applied performance

Upload: ashashyam

Post on 21-Feb-2018

230 views

Category:

Documents


0 download

TRANSCRIPT

  • 7/24/2019 Applied Performance

    1/33

    Chapter 6 Applied Performance Practices

    APPLIED PERFORMANCEPRACTICES

    LEARNING OBJECTIVESAfter reading this chapter, students should be able to:

    Explain how money and other financial rewards affect our needs, attitudes, and social identity.

    Discuss the advantages and disadvantages of the four reward obectives.

    !dentify two team and four organi"ational level performance#based rewards.

    Describe five ways to improve reward effectiveness.

    Discuss the advantages and disadvantages of ob speciali"ation.

    Diagram the ob characteristics model of ob design.

    !dentify three strategies to improve employee motivation through ob design.

    Define empowerment and identify strategies to support empowerment.

    Describe the five elements of self#leadership.

    Explain how mental imagery improves employee motivation.

    CHAPTER GLOSSARY

    autonomy $he degree to which a ob gives employees

    the freedom, independence, and discretion to scheduletheir wor% and determine the procedures used in

    completing it.

    balanced scorecard A reward system that pays

    bonuses to executives for improved measurements on a

    composite of financial, customer, internal process, and

    employee factors.

    employee stock ownership plans (ESOPs) A reward

    system that encourages employees to buy shares of thecompany.

    empowerment A psychological concept in which

    people experience more self#determination, meaning,

    competence, and impact regarding their role in the

    organi"ation.

    6

    163

  • 7/24/2019 Applied Performance

    2/33

    Part & !ndividual 'ehaviour and Processes

    gainsharing plan A reward system thatrewards team members for reducing costsand increasing labour eciency in theirwork process.

    job characteristics model A ob design model that

    relates the motivational properties of obs to specific

    personal and organi"ational conse(uences of those

    properties.

    job design $he process of assigning tas%s to a ob,

    including the interdependency of those tas%s with other

    obs.

    job enlargement !ncreasing the number of tas%s

    employees perform within their ob.

    job enrichment Employees are given more

    responsibility for scheduling, coordinating, and

    planning their own wor%.

    job evaluation )ystematically evaluating the worth ofobs within an organi"ation by measuring their re(uired

    s%ill, effort, responsibility, and wor%ing conditions. *ob

    evaluation results create a hierarchy of ob worth.

    job feedback $he degree to which employees can tell

    how well they are doing based on direct sensory

    information from the ob itself.

    job rotation $he practice of moving employees from

    one ob to another.

    mental imagery +entally practicing a tas% and

    visuali"ing its successful completion.

    motivatorhygiene theory er"berg-s theory statingthat employees are primarily motivated bygrowth and esteem needs, not by lower-level needs.

    O open-book management Involvessharing nancial information withemployees and encouraging them torecommend ideas that improve thosenancial results.

    proft sharing A reward system that paysbonuses to employees based on theprevious years level of corporate prots.

    scientifc management Involvessystematically partitioning work into itssmallest elements and standardiing tasks

    to achieve ma!imum eciency.

    sel-leadership"he process of in#uencingoneself to establish the self direction andself-motivation needed to perform a task.

    sel-talk"alking to ourselves about ourown thoughts or actions for the purpose ofincreasing our self-ecacy and navigatingthrough decisions in a future event.

    skill variety"he e!tent to whichemployees must use di$erent skills andtalents to perform tasks within their %ob.

    skill-based pay &ay structures in whichemployees earn higher pay rates accordingto the number of skill modules they havemastered.

    stock options A reward system that givesemployees the right to purchase companyshares at a future date at a predeterminedprice.

    task identity"he degree to which a %obre'uires completion of a whole or anidentiable piece of work.

    task signifcance"he degree to which the%ob has a substantial impact on theorganiation and(or larger society.

    job specialiation $he result of division of labour in

    which each ob includes a subset of the tas%s re(uired to

    complete the product or service.

    CHAPTER SYNOPSIS

    +oney and other financial rewards are a fundamental

    part of the employment relationship. $hey potentially

    fulfil existence, relatedness, and growth needs. +oney

    generates various emotions and attitudes, which vary

    164

  • 7/24/2019 Applied Performance

    3/33

    Chapter 6 Applied Performance Practices

    across cultures. People particularly men/ also tend to

    identify themselves in terms of their wealth.

    0rgani"ations reward employees for their

    membership and seniority, ob status, competencies, and

    performance. +embership#based rewards may attract

    ob applicants and seniority#based rewards reduce

    turnover, but these reward obectives tend todiscourage turnover among those with the lowest

    performance. 1ewards based on ob status try to

    maintain internal e(uity and motivate employees to

    compete for promotions. owever, ob status#based

    rewards are inconsistent with mar%et#responsiveness,

    encourage employees to compete with each other, and

    can lead to organi"ational politics. Competency#based

    rewards are becoming increasingly popular because

    they improve wor%force flexibility and are consistent

    with the emerging idea of employability. 'ut

    competency#based rewards tend to be subectively

    measured and can result in higher costs as employees

    spend more time learning new s%ills.Awards2bonuses, commissions, and other individual

    performance#based rewards have existed for centuries

    and are widely used. +any companies are shifting to

    team#based rewards such as gainsharing plans, and to

    organi"ational rewards such as employee stoc%

    ownership plans E)0Ps/, stoc% options, profit sharing,

    and balanced scorecards. E)0Ps and stoc% options

    create a ownership culture, but employees often

    perceive a wea% connection between individual

    performance and the organi"ational reward.

