Flashcards
Chapter 11: Motivation
Cards in this deck (53)
- 1MotivationThe internal and external factors that stimulate people to take actions that lead to achieving a goal.
Motivation levels have direct impact on level of productivity thus competitiveness of the business. Motivated staff less likely to leave business = less labor turnover costs. - 2What are the indicators of low staff motivation? 7- Absenteeism
- Lateness
- Poor performance
- Accidents
- Labor turnover
- Grievances/ disputes
- Poor response rate - 3What are the gains from motivated staff? 8- Low absenteeism
- Prepared to accept responsibility
- Works more innovative
- More pleasant working environment
- More worker cooperation
- Make suggestions for improvement
- High productivity
- Low labor turnover - 4What are the 6 motivational theories?Taylor and scientific management
Mayo and hte Human Relations Theories
Maslow and the Hierarchy of Human Needs
Herzberg and the 2 factor theory
McClelland and motivaitonal needs theory
Vroom and expectancy theory - 5Describe yalor and scientfic managmetn. What did taylor belive in? What aere the results?How to improve output per worker or productivity: identify quickest method and train all workers in quickest method and don’t let them to change it and supervise to make sure doing in set way in set time. Pay workers on basis on results. Taylor believed in economic man – man motived by money alone. Wage levels based on output – piece rate. However can only be done if work measurable – if not then how can pay more?
Results: industrial leaders – greater profits by increasing efficiency and production. Worker leaders – suspicious – believed more work but no more pay. Flow line production/mass, too simplistic, many other factors. Economic man: select right people for each job and observe and record performance of staff method – study best way of job use piece work payment system - 6How are taylors approach viewd today? 7- Some managers believe just money is general view – range of needs - disagree
- Careful staff selection for all businesses – agrees with Taylor
- Often but with cooperation ad involvement of staff – time and motion study agree and disagree
- Efficiency importance - agree
- Taylor with no discussion now worker participation encouraged – disagree ish
- Now widely used payment system - disagree
- Many place difficult to identify output of individual output - disagree - 7Describe Mayo and human relations tehories What were the concludsions of his work? 5Initially based on assumption working conditions – light, heat… had effect on workers’ productivity. However after experiments: working conditions in themselves not that important in determining productivity levels, other motivational factors needed to be investigated before drawing up conclusion. Conclusions of Mayo’s work:
a. Changes in working conditions and financial rewards have little or no effect on productivity
b. When management consult with workers and take interest in their work, motivation is improved
c. Working in teams and developing a team spirit can improve productivity
d. When some control of workers own working lives ie when taking break – a positive motivational effect
e. Groups can establish own targets – can be influenced by informal leaders of the group. - 8What is the evaluation of mayor reasearch for todays bueisnses? 3- Increase participation – giving workers more role in decision making
- More team working/group working
- Involves workers, taking interests in their welfare and finding out their goals - 9What is maslow and the hierachy of needs concerned with? What are the hierarchy levels?concerned with trying to identify and classify main human needs:
a. Self-actualisation: reaching full potential, fell fulfilled with work – challenging work that stretches individual – sense of achievement, opportunity to develop and apply new skills will increase potential
b. Esteem needs: respect, status, recognition, advancement, responsibility
c. Social needs: trust, acceptance, friends – make workers feel involved – ensure good communication
d. Safety needs: protection, job security, health and safety – contract of employment
e. Physical needs: food, shelter, water, rest – income to meet essential needs - 10How is the hierachy interpreted by Maslow? 9- Individuals need to start at lowest level
- Once one level achieved, human will strive for next level
- Self-actualisation – not reached by many people but everyone capable of reaching their potential
- Once need been satisfied will no longer motivate them
- Reversion is possible – can move down
Limitations of Maslow’s approach:
- Not everyone has some needs as assured by hierarchy
- Difficult to identify degree to which each need has been met and level each work is on
- Money necessary to satisfy needs but also play role in other levels ie status and esteem
- Self-actualisation is never permanently achieved – job must offer challenges - 11What is Herzbergs 2 facotr theory. What are the conclusions? What are the 5 main facotrs called of each?based around questionnaires and interviews with intention of discovering: factors that led to them having good feelings about their jobs, factors led them to have negative feelings of their jobs. Conclusions:
a. Job satisfaction resulted from 5 main factors: achievement, recognition for achievement, work itself, responsibility and advancement. Called these factors motivators. Consider last 3 most important.
