Motivating

MotivatingEmployees
Employees

Prepared
Preparedby by
Chapter 9

Norm Althouse
Norm Althouse
University
UniversityofofCalgary
Calgary
1
Copyright © 2011 by Nelson Education Ltd.
 Learning Outcomes
1 Explain the basic principles of Frederick Taylor’s concept of scientific
management.
2 Summarize what Elton Mayo’s Hawthorne studies revealed about worker
motivation.
3 Discuss Maslow’s hierarchy of needs, and how these needs relate to
employee motivation.
4 Identify how McGregor’s Theories X and Y, and Ouchi’s Theory Z are used to
explain worker motivation.
5 Explain the basic components of Herzberg’s motivator-hygiene theory.
6 Describe how three contemporary theories of employee motivation offer
insights into improving employee performance.
7 Discuss how managers can redesign existing jobs to increase employee
motivation and performance.
Chapter 9

8 List some of the initiatives organizations are using today to motivate and
retain employees. 2
Copyright © 2011 by Nelson Education Ltd.
 Employee Motivation
Employees
Employeeswhowhoare
aremotivated
motivatedand
andwork
workhard
hardtotoachieve
achievepersonal
personaland
and
organizational
organizationalgoals
goalscan
canbecome
becomeaacrucial
crucial competitive
competitiveadvantage
advantagefor
foraafirm.
firm.
Chapter 9

3
Copyright © 2011 by Nelson Education Ltd.
 Basic
Basic Principles
Principles

1.
1. Develop
Developaascientific
scientificapproach
approachfor
foreach
eachelement
elementof
ofaaperson’s
person’sjob.
job.

2.
2. Scientifically
Scientificallyselect,
select,train,
train,teach,
teach,and
anddevelop
developworkers.
workers.

3.
3. Encourage
Encouragecooperation
cooperationbetween
betweenworkers
workersand
andmanagers.
managers.

4.
4. Divide
Dividework
workand
andresponsibility
responsibilityaccording
accordingto
towho
whoisisbetter
bettersuited
suitedto
to
each task.
each task.
Chapter 9

4
Copyright © 2011 by Nelson Education Ltd.
 The
Thephenomenon
phenomenonthat thatemployees
employeesperform
perform
better
betterwhen
whenthey
theyfeel
feelsingled
singledout
outfor
forattention
attention
Hawthorne
Hawthorne Effect
Effect or
orfeel
feelthat
thatmanagement
managementisisconcerned
concernedabout
about
their welfare.
their welfare.
Chapter 9

5
Copyright © 2011 by Nelson Education Ltd.
 Maslow’s Hierarchy of Needs
Self-Actualization

Esteem

Social

Safety

Physiological
Chapter 9

6
Copyright © 2011 by Nelson Education Ltd.
 Maslow’s Hierarchy of Needs
Chapter 9

Copyright © 2008 by Nelson, a division of

Thomson Canada Limited 7
 McGregor’s Theories X and Y

Theory
Theory XX Theory
Theory YY

 The average person dislikes work  Work is as natural as play or rest

and will avoid it if possible
 Workers can be motivated using
 People must be controlled, positive incentives
directed, or threatened with
punishment  The average person seeks out
responsibility
 The average person prefers to be
directed, avoids responsibility, is
unambitious, and wants security
Chapter 9

Copyright © 2011 by Nelson Education Ltd. 8

 Ouchi’s Theory Z
Theory
Theory ZZ

Emphasizes:

 Long-term employment
 Slow career development
 Moderate specialization
 Group decision making
 Individual responsibility
 Informal control over the employee
 Concern for workers
Chapter 9

9
Copyright © 2011 by Nelson Education Ltd.
 Herzberg’s Motivator-Hygiene Theory

Motivating
MotivatingFactors
Factors Intrinsic
Intrinsic job
jobelements
elements
(Job
(Jobsatisfiers)
satisfiers) that
that lead
leadto tosatisfaction
satisfaction

