Unit 5 Motivation Theories
Unit 5 Motivation Theories
FEATURES OF MOTIVATION
The following are the features of motivation:
• It is an internal feeling and forces a person to action.
• It is a continuous activity.
• It varies from person to person and from time to time.
• It may be positive or negative.
IMPORTANCE OF MOTIVATION
Motivation is an important part of managing process. A team of highly qualified and motivated
employees is necessary for achieving objectives of an organization because of the following
reasons:
• Motivated employees make optimum use of available resources for achieving objectives.
• Motivation is directly related to the level of efficiency of employees.
• Motivated employees make full use of their energy and other abilities to raise the existing
level of efficiency.
• Motivated employees make goal-directed efforts. They are more committed and
cooperative for achieving organizational objectives.
• Motivated employees are more loyal and sincere to an organization. These factors help
reduce absenteeism and labor turnover.
• Motivation is considered as a backbone of good industrial relations.
• Effectively motivated employees get more job satisfaction and possess high morale.
• Motivation also helps in improving the image of an organization.
The motivation process begins with identification of individual needs. For example, when an
employee feels underpaid then what, then he tries to fulfill his needs by asking for a raise or by
working harder to earn a raise or by seeking a new job. He then chooses to pursue one or more of
these options for instance, working harder while simultaneously looking for a job. If his hard
work resulted in a pay rise, he probably feels satisfied and will continue to work hard. But if no
raise has been provided he is likely to try another option. Since people have many different
needs, the satisfaction of one need or set of needs is likely to give rise to the identification of
other needs. Thus, the cycle of motivation is constantly repeated.
Understanding human motivation is crucial for managing people. Extensive research has been
performed to find out what makes people work and how to motivate them. This includes
managers, social scientists, behaviorists and psychologists. A number of theories have been
developed, even though there is no universally acceptable motivation theory. Understanding
these theories facilitates the managers to get a better insight into the human behavior.
NEED-BASED THEORIES TO MOTIVATION
Need-based theories try to answer the question, "what factor(s) motivate people to choose certain
behaviors?" Some of the widely known need-based theories are as follows:
(a) Maslow's Hierarchy of Needs
Maslow Abraham proposed his theory in the 1940s. This theory, popularly known as the
Hierarchy of Needs assumes that people are motivated to satisfy five levels of needs:
physiological, security, belongingness, esteem and self-actualization needs. The figure 9.1 shows
Maslow's hierarchy of needs.
Maslow suggested that the five levels of needs are arranged in accordance with their importance,
starting from the bottom of the hierarchy. An individual is motivated first and foremost to satisfy
physiological needs. When these needs are satisfied, he is motivated and 'moves up' the hierarchy
to satisfy security needs. This 'moving up process continues until the individual reaches the self-
actualization level.
Physiological needs represent the basic issues of survival such as food, sex, water and air. In
organizational settings, most physiological needs are satisfied by adequate wages and by the
work environment itself, which provides employees with rest rooms, adequate lighting,
comfortable temperatures and ventilation.
Security or safety needs refer to the requirements for a secure physical and emotional
environment. Examples include the desire for adequate housing and clothing, the need to be free
from worry about money and job security and the desire for safe working conditions. Security
needs are satisfied for people in the work place by job continuity, a grievance resolving system
and an adequate insurance and retirement benefit package.
Belonging or social needs are related to the, social aspect of human life. They include the need
for love and affection and the need to be accepted by one's peers. For most people these needs
are satisfied by a combination of family and community relationships and friendships on the job.
Managers can help ensure the 'satisfaction of these important needs by allowing social
interaction and by making employees feel like part of a team or work group.
Esteem needs actually comprise of two different sets of needs:
• The need for a positive self-image and self-respect.
• The need for recognition and respect from others.
Organizations can help address esteem needs by providing a variety of external symbols of
accomplishment such as job titles and spacious offices. At a more fundamental level,
organizations can also help satisfy esteem needs by providing employees with challenging job
assignments that can induce a sense of accomplishment.
At the top of the hierarchy are those needs, which Maslow defines the self-actualization needs.
These needs involve realizing one's potential for continued: growth and individual development.
Since these needs are highly individualized and personal, self-actualization needs are perhaps the
most difficult for managers to address. Therefore, an employee should try to meet these needs on
his own end. However, an organization can help his employee by creating a climate for
fulfillment of self-actualization needs. For instance, an organization can help in fulfillment of
these needs by encouraging employee’s participation in decision-making process and by
providing them with an opportunity to learn new things about their jobs and organization. This
process of contributing to actual organizational performance helps employees experience
personal growth and development associated with self-actualizing.
Maslow's concept of the need hierarchy possesses a certain intuitive logic and has been accepted
universally by managers. But research has revealed several shortcomings of the theory such as
some research has found that five levels of needs are not always present and that the order of the
levels is not always the same as assumed by Maslow. Moreover, it is difficult for organizations
to use the need hierarchy to enhance employee motivation.