b. Job dissatisfaction also resulted from 5 main factors: company policy and administration, supervision, salary, relationships with others and working conditions. Termed these hygiene factors – factors that surround the job rather than work itself – them by themselves wouldn’t create well-motivated workforce. - 12Herzberg's 2 factor theory for todays businesses 3 Evaluation of herzbergs work 21.Pay and working conditions can be improved and will help remove work dissatisfaction but not on own, provide conditions for motivation. Pay doesn’t motivate people just moves.
2.Motivators need to be in place for workers to work willingly and bets. Could be by principles of job enrichment. 3 main features:
a.Complete units of work – should be assigned to workers – may involve teams – should be sub-assemblies of manufactured goods – motivated to do good job – give good job
b.Feedback on performance – make want to achieve more
c.Range of tasks – give challenges and stretch individual – ties in with self-actualisation in Maslow
3.Could offer higher pay, improve working conditions and less hard supervision – help remove dissatisfaction but be quickly taken for granted. Need to be interesting rewarding or challenging or else no apy will motivate
Evaluation of Herzberg’s work: teamwork now more widespread – whole units; workers tend to be more responsible for quality of own work rather than closely supervised; allowing 2 way communication – improve efficiency. - 13McClelland an motivaional needs theory best knwonw for describing 3 types of motivaitonal needs. What are these?1. Achievement motivation – person with strong motivational need for achievement will seek to reach realistic and challenging goals and job advancement – need for sense of accomplishment – need feedback – common characteristics of successful business people and entrepreneurs
2. Authority/power motivation – desire to control others – need to be influential, effective and make impact – strong leadership instinct – brings personal status and prestige
3. Affiliation motivation – need for affiliation as strongest motivator has need for friendly relationships and motivated towards interaction with others, tend to be good team members – need to be liked.
All 3 found in all workers - 14Process Theoriesfocus on how and why people chose behaviours to meet needs. One of best known as Victor Vroom – thought processes on why people choose behaviours.
- 15What is Vroom and the expecancy theory? How can individuals be motivated?Suggested people choose to behave in ways they believe will lead to outcomes they value. Individuals have different goals and can be motivated if believe:
a. There is positive link between effort and performance
b. Favourable performance will result in desirable reward
c. Desire to satisfy need strong enough to make effort worthwhile
d. Reward will satisfy an important need - 16What are hte 3 beliefs that Vrooms expectancy theory is based on?1. Valence – depth of want of employee for extrinsic reward (money) or intrinsic (satisfaction)
2. Expectancy – degree which people believe putting effort into work will lead to given level of performance
3. Instrumentality – confidence of employees that they’ll get what they desire – an increased performance will lead to a certain outcome
Vroom believes if one condition missing workers won’t have motivation to do well - 17How useful are motivaitonal theories?provide starting point and frame work for analysing and discussing main motivational issues. Pay is necessary to encourage work effort.
- 18Self-actualisationA sense of self-fulfilment reached by feeling enriched and developed by what one has learned and achieved.
- 19Motivating Factors (motivators)Aspects of a workers job that can lead to positive job satisfaction, such as achievement, recognition, meaningful and interesting work and advancement at work.
- 20Hygiene FactorsAspects of a workers job that have the potential to cause dissatisfaction, such as pay, working conditions, status and over-supervision by managers.
- 21Job EnrichmentAims to use full capabilities of workers by giving them the opportunity to do more challenging and fulfilling work.
- 22What are the most common payment systems? 7- Hourly or time based wage rate
- Piece rate
- Salary
- Commission
- Performance-related pay and bonuses
- Profit sharing
- Fringe benefits - 23Time Based Wage RatePayment to a worker made for each period of time worked eg one hour.
