1. Human Relations in Business
Week 2 Discussion

2. Chapter 4 Individual Attitudes and Behaviors
Learning Objectives
 Identify the major work attitudes
that affect work behaviors
 List the key set of behaviors that
matter for organizational
performance
 Understand the link between work
attitudes and ethics
 Understand cross-cultural
differences in job attitudes and
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behaviors at work

3. Work Attitudes
Job Organizational
Attitude Commitment
Satisfaction

4. Positive Work Attitudes
Personality
Person-Environment Fit
Job Characteristics Job
Psychological Contract Satisfaction
Organizational Justice Organizational
Work Relationships Commitment
Stress
Work-Life Balance

5. Assessing Work Attitudes in the
Workplace
The SAS Institute is a leader
in the art of treating
employees well. The privately
owned software company
headquartered in Cary, North
Carolina, is famous for its free
medical care, sports facilities,
subsidized on-site child care,
flexible work hours, and true
dedication to work life
balance.

6. Assessing Work Attitudes in the
Workplace
Attitude Exit
Surveys Interview
Systematic
Attitude
Tracking

7. Discussion
• What is the difference between job satisfaction and
organizational commitment? Which do you think would
be more strongly related to turnover?
• Do you think making employees happier at work is a
good way of motivating people? When would high
satisfaction not be related to high performance?
• How important is pay in making people attached to a
company and making employees satisfied?
• Do you think younger and older people are similar in
what makes them happier at work and committed to their
companies? Do you think there are male-female
differences?

8. Work Behaviors
Job
Performance
Organizational
Turnover Citizenship
Behavior
Absenteeism

9. OCB and Absenteeism
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Organizational citizenship behaviors are voluntary
actions beyond the scope of normal job duties
that contribute to the effective functioning of an
organization. On the other hand, absenteeism
costs companies an estimated $74 billion
annually.

10. Turnover
Job
Performance dissatisfaction
Employees leave
their jobs for many
reasons, including:
Personality Age
Company
tenure

11. Factors That Have the Strongest
Influence Over Work Behaviors
Job Citizenship Absenteeism Turnover
Performance
General mental Treatment at Health problems Poor
abilities work performance
How we are Personality Work/life Positive work
treated at work balance issues attitudes (-)
Stress Positive work Positive work Stress
attitudes attitudes (-)
Positive work Age of the Age of the Personality
attitudes employee employee (-)
Personality Age and tenure
of the employee
Note: Negative relationships are indicated with (-) (-)

12. Discussion
• Are citizenship behaviors always beneficial to the company? If
not, why not? Can you think of any citizenship behaviors that
employees may perform with the intention of helping a company
but that may have negative consequences overall?
• In some companies, managers are rewarded for minimizing the
turnover within their department or branch. A part of their bonus
is tied directly to keeping the level of turnover below a minimum.
What do you think about the potential effectiveness of these
programs? Do you see any downsides to such programs?

13. Job Attitudes, Behavior, and Ethics
Ethical work Happier
environment employees
Employees less
Strong
likely to recognize
organizational
and report
commitment
unethical behavior

14. Chapter 5 Theories of Motivation
Learning Objectives
 Understand the role of motivation in
determining employee performance
 Classify the basic needs of
employees
 Describe how fairness perceptions
are determined and consequences
of these perceptions
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 Understand the importance of
rewards and punishments
 Apply motivation theories to
analyze performance problems

15. Performance
Performance Motivation Ability Environment

16. Performance at Trader Joe’s
What’s different?
 Upbeat, helpful employees
 Best paid employees in the
industry
 Promotes from within
 Employees & managers
“pitch-in”
http://upload.wikimedia.org/wikipedia/en/2/27/Traderjoes_facade.JPG
What is Trader Joe’s?  Quarterly performance
evaluation and feedback
Unique shopping experience
 Employee autonomy
Located in 22 states
 Employees are
Chain food store with a niche market knowledgeable of the store’s
products

17. Maslow Hierarchy of Needs
Self
Actualization
Esteem
Social
Safety
Physiological
http://www.bnet.com/2422-13724_23-182940.html

