Chapter 5: Motivation in Action 5-148

Solution Manual for Organizational Behaviour

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CHAPTER OUTLINE
From Theory to Practice: The Role of Money
Creating Effective Reward Systems
What to Pay: Establishing a Pay Structure
How to Pay: Rewarding Individuals through Variable-Pay Programs
Individual-Based Incentives
Group-Based Incentives
Organizational-Based Incentives
Flexible Benefits: Developing a Benefits Package
Intrinsic Rewards: Employee Recognition Programs
Beware the Signals That Are Sent by Rewards
Can We Eliminate Rewards?
Motivating by Job Redesign
The Job Characteristics Model
Job Redesign in the Canadian Context: The Role of Unions
How Can Jobs Be Redesigned?
Job Rotation
Job Enrichment
Relational Job Design
Alternative Work Arrangements
Flextime
Job Sharing
Telecommuting
The Social and Physical Context of Work
Employee Involvement
Examples of Employee Involvement Programs
Participative Management
Representative Participation
Linking Employee Involvement Programs and Motivation Theories
Motivation: Putting It All Together
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Chapter 5: Motivation in Action 5-149
Global Implications
Variable Pay
Flexible Benefits
Job Characteristics and Job Enrichment
Telecommuting
Employee Involvement
Summary
OB at Work

LEARNING OBJECTIVES

After studying this chapter, you should be able to:

1. Demonstrate how the different types of variable-pay programs can increase employee
motivation.
2. Show how flexible benefits turn benefits into motivators.
3. Identify the motivational benefits of intrinsic rewards.

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Chapter 5: Motivation in Action 5-150

4. Describe the job characteristics models and the way it motivates by changing the work
environment.
5. Compare the main ways jobs can be redesigned.
6. Explain how specific alternative work arrangements can motivate employees.
7. Describe how employee involvement programs can motivate employees.
8. Describe how knowledge of what motives people can be used to make organizations
more motivating.

CHAPTER SYNOPSIS

This chapter emphasizes the link between theories and practice. The authors note that it is one
thing to be able to “regurgitate” motivation theories, but it is often another to see how, as a
manager, you could use them. Thus the chapter also reviews a number of goals organizations
might have, and the appropriate incentives that can be used to motivate individuals to work toward
those goals. The chapter also raises the intriguing question of whether rewards are overrated,
suggesting that one needs to consider the power of intrinsic motivation in the workplace.
The chapter then visits the issue of job design to show how jobs can be used to motivate
employees. Finally the chapter looks at creating more flexible workplaces through a compressed
workweek, flextime, job sharing, and telecommuting.

STUDY QUESTIONS

It is impossible to cover all the material contained in the chapter during one lecture. To deal with
this problem, I present my students with a list of study questions to indicate what material they will
be responsible for on exams. I tell them that they will be responsible for these, even if the material
is not covered in class. I have found that this reduces anxiety overall, and I find it helps to make
students aware that not everything in a chapter is required material. I realize instructors vary in
their approach, so this is simply my approach.
My study questions for this chapter are:
• What are some employee recognition programs and what kind of effects do they have?
• Describe the different variable pay programs.
• Do motivation theories apply uniformly across cultures? Why or why not?
• What does it mean to say that organizations sometimes engage in folly when they design their
reward system?
• Do you think rewards can ever be eliminated? Why or why not?
• What are job rotation, job enlargement and job enrichment?
• Describe the job characteristics model (JCM).
• What impact do unions have on job design?
• Describe some of the new flexible arrangements that are occurring in Canadian workplaces.
What do you see as the pros and cons of these arrangements?

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SUGGESTED TEACHING PLAN

I divide this material into two classes: one on applied motivation and the other on job design.
Applied Motivation class: To cover the material, we do two exercises and a mini-lecture on applied
motivation topics. The first exercise asks them to discuss how important money is as a motivator.
The second exercise asks the students how they would motivate different categories of employees.
These exercises are included in the supplemental material.
Job Design class: I usually start this class off by asking students to do a little thought exercise
individually: what was the best job they ever had? The worst job? What were the characteristics of
each? I then put up some of the answers on the board so that we can start to identify positive and
negative aspects of jobs. We also find that students’ preferences may vary, with a “worst” job
being something quite acceptable for someone else. This helps underscore that there is not a
universal way of feeling about jobs.
When I find a particularly interesting job (one time one of the students had worked on a fish gutting
line) I have them explain all of the steps of the job. Then we talk about how it might be enriched (or
whether it could be enriched, etc.). Again, this makes the material more meaningful to them.
Finally, I have them do the “Analyzing and Redesigning Jobs” exercise that is in the chapter. From
these different activities I am able to make points about the different aspects of the job design
material.
Be sure to check the Supplemental Material section for additional material that can be used in
class or assigned as homework.

ANNOTATED LECTURE OUTLINE

A. From Theory to Practice: The Role of Money Notes

− Money is the most commonly used reward in organizations

− The motivational theories (in Chapter 4) only give vague ideas of how money
relates to individual motivation.
− Money helps some needs get met, but money is not all employees’ top
priority. Many emphasize relationships in the workplace.
− Job satisfaction research has found that pay level was only moderately
correlated to job satisfaction.
− Recent research suggests that money is not the sole motivator for Millenials
and Baby Boomer employees.
(See Exhibit 5-1 What Baby Boomers and Millenials Value as Much as
Compensation)
− Studies suggest that there are personality traits and demographic factors
that correlate with an individual’s attitude toward money.

Teaching Tip: This is a good place to have a discussion in class: Does money
motivate? Also, the exercise on the Value of Money in the supplemental section
is something else that can be used to further this discussion.

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B. Creating Effective Reward Systems Notes

− Although pay is not a primary factor driving job satisfaction, it does motivate
people.
− Companies must understand what to pay employees and how to pay them.
These factors influence the strategic rewards decisions.

1. What to Pay: Establishing a Pay Structure

− The process of initially setting pay levels entails balancing internal

equity—the worth of the job to the organization (established through job
evaluation)—and external equity—the external competitiveness relative to
pay elsewhere in its industry (established through pay surveys).
− Pay is often the highest single operating cost for an organization.
• Paying above the market results in better-qualified and more highly
motivated employees.
• Paying below the market results in high turnover.

2. How to Pay: Rewarding Individuals through Variable-Pay Programs

− Organizations are moving away from paying people based solely on

credentials or length of service and toward using variable-pay programs.
− Variable pay programs base a portion of an employee’s pay on some
individual, group and/or organizational measure of performance and causes
up and down fluctuation in pay.
− Professor Maria Rotundo notes that merit pay can work. “It all hinges on fair
measures” during the performance appraisal. Managers need to explain why
people get different amounts of money, or people “get angry, jealous and
disenchanted.”

− Individual-Based Incentives
• Piece-rate wages: Popular for compensating production employees by
paying a fixed sum for each unit of production completed.
• Merit-based pay: Pay is based on performance appraisal ratings. May
result in discrimination.
• Bonuses: Reward employees for recent performance and are usually
one-time rewards rather than ongoing entitlements.
• Skill-based pay: Bases pay levels on the basis of how many skills
employees have or how many jobs they can do. Increases the flexibility of
the workforce, but does not address level of performance.
− Group-Based Incentives
• Gainsharing: An incentive plan where improvements in group productivity
determine the total amount of money that is allocated. Ties rewards to
productivity gains rather than profits.

