Performance Management Techniques

Question 1

Motivation

Answer 1

Refers to the psychological process that gives a purpose and direction to human behavior.

Question 2

Motivation theories

Answer 2

Are generalizations about the why and how of purposeful behavior.

Question 3

Goal of motivation

Answer 3

Is to move individual employees toward achieving organizational objectives, including job performance,

Question 4

Job Performance

Answer 4

= Ability (skills and competence) x Motivation (willingness to work hard)

Question 5

Ability and skills are acquired through

Answer 5

education, training, and on-the-job experience.

Question 6

Individuals motivational factors are affected by

Answer 6

challenging work, rewards, and participation.

Motivation factors are both inborn and learned.

Question 7

Four popular motivation theories

Answer 7

1) Maslows needs hierarchy
2) Herzberg’s two-factor theory
3) Expectancy Theory
4) Goal-setting Theory

Question 8

Maslows Needs Hierarchy Theory

Answer 8

Focuses on 5 needs structured as a hierarchy
It includes physiological, safety, love, esteem, self-actualization.
Individuals proceed up the hierarchy, one level at a time.
Higher needs emerge as lower needs are met.
A fulfilled need does not motivate. An unfulfilled need motivates behavior.
Deficiency of theory - which higher needs come into play after the lower ones are satisfied and the order cant be predicted.
Most people simultaneously motivated by several of the same-level needs.
Individual perception is secondary.
This theory failed under actual testing,

Question 9

Herzberg’s Two Factor Theory

Answer 9

Based on employee satisfaction
A satisfied worker is motivated from within to work harder and a dissatisfied employee is not self-motivated.
Two factors are satisfiers and dissatisfiers
Dissatisfied - company policy and admin, supervision, relationship with supervisors, peers, work conditions, salary, personal life, status, security.
Satisifiuers - achievement, recognition, work itself, responsibility, advancement, growth
The elimination of the dissatisfaction is not the same as motivating.
Believed that money was a weak motivation tool, at best can only eliminate dissatisfaction.
To satisfy and motivate employees meaningful interesting and challenging work is required.
Critics argue that his theory is weak on an empirical basis and individuals perception was secondary. Also argued that one person’s dissatisfier may be another satisfier.
Hertzberg’s biggest contribution is the motivating potential for enriched work.

Question 10

Expectancy Theory

Answer 10

Individual perception is central to expectancy theory.
It is based on the assumption that motivational strength is determined by perceived probabilities of success
The focus of the model is - one’s motivational strength increases as one’s perceived effort - performance and performance-reward probabilities increase.
The theory has received empirical support from researchers - effort - performance - reward
Employees tend to work harder when they believe they have a good chance of getting personally meaningful rewards.

Question 11

Goal-setting theory

Answer 11

Goal setting is the process of improving individual or group job performance with clear objectives and high standards.
An example is a Management by Objectives (MBO)

Question 12

Management by Objectives

Answer 12

Organizational goals can be better achieved if the goals of superiors and subordinates are integrated with organizational goals.

Question 13

MBO Characteristics

Answer 13

1) Organisational common goals and measure so f the achievement of those goals are fully complied with
2) If necessary the org structure is changed
3) Each superior confers with each subordinate on the subject of the subordinates’ goals
4) The superior and subordinate must agree on the subordinates goals and the criteria for achieving the goals
5) The subordinate must be given feedback on the achievement of the goals based on the criteria established
6) The performance of the subordinate must be reviewed
7) The performance of the organization must be reviewed periodically

Question 14

When implementing MBP, the following problems/barriers may occur:

Answer 14

1) Unity of command must be achieved
2) Managers must change to a democratic style of leadership
3) Accomplishment of goals that are not quantifiable may be difficult to measure

Question 15

Advantages of MBO

Answer 15

1) Improves communication between superiors and subordinates
2) Performance evaluation relatively easier due to established criteria
3) Room for innovation and creativity
4) Results in fewer or no surprises to managers.

Question 16

Disadvantages of MBO

Answer 16

1) Opposition by managers for employee participation
2) Suboptimization can occur - difficulty in reaching agreement on goals
3) Learning is on a trial-and-error basis
4) The imposition of external factors on employee goals without full control obver them