Business Essentials 5e' Ebert and Griffin

1
Chapter 9 Motivating, Satisfying, and Leading
Employees
2
Psychological Contract A Set of Employment
Expectations

• Contributions
• What does each employee expect to contribute to
  the organization?
• Inducements
• What will the organization provide to each
  employee in return?

3
Satisfied Employees Are More Productive and More
Committed

• Job Satisfaction
• Degree of enjoyment employees derive from doing
  their jobs
• High Morale
• An overall positive employee attitude toward the
  workplace
• Low Turnover
• A low percentage of employees leave each year

MORALE
TURNOVER
TURNOVER
MORALE
4
Raising Morale Is a High Priority When
Unemployment Is Low
5
Highly Motivated Employees AreCritical to
Business Success

• Motivation
• The set of forces that cause people to behave in
  certain ways
• Classical
• BehaviorThe Hawthorne Studies
• Contemporary

6
The Human Resources ModelTheory X and Theory Y
(McGregor)

• Theory X
• People are lazy.
• People lack ambition and dislike responsibility.
• People are self-centered.
• People resist change.
• People are gullible and not very bright.

• Theory Y
• People are energetic.
• People are ambitious and seek responsibility.
• People can be selfless.
• People want to contribute to business growth and
  change.
• People are intelligent.

7
Maslows Hierarchy of Needs
8
Cognitive Evaluation
9
Herzbergs Two-Factor Theory
Hygiene Factors
Motivational Factors

• Quality of supervision
• Rate of pay
• Company policies
• Working conditions
• Relations with others
• Job security

• Career Advancement
• Personal growth
• Recognition
• Responsibility
• Achievement

High
High
Job Dissatisfaction
Job Satisfaction
0
10
The Theory of Needs David McClelland
Need for Achievement (nAch)
Need for Power (nPow)
Need for Affiliation (nAff)
11
Expectancy Theory Model
12
The Job Characteristics Model
13
Equity Theory

• Employees evaluate their treatment relative to
  the treatment of others
• Inputs Employee contributions to their jobs
• Outputs What employees receive in return
• The perceived ratio of contribution to return
  determines perceived equity.

14
Equity Theory PossibleAssessments
15
Goal-Setting Theory

• Specificity
• Challenge
• Feedback
• Participation

• Commitment
• Self-efficacy
• Characteristics
• Culture

16
Guidelines for Writing SMART Goals

• Specific
• Measurable
• Attainable
• Results oriented
• Time bound

17
Reinforcement/Behavior Modification Theory
Punishment
When negative consequences are attached directly
to undesirable behavior.
Positive Reinforcement
When rewards are tied directly to performance.
18
Strategies for Enhancing Job Satisfaction and
Morale

• Reinforcement/behavior modification
• Management by objectives
• Participative management and empowerment
• Job enrichment and job redesign
• Modified work schedules

19
Management by Objectives (MBO) Collaborative
Goal-setting
Collaborative Goal Setting and Planning
Communicating Organizational Goals and Plans
Periodic Review
Evaluation
Meeting
Setting Verifiable Goals and Clear Plans
Counseling
Identifying Resources
20
Participative Management and Empowerment

• Increasing job satisfaction by encouraging
  participation
• Team management represents a growing trend.

21
Job Enrichment and Job Redesign

• Job Enrichment
• Adding one or more motivating factors to job
  activities
• Job Redesign
• Designing a better fit between workers and their
  jobs
• Combining tasks
• Forming natural work groups
• Establishing client relationships

22
Modified Work Schedules

• Work share programs
• Flextime programs and alternative workplace
  strategies
• Telecommuting and virtual offices

23
Sample Flextime Scheduling
Figure 96
24
Evaluating Modified Schedules and Alternative
Workplaces

• Advantages
• More satisfied, committed employees
• Less congestion

• Disadvantages
• Challenging to coordinate and manage
• Poor fit for some workers

25
Managerial Leadership

• The process of motivating others to work to meet
  specific objectives

26
Managerial Styles
Autocratic Style
Democratic Style
Free-rein Style
Contingency Approach The appropriate style in any
situation is contingent on the unique elements of
that situation
27
Motivation and Leadership in the 21st Century

• Motivation
• Security and pay are no longer enough
• Leadership
• Coach mentality
• Diversity
• Flexibility