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LEADERSHIP

By :S. Hina Rizvi

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LEADERSHIP
• Leader
• someone who can influence others and who
has managerial authority
• all managers should ideally be leaders
• not all leaders have the ability to be an
effective manager
• Leadership
• Process of influencing a group and Creating
conditions for the achievement of a shared goal.
• Creating vision, directing and managing change for
the organization in order to achieve goals.

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WHAT IS LEADERSHIP ?
• Influencing others to do activities to
fulfill a shared goal
• A process through which an individual
attempts to intentionally influence
human systems in order to accomplish
a goal.
• Directing and managing change
• Creating vision for the organization
• Motivating & leading people for
success
• Creating conditions necessary to
achieve goals.
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LEADERSHIP THEORIES:

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LEADERSHIP THEORIES:
• 1900’s: the “great man” theories – it’s an innate ability; who is
born to lead?
A 20th Century History
• 1940’s-50’s: trait theory – what universal traits are common to
all leaders.
• 1950’s-60’s: behavior theory – what key behavioral patterns
result in leadership
5

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LEADERSHIP THEORIES

• 1960’s-70’s: Contingency/situational theory – establish which leadership


behaviors succeeded in specific situations.

• 1980’s: Excellence – what interaction of traits, behaviors, key situations,


and group facilitation allows people to lead organizations to excellence?

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POWER …

• A resource that provides the potential to


influence the attitudes and behaviors of others.
• 5 Bases:
1. Legitimate:
• Bestowed on someone by the organization,
analogous to authority.
2. Reward (parents):
• Control rewards or outcomes of others.

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-----CONTINUED

3. Coercive (parents, a teacher):


• Control over punishments and used to get people to do
what one wants.
4. Expert (computer guy):
• Affiliated with special knowledge or proficiency.
5. Referent (Brave heart):
• Gained by the respect of others.
• Power is not always a good thing, sometimes it can
corrupt decision making or follower perceptions of a leader’s
intent. 8
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MANAGEMENT VS LEADERSHIP
• Management is the process of getting things done
through the efforts of other people. (Focuses on
procedures and results)
• Management suggests more formality & Manager
refers to a position in an organization.
• Leadership is influencing of others to do what
he/she wants them to do. (Influencing others i.e..
human interaction)
• A leader may have no formal title at all and rely on
personal traits and style ----to influence followers.
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LEADERSHIP VERSUS MANAGEMENT

• Leaders… • Managers…
• Establish direction • Plan and budget
• Align people with • Organize and staff
goals • Control and solve
• Motivate and inspire problems
• Produce change • Produce consistent
results
• Emphasize • Emphasize efficiency
effectiveness • Focus on day-to-day
• Have a long-term agenda
perspective • See path to reach
• See the overall goals
picture

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TRAIT THEORIES (GREAT MAN THEORIES)

11

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TRAIT THEORIES GREAT
MAN THEORIES
• People are born with certain
characteristics which make them leaders
i.e. Intelligence, Level of energy and
activity, Task relevant knowledge etc.
Leaders are born…?
• Based on the belief that leaders are
exceptional people, born Leaders and
made with innate qualities, destined to
lead.
• The term “Great Man” was used because,
at the time, leadership was thought of
primarily as a male quality, especially in
terms of military leadership

12

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TRAIT THEORIES
• The lists of traits or qualities associated with
leadership exist in abundance and continue to be
produced.
• They draw on virtually all the adjectives in the
dictionary which describe some positive or
virtuous human attribute, from ambition to zest
for life

13

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TRAITS
• - Adaptable to situations
• - Alert to social environment
• - Ambitious and achievement-orientated
• - Assertive
• - Cooperative
• - Decisive and Tolerant of stress
• - Dependable
• Willing to assume responsibility
• - Dominant (desire to influence others)
• - Energetic (high activity level)
• - Self-confident 14

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Six Significant Traits
Six significant traits are:

• Supervisory ability: planning, organizing, influencing and controlling the


work of others.
• Need for occupational achievement: The seeking of responsibility and the
desire for success.
• Intelligence: Creative and verbal ability including judgment, reasoning
and thinking capacity

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Six Significant Traits
• Decisiveness: Ability to make decisions and solve problems
competently.
• Self- assurance: Extent to which the individual views himself or
herself as capable of coping with problems.
• Initiative: Ability to find new and innovative ways of doing things

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TRAIT THEORIES
Charismatic Leadership
Assumptions
Charm and grace are all that is needed to create followers.
Self-belief is a fundamental need of leaders.
People follow others that they personally admire.
Style
The Charismatic Leader gathers followers through dint of personality and
charm, rather than any form of external power or authority.

