Goal setting theory suggests that employees can be motivated

Research Essay On Organizational Behavior Concepts

Essentials of Organizational Behavior

Fourteenth Edition

Chapter 7

Motivation Concepts

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Copyright © 2018, 2016, 2014 Pearson Education, Inc. All Rights Reserved.

Copyright © 2018, 2016, 2014 Pearson Education, Inc. All Rights Reserved.

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After studying this chapter you should be able to:

Describe the three key elements of motivation.

Compare the early theories of motivation.

Contrast the elements of self-determination theory and goal-setting theory.

Demonstrate the differences between self-efficacy theory, reinforcement theory, equity theory, and expectancy theory.

Identify the implications of employee job engagement for managers.

Describe how the contemporary theories of motivation complement one another.

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What Is Motivation?

Motivation: The processes that account for an individual’s intensity, direction, and persistence of effort toward attaining an organizational goal

Intensity: the amount of effort put forth to meet the goal

Direction: efforts are channeled toward organizational goals

Persistence: how long the effort is maintained

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It is easy to see that some individuals are more motivated than others. However, the reasons for that motivation are more difficult to determine. When defining motivation, it is important to look at the interaction between the individual and the situation. There are three key elements that help us define motivation. The first is intensity, or how hard the person tries to accomplish the task. The second is direction, or the effort that is channeled toward organizational goals. The final element is persistence, or how long a person can maintain the effort.

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Early Theories of Motivation

Maslow’s Hierarchy of Needs Theory

Herzberg’s Two-Factor (Motivation-Hygiene) Theory

McClellan’s Theory of Needs (Three Needs Theory)

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There are a number of theories of motivation that help us gain a better understanding of the concept. Some of the earlier theories are not entirely valid anymore, but they are still used by many managers.

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Hierarchy of Needs Theory (1 of 2)

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The Hierarchy of Needs Theory was developed by Abraham Maslow in the 1950s. His theory states that with every individual there is a hierarchy of five needs. As each need is met or satisfied, the next need becomes dominant. His theory posits that individuals are stuck in their existing need level until it is satisfied, and then they can move on to the next level. For example, until their safety needs are met they will not be able to move on to the social level. The organization of these need levels may vary across cultures.

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Two-Factor Theory

Not Dissatisfied

Dissatisfied

Satisfied

Not Satisfied

Quality of supervision

Pay

Company policies

Physical working conditions

Relationships

Job security

Hygiene Factors

Promotional opportunities

Opportunities for personal growth

Recognition

Responsibility

Achievement

Motivation Factors

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Herzberg’s Two-Factor theory is another one of the earlier developed theories. This theory sets forth that satisfaction and dissatisfaction are not opposites, but two separate ideas. There is a set of factors that when present will help to avoid dissatisfaction in workers. This elements of this group are called hygiene factors and include such things as salary, working conditions, and company policies. There is another set of factors that will help to cause satisfaction in workers. The elements of this group are called motivators and include things such as growth, responsibility, and achievement. These sets are distinct, and the presence of hygiene factors does not cause satisfaction; it just helps avoid dissatisfaction.

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Hierarchy of Needs Theory (2 of 2)

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The opposite of “satisfaction” is “no satisfaction,” and the opposite of “dissatisfaction” is “no satisfaction.”

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McClelland's Theory of Needs

Need for Achievement (nAch)

The drive to excel

Need for Power (nPow)

The need to make others behave in a way they would not have behaved otherwise

Need for Affiliation (nAff)

The desire for friendly and close interpersonal relationships

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The final earlier theory of needs we will look at is McClelland’s need theory. He bases his theory on the idea that people are motivated in the workplace by three main needs. The first need is the need for achievement or the drive to excel in relation to a set of defined standards. The second is the need for power, to make others behave in a way that they would not have behaved otherwise. The final need addressed in this theory is the need for affiliation. Affiliation looks at the relationship aspect and the desire for close relationships. People will have varying levels of these needs, which makes this theory difficult to measure.

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McClelland's High Achievers

High achievers prefer jobs with:

Personal responsibility

Feedback

Intermediate degree of risk (50/50)

High achievers are not necessarily good managers

High nPow and low nAff is related to managerial success

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The need that has received the most attention by researchers is the need for achievement. Achievers will carefully measure the odds and try to take on activities that are challenging, but not too high risk. They tend to be motivated in jobs that are more individualistic in nature and provide regular and effective feedback.

Achievers tend to not make good managers because they have more of a personal focus. Strong managers have a higher level of need for power and a lower level of need for affiliation as they are trying to motivate a team to move toward a given direction.

