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•16/3 - Large Crucial Order – New items SSC / HSC Exams

•Execution (Despatch) by 31/3 Year Ending for Many

Companies – Pressure
•Normal Execution time = 23 days Everywhere

Other Departments
Materials have to be ordered – also have urgent
•4 days needed for purchase order release requirements

•10 days lead time for supplier

Operations - Can’t hire new people
•4.5 working days - 32 hours work - manufacture and assemble
(two operations cannot be done at the same time)
•2 days for packing and loading

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Some thing about motivation
 Motivation

• The result of interaction between an

individual and situation

Maslow on Motivation 3
A Little Bit of This and a Little Bit of That…

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 A Definition

A process that accounts for an individual’s

– Intensity – How Hard does she try

– Direction – in the direction that benefits the organisation

– Persistence – How long can the effort be sustained …

even if there are setbacks

Of efforts towards achieving a goal Many approaches -

each
Has a lesson
Maslow on Motivation 5
 MASLOW ON MOTIVATION
Humanistic Theory…
• People are wanting creatures –
unsatisfied needs motivate behaviour
• 5 levels of Needs – a hierarchy
• When most potent need fulfilled / mostly
satisfied - next need in hierarchy
• A satisfied need ceases to be a
motivator

The Hierarchy- has higher and lower order needs

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Hierarchy of Needs WHY FEW PURSUE SELF
ACTUALISATION

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 How this approach helps us

• Has an intuitive logical appeal

• Link higher level needs to organisation goals
SOME LIMITATIONS OF MASLOWS APPROACH…

Not intended as a theory of Work Motivation

Cultural differences – the hierarchy may be different

All needs present all the time???

Maslow talks about Lower and Higher Level Needs

Managers can have a favourite way of motivating 8
MC Gregors Theory X and Theory Y
 McGregor’s Theory X and Theory Y
Two very different attitudes to the workforce

Proposed two distinct views of Human Beings

managers may and do have any one of these views

One Negative - Theory X

•One
People dislike- work
Positive TheoryandY will try to avoid it
•So they may
People must view
be forced
work controlled,
as naturalthreatened
as rest oretd
play
•Will avoid responsibility
exercise and and
self regulation wantself
to control
be told ifwhat to do
committed
•Security
Average most
personimportant
can learn- they will not- even
to accept display ambition
seek responsibility
•Anyone (not only managers) can be innovative
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Herzberg’s two factor theory
Feeling Good or Feeling Bad

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Herzberg’s Motivation Hygiene Factors - 2
Factor Theory

• Asked the question – What do people

want from their jobs?

• Asked them to describe what made

them feel good and bad about the job

• Tabulated the responses

motivators 11
Herzberg’s Motivation Hygiene Factors - 2
Factor Theory

• Asked the question – What do people

want from their jobs?

• Asked them to describe what made

them feel good and bad about the job

• Tabulated the responses

motivators 12
13
 Motivators – Cause Satisfaction

• Challenging work

• Achievement

• Growth in job

• Advancement

• recognition

Hygiene factors 14
 Hygiene Factors- Absence
Causes Dissatisfaction
• Company Policy and Administration

• supervision
• Relationship with supervisor / peers
• Working conditions
• Salary
• Status
• Security etc

limitations 15
 Limitations of Herzberg’s Theory
• When things go well – people tend to take credit. When things
go badly - blame external factors

• Procedure had flaws of methodology – raters had to make

interpretations

• Ignores situational factors

• Assumed relationship between satisfaction and productivity

• … and yet his work has focused attention on motivators

Comparing Need Hierarchy and two factor theory

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Prelude to McLelland’s theory of Need for achievement 17
 Needs Significant for OB
• Primary needs - unlearned, physiological
• General needs - unlearned but not physiological - affection, curiosity
• Secondary Needs – learned / acquired
3 Important Secondary Needs (McLelland) for OB
• Need for Power – to make others behave how they
would not normally
• Need for Achievement - to excel, achieve goals, to
succeed
• Need for Affiliation - friendly and close interpersonal
relationships
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Characteristics of High need for Achievement…
 Characteristics of High N Ach

• Seek situations where they can solve problems

• Desire to do something better than it has been done before
• Take moderate risk – not very low nor very high
• Set difficult but achievable goals
• Like work where feedback on performance – so they can tell if
they are improving
• Dislike work where success is on chance
Locus of
Need for Achievement can be developed Control?

Make good entrepreneurs - successful

Does not necessarily imply job success - Managerial success also
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linked to need for affiliation and power
Need for power
 Characteristics of High NPower
• Enjoy being in charge
• Prefer to be placed in competitive / status enhancing position
• More concerned with prestige / gaining influence
• Some studies – positively related to managerial success esp as one
moves up

Characteristics of High NAff

Strive for friendship
Prefer co-operative to competitive situations
Desire relationships involving mutual understanding
2002 paper – “The best Managers have a high need for power and
a low need for affiliation” Agree or Disagree
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Cognitive Evaluation Theory – Rewards may be Extrinsic or Intrinsic
 REWARDS MAY provide extrinsic or
intrinsic motivation
• Intrinsic – that comes from within
– More responsibility
– Training for better job etc…
– Appreciation

• Extrinsic – that is external

– Financial
– Non Financial

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Ex (IN) trinsic Rewards

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 Cognitive Evaluation Theory …Simplified
• Introduction of Extrinsic Rewards for work effort that was
previously associated with Intrinsic Rewards (pleasure in the
work)
• Tends to reduce work motivation

Inadequate Evidence

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 Goal Setting Theory - Edwin Locke –
’60’s
Goals tell an employee
– What has to be achieved
– How much effort is required

•Direct energy and action

•Mobilises effort
•Increases persistence – strategising to achieve goals

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How should goals be?
 Goal Setting

• Specific goals increase performance

• Difficult goals (when accepted) 
higher performance
• Feedback  higher performance
• Participatory goal setting???

