HBO - MOTIVATION

MOTIVATION

1. Job motivation is a given requirement in any organization. It is possible, however, if the
following conditions are met:
1. the capacity to perform
-relates to the degree to which the employee possesses skills, abilities, knowledge, and
experiences relevant to his job.
2. the opportunity to perform
- will depend on the working environment provided to the employee.
3. the willingness to perform
-relates to the degree in which an employee desires and is willing to exert effort to
achieve goals assigned to him.

FUNDAMENTAL PHASES – PROCESS OF MOTIVATION
Following are the basic phases of the process of motivation.
1. Need Identification
In the first phase of the process of motivation is the employee feels certain need that is
unsatisfied & hence he identifies that need. Then the unfulfilled need stimulates the employee
to search certain goal by creating tension in him. This tension acts as driving force for the
accomplishment of the set goals which can satisfy the tension creating need.
2. Exploring Ways to Fulfill the Need
In this phase of the process of motivation, different alternative ways are explored that can
satisfy the unsatisfied need that is identified in the first phase. In fact the unsatisfied need
stimulates the thought processes of the employee that direct him to adopt a certain course of
action.
3. Selecting Goals
In the third phase of the process of motivation, the goals are selected on the basis of identifying
needs and alternative course of actions.

2. 4. Performance of Employee
In the fourth phase of Motivation Process, the identified need stimulates the employees
perform in a certain way that has already been considered by him. So the employee performs
certain course of action to the satisfaction of unsatisfied need.
5. Rewards/Punishments as Consequences of Performance:
If the consequences of the particular course of action followed by an employee are in the form
of rewards, then the employee would be motivated to perform the same level of efforts for
acquisition of similar rewards in future. Whereas when the anticipated results of the actions of
an employee lack the rewards, then he would not be willing to repeat his behavior in the
future.
6. Reassessment of Deficiencies of Need
When an employee feels satisfaction for his certain unsatisfied need through the rewards of a
certain line of action, then he again reassesses any further unsatisfied need and resultantly the
whole process is repeated again.
HIERARCHY OF NEEDS
Drawing mainly form humanistic psychology and clinical experience, Abraham Maslow
outline on overall theory of motivation. He said that a person’s motivation could be arranged in
hierarchical manner.
He believed that once a given level of need is satisfied, it no longer serves to motivate.
The next level needs to be activated in order to motivate an individual. Once the needs at the
lower level are satisfied, those at the next higher level emerge and demand satisfaction.

THERE ARE FIVE LEVELS IN HIS HIERARCHY OF NEEDS:

1. Basic or Physiological Needs
 These are the needs which must be satisfied to maintain life. The basic needs include
need for food, water, air and shelter.

3. Application: These needs are unlearned (primary) these needs can be met by providing basic
salary or wage and safe working conditions.

2. Safety or Security Needs
 Once the physiological needs have been met, the needs at next higher levels, safely
needs emerge. Need for a stable environment relatively free from threats. This includes
emotional as well as physical safety. Safety needs include desire for protection from
physical danger, quest for economic security, performance for familiar rather than the
unfamiliar, and desire for an orderly predictable world.
Application: Safety needs can be met by job security, joining trade union and fringe benefits
such as insurance or medical scheme, severance pay, pension plans.
3. Social Needs /love and belongingness
 When physiological and safety needs have been met, social needs the next level become
important motivators. Need related to affectionate relations with others and status
within the group. These needs include the desire to belong, to be accepted, to give and
receive friendship and affection.
Application: Social needs are met by compatible formal and informal work groups, friendship at
work, joining clubs, societies and social groups

4. Ego or Esteem Needs
 Once physiological, safety, and social needs are satisfied, the esteem needs assume
priority. Self esteem needs can be broken into two categories. The first category
reflects our need for competence and achievement or success. This can be satisfied
intrinsically. The second category of esteem needs include the desire for reputation,
prestige and recognition from others.
Application : Ego or self –esteem needs can be met by promotion or merit pay increase, high
status job title, less direct supervision, delegation of authority.


