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Chapter Ten
Motivating and Satisfying
Employees and Teams
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Learning Objectives
1. Explain what motivation is.
2. Understand some major historical perspectives on
motivation.
3. Describe three contemporary views of motivation: equity
theory, expectancy theory, and goal-setting theory.
4. Explain several techniques for increasing employee
motivation.
5. Understand the types, development, and uses of teams.
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What Is Motivation?
 The individual internal process that energizes, directs, and
sustains behavior; the personal “force” that causes us to behave
in a particular way
 Morale
– An employee’s feelings about his or her job and superiors and
about the firm itself
– High morale results from the satisfaction of needs or as a result of
the job and leads to dedication and loyalty
– Low morale leads to shoddy work, absenteeism, and high
turnover rates
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Historical Perspectives on
Motivation
 Scientific Management
– The application of scientific principles to the management of work
and workers
– Frederick W. Taylor
• Observed “soldiering” by workers who feared losing their jobs if
there were no work
• Job should be broken into separate tasks
• Management determines the best way and the expected output
• Management chooses and trains the best-suited person
• Management cooperates with workers
• Piece-rate system (pay per unit of output) is based on the belief that
people work only for money
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Taylor’s Piece-Rate System
Workers who exceeded their quota were
rewarded by being paid at a higher rate per
piece for all the pieces they produced
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Debate Issue: Are Most Workers
Motivated by Money?
YES
NO
 Money is an objective way of
measuring an employee’s value to
a firm.
 Some employees are motivated by
money because they have a use or
need for the money.
 Many research studies indicate that
the use of the piece-rate system
can improve an employee’s
productivity while increasing takehome pay.
 In addition to money, there are
other ways to reward employees.
 By the time they take out
deductions, a pay raise is always
less than the employee expected.
 Recent research indicates that the
factors of the work to be
performed, and recognition and
achievement, are the real
motivators for most workers.
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Historical Perspectives on Motivation
 The Hawthorne Studies
– Objective: to determine the effects of the work environment
on employee productivity
– 1st experiment: productivity increased for both the
experimental and control groups after lighting was varied in
the workplace
– 2nd experiment: workers under a piece-rate system produced
at constant rates
– Conclusions: human factors were responsible
• Workers had a sense of involvement by participating in the
experiment
• Groups influenced output through workers’ desire for
acceptance
– Human relations movement
• Employees who are happy and satisfied are motivated to
perform better
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Historical Perspectives on
Motivation
Maslow’s Hierarchy of Needs
– A sequence of human needs (personal
requirements) in the order of their importance
• Physiological needs—survival
• Safety needs—physical and emotional safety
• Social needs—love and affection and a sense of
belonging
• Esteem needs—respect, recognition, and a sense of our
own accomplishment and worth
• Self-actualization needs—to grow and develop and
become all that we are capable of being
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Maslow’s Hierarchy of Needs
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Historical Perspectives on
Motivation
Herzberg’s Motivation-Hygiene Theory
– Satisfaction and dissatisfaction are separate and
distinct dimensions
– Motivation factors
• Job factors that increase motivation but whose absence
does not necessarily result in dissatisfaction
– Hygiene factors
• Job factors that reduce dissatisfaction when present to an
acceptable degree but that do not necessarily result in
higher levels of motivation.
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Herzberg’s Motivation-Hygiene
Theory
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Historical Perspectives on
Motivation
 Douglas McGregor
– Sets of assumptions about managerial attitudes and beliefs
about worker behavior
 Theory X
– Generally consistent with Taylor’s scientific management
– Employees dislike work and will function only in a
controlled work environment
 Theory Y
– Generally consistent with the human relations movement
– Employees accept responsibility and work toward
organizational goals if they will also achieve personal
rewards
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Theory X and Theory Y
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Historical Perspectives on
Motivation
Theory Z
– Some middle ground between Ouchi’s Type A
(American) and Type J (Japanese) practices is best
for American business
– Emphasis is on participative decision making with
a view of the organization as a family
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The Features of Theory Z
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Historical Perspectives on
Motivation
 Reinforcement Theory
– Behavior that is rewarded is likely to be repeated, whereas
behavior that is punished is less likely to recur
• Reinforcement: an action that follows directly from a particular
behavior
• Types of reinforcement
 Positive reinforcement: strengthens desired behavior by
providing a reward
 Negative reinforcement: strengthens desired behavior by
eliminating an undesirable task or situation
 Punishment: an undesirable consequence of undesirable behavior
 Extinction: no response undesirable behavior in order to
discourage its occurrence
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Schedules of Reinforcement
Source: Organizational Behavior, Ninth Edition by Ricky W. Griffin and Gregory Moorhead. Copyright © 2010 by South-Western /
Cengage Learning. Used with permission.
