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1、IB Business and Management,2.4 Motivation in theory,Learning Outcomes,Analyse the intrinsic and extrinsic needs that have to be satisfied at work,and the rewards(financial and non-financial)that motivate individualsContent theories of Taylor,Maslow,McGregor,Herzberg,Mayo(HL)and McLelland(HL)Process
2、Theories(Expectancy Theory and Equity Theory)of Vroom(HL)and(Adams)Apply the content and process(HL)theories to given situations,What is Motivation?,The factors that make a person want to do somethingTo get the best out of workers firms need to understand why people work and what might make them wil
3、ling to work harder.,What is the difference between Intrinsic and Extrinsic Motivation?,Intrinsic Vs Extrinsic,-Can you think of any examples?-What might make motivation might come from within?-What else could create motivation?,Task,What types of factors do you think would motivate employees(or stu
4、dents)to work hard?Think of as many ideas as you can,Why is it so important to have a motivated workforce?,Why is Motivation Important?,Higher productivityBetter customer serviceImproved teamworkLower absenteeismLower labour turnoverThese all lead to LOWER COSTS or HIGHER REVENUES and thereforeHighe
5、r Profits,Motivation Theories,There are many psychologists who have come up with theories about what motivates workers.We are going to look at some of these:Taylors theory of Scientific ManagementMaslows Hierarchy of NeedsHerzbergs 2 factor theoryMcGregors Theory X and Theory YElton Mayos Hawthorne
6、Experiments(HL)McClelland(HL)Vroom Expectancy Theory Adams Equity Theory,Motivation Theories,Content Theories,Seek to explain factors that actually motivate staffAcknowledge that human needs change over time and therefore factors that motivate them change too,Process Theories,Look at the decision-ma
7、king processes and behaviours of peopleFocuses on why people behave in a certain way in order to determine how motivation can be improved,Content theorists,Abraham Maslow,Maslow,Abraham Maslow(1908 1970)introduced the Neo-Human Relations School in the 1950s,which focused on the psychological needs o
8、f employees.Maslow put forward a theory that there are five levels of human needs which employees need to have fulfilled at work.All of the needs are structured into a hierarchy and only once a lower level of need has been fully met,would a worker be motivated by the opportunity of having the next n
9、eed up in the hierarchy satisfied.,Maslows Hierarchy of Needs,Maslows Hierarchy of Needs,Basic Needs,Safety Needs,Social Needs,EsteemNeeds,SelfActualisationNeeds,Maslows Levels of Human NeedPhysical needs food,shelter+warmthSafety needs security,stability,free from anxietySocial needs belonging,frie
10、ndship,contactEsteem needs self-respect,status,recognitionSelf Actualisation Self-fulfilment reaching ones potential,Business Implications Pay Levels and working conditions Job Security,a clear job description,safe working environment Team working,friendly environmentStatus,recognition for achieveme
11、nt,power and trust,promotionTraining to develop new skills,challenges and to reach full potential,Frederick Herzberg,Herzbergs Two Factor Theory,Herzberg developed the idea of job satisfactionIn the right circumstances,people can get pleasure from their workIf people enjoy their work they will be MO
12、TIVATEDHerzberg stated that MOTIVATION is different to MOVEMENT,The Two Factors,Herzberg said that there are two types of factors that affect workers motivationMotivator Factors Factors which if present will motivate staffHygiene Factors Factors which will not in themselves motivate,but will demotiv
13、ate staff if they are not present,Money as a Motivator,Herzberg would claim that money is not a motivatorA reward once given becomes a rightHowever many businesses use pay packages as a motivator:CommissionBonusesPiece Rate PayPerformance related pay,Frederick W Taylor,Famous for applying his princi
14、ples of scientific management to the world of work.Taylor was interested to see whether a job or work could be designed to increase efficiency.He tried to break down tasks into smaller steps and look at exactly how production actually worked.,Taylors Views.,Frederick Winslow Taylor(1856 1917)put for
15、ward the idea that workers are motivated mainly by pay.His Theory of Scientific Management argued that workers do not naturally enjoy work and so need close supervision and controlManagers should break down production into a series of small tasks Workers should then be given appropriate training and