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 Other factors influencing goal to
performance relationship

• Ability

• Goal commitment – increased by

– Public acceptance

– Reward expectancy

• Adequate self efficacy

• Task characteristics (challenging goals)

• National culture
helriegel
 Limitations of Goal Setting

• Very Difficult goals increase risk --

may be counterproductive
• May inhibit team work - helping others
• Difficult goals  stress
• Employees ignore non goal areas
• Encourage short- termism, cheating ,
dishonesty
Reinforcement Theory 27
 Reinforcement Theory
• Behaviour is a function of its consequences
• Behaviour that is likely to be rewarded will be
repeated
• What will be punished will not be repeated

Not strictly a motivation theory - but helps us understand

behaviour

Job Design Theory 28

 Job Design Theory
• …originated from work of Maslow, Herzberg, McGregor…
• The way the elements in a job are organised can increase
or decrease effort
• Job Characteristics model offers 5 elements
– Skill Variety
– Job identity

Equity theory 29
 EQUITY THEORY

Employees make comparisons of

• Job inputs - what we put in
• Job outcomes - what we get
Tend to eliminate inequities

My Outcome = His Input

My Input His Outcome

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 Why Equity Comparisons are so Difficult

• Employees Ram and Laxman – identical jobs, identical

qualification and performance. Both have same no. of
years of Work Ex
• Ram’s salary is 25 % more than Laxman, maybe
because Ram joined Co 3 years earlier than Laxman
• Both put in a lot of hard work (about 50 hours extra
each) to complete an important assignment
• The boss gives them a flat amount of Rs. 10000
(Laxman’s pay is Rs 20000)
• Make the Equity Comparison
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 COMPARISONS MAY BE…

• SELF - INSIDE
• SELF - OUTSIDE
• OTHER - INSIDE
• OTHER - OUTSIDE

• Change input
• Change outcomes do what is required to get the
higher outcome
• Distort perceptions - self / others
• Choose a different referrent
• Leave the field 32
 …Equity Theory

• People have more tolerance for overpayment inequities

• All people are not equity sensitive – some are benevolent
types
• Distributive justice has a greater impact than Procedural
• But Procedural Justice influences Commitment, Decsion not
to quit

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Human beings are comparing creatures …do comparisons matter in everything?
A report from Economist – reported in TOI Aug 16th
2003

• Harvard Students were asked for preference

– Earning $50000 per year while others earned

half the amount

– Earning $100000 while others earned twice the

amount

• Most settled for the 1st option

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 A report from Economist – reported in TOI
Aug 16th 2003

• also asked -
– 2 week vacation while others got 1
– 4 week vacation while others got 8

• Most chose the latter

• Implication - comparisons are made vis a vis
money need not apply to leisure – the absolute
amount is important in leisure
Goal Setting Theory 35
 Expectancy Theory - oversimplified

You will act in a certain way eg – Make an effort if

you :

• Value the reward that you can get after making

effort

• Think you Have a hope of winning the reward if

you make an effort
This theory applies for positive and negative valencies

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 EXPECTANCY THEORY

EXPECTANCY INSTRUMENTALITY

Outcome
Motivational
OUTCOME 2
Force
1 REWARD

VALENCY

Do I want the reward???

Performance Satisfaction Model 37

 4 Concepts to be understood

• First level Outcomes and Second Level

Outcomes

• Expectancy 0-1

• Instrumentality -1 to +1

• Valency -1 to +1

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 Expectancy Model - Example
• How would you (an accomplished Mimer)
build all 3 to motivate your friend who has
many other things to do, and who has
never been on stage before - to take part
in a mime which will be staged before an
audience of 200 people.

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 Performance Satisfaction Model
• Effort (motivation) Value of Reward + Hope
of achieving it
• Actual Performance depends on Effort
+Ability + Role Perceptions (Opportunity to perform)

• Did Performance result in Reward? Was

the reward equitable  satisfaction
• Satisfaction will result in my valuing
Reward

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Equity theory 41
 Feedback

• Self generated feedback (where employee

can monitor own feedback) more potent
motivator than

• Externally generated feedback

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 Participation in Goal Setting

Sometimes higher
Mixed evidence Performance

• Major advantage  higher acceptance

• People more likely to accept difficult
goal becoz of higher commitment to
own choice

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 Task Characteristics

Goal setting influences performance

More when tasks are:
• Simpler (doesn’t mean that the goal is easy)
• Well learned
• Independent rather than
interdependent

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