17

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----continued
• Leader’s charisma is an important
factor in determining effective
leadership.
• Charismatic personality is mostly
reflected by personal traits such as
dominance, self confidence, a need
for influence and a conviction of moral
righteousness.
• These traits help to increase leader’s
effectiveness.

18
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BEHAVIORAL PERSPECTIVE OF LEADERSHIP

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BEHAVIORAL LEADERSHIP THEORIES

• To explain deficiencies of the trait approach, researchers shifted their


focus on leader’s behaviour requirements as opposed to their
characteristics.
• Behavioral theories of leadership
• Theories that attempt to isolate behaviors that differentiate effective leaders
from ineffective
leaders
• Behavioral studies focus on identifying critical behavioral determinants of
leadership that, in turn,
could be used to train people to become leaders.

• Models of leadership style (a combination of behaviors), and


• How different styles are related to leadership effectiveness.

20
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LEADERSHIP BEHAVIORS OR STYLES

• Autocratic style of leadership


• A leader who centralizes authority, dictates work methods, makes unilateral
decisions, and limits
employee participation.
• Democratic style of leadership
• A leader who involves employees in decision making, delegates authority,
encourages participation in
deciding work methods and goals, and uses feedback to coach employees.
• A democratic-consultative leader seeks input and hears the concerns and
issues of employees
but makes the final decision him or herself.
• A democratic-participative leader often allows employees to have a say in
what’s decided.

21

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LEADERSHIP BEHAVIORS OR STYLES
(CONT’D)
• Laissez-faire style of leadership
• A leader who gives employees complete freedom to make decisions and to
decide on work methods
• Conclusions about leadership styles
• The laissez-faire leadership style is ineffective.
• Quantity of work is equal under authoritarian and democratic leadership
styles
• Quality of work and satisfaction is higher under democratic leadership.

22

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CONTINUUM OF LEADER BEHAVIOR

23
Source: Adapted and reprinted by permission of the Harvard Business Review. An
exhibit from “How to
Choose a Leadership Pattern” by R. Tannenbaum and W. Schmidt, May–June 1973.
Copyright © 1973 by
the President and Fellows of Harvard College; all rights reserved.
Exhibit 11.2
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STUDIES THAT IDENTIFIED COMMUNICATION PATTERNS OF
LEADERS

• The Michigan Leadership Studies


• The Ohio State Leadership Studies
• McGregor’s Theory X and Theory Y
• Blake’s Leadership Grid

24

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THE OHIO STATE STUDIES

• Studies that sought to identify independent dimensions of leader


behavior
• Initiating structure
• The extent to which a leader defines and structures his or her role
and the roles
of employees to attain goals
• Consideration
• The extent to which a leader has job relationships characterized by
mutual trust,
respect for employees’ ideas, and regard for their feelings

25

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THE UNIVERSITY OF MICHIGAN STUDIES

• Studies that sought to identify the behavioral characteristics of


leaders related to performance effectiveness
• Employee oriented
• A leader who emphasizes interpersonal relations, takes a personal
interest in
the needs of employees, and accepts individual differences.
• Production oriented
• A leader who emphasizes technical or task aspects of a job, is
concerned
mainly with accomplishing tasks, and regards group members as a means
to
accomplishing goals.

