AoS 2 Unit 3 Flashcards
motivation
what drives a person to apply individual effort over a sustained period of time
two variables that drive motivation
reward & punishment
what Maslow believed
maslow believed all people have needs to be satisfied and will work towards satisfying those needs
Maslows hierarchy of needs
self actualisation
esteem
love/ belonging
safety
Physiological
self actualisation (maslow)
morality, creativity, spontaneity, problem solving, lack of prejudice, acceptance of facts
esteem (maslow)
self-esteem, confidence, achievement, respect of others, respect by others
love/ belonging (maslow)
friendship, family, sexual intimacy
safety (maslow)
security of: body, employment, resources, morality, family, health, property
Physiological (maslow)
breathing, food, water, sex, sleep, homeostasis, excretion
how Maslows theory translates to the business environment
self actualisation- opportunities for creativity, autonomous problem solving
esteem- appreciation or recognition, promotion, responsibility
social- being accepted as part of a team, forming professional relationships
Safety- safe working conditions, job security
physiological- satisfactory pay to access water and food, secure shelter
Locke and Latham’s goal setting theory
Locke- employees are motivated by clear goals with appropriate feedback on their achievement of the goals
goals needed to be challenging and clear, and employees need to be committed to meet the challenge, with recognition given to efforts being made
Latham- tested Lockes theory, results endorsed the strong connection between goal setting and work performance
Five principles of goal setting (Locke and Latham)
Clarity
Challenge
Commitment
Feedback
Task Complexity
Clarity (L&L)
Goals should be simple and specific, everyone should understand what is expected and the result that will be rewarded, time frame built into goals so there is a clear end date for it to be achieved
Challenge (L&L)
the goal should extend the employees but should still be achievable and relate to business objectives, people are often motivated by achieving something they have not successfully completed before, completing tasks that are highly valued by the employer/manager can also motivate, significance of the challenge should guide the reward for achievement
Commitment (L&L)
for an employee to actively pursue goal achievement, employee needs to be driven to do so, the greater the input from the employees in goal setting, the more likely they are to commit, which means a more challenging goal can be set, leading to greater rewards
Feedback (L&L)
frequency of feedback depends on timeframe of goal, recognise progress achieved, make adjustments, clarify expectations, can be formal or informal- may have milestones for expected progress
Task complexity (L&L)
should not overwhelm employees, but should challenge them, additional training may be required to ensure skill development and goal attainment, task allows employees to contribute to the objectives of the business
Lawrence and Norias four drive theory
they identified four main drives that shape how humans think and behave
to acquire
to bond
to learn (comprehend)
to defend
acquiring and achieving (L&N)
desire to acquire objects, status, influence and resources
- remuneration comparable to competitors to retain quality staff
- monetary rewards for performance
- perks of the position
- acknowledge the performance of staff-set expectations
- career pathway opportunities
bonding and belonging (L&N)
driven to connect with people, fit in, be a part of common cause, support others
- managers interact with all employees in a positive manner
- teamwork and collaboration encouraged and recognised
- staff encouraged to support team culture
- recognise personal milestones and achievements
- foster friendships between employees
comprehending and learning (L&N)
driven to develop skills, to understand, to explore, be challenged
- engaging tasks or range of work tasks
- opportunities to gain skills and experience
- support employees in gaining skills and qualifications
- each set of duties should be valued and make a contribution to the achievement of the business objectives
defending (L&N)
driven to protect people and things, remove threats to safety and security
- welcoming workplace, intimidation not used as management strategy
- fair and transparent processes for rewards and recognition
- employees can voice concerns without fear of reprisal
- develop atmosphere of trust
financial motivational theories
pay increases - wage/salary rise as incentive to work hard and make significant contribution to the business
bonus - one-off payment for meeting particular targets, often at christmas time or when targets have been met
commision - usually a fixed percentage of the sale price
share plans - registered company can offer shares in the ownership of the business
profit sharing - offering a fixed percentage of business profits as an incentive to raise profit levels, amount varies according to profit
gainsharing - encourage employees to suggest ideas for productivity improvements, with the savings being passed on to employees, therefore improving employee engagement
pay increases adv & dis
adv- predictable and easily calculated, clear target for new employees to aim for
dis- difficult to pay if employees performance declines, jealousy and low morale of employees doing the same job for less
bonus adv & dis
adv- flexible to suit each employee because bonus is confidential, only paid for performance improvement
dis- conflict between employees if bonus confidentiality is breached, dissatisfaction by employee if decreases
commission adv & dis
adv- low cost to employer, motivates sales staff to close the deal
dis- high staff turnover if base salary is too low, differences in staff may lead to morale issues
share plans adv & dis
adv- employees have an interest in increasing profits, employees feel a sense of ownership and belonging to the business
dis- fluctuation in share prices may mean employees investments are not secure, employees can’t sell the shares until they leave the company
profit sharing adv & dis
adv- rewards improvement in profits, easily calculated and transparent
dis- does not vary between employees so does not reward individual performance, external factors may drop profits, employees may feel cheated
gain sharing adv & dis
adv- employees involved in productivity improvements, better engagement, easily calculated based on savings from improvements
dis- employees who have made suggestions share benefits with those who have not made such a contribution
non financial motivational theories
