Motivation is the word derived from the word ’motive’ which means needs, desires, wants or

drives within the individuals. It is the process of stimulating people to actions to accomplish the
goals. In the work goal context the psychological factors stimulating the people’s behaviour can
be –

• desire for money

• success
• recognition
• job-satisfaction
• team work, etc

Motivation is defined as the act of stimulating someone to get a desired course of action.
M.J.Juicus.
Motivation is the work that a manager performs to inspire, encourage and impel people to take
required course of action. Lewis Allen

Is defined as a process in which the learner’s internal energies or needs are directed towards
various goal objects in his environment. G.M.BLAIR

Motivation is defined as the willingness to exert high levels of effort to reach organizational
goals conditioned by the efforts ability to satisfy some individual needs. Stephen P Robbins

The Motivational Framework

Needs Requirements - Can sit idle – Pressing needs gives rise to specific pattern of behaviour.
Goals Objectives, Ends, Aims, Ambition etc..
Motives The internal energy that activates and drives you to goal attainment.

Drives
• An individual is set to be in a state of drive when he or she adopts a pattern of behaviour
in order to achieve a particular goal.
• A hungry (Physiological Need) person, behaves (drive) in such a way to indicate in
search of food , gets food (Goal).
Types of Motivation

Intrinsic Vs Extrinsic Motivation

Intrinsic motivation is when you do something because you enjoy it or find it interesting.
Intrinsic motivation involves engaging in a behavior because it is personally rewarding;
essentially, performing an activity for its own sake rather than the desire for some external
reward.

Examples of actions that are the result of intrinsic motivation include:

• Participating in a sport because you find the activity enjoyable

• Solving a word puzzle because you find the challenge fun and exciting
 • Playing a game because you find it exciting

In each of these instances, the person's behavior is motivated by an internal desire to participate
in an activity for its own sake.

Extrinsic motivation, or doing something for external rewards or to avoid negative consequences.
Extrinsic motivation occurs when we are motivated to perform a behavior or engage in an
activity to earn a reward or avoid punishment.

Examples of behaviors that are the result of extrinsic motivation include:

• Studying because you want to get a good grade

• Cleaning your room to avoid being reprimanded by your parents
• Participating in a sport to win awards
• Competing in a contest to win a scholarship

In each of these examples, the behavior is motivated by a desire to gain a reward or avoid an
adverse outcome.

Positive Vs Negative Motivation

Positive Motivation  Purely based on rewards ,  Also called as pull mechanism

Examples

 Praise and credit for the work done

 Wages and salaries
 appreciation
 Delegation of work
 Showing sincere care to subordinates.

Negative Motivation

 Also called as fear motivation, a push mechanism

 Following Negative motivation is worth to some extent. But frequent punishment leads to
frustration, frustration leads to maladaptive behaviour; it further leads to developing
hostile attitude.

Theories of Motivation

We can distinguish between content and process motivation theories. Content theories focus on
WHAT, while process theories focus on HOW human behaviour is motivated. Content theories
are the earliest theories of motivation. Within the work environment they have had the greatest
impact on management practice and policy, whilst within academic circles they are the least
accepted. Content theories are also called needs theories: they try to identify what our needs
are and relate motivation to the fulfilling of these needs. The content theories cannot entirely
explain what motivate or demotivate us. Process theories are concerned with “how”
motivation occurs, and what kind of process can influence our motivation.

The main content theories are: Maslow’s needs hierarchy, Alderfer’s ERG theory,
McClelland’s achievement motivation and Herzberg’s two-factor theory.

The main process theories are: Skinner’s reinforcement theory, Victor Vroom's expectancy
theory, Adam’s equity theory and Locke’s goal setting theory

No single motivation theory explains all aspects of people’s motives or lack of motives. Each
theoretical explanation can serve as the basis for the development of techniques for motivating

Maslow’s needs hierarchy

This is the earliest and most widely known theory of motivation, developed by Abraham Maslow
(1943) in the 1940s and 1950s. Maslow's hierarchy of needs is often shown in the shape of a
pyramid: basic needs at the bottom and the most complex need (need for self-actualization) at the
top. Maslow himself has never drawn a pyramid to describe these levels of our needs; but the
pyramid has become the most known way to represent his hierarchy.

