Chapter 5 Motivation

Chapter 5
Motivation
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Learning Objectives
1. Describe the role that need deficiencies play in motivating
employees.
2. Compare the major differences between the four content
approaches of motivation.
3. Give examples of how the three process approaches affect
employee motivation.
4. Examine how the changing nature of the psychological
contract influences employee motivation.
5. Summarize the action steps that managers can take to
motivate employees.
Copyright © 2018 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education.. 5-2
Motivation
Motivation Content Approaches Process Approaches Psychological

process • Maslow Hierarchy • Expectancy Theory Contract
of Needs • Equity Theory
• Alderfer ’s ERG • Goal Setting Theory
Theory
• Herzberg’s Two-
Factor Theory Organisation
• McClelland Needs Justice
Theory
Procedural
Justice
Introduction
More than motivation plays a role in
performance
• Ability
• Instinct
• Aspiration level
• Personal factors (age, education, background)
EXHIBIT 5.1 Determinants of Job Performance
Determinants of Job Performance
Motivation Components
• Direction – refers to what an individual
chooses to do when presented with a
number of possible alternatives.
• Persistence – it refers to the staying power or
behavior a person will continue to devote
effort.
• Intensity - refers to the strength of the
response once the choice (direction) is made.
Needs Motivate Employees
• Most managers must motivate a diverse
and unpredictable group of people
– They have varying needs and goals
• Needs
– Deficiencies an individual experiences at a particular
time
– May be physiological, psychological, or sociological
– Those with deficiencies are more susceptible
to motivational efforts
Needs Motivate Employees
Needs trigger tension and a search for ways to
reduce it
– A course of action is selected
– Goal-directed behavior occurs
– The behavior triggers either a reward or

punishment
– The deficiencies are reassessed
EXHIBIT 5.2 The Motivational Process:
A General Model
Motivation Theories
 Content theories focus on
– Factors within the person
– The needs that motivate people
 Process theories describe, explain, and
analyze how behavior is…
– Energized
– Directed
– Sustained
– Stopped
EXHIBIT 5.3 Managerial Perspective of Content and Process
Theories of Motivation
CONTENT MOTIVATION THEORIES
1. Maslow’s needs hierarchy

2. Alderfer’s ERG theory
3. Herzberg’s two-factor theory
4. McClelland’s learned needs theory
EXHIBIT 5.4 MASLOW’S NEEDS HIERARCHY RELATED TO THE JOB
The Need-Hierarchy Approach
 A satisfied need ceases to motivate
 Unsatisfied needs can cause frustration,

conflict, and stress
 People have a need to grow and develop;

