Motivation At Work

Dr. Chaithra N Kowshik

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Motivational theories

 Need theories

 Process theories

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Vroom’s Expectancy Model

 Expectancy model is based on the belief that motivation

is determined by nature of reward for the performance

 Human is rational being and look for maximizing benefits.

 The strength of a tendency to act in a certain way

depends on the strength of an expectation that the act
will be followed by a given outcome and on the
attractiveness of that outcome to the individual..

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Vroom’s Expectancy Model
 The assessment that the likelihood that the effort will lead
to expected performance (Expectancy)

 The belief that the performance will lead to reward

(Instrumentality).

 Employee’s motivation is an outcome of how much an

individual wants a reward (Valence) ,

 Motivational Force=Expectancy*Instrumentality*Valence

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 Outcomes of the theory

 Low effort-performance expectancy

 Low performance-reward Instrumentality relationship

 Low reward-valence.

 The management should recognize and determine as it

exists.

 Steps to improve on the factors of expectancy,

Instrumentality, valence.

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How to apply theory in practical?

Step 1

 Employees who resist taking on new job duties, claiming

“I'm not being paid for this,”

 Use traditional and innovative compensation strategies to

leverage the expectancy theory

 According to the expectancy theory, employees will work
as hard as they believe their effort will be worth in relation
to the compensation they will receive for each particular
task.

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Step 2

 Compensation incentives directly into specific

performance objectives.

 Generous bonus to employees

 Commitment by employees towards organization goals

Step 3

 According to needs theory at least there should be one

need among the employees

 Subconsciously seek personal achievement, social

acceptance or power
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Continued..

 Employee recognition programs can boost employees'

self-esteem and feelings of achievement.

 Employee development programs allow hard workers to

move into positions of leadership, fulfilling their ambitions

Step 4

 Gauge the intrinsic motivation of your employees to

determine whether (Theory X and Theory Y)

Thoery X – motivated continuously by external sources

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Continued..

 Strict operational guideline to guide the frontline

employees.

 Theory Y- internally driven to succeed at projects that

truly interest them.

 employees are free to experiment and learn from their

mistakes, and pair them up with work tasks they are

actually interested in.

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Other theories suitable at work

 Equity theory

 Goal setting theory

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Job characteristic Model

 Developed by Hackman and Oldham

 Proposes that there exists three psychological states,

which are triggered by five characteristics of the job

described as “core job dimensions”.

 job can be described in terms of these five core job

dimensions

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 Core Dimensions Psychological States Outcomes

Skill Variety High intrinsic

Task identify Meaningfulness of Motivation
Task significance work
High job
Performance
Responsibility High job
Autonomy for outcomes satisfaction

Low
absenteeism &
Knowledge of turnover
Feedback
Results

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Employee growth-need strength
Core Job Dimensions

• Skill Variety
• Task Identity
• Task Significance
• Autonomy
• Feedback

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Core Job Dimensions
 Skill Variety
 Extent to which job requires a range of competencies
and abilities

 High variety
The owner-operator of a garage who does electrical
repair, rebuilds engines, does body work, and interacts
with customers
 Low variety
 A shop worker who sprays paint eight hours a day

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 Continued..
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 Task Identity
 Degree to which the tasks or the jobs are clearly identifiable and
have visible outcome

 High identity

 A cabinetmaker who designs a pieces of furniture, selects the

wood, builds the object, and finishes it to perfection

 Low identity

 A worker in a furniture factory who operates a lathe to make

table legs

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Continued..

 Task Significance
 Extent to which employees impact others and the
company

 High significance

 Treating the sick in a hospital intensive care unit

 Low significance

 Sweeping hospital floors

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 Continued..
 Autonomy
 Extent of freedom and discretion available to determine how
to perform the job

 High autonomy

 Employee gets freedom to work independently, without

immediate supervision

 Low autonomy

 Under strict supervision

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 Continued..

 Job Feedback
 Extent to which completing a task provides clear & timely
performance feedback

 High feedback

 An electronics factory worker who assembles a radio and then

tests it to determine if it operates properly

 Low feedback
 An electronics factory worker who assembles a radio and then
routes it to a quality control inspector who tests and adjusts it
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 Motivating Potential Score

Skill Variety +Task Identity+ Task Significance

3

MPS = X

If the score is high ,

employee will experience
Autonomy
3 psychological state

Score is low motivating X

potential, will not enjoy
the job
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Critical Psychological states

 Meaningfulness of work

 Responsibility

 Knowledge of outcomes

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Meaningfulness of work
 Something that you can relate to

 Does not occur just as a set of movements to be

repeated.