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Contemporary Views on
Motivation
 Equity Theory
– People are motivated to obtain and preserve equitable treatment for
themselves
– Equity: the distribution of rewards in direct proportion to the
contribution of each employee to the organization
– Workers compare their own input-to-outcome (reward) ratios to their
perception of others’
– Workers who perceive an inequity may
• Decrease their inputs
• Try to increase outcome (ask for a raise)
• Try to get the comparison other to increase inputs or receive decreased
outcomes
• Leave the work situation (quit)
• Switch to a different comparison other
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Equity Theory
Outcomes (self)
Inputs (self)
compared with
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Outcomes (other)
Inputs (other)
Responses to Perceptions of
Equity and Inequity
Source: Organizational Behavior, Ninth Edition by Ricky W. Griffin and Gregory Moorhead. Copyright © 2010 by South-Western /
Cengage Learning. Used with permission.
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Contemporary Views on
Motivation
Expectancy Theory (Victor Vroom)
– Motivation depends on how much we want
something and on how likely we think we are to get
it
– Implications are that managers must recognize that
• Employees work for a variety of reasons
• The reasons, or expected outcomes, may change over
time
• It is necessary to show employees how they can attain
the outcomes they desire
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Expectancy Theory
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Contemporary Views on
Motivation
Goal-Setting Theory
– Employees are motivated to achieve goals they
and their managers establish together
– Goals should be very specific, moderately
difficult, and ones that the employee will be
committed to achieve
– Rewards should be tied directly to goal
achievement
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Management by Objectives
Advantages
Disadvantages
– Motivates employees by
involving them actively
– Improves communication
– Makes employees feel like
an important part of the
organization
– Periodic review enhances
control
– Doesn’t work if the process
doesn’t begin at the top of
the organization
– Can result in excessive
paperwork
– Some managers assign goals
instead of collaborating on
creating them
– Goals should be quantifiable
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Key Motivation Techniques
Job enrichment
– Provides employees with more variety and
responsibility in their jobs
Job enlargement
– The expansion of a worker’s assignments to
include additional but similar tasks
Job redesign
– A type of job enrichment in which work is
restructured to cultivate the worker-job match
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Key Motivation Techniques
Behavior modification
– A systematic program of reinforcement to
encourage desirable behavior
Steps in behavior modification
– Identify the target behavior to be changed
– Measure existing levels of the behavior
– Reward employees who exhibit the desired
behavior
– Measure the target behavior to check for desired
change
• If no change, consider changing reward system
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• If change has occurred,10 maintain
reinforcement
Key Motivation Techniques
 Flextime
– A system in which employees set their own work hours within
employer-determined limits
– Typically, there are two bands of time
• Core time, when all employees are expected to be at work
• Flexible time, when employees may choose whether to be at work
– Benefits
• Employees’ sense of independence and autonomy is motivating
• Employees with enough time to deal with nonwork issues are more
productive and satisfied
– Drawbacks
• Supervisors’ jobs are complicated by having employees who come
and go at different times
• Employees without flextime may resent coworkers who have it
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Two Examples of Flexible and
Core Time
Sources: Management, Ninth Edition by Robert Kreitner. Copyright © by Houghton Mifflin Company and Organizational Behavior, by
Ricky W. Griffin and Gregory Moorhead. Copyright © by Houghton Mifflin Company. Used with permission.
