Bachelor of Management Studies Degree Programme (Level-05) MCU 3206 Organizational Behaviour Assignment No 503 Registration No 410085693

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MOTIVATION Motivation is typified as an individual phenomenon. Every person is unique and all the major theories of motivation allow for this uniqueness to be demonstrated in one way or another. Motivation is described, usually, as intentional. Motivation is assumed to be under the workers control, and behaviours that are influenced by motivation, such as effort expended, are seen as choices of action. Motivation is multifaceted. The two factors of greatest importance are: (i) what gets people activated (arousal); and (ii) the force of an individual to engage in desired behaviour (direction or choice of behaviour). The purpose of motivational theories is to predict behaviour. Motivation is not the behaviour itself and it is not performance. Motivation concerns action and the internal and external forces which influence a persons choice of action. On the basis of these characteristics, Mitchell defines motivation as the degree to which an individual wants and chooses to engage in certain specified behaviours. A fuller definition is given by the Chartered Management Institute:

Performance = function (ability motivation) Kreitner et al. suggest that although motivation is a necessary contributor for job performance, it is not the only one. Along with ability, motivation is also a combination of level of skill, knowledge about how to complete the task, feelings and emotions, and facilitating and inhibiting conditions not under the individuals control.4 However, what is clearly

evident is that if the manager is to improve the work of the organisation, attention must be given to the level of motivation of its members. The manager must also encourage staff to direct their efforts (their driving force) towards the successful attainment of the goals and objectives of the organisation. THEORIES OF MOTIVATION There are many competing theories that attempt to explain the nature of motivation. These theories may all be at least partially true and help to explain the behaviour of certain people at certain times. The issue of motivation is often most acute for younger people starting on their career, for people at mid-career positions or for those who find limited opportunities for promotion or further advancement. For employers there may be difficulties in motivating staff both in the longer term and in the short run. It is because of the complexity of motivation and the fact that there is no ready-made solution or single answer to what motivates people to work well that the different theories are important to the manager. They show there are many motives that influence peoples behaviour and performance. Collectively, the different theories provide a framework within which to direct attention to the problem of how best to motivate staff to work willingly and effectively. Criticisms and reservations It is important to emphasise, however, that these various theories are not conclusive. They all have their critics (this is particularly true of the content theories of motivation) or have been subject to alternative findings that purport to contradict original ideas. Many of these theories were not intended initially to have the significance that some writers have subsequently placed upon them. It is always easy to quote an example that appears to contradict any generalised observation on what motivates people to work. Despite these reservations the different theories provide a basis for study and discussion, and for review of the most effective motivational style Content theories attempt to explain those specific things that actually motivate the

individual at work. These theories are concerned with identifying peoples needs and their relative strengths, and the goals they pursue in order to satisfy these needs. Content theories place emphasis on the nature of needs and what motivates. Process theories attempt to identify the relationship among the dynamic variables that make up motivation. These theories are concerned more with how behaviour is initiated, directed and sustained. Process theories place emphasis on the actual process of motivation. These theories are discussed later in this chapter.

CONTENT THEORIES OF MOTIVATION Major content theories of motivation include: Maslows hierarchy of needs model; Alderfers modified need hierarchy model; Herzbergs two-factor theory; McClellands achievement motivation theory.

MASLOWS HIERARCHY OF NEEDS THEORY A useful starting point is the work of Maslow and his theory of individual development and motivation, published originally in 1943.17 Maslows basic proposition is that people are wanting beings, they always want more, and what they want depends on what they already have. He suggests that human needs are arranged in a series of levels, a hierarchy of importance.

