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8

chapter

Motivation,
Leadership, and
Teamwork
Better Business
1st Edition
Poatsy Martin

Slide presentation prepared by Pam Janson


Stark State College of Technology
2010 Pearson Education, Inc.

Leadership
Who in Picture?

1983
46 000 villages
1267 branch.
4.5 $ billion loans (12-15 $)

Leadership Theories
1. Trait (Good decision making).
2. Behavioral ( Autocratic, Democratic,
Laissez faire)
3. Contingency (Situation)
4. Power.

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Leadership development is a global challenge

Over 76% indicated that the most


critical people management issue
related to organizational success
was their leadership development
and leadership pipeline
Deloitte Touche Tohmatsu and the Economist Intelligence Unit

What is Leadership
A process by which one person influences the
thoughts, attitudes, and behaviors of others by
inspiring, encouraging and igniting them
Everyone's business
A personal journey of self development
Not biased in any way. A good leader is a
good leader regardless of age, race, or gender

The Five Practices of Exemplary Leaders

1. Model the Way


2. Inspire a Shared Vision
3. Challenge the Process
4. Enable Others to Act
5. Encourage the Heart

The Five Practices Of


Exemplary Leadership

Leadership
Management is doing things right;
leadership is doing the right things.
Peter Drucker

Resonant leaders

o Highly aware of others emotional states and


skilled at inspiring people

Emotional intelligence

o Ability to understand both ones own and


others emotions
2010 Pearson Education, Inc.
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Manager or Leader
Manager:
Tells
Has a process.
Administers.
Maintains within
constraints
Focuses on system
Relies on control
Short range view.
Asks how and when
Eye on bottom line
Imitates
Accepts the status quo
Does things right

Leader:
Sells
Has a vision
Innovates
Develop to break free of
constraints
Focus on people
Inspire and motivates.
Long range view
Asks what and why?
Eye on horizon
Create.
Challenges the status quo
Does the right things
9

What are the various identifiable leadership styles and personality


traits, and how do they affect business leadership?

o Both leaders and managers strive to


motivate people, but they have different
scopes. Typically, managers spend their
time making sure that specific tasks
are done well and are completed on
time.
o The leadership of the company, on the
other hand, is focused on setting the
long-term vision and strategies the
company will need to survive and
flourish. Truly great leaders define a
vision, foster agreement across the
company, and then implement the
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o A resonant leader is highly aware of others


emotional states and skilled at inspiring people to
feel more positive. A resonant leader also
connects with others by being honest and open
about their own ideals, concerns, and goals. In
working with these types of leaders, people tend
to feel secure and free to explore and share their
creative ideas.
o Resonant leaders usually possess a high
degree of emotional intelligencethe ability to
understand both ones own and others emotions.
It is a term for the set of skills including selfawareness, self-management, social awareness,
and relationship management.
2010 Pearson Education, Inc.
Publishing as Prentice Hall

11

Styles of Leadership

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12

What is the leadership?


Leadership definition: is the
process of influencing others
to work willingly towards goals
to the best of their capabilities,
perhaps in a manner different
to that which they would
otherwise have chosen.

A SELF-PERCEPTION
INVENTORY
This inventory was developed to give team
members a simple means of assessing
their best team roles.
Team Role

16-PF Belbin Test


Group Roles
C
F

TASKS
Completer Finisher

SH

CO

Company
Members

IMP

Shaper

Team Members

T
W

Implementer

Leader

ME

Monitor
Evaluator

Resource
Investigator

PL

Plant

IDEAS

PEOPLE

RI

Belbins Team Roles

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16

Group Roles

The Differences between the 8 group characters


are very simple yet staggering and through
understanding them and allocating the units
staff members in them according to the
distribution, we can get to understand our assets
and compatibility measures more easily. Below
is a brief description of each of the characters
including points of Strength, weakness and
management hints.

Group Roles
Team Member: TW
A Character who is always concerned with People and
Emotions. He is an excellent Active Listener with great
emphasis on maintaining good relations and
interpersonal communication with others in the group.
Usually he cannot function under pressure and can
become very defensive in stressful situations. Very quick
to give up and quite if not motivated constantly. He is
very reliable when it comes to supporting and helping
people through their activities and life. Always
recommended for jobs like Teaching, Counseling,
Human Resources Management, recruitment, NGOs,
Humanitarian Projects, etc.

