Amity School of Business
Amity School of Business
       BBA, Semester number: 1
  Introduction to Management Principles
                Credit:3
             Dr.Swati Mittal
                                                      Amity School of Business
Module IV: Staffing and Directing                            Weightage (%)
Descriptors/Topics                                                 25
•Meaning of staffing, importance, Job analysis, Manpower
planning, Recruitment and selection, Training.
•Directing: Concept, principles & aspects of directing,
Concept of leadership, Supervision, Motivation - Maslow’s
Need Hierarchy Theory, Herzberg Two Factor Theory,
Theory X & Y, ERG Theory and Communication. Concept
and types of Coordination
         Amity School of Business
Motivation
                              Amity School of Business
     Motivation
• One secret for success in
  organizations is motivated and
  enthusiastic employees
• With such a diverse workforce, it is
  a challenge for managers to
  motivate employees toward
  common organizational goals
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                             Motivation              Amity School of Business
Examine three terms
Motive – an inner state that energizes, activates or moves and that
directs behavior towards goal.
Motivating – a term that implies that one person induces another to
engage in action by ensuring that a channel to satisfy the motive becomes
available and accessible to the individual.
Motivation – While a motive is an energizer of action, motivating is the
channelisation and activation of motives, motivation is the work behavior
itself.
       Motive                 Motivating               Motivation
Need in individuals      Activating needs &           Engagement in
                           providing need              work behavior
                      satisfaction environment
Relationship between motive, motivating & motivation                            5
                              Amity School of Business
          Motivation
 Employee motivation affects
  productivity
 Part of a manager’s job is to channel
  motivation toward the
  accomplishment of organizational
  goals
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    Two Types of Rewards
Intrinsic rewards--satisfactions a
 person receives in the process of
 performing a particular action.
Extrinsic rewards--given by another
 person.
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              Model of Motivation
   NEED-Creates desire to fulfill   BEHAVIOR-             REWARDS-Satisfy needs;
   needs (food, friendship,         Results in actions to intrinsic or extrinsic
   recognition, achievement).       fulfill needs.        rewards.
FEEDBACK-Reward informs person whether behavior was appropriate and
should be used again.
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                                       Amity School of Business
Foundations of Motivation
                  • content theories stress the analysis of
                    underlying human need
                  • process theories concern the thought
                    processes that influence behavior
                  • reinforcement theories focus on employee
 Contemporary       learning of desired work behaviors
                  • introduce the concept of the whole person
Human Resources   • employees are complex and motivated by
                    many factors
                  • noneconomic rewards, such as congenial
Human Relations     work groups
                  • workers studied as people and the concept
                    of social man was born
                    •systematic analysis of an employee’s job
  Traditional       •economic rewards for high performance
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                                                    Amity School of Business
An Integrated Model of Individual
Motivation to Work
                                                Amount and
                 Individual                     schedule of
                 attributes                     contingent
                                  Performance
                                                extrinsic
    Motivation
                                                                      Satisfaction
                                                rewards
                 Work effort
                 needed                                  Equity
                                                         comparison
                                                Net amount
                 Organizational
                                                of valent
                 support
                                                intrinsic
                                                rewards
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                                        Amity School of Business
• Factors that affect work motivation include:
• Individual differences are the personal needs,
  values, and attitudes, interests and abilities that
  people bring to their jobs.
•    Job characteristics are the aspects of the position
    that determine its limitations and challenges.
•     Organizational practices are the rules, human
    resources policies, managerial practices, and
    rewards systems of an organization.
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                                    Amity School of Business
Motivation Content
     Theories
Emphasize the needs that motivate people
    Hierarchy of Needs
     Theory
    ERG Theory
    Two-Factor Theory
    Acquired Needs Theory
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                                                           Amity School of Business
Hierarchy of Needs
      Theory
                            Self-Actualization
 Abraham Maslow                    Needs                         Human beings are
                           represent the need for                motivated by a
                              self-fulfillment                   hierarchy of
                                                                 unsatisfied needs.
