Motivating and Rewarding
       Employees
Learning Objectives
 Define and explain motivation
 Compare and contrast early theories of motivation
 Compare and contrast contemporary theories of
  motivation

 Discuss current issues in motivating employees
What is Motivation?
What is Motivation?
• Motivation
  – The process by which a person’s efforts are
    energized, directed, and sustained toward attaining a goal
  – Individuals differ in motivational drive
  – Overall motivation varies from situation to situation
How Do you Motivate Your
             Employees?
•Say “Thank You”
•Notice When Someone is Doing the Right Thing
•Get to Know Employees
•Professional Development Opportunities
•People Support What They Help Create
•All Staff Deserve Recognition
•Group Recognition is as Important as Individual Recognition
•Have Fun!
Three Elements of Motivation
This definition has three key elements:

1. Energy - a measure of intensity or drive.
2. Direction - effort channeled in a direction that benefits
  the organization.

3. Persistence - when employees persist in putting forth
  effort to achieve those goals.
Who’s this ?
Abraham Maslow
 He described how different needs have greater priority
  than others. When he did, he found that our needs can
  be understood better by arranging them in the order of
  their importance, in our lives.
What Is Maslow’s Hierarchy of Needs
              Theory?
• Maslow was a psychologist who proposed that within
  every person is a hierarchy of five needs:


   1. Physiological needs -
      air, food, drink, shelter, warmth, sex, sleep, etc.

   1. Safety needs - protection from
      elements, security, order, law, limits, stability, etc.
What Is Maslow’s Hierarchy of Needs
              Theory?
• 3. Belongingness and Love needs - work
  group, family, affection, relationships, etc.

• 4. Esteem needs - self-
  esteem, achievement, mastery, independence, status, d
  ominance, prestige, managerial responsibility, etc.

• 5. Self-Actualization needs - realizing personal
  potential, self-fulfillment, seeking personal growth and
  peak experiences.
Who is this ?
What Are McGregor’s Theory X and
               Theory Y?
Douglas McGregor was a Management professor at the MIT
  Sloan School of Management He also taught at the Indian
  Institute of Management Calcutta
McGregor is best known for proposing two assumptions about
  human nature:
• Theory X
  – The assumption that employees dislike work, are lazy, avoid
     responsibility, and must be coerced to work

• Theory Y
  – The assumption that employees are creative, enjoy work, seek
     responsibility, and can exercise self-direction
Who this ?
What Is Herzberg’s Two-Factor
             Theory?
 Frederick Herzberg’s an American psychologist who
  became one of the most influential names in business
  management.

 Herzberg’s Motivation-Hygiene Theory, also
  known as the two-factor theory proposes that:
   Intrinsic factors are related to job satisfaction
   Extrinsic factors are associated with job
    dissatisfaction
What Is Herzberg’s Two-Factor
            Theory?
 Hygiene Factors
   Factors that eliminate job dissatisfaction but don’t
    motivate.

 Motivators
   Factors that increase job satisfaction and motivation
What Is Herzberg’s Two-Factor
              Theory?
Hygiene or Dissatisfies:     Motivators or Satisfiers:
   Pay and Benefits            Achievement
   Company Policy and          Recognition
    Administration
                                Work Itself
   Relationships with co-
    workers                     Responsibility

   Supervision                 Promotion

                                Growth
Who is this?
David C. McClelland
 was an American psychological theorist. Noted for his
  work on need theory.
What Is McClelland’s Three-Needs
             Theory?
 Three acquired needs are major motives at work

• 1-Need for Achievement (nAch)
 – The drive to succeed and excel in relation to a set of
   standards
 – person is 'achievement motivated' and achievement,
   attainment of realistic but challenging goals, There is
   a strong need for feedback as to achievement and
   progress, and a need for a sense of
   accomplishment.
What Is McClelland’s Three-Needs
             Theory?

• 2-Need for Power (nPow)
 – The need to make others behave in a way that they
   would not have behaved otherwise
 – person is 'authority motivated'. This driver produces
   a need to be influential, effective and to make an
   impact. There is a strong need to lead and for their
   ideas to prevail. There is also motivation and need
   towards increasing personal status and prestige.
What Is McClelland’s Three-Needs
              Theory?

• 3-Need for Affiliation (nAff)
  – The desire for friendly and close interpersonal
    relationships
  – person is 'affiliation motivated', and has a need for
    friendly relationships and is motivated towards
    interaction with other people. The affiliation driver
    produces motivation and need to be liked and held in
    popular regard. These people are team players.
Motivating a Diverse Workforce
• Compressed Workweek
  – A workweek in which employees work longer hours per
    day but fewer days per week

• Flexible Work Hours (flextime)
  – A scheduling system in which employees are required to
    work a certain number of hours per week but are free,
    within limits, to vary the hours of work
Motivating a Diverse Workforce (cont.)
• Job Sharing
When two or more people split (share) a fulltime job

• Telecommuting
A job approach in which employees work at home but are
   linked by technology to the workplace
Rewarding Employees
Designing Appropriate Rewards
            Programs
• Open-Book Management
  – An organization’s financial statements are shared with all
    employees

• Employee Recognition Programs
  – Programs that consist of personal attention and
    expressions of interest, approval, and appreciation for a job
    well done

• Pay-for-Performance Programs
  – Variable compensation plans that pay employees on the
    basis of some performance measurement
Additional Suggestions for
     Motivating Employees
 Recognize individuals
 Match people to jobs
 Use goals
 Make goals attainable