    3inancial rewards have a number of limitations, but

    there are several ways to improve reward effectiveness.

    0rgani"ational leaders should ensure that rewards are

    lin%ed to wor% performance, rewards are aligned with

    performance within the employee-s control, team

    rewards are used where obs are interdependent,

    rewards are valued by employees, and rewards do not

    have unintended conse(uences.

    *ob design refers to the process of assigning tas%s to

    a ob, including the interdependency of those tas%s with

    other obs. *ob speciali"ation subdivides wor% into

    separate obs for different people. $his increases wor%

    efficiency because employees master the tas%s (uic%ly,

    spend less time changing tas%s, re(uire less training,

    and can be matched more closely with the obs best

    suited to their s%ills. owever, ob speciali"ation may

    reduce wor% motivation, create mental health problems,

    lower product or service (uality, and increase coststhrough discontentment pay, absenteeism, and turnover.

    Contemporary ob design strategies reverse ob

    speciali"ation through ob rotation, ob enlargement,

    and ob enrichment. $he ob characteristics model is a

    template for ob redesign that specifies core ob

    dimensions, psychological states, and individual

    differences. 0rgani"ations introduce ob rotation to

    reduce ob boredom, develop a more flexible

    wor%force, and reduce the incidence of repetitive strain

    inuries. $wo ways to enrich obs are clustering tas%s

    into natural groups and establishing client relationships.

    Empowerment is a psychological concept

    represented by four dimensions4 self#determination,meaning, competence, and impact regarding the

    individual-s role in the organi"ation. !ndividual

    characteristics seem to have a minor influence on

    empowerment. *ob design is a maor influence,

    particularly autonomy, tas% identity, tas% significance,

    and ob feedbac%. Empowerment is also supported at

    the organi"ational level through a learning orientation

    culture, sufficient information and resources, and

    corporate leaders who trust employees.

    )elf#leadership is the process of influencing oneself

    to establish the self#direction and self#motivation

    needed to perform a tas%. $his includes personal goal

    setting, constructive thought patterns, designing natural

    rewards, self#monitoring, and self#reinforcement.

    Constructive thought patterns include self#tal% and

    mental imagery. )elf#tal% refers to any situation in

    which a person tal%s to him# or herself about his or her

    own thoughts or actions. +ental imagery involves

    mentally practicing a tas% and imagining successfully

    performing it beforehand.

    POWERPOINTSLIDES

    Canadian Organizational Behaviourincludes a complete set of +icrosoft PowerPoint5files for each chapter. Please

    contact your +craw#ill 1yerson representative to find out how instructors can receive these files./ !n the lecture

    outline that follows, a thumbnail illustration of each PowerPoint slide for this chapter is placed beside the corresponding

    165

  • 7/24/2019 Applied Performance

    4/33

    Part & !ndividual 'ehaviour and Processes

    lecture material. $he slide number helps you to see your location in the slide show se(uence and to s%ip slides that you

    don-t want to show to the class. $o ump ahead or bac% to a particular slide, ust type the slide number and hit the Enter

    or 1eturn %ey./ $he transparency masters for this chapter are very similar to the PowerPoint files.

    166

  • 7/24/2019 Applied Performance

    5/33

    Chapter 6 Applied Performance Practices

    LECTURE OUTLINE (wit P!w"#P!i$t%&i'"%

    A))&i"' P"#*!#+,$-"P#,-ti-"%

    S&i'" 1

    W"%tJ"t .!ti/,t"%E+)&!0""%

    S&i'"

    T" .",$i$2 !* .!$"0

    S&i'" 3

    !PP"#E$ PE%&O%'!E P%!*#ES

    OPE#+ ,#+E**E- .ES*/E*0S S1ESS

    .est/et employees are highly motivated through profit sharing and

    stock options2 empowerment2 job design2 and self3leadership7 1ewards4 )hare corporate rewards

    7 Empowerment4 ave autonomy to serve guests

    7 *ob Design4 Perform a variety of tas%s

    7 )elf#leadership4 +anage their own performance

    *4E 'E!#+ O& 'OE5

    &inancial rewards are a fundamental part of the employment

    relationship

    7 Concept of economic exchange can be found acrosscultures

    'oney and Employee eeds

    7 +oney affects our existence, growth needs as well as our

    innate drive to ac(uire

    7 $hose with a need for achievement ## value money as a

    source of feedbac% and indicator of goal achievement

    7 +oney identified as one of the top three factors that attract

    individuals to wor% for an organi"ation

    16

  • 7/24/2019 Applied Performance

    6/33

    Part & !ndividual 'ehaviour and Processes

    'oney !ttitudes and ,alues

    7 +oney brings out strong emotions 8mainly negative e.g.

    anxiety, depression, anger and helplessness

    7 Cultural values influence attitudes toward money e.g.Australia-s egalitarian values discourage people from

    tal%ing about money and displaying wealth

    7 +oney ethic ## the extent to which people believe4

    ## money is not evil

    ## money is a representation of success

    ## money should be budgeted carefully

    'oney and Social3#dentity

    7 People identify themselves in terms of how much money

    they have ac(uired and dispersed

    +oney tends to be a higher priority for men than women

    T0)"% !* R"w,#'% i$ t"W!#)&,-"

    S&i'" 4

    ."+"#%i)S"$i!#it0R"w,#'%

    S&i'" 5

    *5PES O& %E.!%$S # *4E .O%6P"!E7 3our types ## membership2seniority, ob status,

    competencies, and performance

    7 0rgani"ations use a variety of rewards to attract, motivate

    and retain employees.