Group Roles
Resource Investigator: RI
An Extrovert Person with very high interests in getting
to establish new contacts and networks as well as
maintaining them through constant communication with
an excellent memory for people, names, faces and
situations. He is very likable, popular and have contacts
almost everywhere.
Though very competent in establishing leads and
contacts, he has little tolerance over details and
complicated tasks like reports, studies and even problem
analysis. He is more into exploring identifying and
finding things. He is People Oriented and focused on
developing his Rolodex rather than get serious work
done.

Group Roles
Always recommended for jobs where searching and
contacting people are important even if under pressure
that why they are considered as the best candidates for
Sales, Public Relations and Corporate Communication.
On the operations side they are renowned Purchasing
and Procurement People.

Group Roles
Plant: PL
The Genius of any group with very high level thinking
and capabilities of analyzing situations and reaching
the RIGHT solutions. He is always ahead in any thinking
game with a clear example of creativity and creative
thinking abilities. Still, he is very egoistic and believes
that he is the only group member who has the ability to
think which is reflected in his attitude and way of
communicating with the rest of the group. He is very
proud and would switch off if not listened and followed
as to his ideas. So Having two of this RARE type is not
recommended in the same group.

Group Roles

They are in many cases the stars of their


organizations in functions like Design,
Marketing and Advertisement, Research &
Development and various engineering
problem solving situations.

Group Roles
Monitor Evaluator: ME

He is the Rational Person with great emphasis on


Analysis and Logic with a very realistic view of
everything. He has a great ability to detect problems and
mistakes sometimes before they happen and provides
the safety net in thinking in the group.

Group Roles
Can come across as always negative and complicating
things due to his nature of seeing the cup half empty.
They sometimes lack diplomacy and are more
concerned for the well being of the team rather than
their feelings. They can be tough and aggressive
sometimes and usually win any argument by simply
being systematic and logical.
They are the company conscience and are always
entrusted with jobs like Financial & Accounting issues,
Auditing and Quality Assurance/ Control. For this
character all is Black or White with little gray to discuss.

Group Roles
Completer Finisher:

CF

This Character is the driving engine of the


group with the highest sense of achievement
and time consciousness. They are task driven
and objective focused. Time is the most
important asset for them and they have to solve
all problems to get the job done regardless of
what people want to do or not do.

Group Roles
They work according to plans and procedures and once
they start they refuse to CHANGE anything and are
known to be very tough in changing their minds or
changing priorities. The do not like to waste too much
time in thinking and planning as they are more of handson people.
They are the driving force of Humanity and are usually
project managers, production and operations people
and are usually the most valuable characters in factories,
sites, oil rigs, etc.

Group Roles
Company Member: CO
This Character is the best Instruction taker in the group
with dedication to do what is asked from him.
He does not waste time or discuss anything simply carry
out instructions. He is quite good in repetitive jobs
where very little changes and they have a remarkable
sense of consistency.

Group Roles
Still, he does not like to think or discuss anything with
no sense of initiative whatsoever. He does not like to
participate in group discussions or creativity exercises
and prefers to wait until someone decides and awaits
his portion of the work.
This Character is everywhere and a great number of
employees can be at a point in time like this. They need a
manager with a directive style to give them their tasks,
deadlines and specifications. Without close follow-up
they would probably reduce their working capacity and
could even do nothing.

Group Roles
Shaper: SH
This Character is the most organized with an amazing
ability of sorting up everything and creating systems
for managing the work. They have this great capacity to
handle so much work with little effort thanks to their
planning skills.

Group Roles
They can be too systematic to be slow in changing or
doing things quick and dirty as they are so well
organized. They can get bored very quickly as they
enjoy the challenge of sorting or solving a problem and
developing s system for making things flow smoothly
afterwards before moving to something else.
This is the character of an IT Person, Systems People
and Processes and Procedures and definitely a
Consultant.

