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Topic 10 – Theories of Motivation Essentials of Management

Essentials of Management
Topic 10:
Theories of Motivation © NCC Education Limited

Theories of Motivation Topic 10 – 10.2

Scope and Coverage

This topic will cover:


• Developers of early theories of motivation –
Maslow, McGregor and Herzberg
• Three-needs, goal-setting, reinforcement, equity
and expectancy theories
• Designing motivating jobs
• Integrating contemporary theories of motivation
• Motivating different groups of workers

© NCC Education Limited

Theories of Motivation Topic 10 – 10.3

Learning Outcomes

By the end of this topic students will be able to:


• Explain the early theories of motivation
• Evaluate the strengths and weaknesses of the
contemporary theories of motivation
• Discuss and explain the key factors in designing
motivating jobs

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Topic 10 – Theories of Motivation Essentials of Management

Theories of Motivation Topic 10 – 10.4

What is Motivation?

Motivation is the drive or commitment of an


individual to attain a desired goal or outcome by
exerting effort and energy towards the cause. The
individual must believe that the outcome is worth
the perseverance otherwise they will give up along
the way.

Many models and theories have been developed to


help managers understand what motivates their
team members.

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Theories of Motivation Topic 10 – 10.5

Motivation Process
Unsatisfied
Need
Reduced Tension
Tension

Need Drivers
fulfilled

Search
Behaviour

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Theories of Motivation Topic 10 – 10.6

Early Theories of Motivation

• Maslow’s hierarchy of needs


• McGregor’s theories X and Y
• Herzberg’s motivation-hygiene theory

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Topic 10 – Theories of Motivation Essentials of Management

Theories of Motivation Topic 10 – 10.7

Maslow’s Hierarchy of Needs


Morality,
Creativity,
problem solving
Reaching one’s full
Self-Actualisation potential

Self-esteem,
confidence, respect,
Esteem achievement

Friendship, family, social


Love/ Belonging group, intimacy

Personal safety, economic security, health


Safety
Air, water, food, sleep, clothing, shelter
Physiological

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Theories of Motivation Topic 10 – 10.8

McGregor’s Theory X and Theory Y

• Theory X – assumption that employees dislike


work, are lazy, avoid responsibility and must be
coerced to perform
• Theory Y – assumption that employees are
creative, enjoy work, seek responsibility, and can
exercise self-direction

• McGregor believed that participation in decision


making, and responsible and challenging jobs
would maximise employee motivation

© NCC Education Limited

Theories of Motivation Topic 10 – 10.9

Herzberg’s Motivation-Hygiene
Theory
Motivators Hygiene Factors
Achievement Supervision
Recognition Company policy
Work itself Relationship with supervisor
Responsibility Working conditions
Advancement Salary
Growth Relationship with peers
Personal life
Relationship with subordinates
Status
Security

Extremely Satisfied Neutral Extremely Dissatisfied

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Topic 10 – Theories of Motivation Essentials of Management

Theories of Motivation Topic 10 – 10.10

Contemporary Theories of Motivation

• Three-needs theory
• Goal-setting theory
• Reinforcement theory
• Designing motivating jobs
• Equity theory
• Expectancy theory

© NCC Education Limited

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Theories of Motivation Topic 10 – 10.11

Three-Needs Theory

• Developed by David McClelland


• Three acquired (not innate) needs are major
motives in work:
– Need for achievement (nAch)
– Need for power (nPow)
– Need for affiliation (nAff)
• Measured by means of a projective test

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Theories of Motivation Topic 10 – 10.12

Goal-Setting Theory

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Topic 10 – Theories of Motivation Essentials of Management

Theories of Motivation Topic 10 – 10.13

Reinforcement Theory

• Theory states that behaviour is a function of its


consequences
• Reinforcers are used to control behaviour
• These are consequences that, when given
immediately following a behaviour, increase the
probability that the behaviour will be repeated

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Theories of Motivation Topic 10 – 10.14

