Discuss the job performance model of motivation. Contrast Maslow’s and McClelland’s need theories. Describe the mechanistic, motivational, biological,

and perpetual-motor approaches to job design. Review the four intrinsic rewards underlying intrinsic

motivation and discuss how managers can cultivate intrinsic motivation in others.

Discuss the causes and consequences of job satisfaction.

Critique the four hypotheses that explain the nature of work-family relationships.

Motivation I: Needs, Job DesignIntrinsic Motivation, and Satisfaction

Learning Objectives

Chapter Six

Motivation: psychological processes that arouse and direct goal-directed behavior

6-1

McGraw-Hill © 2005 The McGraw-Hill Companies, Inc. All rights reserved.

Motivation Defined

6-2 Figure 6-1

A Job Performance Model of Motivation

McGraw-Hill © 2005 The McGraw-Hill Companies, Inc. All rights reserved.

Ability, Job knowledgeDispositions & Traits

Emotions, Moods, & AffectBeliefs & Values

Individual Inputs

Physical EnvironmentTask Design

Rewards & ReinforcementSupervisory Support &

CoachingSocial Norms

Organizational Culture

Job Context

Arousal Attention Intensity & & Direction Persistence

Motivational Processes

MotivatedBehaviors

Skills

Enable, Limit

6-3 Figure 6-1

A Job Performance Model of Motivation (Cont.)

McGraw-Hill © 2005 The McGraw-Hill Companies, Inc. All rights reserved.

Individual Inputs

Job Context

Motivational Processes

Focus: Direction, What we doIntensity: Effort, how hard we tryQuality: Task strategies, the way we do itDuration: Persistence, how long we stick to it

Skills

Enable, Limit

Performance

Motivated Behaviors

Needs: Physiological or psychological deficiencies that arouse behavior.

Maslow’s Need Hierarchy Theory: Motivation is a function of five basic needs- physiological, safety, love, esteem, and self-actualization.

McClelland’s Need Theory: The needs for achievement, affiliation, and power affect behavior.

6-4

McGraw-Hill © 2005 The McGraw-Hill Companies, Inc. All rights reserved.

Needs Theories of Motivation

Need for achievement: Desire to accomplish something difficult.

Need for affiliation: Desire to spend time in social relationships and activities.

Need for power: Desire to Influence, coach, teach, or encourage others to achieve.

6-5

McGraw-Hill © 2005 The McGraw-Hill Companies, Inc. All rights reserved.

McClelland’s Need Theory

6-7 Figure 6-2

Herzberg’s Motivator-Hygiene Model

McGraw-Hill © 2005 The McGraw-Hill Companies, Inc. All rights reserved.

No Satisfaction SatisfactionJobs that do not Jobs offeringoffer achievement, achievement,recognition, recognition,stimulating work, stimulating work,responsibility, responsibility,and advancement. and advancement.

Motivators

6-8 Figure 6-2

Herzberg’s Motivator-Hygiene Model (Cont.)

McGraw-Hill © 2005 The McGraw-Hill Companies, Inc. All rights reserved.

Dissatisfaction No DissatisfactionJobs with poor Jobs with goodcompany policies company policiesand administration, and administration,technical supervision, technical supervision,salary, interpersonal salary, interpersonalrelationships with relationships withsupervisors, and supervisors, andworking conditions. working conditions.

Hygiene Factors

6-9 Figure 6-3

The Job Characteristics Model

McGraw-Hill © 2005 The McGraw-Hill Companies, Inc. All rights reserved.

Outcomes

• High intrinsic work

motivation

• High growth

satisfaction

• High general job

satisfaction

• High work

effectiveness

Core jobcharacteristics

• Skill variety

• Task identity

• Task significance

• Autonomy

• Feedback from job

Criticalpsychological

tastes

• Experienced

meaningfulness of

the work

• Experienced

responsibility for

outcomes of the

work.

• Knowledge of the

actual results of

the work activities

Moderators

1. Knowledge and skill

2. Growth need strength

3. Context satisfactions

1. Diagnose the level of employee motivation and job satisfaction and consider redesigning jobs when motivation ranges from low to moderately high.

2. Determine whether job redesign is appropriate in a given context.

3. Redesign jobs by including employees’ input.

6-10

McGraw-Hill © 2005 The McGraw-Hill Companies, Inc. All rights reserved.