Most common way of paying non-management workers, often paid weekly, not linked to level of output or effort. - 24Piece ratePayment to a worker for each unit produced.
Depends on quantity - 25What are hte advantages 2 of piece rate and disadvantages 4Advantages:
- Encourage greater effort and faster working
- Labour costs for each unit determined in advance – helps set price for product
Disadvantages:
- Requires output to be measureable – if each product different and not measurable, may lead to falling quality and safely levels as workers rush
- Workers may settle for certain pay level and not be motivated to produce more than that level
- Provides little security over pay level
- Workers discouraged from accepting change – may result in loss of pay - 26SalaryAnnual income that is usually paid on a monthly bases.
-Fixed each year – not dependent on hours worked or piece rate – determine status - 27What are the advantages of salaries? 5-Security of income
-Gives status compared to price rate or time-rate
-Aids in costing – won’t change in a year
-Suitable where output isn’t measurable
-Suitable when extra time expected ie managers - 28What are the diadvantages of salaries? 3-Income not related to effort levels of productivity
-May lead to complacency of salary earner
-Regular appraisal may be needed to asses whether an individual should be moved up a salary band – could be positive from of work appraisal - 29Commission What are advantages and disadvantages?Payment to a sales person for each sale made.
Can make 100% of total income –reducing security or be addition to base salary. Same advantages and disadvantages as piece rate except instead of low quality can be replaced by risk sales staff try too hard to sell item and put bad view of a company and discourages team work. Dis – worker usually have low basic pay so if make low sales – house money be lower. - 30Bonus Give disadvantagepayment made in addition to the contracted wage or salary.
Based on a goal agreed by managers and workers (or trade unions). Motivate workers to reach target. Dis – difficult to assess if output not measurable. - 31Performance-related Pay PRPA bonus scheme to reward staff for above – average work performance.
- 32What does PRP require? 6 Usually in addtion to salary- Regular target –setting, establishing specific objectives for the individual
- Annual appraisals of workers performance against pre-set targets
- Paying bonus according to degree which targets have been exceeding
- Can also be for teams or even departments
- Mostly inadequate – Herzberg motivators wouldn’t be satisfied
- Could lead to favouritism if managers give bonus – ability to control staff. - 33What are the advantages of PRP? 3-Staff motivated to improve performance if seeking an increase in financial rewards
-Target setting – can help purpose and direction of work
-Annual appraisal – allows feedback on performance but only 1 per year – not sufficient for job enrichment - 34What are the disadvantages of PRP? 4-Can fail to motivate staff not driven by financial extra need
-Team spirit can be damaged by rivalry generated by competitiveness nature
-Claims of manager favouritism can harm manager-subordinate relations
-May lead to more control over staff by managers - 35Profit SharingA bonus for staff based on profits of business – usually paid as proportion of basic salary.
- 36What are the advantages of profit sharing? 5-Potential conflicts between owners and workers reduced as everyone has interest in higher profits
-Designed to increase worker effort levels and preparedness to accept cost reductions that benefit the business
-Business likely to attract better recruits – wanting to own shares
-Bonuses paid out of profits – doesn’t had business costs
-If increase motivation – increase in overall business profitability - 37What are the disadvantages of profit sharing? 6-Reward not closely related to individual effort
-Schemes can be costly to set up and operate especially large firms
-Small profits shares paid at end of year unlikely to motivate through the year
-Will reduce profits available to owners and to reinvest in business
-Can increase total number of shares issued and dilute value of existing shares
-In practice many workers sell shares – less long term motivation - 38Fringe BenefitsBenefits given, separate from pay by an employer to some or all employees.
non-cash forms of reward ie company car, free insurance, health insurance..