The needs have been classified into the following in order:

1. Physiological needs- These are the basic needs of an individual which includes food,
clothing, shelter, air, water, etc. These needs relate to the survival and maintenance of
human life.
2. Safety needs- These needs are also important for human beings. Everybody wants job
security, protection against danger, safety of property, etc.
3. Social needs- These needs emerge from society. Man is a social animal. These needs
become important. For example- love, affection, belongingness, friendship, conversation,
etc.

4. Esteem needs- These needs relate to desire for self-respect, recognition and respect from
others.
5. Self-actualization needs- These are the needs of the highest order and these needs are
found in those person whose previous four needs are satisfied. This will include need for
social service, meditation.

Alderfer – ERG theory: Existence needs, Relatedness needs and Growth needs

Alderfer (Furnham, 2008) distinguished three steps or classes of needs: existence, relatedness
and growth. Maslow’s physiological and safety needs belong together to existence needs.
 Relatedness can be harmonised to belongingness and esteem of others. Growth is the same as
Maslow’s self-esteem plus self-actualization. Both Maslow and Alderfer tried to describe
how these needs, these stages of needs become more or less important to individuals.

• Existence needs: These include needs for basic material necessities. In short, it includes an
individual’s physiological and physical safety needs.

• Relatedness needs: Individuals need significant relationships (be with family, peers or
superiors), love and belongingness, they strive toward reaching public fame and recognition.
This class of needs contain Maslow’s social needs and external component of esteem needs.

• Growth needs: Need for self-development, personal growth and advancement form
together this class of need. This class of needs contain Maslow’s self-actualization needs and
intrinsic component of esteem needs.

McClelland – Thre Needs Theory - Need for Achievement, Affiliation and Power

In the early 1960s McClelland – built on Maslow’s work – described three human motivators.
McClelland (Arnold et al., 2005) claimed that humans acquire, learn their motivators over time
that is the reason why this theory is sometimes called the ‘Learned Needs Theory’. He affirms
that we all have three motivating drivers, and it does not depend on our gender or age. One of
these drives or needs will be dominant in our behaviour.

McClelland’s theory differs from Maslow’s and Alderfer’s, which focus on satisfying existing
needs rather than creating or developing needs. This dominant motivator depends on our culture
and life experiences, of course (but the three motivators are permanent). The three motivators
are:

Achievemen (nAch): a need to accomplish and demonstrate competence or mastery

a need to accomplish and demonstrate competence or mastery. It pertains to a person’s need for
significant success, mastering of skills, control or high standards. It is associated with a range of
actions. Individual seek achievement, attainment of challenging (and also realistic) goals, and
advancement in the school or job. Individuals with high need for achievement like to receive
regular feedback on their progress and achievements; and often like to work alone; seek
challenges and like high degree of independence.

Sources of high need for achievement can be: praise for success, goal setting skills, one’s own
competence and effort to achieve something, and it does not depend only on luck; of course
positive feelings and also independence in childhood. McClelland said that training, teaching can
increase an individual’s need for achievement. For this reason, some have argued that need for
achievement is not a need but a value.

Affiliation n(Aff): a need for love, belonging and relatedness

These people have a strong need for friendships and want to belong within a social group, need
to be liked and held in popular regard. They are team players, and they may be less effective in
leadership positions. High-need-for-affiliation persons have support from those with whom they
have regular contact and mostly are involved in warm interpersonal relationships. After or during
stressful situation individuals need much more affiliation. In these situations people come
together and find security in one another. There are times when individuals want to be with
others and at other times to be alone – affiliation motivation can become increased or decreased.
Individuals do not like high risk or uncertainty.

Power n(Pow): a need for control over one’s own work or the work of others

a need to control over one’s own work or the work of others. These persons are authority
motivated. There is a strong need to lead and to succeed in their ideas. It is also needed to
increase personal status and prestige. This person would like to control and influence others.
McClelland studied male managers with high need for power and high need for affiliation and
found that managers with a high need for power tended to run more productive departments in a
sales organization than did managers with a high need for affiliation.