Group Roles
Implementer: IMP
The "Implementer" is the practical thinker who can
create systems and processes that will produce what
the team wants. Taking a problem and working out how
it can be practically addressed is their strength. Being
strongly rooted in the real world, they may frustrate
other team members by their perceived lack of
enthusiasm for inspiring visions and radical thinking,
but their ability to turn those radical ideas into workable
solutions is important.

Group Roles
Leader:

Now this last Character is the person


expected to be able to understand all the above
characters, their strengths, weaknesses and needs to be
able to manage them. He has to be Open Minded, People
oriented as well as task oriented, logical and balanced
and above all tolerant of people differences.

Leader Behavior Analysis


Start your simulation:

Solve the 20 situations

Go to Simulation First
Work

Determining the
flexibility style.
Use red pin to mark your score.

What is your

Primary, Secondary ,and


Developing:
Go to score sheet

S1 Directing.
S2 Coaching.
S3 Supporting.
S4 Delegating.

What we need to win in


team?

Power Recourse + Situation =


Real Power Effect
Effectiveness &
Efficiency

Type of your power


Self Perception of
Leadership/Power Source
Assessment.

Power Bases
Power Resource (Everywhere)
A. Blocking / Coercive power.
B. Relationship power.
C. Expert power.
D. Persuasive power.
E. Appointed power.
F. Personal power.
G. Resource power.

. Span of Influencing other in a company


. Power Recourse + Situation = Real Power Effect

Power Bases
H. Elected position Power:
This type of power that comes from being
elected by the majority of those eligible to
vote.

Power Bases
A

Blocking / Coercive power

is based on fear. A leader scoring high in


coercive power is seen as inducing compliance
because failure to comply will lead to
punishment such as undesirable work
assignments, reprimands, or dismissals.

Power Bases
B Relationship power is based on the
leaders connections with influential or
important persons inside or outside the
organization. A leader scoring high in
connection power induces compliance because
others aim at gaining the favor or avoiding the
disfavor of the powerful connection.

Power Bases
C Expert power is based on the leaders
possession of expertise, skill, and knowledge,
which gain the respect of others. A leader
scoring high in expert power is seen as
possessing the expertise to facilitate the work
behavior of others. This enables a leader to
influence the behavior of others.

Power Bases
D Persuasive power is based on the

leaders possession of or access to information


that is perceived as valuable to others. This
power base influences others because they need
this information or want to be in on things.
This kind has ability to persuade people to
believe what they want to do.

Power Bases
E

Appointed power is based on the

position held by the leader. The higher the


position, the higher the legitimate power tends
to be. A leader scoring high in legitimate power
induces compliance from or influences others
because they feel that this person has the right,
by virtue of position in the organization, to
expect that suggestions be followed.

Power Bases
F Personal power is based on the

leaders personal traits. A leader scoring high in


referent power is generally liked and admired by
others because of personality. This liking for,
admiration for, and identification with the leader
influences others.

Power Bases
G Resource power is based on the

leaders ability to provide rewards for other


people. They believe that their compliance will
lead to gaining positive incentives such as pay,
promotion, or recognition. Also, this type of
power comes from or having control over
resources. Wealthy people have this type of
power.

Sources of Management
Power

High

Moderate

Low

M4 M3 M2 M1

Expert

Personal

Resource

Coercive

Persuasive

Appointed

Relationship

Competence and
Commitment
Competence:
Task-specific knowledge and skills
developed through:
1. Experience.
2. Training.
3. Coaching.

Competence and
Commitment
Competence:
Transferable knowledge and skills that can
be used across multiple goals or tasks and
are applicable to the task at hand, such as:
1. Problem solving skills.
2. Communication skills.
3. Negotiation skills
4. Project management skills.

Competence and
Commitment
Commitment
The motivation to perform the goal or task,
including:
1. Excitement
2. Enthusiasm
3. Energy.
The confidence to perform the goal or task
independently.

Development Levels
1.
2.
3.
4.

Enthusiastic Beginner.
Disillusioned Learner.
Capable but cautious, performer.
Self Reliant Achiever.

Partnering at D1
The Enthusiastic Beginner
D1 Characteristics:
Enthusiastic.
Wants to do a great job
Curious
Inexperienced
Optimistic
Thinks its going to be easy
Unskilled
Can get discouraged

D1 (Enthusiastic Beginner)
Needs

Clear goal & Detailed action plan.