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− Organizational-Based Incentives
• Profit-sharing plans: Organization wide programs that distribute
compensation based on some established formula designed around a
company’s profitability.
• Employee stock ownership plans (ESOPs) and Stock Options: The right
to buy company stocks; and company-established benefit plans in which
employees acquire stock as part of their benefits.

3. Flexible Benefits: Developing a Benefits Package

− Flexible benefits allow each employee to put together a benefits package

individually tailored to his or her own needs and situation. It replaces the
traditional “one-benefit-plan-fits-all” programs.
− Flexible benefits can be tailored to accommodate differences in employee
needs based on age, marital status, spouse’s benefit status, number and
age of dependents, and the like.

4. Intrinsic Rewards: Employee Recognition Programs

− Employee recognition programs range from a spontaneous and private

“thank you” to widely publicized formal programs in which specific types of
behaviour are encouraged and the procedures for attaining recognition are
clearly identified.
− Organizations should be aware that recognition and praise need to be
meaningful.

Teaching Tip: “Employee recognition may be motivational for the moment, but it
doesn’t have any staying power. Why? Because they don’t take recognition at
the Roots or The Bay!” Do you agree or disagree? Discuss.

5. Beware the Signals That Are Sent by Rewards

− Organizations reward one type of behaviour while managers reward another

type.

(See Exhibit 5-2 Management Reward Follies)

− Major obstacles to ending these follies:

• Individuals are unable to break out of old ways of thinking about reward
and recognition practices. Quantifiable behaviours are emphasized,
reluctance to change performance systems, and employees have an
entitlement mentality.
• Organizations don’t look at the big picture of their performance system.
Rewards are allocated at subunit levels.
• Both management and shareholders focus on short-term results.

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6. Can We Eliminate Rewards?

− Alfie Kohn argues that “the desire to do something, much less to do it well,
simply cannot be imposed; in this sense, it is a mistake to talk about
motivating other people. All we can do is set up certain conditions that will
maximize the probability of their developing an interest in what they are
doing, and remove the conditions that function as constraints.”
− Kohn proposes following actions to create a more supportive, motivating
work environment:
• Abolish Incentive Pay: Pay generously and fairly to begin with.
• Re-evaluate Evaluation: Implement a two-way conversation to trade
ideas.
• Create the Conditions for Authentic Motivation: Listen to employees, give
feedback.
• Encourage Collaboration: Create well-functioning groups.
• Enhance Content: Increase meaningfulness of the job.
• Provide Choice: Apply empowerment.
C. Motivating by Job Redesign
Notes
− Research in job design suggests that the way the elements in a job are
organized can act to increase or decrease effort.

1. The Job Characteristic Model (JCM)

− The JCM Comprises of five core job dimensions:

• Skill variety: Employee can use a number of different skills and talents.
• Task identity: The job requires completion of a whole identifiable piece of
work.
• Task significance: The job has an impact on the lives or work of other
people.
• Autonomy: The job provides substantial freedom and discretion in how to
do the work.
• Feedback: The individual obtains direct and clear information about the
effectiveness of his or her performance.

(See Exhibit 5-3 Examples of High and Low Job Characteristics; and Exhibit
5-4 The Job Characteristics Model)

− The JCM proposes that individuals obtain internal rewards when they:
• Learn (knowledge of results).
• Personally have performed well (experienced responsibility).
• Have a task they care about (experienced meaningfulness).
− The more the above three states are present, the greater will be employees’
motivation, performance, and satisfaction, and the lower their absenteeism
and likelihood of leaving.

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− Motivating Potential Score (MPS)

• Analyzes the combination of skill variety, task identity, task significance,
autonomy and feedback in the mathematical formula to predict potential
motivation.

Teaching Tip: The first part of the Experiential Exercise allows students to
apply the JCM to a job of their choice. Students can also calculate the job’s
MPS.
In the second part of the Experiential Exercise, students can redesign the job to
show how they might increase its motivating potential.
From concepts to Skills section provides specific guidelines on the kinds of
changes that can help increase the motivating potential of jobs.

2. Job Redesign in the Canadian Context: The Role of Unions

− Unions are resistant to job redesign as it often results in loss of job.

• Some members value the opportunity for skill development and more
interesting work.
• While managers may regard job redesign as more difficult under a
collective agreement, the reality is that for change to be effective in the
workplace, management must gain employees’ acceptance whether or
not they are unionized.

3. How Can Jobs Be Redesigned?

− Job Rotation
• When an activity is no longer challenging, shift an employee from one
task to another with similar skill requirements at the same level.
• Job rotation benefits:
− Reduces boredom, increases motivation and helps employees better
understand how their work contributes to the organization.
− Employees with a wider range of skills give management more
flexibility in scheduling work, adapting to changes and filling
vacancies.
• Job rotation drawbacks:
− Training costs are increased, and productivity is reduced by moving
an employee into a new position.
− Creates disruptions when members of the work group have to adjust
to the new employee.
− Managers may have to spend more time answering questions and
monitoring the work of the recently rotated employee.

Teaching Tip: An easy way to talk about this is something like McDonald’s.
Have students identify the different jobs that are done there, and then note that
one could rotate through those jobs once a week. Ask if this makes sense and/or
would be desirable.

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Chapter 5: Motivation in Action 5-155

− Job Enrichment
• Expands jobs by increasing the degree to which the employee controls
the planning, execution, and evaluation of the work.
• Allows the employee to do a complete activity, increases the employee’s
freedom and independence, increases responsibility, and provides
feedback so individuals can assess and correct their own performance.

Teaching Tip: It’s helpful to point out to students that not everyone wants an
enriched job where they have more responsibility. The Experiential Exercise
helps students understand job redesign. From Concepts to Skills gives
additional tips on how to design enriched jobs.

You can follow up from the previous discussion by asking what happens when
you enrich a set of jobs—trying to do more things at McDonald’s for instance.
Would this have any impact on what McDonald’s is trying to deliver to the
customer (speed and consistency of product.)?

• Some new versions of job enrichment concentrate specifically on

improving the meaningfulness of work.
− One method is to relate employee experiences to customer
outcomes.
− Another method provides employees with mutual assistance
programs where employees can help one another directly through
their work.
• The evidence on job enrichment shows it reduces absenteeism and
turnover costs and increases satisfaction.
• Frequent specific feedback is liked consistently to higher performance.

Teaching Tip: For student discussion: “Job redesign is a way of exploiting

employees by increasing their responsibilities.” Comment on this statement, and
explain whether you agree with it or not.

4. Relational Job Design

− How to make jobs more pro-socially motivating so that employees are

motivated to promote the well-being of the organization’s beneficiaries and
make the work more personal.
− Positive impact of connecting employees with users of the organizations’
products and services:
• Meeting beneficiaries first-hand allows employees to see that their
actions affect a real, live person, and that their jobs have tangible
consequences.
• Make customers or clients more accessible in memory and more
emotionally vivid.
• Employees take more easily the perspective of the beneficiaries which
fosters higher levels of commitment.

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5. Alternative Work Arrangements

− Alternative work arrangements are likely to be important for a diverse

workforce of dual-earner couples, single parents, and employees who are
care givers.
− Flextime (flexible work time): Employees must work a specific number of
hours a week, but they are free to vary the hours of work within certain limits.