26

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THE MANAGERIAL
GRID

A two-dimensional view
of leadership style that is
based on concern for
people versus concern
for production

Source: Adapted and reprinted by permission of the Harvard Business Review. An


exhibition 27
from “Breakthrough in Organization Development” by R. R. Blake, J. A. Mouton, L. B.
Barnes,
and L. E. Greine November–December 1964, p. 136.
Exhibit 11.3
Copyright © 1964 by the President and Fellows of Harvard College; all rights
reserved.

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CONTINGENCY THEORIES

28

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CONTINGENCY THEORIES OF LEADERSHIP

• Fiedler contingency leadership model


• The theory that effective group performance
depends on the proper match between the
leader’s style of interacting with employees and
the degree to which the situation gives control
and influence to the leader
• Uses Least-preferred co-worker (LPC) questionnaire, to
measure the leader’s task or relationship orientation.
• Identified three situational criteria—leader member
relations, task structure, and position power—
that could be manipulated match an inflexible leadership 29

style.
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CONTINGENCY THEORIES…(CONT’D)

• Path-goal theory
• The theory that it is a leader’s job to assist
followers in attaining their goals and to provide
the necessary direction and support
• A leader’s motivational behavior:
• Makes employee need satisfaction contingent on
effective performance.
• Provides the coaching, guidance, support, and rewards
that are necessary for effective performance.
• Assumes that the leader’s style is flexible and can
be changed to adapt to the situation at hand.
31

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PATH-GOAL LEADERSHIP BEHAVIORS

• Directive leader
• Lets employees know what is expected of them, schedules work to
be done, and gives specific guidance as to how to accomplish tasks.
• Supportive leader
• Is friendly and shows concern for the needs of employees.
• Participative leader
• Consults with employees and uses their suggestions before making a
decision.
• Achievement-oriented leader
• Sets challenging goals and expects employees to perform at their
highest levels.

32

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PATH-GOAL THEORY

33

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PATH-GOAL THEORY

34

Exhibit 11.5

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SITUATIONAL LEADERSHIP

• Situational leadership theory (SLT)


• Leaders should adjust their leadership styles—
telling, selling, participating, and delegating—in
accordance with the readiness of their followers.
• Acceptance: Leader effectiveness reflects the reality
that it is the followers who accept or reject the leader.
• Readiness: a follower’s ability and willingness to
perform.
• At higher levels of readiness, leaders respond by
reducing control over and involvement with employees.
35

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HERSEY AND BLANCHARD’S
SITUATIONAL LEADERSHIP®
MODEL

Exhibit 11.7
36
Source: Reprinted with permission from the Center for Leadership Studies.
Situational Leadership® is a registered trademark of the Center for Leadership
Studies, Escondido, California. All rights reserved.

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EMERGING APPROACHES TO LEADERSHIP

• Charismatic leadership theory


• Followers make attributions of heroic or
extraordinary leadership abilities when they
observe certain behaviors
• People working for charismatic leaders are motivated to
exert extra work effort and, because they like and
respect their leaders, express greater satisfaction.
• Charisma leadership appears to be most
appropriate when the followers’ task has a
ideological component or when the environment
involves a high degree of stress and uncertainty. 37

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CHARISMATIC LEADERSHIP

• A charismatic leader influences followers by:


• Stating a vision that provides a sense of community by
linking the present with a better future.
• Communicating high expectations and expressing
confidence that followers can attain them.
• Conveying, through words and actions, a new set of
values, and by his or her behavior setting an example
for followers to imitate.
• Making self-sacrifices and engaging in unconventional
behavior to demonstrate courage and convictions
about the vision.
38

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KEY CHARACTERISTICS OF CHARISMATIC
LEADERS

• Self-confidence
• Vision
• Ability to articulate the vision
• Strong convictions
• Behavior that is out of the ordinary
• Appearance
• Environmental sensitivity

39
Source: Based on J. A. Conger and R. N. Kanungo, “Behavioral Dimensions of
Charismatic Leadership,” in J. A. Conger and R. N. Kanungo, Charismatic Leadership
Exhibit 11.8
(San Francisco: Jossey-Bass, 1988), p. 91.