Frequent feedback.
Praising.
Timelines and priorities.

D1

Enthusiastic Beginner.

Low Competence.
High
Commitment.

Task Allocation & Follow-up Style

Directive Style:
A Manager used to GIVING detailed and
consecutive instructions to his
employees, with little space to think or
maneuver. The Follow-up is very tight and
close with the question always prevailing:
Are we done yet? Where are we now? Did you
call them? Let me know immediately!

Task Allocation & Follow-up Style


Supportive/ Participative Style:
A Manager who involves his employees in
planning a task and deciding on the best way to
take it forward. They AGREE on what should
be done and how and when should the delivery
date be. The follow-up style is more democratic
with the manager playing the role of support:
Do you need anything from me? Can I help you
with anything? If you get stuck I am always
available.

Task Allocation & Follow-up Style


Facilitative Style:
A Manager who has developed TRUST and
understanding between him and his staff
capabilities and is always dependent on their
sense of initiative and achievement. Allocation
of tasks mainly includes stating the
objective/deliverable. The Follow-up style is
basically nothing as no one is coming over with
a problem this means the deadline will be met.

D1 (Enthusiastic Beginner)
Direction
Goal and Why?
Set goal and explains why
Action
Develops action plan.
Checking Progress
Sets schedule for checking progress.
Express Confidence

D2

Disillusioned Learner.

Low to some
Competence.
Low Commitment.

The EAR Model


Someone
says or does
something

Explore
Acknowle
dge

No
Yes
Do I truly
understand
or have
enough
info?

Respond

The EAR Model


1.
2.
3.
4.
5.
6.
7.

Ask Question
Open- closed
Listen well
Recognize
Accept.
React.
Feedback

D3

Capable but cautious,

performer

Moderate to high
Competence.
Variable
Commitment.

Capable but cautious, performer.


This is a huge
project. If only
I had a few
more days!

I sure hope
this thing
doesnt
bomb!

Page 38

D4

Self Reliant

Achiever.

High
Competence.
High
Commitment.

Development Level Matrix


Development Level

Developmen
t
Level
Variables

D1
Enthusiastic
Beginner

D2
D3
Disillusioned
Capable,
Learner
But Cautious

D4
Self-Reliant
Achiever

Task
Performanc
e
Level

Cant
perform or
performs at
low level

Performs
below
expectation,
inconsistent

Performs at
consistently
high level

Meets
performance
expectations

Development Level Matrix


Development Level

Developmen
t
Level
Variables

D1
Enthusiastic
Beginner

Competenc
e
Level of Task
Knowledge
and Skills

Low
Lacks task
relevant
knowledge
and skills

D2
D3
Disillusioned
Capable,
Learner
But Cautious

Some
Has some
knowledge
and skills

Moderate
to High
Has solid
base of
knowledge
and skills

D4
Self-Reliant
Achiever

High
Is highly
competent

Development Level Matrix


Development Level

Developmen
t
Level
Variables

D1
Enthusiastic
Beginner

Commitme
nt
Motivation

Low
High
High
Can feel
Variable
Is highly
Is
confused,
Commitment motivated,
enthusiastic, discouraged,
level can
may need to
excited,
frustrated,
fluctuate.
be
optimistic . overwhelme
challenged.
d.

D2
D3
Disillusioned
Capable,
Learner
But Cautious

D4
Self-Reliant
Achiever

Development Level Matrix


Development Level

Developmen
t
Level
Variables

D1
Enthusiastic
Beginner

Commitme
nt
Confidence

Low
Discovers
High
that learning
Has
skills and
unrealistic
performing
expectations
task is
harder than
expected

D2
D3
Disillusioned
Capable,
Learner
But Cautious

Variable
Is
sometimes
hesitant,
unsure,
tentative

D4
Self-Reliant
Achiever

High
Trusts own
ability to
work
independent
ly

Development Level Matrix


Development Level

Developmen
t
Level
Variables

D1
Enthusiastic
Beginner

D2
D3
Disillusioned
Capable,
Learner
But Cautious

D4
Self-Reliant
Achiever

Problem
Solving
capability

Is eager to
learn: can
not solve
problems
independent
ly

Is usually
independent
sometimes
needs help
in thinking
through
problems

Takes
initiative in
identifying
and solving
problems.