Designing Motivating Jobs


Herzberg’s research found that jobs could be made more
motivational by:
• Job enlargement – horizontal expansion of a job by
increasing job scope (number of different tasks required and
how frequently they are repeated)
• Job enrichment – vertical expansion of the job by adding
planning and evaluating responsibilities
• Job rotation – varying the workload that employees
undertake AND
• Job characteristics model (JCM) – framework for
designing jobs (by Hackman and Oldham)

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Theories of Motivation Topic 10 – 10.15

Equity Theory

• Developed by J. Stacey Adams


• Theory proposes that employees identify what
they get from a job (outcomes) in relation to
what they put in (inputs)
• Subsequently they compare the inputs-
outcomes ratio with others (referents – other,
system and self)
• If any inequity exists then it should be resolved

© NCC Education Limited

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Topic 10 – Theories of Motivation Essentials of Management

Theories of Motivation Topic 10 – 10.16

Expectancy Theory

• Developed by Victor Vroom – an individual acts in a certain


way based on the expectation that the act will be followed
by a given outcome and how attractive this is to them
• Includes three variables or relationships
A B C
Individual Organisational
Individual Effort Individual Goals
Performance Rewards

A = Effort-performance linkage
B = Performance-reward linkage
C = Attractiveness of reward

© NCC Education Limited

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Theories of Motivation Topic 10 – 10.17

Integrating Contemporary Theories of


Motivation
High nAch

Performance Equality
evaluation comparison
criteria OA - OB
IA IB
Job
Ability Job design
design

Individual Organisational Individual


Individual
performance rewards goals
effort
Dominant
Objective needs
performance
evaluation
system Reinforcement

Goals direct behaviour

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Theories of Motivation Topic 10 – 10.18

Motivating Different Groups of


Workers

• Diverse workforce
– Attention to work/life balance
– Flexible work hours (flexi-time)
– Job sharing
– Telecommunicating
– Cultural differences
• Professionals
• Part time, contract and temporary workers
• Low-skilled, minimum–wage employees

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Topic 10 – Theories of Motivation Essentials of Management

Theories of Motivation Topic 10 – 10.19

Reward Programmes

• Open-book management
• Employee recognition programmes
• Performance related pay programmes
• Profit sharing schemes and share options

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Theories of Motivation Topic 10 – 10.20

Practical Suggestions for Motivating


Employees

• Recognise individual differences and similarities


• Match people to jobs
• Use SMART objectives
• Individualise rewards
• Link rewards to performance
• Check the system for equity
• Use recognition
• Show staff support (e.g. training and development)
• Don’t ignore money

© NCC Education Limited

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Theories of Motivation Topic 10 – 10.21

Summary

• Effective managers need to understand how and why


employees are motivated
• Early theories of motivation are the foundation of
contemporary theories and their terminology is still used
• Contemporary theories are complementary and can be
integrated successfully
• Herzberg’s model and the job characteristics model (JCM)
can be used to help design motivating jobs
• Different groups of workers require different approaches to
motivation
• Money is an important incentive in employee motivation

© NCC Education Limited

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Topic 10 – Theories of Motivation Essentials of Management

Theories of Motivation Topic 10 – 10.22

References

• Slide 10.7: www.google.co.uk


• Slide 10.12: Management eighth edition by Robbins, S.P. and
Coulter, M. (Pearson/Prentice-Hall) IBN: 978-0131439948 pp
399
• Slide 10.16: Management eighth edition by Robbins, S.P. and
Coulter, M. (Pearson/Prentice-Hall) IBN: 978-0131439948 pp
402
• Slide 10.17: Management eighth edition by Robbins, S.P. and
Coulter, M. (Pearson/Prentice-Hall) IBN: 978-0131439948 pp
406

© NCC Education Limited

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Theories of Motivation Topic 10 - 10.23

Topic 10 – Theories of Motivation

Any Questions?

V1.0 © NCC Education Limited

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