(See Exhibit 5-5 Examples of Flextime Schedules)

• Flextime tends to reduce absenteeism and frequently improves

productivity and job satisfaction.
• Flextime can help employees balance work a family commitments.
• Major drawback of flextime is that it is not applicable to every job. It works
well with tasks where an employee’s interaction with people outside
his/her department is limited.
− Job Sharing: Allows two or more people to split a job.
• May have difficulty of finding compatible partners to share a job.
• Gives negative perception of individuals not completely committed to
their job and employer.
• Benefit is that it allows the organization to draw upon the talents of more
than one individual in a given job.
• From the employee’s perspective, job sharing increases flexibility, can
increase motivation and job satisfaction.
− Telecommuting: Refers to employees working anywhere away from the
office through mobile communication devices.
• Routine information-handling tasks, mobile activities, and professional
and other knowledge-related tasks lend themselves to telework.
• Writers, attorney, analysts, product support specialists, reservation
agents and employees who spend the majority of their time on computers
or the phone are natural candidates.

Teaching Tip: You might ask students to give reasons why they would want to
telecommute (or not telecommute). Also ask them if think telecommuting would
be beneficial to the organization? Why?

6. The Social and Physical Context of Work

− Having the most interesting workplace characteristics may not always lead
to satisfaction if you feel isolated from your co-workers.
− Having good social relationships can make even the most boring and
onerous tasks more fulfilling.
− Some social characteristics that improve job performance include
interdependence, social support and interactions with other people
• Social support gives greater opportunities to get assistance with their
work.

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Chapter 5: Motivation in Action 5-157

− Work context also affects job satisfaction.

• Work that is hot, loud, and dangerous is less satisfying than work
conducted in climate-controlled, relatively quiet, and safe environments.
− Supportive work environment can increase performance. Does the
employee have adequate tools, favourable working conditions and
supportive work rules and procedures?

D. Employee Involvement Notes

Involving employees in decisions that affect them, increase their autonomy and
control over their work lives increases motivation, commitment, productivity and
job satisfaction.

1. Examples of Employee Involvement Programs

− Participative Management
• Joint decision making in which subordinates share a significant degree of
power with their immediate superiors.
• Issues in which employees are engaged must be relevant to their
interests so they will be motivated.
• Employees must have the competence and knowledge to make a useful
contribution.
• Employee participation leads to higher stock returns, lower turnover rates
and higher productivity.
• Participation has only a modest influence on employee productivity,
motivation and job satisfaction.
− Representative Participation
• Goal is to redistribute power within an organization, putting labour on a
more equal footing with the interests of management and stockholders.
• Let employees be represented by a small group who actually participate,
most commonly on works councils and boards of directors.
• Seems to provide minimal influence.
2. Linking Employee Involvement Programs and Motivation Theories

− Theory Y is consistent with participative management.

− Theory X is more traditional, autocratic style.
− In Herzberg’s two factor theory, employee involvement could provide
intrinsic motivation to increasing opportunities for growth, responsibility, and
involvement.

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Chapter 5: Motivation in Action 5-158

E. Motivation: Putting It All Together Notes

− According to research four basic emotional drives (needs) guide individuals.

These are:
• The drive to acquire, which can be met through organizational rewards.
• The drive to bond can be met by creating a culture that promotes
teamwork, collaboration, openness, and friendship.
• The drive to comprehend can be met through job design and creating
jobs that are meaningful, interesting, and challenging.
• The drive to defend can be met through an organization’s
performance-management and resource-allocation processes.
(See Exhibit 5-6 How to Fulfill the Drives That Motivate Employees)

− Understanding these different drives makes it possible to motivate

individuals more effectively.

F. Global Implications

− Motivational approaches vary across cultures. Notes

− Variable Pay
• There is little cross-cultural research on this issue.
• Fairness of a group incentive plan was more predictive for employees in
the US because American employees are more critical in appraising
group pay plans than other cultures.
− Flexible Benefits
• In the US and Canada almost all major corporations offer flexible
benefits.
• Countries that put high value on uncertainty avoidance prefer pay based
on objective measures, such as skill or seniority.
• Countries that put high value on individualism place more emphasis on
an individual’s responsibility for performance that leads to rewards.

(See Exhibit 5-7 Reward Preferences in Different Countries)

− Job Characteristics and Job Enrichment

• Research results across cultures are not very consistent.
• Job characteristics model is relatively individualistic and as such job
enrichment strategies may not have the same effects in collectivistic
cultures as in individualist cultures.
− Telecommuting
• Telework is more common in the US than in all the EU nations except the
Netherlands. Employees in Europe appear to have more interest in
telework than do employers.
• There is little data to date on telecommuting in other countries around the
world.

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Chapter 5: Motivation in Action 5-159

− Employee Involvement
• Research confirms the importance of modifying the employee
involvement practises to reflect national culture. In some cultures like the
US employees readily accept these programs.
• In high power-distance cultures, such as India, managers who try to
involve employees are rated low by those employees.

G. Summary

The study of what motivates individuals is ultimately the key to organizational performance.
Employees whose differences are recognized, who feel valued, and who have the opportunity to
work in jobs that are tailored to their strengths and interests will be motivated to perform at the
highest levels. Employee participation also can increase employee productivity, commitment to
work goals, motivation, and job satisfaction.

OB AT WORK

For Review

(Note to instructors: The answers here are starting points for discussion, not absolutes!)

1. What is variable pay? What variable-pay programs are used to motivate employees? What are
their advantages and disadvantages?

Variable-pay programs are where a portion of an employee’s pay is based on some individual
and/or organizational measure of performance. The employee gets compensated for his/her
contribution. The plus side for management is that they are paying for productivity, which
means that they can control wage costs some. The downside to employees is that they can
experience wage uncertainties. This could translate into dissatisfaction, which would then
become a problem for management.

2. How can flexible benefits motivate employees?

Flexible benefits allow employees to tailor their benefit program to meet their personal need by
picking and choosing from a menu of benefit options. Consistent with expectancy theory,
flexible benefits individualize rewards by allowing each employee to select the benefits that fit
his or her current needs.

3. What are the motivational benefits of intrinsic rewards?

Intrinsic rewards stimulate intrinsic motivation through personal attention given to employee
approval and appreciation fora job well done. This is growing in popularity and usage.

4. What is the job characteristics model? How does it motivate employees?

The job characteristics model is the Hackman and Oldham’s concept that any job can be
described through five core job dimensions: skill variety – requirements for different tasks in
the job; task identity – completion of a whole piece of work; task significance – the job’s impact
on others; autonomy – level of discretion in decision making; and feedback – amount of direct
and clear information on performance. The way elements in a job are organized (job design)
impacts motivation, satisfaction, and performance.

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5. What are the main ways that jobs can be redesigned? In your view, in what situations would
one of the methods be favoured over the others?

Job rotation – the periodic shifting of a worker from one task to another; job enlargement – the
horizontal expansion of jobs; and job enrichment – the vertical expansion of jobs. Job
enrichment would be favored when employees need to be able to handle a customer issue
from start to finish. Individuals can feel more of a sense of accomplishment and accountability
while becoming an expert is a number of areas.

6. What are the three alternative work arrangements of flextime, job sharing and telecommuting?
What are the advantages and disadvantages of each?

Under flextime, employees work during a common core time period each day, but have
discretion in forming their total workday from a flexible set of hours outside the core. From an
employee’s perspective, this means his or her priorities can be accommodated by adjusting
his/her schedule. From management’s perspective, it can mean greater flexibility (or in some
cases, juggling) in scheduling work.

