2. • Motivation is an effective instrument in the hands of a
manager for inspiring the workforce and creating
confidence in it.
• Motivation is derived from word ‘motive’. Motive is an
inner state that energizes, activates or moves and direct
or channels the behavior towards goals.
• Motivation is a process that starts with a physiological or
psychological deficiency or need that activates behaviour
or a derive that is aimed at a goal or incentive.
3. • According to Robins ”Motivation is the compel force
starting and keeping a person at work in an org.
Motivation is something that move the person to action
and continues him in the course of action already
initiated”.
• Motivation is defined as the set of processes that
stimulate, direct, control and maintain human behaviour
attaining some goals.
• According to March and Simon, ”Motivation is a process
or reaction which takes place in the memory of the
individual. It may be viewed as the combination of forces
or motives maintaining human activity
4. • According to Fred Luthans (1986) Motivation can be
defined as “ a process that starts with psychological or
psychological deficiency or need that activates behaviour
or a drive that is aimed at a goal or incentive.
• Motivation is the willingness to do something. It is
conditioned by this action’s ability to satisfy some need
for the individual
5. Nature and Importance of
Motivation
• Motivated employees are required
• It helps organization to survive
• Motivated employees are more productive
• Satisfaction of Employee Needs
• Creating Enthusiasm and Interest in Work
• Achievement of Organisational Goals
• Low absenteeism and Turnover
• Effective utilization of Resources
• Adds to corporate image
• Builds Morale
6. Theories of Motivation
• The most important thing is to identify what motivates a
person-what makes them “tick”. Motivation Theories
help us do just that. Each motivational theory describes
what humans are, and what humans can become. Each
theory, is thus, a particular view about people and what
motivates them, from a particular perspective.
• Theories of Motivation can be divided into two main
categories:
1. Content Theory of Motivation
2. Process Theory of Motivation
7. Content Theory of Motivation
1. Maslow’s Need Hierarchy Theory
2. Herzberg’s Motivation Theory
3. Alderfer’s ERG Theory
4. Mc Cleland’s Achievement Theory
8. Process Theory of Motivation
1. Vroom’s Expectancy Theory
2. Equity Theory
3. Goal Setting Theory
9. Maslow’s Need Hierarchy Theory
• According to Maslow, individuals will be motivated to
fulfill whichever need is the most important for them at a
given time. In Maslow’s Hierarchy, if a lower need is
satisfied, the next higher one becomes dominant. The
higher the level, the greater is the motivation provided.
• Abraham Maslow (1908–70), a psychologist, believed
that all people have needs to be satisfied, and that they
will work towards satisfying those needs. A need is what
a person requires. He assumed these needs could be
arranged according to their importance in a series of
steps known as Maslow’s hierarchy of needs
10.
11. Criticism of Theory
• Argument Against Maslow’s Theory It is
argued that human needs are not, and
cannot be ordered. They are non-
hierarchical, universal & invariant in nature
12. Herzberg Theory of Motivation
(The Two-Factor Theory)
• According to Herzberg’s Theory, job satisfaction &
dissatisfaction arise from two separate sets of factors.
The Dissatisfiers are called hygiene factors & the
Satisfiers are called the motivating factors. Both factors
are present in a person-the contribution of all the factors
of each set give an estimated result of the degree of
satisfaction.
• The hygiene factors contributed 69% to dissatisfaction,
and were characterized as low motivators. The
motivators contributed 81% to job satisfaction and were
characterized as high level factors where emphasis
should be made.
13. • Hygiene Factor
1. Supervision
2. Working Conditions
3. Peer Relationship
4. Company Policy
5. Security
6. Salary
These factors are those
whose absence can
create job
dissatisfaction
• Motivators
1. Achievement
2. Advancement
3. Recognition
4. Responsibility
5. Growth
These factors increase job
satisfaction
14. Criticism of theory
• According to researchers job satisfaction and
dissatisfaction are two opposite points on a single
continuum. Individuals on the job are affected by any
change either in the job environment or in the job
context.
