Motivation Flashcards
Is money effective?
YES - competition. Not always possible to promote someone, so can raise wage. Extrinsic reward - boost morale.
SOMETIMES - if employees are highly paid, beyond a certain point will have no effect. Can create conflict in the workplace (jealousy, fighting for money). Difficult to determine who gets the extra pay.
NO - money trivialises work. Amount received is not in relation to what the employer does. If the employee finds it motivating, then maybe the salary is too low. ‘Play money’ - turns enjoyment of working into a chore.
5 facts about money as a motivator
People are not rational
Money beliefs can be trained to children
De-motivator
Money and well being are only tan gently related
Apply unhelpful problem solving techniques when talking about money
Judge et al. (2010)
Does money engage you?
Meta analysis of 92 studies and 150,000 ops. High salary does not lead to job satisfaction (2% concordance rates).
48% salary satisfaction
No difference cross culturally
Chlo & Perry (2012)
Employees are three times more motivated by internal factors compared to external factors.
Pay demotivates. There is only a short term effect in increasing salary - adaption to pay.
Kahneman & Deaton
Emotional well-being increased with salary up to £75,000 - cause and effect - do happy people make more money, or does more money make people happier.
Judge , Heller & Mant (2002)
Up to 40% variability in job satisfaction determined by personality. Emotionally stable. conscientious, and introverted people are more likely to report job satisfaction. May not be the actual money, but the relativity.
Compare Leadership Council (2004)
Biggest satisfaction is a person’s boss. Therefore money makes no difference once you have enough to survive
Kohn
Rewards can lead to negative behaviour
Pay is not a motivator - feel as though being controlled
Rewards rupture relationships - pit one person against another, so threatens teamwork
Rewards ignore reasons
Discourage risk taking
Undermine interest
How to use monetary rewards
- Define and measure performance - rate of pay
- Make rewards contingent on performance
- Reward in a timely manner - e.g. every month, not at the end of the year.
- Maintain justice in reward system - only promise reward that are available. Increase variable pay instead of base pay
- Monetary and non monetary rewards - praise and recognition
Negatives of monetary rewards and secrecy
- employee uncertainty about fairness
- secrecy breeds distrust - may enhance views about corruption
- do not know relative worth of rewards
- pay secrecy could affect labour market - prevent employees moving to better fitting and more rewarding jobs
Positives of monetary rewards and secrecy
- enhances organisational control and conflict
- privacy
- prevents leaving the job
- favours organisational paternalism
- encourages independence
- prevents political behaviour
Myers & Dieners (1996)
Money can’t buy happiness
Intrinsic vs. extrinsic motivation
Normally have a mix.
Intrinsic - mastery, competence and meaning - jobs are not meaningless. Contribution
Koren & Dweck
Entity = fixed Incremental = growth and malleable
Pay methods
- piece work (paid according to production)
- group piece work (split between group)
monthly productivity bonus ( guaranteed pay and department bonus) - measured day work ( bonus depends on meeting a standard)
- merit rating - bonus depends on rating of manager
- managers receive a bonus based on work of department
- profit share
- other benefits e.g. medical insurance
Need Theories
- Maslows Hierarchy theory
- Alderfer’s ERG theory
- Murrays needs and Presses
4 Jahoda’s latent theory
Maslow (1954)
There are five needs that are activated in a hierarchical manner:
- Physiological needs e.g. food, water, shelter
- Safety needs - health insurance, non-threatening environment
- Social needs - have friends, inclusion, office parties
- Esteem needs - self respect, approval, awards for achievement
- Self-actualisation needs - self-fulfilment, developing ones political, fully realising ones ability
+ looks at behaviour, gratification and deprivation
+ some needs are more important than others, self actualisation is open-ended - continue to strive, but never actually fully attained
– received little support BUT terminology is incorporated into everyday language.
+ humanistic appeal
– doesn’t explain other ways of motivating e.g. pay rise, how to effect a large no. of people
Alderfer’s ERG theory - existence, relatedness, growth
Simple - only three types of needs.
1. Existence - physiological and safety needs
2. Relatedness - meaningful and social relationships
3. Growth - correspond to esteem and self actualisation
+ fits better with research evidence
– not as much attention, not agree with Maslow
Murray (1938)
Motivated by a desire to satisfy
Tension - provoking drives called (needs) - brain region, biological (hunger, sex, getting rid of waste).
- abasement - accept blame
- achievement - accomplish
- affiliation
- aggression - overcome opposition
- autonomy - independence
- counteraction - overcome weakness
- dependance - against criticism
ect. ..
Jahoda’s Latent needs theory
Work fulfils basic needs.
Would get bored without it - source of activity, structures time, social interaction, identity, creativity and mastery, sense of purpose
Doing something important and relevant is good
Shared experiences
– difficult to test theories - no empirical evidence
– Jahoda says people are deprived, but Fryer says they are imposed
+ Warr (1987) - vitamin theory
Equity theory
Theory of fairness e.g. how we split the bill. Subjective sense of fairness
I ~ 0 (equity) …. I > (under benefitted) … I
Pritchard, Dunnette & Jargsen (1972)
Hired male clerical workers to work for 2 weeks. They were told others pay. Productivity overpaid > equity > underpaid
Greenberg (1990)
Theft amongst employees. Reduced their pay by 15%.
Plant 1. Chat about why reduced pay
Plant 2. No chat
Plant 3. No reduction
Expectancy Valance Theory
People are motivated to work when they expect they will be able to achieve and obtain things that they want from jobs.
+ Humans are rational, cognitive beings
+ Link rewards to job performance - institute pay for performance plan
+ Administer rewards with high positive valence to workers - cafeteria style benefit plan