5. Self-Actualization or Self-Fulfillment Needs

4.  Self-actualization or self-fulfillment is the highest level in the hierarchy. These are the
individual needs for realizing his/her own potential for continued self development and
creativity. It is a feeling of accomplishment and of being satisfied with one’s elf or
become the best one is capable of becoming. Self actualization is the people’s
motivation to transform self perception into reality
Application: Self – actualization needs can be met by challenging jobs, creative tasks,
advancement opportunities, and achievement in work. Realization of one’s potential.

According to Maslow, people tend to satisfy their needs systematically stating with
basic physiological needs and then move up the hierarchy. Until a particular group of needs is
satisfied, a person’s behavior will be dominated by them.
Thus a person who is hungry will not be motivated by safety or affection needs.
Maslow later modified this argument by stating that there was an exception to this rule
in respect to self actualization – for this level it seems that satisfaction of one need gives rise
to further need for realizing ones potential.

ERG MOTIVATION THEORY
Clayton P. Alderfer's ERG theory from 1969 condenses Maslow's five human needs into
three categories: Existence, Relatedness and Growth.
1. Existence Needs
 Include all material and physiological desires (e.g., food, water, air, clothing, safety,
physical love and affection). Maslow's first two levels.

2. Relatedness Needs
 Encompass social and external esteem; relationships with significant others like
family, friends, co-workers and employers. This also means to be recognized and
feel secure as part of a group or family. Maslow's third and fourth levels.

3. Growth Needs
 Internal esteem and self actualization; these impel a person to make creative or
productive effects on himself and the environment (e.g., to progress toward one's
ideal self). Maslow's fourth and fifth levels. This includes desires to be creative and
productive, and to complete meaningful tasks.

5. Even though the priority of these needs differ from person to person, Alderfer’s ERG
theory prioritizes in terms of the categories' concreteness. Existence needs are the most
concrete, and easiest to verify. Relatedness needs are less concrete than existence needs,
which depend on a relationship between two or more people. Finally, growth needs are the
least concrete in that their specific objectives depend on the uniqueness of each person.
RELATIONSHIPS BETWEEN ALDERFER'S ERG THEORY CONCEPTS
There are three relationships among the different categories in Alderfer's ERG theory:
Satisfaction-progression
 Moving up to higher -level needs based on satisfied needs.

With Maslow, satisfaction-progression plays an important part. Individuals move up the
need hierarchy as a result of satisfying lower order needs. In Alderfer's ERG theory, this
isn't necessarily so. The progression upward from relatedness satisfaction to growth
desires does not presume the satisfaction of a person's existence needs.
Frustration-regression
 If a higher level need remains unfulfilled, a person may regress to lower level needs that
appear easier to satisfy.

Frustration-regression suggests that an already satisfied need can become active when a
higher need cannot be satisfied. Thus, if a person is continually frustrated in his/her
attempts to satisfy growth, relatedness needs can resurface as key motivators.
Satisfaction-strengthening
 Iteratively strengthening a current level of satisfied needs.

Satisfaction-strengthening indicates that an already satisfied need can maintain
satisfaction or strengthen lower level needs iteratively when it fails to gratify high-level
needs.


Acquired Needs Theory
It was developed as a result of a research made by David McClelland and his associates. They found out
that managers are motivated by Three fundamental needs which may be briefly described as follows:
▫ Need for Achievement
▫ Need for Affiliation
▫ Need for Power