career advancement - provide pathways for employees to take on responsibilities with more challenging roles and involvement in decision making
investment in training - improving employee skills benefits business and workplace, improves job satisfaction and motivation, access higher pay
support and sanction - encourage to motivate employees with support, punishment may be necessary when an error is deliberate
Career advancement adv & dis
adv- retaining and retraining employees, satisfies higher level of needs, satisfies some of the four drives
dis- promotions cannot just be created, creates rival/conflicts for employees competing for limited promotions
investment in training adv & dis
adv- business benefits from improving employee skills, satisfies higher level of needs, provides goals and satisfies some of the four drives
dis- training may be wasted if there are not sufficient jobs requiring higher skills, investment in training lost if employees leave
support and sanction adv & dis
adv- support will influence employees attitudes and motivation, sanctions help prevent poor performance
dis- difficult to support some employees, emphasis on sanctions may have a negative impact on motivation
SCIPS
Support
Career advancement
Investment in training
Performance related pay
Sanction
Support
providing encouragement and understanding to improve performance, employees are driven to improve performance when the employer helps them
types: communication with direct manager, access to counsellor or coach
Career advancement
improved performance leads to promotion, employees are driven to perform better so they can access greater power, responsibility or pay
type: progression within current role, promotion to new role
Investment in training
increasing skills and confidence and therefore satisfaction, employees are more motivated if the employer has shown an interest in increasing employee skills
types: on-the-job training, off-the-job training
Performance related pay
benefits of improvement are shared with employees, employees will be driven to perform better if there is a financial benefit to them
types: profit sharing, gain sharing, bonuses, employee share purchase plan
Sanction
a form of punishment as a disincentive for poor performance, people act to avoid negative consequences
types: negative comments on employees file, salary deduction
on-the-job training
learning specific skills in the workplace, within the working environment
adv- the most cost- efficient alternative, as no travel expenses or other costs are incurred
dis- quality of the trainer may vary - not everyone has the ability to teach others
off-the-job training
training conducted away from the workplace, usually to a specialised institution
adv- availability of a wider range of skills and qualifications than those in the workplace
dis- may be too theoretical without access to workplace tools or equipment
development
Business needs and employee’s career stage will determine the development required. Programs for developing effective managers may focus on:
Job Rotation
Mentoring
Formal Business Training
Succession Planning
Performance management strategies
To improve business and individual employee performance by linking the performance objectives of the employee with those of the business.
- Performance Appraisal
- Management By Objectives
- Self-Evaluations by Employees
- Employee Observation
Performance appraisal
Formal assessment of how efficiently and effectively an employee is performing their role in the business
- Provide feedback from management
- Links to promotion and pay rises
- Identify training and development needs
- Identify new objectives and plan for future performance
management by objectives
A system in which overall objectives are clearly stated and agreed upon, and which gives people the flexibility to work toward those goals in ways they determine is best for their own areas of responsibility
employee self-evaluation
Based on a set of agreed criteria, employees respond to questions about strengths, weaknesses, initiatives, potential change in role and future responsibility and leadership aspirations
- Highlights need for training
- Employees keep documentary evidence
employee observation
Used to evaluate managers and employees by seeking input from their subordinates, fellow managers and superiors
- Confidential evaluation forms
- Identify strengths and weaknesses
- Useful for evaluation of leadership, teamwork and interpersonal skills
termination (ec)
Ending the employee’s relationship with the business
- Voluntary – retire, resign, new job elsewhere
- Involuntary – dismissal, redundancy, retrenchment
- Entitlement and transition issues:
- Accumulated annual leave or long-service leave to be paid to employee
- Counselling and support for involuntary termination
retirement & resignation
Retirement
- Employee voluntarily leaves the workplace and the workforce
- There is no official retirement age
- Many businesses provide advice and assistance to employees to help them prepare for retirement
Resignation
- Employee voluntarily ends the employment relationship
- Why? Promotion elsewhere, start a business, commuting…
- Employee must give notice (usually a pay period)
redundancy & retrenchment
Redundancy
Employee performs a job that is no longer necessary
Why? Technology, restructuring, merger, acquisition
Retrenchment
Employee termination due to lack of sufficient work to keep the employee fully occupied
Voluntary – Employees informed of downsize and gives employees opportunity to nominate for redundancy
Involuntary – employee asked to leave even though they are not at fault, but due to any of the reasons that prompt redundancy
dismissal
Dismissal
- Employment relationship ended due to unacceptable behaviour of employee
- Summary Dismissal – serious breach (alcohol/drugs, criminal activity) – no notice required
- Dismissal on notice – not performing satisfactorily – sufficient notice given but dependant on:
- Award or contract
- Age
- Length of employment
- Awareness of legislation and industrial agreements is essential to avoid litigation and industrial action
entitlement issues
Entitlements issues are legally supported rights, e.g. back-pay or redundancy payments
HR Managers must:
Follow correct procedures – reasons for termination, time off, severance pay, entitlements
transition issues
Transition issues are not legally supported but assist the departing employee or the organisation during the termination process, e.g. an exit interview
HR Managers should:
Assist departing employees to find new employment – references and recommendations, paid leave for interviews
workplace relations
The interplay between the employer and the employee regarding the pay and conditions of work.