    'E'7E%S4#P !$ SE#O%#*537!SE$%E.!%$S

    'ost common reward 33 fi8ed wages2 seniority increases

    !dvantages

    7 uaranteed wages may attract ob applicants

    7 )eniority#based rewards reduce turnover

    $isadvantages

    7 Do not directly motivate ob performance

    7 Discourage poor performers from leaving voluntarily +ay act as golden handcuffs

    167

  • 7/24/2019 Applied Performance

    7/33

    Chapter 6 Applied Performance Practices

    J! St,t8% R"w,#'%

    S&i'" 6

    /O7 S*!*1S37!SE$ %E.!%$S7 *ob evaluation 8 estimates ob worth by measuring the

    ob9s re(uired s%ill, effort, responsibility, and wor%ing

    conditions to7 )ome ob status per(uisites ## exec. dining room, larger

    office, company#paid car

    !dvantages-

    7 *ob evaluation tries to maintain pay e(uity

    7 +otivates employees to compete for promotions

    $isadvantages-

    7 Employees exaggerate duties, hoard resources

    7 Creates psychological distance from executives

    !nconsistent with mar%et#responsive organi"ations with

    few layers of hierarchy that encourage initiative from all

    employees

    C!+)"t"$-09,%"'R"w,#'%

    S&i'"

    O'PE*E537!SE$ %E.!%$S

    Pay increases with competencies ac9uired and demonstrated

    7 0rgani"ations are shifting from ob status to rewarding

    employees for their s%ills, %nowledge and other

    competencies that lead to superior performanceSkill3based pay 33 pay increases with number of skill modules

    learned2 even though only one skill area performed at a time

    !dvantages

    7 +ore flexible, multis%illed wor% force

    7 'etter product2service (uality

    7 Consistent with employability

    $isadvantages

    7 Competencies may become subective personality

    assessments ## s%ill#based plans are more obective

    7 !ncreases training costs

    16:

  • 7/24/2019 Applied Performance

    8/33

    Part & !ndividual 'ehaviour and Processes

    P"#*!#+,$-"9B,%"'R"w,#'%

    S&i'" 7

    PE%&O%'!E37!SE$ %E.!%$S

    #ndividual %ewards

    7 Awards and bonuses ## achieving a performance goal or for

    individual tas% accomplishment

    7 Commissions ## earnings based on sales volume

    7 Piece rate pay ## pay per number of units produced

    *eam %ewards

    7 'onuses ## team paid lump sum for reaching targets

    7 ainsharing plans 8 paid to the team based on cost

    reductions and increased labour efficiency

    0pen#boo% management 8 encourages employees to thin%

    of financial performance as a game they can play and win

    Organiational %ewards

    7 Employee share ownership plans ## employees own

    company stoc% ## some employees own company

    7 Profit sharing ## employees receive share of profits

    7 )toc% options ## right to purchase company stoc% at a

    future date at a predetermined price

    : 'alanced scorecard8 rewards for improving composite

    results financial, customer, internal processes, employee/

    E**"-ti/"$"%% !*P"#*!#+,$-" R"w,#'%

    S&i'" :

    Effectiveness of Performance3based %ewards

    7 E)0Ps, share options and balanced scorecard create an

    :ownership culture; 8 employees feel aligned to the

    organi"ation-s success

    7 Profit sharing ## automatically adusts pay with the firm9s

    prosperity

    1;

  • 7/24/2019 Applied Performance

    9/33

    Chapter 6 Applied Performance Practices

    Problems .ith Performance37ased %ewards

    . 1ewards discourage ris% ta%ing

    ## people do only what is needed to attain reward

    I+)#!/i$2 R"w,#'E**"-ti/"$"%%

    S&i'" 1;

    #mproving %eward Effectiveness

    < ?in% rewards to performance better performers should be

    rewarded more than those with poorer performance/

    ## increases P#to#0 expectancy

    ## problems with organi"ational politics and difficulty

    measuring performance

    & Ensure rewards are relevant

    ## reward outcomes within employee-s control

    ## adust for situational factors ## e.g. effect of economy

    on sales

    =. @se team rewards for interdependent obs

    ## easier to measure team output than individual

    ## increases cooperation and reduces competitiveness

    ## increases employee preferences for team#based wor%

    >. Ensure rewards are valued

    ## people have different needs and wants

    . Batch out for unintended conse(uences

    ## difficult to anticipate effect of rewards on behaviour

    11

  • 7/24/2019 Applied Performance

    10/33

    Part & !ndividual 'ehaviour and Processes

    J! D"%i2$

    S&i'" 11

    E/,&8,ti$2 J!S)"-i,&i hours per wee% and doubled

    salaries of employees

    1

  • 7/24/2019 Applied Performance

    11/33

    Chapter 6 Applied Performance Practices

    Problems with job specialiation doesn0t always improve job

    performance due to-

    . Bor% (uality ## small part of total ob performed, so can-t

    identify with customer needs

    . Bor% motivation ## overloo%s ob content as motivator

    /O7 $ES#+ !$ .O%6 'O*#,!*#O

    &rederick 4erberg

    7 Proposed the idea that ob content motivates, whereas

    extrinsic conditions hygienes/ prevent dissatisfaction

    J! C,#,-t"#i%ti-% .!'"&

    S&i'" 13

    /ob haracteristics 'odel (4ackman and Oldham)