The view that a high achievement need acts as an internal motivator presupposes two cultural characteristics – willingness to accept a moderate degree of risk and concern with performance. This combination is found in Anglo-American countries such as the United States, Canada, and Great Britain, and much less in more collectivistic societies like Chile and Portugal.

Of the early theories on motivation, McClelland’s theory has the best research support, but it has less practical effect than the others.

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Contemporary Theories of Motivation

Self-Determination Theory

Goal-Setting Theory

Management by Objectives

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There are a number of contemporary theories of motivation that have utilized the older theories to provide us with a deeper understanding of motivation in the workplace.

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Self-Determination Theory

Self-determination theory: People prefer to have control over their actions so when they feel they are forced to do something they previously enjoyed, motivation will decrease

Cognitive evaluation theory: Proposes that the introduction of extrinsic rewards for work (pay) that was previously intrinsically rewarding tends to decrease overall motivation

Self-concordance: Considers how strongly people’s reasons for pursuing goals are consistent with their interests and core values

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The self-determination theory states that people prefer to have control over their actions. So, anything that makes a previously enjoyed task feel more like an obligation than a freely chosen activity will diminish their motivation.

Cognitive evaluation theory sets forth that in the workplace intrinsic and extrinsic rewards are not independent of one another. In fact, the presence of extrinsic rewards may decrease the intrinsic rewards. In addition to extrinsic rewards, managers need to realize the importance of using goal setting and verbal rewards as a method to increase motivation.

Self-concordance considers how strongly people’s reasons for pursuing goals are consistent with their interests and core values. Across cultures, if individuals pursue goals because of intrinsic interest, they are more likely to attain goals, are happier when they do, and are happy even when they do not.

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Goal-Setting Theory

Goals increase performance when goals are:

Specific

Difficult, but accepted by employees

Accompanied by feedback: self-generated feedback is best

Contingencies in goal-setting theory

Goal commitment: public goals better

Task characteristics: simple and familiar is better

National culture: Western culture suits best

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Edwin Locke developed what is called the goal-setting theory. The idea behind this theory is that goals that are specific and effectively difficult can lead to higher performance if they include self-generated feedback. A difficult goal will help the individual to focus and direct attention as well as energize them to work harder. The difficulty of the goal will increase persistence and force people to be more effective and efficient.

The relationship between goals and performance depends on how committed the individual is to the goal as well as how specific the tasks are. Most of the research has been done in the United States so the applicability of this theory to other cultures is suspect.

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Management by Objectives

Management by objectives (MBO): Converts overall organizational objectives into specific objectives for work units and individuals

Common ingredients:

Goal specificity

Explicit time period

Performance feedback

Participation in decision making

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An implementation of the goal-setting theory is Management by Objectives, better known as MBO. MBO is a systematic way to utilize goal-setting theory in which goals are set jointly by managers and employees. The goals must be tangible, verifiable, and measurable in order to be effective. The manager helps to break down the organizational goals into smaller, more specific goals for the employee. In order for MBO to be effective, the goals must be specific, the employees must participate in the goal setting, there must be a defined time period, and feedback must be incorporated into the process.

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Cascading of Objectives

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This exhibit shows the organization’s overall objectives translated into specific objectives for each level (divisional, departmental, individual).

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Other Contemporary Theories of Motivation

Self-Efficacy Theory

Reinforcement Theory

Equity Theory

Organizational Justice

Expectancy Theory

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Self-Efficacy Theory (1 of 2)

Self-efficacy theory: An individual’s belief that he or she is capable of performing a task

Also known as social cognitive theory or social learning theory

Self-efficacy increased by:

Enactive mastery: gain experience

Vicarious modeling: see someone else do the task

Verbal persuasion: someone convinces you that you have the skills

Arousal: get energized

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Another theory of motivation is the self-efficacy theory developed by Albert Bandura. This theory is based on an individual’s belief that he or she is capable of performing a task. This theory is a complement to the goal-setting theory, as it incorporates goals into the process. Higher efficacy is related to greater confidence, greater persistence in the face of difficulties, and responding to negative feedback by working harder, not shutting down.

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Self-Efficacy Theory (2 of 2)

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Goal-setting theory and self-efficacy theory don’t compete; they complement each other. As this exhibit shows, employees whose managers set difficult goals for them will have a higher level of self-efficacy and set higher goals for their own performance. Why? Setting difficult goals for people communicates your confidence in them.