HERZBERG’S TWO FACTOR THEORY (The Dual-Structure Approach to Motivation)
Another popular need-based approach to motivation is the dual-structure approach developed by
Frederick Herzberg. This is also known as Two-factor Theory. Herzberg developed this approach
after interviewing 200 accountants and engineers in Pittsburg. He asked them to recall such
occasions when they had been dissatisfied and less motivated. He found that entirely different
sets of factors were associated with satisfaction and dissatisfaction. For instance, an individual
who identified 'low pay' as causing dissatisfaction did not necessarily mention 'high pay' as a
cause of satisfaction. Instead, several other factors, such as recognition or accomplishment, were
cited as causing satisfaction.
This finding suggests that satisfaction and dissatisfaction are at opposite ends of a single scale.
Employees would, therefore, be satisfied, dissatisfied or somewhere in between. Herzberg
argued that attitudes and motivation consists of a dual structure. One structure involves a set of
factors that result in feelings ranging from satisfaction to no satisfaction. The other structure
involves a set of factors that result in feelings ranging from dissatisfaction to no satisfaction.
Herzberg identified two sets of factors responsible for causing either satisfaction or
dissatisfaction. The factors influencing satisfaction are called motivation factors or motivators,
which are related specifically to the job itself and the factors causing dissatisfaction are called
hygiene factors, which are related to the work environment in which the job is performed.
Motivators
• Achievement
• Recognition
• Advancement
• The work itself
• The possibility of personal growth
• Responsibility
Hygiene or Maintenance Factors
• Company policies
• Technical supervision
• Interpersonal relations with supervisor
• Interpersonal relations with peers
• Interpersonal relations with subordinates
• Salary
• Job security
• Personal life
• Work conditions
• Status
Based on these findings, Herzberg recommended that managers seeking to motivate employees
should first make sure that hygiene factors are taken care of and that employees are not
dissatisfied with pay, security and working conditions. Once a manager has eliminated employee
dissatisfaction, Hertzberg recommends focusing on a different set of factors to increase
motivation, by improving opportunities for advancement, recognition, advancement and growth.
Specifically, he recommends job enrichment as a means of enhancing the availability of
motivation factors.
Although widely accepted by managers, Hertzberg’s dual structure approach however suffers
from certain drawbacks. Other researchers who measured satisfaction and dissatisfaction based
on different aspects reached very different conclusions. They have also criticized Herzberg's
theory for its inability to define the relationship between satisfaction and motivation and to pay
enough attention to differences between individuals. Hence, at present Herzberg's theory is not
held in high esteem by researchers in the field of motivation. The theory, however, had a major
impact on managers and has played a key role in increasing their awareness of motivation and its
importance in type work place.
'X' AND ‘Y' THEORIES OF MOTIVATION
Douglas McGregor observed two diametrically opposing viewpoints of managers 'about their
employees; one is negative called "Theory of X" and another is positive called "Theory of Y".
Theory of X
Following are the assumptions of managers who believe in the "Theory of X" regarding their
employees.
• Employees dislike work.
• Employees must be coerced, controlled or threatened to do the work.
• Employees avoid responsibilities and seek formal direction.
• Most employees consider security of job, most important of all other factors in the job
and have very little ambition.
Theory of Y
Following are the assumptions of managers who believe in the "Theory of Y" regarding their
employees.
• Employees love work as play or rest.
• Employees are self-directed and self-controlled and committed to the organizational
objectives.
• Employees accept and seek responsibilities.
• Innovative spirit is not confined to managers alone, some employees also possess it.
Applicability of Theories 'X' and 'Y'
Theory 'X' in its applicability, places exclusive reliance upon external control of human behavior,
while theory 'Y', relies heavily on self-control -and self-direction.
Theory 'X' points to the traditional approach of management. Literally, this theory of behavior is
related to organizations that lay hard and rigid standards of work-behavior. Some examples of
such organizations are organizations that break down jobs into specialized elements, establish
'norms of production, design equipment to control worker's pace of work, have rigid rules and
regulations, that are sometimes very vigorously enforced.
Theory 'Y’, on the other hand, secures the commitment of employees to organizational
objectives. This motivational theory places emphasis on satisfaction of employees. While
applying this theory, the use of authority, as an instrument of command and control is minimal.
Employees exercise self-direction and self-control.
The concepts of 'Job' Enlargement', 'Participation' and 'Management by Objectives' are quite
consistent with theory ' Y'.
McGregor supports the applicability of motivational theory 'Y', instead of theory ‘X'.
Organization should keep in mind that once theory 'X' is employed for organizational working, it
is difficult for the management to shift to theory ' Y', all of a sudden. However, with systematic,
judicious and slow steps, shifting in the practical applicability of theory 'X' to theory ' Y' usually
can be achieved.