    #dentifies five core job characteristics2 three psychological states2 and

    individual moderators

    ore job characteristics

  • 7/24/2019 Applied Performance

    12/33

    Part & !ndividual 'ehaviour and Processes

    >. Autonomy ## freedom, independence, and discretion

    # e.g. employees not boss/ ma%e decisions

    . *ob feedbac% ## degree that employees receive ob

    performance information from the ob itself# e.g. airline pilots %now good landings

    ritical Psychological States

  • 7/24/2019 Applied Performance

    13/33

    Chapter 6 Applied Performance Practices

    J! R!t,ti!$ /%>E$&,#2"+"$t

    S&i'" 16

    B; /ob enlargement

    7 Combines several tas%s into one ob

    7 !mproves wor% efficiency and flexibility

    7 !mproves ob satisfaction and performance when combinedwith more autonomy and ob %nowledge

    C; /ob enrichment

    7 !ncreasing employee meaningfulness and responsibility

    : Establishing client relationships 8 putting employees in direct

    contact with their clients

    $ends to improve (uality, ob satisfaction, wor% motivation

    and reduce absenteeism and turnover

    Di+"$%i!$% !*E+)!w"#+"$t

    S&i'" 1

    E'PO.E%'E* P%!*#ESEmpowerment is a psychological concept with four dimensions-

  • 7/24/2019 Applied Performance

    14/33

    Part & !ndividual 'ehaviour and Processes

    S"&*9L",'"#%i)

    S&i'" 17

    SE"&3"E!$E%S4#P

    *he process of influencing oneself to establish the self3direction and

    self3motivation needed to perform a task

  • 7/24/2019 Applied Performance

    15/33

    Chapter 6 Applied Performance Practices

    TRANSPARENCY .ASTERS

    $ransparency 6#

  • 7/24/2019 Applied Performance

    16/33

    Part & !ndividual 'ehaviour and Processes

    employee factors i.e. a balanced, systemic

    approach vs. over#emphasi"ing only one or two of

    the above factors.

    1esponses will vary, however, following are some

    sample measurements4

    &inancial;# !ncreasing enrolment

    # !ncreasing revenue

    ustomer;

    # !mproving student satisfaction

    # !ncreasing student retention

    #nternal Processes;

    # !mproving timeliness of information availability

    e.g. Access to student records

    Employee;

    # !mproving staff2instructor satisfaction

    # !ncreasing staff retention2reducing turnover

    =. !nuvi% $ire Corp. has redesigned its production

    facilities around a team#based system. owever,

    the company president believes that employees will

    not be motivated unless they receive incentives

    based on their individual performance. ive three

    explanations why !nuvi% $ire should introduce

    team#based rather than individual rewards in this

    setting.

    !nuvi% $ire should definitely use team rather than

    only individual rewards in this situation. 0ne

    reason is that the company probably won-t be able

    to identify or measure individual contributions very

    well in the redesigned production facility.

    Even if !nuvi% $ire could distinguish individual

    performance, it should use team incentives because

    they tend to ma%e employees more cooperative and

    less competitive. People see that that their bonuses

    or other incentives depend on how well they wor%

    with cowor%ers, and they act accordingly.

    $he third reason for having team rewards in team

    settings is that they influence employee preferences

    for team#based wor% arrangements. !f !nuvi% $ire

    wants employees to accept and support the team#

    based structure, a team#based reward system would

    help to increase that acceptance.

    >. Bhat can organi"ations do to increase the

    effectiveness of financial rewardsI

    "ink rewards to performance; @se obective

    performance criteriaF ensure rewards are timely and

    significant enough to create positive emotions.

    Ensure rewards are relevant; 1eward people for

    performance within their control2influence and be

    ready to adust performance measures due to

    factors beyond employees- control.

    Ensure rewards are valued; now your

    employee and what you need and want.

    .atch out for unintended conse9uences; @se

    pilot proects to test the impact the reward will

    have on employees and ma%e changes before

    implementing throughout the organi"ation.

    . +ost of us have watched pi""as being made while

    we are waiting to pic% up a pi""a from a pi""a

    shop. Bhat level of ob speciali"ation do you

    usually notice in these operationsI Bhy does this

    high or low level of speciali"ation existI !f some

    pi""a shops have different levels of speciali"ation

    than others, identify the contingencies that might

    explain these differences.$he answer to this (uestion partly depends on how

    pi""as are made in your area. 0ur nonsystematic

    observations of pi""a#ma%ing is that, in busy pi""a

    places, several people are assigned to specific

    tas%s. 0ne person prepares the doughF one or more

    people fill the orders puts ingredients on the pi""a

    and places it in the conveyor or fixed oven/F

    someone else unloads, cuts, and boxes the coo%ed

    pi""as. $he person operating the cash register

    usually has the pi""a unloading tas%. 0ther people

    perform the pi""a delivery tas%.

    $his relatively high level of speciali"ation occursbecause it increases efficiency. $ime is saved

    because employees don-t change tas%s. $hey

    develop their s%ills (uic%ly in their assigned tas%

    an important issue where pi""a shops rely on

    students and other temporary part#time staff/. $his

    speciali"ation also allows the store to assign people

    to tas%s for which they demonstrate the best s%ill..

    3or example, some people have better coordination

    at tossing the pi""a dough so it spreads out evenly.

