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Motivating and
Satisfying Employees
and Teams
10 | 1
Topics
① Explain what motivation is.
② Understand some major historical
perspectives on motivation.
③ Describe three contemporary views of
motivation: equity theory, expectancy theory,
and goal-setting theory.
④ Explain several techniques for increasing
employee motivation.
⑤ Understand the types, development, and
uses of teams.
2
What Is Motivation?
 The individual internal process that energizes, directs,
and sustains behavior; the personal “force” that
causes us to behave in a particular way
 Morale
• An employee’s feelings about his or her job,
superiors, and about the firm itself
• High morale results from the satisfaction of needs
or as a result of the job and leads to dedication,
loyalty, and the desire to do the job well
• Low morale leads to shoddy work, absenteeism,
and high turnover rates
3
Historical Perspectives on Motivation
 Scientific Management
• The application of scientific principles to
management of work and workers
• Frederick W. Taylor
- Observed workers who “soldiered” or worked slowly
who feared losing their jobs if there were no work
- Job should be broken into separate tasks
- Management determines the best way and the
expected output
- Management chooses and trains the best-suited person
- Management cooperates with workers
- Piece-rate system (pay per unit of output) is based on the
belief that people work only for money
4
Taylor’s Piece-Rate System
 Workers who exceeded their quota were rewarded
by being paid at a higher rate per piece for all the
pieces they produced
5
Historical Perspectives on Motivation (cont’d)
 The Hawthorne Studies
• Objective: to determine the effects of the work
environment on employee productivity
• 1st experiment: productivity increased for both the
experimental and control groups after lighting was
varied in the workplace
• 2nd experiment: workers under a piece-rate system
produced at constant rates
• Hawthorne Experiment
• Conclusions: human factors were responsible
- Workers had a sense of involvement by participating in
the experiment
- Groups influenced output through workers’ desire for acceptance
• Human relations movement
- Employees who are happy and satisfied are motivated to
perform better
6
Historical Perspectives on Motivation (cont’d)
 Maslow’s Hierarchy of Needs
• A sequence of human needs in the order
of their importance
- Physiological needs—survival
- Safety needs—physical and emotional safety
- Social needs—love and affection and a sense of
belonging
- Esteem needs—respect, recognition, and a
sense of our own accomplishment and worth
- Self-actualization needs—to grow and develop
and become all that we are capable of being
7
Maslow’s Hierarchy of Needs
8
Historical Perspectives on Motivation (cont’d)
 Herzberg’s Motivation-Hygiene Theory
• Satisfaction and dissatisfaction are
separate and distinct dimensions
• Motivation factors
- Job factors that increase motivation but whose
absence does not necessarily result in
dissatisfaction
• Hygiene factors
- Job factors that reduce dissatisfaction when
present to an acceptable degree but that do not
necessarily result in higher levels of motivation
9
Herzberg’s Motivation-Hygiene Theory
10
Historical Perspectives on Motivation (cont’d)
 Douglas McGregor
• Sets of assumptions about managerial attitudes and beliefs
regarding worker behavior
 Theory X
• Generally consistent with Taylor’s scientific management
• Employees dislike work and will function only in a controlled
work environment
 Theory Y
• Generally consistent with the human relations movement
• Employees accept responsibility and work toward
organizational goals if they will also achieve personal rewards
11
Theory X and Theory Y
12
Historical Perspectives on Motivation (cont’d)
 Theory Z
• Some middle ground between Ouchi’s Type
A (American) and Type J (Japanese)
practices is best for American business
• Emphasis is on participative decision
making with a view of the organization as a
family
13
The Features of Theory Z
14
Historical Perspectives on Motivation (cont’d)
 Reinforcement Theory
• Behavior that is rewarded is likely to be repeated,
whereas behavior that is punished is less likely to
recur
- Reinforcement: an action that follows directly from a
particular behavior
- Types of reinforcement
- Positive reinforcement: strengthens desired behavior
by providing a reward
- Negative reinforcement: strengthens desired behavior
by eliminating an undesirable task or situation