Skills & Best Practices: Steps for Applying the Job Characteristics Model

Intrinsic Motivation: motivation caused by positive internal feelings.

6-11

McGraw-Hill © 2005 The McGraw-Hill Companies, Inc. All rights reserved.

Intrinsic and Extrinsic Motivation

Extrinsic Motivation: motivation caused by the desire to attain specific outcomes.

6-12 Figure 6-5

A Model of Intrinsic Motivation

McGraw-Hill © 2005 The McGraw-Hill Companies, Inc. All rights reserved.

Sense of choice

Sense of competence

Sense of meaningfulness

Sense of progress

Opportunity rewards

Accomplishment rewards

From task

activities

From task

purpose

Job satisfaction: an affective or emotional response to one’s job

6-13

McGraw-Hill © 2005 The McGraw-Hill Companies, Inc. All rights reserved.

Job Satisfaction Defined

Need fulfillment: satisfaction is determined by the extent to which the characteristics of a job allow an individual to fulfill his or her needs

Discrepancies: satisfaction is a result of met expectations Value attainment: satisfaction results from the perception

that a job allows for fulfillment of individual’s important work values

Equity: satisfaction: is a function of how “fairly” an individual is treated at work

Dispositional/Genetic Components: satisfaction is partly a function of both personal traits and genetic factors

6-14

McGraw-Hill © 2005 The McGraw-Hill Companies, Inc. All rights reserved.

The Causes of Job Satisfaction

6-15 Table 6-1

Correlates of Job Satisfaction

ModeratePositive Mental Health

ModeratePositiveLife satisfaction

ModeratePositiveJob performance

ModerateNegativePro-union voting

StrongNegativePerceived Stress

ModerateNegativeHeart disease

ModerateNegativeTurnover

WeakNegativeTardiness

WeakNegativeAbsenteeism

Direction of Relationship

Strength of Relationship

Variables Related with Satisfaction

McGraw-Hill © 2005 The McGraw-Hill Companies, Inc. All rights reserved.

Positive

Positive

ModerateOrganizational citizenship behavior

Moderate Job involvement

Positive ModerateMotivation

Positive StrongOrganizational Commitment

Current job’s requirements aren’t a good match with your best skills.

Job doesn’t adequately meet your needs in areas you value, such as work-family balance, work location and compensation.

Requests for advancement or new opportunities are consistently ignored or only half met.

Is work making you miserable? Family and friends tell you that your job has changed you for the worse.

Your job ranks low on a “joy and meaning” scale. Your standing in the office has been diminished—for

example, key clients or vendors no longer deal with you.

6-16

McGraw-Hill © 2005 The McGraw-Hill Companies, Inc. All rights reserved.

Skills & Best Practices: Telltale SignsYou Should Look for Another Job

1. Compensation Effect

2. Segmentation Hypothesis

3. Spillover Model

4. Work-Family Conflict

6-17

McGraw-Hill © 2005 The McGraw-Hill Companies, Inc. All rights reserved.

Hypotheses Regarding Work-Family Relationships

Discuss the role of perceived inequity in employee motivation.

Describe the practical lessons derived from equity theory.

Explain Vroom’s expectancy theory. Describe the practical implications of

expectancy theory. Identify five practical lessons to be learned

from goal-setting research. Specify issues that should be addressed

before implementing a motivational program.

Motivation II: Equity, Expectancy, and Goal Setting

Learning Objectives

Chapter Seven

7-1 Figure 7-1

Negative and Positive Inequity

McGraw-Hill © 2005 The McGraw-Hill Companies, Inc. All rights reserved.

A. An Equitable SituationA. An Equitable Situation

SelfSelf OtherOther

$2$2

1 hour1 hour

= $2 per hour= $2 per hour$4$4

2 hours2 hours

= $2 per hour= $2 per hour

McGraw-Hill/Irwin © 2006 The McGraw-Hill Companies, Inc. All rights reserved.

7-2 Figure 7-1

Negative and Positive Inequity (Cont.)

McGraw-Hill © 2005 The McGraw-Hill Companies, Inc. All rights reserved.