    0thers have good physical strength to cut pi""as.

    )tudents will probably identify different degrees of

    speciali"ation than we have noted here. )mallerpi""a shops may be operated by two people who

    share most tas%s except delivery/. $hey might

    both prepare the pi""as as well as load and unload

    them from the oven.

    $echnology may also play a role in the division of

    labour. Conveyor#type ovens uncoo%ed pi""a is

    placed on one end and coo%ed pi""a comes out the

    other end/ would allow two people to load and

    17

  • 7/24/2019 Applied Performance

    17/33

    Chapter 6 Applied Performance Practices

    unload the pi""as, respectively. A fixed oven

    where the pi""a is loaded in and pulled out/ might

    wor% better with one person because he2she %eeps

    trac% of the coo%ing time.

    ?astly, some students might note that obs are

    generally speciali"ed but there is ob rotation

    throughout the shift. $his might occur to minimi"e

    boredom and avoid repetitive strain inuries.

    6. Can a manager or supervisor :empower; an

    employee. Discuss fully.

    Empowerment refers to a feeling of control and

    self#efficacy that emerges when people are given

    power in a previously powerless situation.

    Empowered people are given autonomy ## the

    freedom, independence, and discretion over their

    wor% activities. $hey are assigned tas%s that have

    high levels of tas% significance ## importance to

    themselves and others. !n summary, empowermentis a psychological concept. A supervisor or

    manager cannot directly empower an employee,

    however, they can create a wor% environment

    where employees are more li%ely to experience

    empowerment. )ome of these initiatives include4

    # Ensuring employees have the necessary

    competencies to be effective

    # 1educing bureaucratic control

    # Designing obs that provide tas% significance

    and tas% identify

    # Ensuring employees have the information andresources they need

    # Appreciating learning and recogni"ing mista%es

    are part of the learning employees

    # $rusting employees

    G. Describe a time when your practised self#

    leadership to successfully perform a tas%. Bith

    reference to each step in the self#leadership

    process, describe what you did to achieve this

    success.

    $his (uestion provides the opportunity for students

    to reflect on their own application and experience

    with self#leadership. !ncreasingly, corporate

    leaders desire to hire employees with the ability to

    demonstrate self#leadership. 1eflecting on a time

    when you demonstrated self#leadership and

    describing your behaviours will prepare you torespond to an interview (uestion designed to assess

    this valued competency.

    1esponses will vary. 3ollowing are some

    considerations that an organi"ational recruiter may

    loo% for4

    Personal goal setting; Establishing goals that

    were specific, results#oriented and challenging.

    onstructive thought patterns; Engaging in

    positive self tal% and2or using mental imagery to

    visuali"e successful completion of a tas%.

    $esigning natural rewards; Considering yourown needs and preferences to ma%e your ob more

    motivating and satisfying.

    Self3monitoring; eeping trac% of your progress

    and2or ensuring you received feedbac% needed to

    enhance your performance.

    Self3reinforcement. @sing self#induced forms of

    positive reinforcement to reward yourself for

    completing a tas% or achieving a goal.

    H. Can self#leadership replace formal leadership in an

    organi"ational settingI

    )elf#leadership is an applied performance practice

    that enhances and supports formal leadership in an

    organi"ation.

    )elf#leadership is a process where people regulate

    their own actions and manage themselves most of

    the time. Effective formal leadership practices will

    still be needed in certain situations to ensure

    alignment of individual and team results with

    organi"ational goals.

    1:

  • 7/24/2019 Applied Performance

    18/33

    PHOTO CAPTION CRITICAL THIN@ING

    ?UESTIONS

    I@EA R"w,#'%

    K4 @nder what conditions would money notmotivate

    employeesI

    A4 $his is an interesting (uestion for class discussion

    because it brings out the complex meaning of money

    compared with nonfinancial rewards. $he answer partly

    depends on what needs are related to money. )tudents

    should identify that money fulfills physiological and

    safety needs. )ome will also point out that money can

    relate to status, so fulfills some aspects of relatedness

    needs. !t is more difficult to see how money fulfills

    growth needs, so people with high growth needs would

    be less motivated by money. !ndeed, research on peoplewith high need for achievement supports this view ##

    high need achievers might value money as an indicator

    of their success, but money is a wea% motivator for

    them.

    .i" J8%t Wi$"+,"#K4 'ased on the ob characteristics model, why is +i%e

    *ust highly motivated by his wor%I

    A4 +i%e *ust is motivated because his ob is enriched

    rather than ust enlarged. $he tas%s have more than ust

    s%ill variety. $hey also cluster together as a natural

    wor% unit. *ust is involved in the entire process of winema%ing, from planting grapes to selling the wine to

    customers. e has strong tas% identity and apparently

    tas% significance from this wor%.

    R,$' ."#-,$t B,$

    K4 !n what way does 1and-s :'oo% of 1ules;

    symboli"e and support empowermentI

    A4 $he blan% :'oo% of 1ules; symboli"es the notion

    that rand merchant 'an% gives employees the autonomy

    to ma%e their own rules when serving clients. $he tas%

    characteristics of autonomy is one of the most

    important influences on employee feelings of

    empowerment.