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Key Motivation Techniques
 Part-time work
– A permanent employment situation in which individuals
work less than a standard workweek
– Disadvantage: often does not provide the benefits that come
with a full-time position
 Job sharing
– An arrangement whereby two people share one full-time
position
– Companies can save on expenses by reducing benefits and
avoiding employee turnover
– Employees gain flexibility but may lose benefits
– Sharing can be difficult if work is not easily divisible or if
two people cannot work well together
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Key Motivation Techniques
 Telecommuting
– Working at home all the time or for a portion of the work week
– Advantages
•
•
•
•
•
Increased employee productivity
Lower real estate and travel costs
Reduced absenteeism and turnover
Increased work/life balance and improved morale
Access to additional labor pools
– Disadvantages
•
•
•
•
Feelings of isolation
Putting in longer hours
Distractions at home
Difficulty monitoring productivity
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Key Motivation Techniques
 Employee empowerment
– Making employees more involved in their jobs by increasing their participation
in decision making
– Management must be involved to set expectations, communicate standards,
institute periodic evaluations, guarantee follow-up
– Benefits
• Increased job satisfaction
• Improved job performance
• Higher self-esteem
• Increased organizational commitment
– Obstacles
• Management resistance
• Workers’ distrust of management
• Insufficient training
• Poor communication between management and employees
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Teams and Teamwork
 Teams
– Groups of employees functioning together as a unit to
complete a common goal or purpose
– Types of teams
•
•
•
•
Problem-Solving
Self-Managed
Cross-Functional
Virtual
– Stages of team development
•
•
•
•
•
Forming
Storming
Norming
Performing
Adjourning
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Advantages and Disadvantages
of Self-Managed Teams
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Teams and Teamwork
 Roles within a team
–
–
–
–
Task-specialist role
Socioemotional role
Dual role
Nonparticipant role
 Team cohesiveness
– For a team to be successful, members must learn how to resolve
and manage conflict
 Team conflict and how to resolve it
– Middle ground resolution satisfies each party to some extent
 Benefits and limitations of teams
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Stages of Team Development
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Factors That Enhance
Team Cohesiveness
Prestige and status
Cooperative relationship
High degree of interaction
Relatively small size
Similarity of members
Superior public image of the group
A common threat in the environment
Source: Kreitner, Foundations of Management, Student Achievement Series, © 2008 by Houghton Mifflin Company.
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Emotional Intelligence (EQ)
and Employee Motivation
Two Aspects
Understand yourself, your goals, intentions,
responses, behavior, and all
Understand others and their feelings
Source: “Emotional Intelligence (EQ),” http://www.businessballs.com/eq.htm
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Emotional Intelligence (EQ):
The Five Domains
1.
2.
3.
4.
Knowing your emotions
Managing your emotions
Motivating yourself
Recognizing and understanding other
people’s emotions
5. Managing relationships; i.e., managing the
emotions of others
Source: “Emotional Intelligence (EQ),” http://www.businessballs.com/eq.htm
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Chapter Quiz
1. The main idea conveyed in Frederick Taylor’s findings was that
a) most people are motivated only by money.
b) people are motivated for a variety of reasons other than pay.
c) people do not expect to get paid much for their work.
d) employees’ biggest fear is that of losing their jobs.
e) people expect to get paid much more than they are currently
getting.
2. Physiological needs concern an employee’s desire for
a) security.
b) survival.
c) a sense of belonging.
d) self-worth.
e) self-direction.
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Chapter Quiz
3.
Goal-setting theory suggests that employees are more motivated
a) to achieve goals that they and their manager have established
together.
b) to achieve goals that they establish on their own.
c) when management empowers them to make their own decisions.
d) when their expected outcomes or goals do not change over time.
e) to achieve goals that management establishes and clearly
communicates to employees.
4. Job redesign is a type of
a) flextime.
b) telecommuting.
c) job enlargement.
d) job enrichment.
e) job enhancement.
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Chapter Quiz
5.
The stage of team development in which the team begins
to stabilize is called
a) forming.
b) storming.
c) performing.
d) norming.
e) adjourning.
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Answers to Chapter Quiz
1. The main idea conveyed in Frederick Taylor’s findings was that
a) most people are motivated only by money. (Correct)
b) people are motivated for a variety of reasons other than pay.
c) people do not expect to get paid much for their work.
d) employees’ biggest fear is that of losing their jobs.
e) people expect to get paid much more than they are currently
getting.
2. Physiological needs concern an employee’s desire for
a) security.
b) survival. (Correct)
c) a sense of belonging.
d) self-worth.
e) self-direction.
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Answers to Chapter Quiz
3.
Goal-setting theory suggests that employees are more motivated
a) to achieve goals that they and their manager have established
together. (Correct)
b) to achieve goals that they establish on their own.
c) when management empowers them to make their own decisions.
d) when their expected outcomes or goals do not change over time.
e) to achieve goals that management establishes and clearly
communicates to employees.
4. Job redesign is a type of
a) flextime.
b) telecommuting.
c) job enlargement.
d) job enrichment. (Correct)
e) job enhancement.
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Answers to Chapter Quiz
5.
The stage of team development in which the team begins
to stabilize is called
a) forming.
b) storming.
c) performing.
d) norming. (Correct)
e) adjourning.
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Answers to Chapter Quiz
5. Title VII of the Civil Rights Act of 1964
applies directly to
a) discrimination based on age.
b) wages.
c) equal pay for equal work.
d) selection and promotion. (Correct)
e) employee health and safety.