Maslow identified eight innate needs, including the need to know and understand, aesthetic needs and the need for transcendence. However, the hierarchy is usually shown as ranging through five main levels, from, at the lowest level, physiological needs, through safety needs, love needs and esteem needs, to the need for self-actualisation at the highest level. The hierarchy of needs may be shown as a series of steps but is usually displayed in the form of a pyramid.This is an appropriate form of illustration as it implies a thinning out of needs as people progress up the hierarchy. Physiological needs. These include homeostasis (the bodys automatic efforts to retain normal functioning) such as satisfaction of hunger and thirst, the need for oxygen and to maintain temperature regulation. Also sleep, sensory pleasures, activity, maternal behaviour and, arguably, sexual desire. Safety needs. These include safety and security, freedom from pain or threat of physical attack, protection from danger or deprivation, the need for predictability and orderliness. Love needs (often referred to as social needs). These include affection, sense of belonging, social activities, friendships, and both the giving and receiving of love. Esteem needs (sometimes referred to as ego needs). These include both self-respect and the esteem of others. Self-respect involves the desire for confidence, strength, independence and freedom, and achievement. Esteem of others involves reputation or prestige, status, recognition, attention and appreciation. Self-actualisation needs. This is the development and realisation of ones full potential. Maslow sees this as What humans can be, they must be or becoming everything that one is capable of becoming. Self-actualisation needs are not necessarily a creative urge and may take many forms which vary widely from one individual to another. Once a lower need has been satisfied, it no longer acts as a strong motivator. The needs of the next higher level in the hierarchy demand satisfaction and become the motivating influence. Only unsatisfied needs motivate a person. Thus Maslow asserts that a satisfied need is no longer a motivator.

Evaluation of Maslows theory

Based on Maslows theory, once lower-level needs have been satisfied (say at the physiological and safety levels), giving more of the same does not provide motivation. Individuals advance up the hierarchy as each lower-level need becomes satisfied. Therefore, to provide motivation for a change in behaviour, the manager must direct attention to the next higher level of needs (in this case, love or social needs) that seek satisfaction. Applications to the work situation There are a number of problems in relating Maslows theory to the work situation. These include the following: People do not necessarily satisfy their needs, especially higher-level needs, just through the work situation; they satisfy them through other areas of their life as well. Therefore the manager would need to have a complete understanding of peoples private and social lives, not just their behaviour at work. There is doubt about the time that elapses between the satisfaction of a lower-level need and the emergence of a higher-level need. Individual differences mean that people place different values on the same need. For example, some people prefer what they might see as the comparative safety of working in a bureaucratic organisation to a more highly paid and higher status position, but with less job security, in a different organisation. Some rewards or outcomes at work satisfy more than one need. Higher salary or promotion, for example, can be applied to all levels of the hierarchy. Even for people within the same level of the hierarchy, the motivating factors will not be the same. There are many different ways in which people may seek satisfaction of, for example, their esteem needs. Maslow viewed satisfaction as the main motivational outcome of behaviour. But job satisfaction does not necessarily lead to improved work performance. Table 7.1 Applying Maslows need hierarchy Needs levels General rewards Organisational factors 1 Physiological Food, water, sex, sleep a Pay Pleasant working conditions Cafeteria 2 Safety Safety, security, stability, protection a Safe working conditions

Company benefits Job security 3 Social Love, affection, belongingness a Cohesive work group Friendly supervision Professional associations 4 Esteem Self-esteem, self-respect, prestige, status a Social recognition Job title High-status job Feedback from the job itself 5 Self-actualisation Growth, advancement, creativity a Challenging job Opportunities for creativity Achievement in work Advancement in the organisation HERZBERGS TWO-FACTOR THEORY Herzbergs original study consisted of interviews with 203 accountants and engineers, chosen because of their growing importance in the business world, from different industries in the Pittsburgh area of America.22 He used the critical incident method. Subjects were asked to relate times when they felt exceptionally good or exceptionally bad about their present job or any previous job. They were asked to give reasons and a description of the sequence of events giving rise to that feeling. Responses to the interviews were generally consistent and revealed that there were two different sets of factors affecting motivation and work. This led to the two-factor theory of motivation and job satisfaction. Hygiene and motivating factors One set of factors are those which, if absent, cause dissatisfaction. These factors are related to job context, they are concerned with job environment and extrinsic to the job itself. These factors are the hygiene or maintenance factors (hygiene being used as analogous to the medical term meaning preventive and environmental). They serve to prevent dissatisfaction. The other set of factors are those that, if present, serve to motivate the individual to superior effort and performance. These factors are related to job content of the work itself. They are the motivators or growth factors. The strength of these factors will affect feelings of

