CHAPTER 12 Flashcards
- American mechanical engineer who sought to improve industrial efficiencies
- Made 3 major contributions in the late 1800s
- Known as the father of the scientific management approach
Frederick Taylor
Output standards devised based on careful, scientific analysis
Fair’s day work
Management approach based on improving work methods through observation and analysis.
Scientific Management Movement
paid to workers whose production exceeds some predetermined standard.
Financial Incentives
- Ties employee’s pay to the employee’s performance
- Any plan that ties pay to some measure of performance, such as productivity or profitability.
Pay for Performance
- Incentive plan that ties a group or team’s pay to some measure of the firm’s overall profitability
Variable Pay Plan
Who said the best way to motivate someone is to organize the job so that doing it provides the challenge and recognition we all need to help satisfy “higher-level” needs for things like accomplishment and recognition.
Frederick Herzberg
Who invented Two factor theory
Frederick Herzberg
What are the two factors in two factor theory
Hygiene factors and motivators
- Basic factors that must be present in the workplace to prevent dissatisfaction
- Such as adequate pay, job security and working conditions
- These are necessary but not sufficient for job satisfaction
Hygiene Factors
- Factors that contribute to job satisfaction and motivation
- Such as challenging work, recognition, and opportunities for growth and development
Motivators
A psychologist who has done extensive research on motivation and how people are driven to achieve their goals.
Edward Deci
His work highlights the potential negative impact of extrinsic rewards, such as bonuses or promotions, on intrinsic motivation.
Edward Deci
A psychologist who developed the expectancy theory of motivation.
Victor Vroom
Refers to the individual’s belief that their efforts will lead to the desired performance level. In other words, they must believe that their hard work will pay off and they will achieve their goals.
Expectancy
Refers to the individual’s belief that the desired outcome will be accompanied by a reward or other positive consequences. In other words, they must believe that their success will lead to a desirable outcome.
Instrumentality
Refers to the value that the individual places on the potential outcome or reward. In other words, they must believe that the outcome or reward is desirable and worth pursuing.
Valence
A technique used to change behavior through rewards or punishments that are contingent on performance.
Behavior Modification
2 main principles of behavior modification
- behavior that leads to a positive consequence (reward) tends to be repeated same goes with negative consequence
- reward or punishment must be directly tied to the behavior
- the oldest and still most popular individual incentive plan.
- it involves paying the worker a specified amount for each piece or unit he/she produces.
Piecework
entails a strict proportionality between results and rewards regardless of output. It is an incentive plan in which a person is paid a sum for each item he or she makes or sells with a strict proportionality between results and rewards.
Straight Piecework
- the worker is paid a basic hourly rate but is paid an extra percentage of his or her rate for production exceeding the stand per hour or per day.
- Similar to piecework payment but based on a percent.
Standard Hour Plan
A permanent cumulative salary increases the firm awards to an individual employee based on his or her individual performance
Merit Pay
A compensation structure that provides an alternative to the traditional career path that requires employees to move into management in order to earn higher pay
Dual Career - Ladders
