Motivating Sales Force

Motivating Sales Force

Analyze what motivates them

Is $40,000 the motivator? Or is it the growing retirement account and fixing the house? Salespeople want autonomy, recognition, satisfaction. Ask sales team for suggestions on what type of sales contests would motivate them and for ideas to inspire the entire team.

Motivation Cycle

Goals creates new needs

Needs creates behavior to reach goals

Motivation
WHAT??
Motivation is the inner force that guides behavior and is concerned with the causation of specific actions. Intensity or the magnitude of mental activity and physical effort expended towards a certain action;

Persistence or the extension of the mental activity and pysical effort over time; and
Direction or the choice of specific actions in specific circumstances.

WHY??
Sales people often face rejection and frustration Engaged, motivated salespeople are then ones who most often exceed their quotas.

Motivation
Motivation is the inner force that guides behaviour and is concerned with the causation of specific actions. Motivation is a three-dimensional construct consisting of the following:

Intensity
the magnitude of mental activity and physical effort expended towards a certain action

Persistence
the extension of the mental activity and physical effort over time

Direction
the choice of specific actions in specific circumstances.

Inherent nature of sales job

Involves a succession of ups and downs Meet unpleasant and rough people Miss out on family life Expectations of different groups give rise to conflict The sales management group The balance of the company which is depending on him for orders The customers Other company sales personnel Cover same territories and same customers over time Loss of enthusiasm and interest Feel good salesmanship is not essential anymore

Salespersons connective roles and conflicts due to this job

Tendency towards apathy

Maintain a feeling of group identity

Work alone for the most part Difficult to feel group identity with other salespersons

Need for Motivation

Sales is at the boundary of the firm; salespeople are boundary spanners, which means lots of role partners Salespeople often have to be creative; find solutions; reconcile needs A sales reps performance affects performance of lots of other people Sales reps personify the cruel voice of the marketplace (scapegoat- kill the messenger) Time and resource constraints necessitate tradeoffs between role partners expectations

Benefits of Motivation
Dedicated towards company objective Innovative ideas Low attrition rate Enthusiasm in sales force Sustainable results High team spirit High company reputation among job applicants

Motivation
Intrinsic
Sense of Accomplishment Personal Growth Opportunity Job Security

Extrinsic
Pay Promotion Recognition

Employees Criteria
Interesting work Appreciation Being well informed Job security Compensation

Principles of motivation
Principle of participation Principle of Communication Principle of Recognition Principle of delegated authority Principle of reciprocated interest

Managers Criteria
Compensation Job security Growth opportunity Good working condition Interesting work

Understanding Motivation
Motivation should be understood at two levels

What motivates salespeople (the reasons behind the intensity and persistence of mental and physical effort expended)

How salespeople choose their action (the direction or decision to engage in specific actions )

Process Begins

Needs Reassessment

Recognize the Need Deficiency

Provide Punishment or Reward

SALESPERSON SALESPERSON

Search for Ways to Satisfy Needs

Performance

Establish GoalDirected Behaviour

role stress
Perceived Role Conflict
you feel that the demands of your role partners are incompatible. To make one happy, you have to upset another (perceived). Upshot: misery & poor motivation

Perceived Role Ambiguity

You feel you dont have the information to cope with your job demands dont know how to do a task dont know what role partners expect dont know how your performance is being evaluated dont have clear objectives SUM: unsure how youre doing and what to do next

Motivational Theory
sales enablement and tools, reducing quote cycle times, better documentation, differentiated product

Another Factors
things you need to do just to get people satisfied

Table Stakes

Motivation Theories
Maslows Hierarchy ERG Theory

Motivation Theories
Herzbergs Theory

Maslows Need Hierarchy

Acquiring new knowledge and skills Need to belong and feel a part of a group Level of Trust How is he treated Financial compensation, lowest level of needs

Expectancy theory

Expectancy Belief that you can achieve a Desired outcome.

Instrumentality Achieveing one outcome will lead to attaintment of second desired outcome

Value Amount of subjective value of the outcome

The job of the sales force manager, therefore, is to work out what things have value for people collectively and individually, set objectives and make people believe they can achieve them, and ensure they believe that achieving the objectives will bring the desired rewards.