Some organizations do not feel that they can accommodate part-time workers because of the
nature of the task that needs to be performed. However, some employees are only able to
work part-time due to other commitments. Thus job sharing is a way of accommodating
personal preferences. Also, when two employees share a job (and they want to do this), it
provides them with more contact with the organization than would occur if a person were a
part-time, non-job sharing employee. Job sharers need to keep each other posted about
various aspects of the job. From the employee’s viewpoint, job sharing increases flexibility. As
such, it can increase motivation and satisfaction for those to whom a 40-hour-a-week job is
just not practical.

For managers, there are a number of benefits. A bank manager who oversees two job sharers
describes it as an opportunity to get two heads, but “pay for one.” It also opens up the
opportunity to acquire skilled workers—for instance, women with young children and
retirees—who might not be available on a full-time basis.

Under telecommuting, employees do their work at home on a computer that is linked to their
office. This makes it very convenient to get to work, as there is no commuting. The downside,
however, is that the value of face-to-face contact is lost and could affect the quality of
relationships with people who will make a difference.

7. What are employee involvement programs? How might they increase employee motivation?

Employee involvement programs are participative processes that use the input of employees
to increase their commitment to the organization’s success. They can increase motivation by
increasing worker autonomy and control over their work lives and involvement in organizations
through programs like participative management and representative participation, like work
councils and quality circles (a group that regularly meets to discuss their quality programs and
take corrective actions).

8. How can motivation theories be used to create more motivating work environments?

The needs theories can be used to motivate people by first understanding the individual needs
and then creating appropriate methods to meet those needs as much as possible. It is
important in this context to understand what the employee’s needs are at the time as they can
change with age, stage of life and other circumstances. The process theories are useful in
creating goals and motivating employees toward those goals by recognizing individual values
that would encourage people to attain goals. If the work environment has a sense of caring

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about employees, treating them fairly and equitably, and meeting their needs with rewards that
are valued, then the commitment to the organization increases, and along with it productivity
and profitability.

POINT/COUNTERPOINT

“Face-Time” Matters

Summary

Point:
Telecommuting is a practice that will only hurt employees and employers. The lack of face-to-face
interaction between employees can stifle the organization’s creative potential as well as diminish
trust. Can you really trust an employee who works at home to be as productive as s/he would be in
the office. How many are at home just pretending to work? Establishing trusting relationships
enables smoother social interactions and allows the company to perform better. Finally, being
present and visible in the workplace leads to employers knowing who you are and enables
promotions and pay raises.
Counterpoint:
So called face-time is overrated. One of the biggest workplace distractions is chatty co-workers.
Being present is no guarantee of efficiency and productivity. Telecommuting allows dual-career
earners a better balance between work and family which translates to better recruiting and
retention. Studies show that many telecommuters are more productive than those in the office.
The benefits of telecommuting far outweigh the drawbacks.

Class Exercise

1. Ask students to read the following articles:

• http://www.forbes.com/sites/nextavenue/2013/03/01/the-problem-with-yahoos-work-at-ho
me-ban/
• http://www.forbes.com/sites/work-in-progress/2013/11/26/four-ways-to-make-working-fro
m-home-work-for-you /
• http://www.forbes.com/sites/sap/2013/03/08/big-data-streamlines-the-workplace-and-may
-end-telecommuting/

2. Then, assign groups to debate the pros and cons of working at home versus working
on-site.

3. Finally, conduct an informal poll asking students about the value they place on face-time.

Are the results what you expected?

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BREAKOUT GROUP EXERCISES

(Note to instructors: The answers here are starting points for discussion, not absolutes!)
1. How might the job of student be redesigned to make it more motivating?
Members of the group should analyze the job of student by determining how well it scores on
the job characteristics model. Use the following scale for your analysis of each job dimension:
6 = Very high 5 = Somewhat high 4 = Moderate 3 = Somewhat low 2 = Low 1 = Very low
Following are sample questions that can guide the group in its analysis of the job in question.
Skill variety: Describe the different identifiable skills required to do this job. What is the nature
of the oral, written, and/or quantitative skills needed? Physical skills? Does the jobholder get
the opportunity to use all of his/her skills?
Task identity: What is the product that the jobholder creates? Is he/she involved in its
production from beginning to end? If not, is he/she involved in a particular phase of its
production from beginning to end?
Task significance: How important is the product? How important is the jobholder’s role in
producing it? How important is the jobholder’s contribution to the people he/she works with? If
the jobholder’s job were eliminated, how inferior would the product be?
Autonomy: How much independence does the jobholder have? Does he/she have to follow a
strict schedule? How closely is he/she supervised?
Feedback: Does the jobholder get regular? How about intrinsic performance feedback when
doing the job?
Then, using the suggestions offered in the chapter for redesigning jobs, describe specific
actions management could take to increase this job’s motivating potential.
2. What is your ideal job? To what extent does it match up with the elements of the job
characteristics model?
Have students evaluate in terms of skill variety, task identity, task significance, autonomy, and
feedback.
3. Would you prefer working from home or working at the office? Why?
This is intended to address the issues of autonomy vs. connection at the office. Students will
discover that there are a variety of preferences.

EXPERIENTIAL EXERCISE

Analyzing and Redesigning Jobs

This exercise is especially useful for students to get grounded in the idea of being able to analyze
jobs and determine how likely the jobs are to be motivating and fulfilling. Use Exhibit 5-8 to
calculate Motivating Potential Score (MPS): MPS = {[Skill Variety + Task Identity + Task
Significance]/3} Autonomy Feedback. Having one group walk through the process and then lead
the rest of the class in discussion is a useful way for the students to learn and really use this
exercise.

Copyright © 2016 Pearson Canada Inc.

Chapter 5: Motivation in Action 5-163

ETHICAL DILEMMA

Are CEOs Paid Too Much?

Summary
This case cites some data on the large paycheques CEOs earn in Canada. A CEO may be paid
150 times the average factory workers salary.
Is CEO pay a problem? (Note, the responses here are starting points only).
No, this represents a classic economic response to a situation in which the demand is great for
high-quality top, executive talent and the supply is low. These people must be compensated for
the tremendous responsibilities and stress that go with the job.
Yes, this represents “rampant greed.” These executives are earning 150 times the average factory
worker’s pay. Executives choose board members who can be counted on to increase executive
pay.
Teaching notes
This is an unending debate.
Consider assigning students to research the issue by looking at past issues of Report on Business,
Canadian Business, Fortune, and the Wall Street Journal, all of which have run stories on this
issue in the last two years.

CASE INCIDENT

Motivation for Leisure

Summary
Motivation for leisure has two sides. Organizations motivate employees with generous vacation
entitlements, yet many workers do not ever take all of their vacation time. The contrast between
North America and Europe in this regard is surprising. European workers do take their vacation.
The other side of motivation for leisure is the unemployed. With generous social safety nets in
place, individuals might choose to be unemployed and enjoy the leisurely lifestyle.

Questions
1. Why do you think North American employees are given less vacation time relative to
employees in other countries?

2. Why do you think Canadian workers often do not take all of their allotted vacation time? Are
these personal choices, or are they driven more by society, or by organizational culture?

3. If many unemployed are spending around two hours/day looking for work as some research
indicates, do you think that means they are enjoying a “leisurely” lifestyle? Why or why not? If
you were unemployed, how would you spend your days?