 This is fundamental to intrinsic motivation, i.e. that

work is motivating in itself (as opposed to motivating
only as a means to an end

 Employees should have confidence that what they are

doing is worthwhile or of value

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 Responsibility
 You have been given the opportunity to be a success or
failure at your job because sufficient freedom of action has
given you

 This would include the ability to make changes and

incorporate the learning gained whilst doing the job.

 Knowledge of outcomes
 If you Know the result, or outcome , it will track , monitor
the effectiveness, Evaluate the performance

 Individual will feel good about him self when he performs

his work well

 Intrinsic motivation, satisfaction will increase

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Key Moderators

 Knowledge and skills

 Individuals with high growth needs are more likely to

experience the psychological states when their jobs are

enriched than their counterparts with low growth need

 Context Satisfaction

(manager, pay, co-workers, job security etc )

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Outcomes
 Internal motivation

 Best motivation would be intrinsic motivation

 High growth satisfaction

 Challenging job leads to satisfaction and support

 High general job satisfaction

 3 psychological state

 High work effectiveness

 5 dimensions, 3 psychological state

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Designing the motivating job

 Job design research

 Intrinsic motivation

 Job structure

 Employees rated job content the most, among

other motivational factors

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 Historical theory and their
approaches
 Fredrick Taylor-Principles of scientific management (1911)- work
should be based on specialization and simplification –leads to
monotonous work

 Theories proposed during 1920- Routine jobs and excessive

specialized works leads to boredom and leads to decline in
production.

 Elton Mayo-(1880-1949) – behavioral approach-better

understanding of people to design jobs suitably.

 Maslow’s model-need hierarchy theory-management take care of

employees needs
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Herzberg’s contribution to job
enrichment
 Promoted the concept of ‘work re-design’

 His studies on white collared employees revealed

job satisfaction is mainly due to intrinsic factors.

 He concluded that roots job motivation lies in the

job-content itself.

 Elements of Job enrichment =Greater responsibility,

greater control over resources, immediate
feedbacks, personal growth and achievement

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 Job Redesigning
 The example of Arjun working in an assembly line manufacturing unit

and the job is repetitive in nature

 After a year he could not do it any more

 So he quiet and joined a print shop and make 350 Rs per 8 hours

which is compared less as his previous pay was 500.

 He feels the work he does is quiet interesting

 Problems with his job

 Little variety, autonomy and no motivation to work

 In contrast his job in the print shop is challenging and stimulating.

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Job Redesigning

 Job redesign is a technique of enriching the job

characteristics with a view to improving a Quality of

Work Life (QWL).

 The main objective of job redesigning is to place the

right person at right place to get the maximum

output while increasing their level of satisfaction

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Job Redesigning

 Important interventions in promoting QWL and

addressing employment-related issues include

 Job design

 Job rotation

 Job Enlargement

 Job Enrichment

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Job Design

 Deliberate attempt to structure the technical and

social aspects of work.

 Encompasses both organizing the components of

the tasks to be done and the interaction patterns

among the work group members in order to get the
job done.

 Focuses on overall situation surrounding a worker in

the job.
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Job Design
 Aim

 To integrate the needs of the individual with those of

the organization.

 To satisfy the requirement of the organization for

productivity, operational efficiency and quality of
product, or service

 To satisfy the needs of the individual for interest,

challenge and accomplishment
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 Job Design
 Job design involves four set of decisions

 To decide what tasks to be performed by the workforce

 How these tasks will be grouped and assigned to

individual

 Deciding how individual will relate to each other so that

their work can be co-ordinated

 Deciding how they will be rewarded for their performance

as members of the organization.
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Issues in job design

 The need for work to be challenging and meaningful

 The job should provide specific performance criteria and

feedback

 Scope for decision making and discretion

 Need for social support in the work place

 Need for recognition of one’s contribution

 Need for desirable future career path’s not dead ends

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Advantages of job design

 Employee Input

 Employee training

 Work/rest Schedules

 Adjustments

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Job rotation

 Defined as periodic shifting of an employee from

one task to another

 When an activity is no longer challenging, the

employee is shifted to another job, usually at the

same level.