they strive to move up the hierarchy
Maslow’s Needs Hierarchy
Need-hierarchy issues
– Little data proves that a needs hierarchy exists
– Only two needs levels exist: physiological and
then all others
– Security needs decrease as managers advance
• With a corresponding increase in need for social
interaction, achievement, and self-actualization
Alderfer’s ERG Theory
Alderfer’s ERG needs correspond to Maslow’s
hierarchy
– Existence = physiological and safety
– Relatedness = belongingness, social, love
– Growth = esteem and self-actualization
A frustration-regression process exists
– If one continually fails to satisfy growth needs, relatedness
needs reemerge
– Efforts will be redirected toward satisfying a lower-order
need
Herzberg’s Two-Factor Theory
• A content theory with two motivation factors
• Dissatisfiers-satisfiers (hygiene factors)
• Salary, job security, working conditions, status, company
procedures, interpersonal relations
• Satisfiers-motivators (intrinsic conditions)
• The job content, achievement, recognition, responsibility,
advancement, possibility of growth
EXHIBIT 5.5 Traditional versus Herzberg View of Job Satisfaction
Criticisms of Herzberg’s Theory
• Over-simplifies the nature of job satisfaction
• Requires people to look at themselves
retrospectively
• Only self-reports of performance over long period
of time were used in original study
• Little testing of motivational and performance
consequences of the theory
Herzberg’s Two-Factor Theory
Job enrichment
– Builds personal achievement, recognition, challenge,
responsibility, and growth opportunities into a job
– Increases individual motivation by providing more
discretion and accountability
McClelland’s Learned Needs Theory
McClelland believes needs are acquired from
culture
 Need for achievement (n Ach)
 Challenging goals, responsibility, calculated risk,
desires feedback.
 Need for affiliation (n Aff)
 Desires to interact socially, quality of personal
relationship,
 Need for power (n Pow)
 Power & authority, influencing others
Factors reflecting a high n Ach
– Likes to take responsibility for solving problems
– Sets moderate achievement goals and takes
calculated risks
– Desires feedback on performance
Factors reflecting a high n Pow
– Concentrates on obtaining and exercising
power and authority
– Concerned with influencing others and
winning arguments
– Power can be negative or positive
Factors reflecting a high n Aff
– Desires social interaction
– Concerned about the quality of personal
relationships
– Social relationships take precedence over task
accomplishment
Criticisms of Learned Needs Theory
• Supporting evidence supplied by McClelland and his associates
• Use of projective psychological personality tests has been
questioned as being unscientific
• Claim that n Ach can be learned runs counter to a large body
of literature that argues the acquisition of motives normally
occurs in childhood and is very difficult to alter in adulthood
• No proof that acquired needs are permanently acquired
• Can something learned in training last?
EXHIBIT 5.6 A Graphic Comparison of
Four Content Approaches to Motivation
Process Theories of Motivation
Content theories focus primarily on the needs and incentives that
cause behavior
– They try to explain how behavior is energized, directed,
maintained, and stopped
The process theories of motivation are concerned with answering

the questions of how individual behavior is energized, directed,
maintained, and stopped.
1. Expectancy theory
2. Equity theory
3. Goal-setting
Vroom’s Expectancy Theory
 Employees are more likely to be motivated
when they perceive that effort = successful
performance + desired rewards and
outcomes
 Motivation is a process governing choices
among alternative forms of voluntary activity
 Most behaviors are under the voluntary
control of the individual and consequently
are motivated
 Instrumentality
– The perception that first-level outcomes
(performance) are tied to second-level
outcomes (rewards or punishment)
 Valence
– An individual’s preferences for outcomes
 Expectancy
– Belief that a particular behavior will be followed by a
particular outcome
EXPECTANCY INSTRUMENTALITY VALENCE
Probability that effort Probability that Preference for
will result in desired performance will lead to outcomes as seen by
level of performance desired outcomes individual
Desired outcomes
Effort Performance (e.g. pay raise, promotion)
EXHIBIT 5.7 Expectancy Theory
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Equity Theory
 One’s perception of being treated fairly in
social exchanges can influence motivation
 Equity exists when one perceives that the ratio of

their inputs (efforts) to their outcomes
(rewards) equals the ratios of other
employees
Important Equity Theory Terms
Person- The individual for whom equity or inequity
is perceived
Comparison Other- Any group or persons used as a
referent by Person, regarding the ratio of inputs
and outcomes
Inputs- The individual characteristics brought by
Person to the job (skills, experience, learning)
Outcomes- What Person received from the job
(recognition, benefits, pay)
EXHIBIT 5.8 The Equity Theory of Motivation
Change Procedures to Restore Equity
 Changing inputs
 Changing outcomes
 Changing attitudes
 Changing the reference person
 Changing the inputs or outcomes of the
reference person
 Leaving the field
ORGANIZATIONAL JUSTICE
• The degree to which individuals feel fairly treated
at the workplace.
• It is regarding the perceptions and judgements by
employees regarding the fairness of their
organization’s procedures and decisions.
Organizational Justice
Dimension of Brief Definition Example of Dimension at Work
Organizational
Justice
Distributive Perception of fairness of the I made higher sales than my colleagues
resources and rewards in an this year, but my colleague just received a
organization. higher bonus. This isn’t fair!
Procedural Perception of fairness of the The way they make pay raise decisions
process used to distribute around here doesn’t seem fair. The
rewards. manager’s favorites always receive the
largest pay raises.
Interpersonal Perception of fairness of the I was amazed that my boss found each of
treatment received by us enough hours to work this past month.
employees from authorities. Business at the restaurant has been down
and I didn’t think I was going to make
enough tips to be able to pay my rent.
Informational Perception of fairness of the When I asked my boss why I only received
communication provided to a 3% pay raise, she spent an hour with me
Exhibit 5.9 Four Dimensions of Organizational
employees from authorities.
Justice
explaining what areas I need to improve so
I can earn a higher raise next year.
Organizational Justice
Procedural justice has been shown to have a positive
impact on a number of affective and behavioral
reactions
– Organizational commitment
– Intrinsic motivation
– Intent to stay with organization
– Organizational citizenship
– Trust in supervisor
– Satisfaction with decision outcome
– Work effort
– Task performance
Procedural Justice
People are more inclined to interpret decisions
as fair when…
– They have a voice in the decision
– Decision making is consistent
– The process and procedures conform to ethical and
moral values
Procedural Justice
Why does it work?
Self-interest Theory -People want fair
procedures because it enables them to obtain
desired extrinsic outcomes
Group Theory- Fair group procedures