- Punishment: an undesired consequence of
undesirable behavior
- Extinction: no response to undesirable behavior in order to
discourage its occurrence
15
Contemporary Views on Motivation
 Equity Theory
• People are motivated to obtain and preserve equitable
treatment for themselves
• Equity: the distribution of rewards in direct proportion to the
contribution of each employee to the organization
• Workers compare their own input-to-outcome (reward) ratios
to their perception of others’
• Workers who perceive an inequity may
- Decrease their inputs
- Try to increase outcome (ask for a raise)
- Try to get the comparison other to increase inputs or receive
decreased outcomes
- Leave the work situation (quit)
- Switch to a different comparison other
16
Contemporary Views on Motivation (cont’d)
 Expectancy Theory (Victor Vroom)
• Motivation depends on how much we want
something and on how likely we think we
are to get it
• Implies that managers must recognize that
- Employees work for a variety of reasons
- The reasons, or expected outcomes, may
change over time
- It is necessary to show employees how they can
attain the outcomes they desire
17
Expectancy Theory
18
Contemporary Views on Motivation (cont’d)
 Goal-Setting Theory
• Employees are motivated to achieve goals
they and their managers establish together
• Goals should be very specific, moderately
difficult, and ones that the employee will be
committed to achieve
• Rewards should be tied directly to goals
achievement
19
Key Motivation Techniques
 It takes more than a generous salary to
motivate employees. Companies are trying to
motivate employees by satisfying less tangible
needs.
• Simple, low or no cost approaches such as:
- Celebrate birthdays and other important events
- Nominations for a formal award program
- Support flexible work schedules
- Publicly post thank you letters from customers
20
Key Motivation Techniques (cont’d)
Management by Objectives–managers and employees
collaborate in setting goals, clarify employee roles
21
ADVANTAGES
• Motivates employees by
actively involving them
• Improves communication
• Makes employees feel
like an important part of
the organization
• Periodic review
enhances control
DISADVANTAGES
• Doesn’t work if the process
doesn’t begin at the top of
the organization
• Can result in excessive
paperwork
• Some managers assign
goals instead of collaborating
on creating them
• Goals should be quantifiable
Key Motivation Techniques (cont’d)
 Job enrichment
• Provides employees with more variety and
responsibility in their jobs
 Job enlargement
• The expansion of a worker’s assignments to
include additional but similar tasks
 Job redesign
• A type of job enrichment in which work is
restructured to cultivate the worker-job
match
22
Key Motivation Techniques (cont’d)
 Behavior modification
• A systematic program of reinforcement to
encourage desirable behavior
 Steps in behavior modification
• Identify the target behavior to be changed
• Measure existing levels of the behavior
• Reward employees who exhibit the desired
behavior
• Measure the target behavior to check for
desired change
- If no change, consider changing reward system
- If change has occurred, maintain reinforcement
23
Key Motivation Techniques (cont’d)
 Flextime
• A system in which employees set their own work hours
within employer-determined limits
• Typically, there are two bands of time
- Core time, when all employees are expected to be at work
- Flexible time, when employees may choose whether to be
at work
• Benefits
- Employees’ sense of independence and autonomy is motivating
- Employees with enough time to deal with nonwork issues are
more productive and satisfied
• Drawbacks
- Supervisors’ jobs are complicated by having employees who
come and go at different times
- Employees without flextime may resent coworkers who have it
24
Key Motivation Techniques (cont’d)
 Part-time work
• Permanent employment in which individuals work
less than a standard work week
• Disadvantage: often does not provide the benefits
that come with a full-time position
 Job sharing
• An arrangement whereby two people share one
full-time position
• Companies can save on expenses by reducing
benefits and avoiding employee turnover
• Employees gain flexibility but may lose benefits
• Sharing can be difficult if work is not easily divisible
or if two people cannot work well together
25
Key Motivation Techniques (cont’d)
 Telecommuting
• Working at home all the time or for a portion
of the work week
• Advantages
- Increased employee productivity
- Lower real estate and travel costs