18. ERG Theory
Existence
Growth Relatedness

19. Two-Factor Theory
Hygiene Motivators
Factors
• Company • Achievement
policy • Recognition
• Supervision • Interesting
and work
relationships
• Increased
• Working responsibilities
conditions
• Advancement
• Salary and growth
• Security

20. Acquired-Needs Theory
Need for Need for Need for
achievement affiliation power

21. Acquired-Needs Theory
The Thematic
Apperception
Test (TAT)
assesses a
person’s
dominant needs
by presenting
subjects with an © 2010 Jupiterimages Corporation
ambiguous
picture and
The story you create based on this
having them write picture might give away the dominant
a story about it. needs that motivate you.

22. Equity Theory
Person Referent Other
Outcomes = Outcomes
Inputs Inputs

23. Reaction to Unfairness
Reactions to Inequity Example
Distort perceptions Changing one’s thinking to believe that the referent
actually is more skilled than previously thought.
Increase referent’s inputs Encouraging the referent to work harder.
Reduce own input Deliberately putting forth less effort at work. Reducing
the quality of one’s work.
Increase own outcomes Negotiating a raise for oneself or using unethical ways
of increasing rewards such as stealing from the
company.
Change referent Comparing oneself to someone who is worse off.
Leave the situation Quitting one’s job.
Seek legal action Suing the company or filing a complaint if the
unfairness in question is under legal protection.

24. Differences in Equity Perception
Equity
Sensitivity
Entitleds Benevolents

25. Justice
Procedural
Justice
Distributive Interactional
Justice Justice

26. Justice
Procedural Interactional Distributive
Justice Justice Justice
The degree to The degree to
The degree to
which fair which people
which
decision- are treated
outcomes
making with respect,
received from
procedures kindness, and
the
are used to dignity in
organization
arrive at a interpersonal
are fair
decision interactions

27. Expectancy Theory
Expectancy Instrumentality Valence
Effort Performance Rewards
1) Will my effort 2) Will performance 3) Do I find the
lead to high lead to outcomes? outcomes
performance? desirable?

28. Influencing Expectancy,
Instrumentality, and Valence
Expectancy Instrumentality Valence
• Make sure • Reward • Find rewards that
employees have employee are desirable to
proper skills, performance employees
abilities, and • Inform people in • Make sure that
knowledge advance about the rewards are
• Ensure that the rewards viewed as fair
environment • Try to eliminate • Give employees
facilitates non-performance choice over
performance influence over rewards
• Encourage rewards
employees so
they believe their
effort makes a
difference

29. Reinforcement Theory
Positive Negative
Manager Reinforcement Reinforcement Manager
praises the • Positive behavior • Positive behavior stops nagging
employee followed by followed by
positive removal of the employee
consequences negative
consequences
Punishment Extinction
• Negative behavior • Negative behavior Manager
Manager followed by followed by
demotes the negative removal of ignores the
consequences positive behavior
employee consequences

30. Organizational Behavior
Modification (OB Mod)
Step 1 Step 2 Step 3 Step 4 Step 5
• Identify • Measure • Analyze its • Intervene • Evaluate
behavior the antecedents &
to be baseline and outcomes maintain
modified level

31. Motivation and Ethics
Reinforcement theory has
been particularly
successful in explaining
ethical behavior.
Unethical More
Behavior
Reward Unethical
Behavior

32. Motivation and Culture
Financial satisfaction was a
Developing stronger predictor of overall
Nations life satisfaction (compared to
industrialized nations)
Satisfaction with esteem
Industrialized needs was a more powerful
Nations motivator (compared to
developing nations)

33. Chapter 6 Designing a Motivating Work Environment
Learning Objectives
 Describe the history of job design
approaches
 Understand how to increase the
motivating potential of a job
 Understand why goals should be
SMART
 Set SMART goals
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 Give performance feedback effectively
 Describe individual, team, and
organization based incentives that can
be used to motivate the workforce

34. Scientific Management and Job
Specialization
Scientific Job
Management Specialization
• Based on ideas • Break down jobs
from Frederic into their simplest
Taylor’s 1911 book, components
“Principles of • Assign tasks so
Scientific each employee
Management” performs a select
• Among the most number of tasks in
influential books of a repetitive
the 20th century manner

35. Scientific Management and Job
Specialization
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This Ford panel assembly line in Berlin,
Germany, is an example of specialization.
Each person on the line has a different job.