Gives status to higher-level employees and to recruit and retain best staff. Some are taxed, bus tome aren’t and give employees an added benefit – pay less tax if got fringe benefits instead of cash – won’t have to increase pay. Free health care= less sick days – actually helps business. - 39What are hte non-financial methods of motivaiton? 13- Job rotation
- Job enlargement
- Job enrichment
- Job redesign
- Training
- Quality circles
- Worker participation
- Team-working
- Target-setting
- Delegation
- Empowerment
- Promotion
- Recognition - 40Job RotationIncreasing the flexibility of employees and the variety of work they do by switching from one job to another. (Doesn’t increase empowerment or responsibility)
- 41Job EnlargementAttempting to increase the scope of a job by broadening or depending the tasks undertaken. Can include job rotation and enrichment.
- 42Job Enrichment. Herzberg foundsation. What are the 3 key features?Involves reduction of direct supervision as workers take more responsibility for work and allowed some degree of decision-making authority. Herzberg foundation 3 key features:
- Complete units of work so that the contribution of the worker can be identified and more challenging work offered ie cell production
- Direct feedback on performance to allow each worker to have awareness of own progress
- Challenging tasks offered as part of a range of activities, tasks will require training and learning of new skills. Gaining further skills and qualifications is a form of gaining status and recognition. - 43Job RedesignInvolves the restructuring of a job – usually with employees’ involvement and agreement – to make work more interesting, satisfying and challenging.
Linked to job enrichment – lead to more rewarding work – can increase chances of promotion due to wider skills - 44trainingimproving and developing employee’s skills is important motivator: increases worker status and gives better chance of promotion to more challenging and probably higher paying jobs. May make want to stay with business – fell developed and appreciated. However, can lead to leaving business as now more qualified to work for other companies.
- 45Quality Circles advantages 4 What are hte diadvantages? 6Voluntary groups of workers who meet regularly to discuss work-related problems and issues.
Originated in Japan, not just concerned with quality. Not formally led – all workers encouraged to contribute – communication, problem-solving, job satisfaction, improved quality, item building, increase moral. Results from quality circle are presented to managers and implemented if successful ideas. Workers usually paid for attending and most successful circles may be rewarded a team prize. Disadvantages: management resistance, time constraints, lack of interest, poor training, bad implementation, union opposition. - 46Worker Participations give disWorkers are actively encouraged to become involved in decision-making within the organisation.
At strategic decision making workers could participated by electing a worker director or selecting representatives to speak for employees at work council meetings. Dis – time consuming - 47Team WorkingProduction is organised so groups of workers undertake complete units of work.
- 48What are the advantages of team wokring? 5-Workers likely to be more motivated as social and esteem needs met and maybe job enrichment
-Better motivated staff – increase productivity and reduce labour costs
-Team working- fuller use of all talents of workforce, better solutions to problems if formed by those closet to work
-Can reduce management costs – fewer middle managers – delayering
-Complete units of work can be given to teams key feature of job enrichment - 49What are the disadvantages of team wokring? 4-Not everyone team player – some work better alone – must encourage all or else some may feel left out
-Teams can develop set of values and attitudes which may conflict with business
-Teams need goals and assessment to make sure working towards business goal
-Introduction to team – working will require training costs and may be disruption to production as teams established - 50What does target setting, delegation and empowerment enable.Target setting: enable feedback on performance with agreed objectives – more likely to do well when have goal.
Delegation and empowerment: allow staff degree of control over how tasks should be taken. - 51Evaluation of pament sytems and non-fiancial motiaotnl methods 2 of managers- Managers need to be flexible and adapt to methods to motivate staff in particular circumstances
- Manager culture motivate and business culture - 52Intrinsic motivation extrinsic motivationIntrinsic motivation – individual feel self-motivated through completing a task
Extrinsic motivation – reward or punishment motivation - 53Factors to consider with financial motivaiton? 4- Employment legislation ie minimum wage
- Recruitment and retention – competing salaries
- Extent to which pay should be linked to performance
- Individual vs team incentives
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- A Level AS Business (Unit 2: People in Organisations) Flashcards on Chapter 11: Motivation, created by HRYN red on 16/04/2022.
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