Motivation Hygiene Theory

Hygiene factors (lower-order) Concerned with the condition of the work environment rather than the work itself Pay Company policies Relationships with coworkers and supervisors General work conditions
Motivation factors (higher-order) Directly related to the job and must be present for the employee to feel motivated Achievement

Recognition
Responsibility, Challenge Opportunities for growth and advancement

 Expectancy Theory Motivation = f(Expectancy x Instrumentality x Valence) Equity Theory Defined as the belief that one is treated as fairly in relation to others A salespersons choice of effort to be expended is a result of a comparison between his output-input ratio and the output-input ratio of others

Approach to Motivation
Traditional Approach Authoritative management Emphasis on rewards the manager gives out:
pay promotion recognition of achievement Motivation to work harder: intensity, persistence

Leading to:

Non-traditional atmosphere Participate leadership Emphasis on intrinsic rewards & motivation people work because selling satisfies them with:
challenges pride in serving customers pride in skills informal sense of shared values identify with company long-term employment

Warm Culture

Motivating Sales Force

Salespeople are motivated by different needs.
Need for status
(e.g., need for recognition and promotion)

Need for control

(e.g., need to be in control and influence others)

Need for respect

(e.g., need to be seen as experts who can give advice)

Need for routine

(e.g., need to follow a routine that must not be interrupted)

Need for accomplishment

(e.g., need more money and challenges)

Need for stimulation

(e.g., need to seek outside stimulation and challenges)

Need for honesty

(e.g.,need to believe in the rightness of their practices)

Sales Force Motivators

Sales Force Motivators

Positive Motivators
Commission Recognition Acceptance Respect Trust Achievement Pride

Negative Motivators
Fear Intimidation Revenge Obligation Social Comparison (one-up)

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Appealing to Need for Affiliation

Appealing to Need for Power

Appealing to Survival Motivator

Salary Incentive Structure across Industries

Exploration

Establishment

Maintenance

Disengagement

Career Concern

Finding an appropriate occupational field

Successfully establishing a career in a certain occupation

Sustaining career Reassessing career

Completing ones career

Developmental Tasks

Learning the skills required to do the job well Becoming a contributing member of an organisation

Using skills to produce results Adjusting to working with greater autonomy Developing creativity and innovativeness

Developing broader view of work and the organisation Maintaining a high performance level

Establishing a stronger self-identity outside of work Maintaining an acceptable performance level

Psychological Needs

Support peer acceptance; challenging position

Achievement esteem Autonomy Competition

Reduced competitiveness Security Helping younger colleagues

Detachment from organisation and organisational life

Special Cash Incentives

Cash awards not part of the usual compensation plan

Unexpected Awards

Increase motivation more than pre-announced awards Self-determination of awards

Non-Cash Incentives

Merchandise Awards Travel/Entertainment Awards. Status Awards Recognition Awards

Other nonmaterial tools

Meetings between Manager and Sales Force Clarity of Job Sales Contest Sales Conferences and Conventions Positive Feedback Persuasion Trust Greater Involvement Delegation Increasing abilities

Right incentives
Motivation

Compensation

Non-Monetary benefits

Base Pay

Financial Incentives

Indirect Monetary Benefits

Employee Recognition

Compensation
Base compensation comparable with industry standards. Financial Incentives
Individual v/s Team based incentives Bonus Annual, Quarterly, Monthly Timing is CRITICAL

Variable compensation rate tied to gross margin.

Discounting is discouraged.