16、 tools so they can work as efficiently as possible on one set task.He advocated Piece Rate Pay Henry Ford adopted Taylors approach,as it increases productivity and reduces unit costs.However workers soon came to dislike Taylors approach as they were only given boring,repetitive tasks to carry out an
17、d were being treated little better than human machines.Firms could also afford to lay off workers as productivity levels increased.,Douglas McGregor,An American PsychologistWorked in the 1950sDeveloped a theory about human behaviour at work called Theory X and Theory Y,Theory X managers,Presume that
18、 workers are lazyDistrust employeesThink that workers need to be controlledWhat Leadership style do you think Theory X managers would use?If you treat workers as if they are lazy,then they will become so,Theory Y managers,Believe that employees enjoy work and want to contribute ideas and effortLikel
19、y to involve employees in decision making and give them responsibility,Employees dislike work and will avoid it if they can,Employees prefer to be told what to do,Employees avoid responsibility,Employees have little ambition,Employees need to be coerced,Employees want to work,Employees want responsi
20、bility as long as they are rewarded,Employees are generally quite creative,Employees can get satisfaction from work,Divide your page in 2 then sort and write the statements out,Employees dislike work and will avoid it if they can,Employees prefer to be told what to do,Employees avoid responsibility,
21、Employees have little ambition,Employees need to be coerced,Employees want to work,Employees want responsibility as long as they are rewarded,Employees are generally quite creative,Employees can get satisfaction from work,Theory X,Theory Y,Considerations,Theory X and Theory Y are extremes,it is like
22、ly that most managers would fall somewhere in-betweenA Theory Y manager would create a more pleasant work environmentA Theory X manager may be better when dealing with casual workers or at times of crisis,Dan Pink Motivation Summary,Task,Watch the Daniel Pink Video.http:/do Daniels views compare toH
23、erzberg/Maslow/Taylor?,Elton Mayo,Elton Mayo was the founder of the Human Relations MovementHe was initially a believer in Taylors Scientific Management having been lectured by him,The Hawthorne Experiments,These studies were carried out between 1924 and 1932 at a factory called the Hawthorne Works
24、owned and operated by Western Electric Company in Chicago Mayo and his team of researchers took a group of six women of the main factory as a control group and to allow easier observation.He tested his hypothesis that working conditions significantly affect the motivation of the workforce.He believe
25、d that the poor productivity must be the result of the environment,such as noise or poor lighting conditions.Starting with lighting conditions,Mayo and his team altered conditions of work in a number of ways over a five year period,and observed the effects on production and the morale of the control
26、 group.Over the period,changes such as new payment systems,rest breaks of different sorts and lengths,varying the length of the working day,and offering food and refreshments were tried.In almost all cases,productivity improved.At the end of the experiment,Mayo felt that he had proven his point and
27、closed it down,returning the women to their original conditions,a six day week,with long hours and no rest breaks or refreshments.Surprisingly,productivity in the group rose to their highest levels and Mayo had to rethink his conclusions.This effect became known as the Hawthorne Effect.,The control
28、group.,felt important because they had been singled out for attention.had developed good relationships amongst each other,which often extended outside of the workplace-they formed a close working group.felt empowered as they had been allowed to set their own work patterns.believed their relationship
29、s made for a much more pleasant working environment,which included the fact that the researchers were prepared to answer their questions.,Mayo concluded.,Mayo decided that work satisfaction must depend,to a large extent,upon the informal social relationships between workers in a group and upon the s
30、ocial relationships between workers and their bosses.The power of the working group(both formal and informal)should never be underestimated.,David McLelland,Over the years behavioural scientists have observed that some people have an intense need to achieve whereas others do not seem to be as concer
31、ned about achievement.This phenomenon fascinated David McClelland and for over twenty years he and his associates at Harvard University studied this urge to achieve.He was concerned more with differences between individuals than understanding common factors in motivations.,McClelland,Three needs tha
