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  1. Motivation

  2. What Is Motivation? • Motivation: the willingness to exert high levels of effort to reach organizational goals, conditioned by the effort’s ability to satisfy some individual need

  3. Intrinsic vs. Extrinsic Motivation • Intrinsic Motivation is seen in behavior that is performed for its own sake or from the sense of accomplishment and achievement derived from doing the work itself (e.g., playing music) • Extrinsic Motivation comes from consequences of behavior - material/social rewards or avoiding punishment - and not from the behavior itself (e.g., trash collection) Fundamental distinction. Which one do we want in organizations?

  4. Maslow’s Hierarchy Of Needs Self- Actualization Esteem Social Safety Physiological Research does not support Maslow's model as such, but it highlights that there are different needs that people try to satisfy.

  5. Maslow’s Hierarchy of Needs • Physiological needs: • food, drink, shelter. • Safety needs: • security and protection from physical and emotional harm. • Social needs: • affection, belongingness, acceptance, and friendship. • Esteem needs: • internal esteem factors such as self-respect and achievement as well as external esteem factors such as status and recognition. • Self-actualization needs: • growth, achieving one’s potential; the drive to become what one is capable of becoming.

  6. McClelland’s Needs Theory • Need for achievement (nAch) – • drive to excel, to achieve in relation to a set of standards, and to strive to succeed • Need for affiliation (nAff): • Desire for friendly and close interpersonal relationships • Need for power (nPow): • Need to make others behave in a way that they would not have behaved otherwise - Personalized power – power in pursuit of own goals + Socialized power – power channeled towards constructive improvement of organizations and societies • Best managers tend to be high in the need for power and low in the need for affiliation • Need for achievement may help, or may not

  7. Reinforcement Theory: Link actions and rewards to motivate • Basis: Motivation is driven by external consequences, especially when consequences tightly linked to actions • Four types of reinforcers (consequences): • Positive reinforcement – Rewarding behavior with something pleasant • Negative reinforcement – Rewarding behavior with the elimination of something unpleasant • Punishment – Penalize undesirable behavior • Extinction – Eliminating any reinforcement for undesirable behavior. What reinforcers are most effective? What provides positive reinforcement, other than money?

  8. Reinforcers in depth • Positive reinforcement • Powerful. Use whenever possible. • Punishment • Can cause resentment, loss of self-respect, desire to retaliate • Focus on behavior, not the person • Do it immediately, and privately • Negative reinforcement • Similar risks to punishment • Negative reinforcement = remove something unpleasant in return for functional behavior • Punishment = administer something unpleasant in response to dysfunctional behavior

  9. Expectancy Theory Motivation derives from an “Expectancy Chain” -linkages between effort, performance, and rewards: Expectancy (effort-performance linkage) Instrumentality (performance-reward linkage) Valence (reward-goal linkage) attractiveness / importance of the potential organizational outcome/reward Increase motivation by strengthening linkages Most comprehensive, widely accepted motivational theory Why do I say “Expectancy Chain?”

  10. Expectancy Theory Model:the “Expectancy Chain” Individual Effort Individual Performance Organizational Rewards Individual Goals Expectancy: Effort-performance linkage Valence: Attractiveness Instrumentality: Performance-reward linkage

  11. Example 1 – Expectancy Theory • Jason, an accountant with a large auditing firm, believes that if he works hard during tax season he will process enough accounts to be eligible for a bonus that he would desire very highly. However, even if he reaches the bonus-level quota, he does not think his firm will actually pay out the bonus as promised. As a result, he is not motivated to work hard. Which component of the “expectancy chain” accounts for his low motivation?

  12. Goal-Setting Theory: building commitment to organizational goals • Three basic steps • Set Goals that are motivating • Gain acceptance and commitment to goals • Feedback on progress maintains motivation • Increases: • Effort and persistence • Alignment with organizational goals Most important, valid, and useful single approach to motivating performance

  13. Eg Guidelines for Job Redesign Goal-Setting Theory

  14. Equity Theory or“Mommy, Johnny’s piece of candy is bigger than mine” Equity Theory: Motivation is influenced by social comparison & perceptions of fairness: You compare your situation to a referent (similar) individual Equity = your “outcome to input ratio” matches the referent’s. Overpayment inequity = your ratio is worse (higher) Underpayment inequity = your ratio is better (lower) Inequity motivates most people to restore equity

  15. Decrease inputs Increase outcomes O O --- = --- I I Modify comparison Distort reality Leave the situation Different ways to bring Outcomes (O) into balance with Inputs (I)* * For underpayment inequity