Non- Monetary Benefits

Recognition
Involve top management Recognize publicly Put the winner in the center

Newsletters
Articles about special efforts made Pictures of the top salespeople Spot for award recognition

Individual letters/special telephone calls

Non Monetary Motivation

Personal and fit the occasion Distinctive Can be honorary job titles

Special Communication

Awards

Types of Non Monetary Benefits

Point System
Presidents Club Sales Contest
Allow a sales rep to earn points during the year for achieving milestones or goals that aren't typically in the sales compensation plan

The annual club event for the top sales representatives

These are used to support a very short-term goal (like a product roll-out) and provide payouts either in cash or non-cash

Incentives
Its not just about the cash. Salespeople require recognition for their accomplishments
smile, cup of coffee or an email Thank You is the rarest but most powerful

Praise Openly and Criticize Privately

Sources of motivation
External Factors Bonuses Extra days off Prizes Fear Internal Factors Ownership Affiliation Achievement Recognition Meaning Challenge

Motivational tools
Motivational tools should satisfy at least two criteria.

a) Should generate extra effort that will help the company to achieve its objectives , and b) Must increase job satisfaction among salespeople. Motivational tools include, but are not limited to:
Sales meetings;

Incentive programs (e.g., sales contests and competitions)

Recognition programs (e.g., praise, promotion, extra responsibilities)

Sales Meeting
The purpose of a sales meeting is to prepare your sales staff to sell. Some aspects to be considered Get the meeting off to a good start Recognize your sales team's efforts
Congratulate and thank salespeople for any and all completed goals closed deals, and profits. Praise reinforces positive behavior and encourages everyone to do well.

Share stories from the trenches

At least one positive war story should be shared in every meeting. These stories are engaging and fun, and they reinforce sales goals.

Prepare
Give salespeople some general guidelines in order to prepare for the meeting in advance. Ask members of the team to share with the group:
How they made initial contact With what companies they had to compete for the sale What the competitors did or did not do well What worked and what didn't Which other team members helped with the sale

 Encourage people to share

Directly involve your sales team by having them present product demonstrations or to disclose sales tips at each meeting. Part of the sharing process can include acknowledgement or review of the common mistakes that salespeople make. Find a natural way to bring up the top 10 sales mistake(Not listening, overselling, not being prepared, jumping straight to sales, not closing sale, going off topic, not researching customer, judging books by their covers, not following up on leads, failing to prospect etc) and invite discussion as to how to avoid them. Sharing information and ideas will help everyone to close more sales and to earn more money.

Open up your circle

Bring in people from the real world. Invite one of the customers to a meeting and ask him to explain why he buys from you. This is a powerful and constructive dose of reality.

Remain positive and constructive

Sales meetings are a good time to focus on group concerns, not individual problems. Keep the discussion relevant and don't allow people to present problems unless they also have potential solutions.

Incentive Program
Basically for two purpose:
1. 2. Motivate your sales force Motivate someone else's sales force (like your dealers or distributors)

Some examples Frequent seller programs

Top Seller(s) Win

Chances to Win seller programs

Instant Win Scratch 'n Win Enter to Win

Meet/Beat the Quota programs

Achieve or exceed preset totals and earn a specific prize of recognition

Winning Teams
Meet or exceed at Team target to earn a Team/Individual prize

Sell and Save/Collect

Earn points for every unit sold Redeem points from a Prize Catalogue (Printed or on-line)

 Gift certificates
National, Regional or local retailers/service organizations Retail/on-line
CDs or DVDs Household services

Incentive travel
Group or individual

Debit cards
Predetermined values Re-loadable

Custom Designed Prize catalogues

Select prizes at different levels

Airline mileage programs

Earn "Air Miles

Sales Contest
Contest Objectives
To increase total and product sales most common Sales force must be given sufficient time All contest information and rules must be clear

Theme
Contests receive a theme to create excitement

Chance of winning
Compete against self, others, or as a team?

Recognition Programs
Human needs require approaches other than compensation to remain satisfied

Some Examples Recognition Awards

Certificates, Trophies, Plaques on achieving or exceeding sales target, quotas etc

Recognition of values
sincerity, honesty, on time etc.

Promotion
Increase territory, greater responsibility, greater authority(more number of people working under ), upper position etc

Praise
Should be frequently backed with some incentive .