 Ex Mc Donald’s

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 The strength of job rotation are

 It reduces boredom

 Increases motivation through diversifying the

employees activities

 Helps employees understand how their work

contributes to the organization

 Benefits for the organization are

 Employees with wide range of skill give organization

the flexibility in scheduling work, adopting to changes
and fill vacancies

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 The draw backs of job rotation is

 Training costs are incurred

 Productivity is reduced by moving a worker into

new position just when efficiency at the prior job
is creating organizational economics

 It creates disruption

 Members of the work group have to adjust to the

new employee

 Supervisors role is also increased.

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Job enrichment
 Upgrading of the job, responsibility, scope and challenge

in work

 Vertical expansion

 Motivational technique focuses on need and interesting

work

 By adding new responsibility

Ex- Bank clerk-PO-Manager

 Providing feed back to the employees

 Make employees to understand the significance of job

 freedom , power at some levels

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Job enrichment

 A enriched job organizes tasks so as to allow

the worker to do a complete activity, increases

the employees freedom and independence,
increases responsibility and provided feedback
so that individual will be able assess and to
correct their own performance.

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Advantages
 It makes job interesting

 It reduces absenteeism and mobility of employees

 Out put of the organization qualitatively and quantitatively

 Learn lot of skills

Limitations
 Technology may not allow enrichment for all jobs

 Not every employees want challenging jobs, many avoid

responsibility

 Those who want challenging jobs may not be capable of

doing it
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Job enlargement
 Making job interesting

 Increase the duties, responsibility but at the

same level

ex- planning- execution

 Horizontal expansion

 Additional task does not require extra special

skills

 It may require extra supervision and more

direction
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Alternative work arrangements
 Alternate work arrangements are a way to adjust the

employee's hours and pay in a way that benefits both the

employee and the employer.

 Flextime

 Job sharing

 Telecommuting

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 Flextime
 Short for flexible work hours

 It allows employees some discretion over when they

arrive and when they leave

 FWO’s (flexible work option) include Sabbatical leave,

work from home and annual hours concept.

Flexible Flexible
Core time Lunch Core time
hours hours

6 AM 9 AM 12 AM 1 PM 3 PM 6 PM

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Job sharing

 It allows two or more individual to share a 40 hours work

week
Ex:- 1 person might perform the job from 8 to 12 am,
while another performs the same job from 1 to 5 PM.

 Sharing the same role with different working hrs

Ex: part time jobs, or sharing same role

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Telecommuting
 Basically Work from home concept
 Ex- Software Engineers, digital marketers etc….

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Advantages of alternative work
arrangement

 Improved job satisfaction, morale, and productivity.

 Enhanced employee recruitment and retention.

 Increased energy and creativity.

 Reduced absenteeism.

 Reduced stress and burn out.

 Improved balance of work and family life .

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Employee involvement
 Participative process that uses the input of employees

 Involving workers in the decisions which affect them

Advantages
 More committed to the organization

 More motivated

 More productive

 More satisfied with their jobs

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Employee involvement

 Participative management

 Representative participation

 Quality circles

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Participative management

 Involves joint decision making

 Subordinates actually share a significant degree of

decision making power with their immediate superiors

 For it to work, the employees working on a particular

issue should have relevant knowledge, competence and

interest, for them to be motivated

 Trust and confidence between the parties involved

 Research indicates this system may or may not increase

employee performance

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Representative participation
 Rather than participating directly in the decision, workers

are represented by a small group of employees who

actually participate.

 Most widely used around the world

 Two most common forms are

 Work councils:- groups of nominated or elected

employees who must be consulted when the
management takes decision involving employee

 Board representatives:- employees who sit on a

company’s board of directors and represent the
interest of the firms
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Quality Circles

 Defined as a work group of 8 to 10 employees and

supervisors who have a shared area of responsibility

 They meet regularly, typically once a week, to discuss

their quality problems, investigate the cause of the

problems, recommend solutions and take corrective
actions.

 Failure of many such programs to produce measurable

benefit.