satisfaction or no satisfaction, but not dissatisfaction. The opposite of dissatisfaction is not satisfaction but, simply, no dissatisfaction The hygiene factors can be related roughly to Maslows lower-level needs and the motivators to Maslows higher-level needs . To motivate workers to give of their best, the manager must give proper attention to the motivators or growth factors. Herzberg emphasises that hygiene factors are not a second-class citizen system. They are as important as the motivators, but for different reasons. Hygiene factors are necessary to avoid unpleasantness at work and to deny unfair treatment. Management should never deny people proper treatment at work. The motivators relate to what people are allowed to do and the quality of human experience at work. They are the variables which actually motivate people. The work of Herzberg indicates that it is more likely good performance leads to job satisfaction rather than the reverse. McCLELLANDS ACHIEVEMENT MOTIVATION THEORY McClellands work originated from investigations into the relationship between hunger needs and the extent to which imagery of food dominated thought processes. From subsequent research McClelland identified four main arousal-based, and socially developed, motives: the Achievement motive; the Power motive; the Affiliative motive; the Avoidance motive. The first three motives correspond, roughly, to Maslows self-actualisation, esteem and love needs. The relative intensity of these motives varies between individuals. It also tends to vary between different occupations. Managers appear to be higher in achievement motivation than in affiliation motivation. McClelland saw the achievement need (n-Ach) as the most critical for the countrys economic growth and success. The need to achieve is linked to entrepreneurial spirit and the development of available resources. PROCESS THEORIES OF MOTIVATION

Process theories, or extrinsic theories, attempt to identify the relationships among the dynamic variables that make up motivation and the actions required to influence behaviour and actions. They provide a further contribution to our understanding of the complex nature of work motivation. Many of the process theories cannot be linked to a single writer, but major approaches and leading writers under this heading include:

expectancy-based models Vroom, and Porter and Lawler; equity theory Adams; goal theory Locke; attribution theory Heider and Kelley

Expectancy theories of motivation The underlying basis of expectancy theory is that people are influenced by the expected results of their actions. Motivation is a function of the relationship between: 1 effort expended and perceived level of performance; and 2 the expectation that rewards (desired outcomes) will be related to performance. There must also be: 3 the expectation that rewards (desired outcomes) are available. These relationships determine the strength of the motivational link Performance therefore depends upon the perceived expectation regarding effort expended and achieving the desired outcome. For example, the desire for promotion will result in high performance only if the person believes there is a strong expectation that this will lead to promotion. If, however, the person believes promotion to be based solely on age and length of service, there is no motivation to achieve high performance. A persons behaviour reflects a conscious choice between the comparative evaluation of alternative behaviours. The choice of behaviour is based on the expectancy of the most favourable consequences. Expectancy theory is a generic theory of motivation and cannot be linked to a single individual writer. There are a number of versions and some of the models are rather complex. More recent approaches to expectancy theory have been associated with the work of Vroom and of Porter and Lawler. THE MOTIVATION OF KNOWLEDGE WORKERS

Recent advantages in telecommunications and in scientific and technological knowledge have led to greater emphasis on the knowledge and expertise of staff and the importance of creativity. Tampoe suggests that at the core of the new industrial trend are the knowledge workers those employees who apply their theoretical and practical understanding of a specific area of knowledge to produce outcomes of a commercial, social or personal value. The performance of knowledge workers should be judged on both the cleverness of ideas and the utility and commercial value of their applied knowledge. Creativity is necessary and needs to be encouraged but should be bounded by commercial realism. This presents management with a new challenge of how to motivate the knowledge workers. Tampoe suggests that the personal motivation of knowledge workers is based on the value they place on the rewards they expect to earn at work. In addition to the individuals own motivation, the performance of knowledge workers is dependent upon four key characteristics task competence; peer and management support; task and role clarity; and corporate awareness. The challenge to management is to ensure the effectiveness of the four key variables and to recognise the need for staff to supervise and manage themselves and the wider rewards expected by knowledge workers.

