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© 2007 Prentice Hall Inc. All rights reserved. Motivation: From Concepts to Applications Chapter SEVEN
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© 2007 Prentice Hall Inc. All rights reserved. Motivation: From Concepts to Applications Chapter SEVEN.

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Page 1: © 2007 Prentice Hall Inc. All rights reserved. Motivation: From Concepts to Applications Chapter SEVEN.

© 2007 Prentice Hall Inc. All rights reserved.

Motivation: From Concepts to Applications

Chapter SEVEN

Page 2: © 2007 Prentice Hall Inc. All rights reserved. Motivation: From Concepts to Applications Chapter SEVEN.

© 2007 Prentice Hall Inc. All rights reserved.

Job Design TheoryJob Design Theory

Characteristics:

1. Skill variety

2. Task identity

3. Task significance

4. Autonomy

5. Feedback

Characteristics:

1. Skill variety

2. Task identity

3. Task significance

4. Autonomy

5. Feedback

Job Characteristics Model

Identifies five job characteristics and their relationship to personal and work outcomes.

Page 3: © 2007 Prentice Hall Inc. All rights reserved. Motivation: From Concepts to Applications Chapter SEVEN.

© 2007 Prentice Hall Inc. All rights reserved.

Job Design Theory (cont’d)Job Design Theory (cont’d)

Job Characteristics Model

– Jobs with skill variety, task identity, task significance, autonomy, and for which feedback of results is given, directly affect three psychological states of employees:

• Knowledge of results

• Meaningfulness of work

• Personal feelings of responsibility for results

– Increases in these psychological states result in increased motivation, performance, and job satisfaction.

Page 4: © 2007 Prentice Hall Inc. All rights reserved. Motivation: From Concepts to Applications Chapter SEVEN.

© 2007 Prentice Hall Inc. All rights reserved.

The Job Characteristics ModelThe Job Characteristics Model

E X H I B I T 7–1E X H I B I T 7–1Source: J.R. Hackman and G.R. Oldham, Work Design (excerpted from pp. 78–80). © 1980 by

Addison-Wesley Publishing Co., Inc. Reprinted by permission of Addison-Wesley Longman, Inc.

Page 5: © 2007 Prentice Hall Inc. All rights reserved. Motivation: From Concepts to Applications Chapter SEVEN.

© 2007 Prentice Hall Inc. All rights reserved.

Computing a Motivating Potential ScoreComputing a Motivating Potential Score

People who work on jobs with high core dimensions are generally more motivated, satisfied, and productive.

Job dimensions operate through the psychological states in influencing personal and work outcome variables rather than influencing them directly.

People who work on jobs with high core dimensions are generally more motivated, satisfied, and productive.

Job dimensions operate through the psychological states in influencing personal and work outcome variables rather than influencing them directly.

Page 6: © 2007 Prentice Hall Inc. All rights reserved. Motivation: From Concepts to Applications Chapter SEVEN.

© 2007 Prentice Hall Inc. All rights reserved.

Job Design and SchedulingJob Design and Scheduling

Job Rotation

The periodic shifting of a worker from one task to another.

Job Enlargement

The horizontal expansion of jobs.

Job Enrichment

The vertical expansion of jobs.

Page 7: © 2007 Prentice Hall Inc. All rights reserved. Motivation: From Concepts to Applications Chapter SEVEN.

© 2007 Prentice Hall Inc. All rights reserved.

Guidelines for Enriching a JobGuidelines for Enriching a Job

E X H I B I T 7–2E X H I B I T 7–2

Source: J.R. Hackman and J.L. Suttle, eds., Improving Life at Work (Glenview, IL: Scott Foresman, 1977), p. 138.

Page 8: © 2007 Prentice Hall Inc. All rights reserved. Motivation: From Concepts to Applications Chapter SEVEN.

© 2007 Prentice Hall Inc. All rights reserved.

Alternative Work ArrangementsAlternative Work Arrangements

•Flextime

•Job Sharing

•Telecommuting

Page 9: © 2007 Prentice Hall Inc. All rights reserved. Motivation: From Concepts to Applications Chapter SEVEN.

© 2007 Prentice Hall Inc. All rights reserved.