36. Alternatives to Job Specialization
Job Job
Job Rotation
Enrichment Enlargement
Allowing
Moving Expanding the
workers more
employees from tasks performed
control over
job to job at by employees to
how they
regular intervals add more variety
perform tasks

37. Job Characteristics Model
Core Job Psychological Outcomes
Characteristics States
• Skill Variety • Meaningfulness • Motivation
• Task Identity • Responsibility • Performance
• Task Significance • Knowledge of Results • Satisfaction
• Autonomy
• Absenteeism
• Feedback
• Turnover

38. Calculate Motivation Potential
Score (MPS)
( Skill Variety +
Task Identity +
(
Task Significance
x Autonomy x Feedback
3
MPS

39. Empowerment
Structural Empowerment
Decision Leadership Organizational Access to Organizational
authority styles Structure information climate
Felt Empowerment
Meaningful Feeling Having discretion Ability to
work confident and autonomy at influence how
about work the company
performing operates
the job

40. Goal-Setting Theory
…is one of the most
influential and
practical methods of
motivation. It has
been rated as the
most important (of 73
theories), supported
in over 1,000 studies,
and is used by © 2010 Jupiterimages Corporation
thousands of
organizations.

41. SMART Goals
S Specific
M Measurable
A Aggressive
R Realistic
T Time-Bound

42. Why Do SMART Goals Motivate?
Make You
Think Energize
Outside
the Box
SMART
Goals
Provide Give
Challenge Direction

43. When Are Goals More Effective?
Goal
Feedback Ability Commitment

44. Downsides to Goal Setting
Learning
decreases
Adaptability
declines
Narrow
thinking may
develop
Ethical
problems
increase

45. Discussion
1. A call center is using the metric of average time per call
when rewarding employees. In order to keep their average
time low, employees are hanging up on customers when
they think that the call will take too long to answer.
2. In a department store, salespeople are rewarded based
on their sales volume. The problem is, they are giving
substantial discounts and pressuring customers to make
unnecessary purchases.
What are the reasons for the negative consequences of
these bonus schemes? Modify these schemes to solve the
problems.

46. Management by Objectives
Use corporate
strategy to set
company wide
goals
Periodically review Determine team-
performance and and department-
revise goals level goals
Collaboratively set
Develop an action individual-level
plan goals that align with
corporate strategy

47. Performance Appraisal
Many companies
have a formal,
companywide process
of providing feedback
to employees.
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48. Performance Appraisal Questions
What is
How
the
often?
purpose?
What
Who is makes
the an
rater? effective
system?

49. Absolute versus Relative Ranking
Appraisals
• Rating based on a standard
that is applied equally to
Absolute everyone
• Scores are based solely on
individual performance
• Rating is based on rank within
all ratings
• Final score is dependent on
Relative individual performance
measured against another
individual’s performance
Viewed more negatively
by employees

50. Bias in Performance Appraisals
Unfair
Appraisal
Stereotypes
Leniency
Liking

51. Performance Incentives
Piece Rate Individual
Merit Pay
System Bonuses
Sales
Awards Team Bonuses
Commissions
Gainsharing Profit Sharing Stock Options

52. Performance Incentives
Properly designed
sales commissions
are widely used to
motivate sales
employees
The blend of straight salary and
commissions should be carefully
balanced to achieve optimum
sales volume, profitability, and
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customer satisfaction

53. Motivating Employees and Ethics
When goal
accomplishment is
rewarded, and when
rewards are desirable,
employees will have two
basic options:
Work hard to Cheat to
reach goals reach goals

54. Motivating Employees around the
Globe
Motivation
Goals
perceived American
as employees Chinese
extremely
employees
difficult