Chapter 11: Motivation

• What is motivation?

  Motivation is the desire of workers to do a job quickly and efficiently.
• Importance of Motivation

  Increases productivity, improves quality, reduces absenteeism, lowers costs and labour turnover
• Define content Theories of motivation and give an example.

  They explore what internal factors drive peoples behaviour and enjoyment

  Example: Mayo's Theory, Maslow's Theory, Taylor Theory and Herzberg's Theory
• What are the indicators of low motivation

  Absenteeism

  Poor performance

  Labour turnover

  Complaints

  Poor response rate
• Human needs are factors that motivate a worker to do better at work.
• How can a human be satisfied at work?

  Social connection

  Recognition

  Security

  Challenge
• Explain Taylor's Theory + Limitation

  He took a scientific approach of observing workers to identify how the most efficient workers achieve productivity. He then broke the task down into smaller parts so it can reach output targets quicker and easier, and then devised a pay scheme of piece rate

  
  

  Limitation: Not everyone's desire is money, It is repetitive and can lead to quality problems -> labour turnover
• Explain Maslow's Theory + Limitation


  He devised the 5-stage hierarchy of needs that go through the basic and highest level of needs of a worker.

  Limitation: Not every worker has the same 5 stages of needs. Some may be just content with money
• Explain Mayo's Theory+ Limitations


  He studied the impact of work conditions and how it affects employee productivity. The two conditions he came up with were the physical and environmental influences and the psychological aspects. Ex: breaks and working hours. He concluded that the phycological aspects are more important as they increase productivity.

  
  

  Limitation: managers turned his theory into bland ideas such as social clubs and football teams at work.
• Explain Herzberg's Theory + Limitations


  He discovered that working conditions have to be present, or employee motivation will decrease. But this doesn't insure that there will be higher productivity. He called them hygiene and motivation factors.

  Limitation: It's only applicable to certain types of jobs
• Define piece rate


  payment to a worker for each unit produced
• Define self-actualisation 


  It is the highest level of development, where someone has reached their full potential
• What are motivating factors


  Aspects of a workers job that can lead to positive job satisfaction
• Hygiene factors


  Aspects of a workers job that have the potential to cause dissatisfaction
• Job enrichment


  gives workers the opportunity to do more challenging and fulfilling work

  
  

  Pro: Enrichment raises worker’s motivation levels

  
  

  Con: Can the principles of job enrichment be applied to all varieties of workers’ jobs?
• Salary


  an annual income that is usually paid on a monthly basis
• McClelland's Theory


  He developed achievement-based motivational theory & promoted improvements in employees assesment methods
• 3 types of motivational need :

  Achievement motivation

  Authority/power motivation

  Affiliation motivation
• Define process theories of motivation

  These theories focus on the mechanism by which we choose a certain behavior and the thought process that influences that behavior.
• Vroom’s Expectancy Theory:

  VALENCE

  the depth of the want of an employee for an extrinsic reward, such as money, or an intrinsic reward such as satisfaction.

  EXPECTANCY

  the degree to which people believe that putting effort into work will lead to a given level of performance

  INSTRUMENTALITY

  the confidence of employees that they WILL get what they desire


  
  

  If any one of the above is missing, workers will not have the motivation to do well
• Vrooms expectancy theory


  suggestes that individuals choose to behave in ways that they believe will lead to outcomes they value.
• Vroom’s theory states that individuals have different sets of goals and can be motivated if they believe that

  There is a positive link between effort & performance.

  Favorable performance will result in a desirable reward.

  The reward will satisfy an important need.

  The desire to satisfy the need is strong enough to make the work effort worthwhile.
• What is the difference between the content theory of

  motivation and the process theory of motivation?

  • Content theories focus on what motivates people, such as needs, values, and goals. Process theories focus on how people make decisions and how they are influenced by their environment.
• job enlargement

  Attempting to increase the scope of a job by broadening or deepening the tasks undertaken

  Pro: Enlargement may reduce boredom

  Con: Enlargement does not increase empowerment or responsibility for the work being performed
• job rotation

  Increasing the flexibility of the workforce and the variety of work they do by switching from one job to another

  Pro: Rotation may relieve boredom

  Con: Rotation does not increase empowerment or responsibility for the work being performed
• Quality circles

  voluntary groups of workers who meet regularly to discuss work-related problems and issues

  
  

  Benefit :- Quality circles are a successful method

  of allowing the participation of all staff
• Time rate

  payment to a worker made for each hour worked.
• Commision

  a payment to a salesperson for each sales made.
• Bonus(performance related pay)


  reward staff for above-average work performance. This is usually in

  addition to the salary.
• Profit sharing


  bonus for staff based on the profits of the business

  Shareholders might object as this might reduce profit for them.

  Reduces the profit retained for expansion.

  Since the profit sharing is in proportion to basic salary this amount

  might not be significant enough to motivate workers.
• performance related pay


  a bonus scheme to reward employees for above-average work performance
• fringe benefits


  benefits given separate from pay
• job redesign


  restructuring of a job to make the work more interesting and satisfying
• promotion


  the advancement of an employee whithin a business to a higher level of responsibility and status
• teamworking


  production is organised so groupa of workers undertake complete units of work
• development


  the gaining of new or advanced skills and knowledge and the ability to apply it
• empowerment


  the giving of skills, resources and authority to employees so they can take decsions and accountability
• participation


  actve encouragement of employees to become involved in decision making