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Reinforcement Theory

Reinforcement theory: Behavior is a function of consequences

Operant conditioning theory

Behaviorism

Social- learning theory and reinforcement

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In contrast to goal setting, reinforcement theory suggests that behavior is a function of consequences. Reinforcement strengthens a behavior and increases the chances it will be repeated. The most relevant component of reinforcement theory, is operant conditioning theory which argues that people learn to behave a certain way to either get something they want or to avoid something they don’t want.

The view that we can learn by observing and direct experience is called social-learning theory.

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Equity Theory (1 of 2)

Equity theory: Employees weigh what they put into a job situation (input) against what they get from it (outcome)

They compare their input-outcome ratio with the input-outcome ratio of relevant others

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Adam’s equity theory utilizes the perception theory that we looked at in previous chapters. The idea is that employees compare their ratios of outcomes to inputs of others they see as relevant. When they see the ratios as equal, there is a perceived state of equity and no tension arises. However, when they perceive the ratios to be unequal, they may experience anger or guilt depending on the result of the equity analysis, and then tension can arise. This tension can motivate people to act in a way that brings the situation into a more equitable state.

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Equity Theory (2 of 2)

Equity theory suggests employees who perceive inequity will make one of six choices:

Change inputs

Change outcomes

Distort perceptions of self

Distort perceptions of others

Choose a different referent

Leave the field

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Some of these propositions have been supported, but others haven’t. First, inequities created by overpayment do not seem to significantly affect behavior in most work situations. Second, not everyone is equity-sensitive.

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Model of Organizational Justice

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Increasingly, we think of equity as organizational justice, a larger perception of what is fair in the workplace. Employees perceive their organizations as just when they see that what they receive matches what they have put in.

One key element of organizational justice is distributive justice. Employees tend to perceive their outcomes are fairest when they are distributed equitably. Procedural justice examines the perceived fairness of the process used to determine the distribution of rewards.

Beyond outcomes and procedures, research shows that employees care about two other forms of fairness that have to do with the way they are treated during interactions with others.

The first type is informational justice, which reflects whether managers provide employees with explanations for key decisions and keep them informed of important organizational matters.

The second type is interpersonal justice, which reflects whether employees are treated with dignity and respect.

These three components make up an individual’s view of justice within the organization.

Equity theory is popular in the United States because U.S. style reward systems assume that employees are highly sensitive to equity in reward allocation. Research shows, however, that in other cultures inputs and outputs may be valued differently. Managers need to determine what is considered “fair” in a particular culture. Managers need to be transparent, consistent, and unbiased in their decision making.

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Expectancy Theory (1 of 2)

Three key relationships:

Effort-performance: perceived probability that exerting effort leads to successful performance

Performance-reward: the belief that successful performance leads to desired outcome

Rewards-personal goals: the attractiveness of organizational outcome (reward) to the individual

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The most commonly used and widely accepted theory of motivation is Victor Vroom’s Expectancy Theory. This theory argues that the strength of a tendency to act in a certain way is dependent on the strength of the expectation that they will receive a given outcome and that the outcome is desired.

Employees are willing to work harder if they believe that their actions will get them an outcome they desire. For example, employees are willing to work long and hard hours if they know that they will be rewarded through promotion, recognition, or pay in response to their hard work.

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Expectancy Theory (2 of 2)

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Expectancy theory helps explain why a lot of workers aren’t motivated on their jobs and do only the minimum necessary to get by.

Questions employees need to answer in the affirmative if their motivation is to be maximized:

If I give a maximum effort, will it be recognized in my performance appraisal?

If I get a good performance appraisal, will it lead to organizational rewards?

If I’m rewarded, are the rewards attractive to me?

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Job Engagement

Job Engagement: The investment of an employee’s physical, cognitive, and emotional energies into job performance

Organizations where employees are highly engaged have:

Higher levels of productivity

Fewer safety incidents

Lower turnover

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Research shows that highly successful organizations tend to have more engaged employees than average organizations. Highly engaged employees believe it is meaningful to work, are inspired by their leaders, and have similar values to those of the organization.

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Integrating Theories

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This exhibit integrates much of what we know about motivation.

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Implications for Managers

Make sure extrinsic rewards for employees are not viewed as coercive, but instead provide information about competence and relatedness.

Consider goal-setting theory. Clear and difficult goals often lead to higher levels of employee productivity.

Consider reinforcement theory regarding quality and quantity of work, persistence of effort, absenteeism, and accident rates.

Consult equity theory to help understand productivity, satisfaction, absence, and turnover variables.

Expectancy theory offers a powerful explanation of performance variables such as employee productivity, absenteeism, and turnover.