6. Need for achievement
This Refers to the desire to do something better or more efficiently, to solve problems, or to
master complex tasks.
The individuals with high achievement needs are highly motivated by competing and
challenging work. They look for promotional opportunities in job. They have a strong urge for feedback
on their achievement. Such individuals try to get satisfaction in performing things better. McClleland
called such individuals as gamblers as they set challenging targets for themselves and they deliberate
risk to achieve those set targets. Such individuals look for innovative ways of performing job. They
perceive achievement of goals as a reward and value it more than a financial reward.
Need for Affiliation
Which refers to the desire to establish and maintain friendly and warm relations with others.
Those with a high need for affiliation need harmonious relationships with other people and need to feel
accepted by other people. They tend to conform to the norms of their work group. High need for
affiliation individuals prefer work that provides significant personal interaction. They perform well in
customer service and client interaction situations.
Need for power
Which refers to the desire to control others, to influence their behavior, or to be responsible for
others. A person's need for power can be one of two types - Personal and Institutional.
Those who need personal power want to direct others, and this need often is perceived as
undesirable. Persons who need institutional power (also known as social power) want to organize the
efforts of others to further the goals of the organization. Managers with a high need for institutional
power tend to be more effective than those with a high need for personal power.
His research findings consist of the following:
1. People who have high achievement needs have the drive to advance and to overcome
challenging situation such as those faced by entrepreneurs in introducing innovative new
business.
2. An affiliation motivated person prefers to work with friends.
3. The need for power drives successful managers.

Two Factor Theory
Frederick Hezberg developed his Two-factor Theory that identifies job context as a source of
job dissatisfaction and job content as the source of job satisfaction.
The job context or work setting relates more to the environment in which people work.
The factors associated with job context are hygiene factors which includes the following:
• Organizational Policies
• Quality of supervision
• Working conditions
• Base wage or salary
• Relationships with peers
• Relationship with subordinates
• Security
The job content relates more to what people actually do in their work. Those that are related to
job content are called Motivator Factors and they are consist of the following:

7. • Achievement
• Recognition
• Work itself
• Responsibility
• Advancement
• Growth

Expectancy Theory
One of the process theories refer to the expectancy theory that was developed by Victor
Vroom. This theory sees people as choosing a course of action according to what they
anticipate will give them the greatest rewards.
Vroom elaborated by explaining that motivation is a product of the following factors:
• Valence – How much one wants rewards
• Expectancy – one’s estimate of the probability that effort will result in successful
performance
• Instrumentality – one’s estimate that performance will result in receiving the reward

The three following factors are useful In deriving motivation. The formula is as follows:
VALENCE + EXPECTANCY + INTSRUMENTALITY = MOTIVATION
Expectancy Instrumentality Valence


Equity Theory
 Evaluate the input from the output.
Input : Time, Skill, Education <=> Output : Pay, Benefits, Prestige

IMBALANCE
 If effort is not compensated properly
Employee might try to balance the Situation.
If input > Output,
Employee might Decrease their input ( Ex. Lessen work load, come in late or go out early and
alike)
They will also might ask to increase the output (Ex. Salary, Benefits and alike)

8. If input < Output
Employee might Increase their input for the guilt of working less than what is earned or the
employee might be indifferent.
If input = Output

 Optimal situation for Employees and companies.
 Will open opportunities to grow as employees reach satisfaction and will be motivated to
put more input for an equally increasing reward or output.

GOAL SETTING THEORY
 Goals that we establish affect our achievements
 Serve to increase motivational effort towards a task.

Why does Goal setting lead to increase performance?
 Goals focus our energies on things that matter – helps prioritize importance of tasks
 Goals Energize us – “Stretch Goals” tend to increase effort and performance (Forces
individual to think of new methods of accomplishing task)
 Goals affect Persistence- More likely to stay committed to a task if it relates to a goal.
 Force us to acquire the knowledge/skills or use existing knowledge for them to achieve a
goal.
CRITERIA
 Goal Specificity – vague goal rarely alter behavior
 Challenging goal- Goals should not be easily attainable that they can achieved without
altering behavior.
 Goal Commitment – Must be “Buy –in” from employees for goals to be motivating.
(more involvement on goal setting makes it easy to swallow)
 Presence of feedback.- employees must know how they are performing so they can alter
behavior.
HIDDEN COST TO GOAL SETTING?
 Competition/ Impact to teamwork especially if there is a desirable reward.
 Probable solution: Make Individual and Group Goals with same desirable reward.

