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Summary Chapter 12 - Business Management 114
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Chapter 12 – Motivating and satisfying employeesand teams
Motivation – individual internal process that energizes and directs
the personal force that causes you to behave in a particular way.
Moral
Employees attitude or feelings towards his/her job
High Moral – leads to dedication, loyalty and a desire to do a
job well
Low Moral – Shoddy work, absenteeism and high turnover of
employees
Historical perspective in motivation
Scientific Management – using scientific principles to manage
workers
Price-rate system – employees are paid per unit output they produce
Maslow’s Hierarchy of needs
In descending order
1. Physiological Needs – required to survive
2. Safety needs – Physical and emotion. E.g job insurance, health
insurance etc.
3. Social Needs – Love and affection
4. Esteem Needs – require respect and recognition of others
5. Self-actualization – Need to grow and develop as a person
Herzberg’s Motivation – Hygiene theory
Satisfaction and dissatisfaction in different dimensions
Motivation factors – increases job satisfaction but doesn’t decrease
job satisfaction if its absent.
Hygiene factors – reduces dissatisfaction but doesn’t increase
satisfaction
Theory X vs. Theory Y
Theory X Theory Y
Attitude towards Dislike Involvement
work
Control Systems External Internal
Supervision Direct Indirect
Level of Low High
commitment
Employee Ignored Identified
, potential
Use on Human Limited Not Limited
resources
Views on motivation
Reinforcement theory – rewarded behavior will be repeated
Equity theory – People are motivated to obtain and preserve
equitable (reasonable) treatment for them.
Expectancy theory – Depends on how much we want
something and how likely we are to get it.
Goal setting theory – motivated to achieve goals set by them
and there managers together.
Key Motivating Techniques
Cheap and easy
Celebrating birthdays
Nominations for awards
Flexible work hours
Wash employees cars
Management by Objectives
Advantages
– Motivates employees by actively involving them
– Improves communication
– Makes employees feel like an important part of the
organization
– Periodic review enhances control
Disadvantages
– Only works if the process begins at the top of the organization
– Can result in excessive paperwork
– Some managers assign goals instead of collaborating on
creating them
Job enrichment - Motivation by giving employees variety of tasks as
well as responsibility surrounding their job.
Job enlargement – Expanding employees tasks by adding
similar tasks
Job redesign – work is restructured to fit individual employee
Behavior modification – systematic program of reinforcement to
encourage desirable behavior
1. Identify target behavior
2. Measure target behavior
3. Provide positive reinforcement for desired behavior
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