                                 Esteem Needs
                        desire for a positive self-image
                            and to receive attention
                           Belongingness Needs
                    desire to be accepted by one’s peers
                               Safety Needs
            safe and secure physical and emotional environment
                          Physiological Needs
                    most basic human physical needs
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                                 Amity School of Business
 Maslow’s Hierarchy of Needs
• Once a need is satisfied, it declines in
  importance and the next higher need is
  activated
• There are opportunities for fulfillment off
  the job and on the job in each of the five
  levels of needs
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 ERG Theory                           Amity School of Business
          Growth Needs
         human potential,
   personal growth, and increased
            competence
         Relatedness Needs
the need for satisfactory relationships
              with others
         Existence Needs
 the needs for physical well-being
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    Two Factor Motivation
          Theory       Amity School of Business
Area of Satisfaction
               Motivators
             Achievement           Motivators
             Recognition           influence level
             Responsibility
             Work itself
                                   of satisfaction.
             Personal growth
Area of Dissatisfaction
                Hygiene
                Factors
            Working conditions   Hygiene factors
            Pay and security     influence level of
            Company policies     dissatisfaction
            Supervisors
            Interpersonal
             relationships
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                                      Amity School of Business
  Acquired Needs Theory
             David McClelland
• Need for Achievement desire to accomplish
  something difficult, master complex tasks, and
  surpass others
• Need for Affiliation desire to form close personal
  relationships, avoid conflict, and establish warm
  friendships
• Need for Power desire to influence or control
  others
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                                        Amity School of Business
            Motivation Process
                 Theories
Equity Theory
 focuses on individuals’ perceptions of how fairly
  they are treated compared with others
 motivated to seek social equity in the rewards
  they expect for performance
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Methods for Reducing
 Perceived Inequities
 •   Change inputs
 •   Change outcomes
 •   Distort perceptions
 •   Leave the job
                                                  19
                                         Amity School of Business
  Motivation Process Theories
Expectancy Theory
 motivation depends on individuals’ expectations about
  their ability to perform tasks and receive desired
  rewards
 concerned not with identifying types of needs but with
  the thinking process that individuals use to achieve
  rewards
 based on the effort, performance, and desirability of
  outcomes
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        Reinforcement Perspective
               on Motivation Amity School of Business
                    Positive reinforcement in the administration
                    of a pleasant and rewarding consequence.
                     Avoidance learning is the removal of an
                     unpleasant consequence following a
                     desired behavior.
Reinforcement
    Tools            Punishment is the imposition of
                     unpleasant outcomes on an employee.
                      Extinction is the withdrawal of a positive
                      reward, behavior is no longer reinforced
                      and hence is less likely to occur in the
                      future.
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                             Amity School of Business
 Schedules of
 Reinforcement
Continuous Reinforcement
Partial Reinforcement
Fixed-Interval Schedule
Fixed-Ratio Schedule
Variable-Interval Schedule
Variable-Ratio Schedule
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                                 Amity School of Business
  Motivational Ideas for Turbulent Times
• Organizations are increasingly using various
  types of incentive compensation as a way to
  motivate employees to higher levels of
  performance
• Variable compensation and forms of at risk
  pay are key motivational tools
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                                 Amity School of Business
     Giving Meaning to Work
• To meet higher-level motivational needs and
  help people get intrinsic rewards from their
  work is to instill a sense of importance and
  meaningfulness
                                                        24
                              Amity School of Business
                Directing
Direction is the impersonal aspect of managing by
which subordinates are led to understand and
contribute effectively and efficiently to the attainment of
enterprise objectives. – Koontz and O’Donnell
Directing is the Managerial function that consists of
those activities which are concerned directly with
influencing, guiding, or supervising the subordinates in
their jobs.