Theories
The researcher investigates a variety of writers and their theories based on motivation. F.W Taylor (1911) Scientific Management idea was, and still is influential to today's organisational behaviours. F.W. Taylor pursued a theory to explain what encourages people of give of their best in the work situation. Taylor put forward the view that people were primarily motivated by money since it lies at the root of most of their problems. Taylor's key principles encouraged work productivity when the conditions provided gave them a chance to receive a bigger wage package. These are as follow:

1. Some form of work measurement. - for example items per shift which could be counted/recorded 2. Some standard of performance

3.

Direct financial incentives - so that the worker gets a fatter wage packet for producing more.

Taylor's ethics include the workplace management are constantly watching employees otherwise production will slow down or come to a stop, and employees are money motivated. The different theories of motivation can be divided into two contrasting groups. Content theories concentrate on what motivates and are concerned with people's needs and strengths and the goals they pursue in order to satisfy those needs. The theories include: 1. Maslow's hierarchy of needs model 2. Alderfer's modified need hierarchy model 3. Herzberg's two-factor theory 4. McClelland's achievement motivation theory Process theories of motivation emphasizes on the actual process of motivation. They are concerned with the relationship between the dynamic variables, which make up motivation, and how behaviour is initiated, directed and sustained. Motivation may reflect in different ways, in different places with people, this also results to for different reasons. As a result, this research continues to hypothesise that "due to the recession is money the key motivating factor".

Chosen Organisation
Various organisations use a selection of reward schemes to motivate their staff to increase performance. The writer will be mainly focusing the research on Central Claims Group (CCG). The organisation is based in Bury and is an outbound call centre. The call centre provides a service to the public to help them claim compensation depending on any injuries that have happened during the previous years. Call centres have a monetary rewards bonus/commission scheme in operation. The objective of the research will be to investigate CCG staff participants in order to identify what motivates these people to go to work. It is investigated how effectively the reward system in the organisation contributes to the actual motivation of its employees. The research will follow through and find out whether the

employees consider that monetary rewards are the key factors of motivation in the business. The writer is only analysing a small area of the employees that are working at CCG so that there is a better understanding of the research.

Summary
Based on support of scientific theories of motivation with works from Maslow, Alderfer, McClelland F.W Taylor and Herzberg's theories the researchers own views have been included. Most of these theories can be used in different aspects/points of an individual's life. But those theories are mainly related to motivation in the working atmosphere. The researcher will review how their research has achieved or hasn't achieved their objective in finding and illustrating their hypothesis on "due to the recession is money the key motivating factor" or not, and reflect on the writer's research with the aim to identify opportunities for further research.

Introduction
The researcher will discuss the importance of motivation and what are others perception of motivation as well as a number of different factors related to motivation and the working environment. It will be determined that money is the main factor in motivation, this does not mean that this is right or wrong as this can depend on different organisation amongst different business and social cultures. This will be followed by other motivating factors in the workplace and the researcher refers to various experts and their theories of motivation in the workplace. To conclude the researcher will conclude the review with a personal statement on the application of motivational techniques in the workplace.

Importance of Motivation
Mullins (2004) defines motivation as "some driving force within individuals by which they attempt to achieve some goal in order to fulfill some need or expectation." Motivation is essential factor needed in an organisation as it affects the employee and employers performance. The emphasis of this review is looking at the goals of the organisation. Motivation also has a strong impact on an individual's job role. It is particularly significant to managers to "motivate" their teams as they have a direct control of, which are; 1. Selection Process 2. Training and Development 3. Skills and Knowledge

