Unit No.

2 –Perception
Session Objectives

After studying this unit, you should be able to:

1. Define perception and explain the factors that influence

it.
2. Explain attribute theory and list the three determinants of
attribution.
3. Explain the link between perception and decision making.
4. List and explain the common decision biases or errors.

Presentation By : Dr. Shubhangee

Ramaswamy
 What Is Perception?
• A process by which individuals organize and
interpret their sensory impressions in order to
give meaning to their environment.
• People’s behavior is based on their perception
of what reality is, not on reality itself.
• The world as it is perceived is the world that is
behaviorally important.

Presentation By : Dr. Shubhangee

Ramaswamy
Factors affecting Perception

Presentation By : Dr. Shubhangee

Ramaswamy
Attribution Theory: Judging Others
• Our perception and judgment of others is significantly
influenced by our assumptions of the other person’s
internal state.
– When individuals observe behavior, they attempt to
determine whether it is internally or externally caused.
• Internal causes are under that person’s control
• External causes are not under the person’s control
• Causation judged through:
– Distinctiveness: Shows different behaviors in different
situations
– Consensus: Response is the same as others to the same
situation
– Consistency: Responds in the same way over time
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Ramaswamy
Elements of Attribution Theory

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Ramaswamy
 Errors and Biases in Attributions
• Fundamental Attribution Error
– The tendency to underestimate the influence of external
factors and overestimate the influence of internal factors
when making judgments about the behavior of others
– We blame people first, not the situation

• Self-Serving Bias
– The tendency for individuals to attribute their own
successes to internal factors while putting the blame for
failures on external factors
– It is “our” success but “their” failure
Presentation By : Dr. Shubhangee
Ramaswamy
Frequently Used Shortcuts in Judging Others
• Selective Perception
– People selectively interpret what they
see on the basis of their interests,
background, experience, and attitudes
• Halo Effect
– Drawing a general impression about an
individual on the basis of a single
characteristic
• Contrast Effect
– Evaluation of a person’s characteristics
that are affected by comparisons with
other people recently encountered who
rank higher or lower on the same
characteristics

Presentation By : Dr. Shubhangee

Ramaswamy
Another Shortcut: Stereotyping
Judging someone on the basis of one’s
perception of the group to which that person
belongs – a prevalent and often useful, if not
always accurate, generalization

•Profiling
– A form of stereotyping in which members of a
group are singled out for intense scrutiny based
on a single, often racial, trait.

Presentation By : Dr. Shubhangee

Ramaswamy
Motivation –Session Objectives
1. Describe the three elements of motivation.
2. Identify four early theories of motivation and evaluate
their applicability today.
3. Demonstrate how organizational justice is a refinement
of equity theory.
4. Apply the key tenets of expectancy theory to motivating
employees.
5. Compare contemporary theories of motivation.

Presentation By : Dr. Shubhangee

Ramaswamy
 Defining Motivation
The result of the interaction between the individual
and the situation.
The processes that account for an individual’s
intensity, direction, and persistence of effort
toward attaining a goal – specifically, an
organizational goal.
•Three key elements:
– Intensity – how hard a person tries
– Direction – effort that is channeled toward, and
consistent with, organizational goals
– Persistence – howPresentation
long aByperson can maintain effort
: Dr. Shubhangee
Ramaswamy
 INTRODUCTION
• However large or small an organization is, it is the employees at all
levels that can make or break it. There is an old saying that you can
take a horse to the water but you can’t force it to drink, it will drink
only if it is thirsty so with the people.
• So the person will do only what he want to do or otherwise
motivated to do.
• It is an “inner striving condition, which activates or moves
individual into action and continues him in the course of action
enthusiastically” .Thus motivation is defined as inner state that
activates, energizes or moves behavior towards goals.
• Thus motivation is any force that energizes and directs people to
perform their jobs.

Presentation By : Dr. Shubhangee

Ramaswamy
 DEFINITION….
• Motivation is defined as “the process that account for
individual’s intensity, direction and persistence of effort
towards attaining a goal”

• Motivation consists of three interacting & interdependent

elements i.e. needs, drives & goals. Needs set up derives to
accomplish goals this is the basic process of motivation.

NEEDS Drives GOALS

Presentation By : Dr. Shubhangee

Ramaswamy
 Motivation Process
• NEEDS:- Needs are created whenever there is a
physiological or psychological imbalance the need is
a deficiency.

• DRIVES:- Drive is a deficiency with direction. Derives

are action-oriented and provide an energizing trust
towards goal accomplishment .

• GOALS:- It is at the end of motivational process cycle.

It can be defined as any thing which will alleviate a
need and reduce a drive. Physiological &
psychological balance will be restore after attaining a
goal.

