PHK 5e Ch10

10
Motivating
Satisfying
Employees and
Teams
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Learning Objectives
10-1 Explain what motivation is.

10-2 Understand some major historical
perspectives on motivation.
10-3 Describe three contemporary views of
motivation: equity theory, expectancy theory,
and goal-setting theory.
10-4 Explain several techniques for increasing
employee motivation.
10-5 Understand the types, development, and uses
of teams.
1
What Is Motivation?
The individual internal

process that:
• Energizes
• Directs
• Sustains behavior
Morale
An employee’s feelings about:

• His or her job
• Superiors
• About the firm itself
Satisfaction High Morale

Job
of needs
2
Scientific Management
§ Scientific management: the application of

scientific principles to management of work and
workers
§ Frederick W. Taylor
• Observed that workers “soldiered” because they
feared losing their jobs if there was no work
• Led to development of scientific management
• Ideas also lead to the piece-rate system
• Determine the job output to expect
• Choose and train the best person for each job
• Cooperate with workers
Piece-rate System
Compensation system under which employees

are paid a certain amount for each unit of output
they produce
The more The more

a person he or she
produces should be
paid
3
Taylor’s Piece-Rate System
The Hawthorne Studies
§ Conducted by Elton Mayo between 1927

and 1932
§ Determined the effects of the work environment
on employee productivity
• 1st experiment—Productivity of both groups
increased after lighting was varied in the
workplace
• 2nd experiment—Workers under a piece-rate
system produced at constant rates
§ Conclusion: Human factors are at least as
important to motivation as pay rates
4
The Human Relations Movement
§ Employees who are happy and satisfied are

motivated to perform better
§ Management is best served by providing a

work environment that maximizes employee
satisfaction
Maslow’s Hierarchy of Needs
5
Herzberg’s Motivation–Hygiene Theory
Using Herzberg’s
Motivation–Hygiene Theory
§ Managers should make hygiene as positive as

possible, but should expect only short-term
improvement in motivation
§ Managers must focus on providing those
motivation factors that will enhance motivation
and long-term effort
§ Limitations: In practice, pay has more effect
than Herzberg’s theory indicates
6
Class Exercise 1
Companies use travel awards as incentives for

better employee performance.
According to the motivation–hygiene theory, when

an incentive for higher performance is not
provided, is that a dissatisfier?
Theory X and Theory Y
Concepts advanced by Douglas McGregor
7
Theory Z
The belief that some middle ground between type

A and type J practices is best for American
business
Class Exercise 2
Can you think of any potential disadvantages

of Theory Z management practices?
8
Reinforcement Theory
Based on the premise that rewarded behavior is

likely to be repeated, whereas behavior that is
punished is less likely to recur
Types of Reinforcement
§ Positive Reinforcement § Negative Reinforcement

• Strengthens desired • Strengthens desired
behavior by providing behavior by eliminating
a reward an undesirable task or
situation
§ Punishment § Extinction
• Undesired • Not responding to
consequence of undesirable behavior in
undesirable behavior order to discourage its
occurrence
9
Equity Theory
§ Based on the premise Inputs

that people are • Time
• Effort
motivated to obtain • Skills
and preserve • Education
equitable treatment for
themselves
§ Equity is the
distribution of rewards
in direct proportion to Outcomes
each employee’s • Benefits
• Promotions
contribution to the • Recognition
organization • Pay
Class Exercise 3
Employees want to be
treated fairly. Employees
compare the amount of
effort they put into their jobs
and the outcomes they get
to that of their coworkers. At
sweatshops such as this
one, though, all employees
are treated unfairly.
Does equity theory come
into play in this instance?
10
Expectancy Theory
§ Motivation depends on how much we want something

and on how likely we think we are to get it
§ Expectancy theory is complex because each action we
take is likely to lead to several different outcomes;
some we may want, and others we may not want
Goal-Setting Theory
§ Employees are motivated to achieve goals they

and their managers establish together
§ The goal should be:
• Very specific
• Moderately difficult
• One that the employee
will be committed to
achieve
§ Rewards should be tied directly to goal
achievement
11
Class Exercise 4
Describe the job situations in which the following

motivation theories would be most appropriate
• Scientific management
• McGregor’s Theory X
• McGregor’s Theory Y
• Theory Z
• Maslow’s hierarchy of needs
• Herzberg’s motivation-hygiene theory
• Equity theory
• Expectancy theory
• Reinforcement
Key Motivation Techniques
§ Management by objectives
§ Job enrichment
§ Behavior modification
§ Flextime
§ Part-time work and job sharing
§ Telecommuting
§ Employee empowerment
§ Employee ownership
12
Management by Objectives (MBO)
§ Motivation technique in which managers and

employees collaborate in setting goals
§ Primary purpose is to clarify the roles
employees are expected to play in reaching the
organization’s goals
§ Increases employee motivation by empowering
them with an active role in goal-setting and
performance evaluation
Management by Objectives:
Advantages and Disadvantages
Advantages Disadvantages
§ Actively involves § Doesn’t work if the process
employees doesn’t begin at the top of
§ Improves the organization
communication § Can result in excessive
§ Employees feel like an paperwork
important part of the § Some managers assign
organization goals instead of
§ Periodic review collaborating on creating
enhances control them
§ Goals should be
quantifiable
13
Job Enrichment
§ Job enrichment: a motivation technique that

provides employees with more variety and
responsibility in their jobs
§ Job enlargement: expanding a worker’s
assignments to include additional but similar
tasks
§ Job redesign: a type of job enrichment in
which work is restructured to cultivate the
worker–job match
Behavior Modification
§ Systematic program of reinforcement to

encourage desirable behavior
§ Involves both rewards to encourage desirable
actions and punishments to discourage
undesirable actions
14
Class Exercise 5
Studies have shown that rewards, such as

compliments and expressions of appreciation, are
much more effective behavior modifiers than
punishments, such as reprimands and scorn.
Do you think that this is true in all situations?

