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C H A P T E R:C H A P T E R: S I XS I X
Applied
PerformancePractices
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WestJet Motivates Employees
WestJet employees are
highly motivated through
profit sharing and stockoptions, empowerment,
job design, and self-
leadership.Canadian Press
Courtesy of WestJet
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Money has multiple meanings
Symbol of success
Reinforcer and motivator
Source of reduced anxiety
Meaning of money varies
Higher value to men than to women
Cross-cultural differences
Financial Reward Practices
Corel Corp. With permission.
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Types of Rewards in the Workplace
Membership and seniority
Job status
Competencies
Performance-based
Corel Corp. With permission.
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Membership/Seniority Based Rewards
Fixed wages, seniority increases
Advantages G
uaranteed wages may attract job applicants Seniority-based rewards reduce turnover
Disadvantages Doesnt motivate job performance
Discourages poor performers from leaving
May act as golden handcuffs
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Job Status-Based Rewards
Includes job evaluation and status perks
Advantages:
Job evaluation tries to maintain pay equity
Motivates competition for promotions
Disadvantages:
Employees exaggerate duties, hoard resources
Focuses employees on own jobs, not customers
Inconsistent with workplace flexibility
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Competency-Based Rewards
Pay increases with competencies acquired
and demonstrated
Skill-based pay
Pay increases with skill modules learned
Advantages
More flexible work force, better quality,
consistent with employability
Disadvantages
Potentially subjective, higher training costs
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OrganizationalOrganizationalrewardsrewards
Profit sharingProfit sharing Stock ownershipStock ownership Stock optionsStock options Balanced scorecardBalanced scorecard
TeamTeamrewardsrewards
BonusesBonuses GainsharingGainsharing
IndividualIndividual
rewardsrewards
BonusesBonuses CommissionsCommissions Piece ratePiece rate
Performance-Based Rewards
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Evaluating Organizational Rewards
Positive effects Create an ownership culture
Adjusts pay with firms prosperity
Scorecards align rewards with several specificorganizational outcomes
Concerns with performance pay Weak connection between individual effort and
rewards
Reward amounts affected by external forces
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Improving Reward Effectiveness
Link rewards to performance
Ensure rewards are relevant
Team rewards forinterdependent jobs
Ensure rewards are valued
Watch out for unintendedconsequences
Corel Corp. With permission.
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Job Design
Assigning tasks to a job, including the
interdependency of those tasks with other jobs
Organizations goal -- to create jobs that allowwork to be performed efficiently yet employees
are motivated and engaged
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Job Specialization
Dividing work into separate jobs that include
a subset of the tasks required to complete the
product or service
Scientific management
advocates job specialization
also emphasized person-job matching, training,
goal setting, work incentives
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AdvantagesAdvantages DisadvantagesDisadvantages
Evaluating Job Specialization
Less time changing
activitiesLower training costs
Job mastered quickly
Better person-jobmatching
Job boredom
Discontentment pay
Higher costs
Lower quality
Lower motivation
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WorkWork
motivationmotivation
GrowthGrowthsatisfactionsatisfaction
GeneralGeneralsatisfactionsatisfaction
WorkWorkeffectivenesseffectiveness
Job Characteristics Model
FeedbackFeedbackfrom jobfrom job
KnowledgeKnowledge
of resultsof results
Skill varietySkill variety
Task identityTask identity
Task significanceTask significance
MeaningfulnessMeaningfulness
AutonomyAutonomy ResponsibilityResponsibility
IndividualIndividual
differencesdifferences
CriticalCriticalPsychologicalPsychological
StatesStates
Core JobCharacteristics
OutcomesOutcomes
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Job Rotation
Moving from one job
to another
Benefits Minimizes repetitive
strain injury
Multiskills the
workforce
Potentially reduces
job boredom
Job A
Job B
Job C
Job D
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Job Enlargement
Adding tasks to an existing job
Example: video journalist
Employee 1Employee 1
Operates cameraOperates camera
Employee 2Employee 2
Operates soundOperates sound
Employee 3Employee 3
Reports storyReports story
Traditional news team
Video journalist
Operates camera
Operates sound
Reports story
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Job Enrichment
Given more responsibility for scheduling,coordinating, and planning ones own work
1. Clustering tasks into natural groups
Stitching highly interdependent tasks into one job e.g., video journalist, assembling entire product
2. Establishing client relationships
Directly responsible for specific clients
Communicate directly with those clients
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Empowerment at Semco
Ricardo Semler (shown in
photo) has taken
empowerment to new heights
at Brazilian conglomerate
Semco Corporation. Small
teams choose their objectives,
hire co-workers, work out
budgets, elect their own
bosses, and decide their ownpay
Courtesy of Semco Corp.
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Dimensions of Empowerment
MeaningMeaning
CompetenceCompetence
Employees believe their work isimportant
Employees have feelings of self-
efficacy
ImpactImpactEmployees feel their actions
influence success
SelfSelf--
determinationdetermination
Employees feel they have
freedom and discretion
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Supporting Empowerment
Individual factors
Possess required competencies, able to perform
the work
Job design factors
Autonomy, task identity, task significance, job
feedback
Organizational factors Resources, learning orientation, trust
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Self-Leadership
The process of influencing oneself to establish
the self-direction and self-motivation needed
to perform a task
Includes concepts/practices from
Goal setting
Social learning theory
Sports psychology
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Elements of Self-Leadership
PersonalPersonalGoal SettingGoal Setting
ConstructiveConstructiveThoughtThoughtPatternsPatterns
DesigningDesigningNaturalNatural
RewardsRewards
SelfSelf--
MonitoringMonitoring
SelfSelf--ReinforceReinforce--
mentment
Personal goal setting Employees set their own goals
Apply effective goal setting practices
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PersonalPersonalGoal SettingGoal Setting
DesigningDesigningNaturalNatural
RewardsRewards
SelfSelf--
MonitoringMonitoring
SelfSelf--ReinforceReinforce--
mentment
ConstructiveConstructiveThoughtThoughtPatternsPatterns
Elements of Self-Leadership
Positive self-talk Talking to ourselves about thoughts/actions
Potentially increases self-efficacy
Mental imagery
Mentally practising a task
Visualizing successful task completion
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DesigningDesigningNaturalNatural
RewardsRewards
ConstructiveConstructiveThoughtThoughtPatternsPatterns
SelfSelf--
MonitoringMonitoring
SelfSelf--ReinforceReinforce--
mentment
PersonalPersonal
Goal SettingGoal Setting
Elements of Self-Leadership
Finding ways to make the job itself more
motivating
e.g., altering the way the task is accomplished
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ConstructiveConstructiveThoughtThoughtPatternsPatterns
DesigningDesigningNaturalNatural
RewardsRewards
SelfSelf--ReinforceReinforce--
mentment
PersonalPersonal
Goal SettingGoal Setting
SelfSelf--
MonitoringMonitoring
Elements of Self-Leadership
Keeping track of your progress toward the
self-set goal
Looking for naturally-occurring feedback
Designing artificial feedback
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SelfSelf--ReinforceReinforce--
mentment
ConstructiveConstructiveThoughtThoughtPatternsPatterns
DesigningDesigningNaturalNatural
RewardsRewards
SelfSelf--
MonitoringMonitoring
PersonalPersonal
Goal SettingGoal Setting
Elements of Self-Leadership
Taking a reinforcer only after completing aself-set goal e.g., Watching a movie after writing two more
sections of a report
e.g., Starting a fun task after completing a taskthat you dont like
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C H A P T E R:C H A P T E R: S I XS I X
Applied
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Applied
PerformancePractices