    Si#i8% C!$%8&ti$2 G#!8)

    K4 Along with self#set goals, what other self#leadershippractices would improve the ob performance of

    account managersI

    A4 $o answer this (uestion, students need to thin% about

    all elements of the self#leadership model in the context

    of account managers. 'asically, every element applies

    to some degree. Account managers can benefit from

    constructive thought patterns by building their self#

    efficacy through positive self#tal% and clarifying the

    tas% through mental imagery. $hey can try to re#arrange

    their obs to maximi"e rewards, and can engage in self#

    reinforcement by :ta%ing; rewards after completing

    tas%s. )elf#monitoring can also occur, although this isless clear.

    .

  • 7/24/2019 Applied Performance

    19/33

    ACTIVITY 6>1 CASE ANALYSIS

    THE REGENCY GRAND HOTEL

    C,%" S0$!)%i%

    $he 1egency rand otel was one of 'ang%o%-s most

    prestigious hotels when it was recently sold to a large

    American hotel chain. *ohn 'ec%er, an American with

  • 7/24/2019 Applied Performance

    20/33

    empowered ob. ?ow self#efficacy results in a

    lower E#to#P expectancy.

    P#to#0 expectancy also had an adverse effect on

    employee motivation. Employees who tried

    empowerment experienced negative outcomes

    from their supervisors, and possibly from

    customers. Bhile 'ec%er initially supported

    employee empowerment, he later retreated to his

    office, thereby providing less favorable outcomes

    to employees to too% initiative. 0verall, employees

    stopped ta%ing initiative because both their E#to#P

    and P#to#0 expectancies decreased.

    E%+Feeds 4ierarchy theories. )ome students

    might apply content motivation theories to explain

    part of this case. )pecifically, they might suggest

    that most regency employees have low growth

    needs because they were comfortable with the

    previous leadership, which did not offer much ob

    challenge. $his point may be true for someemployees, but several regency staff members D!D

    try to apply empowerment, suggesting that they

    had some degree of growth need strength.

    +oreover, content theories generally explain what

    needs people possess, not what behaviours they

    engage in.

    7ehaviour modification. $his case can also be

    discussed in terms of behaviour modification

    covered earlier in this boo%/. $he supervisors

    either punished or provided extinction

    reinforcement to employees who engaged in

    empowerment practices.

    Stress management. )ome employees (uit or

    increased their absenteeism because they

    experienced higher levels of stress. )everal

    stressors explain the causes of this stress4

    #ole$related stressors## ambiguous expectations

    and practices about how to engage in

    empowerment

    %nterpersonal stressors8 Employees experiencedincreasing conflict with management.

    Organizational stressors8 !t is possible that the

    purchase of the regency as well as subse(uent

    changes probably added to stress, but this issue

    isn-t certain.

    =; 1ecommend solutions that overcome or minimi"e

    the problems and symptoms in this case.

    )tudents might identify a variety of

    recommendations for this content#rich case. )ome

    might suggest that 'ec%er or his successor, as

    some students doubt that 'ec%er has any credibilitynow/ re(uires sessions in cultural sensitivity.

    0thers suggest that empowerment will wor% at the

    regency if employees are given clearer instruction

    and training, and employees see role model

    examples of empowerment. !t might also be useful

    to introduce the process slowly so employees have

    time to adust with less stress.

    $he empowerment intervention is a maor form of

    organi"ational change, so students who have read

    that chapter would recommend a number of change

    management initiatives, including coercion to

    supervisors who do not :get on board; the change

    effort.

  • 7/24/2019 Applied Performance

    21/33

    ACTIVITY 6> TEA. EERCISE

    IS STUDENT WOR@ ENRICHED

    P8#)!%"$his exercise is designed to help students learn how to

    measure the motivational potential of obs and to

    evaluate the extent that obs should be further enriched.

    I$%t#8-ti!$%

    'eing a student is li%e a ob in several ways. )tudents

    have tas%s to perform and someone such as your

    instructor/ oversees their wor%. Although few peoplewant to be students most of their lives the pay rate is

    too lowM/, it may be interesting to determine how

    enriched is a student-s ob.

    Step A- )tudents are placed into teams preferably > or

    people/.

    Step B- Bor%ing alone, each student completes both

    sets of measures in this exercise. $hen, using the

    guidelines provided, they individually calculate the

    score for the five core ob characteristics as well as the

    overall motivating potential score for the ob.

    Step C- +embers of each team compare theirindividual results. $he group should identify differences

    of opinion for each core ob characteristic. $hey should

    also note which core obs characteristics have the

    lowest scores and recommend how these scores could

    be increased.

    Step D- $he entire class will now meet to discuss the

    results of the exercise. $he instructor may as% some

    teams to present their comparisons and

    recommendations for a particular core ob

    characteristic.

    C!++"$t% t! I$%t#8-t!#%

    $his exercise is self#explanatory. $he answer %ey is

    provided in the textboo% for students to score their ownresults.

    )tudents tend to enoy this exercise because it forces

    them to evaluate something that is central to them

    particularly full#time students/. 'e prepared for some

    searching (uestions about why some instructors don-t

    ma%e student wor% more enrichedM ere are some

    discussion activities for this exercise.

    4>6 5>4 4>:

    MPS 156 1;6 146 17

  • 7/24/2019 Applied Performance

    22/33

    ACTIVITY 6>3 SEL9ASSESS.ENT

    WHAT IS YOUR ATTITUDE TOWARD .ONEY

    P8#)!%"$his exercise is designed to help students to understand

    the types of attitudes toward money and to assess their

    attitude toward money.

