motivation from concepts to application by iqbal

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Explains how to motivate employees on job by using various pay methods and other types of motivational tools.

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Page 1: Motivation from Concepts to Application by Iqbal

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MotivationFrom Concepts to Applications

OB

Page 2: Motivation from Concepts to Application by Iqbal

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Job Characteristics Model And

The Way it Motivates by Changing Work Environment

#1

Page 3: Motivation from Concepts to Application by Iqbal

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Job Design Theory

Characteristics1. Skill variety2. Task identity3. Task significance4. Autonomy5. Feedback

Job Characteristics Model

A Model that Identifies five job characteristics and their relationship to personal and work outcomes.

Page 4: Motivation from Concepts to Application by Iqbal

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Job Design Theory

Job Characteristics Model

Jobs with skill variety, task identity, task significance, autonomy, and for which feedback of results is given, directly affect three psychological states of employees:

• Knowledge of results

• Meaningfulness of work

• Personal feelings of responsibility for results

Increases in these psychological states result in increased motivation, performance, and job satisfaction.

Page 5: Motivation from Concepts to Application by Iqbal

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Job Design Theory

Skill Variety

The degree to which a job requires a variety of different activities (how may different skills are used in a given day, week, month?)

Task Identity

The degree to which the job requires completion of a whole and identifiable piece of work (from beginning to end)

Task Significance

The degree to which the job has a substantial impact on the lives or work of other people

Page 6: Motivation from Concepts to Application by Iqbal

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Job Design Theory

Autonomy

The degree to which the job provides substantial freedom and discretion to the individual in scheduling the work and in determining the procedures to be used in carrying it out

Feedback

The degree to which carrying out the work activities required by a job results in the individual obtaining direct and clear information about the effectiveness of his or her performance

Page 7: Motivation from Concepts to Application by Iqbal

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Ways of

Redesigning The Job

#2

Page 8: Motivation from Concepts to Application by Iqbal

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Job Design Theory

Job Rotation

The periodic shifting of a worker from one task to another

Job Enlargement

The horizontal expansion of jobs

Job Enrichment

The vertical expansion of jobs

Page 9: Motivation from Concepts to Application by Iqbal

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Work Arrangements&

How they Motivate

#3

Page 10: Motivation from Concepts to Application by Iqbal

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Alternative Work Arrangements

Beyond redesigning the nature of work itself and involving employees in decisions, another approach to making the work environment more motivating is to alter work arrangements. There are three alternative work arrangements:

Flextime Job sharing telecommuting

Page 11: Motivation from Concepts to Application by Iqbal

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Alternative Work Arrangements

Flextime

Employees work during a common core time period each day but have discretion in forming their total workday from a flexible set of hours outside the core.

The work timings are generally so designed and decided such that there are maximum possible employees available when they are needed the most. Earlier Flextime was regarding as a good way of managing the employees, but now the companies around the world are widely practicing it.

Page 12: Motivation from Concepts to Application by Iqbal

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Alternative Work Arrangements

Flextime Benefits

The obvious benefit to an employer is the ability to accommodate employees who have trouble balancing their jobs and their families. In order to retain those employees it would be in the company's best interests to allow their staff to have a flexible schedule. You'll gain increased productivity and worker satisfaction, along with decreased absenteeism and turnover--all great money-savers for your company

Page 13: Motivation from Concepts to Application by Iqbal

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Alternative Work Arrangements

Job SharingThe practice of having two or more people split a 40-

hour-a-week job.

Job sharing is an employment arrangement where typically two people are retained on a part-time or reduced-time basis to perform a job normally fulfilled by one person working full-time

Job sharing allows an organization to draw on the talents of more than one individual in a given job it increases flexibility. It can increase motivation and satisfaction for those to whom a 40 hour a week job is just not practical

Page 14: Motivation from Concepts to Application by Iqbal

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Job Sharing

AdvantagesFor employees seeking more free time for themselves, job sharing may be a way to take back more control of their personal lives. Employees who job share frequently attribute their decision to "quality of life" issues. Studies have shown that net productivity increases when two people share the same 40-hour job.

Disadvantagesconflicting decisions due to poor communication between the job sharers

There may be confusion from clients who have to deal with two separate people

Page 15: Motivation from Concepts to Application by Iqbal

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Alternative Work Arrangements

Telecommuting

Employees do their work at home on a computer that is linked to their office

Categories of Telecommuting Jobs1. Routine information-handling tasks2. Mobile activities3. Professional and other knowledge-

related tasks

Page 16: Motivation from Concepts to Application by Iqbal

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Alternative Work Arrangements

TelecommutingEmployees do their work at home at least two days a week on a computer that is linked to their office.

The Virtual OfficeEmployees work out of their home on a relatively permanent basis.

Typical Telecommuting JobsProfessional and other knowledge-related tasksRoutine information-handling tasksMobile activities

Page 17: Motivation from Concepts to Application by Iqbal

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Telecommuting

Advantages• Higher Productivity• Less Turnover

Disadvantages For people for have high social need, telecommunicating can increase feelings of isolation

Page 18: Motivation from Concepts to Application by Iqbal

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Performance = f(A x M x O)

Page 19: Motivation from Concepts to Application by Iqbal

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Give Examples of employee involvement measures and show

how they can motivate employees?