Presentation By : Dr. Shubhangee

Ramaswamy
 CLASSIFICATION OF MOTIVES

I) Primary Motives:
II) Secondary Motives:
1. Power Motive
2. The Achievement Motive
3. The Affiliation Motive.
4. The Security Motive.
5. The Status Motive.

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Ramaswamy
 Theories of Work Motivation
Content Theories:
Theses theories attempt to identify and prioritize the needs and
drives that motivate people at work. They deal with goals and
incentives that people strive for, in their work environment
1. Maslow hierarchy of needs
2. Herzberg Motivators hygiene factors

Process Theories:
Vroom’s expectancy Theory & Porter Lawler model.

Contemporary Theories-
Equity Theory of Work Motivation

Presentation By : Dr. Shubhangee

Ramaswamy
 Maslow’s Need Hierarchy Model

• This emanated from the Hawthorne experiments. The

proponents of this movement argued, that workers' primary
response is to the social context of the workplace and not the
physical or monetary conditions surrounding the work

• Abraham Maslow played a major role in giving this

movement, the required thrust. He devised a framework in
order to understand the basic motivating factors behind an
individual. This framework is called: "the hierarchy of needs".

Presentation By : Dr. Shubhangee

Ramaswamy
Maslow’s Need Hierarchy Model

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Ramaswamy
 Maslow’s Need Hierarchy Model

• Physical needs: Physiological needs such as hunger,

thirst, shelter
• Security needs: Need for safety
• Social needs: Need to be accepted and loved by
peers
• Ego or status needs: Need for recognition and
respect
• Self-actualization: To become, what you are capable
of becoming

Presentation By : Dr. Shubhangee

Ramaswamy
 Maslow’s Need Hierarchy Model

• The main points to be observed are:

• As one level of need is fulfilled, the individual
moves on to the next higher level of needs
• A need that is once fulfilled, ceases further, to
remain as a motivating factor.

Presentation By : Dr. Shubhangee

Ramaswamy
 Herzberg’s Two Factor Theory

Herzberg’s TWO-FACTOR model

Analysis of Herzberg’s theory

Herzberg’s contribution

Dependence on two factors

1.Motivational Factors {Satisfiers}

2.Hygiene or Maintenance factors {Dissatisfiers}

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Ramaswamy
 Motivational Factors

a. Recognition
b. Advancement
c. Responsibility
d. Achievement
e. Possibility of growth
f. Work itself

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Ramaswamy
 Hygiene or Maintenance factors

a. Company policy & Administration

b. Technical Supervision

c. Inter-personal relations with Sub-ordinates

d. Inter-personal relations with supervisors

e. Inter-personal relations with colleagues

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Ramaswamy
Hygiene or Maintenance factors Contd…

f. Salary

g. Personal life

h. Job security

i. Status

j. Working conditions

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Ramaswamy
 Herzberg’s Two Factor Theory

High Negative feelings Neutral High Positive Feelings

(Absence) Maintenance factors

(Presence)

(Absence) Motivational factors

(Presence)

Presentation By : Dr. Shubhangee

Ramaswamy
Limitations of Herzberg’ theory:
1. When things go well, people take credit themselves and
when there is a failure, they blame external environment.
2. One responds in one manner while other responds
differently
3. Provides explanation of job satisfaction, but it is not a theory
of motivation
4. Overall measure of satisfaction is not utilized

Herzberg’s contribution:
1. Gave importance to content factors in work motivation
2. Technique of job enrichment
3. He extended Maslow’s need hierarchy concept and made it
applicable to work motivation
Presentation By : Dr. Shubhangee
Ramaswamy
Maslow’s Hierarchy of needs Herzberg’s two-factor model Alderfer’s E-R-G Model

Motivational Factors
Work itself
5.Self-actualization Achievement
and fulfillment needs Possibility of growth
Responsibility

Advancement
4. Esteem and status Recognition
needs
Status
Growth needs

Relations with
Relatedness needs
supervisors,
Maintenance Factors

3.Belonging and social

Peer relations,
needs
Relations with Existence needs
subordinates,
Quality of supervision
2. Safety and security
Company policy
needs
Job administration
Job security
1.Physiological needs
Working conditions,
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Pay Shubhangee
Ramaswamy
The Process Theories

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Ramaswamy
 Vroom’s Expectancy Theory

• The expectancy theory was proposed by Victor

Vroom of Yale School of Management in 1964.
• Vroom stressed on outcomes rather than needs
• Theory Says: “ Person will be motivated to put higher
level of efforts if they believe in their efforts will
result in higher level of performance and thus better
rewards
• Elements of Theory: Expectancy, Instrumentality and
Valance

Presentation By : Dr. Shubhangee

Ramaswamy
 Vroom’s Expectancy Theory

• Expectancy: The level of efforts an employee is

willing to exert in hopes that the increased efforts
will result in better performance
• Instrumentality: The belief that you performed well
and a valued outcome will be received
• Valance: The importance that the individual places
upon the expected outcome.