32、t influence Motivation.,Achievement(N-Ach)-the n-ach person is motivated primarily by achievement and is therefore looking for realistic goals and targets that they can achieve.They will be strongly motivated by a desire to progress and be promoted within the organisation.McClelland argued that n-ac
33、h is not inherited,but is determined by environmental influences.People with a high n-ach are likely to have a low level of n-aff.Affiliation(N-Aff)-the affiliation motivated person is driven by a need for social relationships and is driven by their interaction with other people.People with a high l
34、evel of n-aff are likely to be good team players.Authority and power(N-Pow)-people with a high need for authority and power are very driven by status.They want to lead and will want their ideas to prevail.They are likely to be motivated by personal status and prestige.,McLellands conclusions.,These
35、needs are present in all people but in varying intensityManagers should try to identify which of these needs workers have and allocate them tasks and roles appropriatelyThis should boost morale and productivity,Process Theories Vroom and Adams,Vrooms Expectancy Theory,Vroom first developed his expec
36、tancy theory in 1964This was later developed by Porter and Lawler in 1968,Expectancy Theory states,This theory states that workers will only act when they have a reasonable expectation that their work will lead to the desired outcome.They need to believe that they possess the necessary ability and s
37、kill to achieve the given goal.Expectancy theory predicts that employees in an organisation will be motivated when they believe that:putting in more effort will yield better job performancebetter job performance will lead to organisational rewards,such as an increase in salary or benefitsthese predi
38、cted organisational rewards are valued by the employee in question,Practical measures based on expectancy theory,Work out which outcomes are valued by employeesDecide what kind of performance is required from employeesEnsure that the desired level of performance is achievableTie in the desired outco
39、mes with the desired performanceCheck the situation for any conflicting expectanciesEnsure that the outcomes are seen as sufficient rewardCheck that the system is fair and seen to be fairThese precepts can be translated into practical measuresPay and reward systems should be designed,which reward pe
40、rformance efforts by employeesJobs must be flexibly designed to take account of the needs of employeesManagers must be trained to set clear and achievable goals,which are clearly linked with the reward system,and to use positive reinforcement of desired responsesMotivation throughout the organisatio
41、n must be regularly monitoredFlexibility should be built in to allow employees to choose their own rewards,John Stacey Adamss Equity Theory,John Stacey Adams was a workplace and behavioural psychologistPut forward his Equity Theory on job motivation in 1963.,Equity Theory,Emphasis on what is fair an
42、d reasonableIndividuals,seek a fair balance between what we put into our job and what we get out of it.Adams calls these inputs and outputs.Individuals form perceptions of what constitutes a fair balance or trade of inputs and outputs by comparing their own situation with colleagues,friends and part
43、ners,Equity Theory,Inputs.effort,loyalty,hard work,commitment,skill,ability,adaptability,flexibility,etc.,Outputs financial rewards-pay,salary,expenses,bonus and commission intangibles-recognition,reputation,praise,promotion,etc.,People need to feel that there is a fair balance between inputs and ou
44、tputs.,If employees feel are that inputs are fairly and adequately rewarded by outputs(the fairness benchmark being subjectively perceived from market norms and other comparative references)then they are happy in our work and motivated to continue inputting at the same level.,Task,Poor Motivation at
45、 the Sandwich Factory,Greggs Sandwich Factory has a big problem with their staffLabour turnover and absenteeism are high and productivity has fallenCurrently each member of staff on the production line has their own section and are paid the national minimum hourly wage according to their ageStaff al
46、ways stay on their own section and due to the way the factory is set up,has very little interaction with other staff apart from at lunchtimes,Task,Each group takes on the theory of a motivational theorist:MayoTaylorMaslowHerzbergAssuming you are following one motivational theory,write detailed suggestions on how you would improve motivation at the School Canteen,Task,Read the Motivation at Kelloggs case study and see how each of the motivation theories have been implemented,