- Reduced absenteeism and turnover
- Increased work/life balance and improved morale
- Access to additional labor pools
• Disadvantages
- Feelings of isolation
- Putting in longer hours
- Distractions at home
- Difficulty monitoring productivity
26
Key Motivation Techniques (cont’d)
 Employee empowerment
• Making employees more involved in their jobs by increasing
their participation in decision making
• Management must be involved to set expectations,
communicate standards, institute periodic evaluations,
guarantee follow-up
• Benefits
- Increased job satisfaction
- Improved job performance
- Higher self-esteem
- Increased organizational commitment
• Obstacles
- Management resistance
- Workers’ distrust of management
- Insufficient training
- Poor communication between management and employees
27
Key Motivation Techniques (cont’d)
 Employee ownership
• Employees own the company they work for by
virtue of being stockholders
• Directly reward employees for success
• Benefits
- Considerable employee incentive
- Increased employee involvement and
commitment
• Obstacles
- Problems between management and employees
can still occur
28
Teams and Teamwork
 Teams
• Two or more workers operating as a coordinated unit to
accomplish a specific task or goal
• Types of teams
- Problem-Solving
- Virtuoso
- Self-Managed
- Cross-Functional
- Virtual
• Stages of team development
- Forming
- Storming
- Norming
- Performing
- Adjourning
29
Advantages and Disadvantages of
Self-Managed Teams
30
Teams and Teamwork (cont’d)
 Roles within a team
• Task-specialist role
• Socio-emotional role
• Dual role
• Nonparticipant role
 Team cohesiveness
• For a team to be successful, members must
learn how to resolve and manage conflict
31
Teams and Teamwork (cont’d)
 Team conflict and how to resolve it
• Middle ground resolution satisfies each
party to some extent
 Benefits and limitations of teams
• Reduces turnover and costs, increases
production, quality, customer service, job
satisfaction
• Reorganizing into teams can be stressful
and time consuming with no guarantee it will
develop effectively
32
Stages of Team Development
33

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Chapter 10 motivating and satisfying employees and teams (1)

  • 1. Copyright ©2014 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Motivating and Satisfying Employees and Teams 10 | 1
  • 2. Topics ① Explain what motivation is. ② Understand some major historical perspectives on motivation. ③ Describe three contemporary views of motivation: equity theory, expectancy theory, and goal-setting theory. ④ Explain several techniques for increasing employee motivation. ⑤ Understand the types, development, and uses of teams. 2
  • 3. What Is Motivation?  The individual internal process that energizes, directs, and sustains behavior; the personal “force” that causes us to behave in a particular way  Morale • An employee’s feelings about his or her job, superiors, and about the firm itself • High morale results from the satisfaction of needs or as a result of the job and leads to dedication, loyalty, and the desire to do the job well • Low morale leads to shoddy work, absenteeism, and high turnover rates 3
  • 4. Historical Perspectives on Motivation  Scientific Management • The application of scientific principles to management of work and workers • Frederick W. Taylor - Observed workers who “soldiered” or worked slowly who feared losing their jobs if there were no work - Job should be broken into separate tasks - Management determines the best way and the expected output - Management chooses and trains the best-suited person - Management cooperates with workers - Piece-rate system (pay per unit of output) is based on the belief that people work only for money 4
  • 5. Taylor’s Piece-Rate System  Workers who exceeded their quota were rewarded by being paid at a higher rate per piece for all the pieces they produced 5
  • 6. Historical Perspectives on Motivation (cont’d)  The Hawthorne Studies • Objective: to determine the effects of the work environment on employee productivity • 1st experiment: productivity increased for both the experimental and control groups after lighting was varied in the workplace • 2nd experiment: workers under a piece-rate system produced at constant rates • Hawthorne Experiment • Conclusions: human factors were responsible - Workers had a sense of involvement by participating in the experiment - Groups influenced output through workers’ desire for acceptance • Human relations movement - Employees who are happy and satisfied are motivated to perform better 6