Presentation By : Dr. Shubhangee

Ramaswamy
 Vroom’s Expectancy Theory

Expectancy X Instrumentality X Valance

Efforts Performance Rewards

Q1) Will my efforts leads to high performance?

Q2) Will Performance Leads to Outcome?
Q3) Do I find the outcomes desirable?

Presentation By : Dr. Shubhangee

Ramaswamy
 Vroom’s Expectancy Theory

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 the outcome to
the individual.

Expectancy of Instrumentality Valuation of the

performance of success in reward in
success getting reward employee’s eyes

Presentation By : Dr. Shubhangee

Ramaswamy
 THE PORTER AND LAWLER MODEL OF MOTIVATION

1. Porter and Lawler have derived a substantially more

complete model of motivation which have primarily
applied to managers.
2. They came with the multivariate model which
explains the relationships between job attitude and
job performance.
3. Their model encounter some of the simplistic
traditional assumption s made about the positive
relationship between satisfaction and performance.
4. This theory describes best kinds of cognition that
influence managerial performance.
5. In this theory it is assumed that managers operate
on the basis of some sort of expectancies which is
based upon the previous experience.
Presentation By : Dr. Shubhangee
Ramaswamy
 1. Value 8. Perceived
4. Ability equitable
of
and traits rewards
reward

7. a. Intrinsic
rewards
6. Performance
3. Efforts
accomplishment

7. b. Extrinsic
rewards 9. satisfaction

2. Perceived 5. Role perception

effort reward
probability

PORTER AND LAWLER MOTIVATION MODEL

Presentation By : Dr. Shubhangee
Ramaswamy
• EFFORT :- Effort refers to the amount of energy exerted by an
employer on a given task. Effort contains two factors : Value of
rewards and perception of effort reward probability-determine
the amount of effort that the employee will put in.

• PERFORMANCE :- Performance is determined by the amount of

effort and the ability and role perception of the individual.

• REWARDS :- Performance lead to two rewards : intrinsic

rewards and extrinsic rewards.

• SATISFACTION :- Satisfaction includes two implications :

1.Satisfaction is only in part determined by actual rewards. 2.
Satisfaction is more dependent on performance then
performance is on satisfaction
Presentation By : Dr. Shubhangee
Ramaswamy
 IMPLICATIONS OF THE THEORY

• Porter and Lawler point out that ‘these variables

presumed to affect performance turned out to show
relations to performance and those variables presumed
to result from performance also typically were related to
performance’.
• After the review they conclude that ‘overall the evidence
and relationship between expectancy attitudes,
importance attitudes and performance and provides
rather impressive support for our model’.
• This model is more complex from the previous models of
motivations.
• The model suggests that manager s should carefully
access their reward structures and that through careful
planning and clear definition of role requirements.
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Ramaswamy
The Contemporary Theory

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Ramaswamy
 Adams’ Equity Theory
Employees compare their ratios of outcomes-to-inputs
of relevant others.
– When ratios are equal: state of equity exists –
there is no tension as the situation is considered
fair
– When ratios are unequal: tension exists due to
unfairness
• Under rewarded states cause anger
• Over rewarded states cause guilt
– Tension motivates people to act to bring their
situation into equity
Presentation By : Dr. Shubhangee
Ramaswamy
 Equity Theory’s “Relevant Others”
• There can be four referent comparisons:
– Self–Inside
• The person’s experience in a different job in the same organization
– Self–Outside
• The person’s experience in a different job in a different
organization
– Other–Inside
• Another individual or group within the organization
– Other–Outside
• Another individual or group outside of the organization

Presentation By : Dr. Shubhangee

Ramaswamy
 Reactions to Inequity
• Employee behaviors to create equity:
– Change inputs (slack off)
– Change outcomes (increase output)
– Distort/change perceptions of self
– Distort/change perceptions of others
– Choose a different referent person
– Leave the field (quit the job)
• Propositions relating to inequitable pay:
– Paid by time:
• Over rewarded employees produce more
• Under rewarded employees produce less with low quality
– Paid by quality:
• Over rewarded employees give higher quality
• Under rewarded employees make more of low quality

Presentation By : Dr. Shubhangee

Ramaswamy
 Justice and Equity Theory
Procedural
Justice
• Fairness of
outcome process
Distributive Interactional
Justice Justice
• Fairness of • Being treated with
outcome dignity and respect

Organizational
Justice Overall perception
of what is fair in the
workplace.

Presentation By : Dr. Shubhangee

Ramaswamy
THANK YOU
Any Questions ?

Presentation By : Dr. Shubhangee

Ramaswamy