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Chapter 3 Leadership Behavior and Motivation 1 Learning Objectives Understand what the behavioral approach to leadership entails Describe the Big Ten studies (Iowa, Michigan, Ohio State) Understand what the research has suggested about leadership style Understand the Blake and Mouton Managerial Grid Define motivation and understand the motivation process 2 Learning Objectives Describe the content theories of motivation (Hierarchy of Needs, TwoFactor, Acquired Needs) Describe the process theories of motivation (Equity, Expectancy, GoalSetting, and Reinforcement) Understand the criteria advisable when motivating employees using incentive compensation 3 Leadership Behavior and Leadership Style Leadership style is the combination of traits, skills, and behaviors leaders use as they interact with followers Relationships are good predictors of employee behavior and performance 4 University of Iowa Leadership Styles 5 University of Michigan Leadership Styles 6 The Ohio State University Leadership Model: Four Leadership Styles, Two Dimensions 7 Research on Leadership Style There is no one best leadership style in all situations Suggests that employees are more satisfied with a leader who is high in consideration Many leadership functions can be carried out by someone besides the designated leader of a group 8 Blake, Mouton, and McCanse Leadership Grid Country-club leader Concern for People Impoverished leader 1,9 9,9 Team leader 5,5 Middle-of-the-road leader 1,1 9,1 Authoritycompliance leader Concern for Production 9 Behavior Theory Contributions and Applications Led to a shift in the leadership paradigm to contingency leadership theory Recognized that organizations need both production and people leadership Supports the notion of co-leadership 10 Motivation and Leadership Is anything that affects behavior in pursuing a certain outcome An important leadership competency is the ability to motivate followers 11 The Motivation Process Need Motive Behavior Consequence Satisfaction or Dissatisfaction Feedback 12 Content Motivation Theories Content Motivation Theories Hierarchy of Needs Acquired Needs Two-Factor 13 Maslow’s Hierarchy of Needs SelfActualization Needs Esteem Needs Social Needs Safety Needs Physiological Needs 14 Herzberg’s Two-Factor Theory Motivation Model Maintenance factors Extrinsic motivators Motivator factors Intrinsic motivators 15 Acquired Needs Theory Proposes that people are motivated by their need for: Achievement Power Affiliation 16 Process Motivation Theories Equity theory Expectancy theory Goal-setting theory Reinforcement theory 17 Equity Theory Proposes that people are motivated when their perceived inputs equal outputs 18 Expanding Equity Theory: Organizational Justice Organizational justice reflects the extent to which employees perceive they are treated fairly at work Procedural justice Interactional Justice Distributive justice 19 Motivating with Equity Theory Understand that equity is based on perception, which may not be correct Rewards should be equitable High performance should be rewarded When incentive pay is used, ensure that clear standards exist 20 Expectancy Theory Proposes that employees are motivated when: They believe they can accomplish the task They will get the reward The rewards for doing so are worth the effort 21 Expectancy Theory Variables Expectancy is a person’s perception of his or her ability to accomplish an objective Instrumentality is the belief that successful performance will result in receiving the reward Valence is the value a person places on the outcome or reward Motivation = Expectancy × Instrumentality × Valence 22 Expectancy Theory 23 Motivating with Expectancy Theory Clearly define objectives and the required performance to achieve them Tie performance to rewards Be sure rewards are of value to the employee Make sure employees believe you will do what you say you will do Use the Pygmalion effect to increase expectations 24 Goal-Setting Theory Proposes that specific, challenging goals motivate people Goals give people a sense of purpose as to why they are working to accomplish a given task 25 Criteria for Objectives Singular result Specific Measurable Target date Difficult but achievable Participatively set Commitment of employees 26 Reinforcement Theory Proposes that through the consequences for behavior, people will be motivated to behave in predetermined ways Uses: Behavior modification Operant conditioning 27 Types of Reinforcement Positive reinforcement Encourages continued behavior via attractive consequences (rewards) Avoidance (negative) reinforcement Encourages desired behavior with negative consequences for undesired behavior 28 Types of Reinforcement (cont.) Punishment Provides undesirable consequences for undesirable behavior Extinction Often used with punishment to reduce or eliminate undesirable behavior Reinforcement is withheld when undesirable behavior is performed However, don’t ignore good performance 29 Schedules of Reinforcement Continuous reinforcement Each and every desired behavior is reinforced Intermittent reinforcement Based on passage of time or output – Passage of time is called an interval schedule – Output is called a ratio schedule 30 Intermittent Reinforcement Fixed interval schedule Variable interval scale Fixed ratio scale Variable ratio scale 31 Motivating with Reinforcement Set clear objectives Employees must understand what is expected Select appropriate rewards Must be seen as rewards Select the appropriate reinforcement schedule Do not reward unworthy performance Look for the positive Give sincere praise Do things for your employees 32 Giving Praise Feedback and praise have a strong impact on performance Can help develop a positive self-concept in employees Can cause the Pygmalion effect Creates a win–win situation Takes only a little time Costs nothing 33 Giving Praise Model STEP 1 STEP 2 STEP 3 STEP 4 Tell the employee exactly what was done correctly. Tell the employee why the behavior is important. Stop for a moment of silence. Encourage repeat performance. 34 Motivation and Incentive Compensation Certain criteria are advisable: Rewards must be linked to performance and be measurable The rewards must satisfy individual needs The rewards should be agreed upon by the leader and employees The rewards must be believable The rewards must be achievable 35