Hygiene
HygieneFactors
Factors Extrinsic
Extrinsicelements
elements of
of
(Job
(Jobdissatisfiers)
dissatisfiers) the
thework
workenvironment
environment
Chapter 9

10
Copyright © 2011 by Nelson Education Ltd.
 Motivating and Hygiene Factors
Motivating
Motivating Hygiene
Hygiene
Factors
Factors Factors
Factors

Achievement Company policy

Recognition Supervision
Work itself Working conditions
Responsibility Interpersonal relationships at
work
Advancement
Growth Salary and benefits
Job security
Chapter 9

Copyright © 2008 by Nelson, a division of

Thomson Canada Limited 11
 Contemporary Views on Motivation

Expectancy
ExpectancyTheory
Theory

Equity
EquityTheory
Theory

Goal-Setting
Goal-SettingTheory
Theory
Chapter 9

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 Expectancy Theory
Chapter 9

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 Expectancy Theory
Motivating
Motivating
Employees
Employees
Determine the rewards valued by each employee
Determine the desired performance level
Make the performance level attainable
Link rewards to performance
Determine what factors might counteract the
effectiveness of an award
Make sure the reward is adequate for the level of
performance
Chapter 9

14
Copyright © 2011 by Nelson Education Ltd.
 Equity Theory

Employees
Employeesevaluate
evaluatetheir
theiroutcomes
outcomesin inrelation
relationto
to their
their
inputs
inputsand
and compare
compare to
totheir
their past
past experience
experiencein…in…

a different position in the current organization

a different organization
or…
to another employee’s experience inside the
organization
to another employee’s experience outside the
Chapter 9

organization
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 Equity Theory (what are the choices?)
Chapter 9

16
Copyright © 2011 by Nelson Education Ltd.
 Goal-Setting Theory
An
Anindividual’s
individual’sintention
intentiontotowork
work
Goal-Setting
Goal-Setting toward
towardaagoal
goalisisaaprimary
primary
Theory
Theory source
sourceof
ofmotivation.
motivation.

Components
Components

Specific goals lead to a higher level of performance

More difficult goals lead to better performance

Feedback on progress toward the goal enhances
Chapter 9

performance
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Copyright © 2011 by Nelson Education Ltd.
 Reinforcing Behaviour

Introduce Consequence Remove Consequence

Increase/maintain behaviour Positive Reinforcement Negative Reinforcement

Decrease/eliminate behaviour Punishment Extinction

By introducing or removing consequences

managers can encourage functional behaviours
or discourage dysfunctional behaviours
Chapter 9

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Copyright © 2011 by Nelson Education Ltd.
 Motivational Job Design

Job Enlargement

Options
Optionsfor
for
Increasing
Increasing Job
JobEnrichment
Enrichment
Motivation
Motivation

Job Rotation
Chapter 9

19
Copyright © 2011 by Nelson Education Ltd.
 Work-Scheduling Options

Compressed
Compressed Fitting
Workweek Fitting40
40hours
hoursinto
intoaashorter
shorterworkweek
workweek
Workweek
Employees
Employeesdecide
decidewhat
whattheir
their
Flextime
Flextime work
workhours
hourswill
willbe
be

Allows
Allowstwo
twoindividuals
individualsto
tosplit
splitthe
thetasks
tasks
Job
Job Sharing
Sharing and
andhours
hoursof
ofaaworkweek
workweek

Employees
Employeeswork
workfrom
fromhome
home
Telecommuting
Telecommuting via
viaaalinked
linkedcomputer
computer
Chapter 9

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 Incentives

Non- Recognition
Recognition
Monetary
Empowerment
Empowerment
Incentives

Piece-Rate
Piece-RatePlans
Plans
Profit
ProfitSharing
Sharing
Monetary Gain
GainSharing
Sharing
Incentives
Bonuses
Bonuses
Chapter 9

Stock
StockOptions
Options
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 Trends in Employee Motivation
Education and Training

Work-Life Benefits

Nurturing Knowledge Workers

Chapter 9

Coping with the Rising Cost of Absenteeism

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Copyright © 2011 by Nelson Education Ltd.