• This theory does not attach much importance to pay
status and interpersonal relationship which are held
generally as important contents or satisfaction.
• This model is method bound and a number of other
methods used for similar study have shown different
results not supporting theories contentions.
15. ERG Theory
Clayton P. Alderfer's ERG theory from 1969 condenses Maslow's five
human needs into three categories: Existence, Relatedness and Growt
• Existence Needs
Include all material and physiological desires (e.g., food,
water, air, clothing, safety, physical love and affection).
Maslow's first two levels.
• Relatedness Needs
Encompass social and external esteem; relationships
with significant others like family, friends, co-workers and
employers . This also means to be recognized and feel
secure as part of a group or family. Maslow's third and
fourth levels.
16. • Growth Needs
Internal esteem and self actualization; these impel a
person to make creative or productive effects on himself
and the environment (e.g., to progress toward one's ideal
self). Maslow's fourth and fifth levels. This includes
desires to be creative and productive, and to complete
meaningful tasks.
• Even though the priority of these needs differ from
person to person, Alberger's ERG theory prioritises in
terms of the categories' concreteness. Existence needs
are the most concrete, and easiest to verify.
Relatedness needs are less concrete than existence
needs, which depend on a relationship between two or
more people. Finally, growth needs are the least
concrete in that their specific objectives depend on the
uniqueness of each person.
17. • Differences between ERG theory and Maslow's
model
• Alderfer's ERG motivation theory differs from Maslow's
theory in three ways:
• A lower level need does not have to be gratified (i.e., a
person may satisfy a need at hand, whether or not a
previous need has been satisfied);
• If a relatively more significant need is not gratified, the
desire to gratify a lesser need will be increased (i.e., the
frustration in meeting high-order needs might lead a
person to regress to a more concrete need category);
• Alderfer's ERG theory allows the order of the needs to
differ for different people (e.g., it accounts for the
"starving artist" who may place growth needs above
existence ones).
18.
19.
20. Mc Cleland’s Achievement Theory
• In his acquired-needs theory, David McClelland
proposed that an individual's specific needs are acquired
over time and are shaped by one's life experiences. Most
of these needs can be classed as either achievement,
affiliation, or power.
• A person's motivation and effectiveness in certain job
functions are influenced by these three needs.
McClelland's theory sometimes is referred to as the
three need theory or as the learned needs theory.
21. • Achievement
• People with a high need for achievement (nAch) seek to
excel and thus tend to avoid both low-risk and high-risk
situations.
• Achievers avoid low-risk situations because the easily
attained success is not a genuine achievement. In high-
risk projects, achievers see the outcome as one of
chance rather than one's own effort.
• High nAch individuals prefer work that has a moderate
probability of success, ideally a 50% chance.
22. • Achievers need regular feedback in order to monitor the
progress of their achievements. They prefer either to
work alone or with other high achievers.
• Affiliation
• Those with a high need for affiliation (naff) need
harmonious relationships with other people and need to
feel accepted by other people.
• They tend to conform to the norms of their work group.
High nAff individuals prefer work that provides significant
personal interaction. They perform well in customer
service and client interaction situations.
23. • Power
• A person's need for power (nPow) can be one of
two types - personal and institutional. Those who
need personal power want to direct others, and
this need often is perceived as undesirable.
Persons who need institutional power (also
known as social power) want to organize the
efforts of others to further the goals of the
organization. Managers with a high need for
institutional power tend to be more effective than
those with a high need for personal power.
24. Thematic Apperception Test
• McClelland used the Thematic
Apperception Test (TAT) as a tool to
measure the individual needs of different
people. The TAT is a test of imagination
that presents the subject with a series of
ambiguous pictures, and the subject is
asked to develop a spontaneous story for
each picture. The assumption is that the
subject will project his or her own needs
into the story.
25. Implications for Management
• People with different needs are motivated differently.
• High need for achievement - High achievers should be
given challenging projects with reachable goals. They
should be provided frequent feedback. While money is
not an important motivator, it is an effective form of
feedback.