Each of these is an opinion question for students and will vary depending on the student’s
viewpoint. Students should be given the opportunity to explain and defend their opinions in
response to these questions.

Copyright © 2016 Pearson Canada Inc.

Chapter 5: Motivation in Action 5-164

CASE INCIDENT

Attaching the Carrot to the Stick

Summary

Research shows that individuals given rewards for behaviour will be more likely to engage in the
rewarded behaviour. For managers, the challenge is to find an appropriate way to reward
behaviours so that desired behaviour is increased while less-desired behaviour is decreased. It
seems like common sense that people work harder when there are incentives at stake. Rewards
can be motivating, but they can also reduce employees’ intrinsic interest in the tasks they are
doing. In addition worry about losing the carrot may lead to failure. Furthermore, when rewards are
dependent on outcomes rather than behaviours, unethical activities to reach those outcomes may
increase.

Questions
(Note to instructors: The answers here are starting points for discussion, not absolutes!)

1. Do you think that, as a manager, you would use bonuses regularly? Why or why not?

The answer to this question will vary by student. But the answers will likely include reference
to the motivational effects that variable-pay programs have on performance. Depending on the
type of work and at what level, the additional value of bonuses could provide additional
motivation for employees.

2. Can you think of a time in your own life when the possibility of receiving an incentive reduced
your motivation?

Responses to this question will vary based on the student’s experience and opinion.

3. What employee behaviors do you think might be best encouraged by offering incentive
rewards?

Again, responses to this question will vary by student.

FROM CONCEPTS TO SKILLS

Designing Enriched Jobs

Practising Skills
The case asks students to suggest interventions to reduce turnover among the drivers. Students
should apply the job characteristics model to figure out ways to
• Combine tasks
• Create natural work units
• Establish client relationships
• Expand jobs vertically
• Open feedback channels
Reinforcing Skills
The purpose of this exercise is to encourage students to apply material from the chapter in various
ways. The suggested activities encourage students to think about the worst job they’ve ever had,
and analyze it in terms of the job design model. They are then asked to redesign the job to make it
more satisfying and motivating. The second activity asks students to analyze low-level service
sector jobs and propose ways to make these more motivating.

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Chapter 5: Motivation in Action 5-165

KEY TERMS

Autonomy - The degree to which the job provides substantial freedom, independence, and
discretion to the individual in scheduling the work and determining the procedures to be used in
carrying it out.

Bonus - An individual-based incentive plan that rewards employees for recent performance rather
than historical performance.

Employee involvement – A participative process that uses the input of employees and is
intended to increase employee commitment to an organization’s success.

Employee stock ownership plan (ESOP) - A company-established benefit plan in which

employees acquire stock as part of their benefits.

Feedback - The degree to which carrying out the work activities required by the job results in the
individual obtaining direct and clear information about the effectiveness of his or her performance.

Flexible benefits - A benefits plan that allows each employee to put together a benefits package
individually tailored to his or her own needs and situation.

Flextime - An arrangement where employees work during a common core period each day, but
can form their total workday from a flexible set of hours outside the core.

Gainsharing -A group-based incentive plan in which improvements in group productivity

determine the total amount of money to be shared.

Job characteristics model (JCM) - A model that proposes that any job can be described in terms
of five core job dimensions: skill variety, task identity, task significance, autonomy, and feedback.

Job design – The way the elements in a job are organized.

Job enrichment - The vertical expansion of jobs, which increases the degree to which the
employee controls the planning, execution, and evaluation of the work.

Job rotation - The periodic shifting of an employee from one task to another.

Job sharing - The practice of having two more people split a 40-hour-a-week job.

Merit-based pay plan - An individual-based incentive plan based on performance appraisal

ratings.

Motivating potential score (MPS) - A predictive index suggesting the motivation potential in a
job.

Participative management – A process in which subordinates share a significant degree of

decision-making power with their immediate superiors.

Piece-rate pay plan - An individual-based incentive plan in which employees are paid a fixed sum
for each unit of production completed.

Profit-sharing plan - An organization-wide plan in which the employer shares profits with
employees based on a predetermined formula.

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Chapter 5: Motivation in Action 5-166

Representative participation – A system in which employees participate in organizational

decision making through a small group of representative employees.

Skill-based pay - An individual-based incentive plan that sets pay levels on the basis of how
many skills employees have or how many jobs they can do.

Skill variety - The degree to which the job requires a variety of different activities.

Task identity - The degree to which the job requires completion of a whole and identifiable piece
of work.

Task significance - The degree to which the job has a substantial impact on the lives or work of
other people.

Telecommuting – Working from home at least two days a week on a computer that is linked to the
employer’s office.

Variable-pay programs - A a pay plan that bases a portion of an employee’s pay on some
individual and/or organizational measure of performance.

SUPPLEMENTAL MATERIAL

1) Exploring Topics on the Web

2) In-Class Exercise, “Understanding the Value of Money”
3) In-Class Exercise, “Motivating Others”
4) Additional Experiential Exercise, “Practicing Being Monitored”

1) Exploring Topics on the Web

NOTE: You may need to copy/paste the following links into your web browser.

1. Paying up is hard to do! Should the organization choose a skill based pay plan or pay-for-
performance? Start by searching the web for information on both and comparing the two then
making a recommendation as to why one would be preferable over the other. If you were to
make a recommendation as to strategy would be the most effective, which would you choose?
Why? (Hint: it will have to be linked to a motivational theory). Write a one page reaction paper
discussing your views.

2. What do workers want? Money? Probably, but other things too. Go to About.com to read an
assessment of what workers want at:
http://humanresources.about.com/library/weekly/aa083002a.htm Write your own
assessment of what motivational theories are at play in this article—just a paragraph or two.
Bring your assessment and the article to class for a group discussion.

3. What is the outlook for your chosen career? Or, maybe you are looking for just the right one?
Go to the following website: www.acinet.org/acinet/ Research the career of your choice. Be
sure to find your home state’s job profile, the job prospects for your state, and the wages and
trends. Bring the information to class for discussion.

4. Does workspace design motivate workers? In the case of Temps & Co. it made the difference
in recruiting workers for the business. Without temps there was no Temps & Co. The space
was redesigned to make applying for a job as easy as ordering a cup of coffee—and it worked!

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Chapter 5: Motivation in Action 5-167

Read about it at www.inc.com/magazine/19980501/926.html Do you think this is a concept

that could be applied to other businesses. Write a couple of paragraphs giving your ideas on
how this concept can be applied elsewhere.

5. Much has been written about working mothers balancing work and family issues. But what
about working fathers? They have those same issues—how do they bring balance to their
lives? Turns out—flextime is an important tool. Read more about how dads are doing it at:
www.inc.com/magazine/19970701/1279.html . Bring the article to class for discussion of the
issues covered in the article. Be prepared to share your reactions in class.

6. From quality circles to TQM, getting employees involved is not a simple venture. Go to
http://www.forbes.com/sites/michaelvenables/2013/04/20/how-lego-makes-the-safe-quality-diverse
-and-irresistible-toys-we-all-want-part-two/ to learn about how one company, Lego, has
successfully encouraged employees to work together toward common goals. Write a short
summary outlining what has helped Lego, and what other companies can learn from its experience.