$2

1 hour

= $2 per hour$3

1 hour

= $3 per hour

B. Negative Inequity

Self Other

McGraw-Hill/Irwin © 2006 The McGraw-Hill Companies, Inc. All rights reserved.

7-3 Figure 7-1

Negative and Positive Inequity (Cont.)

McGraw-Hill © 2005 The McGraw-Hill Companies, Inc. All rights reserved.

$2

1 hour

= $1 per hour

C. Positive Inequity

$3

1 hour

= $3 per hour

SelfOther

McGraw-Hill/Irwin © 2006 The McGraw-Hill Companies, Inc. All rights reserved.

7-4

McGraw-Hill © 2005 The McGraw-Hill Companies, Inc. All rights reserved.

Equity Sensitivity

Equity Sensitivity is an individual’s tolerance for negative and positive equity.

• Benevolents

• Sensitives

• Entitleds

McGraw-Hill/Irwin © 2006 The McGraw-Hill Companies, Inc. All rights reserved.

7-5

McGraw-Hill © 2005 The McGraw-Hill Companies, Inc. All rights reserved.

Organizational Justice

Distributive Justice: the perceived fairness of how resources and rewards are distributed.

Procedural Justice: the perceived fairness of the processes and procedures used to make allocation decisions.

Interactional Justice: extent to which people feel fairly treated when procedures are implemented.

McGraw-Hill/Irwin © 2006 The McGraw-Hill Companies, Inc. All rights reserved.

7-6

McGraw-Hill © 2005 The McGraw-Hill Companies, Inc. All rights reserved.

Vroom’s Expectancy Theory Concepts

Expectancy: Belief that effort leads to a specific level of performance

Instrumentality: A performance outcome perception.

Valence: The Value of a reward or outcome

McGraw-Hill/Irwin © 2006 The McGraw-Hill Companies, Inc. All rights reserved.

7-7 Table 7-1

Managerial Implications of Expectancy Theory

Determine the outcomes employees value

Identify good performance so appropriate behavior can be rewarded

Make sure employees can achieve targeted levels of performance

Link desired outcomes to targeted performance levels

Make sure changes in outcomes are large enough to motivate high effort

Monitor the reward system for inequalities

McGraw-Hill © 2005 The McGraw-Hill Companies, Inc. All rights reserved.McGraw-Hill/Irwin © 2006 The McGraw-Hill Companies, Inc. All rights reserved.

7-8 Table 7-1

Organizational Implications of Expectancy Theory

Reward people for desired performance and do not keep pay decisions secret

Design challenging jobs

Tie some rewards to group accomplishments to build teamwork and encourage cooperation

Reward managers for creating, monitoring, and maintaining expectancies, instrumentalities, and outcomes that lead to high effort and goal attainment

Monitor employee motivation through interviews or anonymous questionnaires

Accommodate individual differences by building flexibility into the motivation program

McGraw-Hill © 2005 The McGraw-Hill Companies, Inc. All rights reserved.McGraw-Hill/Irwin © 2006 The McGraw-Hill Companies, Inc. All rights reserved.

7-9

McGraw-Hill © 2005 The McGraw-Hill Companies, Inc. All rights reserved.

Four Prerequisites to Linking Performances and Rewards

1. Managers need to develop and communicate performance standards to employees.

2. Managers need valid and accurate performance ratings with which to compare employees.

3. Managers need to determine the relative mix of individual versus team contribution to performance and then reward accordingly.

4. Managers should use the performance ratings to differentially allocate rewards among employees.

McGraw-Hill/Irwin © 2006 The McGraw-Hill Companies, Inc. All rights reserved.

Part FourUsing Technology And Information To Build Customer Relationships

Chapter 8E-Marketing And Customer Relationship Management

Arctic Monkeys

MAJOR TOPIC AREAS

1. Electronic Marketing

2. Customer Relationship Management

3. Legal and Ethical Issues in E-Marketing

1. ELECTRONIC MARKETING

E-commerce – conducting business through telecommunications networks

E-marketing – creating, distributing, promoting, and pricing products for targeted customers over the Internet

E-Commerce Analysis Tools

Electronic Economy In Perspective

Throughe-marketing companies can market to target audiences

Reprinted with permission of BtoB Magazine, 2007 Copyright, Crain Communications, Inc.

