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Chapter 2Engaging and motivating employees and managing organisational change
Copyright ©2010 Pearson Australia (a division of Pearson Australia Group Pty Ltd) – 9781442517981/ Härtel l/Human Resource Management/2nd edition)
Lecture objectives Motivating employees
Positive leaders & positive work environments
Psychological contract
Motivating during times of change
Emotional intelligence
CHRM decision-making framework in action
Conclusion
Copyright ©2010 Pearson Australia (a division of Pearson Australia Group Pty Ltd) – 9781442517981/ Härtel l/Human Resource Management/2nd edition)
Motivating employees Work Motivation is defined as the stimulation of
effort required to achieve and maintain organisational goals
No two people are alike Unique values, attitudes, beliefs, strengths,
expectations and ideas Unlike other resources (financial and technical),
human resources are very difficult to predict
Management must direct employee behaviour towards organisational goals Understanding why people work is essential
to this task
Copyright ©2010 Pearson Australia (a division of Pearson Australia Group Pty Ltd) – 9781442517981/ Härtel l/Human Resource Management/2nd edition)
Motivating employees
Positive leaders: work with employees’ strengths, quickly address negative behaviours that may arise, as part of promoting a PWE.
Positive work environment (PWE): where employees feel supported and fairly rewarded, have self-efficacy and integrity, and perceive an environment of trust and organisational justice.
Copyright ©2010 Pearson Australia (a division of Pearson Australia Group Pty Ltd) – 9781442517981/ Härtel l/Human Resource Management/2nd edition)
Motivating employees through HRM
Intrinsic factors Soft factors (e.g., friendly work environment)
Extrinsic factors Hard factors (e.g., money, status, big office)
A balance between the two is generally preferred
Copyright ©2010 Pearson Australia (a division of Pearson Australia Group Pty Ltd) – 9781442517981/ Härtel l/Human Resource Management/2nd edition)
Hard and Soft HRM paradox
Hard and soft HRM reflect focus on ‘managerial control strategies’ versus the ‘nature of people’
Hard HRM
Humans are viewed as costs (McGregor’s Theory X)
Soft HRM
Humans are viewed as people (Theory Y)
A combination of the two may be used, although soft HRM is preferred as it values people as an organisation’s most valuable assets.
Copyright ©2010 Pearson Australia (a division of Pearson Australia Group Pty Ltd) – 9781442517981/ Härtel l/Human Resource Management/2nd edition)
Integration of hard and soft HRM
Copyright ©2010 Pearson Australia (a division of Pearson Australia Group Pty Ltd) – 9781442517981/ Härtel l/Human Resource Management/2nd edition)
Theories of motivation Traditional views of motivation were based on
scientific management and later on human relations
Content theories: Humans have certain wants and needs that direct behaviour
Process theories: Highlight thought patterns that underlie decisions of whether or not to engage in certain behaviour
Be aware of limitations of each theory
Copyright ©2010 Pearson Australia (a division of Pearson Australia Group Pty Ltd) – 9781442517981/ Härtel l/Human Resource Management/2nd edition)
Maslow’s hierarchy
Copyright ©2010 Pearson Australia (a division of Pearson Australia Group Pty Ltd) – 9781442517981/ Härtel l/Human Resource Management/2nd edition)
Psychological contracts and motivation Psychological contracts: intangible, informal
contracts that the employee perceives constitute their employment relationship
Transactional
Relational
Ideology infused
Psychological contracts can impact upon employees’ discretionary behaviours (and their motivation to work)
Copyright ©2010 Pearson Australia (a division of Pearson Australia Group Pty Ltd) – 9781442517981/ Härtel l/Human Resource Management/2nd edition)
HR ethics, psychological contracts and motivation
Deontological theory: Business is ethical when treating people with respect is the goal.