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Rewarding employees
 Management must make strategic decisions

regarding their position in the market in terms of

pay

1. What to pay employees

2. How to pay individual employees

3. What benefits to offer

4. How to construct employees recognition

programs
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What to pay: establish a pay
structure
 Has two dimensions

 Internal equity which is the worth of the job to the

organization (job evaluation)

 External equity which is the organizations pay relative

to pay else where in the industry

 Best pay is the one which balances between the

above two.

 Paying more can get the better qualified employees but it

is the single largest operating cost.

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How to pay: Variable pay programs
 Till recently more organizations are going towards

variable pay programs rather than on credentials or

length of the service. Attractive from the view point of
management as the pay is tied to performance.

 Piece rate pay

 Merit based pay

 Bonuses

 Profit sharing

 Gainsharing

 Employees stock ownership plans

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Piece rate pay

 Workers are paid a fixed sum for each unit of production

completed

 The harder they work, the more they gain

 Modified piece rate plan:- employees earn a base hourly

wage plus a piece rate differential

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 Merit based pay

 Pays the individual performance

 Based on performance appraisal rating

 High performers are given bigger raises

 If designed correctly, plans can be motivating as individual

perceive a strong relation between performance and reward

and also because they feel they have control over the pay

 Ex:- IBM’s merit pay plan provides increases to employees

base salary based on their annual performance evaluation.

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 Bonuses
 Organizations reward employees with bonuses when their

profits improves

 Advantage of bonuses over merit pay is that bonuses reward

employees for recent performance rather than historical

performance

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 Profit-sharing plan
 These are organization wide programs that distribute

compensation based on some established formula designed

around a company’s profitability

 It links the financial success of the organizations.

 In the form of direct cash or allocations of stock options

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 Gainsharing

 This is a formula based group incentive plan

 Improvements in productivity from one period to other

determine the total amount of money that is to be allocated

 45% of fortune 1000 firms have implemented this

 This system focuses on productivity rather than on profits, so

not influenced by external factors.

 Employees can receive incentives even if the company is not

making profit

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Employees stock ownership plans
 ESOP’s are company established benefit plans in which

employees acquire stock, often at below market price, as

part of their benefit

 It may mean that they own and personally operate the firm.

 Employees cannot take physical possession of their shares

or sell them as long as they are in the company, or till the

end of the locking period.

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 Rewarding employees - Skill based pay
plans
 Conventional

 Organization hire employees on their skill and pay

according to the job title or rank

 Skill based pay

 Sets pay levels on the basis of how many skills employees

have or how many jobs they can perform

 Also called Competency based or knowledge based pay

 Skill based pay plans

 Advantages

 Flexibility:- filling staffing needs is easier when employee

skills are interchangeable

 More generalist than specialist

 Can not say “its not my job”

 Leads to higher employee performance, satisfaction and

perceptions of fairness in pay systems.

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 Skill based pay plans

 Disadvantages

 All may not be in a position to learn new skills, so they may

feel frustrated and challenged

 Does not address the problem of performance

 If the skill obtained by the employees is not of use to the

company then they are paying extra without any gain

 Need continuous learning for growth.

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 Flexible Benefit

 Flexible benefit allow each employee to put together a

benefit package individually tailored to his or her own

needs and situation.

 Uniquely tailored to accommodate differences in

employee needs on age, marital status, spouses benefit

status, number and age of dependents.

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 Flexible Benefit
 Three types are

1. Modular plans:- pre-designed packages of benefits, with each

module put together to meet the needs of a specific group of
employees

2. Core plus plans:- consists of a core of essential benefits plus a

menu like selection of other benefit options

3. Flexible spending plans:- allows employees to set aside upto

the certain amount offered in the plan for particular services.

Convenient way to pay for health care and dental premiums.

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 Intrinsic rewards:- employee
recognition programs
 Organizations are increasingly recognizing that important work

rewards can be both intrinsic and extrinsic

 Intrinsic in the form of employee recognition programs

 Extrinsic in the form of compensation system

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 Employee recognition programs
 Employee recognition is a communication tool that reinforces and

rewards the most important outcomes people create for your

business.

 When you recognize people effectively, you reinforce, with your

chosen means of recognition, the actions and behaviors you most

want to see people repeat

 An effective employee recognition system is simple, immediate, and

powerfully reinforcing.

 Can range from a Private “thank you “ and praise to widely

publicized formal programs. Most often it is inexpensive too.

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Employee recognition programs

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Employee recognition programs

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