  • 7. Historical Perspectives on Motivation (cont’d)  Maslow’s Hierarchy of Needs • A sequence of human needs in the order of their importance - Physiological needs—survival - Safety needs—physical and emotional safety - Social needs—love and affection and a sense of belonging - Esteem needs—respect, recognition, and a sense of our own accomplishment and worth - Self-actualization needs—to grow and develop and become all that we are capable of being 7
  • 9. Historical Perspectives on Motivation (cont’d)  Herzberg’s Motivation-Hygiene Theory • Satisfaction and dissatisfaction are separate and distinct dimensions • Motivation factors - Job factors that increase motivation but whose absence does not necessarily result in dissatisfaction • Hygiene factors - Job factors that reduce dissatisfaction when present to an acceptable degree but that do not necessarily result in higher levels of motivation 9
  • 11. Historical Perspectives on Motivation (cont’d)  Douglas McGregor • Sets of assumptions about managerial attitudes and beliefs regarding worker behavior  Theory X • Generally consistent with Taylor’s scientific management • Employees dislike work and will function only in a controlled work environment  Theory Y • Generally consistent with the human relations movement • Employees accept responsibility and work toward organizational goals if they will also achieve personal rewards 11
  • 12. Theory X and Theory Y 12
  • 13. Historical Perspectives on Motivation (cont’d)  Theory Z • Some middle ground between Ouchi’s Type A (American) and Type J (Japanese) practices is best for American business • Emphasis is on participative decision making with a view of the organization as a family 13
  • 14. The Features of Theory Z 14
  • 15. Historical Perspectives on Motivation (cont’d)  Reinforcement Theory • Behavior that is rewarded is likely to be repeated, whereas behavior that is punished is less likely to recur - Reinforcement: an action that follows directly from a particular behavior - Types of reinforcement - Positive reinforcement: strengthens desired behavior by providing a reward - Negative reinforcement: strengthens desired behavior by eliminating an undesirable task or situation - Punishment: an undesired consequence of undesirable behavior - Extinction: no response to undesirable behavior in order to discourage its occurrence 15
  • 16. Contemporary Views on Motivation  Equity Theory • People are motivated to obtain and preserve equitable treatment for themselves • Equity: the distribution of rewards in direct proportion to the contribution of each employee to the organization • Workers compare their own input-to-outcome (reward) ratios to their perception of others’ • Workers who perceive an inequity may - Decrease their inputs - Try to increase outcome (ask for a raise) - Try to get the comparison other to increase inputs or receive decreased outcomes - Leave the work situation (quit) - Switch to a different comparison other 16
  • 17. Contemporary Views on Motivation (cont’d)  Expectancy Theory (Victor Vroom) • Motivation depends on how much we want something and on how likely we think we are to get it • Implies that managers must recognize that - Employees work for a variety of reasons - The reasons, or expected outcomes, may change over time - It is necessary to show employees how they can attain the outcomes they desire 17
  • 19. Contemporary Views on Motivation (cont’d)  Goal-Setting Theory • Employees are motivated to achieve goals they and their managers establish together • Goals should be very specific, moderately difficult, and ones that the employee will be committed to achieve • Rewards should be tied directly to goals achievement 19
  • 20. Key Motivation Techniques  It takes more than a generous salary to motivate employees. Companies are trying to motivate employees by satisfying less tangible needs. • Simple, low or no cost approaches such as: - Celebrate birthdays and other important events - Nominations for a formal award program - Support flexible work schedules - Publicly post thank you letters from customers 20
  • 21. Key Motivation Techniques (cont’d) Management by Objectives–managers and employees collaborate in setting goals, clarify employee roles 21 ADVANTAGES • Motivates employees by actively involving them • Improves communication • Makes employees feel like an important part of the organization • Periodic review enhances control DISADVANTAGES • Doesn’t work if the process doesn’t begin at the top of the organization • Can result in excessive paperwork • Some managers assign goals instead of collaborating on creating them • Goals should be quantifiable