4. Job Design Managers will focus on these points to motivate employees by controlling the environment around them and provide the necessary requirements in terms of skills, abilities, enablement, encouragement, empowerment and opportunities to ensure the employee's needs are satisfied. This will make the employees want to apply their commitment and dedication to their job making the manager's aims and objectives achievable. Motivation is expressed as the driving force within an individual, which prompts them to achieve a certain goal or target. This will then threefold classification of individual needs and expectations at work is economic, intrinsic and social. Extrinsic relates to tangible rewards, for example salary, fringe benefits, promotion, contract of service, work environment and working conditions. The important thing to remember here is that such tangible rewards are often decided at organisational level and are therefore outside the control of individual managers. Intrinsic relates to what has been described as "psychological" rewards. For example, the opportunity to use ones ability, a sense of challenge and achievement, receiving words of appreciation, positive recognition and being treated in a caring and considerate manner. If somebody's motivational driving force is being blocked in some way before she or he reaches their desired goal then this can result in frustration-induced behaviour which can manifest itself in 'aggression', 'regression', 'fixation', and 'withdrawal' (Freudian concepts). There are many competing theories that try to explain motivation at work, none of which are conclusive and all of which have their critics, however, it is because of the complexity of motivation that these theories are important to the manager. They show that there are many motives that affect people's behaviour at work. They provide a framework within which to direct attention to the problem of how best to motivate staff so that they work willingly and effectively. Krech et al (1962) states that motivation can be described in general terms as: "Direction and persistence of action, it is concerned with why people choose a particular course of action in preference to others, and why they continue with a chosen action." Mullins (2004) offers a broad definition for motivation to work: 1. Economic rewards (pay, fringe benefits etc) this is an instrumental orientation (Goldthorpe) to work and is concerned with 'other things'.

2.

Intrinsic satisfaction derived from the nature of the work itself, for example, interest in the job itself, personal growth and development. This is called a personal (and sometimes bureaucratic) orientation to work and is primarily concerned with 'oneself'.

3.

Social relationships cover things like friendships, group working, and desire/need for affiliation, status and dependency. This is relational orientation to work concerned with 'other people'.

The important difference here is that the "psychological" rewards can be determined by the actions and the behaviour of individual managers.

Traditional Motivator
Around the 1800 English philosopher Jeremy Bentham's developed the carrot and the stick approach. He believed that all people are motivated by desire to avoid pain and find pleasure. Bentham believed that any worker would only work if the reward packet was big and the punishment would be unpleasant. The 'carrot and stick' view is still to be found in the older more traditional sectors of the industry. Various leading theories of motivation make reference to the carrot and stick approach. The similarities are using rewards and penalties to encourage behaviour. The 'carrot' is recognized to be positive as and the 'stick' is seen to be negative. The theory derives from an old story to make a donkey move, one must put the carrot in front and dab him with a stick from behind. Rewards and punishment are still considered to be strong motivators till today. The encouragement of the 'carrot' in motivation results in the worker getting money in form of pay or bonuses. However the problem with the 'carrot' approach that regardless of performance through such practices of salary increase and promotion by seniority, automatic 'merit' increases, and executive bonuses not based on individual manager performance. The 'stick' is a form of fear of losing a job, loss of income, demotion or some other penalty continues to be a strong motivator. The financial factor has become the secondary factor to motivation as other factors like job satisfaction and personal development seem to be on workers mind nowadays. Many more individuals have a disposable income and do not think about saving as it used to be centuries ago. Resulting in people is able to afford to make career choices which mean less remuneration in order to gain lifestyle enhancements. More people realise each day how much time they spend at work and ask themselves "How happy am I in this environment?" Today the great dual ambition is to have a satisfying job and a fulfilling personal life. Watson's (1982) theory suggests a reward balance is required for employees so their efforts to keep their motivational drive stimulated. Also responsibility lies with managers to motivate their employees with designs of suitable program and pay packages.

Theories of Motivation
Abraham Maslow's "Hierarchy of Needs Theory" is probably the most widely mentioned theory of motivation. Maslow emphasised the importance of psychological growth. He proposed that human need to strive to achieve their full potential and that only when we are able to do this are we in good health psychologically. The Hierarchy ascends from lowest to highest needs, and only when achieved the first step can they move to the next. Maslow's theory consists of

1.

Physiological needs :

These are needs for requires for the human life. Food, water, warmth, shelter, sleep, medicine and education are the basic physiological needs which fall in the primary list of need satisfaction.

2.

Security or Safety needs :

These are the needs to be free of physical danger and of the fear of losing a job, property, food or shelter.

3.