Monetary and Non-Monetary Tools

Monetary Sharing of companys profit
Bonus

Non Monetary
Personal Interaction
Feedback Team Meetings

Direct rewards
Incentives Variable Pays

Interesting Job Recognition

Rewards Tiles

Sharing Information Empowerment Growth Opportunity Quality of life (Perks)

Extrinsic & Intrinsic Motivation

Intrinsic Motivation
Positively affects motivation Motivates sales force to act independently
e.g. free dinner for two, given to a sales person selected at random once per quarter

Extrinsic Motivation
Expected and not unusual Nothing to do with competency Mostly detrimental to motivation
e.g. standard company car after fixed years of service

Competence & Self-Determination

Self-Determination of Competence Forced development of Competence

Higher motivation for learning (Intrinsic Motivation) Enhanced perception of self competence
e.g. a salesperson given the opportunity to learn about a product independently

An element of compulsion Lesser motivation Perception of self competence not very enthusiastic
e.g. a sales person forced to attend a sales school and acquire competency in demonstrating a particular product

Money as Motivation
Key motivator Its influence on motivation dependent on how it is distributed Basically comprised of
Salary
Guaranteed minimums Christmas bonuses etc.

Commission
Bonuses based on sales goals Prizes given as rewards for sales contests Commission increases based on tonnage

Organizational Structure as Motivator

Territory Design
Territories generally assigned based on seniority, product type, geographical location etc. Perceived inequality in territory leads to resentment and demotivation Involvement of salespeople in the territory realignment right from the beginning

Job Design
Sales performance increases with decreasing role overload Dynamism of market conditions leading to complexities in sales job Salespeople overloaded with work and need to develop new expertise Appropriate division of responsibilities a key to motivation

Launched in 2003 as a direct selling arm of Hindustan Unilever Limited It partners its consultants in achieving success by presenting them with a business and self development opportunity Partners spread across 500 towns and cities and is backed by 30 offices across the country

Based on a point system where 1 point is rewarded for ` 25 worth of purchase

Sales conducted by the consultant is called Personal Volume (PV) and sales conducted by entire group including own PV is called Group Volume (GV)

Recognition
Through personal photo identity cards and visiting cards Through Title achievement Pins Through certificates and Plaques Through personal recognition letters from HUN Recognition in the monthly magazine of HUN Leverage

Product Knowledge Meetings Opportunity Sharing Meetings Motivational and System Meetings

To train about products Give skin testing machine and do specific parties to train consultants

To share the business opportunity at HUN and grow the network

To motivate consultants

Testimony of achievements and stories Recommendation to read motivational books Emphasis on setting goals and keeping pictures at work place and home Emphasis on time management and keeping goals time bound

Training and Personality Development Program

Focus on positive thinking HUN partnered with training organizations NIS Sparta and Franklin Covey

Sales Contests

Held by both leaders as well as company and mainly to motivate downline

Trade Promotion

Monthly schemes in form of Advantage

A division of Indias largest coffee conglomerate, the Amalgamated Bean Coffee Trading Company Limited (ABCTCL)

Operations Manager

Territory Manager

City Manager

Area Manager

Outlet Manager

Assistant Outlet Manager

Sales Executive

Incentive system at present is based on individual performance by the managers. Group Incentive system is present for store sales executives. Individual incentives to sales executive are provided only if product specific offer is going on As all the outlets are owned by the company, the sales force is based on salary as well as target commission. It helps to increase the authority of the sales manager Fringe benefits are in the form on meals and entertainment. Merchandise as well as monetary benefits is provided to the sales team

Goal Setting and Targets

Sales target are set on a daily basis which is appraised with flexibility. Sales force is not involved in goal setting and targets are set from the head office. The process is:
Set sales target at head office

Operation manager receives target

Allocates targets to territories based on size

Territory Manager allocates to cities

City Manager allocates to outlets

Outlet Manager gives it to its store

Sales targets are accepted as it is. Financial rewards are given in case the targets are overachieved

Meetings and Contests

Meetings are held twice a month Sales contests are product specific only like Snapple and cookie man contests The outlet manager can conduct some contests on his own for the executives but he has to pay from his pockets Only Area managers and above are entitled to conferences and conventions. Outlet managers are limited to attend city level conferences only.