Herzberg – Two factor theory (Dual Factor Theory)

It is also called motivation-hygiene theory.

This theory says that there are some factors (motivating factors) that cause job satisfaction, and
motivation and some other also separated factors (hygiene factors) cause dissatisfaction. That
means that these feelings are not opposite of each other, as it has always previously been
believed. Opposite of satisfaction is not dissatisfaction, but rather, no satisfaction. According to
Herzberg (1987) the job satisfiers deal with the factors involved in doing the job, whereas the job
dissatisfiers deal with the factors which define the job context.

If the hygiene factors, for example salary, working conditions, work environment, safety and
security are unsuitable (low level) at the workplace, this can make individuals unhappy,
dissatisfied with their job. Motivating factors, on the other hand, can increase job satisfaction,
and motivation is based on an individual's need for personal growth. If these elements are
effective, then they can motivate an individual to achieve above-average performance and effort.
For example, having responsibility or achievement can cause satisfaction (human characteristics)
(Dartey-Baah, 2011).
Hygiene factors are needed to ensure that an employee is not dissatisfied. Motivation factors are
needed to ensure employee's satisfaction and to motivate an employee to higher performance.

Herzberg’s five factors of job satisfaction (motivating factors):

• achievement
• recognition
• work itself
• responsibility
• advancement

Only these factors can motivate us. But at the same time we need the lack of dissatisfactions (we
need hygiene factors, "workpeace") to achieve more efficient work.

Herzberg’s five factors of job dissatisfaction (hygiene factors – deficiency needs):

• company policy and administration

• supervision
• salary
• interpersonal relationships
• working conditions

Can we motivate with money, with higher salary? What did Herzberg and Maslow say? Is
it just the same or something different?

Herzberg addressed salary not a motivator in the way that the primary motivators are, just like
achievement and recognition. Salary can be a motivator, if you get always higher and higher
salary, but we cannot say that it is an incentive. Maslow said, money or salary is needed to buy
food to eat, to have some place to live and sleep, etc. It can be a physiological need. Some
differences between Herzberg and Maslow theory are described in Table 2.
 Table 2. Differences between Maslow’s and Herzberg’s theory (Source: Author's own table)

Points of view Maslow’s theory Herzberg’s theory

Date of the in 1940’s in 1960’s

theory

Study group ordinary American people well-situated American people

About needs Every level of needs give us satisfaction Not every type of needs can give us satisfaction,
and give the opportunity to move on to the just motivating factors.
next level of needs.

Limitations of this theory:

• This theory oversees situational variables.

• Herzberg supposed a correlation, linear between productivity, performance and satisfaction.

• The theory’s reliability is uncertain.

• No comprehensive measure of satisfaction was used.

• The theory ignores blue-collar workers, only white-collar men’s opinion was discussed.

However, Herzberg tried to bring more humanity and caring into companies’ life. His intention
was not to develop a theory that is used as a 'motivational tool’, but to provide a guidance to
improve organisational performance.
 Needs Hierarchy ERG Two Factor Achievement

• Intrinsic
Self Actualization Factors
 Achievement
 Responsibility
Growth  Recognition nAch
 Advancement
Esteem  Growth
 Work Itself
 MOTIVATORS
nPow

• Extrinsic Factors
 Supervision
Social Relatedness  Company Policy
 Salary
 Working Condition
 Status & Security
 Rel with superiors nAff
Security  Rel with subordinates
 Reln with peers
Existence  HYGIENE FACTORS

Physiological

Source: Don Hellriegel ,et al.Organizational Behaviour , p.145

PROCESS THEORIES

Vroom's expectancy theory

The expectancy theory places an emphasis on the process and on the content of motivation as
well, and it integrates needs, equity and reinforcement theories. Victor Vroom's (1964)
expectancy theory aims to explain how people choose from the available actions. Vroom defines
motivation as a process that governs our choices among alternative forms of voluntary
behaviour. The basic rationale of this theory is that motivation stems from the belief that
decisions will have their desired outcomes. The motivation to engage in an activity is determined
by appraising three factors. These three factors are the following (Figure 4):