  • 22. Key Motivation Techniques (cont’d)  Job enrichment • Provides employees with more variety and responsibility in their jobs  Job enlargement • The expansion of a worker’s assignments to include additional but similar tasks  Job redesign • A type of job enrichment in which work is restructured to cultivate the worker-job match 22
  • 23. Key Motivation Techniques (cont’d)  Behavior modification • A systematic program of reinforcement to encourage desirable behavior  Steps in behavior modification • Identify the target behavior to be changed • Measure existing levels of the behavior • Reward employees who exhibit the desired behavior • Measure the target behavior to check for desired change - If no change, consider changing reward system - If change has occurred, maintain reinforcement 23
  • 24. Key Motivation Techniques (cont’d)  Flextime • A system in which employees set their own work hours within employer-determined limits • Typically, there are two bands of time - Core time, when all employees are expected to be at work - Flexible time, when employees may choose whether to be at work • Benefits - Employees’ sense of independence and autonomy is motivating - Employees with enough time to deal with nonwork issues are more productive and satisfied • Drawbacks - Supervisors’ jobs are complicated by having employees who come and go at different times - Employees without flextime may resent coworkers who have it 24
  • 25. Key Motivation Techniques (cont’d)  Part-time work • Permanent employment in which individuals work less than a standard work week • Disadvantage: often does not provide the benefits that come with a full-time position  Job sharing • An arrangement whereby two people share one full-time position • Companies can save on expenses by reducing benefits and avoiding employee turnover • Employees gain flexibility but may lose benefits • Sharing can be difficult if work is not easily divisible or if two people cannot work well together 25
  • 26. Key Motivation Techniques (cont’d)  Telecommuting • Working at home all the time or for a portion of the work week • Advantages - Increased employee productivity - Lower real estate and travel costs - Reduced absenteeism and turnover - Increased work/life balance and improved morale - Access to additional labor pools • Disadvantages - Feelings of isolation - Putting in longer hours - Distractions at home - Difficulty monitoring productivity 26
  • 27. Key Motivation Techniques (cont’d)  Employee empowerment • Making employees more involved in their jobs by increasing their participation in decision making • Management must be involved to set expectations, communicate standards, institute periodic evaluations, guarantee follow-up • Benefits - Increased job satisfaction - Improved job performance - Higher self-esteem - Increased organizational commitment • Obstacles - Management resistance - Workers’ distrust of management - Insufficient training - Poor communication between management and employees 27
  • 28. Key Motivation Techniques (cont’d)  Employee ownership • Employees own the company they work for by virtue of being stockholders • Directly reward employees for success • Benefits - Considerable employee incentive - Increased employee involvement and commitment • Obstacles - Problems between management and employees can still occur 28
  • 29. Teams and Teamwork  Teams • Two or more workers operating as a coordinated unit to accomplish a specific task or goal • Types of teams - Problem-Solving - Virtuoso - Self-Managed - Cross-Functional - Virtual • Stages of team development - Forming - Storming - Norming - Performing - Adjourning 29
  • 30. Advantages and Disadvantages of Self-Managed Teams 30
  • 31. Teams and Teamwork (cont’d)  Roles within a team • Task-specialist role • Socio-emotional role • Dual role • Nonparticipant role  Team cohesiveness • For a team to be successful, members must learn how to resolve and manage conflict 31
  • 32. Teams and Teamwork (cont’d)  Team conflict and how to resolve it • Middle ground resolution satisfies each party to some extent  Benefits and limitations of teams • Reduces turnover and costs, increases production, quality, customer service, job satisfaction • Reorganizing into teams can be stressful and time consuming with no guarantee it will develop effectively 32
  • 33. Stages of Team Development 33