Training and Feedback

Feedback system is followed on a quarterly basis. Every 10 days Area manager visits the outlet. Thats the only involvement he shows with the sales executives The team is congratulated in case the target is achieved by just a simple SMS from the area manager to the Outlet manager Sales training, grooming trainings are given at entry level and sales target explained to executives at the beginning of every month

Strategy: Client Profit Planning

Steria
Challenges
Changing Technology High End Competitors

Situation: Creative Selling of Intangibles

Selling Type: Consultative

Tools used for motivation

Titles and Recognition Pat on the back policy Star Performer Star Performer team Bonus and Variable pay Continuous feedback to the sales force Feedback given to the sales managers by sales force

Motivation and Hierarchy

For junior employees: Money For senior employees: Better Roles, Challenging roles, Recognition

Strategy: Client Profit Planning

ICICI Prudential Life Insurance

Challenges
Volatile industry Intangible product Need for reflective reverse skills

Situation: Creative Selling of Intangibles

Selling Type: Direct Selling

Tools used for motivation

Incentives Targets
Separate goal sheets for team and individuals continuous monitoring

Rewards
Striker Of The Month award Employee of the month (for each unit)

Recognition
Top performers honoured in monthly meetings Irrespective of the results, efforts are appreciated

Cargill Refined Oils India Sales Meeting

Strategy: Negotiation

AMUL
Asst. Manager (Sales) - 1 Sr. Executive 2

Situation: Outside Order Taker Selling Type: Commercial

Executive - 2

Junior Executive - 3

Field Sales Representative - 9

Pilot Sales Representative - 11

AMUL
Challenges
Maintaining quality of perishable products Product placing Reverse supply chain Pressure from manufacturing unit
Tools
Personal interaction
Appreciation of the efforts Increasing the confidence level

Targets
Weekly and monthly targets

Incentives
Annual growth based Range of growth percentage Given once in a year Divided in three parts
Individual Team Company

Demotivating Factors
Lack of recognition Involvement of unfavourable factors
Infrastructure Customer behaviour Promotional offer timing

Promotion based on performance Support for special problem solving

Comparison among the employees performance

Special task force

Additional Material.

Example 1 Max New York Life Insurance

Zonal Head Senior Sales Manager Multilocation Managing Partner

Sales Hierarchy

Sales Manager Partner Incharge Project Associate Sales Manager Branch Manager Agent Assistant Branch Manager

Max New York Life Insurance

Factors leading to the motivation of sales force
At the agent level the only motivating factor is performance based salary. Regular training for knowledge enhancement. Personnel relations with superior. Timely Appreciation Recognition in the office/company.

Factors leading to the demotivation of sales force

Frequent movement to different cities.

Max New York Life Insurance Tools/ Techniques used to motivate sales force
Contest launcher For encouraging agents to perform better to get rewards. At Agra, training sessions are organised where trainers from New York come. Sales people are recommended for MDRT (Multi Dollar Round Table) reward, the best in Insurance sector. Based on performance sales people are given chance to attend Executive Counsels. Last one took place at Singapore. At Branch levels Geo Meets are organised to give awards to best performing people.

Example 2 - TCS
Chief Operating Officer (COO)

Geographic Sales Head

Sales Hierarchy
New Business Development Head Client Group Head

Business Development Director

Business Relationship Manager

Regional Business Development Manager

Engagement Manager

TCS
Factors leading to the motivation of sales force
For COO - Board membership and share in companys growth For Geographic Sales Head - Shares on deals frozen Increase in Variable salary with more deals closed per cycle Continuous stress on skill enhancement of sales force by the company

TCS
Factors leading to the demotivation of sales force
Subjective evaluation of performance Goal setting almost at the end of the period of evaluation Unrealistic targets set. Very sluggish career movement

TCS
Tools/ Techniques used to motivate sales force
Number of deals closed for half-yearly/ yearly performance evaluation HR team mobilisation to ensure the timely goalsetting to preserve the relevance of performance evaluation Process compliance as an important component of goal-sheets at each level of hierarchy Performance evaluation is done in consultation with the person being evaluated Various training sessions pertaining to technical and soft skills are organised for the sales force on a regular basis

TCS
Hats-Off function is organised yearly at Delivery Centre level to facilitate people who have consistently been star performers for few years TCS felicitates with Star of the month and Star of the quarter awards Best practices and best personal performances are highlighted on TCS website