TelecommutingTelecommuting

Advantages

– Larger labor pool

– Higher productivity

– Less turnover

– Improved morale

– Reduced office-space costs

Disadvantages (Employer)

– Less direct supervision of employees

– Difficult to coordinate teamwork

– Difficult to evaluate non-quantitative performance

Page 10: © 2007 Prentice Hall Inc. All rights reserved. Motivation: From Concepts to Applications Chapter SEVEN.

© 2007 Prentice Hall Inc. All rights reserved.

Performance = f(A x M x O)Performance = f(A x M x O)

E X H I B I T 6–9E X H I B I T 6–9

Source: Adapted from M. Blumberg and C.D. Pringle, “The Missing Opportunity in Organizational Research: Some Implications for a Theory of Work Performance,” Academy of Management Review, October 1982, p. 565.

Page 11: © 2007 Prentice Hall Inc. All rights reserved. Motivation: From Concepts to Applications Chapter SEVEN.

© 2007 Prentice Hall Inc. All rights reserved.

What is Employee Involvement?What is Employee Involvement?

Employee Involvement Program

A participative process that uses the entire capacity of employees and is designed to encourage increased commitment to the organization’s success.

Page 12: © 2007 Prentice Hall Inc. All rights reserved. Motivation: From Concepts to Applications Chapter SEVEN.

© 2007 Prentice Hall Inc. All rights reserved.

Examples of Employee Involvement ProgramsExamples of Employee Involvement Programs

•Participative Management

•Representative Participation

- Works Councils

- Board Representative

•Quality Circle

Page 13: © 2007 Prentice Hall Inc. All rights reserved. Motivation: From Concepts to Applications Chapter SEVEN.

© 2007 Prentice Hall Inc. All rights reserved.

Linking EI Programs and Motivation TheoriesLinking EI Programs and Motivation Theories

Employee Employee Involvement Involvement

ProgramsPrograms

Employee Employee Involvement Involvement

ProgramsPrograms

Theory YTheory Y(Believing (Believing employees employees want to be want to be involved)involved)

Theory YTheory Y(Believing (Believing employees employees want to be want to be involved)involved)

Two-Factor Two-Factor TheoryTheory

((Intrinsic Intrinsic Motivation)Motivation)

Two-Factor Two-Factor TheoryTheory

((Intrinsic Intrinsic Motivation)Motivation)

ERG TheoryERG Theory((EmployeeEmployee

Needs)Needs)

ERG TheoryERG Theory((EmployeeEmployee

Needs)Needs)

Page 14: © 2007 Prentice Hall Inc. All rights reserved. Motivation: From Concepts to Applications Chapter SEVEN.

© 2007 Prentice Hall Inc. All rights reserved.

Rewarding Employees: Four Aspects Rewarding Employees: Four Aspects

•What to Pay (Internal vs. external equity)

•How to Pay (e.g Piece rate, merit based, bonuses, profit sharing, gain sharing, ESOPs, skill-based pay)

•What Benefits to Offer (e.g.,Flexible benefits)

•How to Recognize Employees

Page 15: © 2007 Prentice Hall Inc. All rights reserved. Motivation: From Concepts to Applications Chapter SEVEN.

© 2007 Prentice Hall Inc. All rights reserved.

Rewarding Employees: Variable Pay ProgramsRewarding Employees: Variable Pay Programs

Variable Pay Programs

A portion of an employee’s pay is based on some individual and/or organization measure of performance.

• Piece rate pay plans

• Profit sharing plans

• Gain sharing plans

Page 16: © 2007 Prentice Hall Inc. All rights reserved. Motivation: From Concepts to Applications Chapter SEVEN.

© 2007 Prentice Hall Inc. All rights reserved.

Rewarding Employees Rewarding Employees

Employee Stock Ownership Plans (ESOPs)

Company-established benefit plans in which employees acquire stock as part of their benefits.

Page 17: © 2007 Prentice Hall Inc. All rights reserved. Motivation: From Concepts to Applications Chapter SEVEN.

© 2007 Prentice Hall Inc. All rights reserved.

