions
StructuralRules
SocialRules
Organizational Justice Components
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Elements of Equity Theory
Outcome/input ratio • inputs -- what employee contributes (e.g., skill)• outcomes -- what employee receives (e.g., pay)
Comparison other• person/people against whom we compare our ratio• not easily identifiable
Equity evaluation• compare outcome/input ratio with the comparison
other
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Correcting Inequity Feelings
Reduce our inputs Less organizational citizenship
Increase our outcomes Ask for pay increase
Increase other’s inputs Ask coworker to work harder
Reduce other’s outputsAsk boss to stop giving other preferred treatment
Change our perceptionsStart thinking that other’s perks aren’t really so valuable
Change comparison otherCompare self to someone closer to your situation
Leave the field Quit job
Actions to correct inequity Example
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Equity Sensitivity
Outcome/input preferences and reaction to various outcome/input ratios
Benevolents• tolerant of being underrewarded
Equity Sensitives• want ratio to be equal to the comparison other
Entitleds• prefer proportionately more than others
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Evaluating Equity Theory
Good at predicting situations unfair distribution of pay/rewards
Difficult to put into practice• doesn’t identify comparison other• doesn’t indicate relevant inputs or outcomes
Equity theory explains only some feelings of fairness • procedural justice is as important as distributive
justice
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Procedural Justice
Perceived fairness of procedures used to decide the distribution of resources
Higher procedural fairness with:• Voice• Unbiased decision maker • Decision based on all information• Existing policies consistently• Decision maker listened to all sides• Those who complain are treated respectfully • Those who complain are given full explanation
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Foundations of Employee Motivation
5-37McGraw-Hill/IrwinMcShane/Von Glinow OB 5e Copyright © 2010 by The McGraw-Hill Companies, Inc. All rights reserved.
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