MOTIVATIONAL METHODS AND PROGRAMS
◦ It is normal for employers to want their employees to do their best in the workplace. For
employers, the ideal situation is for employees to perform excellent work, and thus
produce maximum output. This is wishful thinking, however, because employees need a
certain degree of motivation to perform very well. To keep employees sufficiently
motivated, some means of motivation should be designed and implemented.
Four Motivational Methods and Programs
◦ Motivation through job design

9. ◦ Organizational behavior modification
◦ Motivation through recognition and pride
◦ Motivation through financial incentives
MOTIVATION THROUGH JOB DESIGN
◦ One way motivate employees is to make their job challenging so that the worker who is
responsible for it enjoys doing it.
◦ This management activity is called job design.

◦ JOB DESIGN may be defined as the way the elements in a job are organized.
Three concepts are important in designing jobs:
1. Job enrichment
2. Job characteristics model
3. Job crafting

Job Enrichment
◦ This term refers to the practice of building motivating factors like responsibility,
achievement and recognition into job content. It provides worker with a more exciting
job and it increases job satisfaction and motivation.
An enriched job has any or all of the following characteristics:
1. Direct feedback
2. Client relationship
3. New learning
4. Control over method
5. Control over scheduling
6. Unique experiences
7. Direct communication authority
8. Control over resources
9. Personal accountability
Job Characteristics Model
◦ This term refers to the method of job design that focuses on the task and interpersonal
demands of a job. This method emphasizes the interaction between the individual and
the specific attributes of the job.
◦ The job characteristics theory maintains that there are five core job characteristics of
special importance to job design.
Five core job characteristics.
1. Skill variety
2. Task identity
3. Task significance
4. Autonomy
5. Feedback

10. Job Crafting
This refers to the physical and mental changes workers make in the task or relationship
aspect of their jobs. The common types of job crafting are:
1. Changing number and type of job tasks
2. Changing interaction with others on the job
3. Changing one’s view of the job
ORGANIZATION BEHAVIOR MODIFICATION
◦ This second method of motivation is actually the application of reinforcement theory.
◦ Reinforcement theory may be briefly defined as the contention that behavior is
determined by its consequences.
The typical OB Mod program consists of a five-step problem-solving model:
1. Identifying critical behavior
2. Developing baseline data
3. Identifying behavioral consequences
4. Developing and implementing an intervention strategy
5. Evaluating performance improvement
Among the benefits of OB Mod are:
1. Improvement of employee productivity
2. Reduction of errors, absenteeism, tardiness, and accident rates
3. Improvement of friendliness toward customers
MOTIVATION THROUGH RECOGNITION AND PRIDE
Recognition is a natural human need and it is a strong motivator. To make it an effective
motivator, the following steps are necessary:
1. Identify meritorious behavior
2. Recognize behavior with an oral, written, or material reward
For a better understanding and implementation of reward and recognition program, the
following points must be considered:
1. Feedback is an essential part of recognition
2. Praise is one of the most powerful forms of recognition
3. Reward and recognition programs should be limited to organizational goals
4. Identification of the type of rewards and recognition that workers will value
5. It is important to evaluate the effectiveness of the reward and recognition program.
MOTIVATION THROUGH FINANCIAL INCENTIVES
◦ Financial incentives are powerful tools of motivation. They are monetary rewards paid
to employees because of the output they produce, skills, knowledge, and competencies
or a combination of these factors.
Financial incentives take the form of any or a combination of the following:
1. Time rates - Use the number of hours worked as a means of determining rewards. It
may be classified as hourly rate, or weekly wage, or a monthly salary.
2. Payment by results -This scheme links pay to the quantity of the individual’s output.

11. -An example is the commission paid to a salesman for selling the company’s products.

3. Performance and profit related pay - This scheme considers result or output plus actual
behavior in the job. Most often, rewards consist of a lump sum, or a bonus as a
percentage of basic salary, with quality of performance determining the magnitude of
the percentage increase, or alternatively accelerated movement up a pay scale.

4. Skill/competency based pay - Also known as competency based or knowledge based
pay, this is a pay plan that sets pay levels on the basis of how many skills employees
have or how many jobs they can do.
5. Cafeteria or flexible benefits system - This is a benefit plan that allows each employee
to put together a benefit package individually tailored to his or her own needs and
situation.