Has some
problem
solving
capability

Diagnosing Development Level


You have been involved in getting a new,
inexperienced team member started in his
job. You have been giving him detailed
direction and motivating his progress
closely.

He has begun to learn the skills required


to achieve a goal in one of his areas of
responsibility. Lately you have noticed that
he seems frustrated and is less willing to
talk about what is happening.

Performance:
Little or none (
)
Below expectation (
)
Meets expectation ( )
Consistently high (
)

Competence:
Low (
)
Some (
)
Moderate (
)
High (
)

Commitment :
Motivation High ( ) Low ( ) Variable ( )
High ( )
Confidence High ( ) Low ( ) Variable ( )
High ( )

Therefore, his development level


is:

D
1

D2

D
3

D4

Leadership
Definition:
Influencing others in ways that foster
individual goal achievement and
contribution to organizational goals.

Leadership Style
Definition:
A consistent pattern of behaviors used to
influence others as seen by them.

Is Leading Easy Task?


Lead to achieve?

Leadership Style Matrix


Key Leader
Leadership
Styles

Directi
ng
S1

Goal
Setting

Leader
sets
Goal

Action
Plannin
g

Checkin
g
Progres
s

Decisio
n
Making

Feedback
and
Reinforcem
ent

Leader
Develo
p
action
plan

Leader
sets
schedu
le
For
checki
ng
Progre
ss

Leader
makes
decisio
ns

Leader
praises
Progress

Leadership Style Matrix


Key Leader
Leadership
Styles

Coachi
ng
S2

Goal
Setting

Action
Plannin
g

Leader
gets
team
membe
r input,
then
sets
goals

Leader
gets
input,
then
develop
action
plan

Checkin
Feedback
Decisio
g
and
n
Progres
Reinforcem
Making
s
ent
Leader
gets
input,
Leader
Leader
then
gets
gives
sets
input,
frequent
schedul
then
positive and
e for
makes
corrective
checkin decision
feedback
g
s
progres
s

Leadership Style Matrix


Key Leader
Leadership
Styles

Support
ing
S3

Goal
Setting

Leader
collaborat
es with
team
member
to set
goal

Action
Plannin
g

Leader
Facilitates
developmen
t of action

plan

Checkin
Feedback
Decisio
g
and
n
Progres
Reinforcem
Making
s
ent
Team
membe
Team
r sets
membe
schedul
Leader
r takes
e for
occasionally
lead;
checkin
gives
leader
g
feedback
facilitat
progres
and
es
s;
recognition
decision
leader
making
confirm
s

Leadership Style Matrix


Key Leader
Leadership
Styles

Delegati
ng
S4

Goal
Setting

Action
Plannin
g

Team
membe
Lead
collaborat
r
es
develop
With
s action
team
plan;
member
leader
to set
goal.
confirm
s

Checkin
Feedback
Decisio
g
and
n
Progres
Reinforcem
Making
s
ent
Team
membe
r sets
Team
Team
schedul membe
member
e for
r makes
mostly
checkin decision
provides
g
s;
own
progres
leader
feedback
s;
confirm
and
leader
s
recognition
confirm
s

S3
D3

S4
D4

S2
D2

S1
D1

Match Development Plan with Leadership Styles


Based On Situation your Power will
determine
Let us
talk
You
Decide

Let us talk
I will
Decide

You
Decide

I will
Decide

Decision Making

S
Styles

.
.
.
Page 47


.
.
.

If you bounce
your ideas off
me, it will help
you to decide.

.
.
.

.
.
.

The Effect of Technology


on the Design of Teams
In a virtual team, members are located in
different physical locations but work together to
achieve a goal.
o The need for virtual teams grows out of the
increased globalization of business.
o Familiar tools like conference calls and e-mail
have evolved to include video conferencing and
live broadcasting of key meetings and events over
the Web. Web casts can now support interactive
participation of the viewing audience.
o The promise of much higher-speed Internet
transfer is also being explored. The potential to
connect students and workers from many parts of
the world may lead to exciting new possibilities for
synergy.
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91

Motivation
Personal motivation
o What drives you to do your
best?

