LECTUREPEDIA - Ajarn Paul Tanongpol, J.D.; M.B.A.;B.A.; CBEST
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LECTUREPEDIA - Ajarn Paul Tanongpol, J.D.; M.B.A.;B.A.; CBEST
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CHAPTER 14 Motivation and Rewards
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Motivation is the inner drive that gives the people the reason to do well in what they are doing. It is the feeling of personal worth and a desire to achieve. It is the positive feeling in task accomplishment and the feeling of self assurance in working towards achieving a goal. This feeling or sentiment is indispensable for success. Motivation gives people a sense of direction and purpose.
Reward is defined as a sentimental compensation for task accomplished. This definition, not provided by the book, requires 2 things: (1) sentimental compensation and (2) task accomplishment. As for sentimental compensation, it means that the person feels that he has been compensated for the efforts spent on a task. Moreover, that effort was well spent through a voluntary act. If the task was done by force or coercion, there is no feeling of recompense because the accomplishment of the task is the removal of the obligation putting the person at status quo ante. As for the second element: “accomplishment,” it requires that the task has to be accomplished. There is no such a thing as an empty “reward” or a reward for doing nothing. Such a “reward,” if it is so called a reward, is nothing more than a gratuity. However, in task accomplishment, it requires that the task accomplished is one that should have been done; it is done, and done well. It is for the job well done that the reward is given. Hence, the feeling of sentimental compensation for the task accomplished.
i. Extrinsic rewards Extrinsic reward comes from external source. This reward may be in a form of money, compliment, and recognition. It could be in a quantitative, as well as qualitative form.
ii. Intrinsic rewards Intrinsic reward is the type of sentimental compensation that comes from within the person. This is the feeling of personal worth, respect and drive that a person feels as the result of having accomplished something. It is said that this feeling occurs naturally through job performance or task accomplishment.
There are many ways to link performance to rewards. Managers must: i. Respect diversity and individual differences ii. Clearly understand what people want from work iii. Allocate rewards to satisfy the interests of both the individuals and the organization.
There are several theories that explain rewards and performance correlations: o Content theory of motivation o Process theory of motivation o Reinforcement theory of motivation
i. Low-order of needs include physiological, safety, and social concerns.
ii. High-order of needs include self esteem and actualization concerns.
iii. The lower needs are desires for social and physical well-being, the higher-order of needs represents a person’s desire for physiological development and growth.
iv. In this hierarchy of needs theory, Maslow identified two principles: (1) deficit principle and (2) progressive principle.
1. Deficit principle states that a satisfied need is not a motivator of behavior.
2. Progressive principles states that a need at one level does not become activated until the need of the previous level is satisfied.
This theory collapses Maslow 5 needs into 3 needs. This is also known as the 3 factors theory: i. Existence needs are desires for physiological and material well-being. ii. Related needs are desires for satisfying interpersonal relationships. iii. Growth needs are desires for continued physiological growth and development. According to this theory if the next level of needs is not satisfied, the needs of the previous level will be reactivated. This is called the frustration-regression principle.
i. Satisfier factor Found in job content, such as a sense of achievement, responsibility, advancement, and personal growth.
ii. Hygiene factor Found in job context, such as working conditions, interpersonal relations, or organizational policies, and salary.
i. Need for achievement ii. Need for power iii. Need for affiliation
The perceived inequity is the motivating factor. That is, when people perceived that they have been treated unfairly treated, they will be motivated to eliminate the discomfort and restore a perceive sense of equity by: o Changing work input, i.e. work less o Changing rewards by asking for more rewards o Changing the comparison to make things seem better o Changing the situation by leaving the job
i. Expectancy A person’s belief that working hard will result in a desired work level of task performance being achieved. This is sometimes called effort-performance expectancy.
ii. Instrumentality A person’s belief that successful performance will be followed by rewards and other potential outcome. This is sometimes called the performance-outcome expectancy.
iii. Valence The value of a person assigns to the possible rewards and other work related outcome.
Task-goal can be highly motivating – if they are properly set and properly managed. Managers and team leaders must work together to set the right goals in the right way.
Management by objective (MBO) was the first application of this theory. Top management and lower level managers work together to achieve a common goal. In order for MBO to work effectively, the coordination must work in such a way that the goal of the small group must be consistent with the company’s overall objective.
Managers should be careful about “participation.” Setting goal itself may not be a participatory process; however, how to pursue that goal be participatory.
The basic assumption is that behavior that result in pleasant outcome is likely to be repeated; behavior that results in unpleasant outcome is not likely to be repeated.
i. Operant conditioning: control behavior through manipulating the consequences.
ii. Organizational behavior modification: apply operant conditioning to influence human behavior at work.
iii. Positive reinforcement: strengthen a behavior by making a desirable consequence contingent on its occurrence.
iv. Negative reinforcement: strengthen the behavior be making the avoidance of an undesirable consequence contingent on its occurrence.
v. Punishment: discourage a behavior by making unpleasant consequence contingent on its occurrence.
vi. Extinction: discourage a behavior by making the removal of a desirable consequence contingent on its occurrence.
i. Positive reinforcement should be part of the manager’s motivational tool. There are two laws of contingent positive reinforcement: 1. For a reward to have a maximum value, it must be delivered only if the desired behavior is exhibited. That means give the rewards only if the job was well down. This is known as the law of reinforcement.
2. The more immediate the delivery of the reward after the occurrence of the behavior, the greater the reinforcement value of the reward. This is known as the law of immediate reinforcement.
ii. Positive reinforcement can be mobilized through a process called shaping. This is the creation of a new behavior by the positive reinforcement of successive approximations to it. 1. Continuous reinforcement schedule: apply rewards immediately after the expected behavior occurs.
2. Intermittent reinforcement schedule: apply rewards intermittently.
Punishment attempts to eliminate undesirable behavior by making unpleasant consequence contingent upon its occurrence. To be effective, punishment must be used in combination of positive reinforcement. The management of worker motivation would not be effective if the manager gives only punishment for poor performance, but does not give rewards for good performance.
The issue of ethics arises when the control of human behavior in the work place interferes with personal liberty of the workers. In western democracy, this issue is particularly keen. So long as the application of rewards and punishment is done fairly, the issue of ethics will not be a problem.
Under this theory, increase the worker’s pay in accordance with performance increase. Money is the key to motivation. In order for this type of motivational tool to work, the management must have a well and clearly defined performance measurement. Otherwise, the concept of merit pay will be destroyed. It will lead to nepotism.
i. Pay for knowledge ii. Pay bonus iii. Profit sharing iv. Gain sharing (share the gain from cost savings) v. Employee stock ownership |
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