    O/"#/i"w+oney is a fundamental part of the employment

    relationship, but it is more than ust an economic

    medium of exchange. +oney affects our needs, our

    emotions, and our self#perception. People hold a variety

    of attitudes towards money. 0ne set of attitudes,

    %nown as the :money ethic;, is measured in this self#

    assessment.

    I$%t#8-ti!$%)tudents are as%ed to read each of the statements in the

    survey instrument and circle the response that they

    believe best reflects their position regarding each

    statement. )tudent then use the scoring %ey in Appendix

    ' to calculate their results., or they can have the results

    self#scored by using the student CD.

    Feed#ack fr t$e Mney Attitude ScaleNL0$E4 $he following information is also provided in Appendix ' and2or the )tudent CD.O $his self#assessment

    generates considerable interest among my students, not surprising given the interest that most people have about money.

    $his money attitude scale estimates the person-s overall :money ethic; as well as scores on its three dimensions4

    money as power2prestige, retention time, and money anxiety. Each subscale has a potential score ranging from > to &

    pointsF the overall money attitude scale has a range from to &. $he average score among a sample of

    +'A students was

  • 7/24/2019 Applied Performance

    23/33

    .!$"0 A$Fi"t0People with higher scores on this dimension tend to

    view money as a source of anxiety. )cores on this

    subscale range from > to &. $he average score among

    a sample of +'A students was

  • 7/24/2019 Applied Performance

    24/33

    S-!#" I$t"#)#"t,ti!$

    41 t! 6; Hi2 +!$"0 "ti- %-!#"

    35 t! 4; .!'"#,t" +!$"0 "ti- %-!#"

    16 t! 34 L!w +!$"0 "ti- %-!#"

  • 7/24/2019 Applied Performance

    25/33

  • 7/24/2019 Applied Performance

    26/33

    ACTIVITY 6>4 SEL9ASSESS.ENTASSESSING YOUR SEL9LEADERSHIP

    P8#)!%"$his exercise is designed to help students understand

    self#leadership concepts and to assess their self#leadership tendencies.

    O/"#/i"w ,$' I$%t#8-ti!$%)elf#leadership is the process of influencing yourself to

    establish the self#direction and self#motivation needed

    to perform a tas%. !t recogni"es that individuals mostly

    regulate their own actions through various behavioural

    and cognitive thought/ activities.

    )tudents are as%ed to individually read each of the

    statements in the instrument and select the response that

    they believe best reflects their position regarding each

    statement.

    Feed#ack fr t$e Self%Leaders$i& ScaleNL0$E4 $he following information is also provided in the )tudent CD.O $he six components of self#leadership measured

    in this scale are personal goal setting, mental practice, designing natural rewards, self#monitoring, self#reinforcement,

    and cueing strategies. !t is very useful for students to complete this self#assessment before any lecture or discussion of

    the topic because students pay much more attention to the details after estimating their own score.

    $he following table applies to all self#leadership

    subscales.

    S-!#" I$t"#)#"t,ti!$

    13 t! 15 Hi2 %-!#"

    7 t! 1 A/"#,2" %-!#"

    3 t! L!w %-!#"

    P"#%!$,& G!,& S"tti$2)elf#leadership includes the practice of setting your

    own performance#oriented goals and, more specifically,

    establishing specific, challenging, and relevant goals.)cores on this subscale range from = to

  • 7/24/2019 Applied Performance

    27/33

    ."$t,& P#,-ti-"+ental practice called mental imagery in the textboo%/

    involves mentally rehearsing future events. +ental

    practice includes thin%ing through the activities

    re(uired to perform the tas%, anticipating obstacles to

    goal accomplishment, and wor%ing out solutions tothose obstacles before they occur. +entally wal%ing

    through the activities re(uired to accomplish the tas%

    helps us to see problems that may occur. )cores on this

    subscale range from = to

  • 7/24/2019 Applied Performance

    28/33

    ACTIVITY 6>5 SEL9ASSESS.ENT

    STUDENT E.POWER.ENT SCALE

    P8#)!%"$his exercise is designed to help students understandempowerment and to assess their own empowerment as

    a student.

    O/"#/i"w ,$' I$%t#8-ti!$%Empowerment is a psychological concept represented

    by feelings of self#determination, meaning,

    competence, and impact. $he empowerment concept

    applies to people a variety of situations not ust thewor%place. $his self#assessment is specifically adapted

    to the position of student at this college or university.

    )tudents are as%ed to read each statement in this

    instrument and select the response that best indicates

    the degree to which they personally agree or disagree

    with that statement. )tudents need to complete each

    item honestly to get the best estimate of their level of

    empowerment. $his instrument has

  • 7/24/2019 Applied Performance

    29/33

  • 7/24/2019 Applied Performance

    30/33

    SUPPLE.ENTAL LECTURE THE TROUBLE

    WITH REWARDS

    Performance#based reward systems have become

    tremendously popular, but a few scholars claim that

    these incentives might do more harm than good for

    organi"ations. 0ne strong critic of wor%place rewards is

    Alfie ohn, an educational researcher and writer.

    Although ohn identifies many concerns, he mainly

    lin%s reward systems to the behaviour modification

    problems that we discussed earlier in this boo%. e

    even suggests that praise is unhealthy when applied as

    reinforcer. ohn-s five main arguments against the use

    of performance#based rewards are as follows4

    & #ewards punish## ohn suggests that there are

    punitive features built into every reward. 3irst,

    when rewarding people, we are also demonstrating

    our control over them. $his can eventually assume

    a punitive (uality by ma%ing the reward recipient

    feel subservient. )econd, after being rewarded,

    employees come to expect that reward in the

    future. !f their expectation is not met, they feel

    punished.