7. Self-esteem, self-efficacy, self-respect, and self-actualization. Learn more about these terms
and how employers can foster these concepts in their employees at
http://humanresources.about.com/library/weekly/aa081301a.htm .Write a journal entry or
short paper about when you experienced an environment that encouraged you to develop
your potential. For example, it could be when you were involved in an arts program, a writing
clinic, a club, a sports team, a class, etc. What motivated you when you felt discouraged, or
where simply tired and did not want to go that day? Who was the “coach” who encouraged you,
and how important of a role did that person have in your success? What did you learn about
yourself in the process? Do these skills transfer to other areas of your life?

2) In-class Exercise “Understanding The Value Of Money”

This exercise reveals at what level money motivates.

3. Bring a Loonie, a fifty-cent piece, a quarter, a dime, a nickel, and a penny to class.
4. Ask for a volunteer to come up to the front of class. [Be sure the volunteer can bend and pick
something up off the floor.] Have the volunteer face away from the class.
5. While placing the Loonie on the floor, tell a story to the class and the volunteer about walking
across campus and coming across the dollar on the ground.
6. Caution the class not to speak their answers to your questions.
7. Now ask the class how many would bend over and pick up the dollar. Have them raise their
hand rather than speak. Record the number where you can refer to it later, but not where the
volunteer can see it.
8. Ask the volunteer to turn around, and ask him/her what he/she would do.
9. If he/she would pick it up, let him/her do so and keep it. [This will increase volunteerism in later
classes!]
10. If he/she will not, ask why (almost all students will).
11. Have the volunteer face away from the class again. Continue the story while placing the
fifty-cent piece on the floor.
12. Again ask the class what they would do; record the raised hands for picking it up, for leaving it.
13. Again ask the volunteer to turn around, and ask him/her what he/she would do.
14. Repeat this cycle with each denomination of coin.

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Chapter 5: Motivation in Action 5-168

15. Stop when you reach a denomination that the volunteer will not pick up.
16. Now, lead a discussion regarding the different responses from the class and the student.
A. At what point did the value of the money go low enough that most students would not
pick it up? Why?
B. Why did the volunteer continue to pick up the money at a point when the class
members probably would not?
C. At what point does a bonus or pay raise motivate them on the job? What factors make
a raise or bonus important enough to motivate extra effort?

3) In-Class Exercise “Practicing Being Monitored”

This is a game frequently played at baby showers with diaper pins, but with a little modification
students can get some idea of what it is like to be monitored all the time.
Give each student a paper clip and ask them to wear it where other students can see it.
Have students meet in groups, or in a circle discussion, or some other activity that allows them
freedom to move about the room and observe each other. The discussion or reason for them to be
in groups does not need to be tied to the Ethical Dilemma exercise. In fact, you may want to do this
at the start of class with no explanation as to why you are playing the game.
Explain that the object of the game is to collect as many paperclips as possible. Offer a small prize
for the winner.
Every time a student sees another student make a determined gesture (cross legs, slouch in chair,
cross arms, hand on chin, etc.—pick one that you frequently observe in class) the first student may
ask the other student for his/her paperclip. The student is to give it up with out an argument. If two
students see the gesture at the same time and try to claim the clip—have them play rock paper
scissors to break the tie.
If a student has collected lots of clips, and are caught doing the gesture, they are to give them all
up.
When you’ve decided the game has gone on long enough, discuss with the students how they felt
being watched all the time, to be the one watching, and to have to give something up for being
“caught” doing something within the realm of normal behaviour.

4) Experiential Exercise “Motivating Others”

In small groups, ask students to develop a plan to motivate one or more of the following types of
workers. They are asked to comment on the concerns they would have about these workers, and
why their motivation plan would work:
Professionals
Contingent (temporary) workers
Low-Skilled Service Workers
Those Doing Highly Repetitive Tasks
Executives.

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Chapter 5: Motivation in Action 5-169

ANNOTATED POWERPOINT SLIDES

CHAPTER

1
5
Motivation in Action

Copyright © 2016 Pearson Canada Inc.

Chapter Outline Material pertinent to this discussion is found under “SnapShot

2 Summary” at the end of the chapter.
• From Theory to Practice: The Role of Money
• Creating Effective Reward Systems
– What to Pay: Establishing a Pay Structure
– How to Pay: Rewarding Individuals through
Variable‐Pay
Programs
– Flexible Benefits: Developing a Benefits Package
– Intrinsic Rewards: Employee Recognition
Programs
– Beware the Signals that are Sent by Rewards
– Can we Eliminate Rewards?

Copyright © 2016 Pearson Canada Inc.

Chapter Outline Material pertinent to this discussion is found under “SnapShot

3 Summary” at the end of the chapter.
• Motivating by Job Redesign
– The Job Characteristics Model
– Job Redesign in the Canadian Context: The Role of
Unions
– How can jobs be redesigned?
– Relational job design
– Alternative Work Arrangements
– Flextime
– The Social and Physical Context of Work

Copyright © 2016 Pearson Canada Inc.

Chapter Outline Material pertinent to this discussion is found under “SnapShot

4 Summary” at the end of the chapter.
• Employee Involvement
– Examples of Employee Involvement Programs
– Linking Employee Involvement Programs and
Motivation Theories
• Motivation: Putting It All Together

Copyright © 2016 Pearson Canada Inc.

Learning Outcomes Material pertinent to this discussion is found at the beginning

5 of the chapter.
1. Demonstrate how the different types of variable‐pay
programs can increase employee motivation.
2. Show how flexible benefits turn benefits into motivators.
3. Identify the motivational benefits of intrinsic rewards.
4. Describe the job characteristics model and the way it
motivates by changing the work environment.
5. Compare the main ways jobs can be redesigned.

Copyright © 2016 Pearson Canada Inc.

Copyright © 2016 Pearson Canada Inc.

Chapter 5: Motivation in Action 5-170

Learning Outcomes Material pertinent to this discussion is found at the beginning

6 of the chapter.
6. Explain how specific alternative work arrangements can
motivate employees.
7. Describe how employee involvement programs can
motivate employees.
8. Describe how knowledge of what motivates people can
be used to make organizations more motivating.

Copyright © 2016 Pearson Canada Inc.

From Theory to Practice: The Role of Money LO1; Material pertinent to this discussion is found under
7 “From Theory to Practice: The Role of Money.”
• Money is the most commonly used reward in organizations.
– Money certainly helps needs get met.

• 2010 survey of Canadian Employees found that 46%

believed they were underpaid

• But, money is not the top priority for many employees

– Many emphasize relationships in the workplace.

• Developing rewards programs is a complex process

– Consider the value individuals place on specific rewards
Copyright © 2016 Pearson
Canada Inc.

Exhibit 5‐1 What Baby Boomers and Millennials Value as

much as Compensation
LO1; Material pertinent to this discussion is found under
8 “From Theory to Practice: The Role of Money.”

Copyright © 2016 Pearson Canada Inc.

Creating Effective Reward LO1; Material pertinent to this discussion is found under
Systems “Creating Effective Reward Systems.”
9

• Although pay is not the primary factor

driving job satisfaction, it does motivate
people
• As pay is important, organizations
must consider:
– Whether they will lead, match, or lag the market
– How will individual contributions be recognized

Copyright © 2016 Pearson Canada Inc.

What to Pay: Establishing a Pay LO1; Material pertinent to this discussion is found under
Structure “Creating Effective Reward Systems.”