Social needs :

Since people are social beings, they need to belong and be accepted by others. People try to satisfy their need for affection, acceptance and friendship.

4.

Esteem needs :

This kind of need produces such satisfaction as power, prestige status and self-confidence.

5.

Self-Actualization :

Maslow regards this as the highest need in his hierarchy, achieving one's potential and selffulfilment. It is to maximize one's potential and to accomplish something. In order to meet self actualisation, each need is to be satisfied then the next need becomes dominant. When motivating employees it is required to understand the level of the hierarchy that person is focused on satisfying those needs or needs above that level. However it has been said that once self actualisation has been achieved an individual will find something else to achieve and will never actually become self actualised as they will thrive for more. Clayton Alderfer's existence, relatedness and growth theory is a rebuilt version of Maslow's hierarchy model. The existence groups looks at providing basic material needs. The relatedness groups are looks at interpersonal relationship with other members and finally the

third group growth is concerned with intrinsic desire and personal development at work. This theory in general looks at: 1. In an individual, more than one need may be operative at the same time. 2. If a higher need goes unsatisfied than the desire to satisfy a lower need intensifies. 3. It also contains the frustration-regression dimension. David McClelland has developed a theory on three types of motivating needs: 1. Need for Power 2. Need for Affiliation 3. Need for Achievement The need for achievement is seeking personal responsibility, attainable but challenging goals and feedback on performance. The need for affiliation is concerned with the desire for friendly relationships, sensitivity to the feelings of others, preference for roles with human interaction. Social recognition and affiliation with others provides them motivation. The need for power challenges success and the fear of failure. It also gives the desire to make an impact to be influential and effective. Such people are motivated to perform when they see at least some chances of success. McClelland observed that with the advancement in hierarchy the need for power and achievement increased rather than Affiliation. Frederick Herzberg's motivation-hygiene theory is a modified version of Maslow's hierarchy of needs. Herzberg's theory is also known as the two factor theory. There are intrinsic and extrinsic factors related to job satisfaction and dissatisfaction. His theory was devised on the question "What do people want from their jobs?" Motivation, says Herzberg, derives from people having a sense of achievement, recognition, responsibility and opportunities for personal growth. He criticises management for ignoring the motivational factors and trying to motivate through things like money and benefits expensive and not successful. Security, status, relationship with subordinates, personal life, salary, work conditions, relationship with supervisor and company policy and administration.

Examples of Motivational factors are: 1. Job advancement, 2. Responsibility, 3. Challenges, 4. Recognition 5. Achievements. Herzberg says motivation derives from people having a sense of achievement, recognition, responsibility and opportunities for personal growth. He criticises management for ignoring the motivational factors and trying to motivate through things like money and benefits expensive and not successful. After viewing the way in which the manager dealt with employees, McGregor believes that a manager's view of the nature of human beings depends on a certain grouping of assumptions and that he or she tends to shape his or her behaviour towards subordinates according to these assumptions. Theory X falls under the negative category and theory Y falls under the positive category. The theory 'X' assumptions is concerned with people who dislike work so they try to avoid it work they can and have little ambition and desire security. Employees have to be controlled and directed and threatened with punishment in order to get productivity out of them. People are inherently lazy and must be motivated by outside incentives to work. This theory is similar to the 'carrot and stick' approach, however more like the 'stick' approach. The Theory 'Y' assumption that work is as natural as play, self-direction and self-control and that motivation results from self-esteem and a sense of achievement; that most people seek responsibility. Given the right conditions employees will apply more physical and mental effort into their work. Performance pay can be quite harmful in a working environment because it benefits anyone individual because he/ she will spend a great deal of time and effort on one particular are of work that will lead to the detriment of other colleagues. Especially in a situation where the job is complex, measuring performance on a true reflection with fairness is hard to evaluate. Overall Theory X focus is on the lower needs that control individuals and theory Y focuses on higher needs that control individuals. Managers who use the Theory X approach tend to be authoritarian in nature, the word "authoritarian" suggests such ideas as the "power to enforce obedience" and the "right to command." As for Theory Y organizations can be described as "participative", where the aims of the organization and of the individuals in it are integrated.