• Expectancy – a person’s belief that more effort will result in success. If you work harder, it
will result in better performance. ( Effort Performance Linkage)

• Instrumentality – the person’s belief that there is a connection between activity and goal. If
you perform well, you will get reward. ( Performance Reward Linkage)

• Valence – the degree to which a person values the reward, the results of success. ( Reward –
Value Linkage)

Vroom supposes that expectancy, instrumentality and valence are multiplied together to
determine motivation. This means that if any of these is zero, then the motivation to do
something will be zero as well.

Figure 4. Vroom's expectancy theory (Source: Author's own figure)

A person who doesn’t see the connection between effort and performance will have zero
expectancy. A person who can’t perceive the link between performance and reward will have
zero instrumentality. For a person who doesn’t value the anticipated outcome, reward will have
zero valence.
Adams' equity theory

The equity theory states that people are motivated if they are treated equitably, and receive what
they consider fair for their effort and costs. The theory was suggested by Adams (1965) and is
based on Social Exchange theory.

According to this theory, people compare their contribution to work, costs of their actions and
the benefits that will result to the contribution and benefits of the reference person. If people
perceive that the ratio of their inputs-outputs to the ratio of referent other's input-output is
inequitable, then they will be motivated to reduce the inequity.

Figure 5. Adams' equity theory (Source: Author's own figure)

At the workplace the workers put inputs into the job, such as education, experience, effort,
energy, and expect to get some outcomes such as salary, reward, promotion, verbal recognition,
and interesting and challenging work each in equal amounts (Figure 6).
 Figure 6. Examples for the inputs and outcomes in the equity theory (Source: Author's own
figure)

When inequity exists, a person might…

• reduce his/her inputs, efforts, quantity or quality of his/her work

• try to increase his/her outputs (ask for better mark, or pay raising)
• adjust his/her perception of reference person or his/her outcomes or inputs (re-evaluate his/her
or the reference person's effort or outcome)
• change the reference person
• quit the situation.

The problem with equity theory is that it does not take into account differences in individual
needs, values, and personalities. For example, one person may perceive a certain situation as
inequitable while another does not. Nevertheless ensuring equity is essential to motivation.
(From Lecture Slides) Equity theory States that employee perceive what they get from a job
situation in relation to what they put into it and then compare their input – outcome ratio with the
input – output ratio of relevant others.

Referent

Means to the person , system or experiences to which you are comparing your results with.

The System

Consists of organizational policies, procedures and the various aspects of administering this.
For eg : comparing the allocation of pay
The self

Refers to the input output ratios that are unique to the individual. It reflects personal experiences
and contacts. For eg : previous jobs.

The Inputs

 Characteristics that the person brings with him to the job.

 These are highly subjective in perception.
 Examples are : education, skills, experience etc..

The Outcome

 What the person receives from the job.

 These are highly subjective in perception.

Equity theory relationships

 Outcome A/Input A < Outcome B/Input B Situation A Inequity/Equity

 Outcome A/Input A > Outcome B/Input B Situation B Inequity/Equity

 Outcome A/Input A = Outcome B/Input B Situation C Inequity/Equity

The Porter & Lawler Model of Motivation ( Lyman Porter & Edward Lawler)

Lyman Porter and Edward Lawler came up with a comprehensive theory of motivation,
combining the various aspects that we have so far been discussing and using two additional
variables in their model. Though built in large part on Vroom’s expectancy model, Porter and
Lawler’s model is a more complete model of motivation. This model has been practically applied
also in their study of managers.

In this model they say that motivation is not equal to satisfaction or performance. But there is a
very strong and positive relationship that exists between satisfaction and performance. In this
model they try to explain this complex relationship between satisfaction and performance. The
main point in the Porter & Lawler model is that Effort or Motivation does not lead directly to
performance. It is infact mediated by the abilities and traits and by the role perceptions.
Ultimately performance only leads to satisfaction.

