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Chapter Motivation and Empowerment Chapter Objectives Recognize and apply the difference between intrinsic and extrinsic rewards Motivate others by meeting their higher-level needs Apply needs-based theory of motivation Implement individual and systemwide rewards Avoid the disadvantages of “carrot-and-stick” motivation Implement empowerment by providing the five elements of information, knowledge, discretion, meaning, and rewards Motivation The forces either internal or external to a person that arouse enthusiasm and persistence to pursue a certain course of action Ex 8.1 A Simple Model of Motivation Need Creates desire to fulfill needs (money, friendship, recognition, achievement Behavior Results in actions to fulfill needs Rewards Satisfy needs: intrinsic or extrinsic rewards Feedback Reward informs person whether behavior was appropriate and should be used again Types of Rewards Intrinsic Rewards Internal satisfactions a person receives in the process of performing a particular action Extrinsic Rewards Rewards given by another person, typically a supervisor, such as pay increases and promotions Systemwide Rewards Rewards that apply the same to all people within an organization or within a specific category or department Ex 8.2 Examples of Intrinsic and Extrinsic Rewards Individual Systemwide Extrinsic Intrinsic Large merit increase Feeling of selffulfillment Insurance benefits Pride in being part of a “winning” organization Ex 8.3 Needs of People and Motivation Methods Needs of people Conventional management Leadership Lower needs Higher needs Carrot and stick (Extrinsic) Empowerment (Intrinsic) Control people Growth and fulfillment Adequate effort Best effort Ex 8.4 Maslow’s Hierarchy of Needs Need Hierarchy Self-actualization Needs Fulfillment on the Job Opportunities for advancement, autonomy, growth, creativity Esteem Needs Recognition, approval, high status, increased responsibilities Belongingness Needs Work groups, clients, coworkers, supervisors Safety Needs Physiological Needs Safe work, fringe benefits, job security Heat, air, base salary Ex 8.5 Herzberg’s Two-Factor Theory Highly Satisfied Area of Satisfaction Motivators Achievement Recognition Responsibility Work itself Personal growth Motivators influence level of satisfaction Neither Satisfied nor Dissatisfied Area of Dissatisfaction Hygiene Factors Work conditions Pay/security Co policies Supervisors Hygiene factors influence level of dissatisfaction Interpersonal relationships Highly Dissatisfied Acquired Needs Theory McClelland’s theory that proposes that certain types of needs are acquired during an individual’s lifetime Three needs most frequently studied: Need for achievement Need for affiliation Need for power 10 Ex 8.6 Key Elements of Expectancy Theory E > P expectancy Effort Performance P > O expectancy Performance Outcomes Valence – value of outcomes (pay, recognition, other rewards) Motivation Will putting effort into the task lead to the desired performance? Will high performance lead to the desired outcomes? Are the available outcomes highly valued? 11 Equity Theory A theory that proposes that people are motivated to seek social equity in the rewards they expect for performance 12