Utilitarian theory: Business is ethical when people are the means to maximise positive business consequences for the majority of stakeholders (e.g. shareholders)
Stakeholder theory: business is ethical when all stakeholders mutually benefit (e.g. employees, shareholders, customers, suppliers, unions and the local community)
Copyright ©2010 Pearson Australia (a division of Pearson Australia Group Pty Ltd) – 9781442517981/ Härtel l/Human Resource Management/2nd edition)
Organisational justice perceptions
Distributional justice: Justice perceptions regarding the fairness of the distribution of resources within the organisation
Procedural justice: Justice perceptions regarding the procedures that are used within the organisation
Interactional justice: Justice perceptions regarding interpersonal interactions (e.g. honesty, politeness, and dignity)
Especially critical in time of constant changes
Copyright ©2010 Pearson Australia (a division of Pearson Australia Group Pty Ltd) – 9781442517981/ Härtel l/Human Resource Management/2nd edition)
Diversity
Diverse workplaces (e.g. race, gender, sexual orientation, age, disabilities, lifestyle and values)
Key cultural orientations:
Individualists: typically associated with Western cultures such as Australia, U.S. and NZ (Hofstede, 1980); satisfying individual goals
Collectivists: typically associated with Eastern cultures such as China, Thailand and Japan (Hofstede, 1980); seek to benefit the group and community
Copyright ©2010 Pearson Australia (a division of Pearson Australia Group Pty Ltd) – 9781442517981/ Härtel l/Human Resource Management/2nd edition)
Motivation during times of change Organisational change: any alteration which
causes a shift in the status quo, affecting the structure and resources of an organisation
Organisational change affects the ability to engage and motivate employees
Employee motivation levels may change at any time as can the focus of motivation (e.g., productive vs. counterproductive behaviours)
Continual monitoring is necessary
Copyright ©2010 Pearson Australia (a division of Pearson Australia Group Pty Ltd) – 9781442517981/ Härtel l/Human Resource Management/2nd edition)
Types of organisational change
Planned: Any deliberate, structured execution of a shift in the status quo
Unplanned: Unanticipated change which is generally forced upon the company
Incremental: A series of small changes
Radical: Large-scale and drastic change. There are five stages of radical change:
Planning, enabling, launching, catalysing and maintaining
Copyright ©2010 Pearson Australia (a division of Pearson Australia Group Pty Ltd) – 9781442517981/ Härtel l/Human Resource Management/2nd edition)
HRM strategies for change
Change success depends a great deal on the attitude that an organisation adopts towards its employees during the change process.
Change initiatives that adopt a caring attitude towards employees, together with a concern for economic results tend to be more successful than initiatives that simply focus on economic results.
Communication, Voice, and Justice
Cultivation of a culture of emotional awareness (e.g. emotional intelligence)
Copyright ©2010 Pearson Australia (a division of Pearson Australia Group Pty Ltd) – 9781442517981/ Härtel l/Human Resource Management/2nd edition)
The CHRM decision-making framework
Copyright ©2010 Pearson Australia (a division of Pearson Australia Group Pty Ltd) – 9781442517981/ Härtel l/Human Resource Management/2nd edition)
Step 1Screening HR-environmental factors
Monitor/analyse data (past, present and future):
e.g. Unfriendly CEO and senior management in the past; redundancies
Internal/organisational environment:
e.g. Diversity-closed culture (gender bias?)
External environment:
e.g. Stricter Airline Regulations since 2001
Copyright ©2010 Pearson Australia (a division of Pearson Australia Group Pty Ltd) – 9781442517981/ Härtel l/Human Resource Management/2nd edition)
Step 2Detect HR potential problem or opportunity
Lack of employee motivation
Low absenteeism and high turnover
Gender discrimination claims
Copyright ©2010 Pearson Australia (a division of Pearson Australia Group Pty Ltd) – 9781442517981/ Härtel l/Human Resource Management/2nd edition)
Step 3Verify /falsify potential problem or opportunity
Motivational factors
Management style
Redundancy effects
Copyright ©2010 Pearson Australia (a division of Pearson Australia Group Pty Ltd) – 9781442517981/ Härtel l/Human Resource Management/2nd edition)
Step 4Devise plan and success criteria
Change the management style to develop respect for and trust from employees
Ask employees what motivates them to work (learn about their values)
Identify employees’ thoughts, fears and concerns relating to the redundancies
Identify and address areas where employees perceive discrimination
Copyright ©2010 Pearson Australia (a division of Pearson Australia Group Pty Ltd) – 9781442517981/ Härtel l/Human Resource Management/2nd edition)
Step 5Implement the plan
Develop an employee motivation, perceived discrimination and redundancies related questionnaire within 4 weeks
Have employees answer the questionnaire within the following 2 weeks
Once the questionnaire content is analysed, change management styles to respond to needs in the areas of perceived gender discrimination, redundancy effects and motivation
Copyright ©2010 Pearson Australia (a division of Pearson Australia Group Pty Ltd) – 9781442517981/ Härtel l/Human Resource Management/2nd edition)
Step 6Evaluate against success criteria
Distribute the questionnaire on an annual basis and examine trends
Identify percentage of reduction in employee absenteeism, turnover and discriminatory claims
Copyright ©2010 Pearson Australia (a division of Pearson Australia Group Pty Ltd) – 9781442517981/ Härtel l/Human Resource Management/2nd edition)
Conclusion
Engaging and motivating employees is an important part of the SHRM process
People work (and are motivated) for different reasons
Positive leaders, psychological contracts and cultural orientations are all critical in motivating and engaging employees in their work
Organisational change can impact on employee motivation and behaviour
HR managers must continually monitor the workplace
Copyright ©2010 Pearson Australia (a division of Pearson Australia Group Pty Ltd) – 9781442517981/ Härtel l/Human Resource Management/2nd edition)
The Psychological Contract from two perspectives – leader and employee
http://www.youtube.com/watch?v=EUdH9KmWenc&feature=related
http://www.youtube.com/watch?v=iD9jLSWUlC8&feature=related
Models of Motivation
http://www.youtube.com/watch?v=CF2c1q_OvdE
http://www.youtube.com/watch?v=o87s-2YtG4Y
http://www.youtube.com/watch?v=fd3-Esb-m3o&feature=related
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