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VISIONARY LEADERSHIP

“A vision should create enthusiasm, bringing


energy and commitment to the
organization.”
• The key properties of a vision are inspirational
possibilities that are value centered, realizable,
and have superior imagery and articulation.
• Visionary leadership
• The ability to create and articulate a realistic,
credible, attractive vision of the future that 40

grows out of and improves upon the present


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SKILLS OF VISIONARY LEADERS

• The ability to explain the vision to others.


• Make the vision clear in terms of required actions
and aims through clear oral and written
communication.
• The ability to express the vision not just
verbally but through the leader’s behavior.
• Behaving in ways that continually convey and
reinforce the vision.
• The ability to extend the vision to different
leadership contexts.
• Sequencing activities so the vision can be applied
in a variety of situations 41

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TRANSACTIONAL LEADERS VERSUS TRANSFORMATIONAL LEADERS

• Transactional leaders
• Leaders who guide or motivate their followers
toward established goals by clarifying role and
task requirements.
• Transformational leaders
• Leaders who inspire followers to transcend their
own self-interests for the good of the
organization and are capable of having a profound
and extraordinary effect on followers. 42

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THE CHALLENGE OF TEAM LEADERSHIP

• Becoming an effective team leader


requires:
• Learning to share information.
• Developing the ability to trust others.
• Learning to give up authority.
• Knowing when to leave their teams alone and
when to intercede.
• New roles that team leaders take on
• Managing the team’s external boundary
• Facilitating the team process 43

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TEAM LEADER ROLES

44

Exhibit 11.9

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OTHER LEADERSHIP VARIABLES

• National culture
• Leadership styles reflect the cultural
conditions that followers have come to
expect.
• Leadership theories developed in the United States
have an American bias.
• Power distance varies among cultures and
affect participative management’s effectiveness
• High power distance = autocratic leadership style
• Low power distance = participative leadership style 45

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OTHER LEADERSHIP VARIABLES

• National culture
• Leadership styles reflect the cultural
conditions that followers have come to
expect.
• Leadership theories developed in the United States
have an American bias.
• Power distance
• Varies among cultures and affect participative
management’s effectiveness
• High power distance = autocratic leadership style 46

• LowThispower distance = participative leadership style


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OTHER LEADERSHIP VARIABLES (CONT’D)

• Emotional Intelligence (EI)


• Considered to be the trait difference that
makes an individual into a star performer
• Is an essential element of effective leadership
• Components of EI
• Self-awareness
• Self-management
• Self-motivation
• Empathy
• Social skills 47

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SUBSTITUTES FOR LEADERSHIP

• Employee characteristics • Organizational


• Experience characteristics
• Training • Explicit
formalized goals
• Professional orientation • Rigid rules and
procedures
• Indifference toward • Cohesive work
groups
organizational regards
• Job
characteristics
• Unambiguous
• Routine
• Intrinsically satisfying

48

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FIVE DIMENSIONS OF TRUST
• Integrity
• Honesty and truthfulness
• Competence
• Technical and interpersonal knowledge and skills
• Consistency
• Reliability, predictability, and good judgment
• Loyalty
• Willingness to protect and save face for a person
• Openness
• Willingness to share ideas and information freely

49

Source: Adapted and reproduced with permission of publisher from J. K. Butler Jr.
and R. S. Cantrell, “A Exhibit 11.10
Behavioral Decision Theory Approach to Modeling Dyadic Trust in Superiors and
Subordinates.”

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TYPES OF TRUST

• Deterrence-based trust
• Trust based on fear of reprisal if the trust is
violated
• Knowledge-based trust
• Trust based on the behavioral predictability that
comes from a history of interaction
• Identification-based trust
• Trust based on an emotional
connection between the parties
50

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MOTIVATION

51

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MOTIVATION AND INDIVIDUAL NEEDS

• Motivation
• The willingness to exert high levels of effort to
reach organizational goals, conditioned by the
effort’s ability to satisfy some individual need
• Need
• An internal state that makes certain outcomes
appear attractive

52

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COMPONENTS OF MOTIVATION

Motivation

Effort

Organizational Needs
Goals 53

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THE MOTIVATION PROCESS

54

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EARLY THEORIES OF MOTIVATION

• Hierarchy of needs theory (Maslow)


• There is a hierarchy of five human needs; as
each need becomes satisfied, the next need
becomes dominant.
• Physiological: food, drink, shelter, sex
• Safety: physical safety
• Social: affiliation with others, affection, friendship
• Esteem: Internal (self-respect, autonomy, and
achievement); external (status, recognition, and
attention) 55

• Self-actualization: personal growth and fulfillment


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MASLOW’S HIERARCHY OF NEEDS

56

Source: Motivation and Personality, 2nd ed., by A. H. Maslow, 1970.