Skill-Based Pay PlansSkill-Based Pay Plans

Benefits of Skill-based Pay Plans:

1. Provides staffing flexibility.

2. Facilitates communication across the organization.

3. Lessens “protection of territory” behaviors.

4. Meets the needs of employees for advancement (without promotion).

5. Leads to performance improvements.

Benefits of Skill-based Pay Plans:

1. Provides staffing flexibility.

2. Facilitates communication across the organization.

3. Lessens “protection of territory” behaviors.

4. Meets the needs of employees for advancement (without promotion).

5. Leads to performance improvements.

Pay levels are based on how many skills employees have or how many jobs they can do.

Page 18: © 2007 Prentice Hall Inc. All rights reserved. Motivation: From Concepts to Applications Chapter SEVEN.

© 2007 Prentice Hall Inc. All rights reserved.

Skill-Based Pay Plans (cont’d)Skill-Based Pay Plans (cont’d)

Drawbacks of Skill-based Pay Plans:

1. Lack of additional learning opportunities that will increase employee pay.

2. Continuing to pay employees for skills that have become obsolete.

3. Paying for skills which are of no immediate use to the organization.

4. Paying for a skill, not for the level of employee performance for the particular skill.

Drawbacks of Skill-based Pay Plans:

1. Lack of additional learning opportunities that will increase employee pay.

2. Continuing to pay employees for skills that have become obsolete.

3. Paying for skills which are of no immediate use to the organization.

4. Paying for a skill, not for the level of employee performance for the particular skill.

Page 19: © 2007 Prentice Hall Inc. All rights reserved. Motivation: From Concepts to Applications Chapter SEVEN.

© 2007 Prentice Hall Inc. All rights reserved.

Linking Skill-based Plans and Motivation Theories

Linking Skill-based Plans and Motivation Theories

Skill Based Skill Based Pay PlansPay Plans

Skill Based Skill Based Pay PlansPay Plans

Reinforcement Reinforcement TheoryTheory

Reinforcement Reinforcement TheoryTheory

Equity Equity

Theory Theory

Equity Equity

Theory Theory

ERG Theory ERG Theory (Growth)(Growth)

ERG Theory ERG Theory (Growth)(Growth)

McClelland’s McClelland’s Need for Need for

AchievementAchievement

McClelland’s McClelland’s Need for Need for

AchievementAchievement

Page 20: © 2007 Prentice Hall Inc. All rights reserved. Motivation: From Concepts to Applications Chapter SEVEN.

© 2007 Prentice Hall Inc. All rights reserved.

Flexible BenefitsFlexible Benefits

Flexible Spending Plans: allow employees to use their tax-free benefit dollars to purchase benefits and pay service premiums.

Flexible Spending Plans: allow employees to use their tax-free benefit dollars to purchase benefits and pay service premiums.

Modular Plans: predesigned benefits packages for specific groups of employees.

Modular Plans: predesigned benefits packages for specific groups of employees.

Core-Plus Plans:a core of essential benefits and a menu-like selection of other benefit options.

Core-Plus Plans:a core of essential benefits and a menu-like selection of other benefit options.

Employees tailor their benefit program to meet their personal need by picking and choosing from a menu of benefit options.

Page 21: © 2007 Prentice Hall Inc. All rights reserved. Motivation: From Concepts to Applications Chapter SEVEN.

© 2007 Prentice Hall Inc. All rights reserved.

Employee Recognition ProgramsEmployee Recognition Programs

Intrinsic rewards: stimulate intrinsic motivation

– Personal attention given to employee

– Approval & appreciation for a job well done

– Growing in popularity and usage

Benefits of programs

– Fulfill employees’ desire for recognition

– Inexpensive to implement

– Encourages repetition of desired behaviors

Drawbacks of programs

– Susceptible to manipulation by management

Page 22: © 2007 Prentice Hall Inc. All rights reserved. Motivation: From Concepts to Applications Chapter SEVEN.

© 2007 Prentice Hall Inc. All rights reserved.

Implications for ManagersImplications for Managers

In Order to Motivate Employees

– Recognize individual differences.

– Use goals and feedback.

– Allow employees to participate in decisions that affect them.

– Link rewards to performance.

– Check the system for equity.