ERG Theory of Motivation
Clayton Alderfer has proposed an alternative hierarchy of needs - called the ERG Theory of
Motivation. The letters E, R and G stand for Existence, Relatedness and Growth.
ERG Theory the need hierarchy developed by Maslow into three 9.2. The existence needs in this
theory refers to the physiological and security needs of Maslow. Relatedness needs refers to
belongingness and esteem needs. Growth needs refers to both self-esteem and self-actualization
needs.
Although ERG Theory assumes that motivated behavior follows a hierarchy in somewhat the
same fashion as suggested by Maslow, there are two important differences.
• Firstly, ERG theory suggests that more than one kind of need might motivate a person at
the same time. For example, it allows for the possibility that people can be motivated by a desire
for money (existence); friendship (relatedness), and an opportunity to learn new skills (growth)
all at the same time.
• Secondly, ERG theory has an element of frustrations-regression that is missing from
Maslow's need hierarchy. Maslow maintained that one heed must be satisfied before an
individual can progress to needs at a higher level, for example, from security needs to
belongingness. This is termed as satisfaction—progression process. Although the ERG theory
includes this process, it also suggests that if needs remain unsatisfied at some higher level, the
individual will become frustrated, regress to a lower level and will begin to pursue low level
needs again. For" example, a worker previously motivated by money (existence needs) is
awarded a pay rise to satisfy this needs. Then he attempts to establish more friendship to satisfy
relatedness needs. If for some reason an employee finds that it is impossible to become better
friends with others in the work place, he may eventually become frustrated and regress to being
motivated to earn even more money. This is termed as ‘frustration-regression' process.
The ERG theory emphasis on the following key points regarding needs:
o Some needs may be more important than others.
o People may change their behavior after any particular set of needs has been satisfied.
MC-CLELLAND's NEED THEORY OF MOTIVATION
David C. McClelland and his associate Atkinson have contributed to an understanding of
motivation by identifying three types of basic motivating needs. These needs have been
classified as:
1. Need for Power
2. Need for Affiliation
3. Need for Achievement
Need for Power
According to this theory the need for power, which might be defined as the desire to be
influential in a group and to control one's environment is an important motivation factor.
Research suggests that people with a strong need for power, are likely to be superior performers
and occupy supervisory positions. Such types of individuals generally look for positions of
leadership, they act effectively, are outspoken, have a stubborn character and exert authority.
Need for Affiliation
The need for affiliation means the desire for human companionship and acceptance. Those with a
high need for affiliation often behave the way they think other people want them to, in an effort
to maintain friendship. They prefer a job that entails a good deal of social interaction and offers
opportunities to make friends. The principal characteristics of such peoples' traits are as follows:
• Desire to like and be liked.
• Enjoy company and friendship.
• Prefer cooperative situation.
• Excel in group task.
• Star attraction in gathering.
• Leadership qualities.
This need is closely associated with the "social-type” of personality, who are sociable, friendly,
cooperative and understanding. Persons with high motivation for power and affiliation have
better chances of becoming good managers.
Need for Achievement
People with a high need for achievement, always feel ambitious to be successful; are ever
prepared to face challenging situations and set arduous goals for themselves. They are prone to
take calculated risks; and possess a high sense of personal responsibility in getting jobs done.
These people are concerned with their progress, and feel inclined to put in longer hours of work"
Failures never dishearten them and they are always ready to put in their best efforts for excellent
performance.
PROCESS-BASED THEORIES TO MOTIVATION
The field of organizational behavior has generally moved away from the need’s theories of
motivation. Needs theories are content-oriented - that is, they explain what are the causes
leading to motivated behaviors. They do not explain why or how motivated behavior occurs.
These questions relate to behaviors or actions, goals and feelings of satisfaction., These concepts
are addressed by various process-based theories to motivation.
Process-based theories to motivation are concerned with how motivation occurs. They focus
on why people choose to enact certain behavioral options to fulfill their needs and how they
evaluate their satisfaction after they have attained these goals. Two of the most useful
process-based approaches to motivation arc expectancy theory and equity theory.
The above model suggests that motivation leads to efforts and that effort, when combined with
individual ability and environmental factors, result in performance. Performance, in turn, leads to
various outcomes—each of which has an associated value called its 'valence'. According to this
model, individuals develop some sense of these expectations before they exhibit motivated or
non-motivated behavior.
Effort-to-Performance Expectancy
The effort-to-performance expectancy refers to an individual's perception of the probability that
effort will result in high performance. When an individual believes that effort will lead directly
to high performance, expectancy is quite strong, that is close to 1.00. For instance, if one feels
sure that studying hard for an examination (effort) will result in scoring high marks
(performance), then his effort-to-performance expectancy is high, that is close to 1.0. When an
individual believes that effort and performance are unrelated, the effort-to-performance
expectancy is very weak, that is close to 0.0. Usually we are not sure about our expectations, so
they fall somewhere between 0.0 and 1.0 with a moderate expectancy.