The model is based on the following assumptions

• A multivariate model which explains relationship between job attitudes and job
performance. The model says that individual behaviour is a function of factors present
within the individual and the environment.
• Individuals are rational human beings. They make very conscious decisions about their
behaviour in organizations.
• Individuals have different needs, desires and goals.
• On the basis of their needs (Expectations), they decide between alternative behaviours
and such behaviour only will lead to a desired outcome.

Basic Elements in the Model

Effort – Effort refers to the amount of energy which a person exerts on a job. How much effort
an employee has to put is decided by a) Value of the reward b) Perception of effort reward
probability by the employee.
Performance: - Effort leads to performance. The expected level of performance will depend
upon the amount of effort, the abilities and traits of the individual and his role perceptions.
Abilities include knowledge, skills and intellectual capacity to perform the job. Traits which are
important for many jobs are endurance, pre-servance, and goal directedness. Thus, abilities and
traits will moderate the effort- performance relationship.

Effort may be equal Performance

Effort may not be equal to performance

In addition, people performing the jobs should have accurate role perception which refers to the
wav in which people define for the jobs. People may perceive their roles differently. Only those,
who perceive their roles as is defined by the organization, will be able to perform well when they
put forth the requisite effort. Thus if the employee has less ability and wrong role perception,
performance will be low inspite of his great effort.
Satisfaction:

Satisfaction will result from both extrinsic and intrinsic rewards. However, for being satisfied, an
individual will compare his actual rewards with the perceived rewards if actual rewards meet or
exceed perceived equitable rewards, the individual will feel satisfied and if these are less than the
equitable rewards, the individual will feel dissatisfied.

Actual Rewards >= Perceived Rewards Gives rise to (Satisfaction)

Actual Rewards < Perceived Rewards Gives Rise to (Dissatisfaction)

Rewards:

Performance leads to certain outcomes in the shape of two types of rewards namely extrinsic
rewards and intrinsic rewards. Extrinsic rewards are the external rewards given by others in the
organization in the form of money, recognition or praise. Intrinsic rewards are internal feelings
of job sell esteem and sense of competence that individuals feel when they do a good job.

Significance of the Porter & Lawler Model

This model is of great significance to managers since it sensitizes them to focus their attention on
the following points to keep their employees motivated:

• Match the abilities and traits of individuals to the requirements of the job by putting
the right person on the right job.
• He should carefully explain to the subordinates their roles or what they must do to be
rewarded. Then he must make sure that they understand it.
• Prescribe in concrete terms the actual performance levels expected of the individuals
and these levels should be made attainable.
• To achieve and maintain motivation, the appropriate reward must be associated with
successful performance.
 • Make sure that the rewards dispensed are valued by the employees. Thus, he should
find out what rewards are attractive to the employee and see if such rewards can be
given to him.
• Porter and Lawler model has definitely made a significant contribution to the better
understanding of work motivation and the relationship between performance and
satisfaction. But even then, to date, it has not made much impact on the actual
practice of human resource management.

Theory Z – Dr.William Ouchi

Theory Z of Ouchi is Dr. William Ouchi's so-called "Japanese Management" style popularized
during the Asian economic boom of the 1980s. For Ouchi, Theory Z focused on increasing
employee loyalty to the company by providing a job for life with a strong focus on the well-
being of the employee, both on and off the job. William Ouchi developed Theory Z after making
a comparative study of Japanese and American management practices. Theory Z is an integrated
model of motivation. Theory Z suggests that large complex organisations are human systems and
their effectiveness depends on the quality of humanism used.

According to Dr.Ouchi, a type Z organisation has three major features—trust, subtlety and
intimacy. Mutual trust between members of an organisation reduces conflict and leads to team
work. Subtlety requires sensitivity towards others and yields higher productivity. Intimacy
implies concern, support and disciplined unselfishness.