#4

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Employee Involvement Program

A participative process that uses the entire capacity of employees and is designed to encourage increased commitment to the organization’s success

Page 21: Motivation from Concepts to Application by Iqbal

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Examples of Employee Involvement

Participative Management

Subordinates share a significant degree of decision-making power with their immediate superiors

Representative Participation

Workers participate in organizational decision making through a small group of representative employees.

Works Councils

Groups of nominated employees who must be consulted when management makes decisions about personnel

Board Representative

A form of representative participation; employees sit on a company’s board of directors and represent the interests of the firm’s employees.

Page 22: Motivation from Concepts to Application by Iqbal

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Examples of Employee Involvement

Quality Circle

A work group of employees who meet regularly to discuss their quality problems, investigate causes, recommend solutions, and take corrective actions

Page 23: Motivation from Concepts to Application by Iqbal

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EI Programs and Motivation Theories

Employee Involvement Programs

Employee Involvement Programs

Theory Y(Believing

Employees Want to Be Involved)

Theory Y(Believing

Employees Want to Be Involved)

Two-Factor Theory

(Intrinsic Motivation)

Two-Factor Theory

(Intrinsic Motivation)

ERG Theory(Employee

Needs)

ERG Theory(Employee

Needs)

Page 24: Motivation from Concepts to Application by Iqbal

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Show how Flexible Benefits turn benefits into motivators?

#6

Page 25: Motivation from Concepts to Application by Iqbal

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Flexible Benefits

Employees tailor their benefit program to meet their personal need by picking and choosing from a menu of benefit options.

Page 26: Motivation from Concepts to Application by Iqbal

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Flexible Benefits

Modular Plans

Predesigned benefits packages for specific groups of employees

Core-Plus Plans

A core of essential benefits and a menu-like selection of other benefit options

Flexible Spending Plans

Allow employees to use their tax-free benefit dollars to purchase benefits and pay service premiums

Page 27: Motivation from Concepts to Application by Iqbal

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How different Variable-payPrograms can increase employee

motivation?

#5

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Page 29: Motivation from Concepts to Application by Iqbal

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Rewarding Employees: 4 AspectsWhat to Pay (Internal vs. external equity)

How to Pay (e.g., Piece rate, merit based, bonuses, profit sharing, gain sharing, ESOPs, skill-based pay)

What Benefits to Offer (e.g., Flexible benefits)

How to Recognize Employees

Page 30: Motivation from Concepts to Application by Iqbal

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Rewarding Employees

Variable Pay Programs

A portion of an employee’s pay is based on some individual and/or organization measure of performance.

• Piece rate pay plans

• Profit sharing plans

• Gain sharing plans

Page 31: Motivation from Concepts to Application by Iqbal

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Variable Pay Programs

Piece Rate Pay PlansWorkers are paid a fixed sum for each unit of production completed.Profit Sharing PlansOrganization-wide programs that distribute compensation based on some established formula designed around a company’s profitabilityGain SharingAn incentive plan in which improvements in group productivity determine the total amount of money that is allocated.

Page 32: Motivation from Concepts to Application by Iqbal

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Rewarding Employees

Employee Stock Ownership Plans (ESOPs)Company-established benefit plans in which employees acquire stock as part of their benefits.

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Rewarding Employees

Skill-based Pay PlansPay levels are based on how many skills employees have or how many jobs they can do.

Benefits of Skill-based Pay Plans:

1. Provides staffing flexibility

2. Facilitates communication across the organization

3. Lessens “protection of territory” behaviors

4. Meets the needs of employees for advancement (without promotion)

5. Leads to performance improvements

Page 34: Motivation from Concepts to Application by Iqbal

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Rewarding Employees

Drawbacks of Skill-based Pay Plans:

1. Lack of additional learning opportunities that will increase employee pay

2. Continuing to pay employees for skills that have become obsolete

3. Paying for skills that are of no immediate use to the organization

4. Paying for a skill, not for the level of employee performance for the particular skill

Page 35: Motivation from Concepts to Application by Iqbal

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Intrinsic RewardsAnd

Their Motivational Benefits

#7

Page 36: Motivation from Concepts to Application by Iqbal

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Employee Recognition Programs

Intrinsic rewards: Stimulate Intrinsic Motivation

Personal attention given to employee

Approval and appreciation for a job well done

Growing in popularity and usage

Benefits of Programs

Fulfill employees’ desire for recognition

Inexpensive to implement

Encourages repetition of desired behaviors

Drawbacks of Programs

Susceptible to manipulation by management

Page 37: Motivation from Concepts to Application by Iqbal

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E X H I B I T 7–2

E X H I B I T 7–2From the Wall Street Journal, October 21, 1997. Reprinted by permission of Cartoon Features Syndicate.

Page 38: Motivation from Concepts to Application by Iqbal

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Implication for Managers

In Order to Motivate EmployeesRecognize individual differences

Use goals and feedback

Allow employees to participate in decisions that affect them

Link rewards to performance

Check the system for equity

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Thank you !