 Individualize rewards

 Link rewards to performance

 Don’t ignore money
Motivating And Rewarding Employees

Motivating And Rewarding Employees

  • 1.
  • 2.
    Learning Objectives  Defineand explain motivation  Compare and contrast early theories of motivation  Compare and contrast contemporary theories of motivation  Discuss current issues in motivating employees
  • 3.
  • 4.
    What is Motivation? •Motivation – The process by which a person’s efforts are energized, directed, and sustained toward attaining a goal – Individuals differ in motivational drive – Overall motivation varies from situation to situation
  • 5.
    How Do youMotivate Your Employees? •Say “Thank You” •Notice When Someone is Doing the Right Thing •Get to Know Employees •Professional Development Opportunities •People Support What They Help Create •All Staff Deserve Recognition •Group Recognition is as Important as Individual Recognition •Have Fun!
  • 6.
    Three Elements ofMotivation This definition has three key elements: 1. Energy - a measure of intensity or drive. 2. Direction - effort channeled in a direction that benefits the organization. 3. Persistence - when employees persist in putting forth effort to achieve those goals.
  • 7.
  • 9.
    Abraham Maslow  Hedescribed how different needs have greater priority than others. When he did, he found that our needs can be understood better by arranging them in the order of their importance, in our lives.
  • 11.
    What Is Maslow’sHierarchy of Needs Theory? • Maslow was a psychologist who proposed that within every person is a hierarchy of five needs: 1. Physiological needs - air, food, drink, shelter, warmth, sex, sleep, etc. 1. Safety needs - protection from elements, security, order, law, limits, stability, etc.
  • 12.
    What Is Maslow’sHierarchy of Needs Theory? • 3. Belongingness and Love needs - work group, family, affection, relationships, etc. • 4. Esteem needs - self- esteem, achievement, mastery, independence, status, d ominance, prestige, managerial responsibility, etc. • 5. Self-Actualization needs - realizing personal potential, self-fulfillment, seeking personal growth and peak experiences.
  • 13.
  • 14.
    What Are McGregor’sTheory X and Theory Y? Douglas McGregor was a Management professor at the MIT Sloan School of Management He also taught at the Indian Institute of Management Calcutta McGregor is best known for proposing two assumptions about human nature: • Theory X – The assumption that employees dislike work, are lazy, avoid responsibility, and must be coerced to work • Theory Y – The assumption that employees are creative, enjoy work, seek responsibility, and can exercise self-direction
  • 15.
  • 16.
    What Is Herzberg’sTwo-Factor Theory?  Frederick Herzberg’s an American psychologist who became one of the most influential names in business management.  Herzberg’s Motivation-Hygiene Theory, also known as the two-factor theory proposes that:  Intrinsic factors are related to job satisfaction  Extrinsic factors are associated with job dissatisfaction
  • 17.
    What Is Herzberg’sTwo-Factor Theory?  Hygiene Factors  Factors that eliminate job dissatisfaction but don’t motivate.  Motivators  Factors that increase job satisfaction and motivation
  • 18.
    What Is Herzberg’sTwo-Factor Theory? Hygiene or Dissatisfies: Motivators or Satisfiers:  Pay and Benefits  Achievement  Company Policy and  Recognition Administration  Work Itself  Relationships with co- workers  Responsibility  Supervision  Promotion  Growth
  • 21.
  • 22.
    David C. McClelland was an American psychological theorist. Noted for his work on need theory.
  • 23.
    What Is McClelland’sThree-Needs Theory? Three acquired needs are major motives at work • 1-Need for Achievement (nAch) – The drive to succeed and excel in relation to a set of standards – person is 'achievement motivated' and achievement, attainment of realistic but challenging goals, There is a strong need for feedback as to achievement and progress, and a need for a sense of accomplishment.
  • 24.
    What Is McClelland’sThree-Needs Theory? • 2-Need for Power (nPow) – The need to make others behave in a way that they would not have behaved otherwise – person is 'authority motivated'. This driver produces a need to be influential, effective and to make an impact. There is a strong need to lead and for their ideas to prevail. There is also motivation and need towards increasing personal status and prestige.
  • 25.
    What Is McClelland’sThree-Needs Theory? • 3-Need for Affiliation (nAff) – The desire for friendly and close interpersonal relationships – person is 'affiliation motivated', and has a need for friendly relationships and is motivated towards interaction with other people. The affiliation driver produces motivation and need to be liked and held in popular regard. These people are team players.
  • 26.
    Motivating a DiverseWorkforce • Compressed Workweek – A workweek in which employees work longer hours per day but fewer days per week • Flexible Work Hours (flextime) – A scheduling system in which employees are required to work a certain number of hours per week but are free, within limits, to vary the hours of work
  • 27.
    Motivating a DiverseWorkforce (cont.) • Job Sharing When two or more people split (share) a fulltime job • Telecommuting A job approach in which employees work at home but are linked by technology to the workplace
  • 28.
  • 29.
    Designing Appropriate Rewards Programs • Open-Book Management – An organization’s financial statements are shared with all employees • Employee Recognition Programs – Programs that consist of personal attention and expressions of interest, approval, and appreciation for a job well done • Pay-for-Performance Programs – Variable compensation plans that pay employees on the basis of some performance measurement
  • 30.
    Additional Suggestions for Motivating Employees  Recognize individuals  Match people to jobs  Use goals  Make goals attainable  Individualize rewards  Link rewards to performance  Don’t ignore money

Editor's Notes

  • #7 This definition has three key elements: energy, direction,and persistence.4The energy element is a measure of intensity or drive. A motivated person puts fortheffort and works hard. However, the quality of the effort must be considered as well as itsintensity. High levels of effort don’t necessarily lead to favorable job performance unlessthe effort is channeled in a direction that benefits the organization. Effort that’s directedtoward, and consistent with, organizational goals is the kind of effort we want from employees.Finally, motivation includes a persistence dimension. We want employees to persist inputting forth effort to achieve those goals.