Techniques for Motivating Salesforce

Involve sales team in setting goals
Goals to be Specific, Motivating, Achievable, Relevant, Time Bound

Facilitate two-way communication

Transparency a motivator Regular update meetings, email correspondence Broadcast voice mails, Casual Discussions

Recognize their efforts

Be specific, Be sincere, Ensure timeliness

ICICI Prudential
we continue to tirelessly uphold our commitment to deliver world-class financial solutions to customers all over India

Sales Manager Hierarchy at ICICI Prudential

Manager Business Partner

Regional Manager

Zonal Manager

National Manager

UDAAN
ICICI Prudential Campus Program for Executive Trainees (ETs) holistic approach towards Leadership grooming structured induction program on the field experience in respective sales channels

Training
Comprehensive Induction Programme called LIFE. How to makes sales calls and write sales letters. Stress and Rejection handling Share the problems and the solutions among themselves Time Management Training

Effective Sales Call Method at ICICI Prudential

Freeze on exact objective of the sales call Review all known facts about the prospect List all the benefits that are available to those that use your product Focus on the selling points that evolve from all the product benefits Assemble a file that includes specifications sheets, photographs, testimonials, test data etc. Make a list of all possible objections to the sale. Write out a pre-closing summary.

Goal Sheet
Targets across various business parameters
Premium number of policies advisor team strength Activisation

Each channel has different parameters. On meeting all the parameters one will be eligible for promotion.

Meritocracy
Stepping Stones career progression program No scope for subjectivity Expressway Initiative for Fast track growth The role of a manager having advisors working under him/her :
Responsible for relationship management of his set of business partners. Drive the business objectives in the channel through advisors by providing support for advisor management and engagement and aligning them to the organization goals . He will also be responsible for key information dissemination, planning and execution for his Business Partners. He will also be responsible for all training and development of the Advisors.

Motivation Theories

Motivation Theories

Cognitive approach

Non-cognitive approach

Content Theories

Process Theories

Reinforcement theory

Maslows need hierarchy

Herzbergs MotivationHygiene model

Alderfers ERG model Vrooms Valence Expectancy theory Equity theory Goal Setting theory

Models of Motivation which focus on internal and external Mental processes

Motivation Theories

Cognitive approach

Non-cognitive approach

Content Theories

Process Theories

Reinforcement theory

Maslows need hierarchy

Herzbergs MotivationHygiene model

Alderfers ERG model Vrooms Valence Expectancy theory Equity theory Goal Setting theory

What motivates people? Focus on human needs and behaviour

Motivation Theories

Cognitive approach

Non-cognitive approach

Content Theories

Process Theories

Reinforcement theory

Maslows need hierarchy

Herzbergs MotivationHygiene model

Alderfers ERG model Vrooms Valence Expectancy theory Equity theory Goal Setting theory

- Self development and creativity

SelfActualization Motivation Theories Needs Esteem Needs

- Power, Achievement, Status, Independence etc

Non-cognitive approach

Cognitive approach

Social Needs
Content Theories

- Affection and Affiliation companionshipProcess and belongingness Theories

Reinforcement theory

Security Needs
Maslows need hierarchy

- Safety as well as security, e.g. Job security, insurance etc. Herzbergs

MotivationHygiene model Alderfers ERG model Valence PhysiologicalVrooms Needs Expectancy theory Equity theory Goal Setting theory

- Basic Needs e.g. Food, Shelter , Clothes etc

 Factors leading to motivation and job Motivation satisfaction are not the same as those leading to Theories apathy and job dissatisfaction

Job Satisfiers
approach Related to job content Motivational Factors Cognitive

Job Dissatisfiers
Related to jobapproach context Presence provides no motivation Absence causes dissatisfaction Hygiene Factors
Process Theories
Non-cognitive

Maslows need hierarchy

Achievement Recognition for achievement Content Theories Work itself Responsibility Advancement Herzbergs Possibility of growth
MotivationHygiene model

Alderfers ERG model

Supervision Company policy and administration Working conditions Interpersonal relations with Vrooms Valence Job Security Equity theory Expectancy theory Salary

