Motivation

1
Motivation

• Systems of Motivation in Contemporary
  Organizations

2
What motivation systems elicit proper employee
behaviors?

• Pay and Promotion Systems
• Job and Organizational Design
• Leadership
• Social and Cultural Systems

3
Sources of Motivation and Motivational Inducement
Systems      
Inducement Systems
4
Pay and Promotion System

• Types contingent vs. noncontingent systems
• Contingent pay systems are only as good as the
  performance measurement systems ( individual,
  team, organizational) upon which they are based

5
Performance Measurement Process
Job Analysis
Develop Valid Measures
Develop Performance Criteria
Establish Performance Standards
Measure Actual Behavior
Compare Performance With Standards
Give feedback and rewards
6
Types of Performance Measurement Systems

• Graphic rating scale
• Essays
• Rankings
• Checklist
• Behaviorally-Anchored Rating Scale

7
Graphic Rating Scale

• Dimension Punctuality
• This teller is always on time for work and
  promptly opens her/his window as scheduled

1 2 3 4
Strongly Disagree Agree Strongly Disagree
Agree
8
BARS for Specialty Store Manager Inventory
Control
6
Always orders in the right quantities at the
right times
Almost always orders at the right time, but
occasionally orders too much or too little of a
particular item
5
4
Usually orders at the right time, but almost
always in the right quantities
3
Often orders in the right quantities at the right
times
Occasionally orders at the right time, but
usually not in the right quantities
2
1
Occasionally orders in the right quantities, but
usually not at the right time.
9
Concerns about Performance Measurement

• Job Analysis must be current
• Observation of performance is necessary
• Rater biases Leniency, central tendency, halo,
  recency, and stringency effects
• Should be an appeal process and employee
  participation in the system
• Timing and context are important

10
360 Degree Performance Evaluation System

• Multiple raters evaluate employee supervisor,
  coworkers, subordinates, customers
• Assumption these people see different aspects
  of persons behavior on variety of dimensions
• Problems combining ratings, truth-telling,
  paperwork, competitive context

11
Concerns about Pay Systems

• Pfeffers myths about pay
• labor rates labor costs
• cutting labor rates lowers your labor costs
• labor costs constitute significant proportion of
  total costs
• low labor costs are a sustainable competitive
  advantage
• Individual incentive pay improves performance
• People work for money

12
More issues to consider

• Compensation is based on worth of job as
  determined through job evaluation and wage
  surveys
• Competitive strategy and human resource strategy
  determine level of wage rates within firms
• Some CEOs in the US make 700 times what lowest
  level workers make

13
What kinds of people are best motivated by pay?

• Instrumental if pay is contingent and equitable
• External self concept pay used as means to get
  positive feedback from others (acceptance,
  prestige, status are tied to paycheck)

14
Job and Organizational Design

• Task Design
• Determination of the content of tasks, sequencing
  of tasks, interrelationships among tasks, and
  context of a job
• Task design forms the basic building block for
  organizational design
• Example?

15
Characteristics of Task Design

• Task uncertainty (routine vs. nonroutine)
• Workflow uncertainty (analyzable vs.
  unanalyzable)
• Task interdependence (pooled, sequential, and
  reciprocal)
• Range of tasks performed (horizontal complexity)
• Autonomy and decision making power (vertical
  depth)

16
Types of Job Designs and Schedules

• Simple jobs
• Job rotation
• Job enlargement
• Job enrichment
• Work scheduling options part time, flextime,
  compressed work week, job sharing, telecommuting,
  contracted work

17
Diagnosing Jobs for Motivational Potential

• Determine objective and perceived characteristics
  of the job
• Examine for troubleshooting positions,
  inspectors, customer relations positions,
  communication departments, labor pools, narrow
  spans of control, temp work, etc.
• Analyze employee skill levels, needs for growth
  and challenge, satisfaction with contextual
  factors

18
JOB CHARACTERISTICS MODEL
Critical Psychological States
Core Job Characteristics
Outcomes
High internal work motivation High
growth satisfaction High general job
satisfaction High effectiveness
Skill Variety Task Identity Task Significance
Meaningfulness
Responsibility
Autonomy
Feedback from job
Knowledge of results
19
How to Implement Job Enrichment

• Add self paced control of work activities
• Allow discretion in scheduling work and methods
• Form natural work groups that handle tasks from
  start to end
• Establish relationships with customers
• Allow ownership and responsibility to work

20
How to Implement Job Enrichment

• Allow direct feedback from performing the work
• Add some decision making authority to job
• May have to train people to handle additional
  responsibilities
• Change in reward systems, performance appraisal
  systems, and culture might be necessary
• Involve unions if applicable in job redesign

21
How to Implement Job Enrichment

• Develop common set of competencies that all
  employees should have (e.g., computer skills,
  communication skills, problem solving skills,
  conflict management skills, statistical analysis
  etc.)
• Reduce job families to smaller numbers or broad
  banding jobs and allow progression within these
  job families with skill-based pay

22
High Performance Work Systems (HPWS)

• Current systematic attempt to enrich jobs all
  across the organization
• Self managed teams
• Team-based rewards
• Team-based recruitment, selection, promotions,
  and rewards
• Skill based training and reward systems
• Organizational learning processes promoted

23
How does task design motivate people with
different sources of motivation?

• Intrinsic process? Enjoyable jobs
• External self concept? Jobs that provide
  positive feedback from others
• Internal self concept? Jobs that provide direct
  feedback from performing the work
• Goal identification? Jobs that are directly
  relevant to carrying out mission of the
  organization

24
Social and Cultural Systems

• Group-based and cultural systems develop as
  people work together
• Consensual assumptions, beliefs, norms,
  expectations, and cause and effect models develop
  and are enforced
• Social structure of the informal system
  results roles, norms, communication patterns,
  informal leadership
• Satisfaction of security, belonging, esteem,
  prestige, and influence needs

25
How does the social system motivate behavior?

• Intrinsic process Social system based on having
  fun (e.g., Southwest Airlines)
• Instrumental Group determined rewards such as
  acceptance and status
• External self concept Group and/or cultural
  system reinforces key TCVs
• Goal identification Cultural system values form
  basis of mission and goals

26
Cases

• 1.  What are the motivational sources for each of
  the major players in the case situation?
• 2.  What motivational inducement systems are
  being utilized?
•  3.  How well are these systems working? In
  other words, what behaviors are they motivating
  and are these behaviors desirable?
• 4. What changes would you recommend?