Flow
Organizational psychology

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92

Learning Objectives
1. How do motivation and work environment encourage flow?
2. What are the intricacies of Maslows hierarchy of needs,
McClellands three needs theory, and Herzbergs motivatorhygiene theory?
3. What are the distinguishing factors between extrinsic motivators
and intrinsic motivators?
4. What are the implications of Theory X, Theory Y, Theory Z, and the
Vroom model?
5. How have motivational theories and industrial psychology changed
the work environment since the early 20th century?
6. What are the various identifiable leadership styles and personality
traits, and how do they affect business leadership?
7. What are the best ways to create, manage, and participate in teams,
taking into account factors such as technology, group flow, Belbins
nine team roles, and Coveys seven habits model?
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93

Make you
Laugh

Is a good
communicator

Did
something
amazing
Has a
positive
energy
Is
creative

Showed you
a different
perspective

Surprise
you

Kept an
open mind

Is fun to
be around

Works well
with others

Deserves
a pat on
the back

Provided
encourage
-ment

Free

Made an
improve
ment

Is a great
listener

You got
to know
better

Took a
risk

Played a
different
role

Inspires
you

Is a good
problem
solver

Has a
great
attitude
Challenged
you

Gave
you a
hand

Has a
good
leadership
skills
Taught you
something
new

Finding and optimizing the sweet


spots

Serotonin

Dopamine

Reward

Achievements
Easy Tasks

Oxytocin

2010 Pearson Education, Inc.


Publishing as Prentice Hall

Relationship
96

What we need to win in


team?

How do motivation and work


environment encourage flow?
Motivation is a complex mental state and plays
a key role in determining the success of a
business and the satisfaction of its employees.
Some people need immediate gratification or
success in order to stay motivated. Others are
able to postpone short-term success in pursuit of
long-term gains. Is getting a lot of praise or
money for a job important to you? Or are you
driven more by the values of the place where you
work, your beliefs, or in doing a job well?
2010 Pearson Education, Inc.

98

How do motivation and work


environment encourage
flow?
Psychologist Mihaly refers to the state of rapt
attention as flow. A flow state happens when
you are completely involved and focused on
what you are doing. Often people produce their
best work, make the best use of their skills, and
feel the most pleasure when they are in such a
flow state.

2010 Pearson Education, Inc.

99

Haris Interactive Survey


37 % know clearly the objective for their organization.
1 from five is ambitious for his organizations goals
and his team.
1 from five has a clear vision link between his tasks
and company objectives.
15 % only felt that their organization empower them to
implement the main objective.
13 % said that they have relationship with other
departments by high level of trust and cooperation.

Motivation in the
Workplace
The Q12 is a survey of employee engagement
administered by the Gallup Organization. It
classifies employees as engaged, not
engaged, or actively disengaged. According to
the surveys 2007 results, 73 % of U.S.
employees are not engaged or are actively
disengaged in their work. This statistic makes it
clear that encouraging a sense of flow in the
workplace is a significant challenge.

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Benefits of Keeping Employees


Motivated

Workers are more productive


Workers are more creative
Retention levels are higher
Companies benefit financially

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Benefits of Keeping
Employees Motivated
According to Gallups calculations, the
cost to the U.S. economy from
disengaged employees is up to $350
billion a year in reduced productivity.

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Theories of Motivation:
Maslows Hierarchy of Needs
Abraham Maslow was an early researcher in the area of human
motivation and published the book The Hierarchy of Needs in 1954.
Maslow suggests that humans have a hierarchy of needs, and that
primary needs are met first before higher-level needs are
addressed.
o The first needs to be met are inborn, basic needs
termed physiological needssuch as the need for
water, food, sleep, and reproduction. Before we can think
about anything else, we must meet our basic
physiological needs.
o Once our physiological needs have been met, people
strive to satisfy safety needs. This includes establishing
safe and stable places to live and work.
o Once the lower two need categories have been met, we
consider belonging needssuch as the need to be part
of a group and feel accepted by others.
o Esteem needs are satisfied by the mastery of a skill and
by recognition from others.
o At the top are self-actualization needs, including the
desire to maximize your own potential through education,
self-fulfillment, and spirituality.
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Theories of Motivation:
Maslows Hierarchy of Needs

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Maslows Hierarchy of
Needs.