    & #ewards rupture relationships## ohn complains

    that individual rewards create ealousies and

    competition. $eam rewards aren-t any better,

    because they encourage peer pressure. !n other

    words, rewards usually lead to feelings in ine(uity

    see Chapter =/ because people invariably compare

    their rewards to others. 1ewards also create a

    psychological distance between the person giving

    and receiving the reward. $a%en together, rewards

    disrupt the collaboration needed for organi"ational

    learning.

    & #ewards ignore reasons## Employers need to

    spend time discovering the cause of behaviour

    problems. !nstead, according to ohn, they use

    incentives as (uic% fixes. Be can see this in

    situations where companies use incentives for the

    most trivial reasons. 3or example, an Ari"onacompany hands out cash to employees who arrive

    early at company meetings and fines those who

    arrive late. $he company would be better off

    identifying the causes of lateness and changing the

    conditions, rather than use money to force a

    solution to the problem.

    & #ewards discourage risk$taking## ohn cites

    evidence that rewards motivate people to do

    exactly what is necessary to get the reward and

    nothing more. !ncentives dampen creativity

    because employees no longer explore new

    opportunities outside the realm of rewarded

    behaviour or results. !n other words, rewardsmotivate employees to get rewards, not to discover

    better ways to help the organi"ation.

    & #ewards under'ine intrinsic 'otivation## ohn-s

    greatest concern with reward systems is that they

    %ill a person-s motivation found in the wor% itself.

    $his intrinsic motivation relates to fulfilling growth

    needs, which are the most powerful and sustaining

    sources of motivation see Chapter =/. ohn

    reports studies indicating that employees are less

    intrinsically motivated to perform a tas% after they

    have received an extrinsic reward for performing

    the tas%. Critics point out that these studies werenot conducted in real wor% situations. owever,

    until more precise research indicates otherwise, we

    should be concerned about the ris% of losing

    intrinsic motivation when extrinsic rewards are

    introduced.

    )ources4 A. ohn, :Challenging 'ehaviorist Dogma4

    +yths About +oney and +otivation,; Co'pensation

    and Benefits #eview, = +arch

  • 7/24/2019 Applied Performance

    31/33

    SUPPLE.ENTAL LECTURE TAS@ VERSUS

    @NOWLEDGE ENLARGE.ENT

    *ob enlargement involves increasing the number of

    tas%s employees perform within a ob. $his is a well

    %nown concept in organi"ational behaviour, yet few

    scholars have considered that there are at least two

    ways to enlarge a ob, and that these different strategies

    can have dramatically different effects on employee

    motivation and performance.

    +ichael Campion and Carol +cClelland have

    introduced the distinction between knowledge

    enlarge'entand task enlarge'ent. $hey define tas%

    enlargement as :adding re(uirements for doing other

    tas%s on the same product.; $his is the type of

    enlargement we typically thin% about when discussing

    the concept of ob enlargement. 0ur textboo% example

    ## an assembly line wor%er performs seven or eight

    tas%s rather than ust two ## refers to tas% enlargement

    because the employee engages in new behaviours

    around the same product.

    nowledge enlargement is a different ## and

    appropriately contemporary ## way of thin%ing about

    ob enlargement. nowledge enlargement is defined as

    :adding re(uirements to the ob for understanding

    procedures or rules relating to different products sold

    by the organi"ation;. !n other words, %nowledge

    enlargement involves giving employees moreinformation to thin% about in their obs. A customer

    service representative, for example, might have a

    :%nowledge enlarged; ob if he2she is given more

    product groups to sell or describe to clients.

    Lotice that %nowledge enlargement does not

    specifically involve performing additional behaviours.

    1ather, the employee must thin% about additional

    information when performing the ob. $he customer

    service representative still calls clients, fills out order

    forms, etc., but now must thin% about features of the

    product groups added to his2her list

    Effects on 'otivation and Performance

    Be %now from previous research that ob enlargement

    tends to increase the motivating potential of obs by

    increasing s%ill variety. 'ut do %nowledge and tas%

    enlargement have different effectsI

    According to Campion and +cClelland-s research,

    there are important differences. !n a study of clerical

    employees in a large financial services company, they

    reported that tas% enlargement had mainly adverse

    effects whereas %nowledge enlargement had mainly

    positive effects on employee motivation and

    performance. $as% enlargement reduced employee

    satisfaction, efficiency, and customer service. !t

    increased mental overload and the number of errors.

    nowledge enlargement had the opposite effects.

    ere are four possible reasons why %nowledge

    enlargement has positive effects on employee

    motivation and performance.

  • 7/24/2019 Applied Performance

    32/33

    Part & !ndividual 'ehaviour and Processes

    VIDEO SUGGESTIONS

    Along with the video cases for this part of the textboo%, the following videos and films generally relate to one or more

    topics in this chapter. $hese programs may be available at your college2university or rented from the distributor. Please

    contact your film librarian to determine the availability of these programs at your institution. $his list was compiled

    from library holdings of several universities. Due to the variety of video material, this is not a comprehensive list. Lor

    can we say that all of the programs below are suitable for your class.

    .hatGs ew in Empowerment- Peter Huarry

    interviews $ennis /affe;

  • 7/24/2019 Applied Performance

    33/33

    NOTES