• High need for affiliation - Employees with a high
affiliation need perform best in a cooperative
environment.
• High need for power - Management should provide
power seekers the opportunity to manage others.
26.
27. Vroom’s Expectancy Theory
• Where Maslow and Herzberg look at the relationship
between internal needs and the resulting effort expended
to fulfill them, Vroom's expectancy theory separates
effort (which arises from motivation), performance, and
outcomes.
• Vroom's expectancy theory assumes that behavior
results from conscious choices among alternatives
whose purpose it is to maximize pleasure and to
minimize pain.
• Vroom realized that an employee's performance is
based on individual factors such as personality, skills,
knowledge, experience and abilities.
28. • According to the theory the effort, performance and
motivation are linked in a person's motivation. He uses
the variables Expectancy, Instrumentality and Valence to
account for this.
• Expectancy is the belief that increased effort will lead to
increased performance i.e. if I work harder then this will
be better. This is affected by such things as:
• Having the right resources available (e.g. raw materials,
time)
• Having the right skills to do the job
• Having the necessary support to get the job done (e.g.
supervisor support, or correct information on the job)
• Employees have different expectations and levels of
confidence about what they are capable of doing.
Management must discover what resources, training, or
supervision employees need.
29. • Instrumentality is the belief that if you perform well that
a valued outcome will be received. The degree to which
a first level outcome will lead to the second level
outcome. i.e. if I do a good job, there is something in it
for me. This is affected by such things as:
• Clear understanding of the relationship between
performance and outcomes – e.g. the rules of the reward
'game'
• Trust in the people who will take the decisions on who
gets what outcome
• Transparency of the process that decides who gets what
outcome.
• It is the perception of employees as to whether they will
actually get what they desire even if it has been
promised by a manager. Management must ensure that
promises of rewards are fulfilled and that employees are
aware of that.
30. • Valence is the importance that the individual places
upon the expected outcome. For the valence to be
positive, the person must prefer attaining the outcome to
not attaining it. For example, if someone is mainly
motivated by money, he or she might not value offers of
additional time off.
• Valence refers to the emotional orientations people hold
with respect to outcomes [rewards]. The depth of the
want of an employee for extrinsic [money, promotion,
time-off, benefits] or intrinsic [satisfaction] rewards).
Management must discover what employees value.
33. • The three elements are important behind choosing one
element over another because they are clearly defined:
effort-performance expectancy (E>P expectancy) and
performance-outcome expectancy (P>O expectancy).
• E>P expectancy: our assessment of the probability that
our efforts will lead to the required performance level.
• P>O expectancy: our assessment of the probability that
our successful performance will lead to certain
outcomes.
34. • These 3 factors interact together to create a motivational
force for an employee to work towards pleasure and
avoid pain. The formula for this force is:
Valence of outcome x Expectancy act will be
result in outcome (Instrumentality) =
Motivation Force
35.
36. • First Order Outcome is the behavior that results directly
from the effort an employee expends on the job.
• Second Order Outcome is anything good or bad that
results from a first-order outcome.
37.
38.
39. • Vroom's expectancy theory of motivation
is not about self-interest in rewards but
about the associations people make
towards expected outcomes and the
contribution they feel they can make
towards those outcomes.
40. Advantages of the Expectancy
Theory
• It is based on self-interest individual who want to
achieve maximum satisfaction and who wants to
minimize dissatisfaction.
• This theory stresses upon the expectations and
perception; what is real and actual is immaterial.
• It emphasizes on rewards or pay-offs.
• It focuses on psychological extravagance where
final objective of individual is to attain maximum
pleasure and least pain.
• .
41. Limitations of the Expectancy
Theory
• The expectancy theory seems to be idealistic
because quite a few individuals perceive high
degree correlation between performance and
rewards.
• The application of this theory is limited as reward
is not directly correlated with performance in
many organizations. It is related to other
parameters also such as position, effort,
responsibility, education, etc
42. Equity Theory
• This theory proposes that a person's motivation
is based on what he or she considers to be fair
when compared to others (Redmond, 2010).