Simple examples of employees


o Sally, a single mom, is having trouble
paying her rent and often doesnt have
enough money to provide healthy food
for her and her family.
o Nuveen just finished his degree and is
looking for a company that will allow him
to continue his month-long volunteering
trips in third-world countries.
o Georgia tried to work from home, but
found she missed the camaraderie of an
office environment even though she is
happy about her work, pay, and
company.
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Theories of Motivation:
McClellands Three Needs Theory

Psychologist David McClellands three


needs theory suggests there are three
main motivators:
o Need for achievement
o Need for affiliation
o Need for power

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Theories of Motivation:
McClellands Three Needs Theory
The three needs

o The need for achievementto accomplish


something difficult on your own.
o The need for affiliationto form close personal
relationships.
o The need for powerto be able to control the
behavior of others.
Which need we try to satisfy depends on many
factors, including cultural background.
An individual may have multiple needs, but one
tends to be dominant over the others.
In a workplace, this theory could account for
differences in motivation among workers.
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Theories of Motivation:
Herzbergs Motivator-Hygiene
Hygiene Factors
Working environment
Pay
Benefits
Relationships with co-workers
Inadequate
Hygiene
Factors
Dissatisfied

Motivators
Recognition
Responsibility
Promotion
Job growth

Adequat
e
Motivato
rs
Satisfied

Adequate
Hygiene
Factors
Neither Satisfied nor
Dissatisfied
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Theories of Motivation:
Herzbergs Motivator-Hygiene
o Hygiene factors are factors such as a safe working
environment, proper pay and benefits, and positive
relationships with co-workers. People rarely notice
hygiene factors if they are present. However, if hygiene
factors are absent or inadequate, people tend to be
dissatisfied.
o The second set of factors in Herzbergs theory are
motivator factors. These factors include a sense of
responsibility, recognition, promotion, and job
growth.

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Applying Motivational Theories


Motivational theories lead to different
approaches to actually motivate workers
Extrinsic motivation
Intrinsic motivation

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In the workplace, there are some external


motivating factors that managers can
control. These motivators, called
extrinsic motivators, include such things
as pay, promotion, and verbal praise.
Other factors, called
intrinsic motivators, are outside a
managers control because they are
internal to each individual employee.
These motivating influences are based on
a persons interest in their work and their
sense of purpose or value from the work.

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Different people have different


balances between intrinsic and
extrinsic motivators. Managers
must be sensitive to what will work
for each individual.

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Theory X and Theory Y


oIn 1960, the social psychologist Douglas
McGregor proposed the Theory X and Theory Y
models.

The Theory X model suggests a view


of humans as naturally disliking
work and wanting to avoid it.
Theory X management
suggests employees have to
be coerced and controlled by
management in order to be
productive. This leads to an
authoritarian, hard-line
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The Theory Y model suggests that people are


naturally motivated and will direct themselves
to work for the aims of the organization if they
are satisfied with their jobs. Theory Y managers
believe that, on average, people will accept and
seek out responsibility. Such managers have a
participative, gentler style of management that
involves the participation of many.

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Theory X and Theory Y


Theory X and Y would not work
equally well in any given
situation. Theory X style is often
seen in large-scale operations like
mass manufacturing. In the
knowledge industry, in which there is
a mix of professionals working
together to solve complex problems,
Theory Y is more likely.
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Theory X and Theory Y

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Theory Z
In 1981, William Ouchi put forward a
Theory Z model based on a
Japanese management style that
relied heavily on collaborative
decision making.

o In many corporations in Japan in the


1980s, one person might be responsible for
many different aspects of a single project.
o Employees tended to become generalists
rather than specialists, who were trained in
a very narrow set of tasks.
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Theory Z
Theory Z management offers long-term
employment with an emphasis on
individual responsibility. Workers tend
to show a desire to cooperate and be loyal
to the organization. As a result, companies
that apply Theory Z management often
reap the benefits of low turnover, high
productivity, and strong morale among the
workforce. Morale, a sense of purpose and
enthusiasm toward ones work, is an
important factor in an employees level of
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as Prentice Hall