Performance-to-Outcome Expectancy
The performance-to-outcome expectancy means an individual's perception of the probability that
performance will result in a specific outcome. For example, an individual who believes that high
performance will lead to a pay raise has a high performance-to-outcome expectancy,
approaching to 1.00. An individual who believes that high performance may possibly lead to a
pay raise has a moderate expectancy between 1.00 and 0. And an individual who believes that
performance has no relationship to rewards has a low performance-to-outcome expectancy that is
close to 0.
Outcomes and Valences
Expectancy theory recognizes that an individual may experience a variety of outcomes as a
consequence, of behavior in an organizational environment. A high performer, for example, may
get big pay raises, fast promotions and praise from the boss. However, he may also be subject to
a lot of stress and incur resentment from co-workers. Each of these outcomes has an associated
value or valence that is,, an index of how much an individual desires a particular outcome. If an
individual wants an outcome, its valence is positive. If an individual does not want an outcome,
its valence is negative. If an individual is indifferent to an outcome, its valence is zero. It is this
advantage of expectancy theory that goes beyond the need-based approaches to motivation.
Thus, for motivated behavior to occur on the part of any individual, three conditions must be
met, which are as follows:
• First, the effort-to-performance expectancy must be greater than zero.
• Second, the performance-to-outcome expectancy must also be greater than zero.
• Third, the sum of the valences for all relevant outcomes must be greater than zero.
Expectancy theory maintains that when all of these conditions are met, the individual is
motivated to expand effort. The expectancy theory also has several other important practical
implications, which managers should keep in mind. The managers can perform the following
activities in relation to this -
• Determine what outcomes employees prefer.
• Define, communicate and clarify the level of performance that is desired.
• Establish attainable performance goals.
• Link desired outcomes to performance goal achievement.
Practical Applicability of Expectancy Theory
If a manager wishes to motivate his employees for increased and better performance, then he has
to make sure whether the reward system is highly supportive to hard work or high quality. The
manager will particularly see that the specific system, as applicable in their case, is
communicated to them, so as to make them feel confident that their energized efforts will be
rewarded.
Another important point, which should not be ignored by the manger, is that rewards must
correspond to the varying preferences of an individual employee.
In conclusion, no doubt 'expectancy' theory has gained much popularity with theorists, but much
more work still needs to be put in, before it can be accepted for use as an effective instrument of
explanation of 'motivation' with all its implications.
The Porter-Lawler Extension
Porter and Lawler have proposed an interesting extension to the expectancy theory. The human
relationists assumed that employee satisfaction causes good performance but research has not
supported such relationship. Porter and Lawler suggest that there may indeed be a relationship
between satisfaction and performance but that it goes in the opposite direction, that is, superior
performance can lead to satisfaction.
Porter-Lawler Model First, an individual's initial effort is influenced by his perception
regarding the value of reward and the likelihood that the effort will yield a reward. The
probability that increased effort will lead to improved performance is affected by an individual's
traits, abilities and perception of his role in an organization. The model also distinguishes
between intrinsic and extrinsic rewards. Finally, the Porter-Lawler model borrows from equity
theory the idea that the employee's satisfaction depends on the perceived equity of the rewards
relative to the 'effort expended and the level of performance attained.
Implications for Managers
Expectancy theory can be useful for organizations attempting to improve the motivation of their
employees. Nadler and Lawler suggest a series of steps for managers in applying the basic ideas
of the theory.
1. They should determine the primary outcomes that each employee likely desires.
2. They should decide what kind and levels of performance are needed to meet
organizational goals.
3. They should ascertain that the desired levels of performance are attainable.
4. They should ensure that desired outcomes and performance are linked.
5. They should also analyze the complete work situation for conflicting expectancies.
6. They should make sure that the rewards are large enough.
7. They should make sure that the overall system is equitable for everyone.
The expectancy theory has also its limitations. It is quite difficult to apply, for example,
application of this theory in the work place would require to identify all the potential outcomes
for each employee, to determine all relevant expectancies and then to balance everything
somehow to maximize employee motivation. Expectancy theory also assumes that people are
rational - therefore, they will systematically consider all the potential outcomes and their
associated expectancies before selecting a particular behavior. However, few people actually
make decisions in such a precise and rational manner.
Equity Theory
J. Stacy Adams developed equity theory of motivation. The equity theory argues that motivations
arise out of simple desire to be treated fairly. Equity can be defined as an individual's belief that
he is being treated fairly relative to the treatment of others. The figure 9.4 shows the equity
process.