10 • Setting pay levels requires a balance

between external and internal equity
– Internal Equity‐ the worth of the job to the
organization (job evaluation)
– External Equity‐ the competitiveness of an
organization’s pay relative to industry standards
• Setting pay levels (above, at, or below market rates)
is a key strategic decision with important
trade‐ offs

Copyright © 2016 Pearson Canada Inc.

Copyright © 2016 Pearson Canada Inc.

Chapter 5: Motivation in Action 5-171

How to Pay: Rewarding Individuals Through Variable Pay LO1; Material pertinent to this discussion is found under
Programs
“Creating Effective Reward Systems.” Note: This is the
• Many firms are moving towards Variable‐Pay Programs
introductory slide to further details in future slides on these
11 – A portion of an employee’s pay is based on some individual and/or
organizational measure of performance. concepts.
• Individual‐based
• Piece-rate wages
• Merit-based pay
• Bonuses
• Skill-based pay
• Group‐based
• Gainsharing
• Organizational‐based
• Profit sharing
• Employee stock ownership plans (ESOPs) and stock options
Copyright © 2016 Pearson
Canada Inc.

Variable‐Pay Programs LO1; Material pertinent to this discussion is found under

“Creating Effective Reward Systems.”
Individual‐Based Incentives Group‐Based Incentives
12 • Piece‐rate pay plans
– Pay a fixed sum for each unit • Gainsharing
of production completed. – Focus on productivity gains
• Merit Based – Improvements in group
– Pay is based on performance productivity determine the
appraisal ratings rewards to be shared.
• Bonuses
– One‐time rewards for defined
work rather than ongoing
entitlements.
• Skill‐based pay
– Pay based on how many skills
employees have or how many
jobs they can do (see next

slide). Copyright © 2016 Pearson Canada Inc.

Skill‐Based Pay: An Alternative to Job Based LO1; Material pertinent to this discussion is found under
Pay “Creating Effective Reward Systems.”

13 • Pay levels are set based on how many skills employees

have or how many jobs they can do
– Also known as competency‐based or knowledge‐based pay
• Skill‐based pay helps to increase workforce flexibility
– Filling staffing needs is easier when employee skills are
interchangeable
– Communication can also be improved
• On the other hand skill‐based pay can lead to problems
– Does not address the level of performance
– Employees may acquire skills for which there is no immediate need.

Copyright © 2016 Pearson Canada Inc.

Variable Pay Programs:

Organizational‐Based Incentives
LO1; Material pertinent to this discussion is found under
“Creating Effective Reward Systems.”
14 • Profit‐Sharing Plans
– Organization wide programs that distribute
compensation
based on some established formula designed
around a company’s profitability.
• Employee Stock Ownership Plans (ESOPs) and Stock
Options
– Company‐established benefit plans in which
employees acquire stock as part of their benefits.
– Stock options give employees the right to buy stocks
in the company at a later date for a guaranteed price.

Copyright © 2016 Pearson Canada Inc.

Flexible Benefits: Developing a Benefits LO2; Material pertinent to this discussion is found under
Package “Creating Effective Reward Systems.”

15 • A Flexible Benefits plan permits each

employee to create a compensation
package to suit their individual needs
– Replaces the “one‐benefit‐plan‐fits‐all” approach
– Selections based on marital status, age, spouses’
benefits status, number of dependents, etc.

• Three most popular benefit plans:

– Modular Plans
– Core‐Plus Plans
– Flexible Spending Accounts

Copyright © 2016 Pearson Canada Inc.

Copyright © 2016 Pearson Canada Inc.

Chapter 5: Motivation in Action 5-172

Intrinsic Rewards: Employee Recognition Programs LO3; Material pertinent to this discussion is found under
“Creating Effective Reward Systems.”
16 • Employee recognition programs
– from private “thank you” to high profile
recognition
• According to Expectancy Theory, the key
component of motivation is the link between:
– Performance and Reward
• Using Reinforcement Theory, providing recognition
immediately following positive behaviour leads to
repetition.

Copyright © 2016 Pearson Canada Inc.

Beware the Signals That Are Sent By LO3; Material pertinent to this discussion is found under
Rewards “Creating Effective Reward Systems.”

17 • Often reward systems do not reflect organizational

goals:
1. Individuals are unable to break out of old
ways of
thinking about rewards and recognition practices
• Stick to rewarding things that can be easily
measured.

2. Organizations don’t look at the big picture of

their performance system.
• Subunits compete with each other.

3. Management and shareholders focus on short‐

term results.

Copyright © 2016 Pearson Canada Inc.

Exhibit 5‐2 Management Reward Follies LO3; Material pertinent to this discussion is found under
“Creating Effective Reward Systems.”
18
A recent survey suggests that three themes seem to account
for some of the biggest obstacles in dealing with the folly.
First, individuals are unable to break out of old ways of
thinking about reward and recognition practices. This is
demonstrated in such things as an emphasis on quantifiable
Copyright © 2016 Pearson
Canada Inc.
behaviours, to the exclusion of non-quantifiable behaviours;
employees having an entitlement mentality (i.e., they don’t
support changing the reward system because they are
comfortable with the current behaviours that are rewarded),
and management being reluctant to change the existing
performance system. A second factor is that organizations
often don’t look at the big picture of their performance system.
Consequently, rewards are allocated at subunit levels, with
the result that units often compete against each other. Finally,
both management and shareholders often focus on short-term
results, rather than rewarding employees for planning for
longer ranges.
LO3; Material pertinent to this discussion is found under
Can We Eliminate Rewards?
“Creating Effective Reward Systems.”
Abolish incentives: Pay people generously and fairly, make
19 • Alfie Kohn suggests that organizations
sure people don’t feel exploited, and then make sure that pay
should focus less on rewards, more on
creating motivating environments: is not on their minds.
– Abolish Incentive Pay Re-evaluate evaluation: Rather than making performance
– Re‐evaluate Evaluation
– Create Conditions for Authentic Motivation
appraisals look and feel like a punitive effort—who gets
– Encourage Collaboration raises, who gets promoted, who is told they’re performing
– Enhance Content
– Provide Choice
poorly—the performance evaluation system might be
Copyright © 2016 Pearson
Canada Inc. structured more like a two-way conversation to trade ideas
and questions, done continuously, not as a competition.
Create the conditions for authentic motivation: A noted
economist recently summarized the evidence about pay for
productivity as follows: “Changing the way workers are treated
may boost productivity more than changing the way they are
paid.”
Copyright © 2016 Pearson Canada Inc.
Chapter 5: Motivation in Action 5-173

Collaboration: People are more likely to perform better in

well-functioning groups where they can get feedback and
learn from each other.
Content: People are generally the most motivated when their
jobs give them an opportunity to learn new skills, provide
variety in the tasks that are performed, and enable them to
demonstrate competence.
Choice: “We are most likely to become enthusiastic about
what we are doing—and all else being equal, to do it well—
when we are free to make decisions about the way we carry
out a task.”
Motivating by Job Redesign LO4; Material pertinent to this discussion is found under
“Motivating by Job Redesign.”
20 • Job Design
– The way the elements in a job are organized can
act to increase or decrease effort Managers have several options at their disposal if they want
– Also suggests what those elements in the job are to redesign or change the makeup of employee jobs.

Copyright © 2016 Pearson Canada Inc.