Theory Z
Based on a Japanese management style
Relies on collaborative decision making
Employees tend to become generalists, not
specialists
Offers long-term employment with an
emphasis on individual responsibility
Workers are cooperative and loyal to the
organization
Benefits: low turnover, high productivity,
and strong workforce morale
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Vrooms Expectancy
Theory
In 1964, Victor Vroom proposed a theory
named expectancy theory, which has been
developed by other researchers since.
Expectancy theory suggests an
individuals motivation can be
described by the relationship between
three psychological forces.

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Vrooms Expectancy Theory


Motivation =
Expectancy

Instrumenta
lity

Valence

Expectancy: Will effort on my part impact the result I get?


Instrumentality: Will the result provide any reward?
Valence : Is the anticipated reward important to me?
High motivation: You answer yes to all of these questions
Low motivation: You answer no to all of these questions
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Vrooms Expectancy Theory


Expectancy answers the question: Will effort on my
part impact the result I get?
Instrumentality answers the question: Will the result
provide any reward (either an extrinsic rewarded if
thats important or an intrinsic good feeling)?
Valence answers the question: Is the anticipated
reward important to me?
High Motivation = (My work actually affects the
outcome) * (Theres a good chance Ill get a
reward if this works out) * (If it works out, itll
be a really big reward!)
Low Motivation = (Nothing I do is going to
impact this situation) * (Even if it does go well,
I probably wont see any benefit) * (The only
reward from this is incredibly small)
The Vroom formula can be easily applied to
individuals to better understand what motivates each
person.
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Strength-Based Management
The best way to help employees develop is to
determine their strengths and build on them
o People can learn the most about areas in which they
already have a strong foundation
o Provide training and support to further develop
strengths

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Evolution of Motivational
Theories in Business
Scientific management
o Frederick Taylor
o Increase productivity by training workers in
the best methods to complete a task

Industrial psychology (1920s and 1930s)


o Frank and Lillian Gilbreath

Human relations
o The Hawthorne Effect
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Researchers like Frederick Taylor began to


study how to manage people optimally. In
1911, Taylor published his findings in The
Principles of Scientific Management.
o He encouraged managers to use scientific
study to determine the best methods to
complete tasks and then to train
employees in these methods to increase
productivity.
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By the 1920s and 1930s, a field of academic


study called industrial psychology was created
to further address these issues. The objective of
industrial psychology is to understand
scientifically how to manage employees and work
optimally.
o Other researchers, such as Frank and Lillian
Gilbreath, used photography to study employee
work patterns and then analyzed these patterns to
increase productivity. For example, they used
time-motion studies to analyze factory jobs and
then train workers in the precise sequence of
steps that would make them most productive.
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o
o

Another famous study of the period was Harvard professor


Elton Mayos work at the Hawthorne plant of the Western
Electric Company in Illinois.
The study ran from 1927 to 1932 and examined physical
influences on the workplace (such as lighting and humidity)
as well as psychological aspects (such as group pressure
and working hours).
The major finding was that regardless of the experimental
changes made, the production of the workers improved.
Researchers concluded that the increase in productivity was
based on the attention the workers were receiving. The
Hawthorne effect is used to describe the increase in
productivity caused by workers being given special
attention.
After World War II, the direction of research in management
theory shifted from management of an individual worker
toward management of the entire organization, its structure,
and policies.
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Chapter Summary
1. How do motivation and work environment encourage flow?
2. What are the intricacies of Maslows hierarchy of needs,
McClellands three needs theory, and Herzbergs motivatorhygiene theory?
3. What are the distinguishing factors between extrinsic motivators
and intrinsic motivators?
4. What are the implications of Theory X, Theory Y, Theory Z, and the
Vroom model?
5. How have motivational theories and industrial psychology changed
the work environment since the early 20th century?
6. What are the various identifiable leadership styles and personality
traits, and how do they affect business leadership?
7. What are the best ways to create, manage, and participate in teams,
taking into account factors such as technology, group flow, Belbins
nine team roles, and Coveys seven habits model?
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