It has also been called:
Employee Relations
Industrial Relations
employers
Deal with employee relations on a daily basis
Large businesses will employ human resource specialists to manage the legal responsibilities of employee relations
employees
Vital resources to the day-to-day operation of the business
More educated than ever before – demand interesting work and involvement in decision-making
Employees more involved in negotiating employment agreements or collective agreements
human resource managers
Manage the employment relationship between employees and the business
- Negotiate
- Train
- To ensure they comply with the Workplace Agreement in changing work practices
- Implement
- Changes of wages, hours, entitlements
- Dealing with disputes and conflict
- Resolve disputes related to employment agreement
trade unions
Organisations formed by employees in an industry, trade or occupation to represent them in efforts to improve wages and the working conditions of their members
Represent members in developing employee agreements
Recent years, declining union membership
employer associations
Organisations that represent employers of particular industries
Assist employers in formulating polices and processing log of claims served by members of unions
Assist employers in negotiating workplace agreements that are consistent with legislation
peak union body
State or Federal organisations that most unions affiliate with
Represent union movement in court/tribunals and dealing with government
Assist with settlement of disputes
Act politically on behalf of other unions
peak employer bodies
State or Federal organisations that employer associations join
Most employer organisations are affiliated with peak bodies such as the Australian Chamber of Commerce and Industry (ACCI).
These bodies perform a similar role for employers to that performed for unions by the peak union organisations at the state and federal level.
governments and government organisation
Governments have five key roles in employee relations:
Legislator – pass laws for legal framework of employee relations
Employer – employ almost one-third of Australian workers
Economic Manager – ensure wage costs do not lead to inflationary pressure
Policy Administrator – publish information and guidelines
Represent Australia – in international arena
fair work commission
Independent organisation (set up by government) to deal with the resolution of industrial disputes, minimum wages and employment standards.
Approves agreements
Resolves disputes between employee and employer
Promotes compliance with legislation through education, information and assistance
types of employment agreements
National Employment Standard (NES)
Awards
Enterprise Agreements
Individual contracts
Industry-wide Awards – for a whole industry or occupation
Historically, established by industrial tribunals based on submissions form unions and employer organisation, providing a set of minimum employment standards
Now:
Greater emphasis on collective bargaining
Leading to growth in enterprise agreements
Awards do not apply to businesses with enterprise agreements
Employees can negotiate improvements on minimum conditions with an enterprise agreement
Enterprise Agreements – for a group of employees
Employment agreements negotiated between an employer and a union, on behalf of its members (or between the employer and a group representing a majority of its employees)
Must have the 10 National Employment Standards, plus:
Nominal expiry date – 2-3 years
Procedures for settling disputes
Terms allowing for individual flexibility
Provisions for consultation for major workplace change
Individual Contracts – for each individual employee
An employee can sign a contract with an employer
Must comply with relevant Award, must be consistent with the 10 NES
May provide improved conditions, cannot exclude any Award conditions or reduce conditions or benefits
High income earners can enter an individual contract that renders Award conditions not applicable to them (enforced through the courts rather than FWC)
disputes in the workplace
Strike
Lockout
Picket Lines
Work Bans
Work-to-rule
Absenteeism, vandalism, sabotage
causes of conflict
Remuneration
Employment Conditions
Health & safety
Job Security
Managerial policy issues
Union issues
dispute resolution
Negotiation
Mediation
Grievance procedures
Fair Work Commission tribunal – conciliation or arbitration
Common Law action