Chapter 13
Motivation and Performance
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The Nature of Motivation
Motivation– The psychological forces that determine
• The direction of a person’s behavior • A person’s level of effort• A person’s level of persistence
– Explains why people behave the way they do in organizations
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The Nature of Motivation
Intrinsically Motivated Behavior– Behavior that is performed for its own sake
Extrinsically Motivated Behavior– Behavior that is performed to:
• Acquire material or social rewards• Avoid punishment
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The Motivation Equation
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Maslow’s Hierarchy of NeedsSelf-Self-
actualizationactualizationRealize one’sRealize one’s full potentialfull potential
Use abilities Use abilities to the fullestto the fullest
EsteemEsteem Feel good Feel good about oneselfabout oneself
PromotionsPromotions and recognitionand recognition
BelongingnessBelongingness Social Social interaction, loveinteraction, love
Interpersonal Interpersonal relations, partiesrelations, parties
SafetySafety Security, stabilitySecurity, stability Job security, Job security, health insurancehealth insurance
PhysiologicalPhysiological Food, water, Food, water, sheltershelter
Basic pay level Basic pay level to buy itemsto buy items
NeedsNeeds DescriptionDescription ExamplesExamples
Lower-level needs must be satisfied before higher-level needs are
addressed..
Highest-level needs
Lowest-level needs
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Alderfer’s ERG Theory
After lower level needs satisfied, person seeks higher needs. Whenunable to satisfy higher needs, lower needs motivation is raised.
GrowthGrowth Self-development,Self-development,creative workcreative work
ContinuallyContinuallyimprove skillsimprove skills
RelatednessRelatedness Interpersonal Interpersonal relations, feelingsrelations, feelings
Good relations,Good relations,accurate feedbackaccurate feedback
ExistenceExistence Food, water, Food, water, clothing, and shelterclothing, and shelter
Adequate payAdequate payfor necessitiesfor necessities
NeedsNeeds DescriptionDescription ExamplesExamplesHighest-level
needs
Lowest-level needs
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Herzberg’s Motivation-Hygiene Theory Motivator needs
– Relate to the nature of the work itself– Autonomy, responsibility, interesting work
Hygiene needs – Relate to the physical and psychological
context of the work– Comfortable work environment, pay, job
security
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McClelland’s Needs
Achievement– A strong need to perform challenging
tasks well Affiliation
– Establishing and maintaining good interpersonal relations
Power– A desire to control or influence others
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Equity Theory
Equity Theory – Focuses on people’s perceptions of the
fairness (or lack of fairness) of their work outcomes in proportion to their work inputs.
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Equity TheoryCondition Person Referent Example
EquityEquity OutcomesOutcomes = = OutcomesOutcomesInputs InputsInputs Inputs
Worker contributesWorker contributesmore inputs but alsomore inputs but also
gets more outputsgets more outputsthan referentthan referent
UnderpaymentEquity
Outcomes < OutcomesInputs Inputs
Worker contributesmore inputs but also
gets the same outputsas referent
OverpaymentOverpaymentEquityEquity
OutcomesOutcomes > > OutcomesOutcomesInputs InputsInputs Inputs
Worker contributesWorker contributessame inputs but alsosame inputs but also
gets more outputsgets more outputsthan referentthan referent
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Equity Theory
Restoring Equity: Inequity creates tension in workers causing them to attempt to restore equity.– In underpayment, workers may reduce input levels
to correct (rebalance) the ratio or seek a raise.– In overpayment, workers may change the referent
person and readjust their ratio perception.– If inequity persists, workers will often choose to
leave the organization.
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Expectancy Theory
Motivation will be high when workers believe:– High levels of effort will
lead to high performance. – High performance
will lead to the attainment of desired outcomes.
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Expectancy Theory
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Expectancy Theory
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Operant Conditioning
Operant Conditioning– People learn to perform behaviors that lead
to desired consequences Organizational Behavior Modification
– Using operant conditioning techniques to promote the performance of desired organizational behaviors
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Operant Conditioning
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Social Learning Theory
Social Learning Theory– Modeling the behavior of others
Self-Reinforcement– Any attractive outcome or award that a
person can give himself/herself Self-efficacy
– A person’s belief about his or her ability to perform a behavior successfully
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Pay and Motivation Need Theory
– Pay is used to satisfy many needs Equity Theory
– Pay is given in relation to inputs Expectancy
– Pay must be valued as an outcome Learning Theory
– Pay is distributed upon performance of functional behaviors
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Merit Pay and Performance Compensation that bases pay on based on
performance. Individual
– When individual performance can be accurately measured
Group– When a group that works closely together is
measured and rewarded as a group Organization
– When group or individual outcomes are not easily measured
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Examples of Merit Pay Plans Piece-rate Pay
– Employee’s pay is based on the number of units that the employee produces
Commission Pay– Employee’s pay is based on a percentage of sales
that the employee makes. Organization-based Merit Plans
– Scanlon plan—focuses on reduced expenses or cutting costs
– Profit sharing—employees receive a share of an organization’s profits