• Equity Theory focuses on an employee's work-
compensation relationship or "exchange
relationship" as well as that employee's attempt
to minimize any sense of unfairness that might
result.
• AS Equity Theory deals with social relationships
and fairness/unfairness, it is also known as The
Social Comparisons Theory or Inequity
Theory (Gogia, 2010).
43. • Equity theory of motivation, recognizes that motivation
can be affected through an individual's perception of fair
treatment in social exchanges.
• When compared to other people, individuals want to be
compensated fairly for their contributions (the outcomes
they experience match their inputs).
• A person's beliefs in regards to what is fair and what is
not fair can affect their motivation, attitudes, and
behaviors
47. Assumptions of the Equity
Theory
• The theory demonstrates that the individuals are
concerned both with their own rewards and also with
what others get in their comparison.
• Employees expect a fair and equitable return for their
contribution to their jobs.
• Employees decide what their equitable return should be
after comparing their inputs and outcomes with those of
their colleagues.
• Employees who perceive themselves as being in an
inequitable scenario will attempt to reduce the inequity
either by distorting inputs and/or outcomes
psychologically, by directly altering inputs and/or outputs,
or by quitting the organization.
48. Goal Setting Theory
• This theory states that goal setting is essentially
linked to task performance. It states that specific
and challenging goals along with appropriate
feedback contribute to higher and better task
performance.
• In simple words, goals indicate and give
direction to an employee about what needs to be
done and how much efforts are required to be
put in.
49. • The important features of goal-setting theory are as
follows:
• The willingness to work towards attainment of goal is
main source of job motivation. Clear, particular and
difficult goals are greater motivating factors than easy,
general and vague goals.
• Specific and clear goals lead to greater output and
better performance. Unambiguous, measurable and
clear goals accompanied by a deadline for completion
avoids misunderstanding.
• Goals should be realistic and challenging. This gives
an individual a feeling of pride and triumph when he
attains them, and sets him up for attainment of next goal.
The more challenging the goal, the greater is the reward
generally and the more is the passion for achieving it.
50. • Better and appropriate feedback of results directs the
employee behaviour and contributes to higher
performance than absence of feedback. Feedback is a
means of gaining reputation, making clarifications and
regulating goal difficulties. It helps employees to work
with more involvement and leads to greater job
satisfaction.
• Employees’ participation in goal is not always
desirable. Participation of setting goal, however, makes
goal more acceptable and leads to more involvement.
• Participation of setting goal, however, makes goal more
acceptable and leads to more involvement.
51. • Goal setting theory has certain eventualities
such as:
1. Self-efficiency- Self-efficiency is the
individual’s self-confidence and faith that he
has potential of performing the task. Higher
the level of self-efficiency, greater will be the
efforts put in by the individual when they face
challenging tasks. While, lower the level of
self-efficiency, less will be the efforts put in by
the individual or he might even quit while
meeting challenges.
52. 2. Goal commitment- Goal setting theory
assumes that the individual is committed to the
goal and will not leave the goal. The goal
commitment is dependent on the following
factors:
– Goals are made open, known and
broadcasted.
– Goals should be set-self by individual rather
than designated.
– Individual’s set goals should be consistent
with the organizational goals and vision.
53. Advantages of Goal Setting
Theory
• Goal setting theory is a technique used to
raise incentives for employees to
complete work quickly and effectively.
• Goal setting leads to better performance
by increasing motivation and efforts, but
also through increasing and improving the
feedback quality.
54. Limitations of Goal Setting
Theory
• At times, the organizational goals are in conflict with the
managerial goals. Goal conflict has a detrimental effect
on the performance if it motivates incompatible action
drift.
• Very difficult and complex goals stimulate riskier
behaviour.
• If the employee lacks skills and competencies to perform
actions essential for goal, then the goal-setting can fail
and lead to undermining of performance.
• There is no evidence to prove that goal-setting improves
job satisfaction.