are a sign of respect and an indication
that group members are valued
Interpersonal justice
– Judgments made by employees as to whether
they feel they are treated fairly
– Perceptions of justice are higher when employees
are treated with dignity and respect
– Abusive supervisors are common
– Employees who experience bullying and
incivility are more likely to quit
Informational justice
– Perceived fairness of the communication provided
to employees from authorities
– Keep many channels open and communicate
frequently
– Utilize informal chats
– Don’t sugarcoat bad news
Goal Setting
A goal is a result that a person or group is trying to
accomplish through behavior and actions
Locke’s view…
– An individual’s conscious goals and intentions are
the primary determinants of behavior
– Once a person starts something, he/she
pushes on until a goal is achieved
– Harder goals result in higher levels of
performance if the goals are accepted by the
individual
Goal Setting Terms
Goal specificity
– the degree of quantitative precision (clarity) of the goal.
Goal difficulty
– the degree of proficiency or the level of performance
that is sought.
Goal intensity
– pertains to the process of setting the goal or of
determining how to reach it.
Goal commitment
– the amount of effort used to achieve a goal.
EXHIBIT 5.10 Goal Setting Applied to Organizations
Motivation and the Psychological
Contract
 Exchange theory Organizational members
engage in reasonably predictable give-and-
take relationships
 Per Schein, the degree to which employees
exert effort, commit to goals, and derive
satisfaction from work depends on
⁻ The extent to which employee expectations match
the organization’s expectations
⁻ The specific nature of what is exchanged
The Psychological Contract
Mutual expectations constitute part of the
psychological contract
■ An unwritten agreement between the individual and the
organization
■ Specifies what each expects to give and receive from the

other
■ Can change over time
■ These implicit agreements may take precedence over written

agreements
Psychological Contract Breach
• A perception that the organization has failed to

fulfill an unwritten exchange agreement.
• A violation in the psychological contract can
lead to decreased job satisfaction and
citizenship behavior.
Managers…
• Can influence the • Should continual monitor
motivation state of the needs, abilities, goals,
employees and preferences of
employees and not just
• Must intervene and help depend on HR to do so
create an atmosphere that
encourages, supports, and • Need to provide employees
sustains improvement. with jobs that offer task
challenge, diversity, and a
• Should be sensitive to variety of opportunities for
variations in employees’ need satisfaction.
needs, abilities, and goals.
• Must consider differences
valences for rewards.
Copyright © 2018 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education.
©McGraw-Hill Education. 48

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Chapter 5

Motivation Content Approaches Process Approaches Psychological

– Goal-directed behavior occurs

– The behavior triggers either a reward or

– The deficiencies are reassessed

1. Maslow’s needs hierarchy

 Unsatisfied needs can cause frustration,

 People have a need to grow and develop;

The process theories of motivation are concerned with answering

EXHIBIT 5.7 Expectancy Theory

 Equity exists when one perceives that the ratio of

Group Theory- Fair group procedures

■ Specifies what each expects to give and receive from the

■ Can change over time

■ These implicit agreements may take precedence over written

• A perception that the organization has failed to

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