Importance of Motivation

MANAGEMENT
ESSENTIAL- ELEMENTS OF
DIRECTION-MOTIVATION
Dr.B.SHANMUGA PRIYA
Planning Ahead —Key Takeaways
• Motivation – meaning and
• importance of motivation,
• extrinsic Vs. intrinsic,
• job twinning,
• work-life balance
• Explain how job designs and alternative work
schedules influence motivation
Individual Needs and Motivation
Motivation—the forces within the

individual that account for the level,
direction, and persistence of effort
expanded at work.
Individual Needs and Motivation
Needs
• Unfulfilled physiological and psychological
desires of an individual
• Explain workplace behavior and attitudes
• Create tensions that influence attitudes and
behavior
• Good managers and leaders facilitate employee
need satisfaction
• Global workers surveyed by Gallup report
• 13%-actively engaged
• 24%-disengaged
• 25%-American employers believe their
workers have low morale
• 40%- trouble staying motivated
IMPORTANCE OF MOTIVATION
Performance is a function of the interaction between an individual’s motivation, ability, and

environment. MOTIVATION (WILLINGNESS)
IMPORTANCE OF MOTIVATION
• Puts human resources into action
• Building willingness in employees to work. This will help the

enterprise in securing best possible utilization of resources
• Improves level of efficiency of employees
a. Increase in productivity,
b.Reducing cost of operations, and
c.Improving overall efficiency.
• Leads to achievement of organizational goals
• The goals of an enterprise can be achieved only when the
following factors take place :-
a.There is best possible utilization of resources,
b.There is a co-operative work environment,
c.The employees are goal-directed and they act in a purposive
manner,
d.Goals can be achieved if co-ordination and co-operation takes
place simultaneously which can be effectively done through
motivation.
• Builds friendly relationship
Bring employee satisfaction
a.Monetary and non-monetary incentives,
b.Promotion opportunities for employees,
c. Disincentives for inefficient employees.
• In order to build a cordial, friendly atmosphere in a concern, the above steps should
be taken by a manager. This would help in:
i. Effective co-operation which brings stability,
ii. Industrial dispute and unrest in employees will reduce,
iii.The employees will be adaptable to the changes and there will be no resistance to
the change,
iv.This will help in providing a smooth and sound concern in which individual interests
will coincide with the organizational interests,
v. This will result in profit maximization through increased productivity.
• Leads to stability of work force
• point of view of reputation and goodwill of a concern
• Needs, wants and desires are inter-related (continuous
process)
• Motivation is important to an individual as:
1.Motivation will help him achieve his personal goals.
2.If an individual is motivated, he will have job satisfaction.
3.Motivation will help in self-development of individual.
4.An individual would always gain by working with a dynamic team.
• Similarly, motivation is important to a business as:
1.The more motivated the employees are, the more
empowered the team is.
2.The more is the team work and individual employee
contribution, more profitable and successful is the business.
3.During period of amendments, there will be more
adaptability and creativity.
4.Motivation will lead to an optimistic and challenging attitude
at work place.
Generational differences in
Extrinsic and Instrinsic work values (Chapter 16)
 Leisure is more important to Millennials than to Baby Boomers or Gen Xers
 Millennials value extrinsic rewards more than Baby Boomers but less than Gen Xers
 Millennials value instrinsic rewards less than Baby Boomers but less than Gen Xers
 Social interactions at work (social rewards) are less important to Millennials than to
Baby Boomers and Gen Xers
 Altruistic rewards were equally valued across all generation

Motivation and Job Design
Job design
• The process of arranging work tasks for
individuals and groups
• Jobs should be designed so that both
performance and satisfaction result
Job simplification
• Standardizing work procedures and
employing people in well-defined and highly
specialized tasks
• Simplified jobs are narrow in job scope and
low in job depth
• Automation
• Total mechanization of a job
• Most extreme form of job simplification
Potential advantages of Potential disadvantages of
job simplification: job simplification:
• Easier and quicker • Productivity suffers
training of workers • Cost increases due to
• Workers are less difficult absenteeism/ turnover
to supervise of unhappy workers
• Workers are easier to • Poor performance may
replace result from worker
• Development of boredom/ alienation
expertise in doing
repetitive tasks
Job rotation and job enlargement:

• Expands job scope
• Job rotation
• Increases task variety by periodically shifting
workers among jobs involving different task
assignments
• Job enlargement
• Increases task variety by combining two or more
tasks previously assigned to separate workers
• Horizontal loading
Job enrichment
• Building more opportunities for satisfaction
into a job by expanding its content
• Increases job depth by adding work planning
duties normally performed by a supervisor
Focuses attention on the extent to which five core
job characteristics are present in a job:
• Skill variety
• Task identity
• Task significance
• Autonomy
• Feedback
Figure 16.6 Job design essentials using the job
characteristics model
How to improve core job characteristics:
• Form natural units of work
• Combine tasks
• Establish client relationships
• Open feedback channels
• Practice vertical loading
Alternative Work Schedules: Flexible

working hours
• Any work schedule that gives employees
some choice in the pattern of their daily work
hours
• Core time — all employees must be at work
• Flextime — allows employees to schedule around
personal and family responsibilities
Potential benefits of flexible working hours:
• People have greater autonomy in work
scheduling while ensuring maintenance of
work responsibilities
• Organizations can attract and retain
employees who have special non-work
responsibilities
• Worker morale may be improved
Alternative Work Schedules: Compressed
workweek
• Allows a full-time job to be completed in less
than the standard 5 days of 8-hour shifts
• Benefits — more leisure time, lower commuting
costs, lower absenteeism, and potentially
improved performance
• Disadvantages — increased fatigue, family
adjustment problems, increased scheduling
problems
Alternative Work Schedules:

Job sharing/twinning
• One full-time job is split between two or more
persons
• Potential advantages of job sharing:
organizations benefit by employing talented
people who are unable/unwilling to commit
full-time
Alternative Work Schedules:
Telecommuting
• A work arrangement that allows a portion of
scheduled work hours to be completed
outside of the office
• Hoteling
• Virtual offices
• Potential advantages of telecommuting:
• Freedom from
• Constraints of commuting
• Fixed hours
• Special work attire
• Direct contact with supervisors
• Increased productivity
• Fewer distractions
• Being one’s own boss
• Having more personal time
Motivation and Job Design?
Potential disadvantages of telecommuting:
• Working too much
• Having less personal time
• Difficulty in separating work and personal life
• Less time for family
• Feelings of isolation
• Loss of visibility for promotion
• Difficulties supervising work-at-home employees
from a distance
• Contingency workers
• Part-time workers who supplement the full-
time workforce, often on a long-term basis
• Part-time work
• Work done on any schedule less than the
standard 40-hour workweek and does not
qualify person as a full-time employee
Implications of part-time work:
• Provides employers with flexibility in
controlling labor costs and dealing with
cyclical labor demands
• Temporary workers may lack commitment
and be less productive
• Contingency workers are often paid less and
don’t receive important fringe benefits
Maintaining a Quality Workforce
• Work-life balance (successfully nurtured, supported and
retained)
• How people balance career demands with personal and family
needs
• Progressive employers support a healthy work-life balance
• Family-friendliness of an employer screening criterion by job

candidates.
• Work-life balance is enhanced when workers have flexibility in
scheduling work hours, work locations, and even vacations and
personal time off.
• Studies show that those employees who have job designs that include
flexible work hours and
other alternate work schedules are less likely to leave their jobs
Health care company Pfizer encourages employee to customize their work schedules
jobs.
Helping workers handle family matters through initiatives elder care, concierge
services (org. offers personal assistance to almost on all aspects-dry cleaning.
• Innovative programs like work sabbaticals-FedEx, Genetech, Patagonia, and

General Mill
• Compensation and benefits

• Base compensation
• Salary or hourly wages
Merit pay
• Awards a pay increase in proportion to
individual performance contributions
• Provides performance contingent
reinforcement
• Bonus pay plans
– One-time payments based on the
accomplishment of specific performance
targets or some extraordinary contribution
• Profit-sharing plans
– Some or all employees receive a proportion
of net profits earned by the organization
• Gain-sharing plans
– Groups of employees share in any savings
realized through their efforts to reduce costs
and increase productivity
• Employee stock ownership plans
• Employees purchase company stock directly
through employer, sometimes at a discount
• Stock options
• Employees have the right to purchase
company stock at a fixed price in the future
as a performance incentive
Benefits
Non-monetary forms of compensation
Required
Social security
Unemployment insurance
Worker’s compensation
Not required
Health insurance
Retirement plans
Paid time off
• Flexible benefits
• Allow employees to choose from a set of benefits
• Family-friendly benefits
• Help in balancing work and nonwork responsibilities
• Employee assistance programs
• Help employees deal with troublesome personal
problems
Early retirement
Financial incentive offered to employees who retire
early
Termination
Involuntary dismissal of an employee
Employment-at-will
Employees can be terminated at any time for any
reason
Wrongful discharge
Workers have legal protection from discriminatory
firings
Labor-management relations
Labor unions deal with employers on the
workers’ behalf
A labor contract is a formal agreement
between a union and an employer about the
terms of work for union members
Collective bargaining
Process of negotiating, administering and
interpreting a labor contract
Wages
Other
conditions of Work hours
employment
Labor
contracts
may
Grievances determine Work rules
Hiring Seniority

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MANAGEMENT

Motivation—the forces within the

Performance is a function of the interaction between an individual’s motivation, ability, and

• Building willingness in employees to work. This will help the

 Altruistic rewards were equally valued across all generation

Job rotation and job enlargement:

Alternative Work Schedules: Flexible

Alternative Work Schedules:

• Family-friendliness of an employer screening criterion by job

flexible work hours and

• Innovative programs like work sabbaticals-FedEx, Genetech, Patagonia, and

• Compensation and benefits

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