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MGMT 371
Chapter 8: Improving Job
Performance with Feedback, Extrinsic
Rewards, and Positive Reinforcement
I. Feedback
II. Extrinsic Rewards
III. Positive Reinforcement
I. FEEDBACK


Feedback: Objective information about
performance.
Functions of feedback:
 Instructional
 Motivational

Three Sources of feedback:
 Others
 Task
 Oneself
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© 2005 The McGraw-Hill Companies, Inc. All rights reserved.
I. Feedback
C. Recipients
1. Characteristics
2. Perceptions
I. Feedback
D. Behavioral Outcomes
1.
2.
3.
4.
Direction
Effort
Persistence
Resistance
Bolstering the Job Performance Cycle
With Feedback, Rewards and Reinforcement
Timely and
instructive
feedback
Ability
Effort
Results
• Learning
• Personal development
• Stable, strong job
performance
Properly
administered
rewards and
positive reinforcement
McGraw-Hill
© 2005 The McGraw-Hill Companies, Inc. All rights reserved.
I. Feedback
E. Nontraditional
1. Upward
2. 360 Degree
Popularity of Nontraditional Feedback
1.
2.
3.
Traditional performance appraisal systems
have created widespread dissatisfaction.
Team-based organization structures are
replacing traditional hierarchies.
Multiple-rater systems are said to make
feedback more valid than single-source
feedback.
McGraw-Hill
© 2005 The McGraw-Hill Companies, Inc. All rights reserved.
Popularity of Nontraditional
Feedback
4. Advanced computer network technology
(the Internet and company Intranets)
greatly facilitates multiple-rater systems.
5. Co-workers and lower-level employees are said
to know more about a manager’s strengths and
limitations than the boss.
6. Bottom-up feedback meshes nicely with the
trend toward participative management and
employee empowerment.
Skills & Best Practices:
Effectively Giving Feedback







Tie feedback to existing performance goals and
clear expectations.
Give specific feedback.
Provide feedback focused key result areas.
Give feedback ASAP.
Give positive feedback for improvement, not
just final results.
Focus feedback on performance, not
personalities.
Base feedback on accurate and credible
information.
McGraw-Hill
© 2005 The McGraw-Hill Companies, Inc. All rights reserved.
II. Extrinsic Rewards
A.
B.
C.
D.
Org. Reward Norms
Reward Distribution
Pay for Performance
Team Based
Organization Reward Norms
 Profit
Maximization
Pay least wages for max effort (org)
Max rewards (employee)
 Reward Equity
 Reward Equality
 Need
Rewards Fail to Motivate When…
1.
2.
3.
4.
5.
6.
7.
McGraw-Hill
Too much emphasis on money
Benefits become entitlements
Wrong behaviors are rewarded
Performance and rewards aren’t linked
Rewards aren’t valued or varied
Use of one-shot rewards with a brief
motivational impact
Using demotivating practices such as
layoffs, punitive mgmt practices, excessive
exec pay, etc.
© 2005 The McGraw-Hill Companies, Inc. All rights reserved.
III. Positive Reinforcement
A. Thorndike’s Law of Effect
B. Skinner’s Operant
Conditioning
III. Positive Reinforcement
C. Contingent Consequences
1.
2.
3.
4.
Positive Reinforcement
Negative Reinforcement
Punishment
Extinction
III. Positive Reinforcement
D. Reinforcement Schedules
1. Continuous
2. Intermittent
a. Fixed ratio
b. Variable ratio
c. Fixed interval
d. Variable interval
E. Behavior Shaping