Blogs

Web-based journals in which people can editorialize and interact with other Internet users.

The State of Blogging

Wikis

Software that create an interface that enables users to add or edit the content of some types of websites (also called wikis or wikipages).

Wikipedia.org

Technologies That ProvideConsumers Marketing Information

Online Tools For SmallAnd Mid-Size Businesses

0% 20% 40% 60% 80%

E-MailSite Appearance in Search Engine

Online Coupons

Pay-Per-ClickBlogs Explaining Product/Service

Online features small/midsize business use or are interested in using to have a competitive advantage. Note: multiple responses allowed.

USA Today Snapshots, “Online Tools for Small and Midsize Businesses,” Dec. 6, 2005, p. B1

Characteristics OfElectronic Marketing

Addressability

Interactivity

Memory

Control

Accessibility

Digitalization

Addressability

A marketer’s ability to identify customers before they make a purchase.

Cookie

What is an Internet cookie?

Interactivity

The ability to allow customers to express their needs and wants directly to the firm in response to the firm’s marketing communications.

Community

Memory

The ability to access databases or data warehouses containing individual customer profiles and purchase histories and use these data in real time to customize a marketing offer.

Database

Data Mining

Control

Customers’ ability to regulate the information they view and the rate and sequence of their exposure to that information.

Portal

Security plays a large role in control

Copyright © 2005 Symantec Corporation. Reprinted with permission.

Accessibility

The ability to obtain information available on the Internet.

Digitalization

The ability to represent a product, or at least some of its benefits, as digital bits of information

Digitalization (Page 220)

Digitalization has helped traditional businesses migrate to online services

Reprinted with permission from GEICO

E-Marketing StrategiesAnd Considerations

Product Computers and related accessories biggest

seller online Customized orders Services growing

Distribution Order processing Synchronization

Promotion Augments traditional forms Consumer in control

Pricing - More consumer information

Types OfAdvertising On Websites

2. CUSTOMERRELATIONSHIP MANAGEMENT

Database Marketing

Customer Lifetime Value

Technology Driven Customer support

Call-center software

Customer Satisfaction

Marketing for Customer Relationship Management

Elements OfDatabase Marketing

1. Identify/build database

2. Differentiate messages to consumers

3. Track relationships

Database Marketing Overview

Database Management

Reprinted with permission of Informatica Software

Types Of Databases

Questions For CLV

Which customers receive preferential treatment? What channels used to interact with customer? Timing of offering to customer? Which are good prospects? Allocation of resources? Method of monitoring customers?

Technology Drives CRM

Customer Contact Points Telephone Fax Online Personal

Data Analysis Customer support/call-center software Sales automation software

Technology as a CRM Tool

Reprinted with permission of Sage Software, Inc. © 2006 Sage Software Inc. All rights reserved.

Customer Satisfaction and CRM

CRM is about relationships, not technology technology can help build long-term

relationships

3. LEGAL/ETHICAL ISSUESIN E-MARKETING

Privacy

Spam- unsolicited commercial e-mail

SurfControl stops unwanted e-mails, block inappropriate content, and

secures confidential data. (Page 231)

Website IssuesIn E-Marketing

0% 10% 20% 30% 40% 50%

Received Error Message

Site Difficult to Navigate

Transaction in Endless Loop

Difficulty Logging On

Poor Information On Site

89% of respondents had problems. Their problems:

USA Today Snapshots, “Top Online Transaction Trouble, April 4, 2006, p. B1

E-Commerce WebTransaction Performance Index

6.66.8

77.27.47.67.8

88.28.48.68.8

Response Time (sec)

Wal-Mart Office Depot Best Buy

Keynote, “The Keynote E-Commerce Web Transaction Performance Index”, 5/22/06, http://www.keynote.com/solutions/performance_indices/ecommerce/ecommerce-052206.html

E-Commerce WebTransaction Performance Index

99.6%

99.6%

99.7%99.7%

99.8%

99.8%

99.9%

99.9%

100.0%

100.0%

Success Rate (%)

JCPenney Eddie Bauer Target

Keynote, “The Keynote E-Commerce Web Transaction Performance Index”, 5/22/06,

http://www.keynote.com/solutions/performance_indices/ecommerce/ecommerce-052206.html