Reprinted by permission of Prentice Hall, Inc., Upper Saddle River, New Jersey.
Exhibit 10.2
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EARLY THEORIES OF MOTIVATION
(CONT’D)
• Motivation-Hygiene theory (Herzberg)
• Intrinsic factors are related to job satisfaction
and extrinsic factors are related to job
dissatisfaction
• Hygiene factors
• Factors, such as working conditions and salary, that, when
adequate, may eliminate job dissatisfaction but do not
necessarily increase job satisfaction.
• Motivators
• Factors, such as recognition and growth, that can increase 57

job satisfaction.
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HERZBERG’S MOTIVATION-HYGIENE THEORY

58

Exhibit 10.4
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CONTRASTING VIEWS OF
SATISFACTION-DISSATISFACTION

59

Exhibit 10.5
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CONTEMPORARY THEORIES OF
MOTIVATION
• Three-needs theory (McClelland)
• The needs for achievement, power, and
affiliation are major motives in work
• Need for achievement (nAch): the drive to excel,
to achieve in relation to a set of standards, to strive
to succeed.
• Need for power (nPow): The need to make others
behave in a way that they would not have behaved
otherwise.
• Need for affiliation (nAff): The desire for friendly
and close interpersonal relationships. 60

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CONTEMPORARY THEORIES OF
MOTIVATION (CONT’D)

• Equity theory (Adams)


• Employees perceive what they get from a job
situation (outcomes) in relation to what they put
into it (inputs) and then compare their input-
outcome ratio with the input-outcome ratios of
relevant others.

61

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CONTEMPORARY THEORIES OF
MOTIVATION: EQUITY THEORY
(CONT’D)
• Referent
• In equity theory, the other persons, the systems,
or the personal experiences against which
individuals compare themselves to assess equity.
• The choice of a particular set of referents is
related to the information available about
referents as well as to the perceived relevance.

62

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EQUITY THEORY RELATIONSHIPS

Perceived Employee’s
Ratio Comparison Assessment

*Person A is the employee, and Person B is a relevant other or referent.

63

Exhibit 10.6
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EQUITY THEORY

• When employees perceive an inequity


they may:
• Distort either their own or others’ inputs or
outcomes.
• Behave so as to induce others to change their
inputs or outcomes.
• Behave so as to change their own inputs or
outcomes.
• Choose a different comparison referent. 64

• Quit their job.


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EQUITY THEORY PREPOSITIONS

• If paid according to time, overrewarded employees


will produce more than equitably paid employees.
• If paid according to quantity of production,
overrewarded employees will produce fewer but higher-
quality units than equitably paid employees.
• If paid according to time, underrewarded employees
will produce less or poorer-quality output.
• If paid according to quantity of production, under-
rewarded employees will produce a large number of
low-quality units in comparison with equitably paid
employees.
65

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JOB DESIGN AND MOTIVATION

• Job characteristics model (JCM)


• Hackman and Oldham’s job description model:
• The five core job dimensions are skill variety, task
identity, task significance, autonomy, and feedback.
• Internal rewards are obtained when:
• An employee learns (knowledge of results) through
(feedback) that he or she personally (experienced
responsibility through autonomy of work) has
performed well on a task that he or she cares
about (experienced meaningfulness through skill
variety, task identity, and/or task significance). 66

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CORE JOB DIMENSIONS

• Skill variety
• The degree to which the job requires a variety
of activities so the worker can use a number
of different skills and talents
• Task identity
• The degree to which the job requires
completion of a whole and identifiable piece of
work
• Task significance
• The degree to which the job affects the lives 67

or work of other people


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CORE JOB DIMENSIONS (CONT’D)