Reinforcement theory

Goal Setting theory

Motivation Concerned with Survival Theories Physiological and biological needs, and safety needs Existence Maslows first and second level needs Need Cognitive approach Importance of Non-cognitive approach relationships

interpersonal and social Relatedn- Maslows third and fourth level needs ess Need
Content Theories

Growth Need
Maslows need hierarchy

Reinforcement Concerned with the individuals intrinsic desire for personal Process Theories theory development Maslows fifth and last level need

Herzbergs MotivationHygiene model

Alderfers ERG model

Vrooms Valence Expectancy theory Equity theory Goal Setting theory

How are people motivated? Focus on the dynamics of major variables that are inter-related in explaining the direction, degree and persistence of effort
Cognitive approach

Motivation Theories

Non-cognitive approach

Content Theories

Process Theories

Reinforcement theory

Maslows need hierarchy

Herzbergs MotivationHygiene model

Alderfers ERG model Vrooms Valence Expectancy theory Equity theory Goal Setting theory

Motivation Motivation = function of (Expectancy x Instrumentality x Valence) Theories

Expectancy
Cognitive approach

Instrumentality
Salespersons perception of the probability that performance will lead to Process or certain outcomes Theories rewards What do I get for doing Alderfers ERG it?
model

Valence
Non-cognitive approach

Salespersons perception that a certain amount of effort will lead to successful Content performance Theories

Perceived attractiveness or unattractiveness of anoutcome or reward Reinforcement

theory

Maslows need hierarchy

Can I do it? Herzbergs

MotivationHygiene model

How much do I value the reward?

Equity theory Goal Setting theory

Vrooms Valence Expectancy theory

 Job performance and satisfaction is the degree of equity (or inequity) that people Motivation Theories perceive in their work situation Two important variables; Inputs and Outcomes Inputs are the effort skills Outcomes are the Cognitive rewards
approach

Non-cognitive approach

Equity exists when Output of A (e.g., pay, recognition) Input of A (e.g., effort, loyalty)
Content Theories

Output of B (e.g., pay, recognition) Input of A (e.g., effort, loyalty)

Process Theories Reinforcement theory

Equity perception formed through four steps

Evaluation of self
Maslows need hierarchy

Herzbergs MotivationHygiene model

Evaluation of others
Alderfers ERG model

Comparison of self and others

Vrooms Valence Expectancy theory

Perceived feeling of Equty or Inequity

Equity theory
Goal Setting theory

 Individuals sometimes have a drive to Motivation reach a clearly defined end state
Theories

Goal's efficiency is affected by three features: proximity, difficulty and specificity Goals that are difficult to achieve and specific tend to increase performance more Cognitive Non-cognitive than goals that are not approach approach Setting goals affects outcomes in four ways: Choice Content Theories Effort Persistence Cognition
Maslows need hierarchy Herzbergs MotivationHygiene model Alderfers ERG model Vrooms Valence Expectancy theory Equity theory Reinforcement theory

Process Theories

Goal Setting theory

Motivation Theories

Based on operating conditions Behaviour is a result of its consequences

Cognitive approach

Noncognitive approach

Content Theories

Process Theories

Reinforcement theory

Maslows need hierarchy

Herzbergs MotivationHygiene model

Alderfers ERG model Vrooms Valence Expectancy theory Equity theory Goal Setting theory

Stimulus

Motivation Response Theories

Consequnce

Main strategies :

Cognitive approach

Non-cognitive approach

Positive Reinforcement : Entails the use of rewards that stimulate repetitive behaviour.
Content Theories

Negative Reinforcement : Also known as the avoidance Process Theories learning and implies the use of unpleasant consequences to condition individuals to avoid undesirable behaviour.

Reinforcement theory

Extinction : This is withdrawal of all forms of reinforcements to remove or Herzbergs extinguish undesirable behaviour. Maslows need Alderfers ERG Motivationhierarchy Hygiene model model Goal Setting Punishment : This tool is used when an unpleasant behaviour needs to be Equity theory Expectancy theory theory reduced or eliminated. Vrooms Valence

 Free office space

Long term partners are given office space at NJ office itself Ensures that any new joiner meets the partner and is inspired by his work and earnings

Well do it... for sure ;-) THANK YOU