Identify some situations in which this may
not be true.
Flextime
§ System in which employees set their own work

hours within employer-determined limits
§ Bands of time
• Core time, when all employees must be at
work
• Flexible time, when employees may choose
whether to be at work
15
Flextime: Benefits and Drawbacks
Benefits Drawbacks
§ Employees have a § Supervisor’s job is
sense of complicated by
independence and having employees
autonomy who come and go at
§ Employees with different times
enough time to deal § Employees without
with non-work issues flextime resent co-
are more productive workers who have it
and satisfied
Part-Time Work
§ Permanent employment in which individuals

work less than a standard work week
§ Disadvantage
• Often does not provide the benefits that
come with a full-time position
16
Job Sharing
§ An arrangement whereby two people share one

fulltime position
Telecommuting
§ Telecommuting is working at home all the time

or for a portion of the work week
§ Individuals can set their own hours and have
more time with
their families
17
Telecommuting:
Advantages and Disadvantages
Advantages Disadvantages
§ Increased productivity § Feelings of isolation
§ Lower costs § Putting in longer
§ Reduced hours
absenteeism § Distractions at home
§ Increased work/life § Difficulty monitoring
balance productivity
§ Access to additional
labor pools
Class Exercise 6
§ How do you think telecommuting, job sharing,

flextime, and part-time work influence the
human relations function in organizations?
§ How will team-building or motivational activities
differ from those in traditional organizations?
§ Design a plan for team building in an
organization in which half the workforce uses
telecommuting, job sharing, flextime, and part-
time work.
18
Employee Empowerment
§ Making employees more involved in their jobs

by increasing their participation in decision
making
§ Management must be involved to:
• set expectations
• communicate standards
• institute periodic evaluations
• guarantee follow-up
Employee Empowerment:
Benefits and Obstacles
Benefits Obstacles
§ Increased job § Management
satisfaction resistance
§ Improved job § Workers’ distrust of
performance management
§ Higher self-esteem § Insufficient training
§ Increased § Poor communication
commitment
19
Employee Ownership
§ Employees own the company they work for by

virtue of being stockholders
§ Directly reward employees for success
What Is a Team?
A team is formed when two or more workers

operating as a coordinated unit to accomplish a
specific task or goal
20
Types of Teams
§ Problem-Solving Team § Cross-Functional Team

• Knowledgeable • Individuals with varying
employees brought specialties, expertise,
together to tackle a and skills that are
specific problem brought together to
achieve a common task
§ Self-Managed Work § Virtual Team
Team • Members who are
• Employees with the geographically
authority and skills to dispersed but
manage themselves communicate
electronically
Advantages and Disadvantages of

Self-Managed Teams
21
Stages of Team Development
§ Forming
§ Storming
§ Informing
§ Performing
§ Adjourning
Roles Within a Team
§ Task-specialist role
§ Socioemotional role
§ Dual role
§ Nonparticipant
role
22
Team Cohesiveness
A successful team has:

• Members who get along and accomplish tasks
• Ideally 5–12 people
• Competition with other teams
• Agreed upon goals
Team Conflict and How to Resolve It
Middle ground resolution satisfies each party to

some extent
23
Benefits and Limitations of Teams
§ Benefits
• Reduces turnover and costs, increases
production, quality, customer service, job
satisfaction
§ Limitations
• Reorganizing into teams can be stressful and
time consuming with no guarantee it will develop
effectively
24

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10

10-1 Explain what motivation is.

The individual internal

An employee’s feelings about:

Satisfaction High Morale

§ Scientific management: the application of

Compensation system under which employees

The more The more

The Hawthorne Studies

§ Conducted by Elton Mayo between 1927

§ Employees who are happy and satisfied are

§ Management is best served by providing a

Maslow’s Hierarchy of Needs

§ Managers should make hygiene as positive as

Companies use travel awards as incentives for

According to the motivation–hygiene theory, when

Theory X and Theory Y

Concepts advanced by Douglas McGregor

The belief that some middle ground between type

Can you think of any potential disadvantages

Based on the premise that rewarded behavior is

§ Positive Reinforcement § Negative Reinforcement

§ Based on the premise Inputs

§ Motivation depends on how much we want something

§ Employees are motivated to achieve goals they

Describe the job situations in which the following

Key Motivation Techniques

§ Motivation technique in which managers and

§ Job enrichment: a motivation technique that

§ Systematic program of reinforcement to

Studies have shown that rewards, such as

Do you think that this is true in all situations?

§ System in which employees set their own work

§ Permanent employment in which individuals

§ An arrangement whereby two people share one

§ Telecommuting is working at home all the time

§ How do you think telecommuting, job sharing,

§ Making employees more involved in their jobs

§ Employees own the company they work for by

A team is formed when two or more workers

§ Problem-Solving Team § Cross-Functional Team

Advantages and Disadvantages of

Roles Within a Team

A successful team has:

Team Conflict and How to Resolve It

Middle ground resolution satisfies each party to

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