The Job Characteristic Model LO4; Material pertinent to this discussion is found under
“Motivating by Job Redesign.”
21 • The Job Characteristic Model (JCM) Managers have several options at their disposal if they want
can describe any job in terms of five to redesign or change the makeup of employee jobs.
core job dimensions
– Skill variety
– Task identity
– Task significance
– Autonomy
– Feedback

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Exhibit 5‐3 Examples of High and Low Job Characteristics LO4; Material pertinent to this discussion is found under
“Motivating by Job Redesign.”
22

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Exhibit 5‐4 The Job Characteristic Model LO4; Material pertinent to this discussion is found under
“Motivating by Job Redesign.”
23

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Copyright © 2016 Pearson Canada Inc.

Chapter 5: Motivation in Action 5-174

Motivating Potential Score LO4; Material pertinent to this discussion is found under
“Motivating by Job Redesign.”
24 • Can combine the core dimensions into a
single predictive index, called the
motivating
potential score (MPS), which is calculated
as follows:

Motivating Potential Score (MPS) =

Skill variety + Task identity + Task significance X Autonomy X
Feedback
3

Copyright © 2016 Pearson Canada Inc.

How Can Jobs Be Redesigned? LO5; Material pertinent to this discussion is found under
“Motivating by Job Redesign.”
25 • Job Rotation
– Periodic shifting of workers from one task to another
– At similar skill requirements and same organizational level
– Reduces boredom, increases motivation, and helps employees
understand how their work contributes to the organization

• Job Enrichment
– The vertical expansion of jobs; using higher skill level
• Employee completes a full activity
– Expands the employee’s freedom and independence
– Increases responsibility, and provides feedback so individuals can
assess and correct their own performance

Copyright © 2016 Pearson Canada Inc.

Relational Job Design LO5; Material pertinent to this discussion is found under
“Motivating by Job Redesign.”
26 • How to make jobs more pro‐socially motivating
– How can managers design work so employees are
motivated to promote the well‐being of the
organization’s beneficiaries?
– Beneficiaries include customers, clients, patients
– View of job design shifts focus from employee to those
whose lives are affected by the job
• How can this be done?
– Better connect employees with the beneficiaries of
their work

Copyright © 2016 Pearson Canada Inc.

Alternative Work Arrangements LO6; Material pertinent to this discussion is found under
“Motivating by Job Redesign.”
• Flextime
27 – Employees work a set amount of hours but have some
flexibility
– Core period for all + flexible set of hours determined
by workers
• Job Sharing
– Two or more people splitting a 40 hour a week job
• Telecommuting
– Employees work from home at least two days/week
– Employees have access to smartphones, tablets, and
other mobile computing devices.
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Canada Inc.

Exhibit 5‐5 Examples of Flextime Schedules LO6; Material pertinent to this discussion is found under
“Motivating by Job Redesign.”
28

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Copyright © 2016 Pearson Canada Inc.

Chapter 5: Motivation in Action 5-175

The Social and Physical Context of Work LO6; Material pertinent to this discussion is found under
“Motivating by Job Redesign.”
29 • Policies such as job rotation, employee
empowerment, and employee
participation
have positive effects on productivity, at
least partially because they encourage
more communication and a positive
social environment.
• Social characteristics include
interdependence, social support,
and interactions with other people

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Employee Involvement LO6; Material pertinent to this discussion is found under

“Employee Involvement.”
30 • Employee Involvement
– Participative process that uses employees’ input
to increase their commitment to the
organization’s success
• Examples of Employee Involvement
Programs
– Participative management
– Representative participation

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Motivation: Putting it All Together LO8; Material pertinent to this discussion is found under
“Motivation: Putting It All Together.”
31 1. What motivates people?
2. How can we use this information to make sure
that the
organizational processes motivate our
employees?
• Four basic emotional drives (needs) guide people:
– Drive to Acquire
• Met through organizational rewards
– Drive to Bond
• Promoted through commitment to teamwork, friendship &
openness
– Drive to Comprehend
• Based on effective job design
– Drive to Defend
• Based on performance management & resource allocation
process

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Exhibit 5‐6 How To Fulfill the Drives

that Motivate Employees
LO8; Material pertinent to this discussion is found under
“Motivation: Putting It All Together.”
32

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Exhibit 5‐7 Reward Preferences in

Different Countries
LO8; Material pertinent to this discussion is found under
“Motivation: Putting It All Together.”
33

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Copyright © 2016 Pearson Canada Inc.

Chapter 5: Motivation in Action 5-176

Summary Material pertinent to this discussion is found at the end of the

chapter.
34 1. Money is not a motivator for all
individuals.

2. Effective reward systems link pay

to performance.

3. Jobs characterized by variety, autonomy,

and feedback are more motivating.

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OB at Work: For Review Material pertinent to this discussion is found at the end of the
chapter.
35 1. What is variable pay? What variable‐pay
programs are used to motivate employees?
What are their advantages and
disadvantages?
2. How can flexible benefits motivate
employees?
3. What are the motivational benefits of
intrinsic rewards?
4. What is the job characteristics model? How
does it motivate employees?
Copyright © 2016 Pearson
Canada Inc.

OB at Work: For Review Material pertinent to this discussion is found at the end of the
chapter.
36 5. What are the main ways that jobs can be
redesigned? In your view, in what situations
would one of the methods be favoured over
the others?
6. What are the three alternative work
arrangements of flextime, job sharing, and
telecommuting? What are the advantages and
disadvantages of each?
7. What are employee involvement programs?
How might they increase employee
motivation?
8. How can motivation theories be used to
create more motivating work
environments?

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OB at Work: For Managers Material pertinent to this discussion is found at the end of the
chapter.
37 ■ Recognize individual differences: Spend
the time necessary to understand what is
important to each employee. Design jobs
to align with individual needs and
maximize their motivation potential.
■ Give employees firm, specific goals,
and provide them with feedback on
how well they are doing in pursuit of
those goals.

Copyright © 2016 Pearson Canada Inc.

OB at Work: For Managers Material pertinent to this discussion is found at the end of the
chapter.
■ Allow employees to participate in decisions that
38 affect them. Employees can contribute to setting
work goals, choosing their own benefits packages,
and solving productivity and quality problems.
■ Link rewards to performance and ensure that
employees perceive the link between the two.
■ Check the system for equity. Employees should
perceive that experience, skills, abilities, effort, and
other obvious inputs explain differences in
performance and hence in pay, job assignments,
and other obvious rewards.
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Canada Inc.

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Chapter 5: Motivation in Action 5-177

Breakout Group Exercises Material pertinent to this discussion is found at the end of the
chapter.
39 • Form small groups to discuss the
following:
– How might the job of student be redesigned to
make it more motivating?
– What is your ideal job? To what extent does it
match up with the elements of the job
characteristics model (JCM)?
– Would you prefer working from home or working
at the office? Why?

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Canada Inc.

From Concepts to Skills: Designing Enriched Jobs Material pertinent to this discussion is found at the end of the
chapter.
40 • Combine tasks.
• This increases skill variety and task identity.
This slide can be used to debrief the exercise, showing what
• Create natural work units. can be done to enrich the job.
• This increases employee “ownership” of the
work and improves the likelihood that
employees will view their work as
meaningful and important.
• Establish client relationships.
• This increases skill variety, autonomy,
and feedback for the employee.
• Expand jobs vertically.
• This seeks to partially close the gap between the
“doing” and the “controlling” aspects of the job.
• Open feedback channels.
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Canada Inc.Pearson

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