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Chapter 13 Motivating Employees.docx

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Rita Cossa

Chapter 13: Motivating Employees -Motivation: a person’s internal drive to act -Intrinsic Reward: the good feeling you have when you have done a job well -Extrinsic Reward: Something given to you by someone else as recognition for good work; extrinsic rewards include pay increases, praise and promotions -Scientific Management: Studying workers to find the most efficient ways of doing things and then teaching people those techniques -Time-Motion Studies: Studies, begun by Frederick Taylor, of which tasks must be performed to complete a job and the time needed to do each task -Principle of Motion Economy: Theory developed by Frank and Lillian Gilbreth that every job can be broken down into a series of elementary notions -Hawthorne Effect: the tendency for people to behave differently when they know they are being studied -Maslow’s Hierarchy of Needs: Theory of motivation that places different types of human needs in order of importance, from basic psychological needs to safety social and esteem needs to self-actualization needs -Motivators: In Herzberg’s theory of motivating factors, job factors that cause employees to be productive and that give them satisfaction -Hygiene (Maintenance) Factors: In Herzberg’s theory of motivating factors, job factors that can cause dissatisfaction if missing but that do not necessarily motivate employees if increased -Job enrichment: A motivational strategy that emphasizes motivating the worker through the job itself -Job enlargement: job enrichment strategy that extends the work cycle by adding related tasks to the job description -Job rotation: a job enrichment strategy that involves moving employees from one job to another -Goal-setting Theory: the idea that setting ambitious but attainable gaols can motivate workers and improve performance if the goals are accepted, accompanied by feedback, and facilitated by organizational conditions -Management by Objectives (MBO): A system of goal setting and implementation that involves a cycle of discussion, review, and evaluation of objectives among top and middle-level managers, supervisors and employees -Expectancy Theory: Victor Vroom’s theory that the amount of effort employees exert on a specific task depend on their expectations of the outcome -Reinforcement Theory: Theory that positive and negative reinforcements motivate a person to behave in certain ways -Equity Theory: The idea that employees try to maintain equity between inputs and outputs compared to others in similar positions -A manager’s main goal is to motivate the workers to keep them committed and productive since happy employees lead to happy customers which lead to a successful business -Keeping employees motivated and happy is not only beneficial to the business; it keeps the employees from leaving and decreasing the turnover rate, since there is a great amount of money that is used to train and hire the employee -Direct costs that are associated with losing an employee include: the time that it takes to hire the replacement (this includes the process, the paperwork, and the interview process) and the costs related to onboarding (and this includes orientation, training and new material and equipment) -Indirect costs are harder to calculate since the employee that left may have been part of a certain team within the organization and there is also the time that it will take for the new employee to catch up with the speed of things -When organization hire a certain worker, they are investing in the person since they are offering skills development, training and knowledge and when an employee leaves, it companies view the situation as if the employee took all that was invested in him/him and walked out the door with it -People are willing to work hard only if they feel the work they contribute is actually making a difference and people are motivated by intrinsic rewards which can be as simple as praise and compliments, and recognition and intrinsic rewards is the feeling that one gets when they have done a good job. -On the other hand some people are motivated by extrinsic rewards, which is something given to the person as recognition and this can include a pay raise, promotion. -Canadian Tire Financial Services Ltd. Have developed a program that helps with rewarding their employees and this program is called “Customer’s for Life”. The program recognizes and rewards employees that have demonstrated superior customer service and are given a plaque in their honour. Frederick Taylor: The Father of Scientific Management -Frederick Taylor, an American Efficiency Engineer, wrote the book The Principles of Scientific Management -the goal of the book was to increase worker productivity so that it would be beneficial to both the employees and the firm -Taylor wanted to scientifically study the most efficient ways to do things and find the “best” way to do the tasks and then teach the employees these methods and thus the term scientific management was coined (studying workers to find the most efficient ways of doing things and then teaching people those techniques). -The scientific management was based off of 3 elements: time, methods and rules of work and the scientific management has influenced McDonalds. McDonald’s has a set number of burgers that they expect the employees to flip -Time-motion studies were studies of the time that it took to perform a task and through these studies, people were able to develop the standard for every job -Taylor’s scientific management works was able to help increase productivity -Henry L. Gantt was a follower of Taylor and developed the principle of motion economy which analyzed each elementary motion of each action and see what could be done to make the action more efficient -Some people criticized the methods Taylor’s idea since it compared humans to machines and it was only concerned with the productivity of the people and not the psychological or human aspects of work. Elton Mayo and the Hawthorne Studies -discovered that human and psychological factors -They created a special room where employees could freely change the environmental factors of the room and they discovered that the employees that worked in the test room were thought of as a social group. The people in the special room also enjoyed the atmosphere that was created in the special room and along with the increased pay they were getting, their job satisfaction increased dramatically. -Hawthorne effect is referred to how people behave differently when they know that they are being watched. Mayo’s study found out that money was an ineffective motivator for the employees and that motivation was based of specifically of Abraham Maslow’s work Motivation and Maslow’s Hierarchy of Needs -Maslow believed that motivation arises from need and people are motivated so that they can satisfy these unmet needs. Any need that has been satisfied no longer provides motivation for the person -The main needs that Maslow discovered were: -Psychological Needs: Basic survival needs such as the need for food, water, shelter -Safety Needs: The need to feel secure at work and at home -Social Needs: The need to fee loved accepted and part of the group -Esteem Needs: The need for recognition and acknowledgement from others as well as self- respect and a sense or importance -Self-Actualization Needs: The need to develop to one’s fullest potential -When one need is satisfied, another higher-level need emerges and motivates the person to do something to justify it and the things that are satisfied are no longer a motivator Herzberg’s Motivating Factors -Psychologist Frederick Herzberg test checked to see what the most important motivating factors were and the top answers were: -Sense of achievement -Earned Recognition -Interest in the work itself -Opportunity for growth -Opportunity for advancement -Importance and Responsibility -Most of the motivating factors that Herzberg discovered were clustered around work content, since when workers felt that they were making a large enough contribution to the company -Herzberg also discovered that pay was not a big motivator, since the presence of high pay did not motivate the people to work harder; it only created high job satisfaction -Motivators in Herzberg’s study caused the employees to be more productive and gave them a great deal of satisfaction and some of these motivators included: work itself, achievement, recognition, growth and advancement. Most of the motivators had something to do with work content -On the other hand, hygiene factors (maintenance factors) were factors that could cause dissatisfaction if they were missing, but would not provide motivation and these include: supervision, working conditions, pay and job security -Herzberg concluded that the best way to keep employees motivated was to keep the job interesting -Applications of
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