                          Amity School of Business
     Nature of
     Directing
     Function
•   Dynamic Function
•   Initiates Action
•   Pervasive Function
•   Universal function
•   Continuous function
•   Human Factor
                                           Amity School of Business
    Elements of
     Directing
     Function
•   Issuing orders and instructions
•   Supervising the work of subordinates
•   Motivating Subordinates
•   Providing Leadership
•   Communicating with Subordinates
•   Maintaining Discipline
•   Rewarding effective people
                                           Amity School of Business
    Principles of
     Directing
     Function
•   Harmony of objectives
•   Principle of Scalar Chain
•   Principle of unity of command
•   Principle of Unity of Action
•   Principle of effective communication
•   Principle of Direct supervision
•   Principle effective leadership
•   Principle of follow up
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                                                      Amity School of Business
                           Leadership
Different leaders behave in different ways – style, need, situation
               leadership occurs among people
               involves the use of influence
               is used to attain goals
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        Nature of Leadership                     travel the globe solving
                                                 problems
• The ability to influence people toward the attainment
  of organizational goals.
• Leadership is reciprocal, occurring among people.
• Leadership is a “people” activity, distinct from
  administrative paper shuffling or problem-solving
  activities.
• Leadership is dynamic and involves the use of
  power.
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                         Amity School of Business
           Leadership Styles
•   Autocratic
•   Bureaucratic
•   Democratic
•   Lassez- faire
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                                    Amity School of Business
            Theories of leadership
• Great Man
• Trait
• Contingency
• Situational
• Behavioral
• Participative
• Management ( Transactional )
• Relationship (Transformational)
           Leadership Traits          Amity School of Business
  Traits = personal characteristics
• Traits - early efforts to understand leadership
  success focused on leader’s personal
  characteristics
• Great man approach - early research focused
  on leaders who had achieved a level of
  greatness
  – Find out what made them great
  – Find people with same traits
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                                                 Amity School of Business
                Traits of a leader
PSYCHOLOGICAL CHARACTERISTICS : Age, height, Weight
BACKGROUND CHARACTERISTICS : Education, experience,
social status. Mobility
TASK RELATED CHARACTERISTICS : initiative, persistence, need
for achievement, responsibility
SOCIAL CHARACTERISTICS : tact, diplomacy, prestige, supervisory
ability, cooperatives, popularity
PERSONALITY : self confidence, enthusiasm, decisiveness,
aggressiveness, authoritarianism, independence
INTELIGENCE : ability, knowledge, judgment
                                 Trait Theory
                                                          Amity School of Business
Leadership Traits:
           Traits represent the personal characteristics that
differentiate leaders from followers.
  • Historic findings reveal that leaders and followers
     vary by
     -   intelligence
     -   dominance
     -   self-confidence
     -   level of energy and activity
     -   task-relevant knowledge
  • Contemporary findings show that
    - people tend to perceive that someone is a leader when he
    or she exhibits traits associated with intelligence, masculinity
    and dominance
    - people want their leaders to be credible
    - credible leaders are honest, forward-looking, inspiring, and
      competent
                                      Amity School of Business
            Behavioral Approaches
              Ohio State Studies
Consideration:- people-oriented behavior
– Is mindful of subordinates
– Establishes mutual trust
– Provides open communication
– Develops teamwork
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                                    Amity School of Business
Behavioral Approaches
Initiating Structure: task-oriented
behavior
–Directs subordinate work activities toward
goal attainment
–Typically gives instructions, spends time
planning, and emphasizes deadlines
–Provides explicit schedules of work
activities
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                                            Amity School of Business
         Behavioral Approaches
            Michigan Studies
      At about the same time as Ohio State Studies
• University of Michigan compared the
  behavior of effective and ineffective
  supervisors
     • Employee-centered leaders
     • Job-centered leaders
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    Contingency Approaches
Situational Theory
•Matching Leader Style to the Situation
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          Transactional versus Charismatic
                    Leadership
Transactional Leadership
- focuses on the interpersonal interactions between managers
   and employees
Charismatic Leaders
  - use contingent rewards to motivate employees
  - exert corrective action only when employees
    fail to obtain performance goals
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    Transformational
    Transformational
       Leadership
       Leadership
   Charisma
   Inspiration
   Intellectual stimulation
   Individualized consideration
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Good Luck!