• Autonomy
• The degree to which the job provides
freedom, independence, and discretion to the
individual in scheduling the work and in
determining the procedures to be used in
carrying it out
• Feedback
• The degree to which carrying out the work
activities required by the job results in the
individual’s obtaining direct and clear
information about the effectiveness of his or 68

her performance
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THE JOB CHARACTERISTICS MODEL

69

Source: J. R. Hackman, “Work Design,” in J. R. Hackman and J. L. Suttle, eds.,


Improving Life at Work (Glenview, IL: Scott, Foresman, 1977), p. 129.
Exhibit 10.8
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License.
70

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71

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EXPECTANCY THEORY (VROOM)

• A comprehensive theory of motivation


that an individual tends to act in a certain
way, in the expectation that the act will be
followed by given outcome, and according
to the attractiveness of that outcome to
the individual.
• The extent to which individuals are motivated
to perform to get a reward of value to them is
based on their belief that their performance 72

will result in the reward they want.


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EXPECTANCY THEORY (CONT’D)

• Emphasizes self interest in the alignment of


rewards with employee wants.
• Addresses why employees view certain
outcomes (rewards) as attractive or
unattractive.
• Emphasizes the connections among expected
behaviors, rewards, and organizational goals.
• Is concerned with individual perceptions and
the provision of feedback. 73

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EXPECTANCY RELATIONSHIPS (LINKAGES)
• Effort–performance
• The perceived probability that exerting a given
amount of effort will lead to performance
• Performance–reward
• The belief that performing at a particular level
will lead to the attainment of a desired
outcome
• Attractiveness
• The importance placed on the potential
outcome or reward that can be achieved on 74

the job.
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SIMPLIFIED EXPECTANCY THEORY

Performance appraisal
system

Training and Human resources


development management
75

Exhibit
10.10
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INTEGRATING THEORIES OF MOTIVATION

76

Exhibit 10.11
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FLEXIBILITY: THE KEY TO MOTIVATING A DIVERSE
WORKFORCE
• Recognizing the different personal needs and
goals of individuals
• Providing a diversity of rewards to match the
varied needs of employees
• Being flexible in accommodating the cultural
differences within a diverse workforce when
attempting to motivate workers.
77

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MOTIVATION AND COMPENSATION

• Pay-for-performance programs
• Compensation plans such as piece-rate plans,
profit sharing, and the like that pay employees
on the basis of performance measures not
directly related to time spent on the job.

78

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COMPENSATION ALTERNATIVES

• Competency-based compensation
• A program that pays and rewards employees on the basis of skills,
knowledge, or behaviors they possess
• Broad-banding
• Pre-set pay level, based on the degree to which competencies exist
and allow an employee to contribute to the organization.
• Stock options
• A program that allows employees to purchase company stock at a
fixed price and profit when company performance increases its stock
value.
79

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WORK-LIFE BALANCE: ALTERNATIVE
WORK SCHEDULES
• Flextime
• A scheduling option that allows employees select what their work hours
will be within some specified parameters.
• Job sharing
• A type part-time work that allows two or more workers to split a
traditional 40-hour-a-week job
• Telecommuting
• A system of working at home on a computer that is linked to the office
• Compressed work schedule/weeks
1. A compressed work schedule allows an employee to work a traditional
35-40 hour workweek in less than five workdays. For example, a full-time
employee could work four 10-hour days instead of five 8-hour days.

80

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EMPLOYEE EMPOWERMENT: HOW
ENTREPRENEURS MOTIVATE
EMPLOYEES
• Giving employees power by:
• Allowing them to complete the whole job.
• Having employees work together across departments
and functions in the organization.
• Using participative decision making in which
employees provide input into decisions.
• Delegating decisions and duties, turning over the
responsibility for carrying them out to employees.
• Redesigning their jobs so they have discretion over
the way they do their work. 81

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82
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83
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THANK YOU

Presenter name
Email address
Phone #

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