OB11 chapter 07 motivation from concept to applications

eleventh

organizational
ior

editi
on

behav

stephen p. robbins


Chapter 7

Motivation:
From Concept to
Applications
ORGANIZATIONAL BEHAVIOR
S T E P H E N P. R O B B I N S
E L E V E N T H
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E D I T I O N

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PowerPoint Presentation
by Charlie Cook

OBJECTIVES
LEARNING

After studying this chapter,
you should be able to:
1. Identify the four ingredients common to MBO
programs.
2. Explain why managers might want to use
employee involvement programs.
3. Contrast participative management with
employee involvement.
4. Explain how ESOPs can increase employee
motivation.
5. Describe how a job can be enriched.
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7–3


O B J E C T I V E S (cont’d)
LEARNING

After studying this chapter,
you should be able to:
6. Compare the benefits and drawbacks to
telecommuting from the employee’s point of
view.
7. Contrast gainsharing and profit sharing.

8. Describe the link between skill-based pay
plans and motivation theories.
9. Explain how flexible benefits turn benefits into
motivators.
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7–4


What
What is
is MBO?
MBO?
Management by Objectives (MBO)
A program that encompasses specific goals,
participatively set, for an explicit time period,
with feedback on goal progress.
Key
KeyElements
Elements
1.
1. Goal
Goalspecificity
specificity
2.
2.
3.
3.

Participative
Participativedecision
decisionmaking
making
An
Anexplicit
explicittime
timeperiod
period

4.
4. Performance
Performancefeedback
feedback
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7–5


Cascading
Cascading of
of Objectives
Objectives

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E X H I B I T 7–1
E X H I B I T 7–1

7–6


Linking
Linking MBO
MBO and
and Goal-Setting
Goal-Setting Theory
Theory
MBO

Goal-Setting Theory

Goal Specificity

Yes

Yes

Goal Difficulty

Yes

Yes

Feedback

Yes

Yes

Participation

Yes

No
(qualified)

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7–7


Why
Why MBO’s
MBO’s Fail
Fail
 Unrealistic expectations about MBO results
 Lack of commitment by top management
 Failure to allocate reward properly
 Cultural incompatibilities

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7–8

Employee
Employee Recognition
Recognition Programs
Programs
 Types of programs
– Personal attention
– Expressing interest
– Approval
– Appreciation for a job well done

 Benefits of programs
– Fulfill employees’ desire for recognition.
– Encourages repetition of desired behaviors.
– Enhance group/team cohesiveness and motivation.
– Encourages employee suggestions for improving
processes and cutting costs.

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7–9


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From the Wall Street Journal, October 21, 1997. Reprinted by permission of Cartoon Features Syndicate.

E X H I B I T 7–2
E X H I B I T 7–2

7–10


What
What is
is Employee
Employee Involvement?
Involvement?
Employee Involvement Program
A participative process that uses the entire capacity
of employees and is designed to encourage increased
commitment to the organization’s success.

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7–11


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Source: Courtesy of Phoenix Inn Suites.

E X H I B I T 7–3
E X H I B I T 7–3

7–12

Examples
Examples of
of Employee
Employee Involvement
Involvement Programs
Programs
Participative Management
A process in which subordinates share a significant
degree of decision-making power with their
immediate superiors.

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7–13


Examples
Examples of
of Employee
Employee Involvement
Involvement Programs
Programs
(cont’d)
(cont’d)
Representative
Participation
Workers participate in
organizational decision

making through a small
group of representative
employees.

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Works Councils
Groups of nominated or elected
employees who must be
consulted when management
makes decisions involving
personnel.
Board Representative
A form of representative
participation; employees sit on
a company’s board of directors
and represent the interests of
the firm’s employees.

7–14


Examples
Examples of
of Employee
Employee Involvement
Involvement Programs
Programs
(cont’d)

(cont’d)
Quality Circle
A work group of employees who meet regularly
to discuss their quality problems, investigate
causes, recommend solutions, and take
corrective actions.

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7–15


Examples
Examples of
of Employee
Employee Involvement
Involvement Programs
Programs
(cont’d)
(cont’d)
Employee Stock Ownership Plans (ESOPs)
Company-established benefit plans in which
employees acquire stock as part of their benefits.

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7–16

Linking
Linking EI
EI Programs
Programs and
and Motivation
Motivation Theories
Theories

Theory
TheoryYY

Participative
Participative
Management
Management

Employee
Employee
Involvement
Involvement
Programs
Programs

Two-Factor
Two-Factor
Theory
Theory
Intrinsic
Intrinsic

Motivation
Motivation

ERG
ERGTheory
Theory
Employee
Employee
Needs
Needs

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7–17


Job
Job Design
Design and
and Scheduling
Scheduling
Job Rotation
The periodic shifting of a worker
from one task to another.
Job Enlargement
The horizontal expansion
of jobs.
Job Enrichment
The vertical expansion of jobs.

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7–18


Guidelines
Guidelines for
for Enriching
Enriching aa Job
Job

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Source: J.R. Hackman and J.L. Suttle, eds., Improving Life at Work (Glenview, IL: Scott Foresman, 1977), p. 138.

E X H I B I T 7–4
E X H I B I T 7–4

7–19


Work
Work Schedule
Schedule Options
Options
Flextime
Employees work during a common core time period
each day but have discretion in forming their total

workday from a flexible set of hours outside the core.
Job Sharing
The practice of having two or more people split a
40-hour-a-week job.

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7–20


Example
Example of
of aa Flextime
Flextime Schedule
Schedule

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E X H I B I T 7–5
E X H I B I T 7–5

7–21


Work
Work Schedule
Schedule Options
Options

Telecommuting
Employees do their work at home on a computer
that is linked to their office.

Categories
Categoriesof
oftelecommuting
telecommutingjobs:
jobs:
• • Routine
Routineinformation
informationhandling
handlingtasks
tasks
• • Mobile
Mobileactivities
activities
• • Professional
Professionaland
andother
otherknowledge-related
knowledge-relatedtasks
tasks

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7–22

Telecommuting
Telecommuting
 Advantages
– Larger labor pool
– Higher productivity
– Less turnover
– Improved morale
– Reduced office-space
costs

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 Disadvantages
(Employer)
– Less direct
supervision of
employees
– Difficult to
coordinate teamwork
– Difficult to evaluate
non-quantitative
performance

7–23


Variable
Variable Pay
Pay Programs

Programs
Variable Pay Programs
A portion of an employee’s pay is based on some
individual and/or organization measure of
performance.
• Piece rate pay plans
• Profit sharing plans
• Gain sharing plans

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7–24


Variable
Variable Pay
Pay Programs
Programs (cont’d)
(cont’d)
Piece-rate Pay Plans
Workers are paid a fixed sum for
each unit of production completed.
Profit-Sharing Plans
Organizationwide programs that distribute
compensation based on some established formula
designed around a company’s profitability.
Gain Sharing
An incentive plan in which improvements in group
productivity determine the total amount of money

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2005
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is allocated.
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7–25