Features of “Z” organizations

a) Gives emphasis to interpersonal skills that are needed for group decision making.
b) Individuals are self responsible.
c) Gives emphasis on informal and democratic relationships based on trust.
d) Participative management facilitates free flow of information.
e) Corporate philosophies and corporate values guide managerial actions.
f) People are seen as human beings and not just as the factors of production.
………………………………………………………………………………………………….

The distinguishing features of Theory Z are as follows:

1. Mutual Trust:

According of Ouchi, trust, integrity and openness are essential ingredients of an effective
organisation. When trust and openness exist between employees, work groups, union and
management, conflict is reduced to the minimum and employees cooperate fully to achieve the
organisation’s objectives.

2. Strong Bond between Organisation and Employees:

Several methods can be used to establish a strong bond between the enterprise and its employees.
Employees may be granted lifetime employment which leads to loyalty towards the enterprise.
During adverse business conditions shareholders may forgo dividends to avoid retrenchment of
workers. Promotions may be slowed down. As against vertical movement of employees greater
emphasis should be placed on horizontal movement which reduces stagnation. A career planning
for employees should be done so that every employee is properly placed. This would result in a
more stable and conducive work environment.

3. Employee Involvement
Theory Z suggests that involvement of employees in related matters improves their commitment
and performance. Involvement implies meaningful participation of employees in the decision-
making process, particularly in matters directly affecting them. Such participation generates a
sense of responsibility and increases enthusiasm in the implementation of decisions, Top
managers serve as facilitators rather than decision-makers.

4. Integrated Organisation:

Under Theory Z, focus is on sharing of information and ‘ resources rather than on chart,
divisions or any formal structure. An integrated organisation puts emphasis on job rotation which
improves understanding about interdependence of tasks. Such understanding leads to group
spirit.

5. Coordination:

The leader’s role should be to coordinate the efforts of human beings. In order to develop
common culture and class feeling in the organisation, the leader must use the processes of
communication, debate and analysis.

6. Informal Control System:

Organisational control system should be made informal. For this purpose emphasis should be on
mutual trust and cooperation rather than on superior-subordinate relationships.

7. Human Resource Development:

Managers should develop new skills among employees. Under Theory’ Z, potential of every
person is recognized and attempts are made to develop and utilise it through job enlargement,
career planning, training, etc.

Thus, Theory Z is a hybird system which incorporates the strengths of American management
(individual freedom, risk taking, quick decision-making, etc.) and Japanese management (job
security, group decision-making, social cohesion, holistic concern for employees, etc.) systems.

Japanese companies operating in the United State have successfully used Theory Z. After
collaboration between Japanese and Indian companies, some experts have suggested application
of this theory in India, in Maruti Udyog, which has collaboration with Suzuki motors of Japan an
attempt has been made to apply Theory Z.

The workplace has been designed on the Japanese pattern, which involves open offices. The
same uniform has been introduced for all employees irrespective of their designation. Similarly,
there is a common canteen for all. These practices are expected to avoid status differentials and
class feeling among employees and thereby facilitate teamwork in the company.
Limitations of the Theory

(i) Provision of lifetime employment to employees to develop a strong bond between

organisation and employees may fail to motivate employees with higher level needs.
It merely provides job security and may fail to develop loyalty among employees. An
employee may leave the organisation when better employments are offered to him by
some other enterprise. Moreover, complete security of job may create lethargy among
many employees. Employers also do not like to retain inefficient employees
permanently.
(ii) Participation of employees in the decision-making process is very difficult. Managers
may dislike participation as it may hurt their ego and freedom. Employees may be
reluctant to participate due to fear of criticism and lack of motivation. Even if they sit
along with management they may contribute little unless they understand the issues
and take initiative. Involvement of all employees may also slow down the decision-
making process.
(iii)Theory Z suggests organisation without any structure. But without structure there may be
chaos in the organisation as nobody will know who is responsible to whom.
(iv) It may not be possible to develop a common culture in the organisation because people
differ in their attitudes, habits, languages, religions, customs, etc.
(v) Theory Z is based on Japanese management practices. These practices have been evolved
from Japan’s unique culture. Therefore, the theory may not be applicable in different
cultures.