Business a changing world 7e by ferrell chap010

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Business in a
Changing World

Chapter 10

Motivating the Work Force

2
McGraw-Hill/Irwin

Copyright © 2009 by the McGraw-Hill Companies, Inc. All rights


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Amadeus Consulting: Where
Employees are the Company

Lisa Calkins and John Basso have created a company for which people are
motivated to work for the long term.

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Motivating the Workforce
Nature of Human Relations

What motivates employees to perform?
How can managers boost morale?
How do you maximize worker performance?
How can you encourage creativity and innovation?
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Motivating the Workforce

Nature of Human Relations

Determining what motivates employees to
perform on the job is the focus of human
relations.
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Motivating the Workforce

What is motivation?

•Motivation is an inner drive that directs a person’s behavior
toward goals.
•A goal is the satisfaction of a need
•A need is the difference between a desired state and the actual
state.
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Motivating the Workforce

The basic model of motivation
shows that when a need exists, an
individual engages in goal-directed
behavior designed to satisfy that
need.

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Motivating the Workforce

Human Relations

Morale – an employee’s attitude toward his or her job,
employer, and colleagues.
High Morale
•High levels of productivity
•High returns to stakeholders
•Employee loyalty
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Motivating the Workforce
High Morale
•High levels of productivity
•High returns to stakeholders
•Employee loyalty

Low Morale

•Absenteeism
•Lack of commitment
•High turnover

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Motivating the Workforce
Morale Boosters:
•Respect
•Involvement
•Appreciation
•Compensation
•Promotion
•Pleasant work environment
•Positive organizational culture
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Motivating the Workforce

Google’s focus on happy, committed employees -•Massage therapy
•Laundry service
•Gourmet meals & snacks

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Motivating the Workforce

Perceptions of Rewards

Intrinsic rewards – personal satisfaction derived
from goal attainment
Extrinsic rewards – benefits/recognition
received from someone else.
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Motivating the Workforce

Absenteeism costs a typical large
company more than $3 million a year!

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Classical Theory of Motivation

Money – sole motivator for workers.
Taylor & Gilbreth – scientific focus on work tasks &
productivity.
Satisfactory pay & job security – motivate
employees to work hard.
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Hawthorne Studies

Elton Mayo – postulated that physical conditions in

workplace stimulate productivity.
Productivity increased regardless of light levels
Hawthorne Effect – marks beginning of concern for
human relations in the workplace
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Motivating Employees by Being Green

Interface is a company that is a leader in
sustainable and environmentally sound practices.
Mission Zero involves all employees to reduce
environmental footprint to zero by 2020.
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Work-Life Balance

Primary reason for accepting position
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Theories of Employee Motivation
Colgate-Palmolive
provides new parents three
additional weeks of paid leave in
addition to the leave mandated
by the Family Leave Act.

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Maslow’s Hierarchy of
Needs

SelfActualization
Needs

Esteem Needs
Social Needs
Security Needs
Physiological Needs

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Maslow’s Hierarchy of Needs
Physiological needs – basic needs for food, water,
shelter
Security needs– protection from physical & economic
harm
Social needs – need for love, companionship
Esteem needs – self-respect and respect from others
Self-actualization – maximizing one’s potential
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Herzberg’s Two-Factor Theory
Hygiene factors – focus on the work setting not
the content of the work – wages, working

conditions, company policies, job security.
Motivational factors – focus on content of the work
itself – achievement, recognition, involvement,
responsibility, advancement

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Herzberg’s Two-Factor Theory

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McGregor’s Theory X and Theory Y
Theory X – Assumption that workers
generally dislike work and must be
forced to do their jobs.
Theory Y – Humanistic view of
management. Assumption workers
like to work and seek out responsibility
to satisfy social, esteem, and selfactualization needs.
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William Ouchi Theory Z

A management
philosophy that stresses
employee participation
in all aspects of

company decision
making

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