PMGT - 402 Project Leadership: School of Business

PMGT 402 Project Leadership
Mario Vasilkovs
School of Business
Agenda
PMGT 402 Summer 2010
Housekeeping
Monday Aug 2: School Closed Assignment #2

Due Aug. 6
Final: Tuesday, Aug. 17, 1330, E2-12

MC & Short Answer
Motivating
Employees
Theories Issues Suggestions Groups and Teams

PMGT 402- Week 14 - Motivation
Motivating Employees
School of Business
Motivation
Defined:
The processes that account for an individuals willingness to exert high levels of effort to reach organizational goals, conditioned by the efforts ability to satisfy some individual need Effort: a measure of intensity or drive Direction: toward organizational goals Need: personalized reason to exert effort Motivation works best when individual needs are compatible with organizational goals
Motivation
Process
Unsatisfied Need
Schematic:
Tension Effort Intensity Direction Persistence Satisfied Need Tension Reduction
Exhibit 9-1
Motivation
Early,
Content Theories:
Motivational Factors within the person Needs become goals become actions
Maslow: Needs Hierarchy McGregor: Theory X & Y Herzberg: Two Factor Theory McClelland: Learned Needs
Motivation: Maslow
Hierarchy of Needs Theory Needs were categorized as five levels

Individuals must satisfy lower-order needs before they can satisfy higher order needs Satisfied needs will no longer motivate Motivating a person depends on knowing at what level that person is on the hierarchy
Hierarchy of needs
Lower-order (external): physiological, safety Higher-order (internal): social, esteem, selfactualization
Motivation: Maslow
SelfActualization
Exhibit 9-2
Growth, self-fulfillment, learning
Esteem Social Safety Physiological
Self- respect, confidence, recognition
Affection, acceptance
Security: from harm, of supply
Food, drink, shelter 8
Motivation: McGregor
Theory
X and Theory Y
Theory X
Employees have little ambition, dislike work, avoid responsibility, and require close supervision
Theory Y
Employees can exercise self-direction, desire responsibility, and like to work
Motivation is maximized by participative decision making, interesting jobs, and good group relations
Motivation: Herzberg
Motivation-Hygiene
Theory
Job satisfaction and job dissatisfaction are created by different factors

Hygiene factors: extrinsic (environmental) factors that create job dissatisfaction Motivators: intrinsic (psychological) factors that create job satisfaction
Attempted to explain why job satisfaction does not result in increased performance
The opposite of satisfaction is not dissatisfaction, but rather no satisfaction
10
Motivators Achievement Recognition Work Itself Responsibility Advancement Growth Hygiene Factors Supervision Company Policy Relationship with Supervisor Working Conditions Salary Relationship with Peers Personal Life Relationship with Subordinates Status Security Neutral Extremely Dissatisfied
Extremely Satisfied
11
Traditional View Satisfied Herzbergs View Motivators Satisfaction No Satisfaction Hygiene Factors No Dissatisfaction Dissatisfaction Dissatisfied
Exhibit 9-4
12
Motivation: Observations
Each
had a different perspective:
Maslow: Individual McGregor: Manager Herzberg: Organization

All
are well known Intuitive appeal Low Order:

Physiological, X, Hygiene
High
Order
13
Self-Actualization, Y, Motivators
Motivation: McClelland
Theory
of Needs:
Three acquired needs motivating job performance:

Achievement (nAch)
Drive to excel, succeed, beat standards
Power (nPow)
Make others behave in different ways
Affiliation (nAff)
Desire for friendly and close relationships
14
Motivation: Contemporary
Reinforcement
Reward the positive

Job
Characteristics
5 dimensions in designing a motivating job

Equity
Fair return for effort

Expectancy
Expected positive outcome of an action

15
Motivation: Reinforcement
Reinforcement
Theory
Behavior is influenced by consequences Reinforcers are consequences that, when given immediately following a behavior, increase the probability that the behavior will be repeated Non-reinforce (ignore) ve behavior A.k.a. Skinners Operant Conditioning
16
Motivation: Reinforcement
Reinforcement Theory, the basis:
http://www3.niu.edu/acad/psych/Millis/History/2003/OperantConditioning.htm PMGT 402- Week 14 - Motivation
17
An Aside: Classical Conditioning

Pavlovs
Experiment:
Conditioning:
Ring the bell + food = saliva
After conditioning:
Ring the bell
= saliva
18
Job
Characteristics Model (JCM)
A framework for designing motivating jobs Five primary job characteristics: Skill variety: how many skills and talents are needed? Task identity: does the job produce a complete work? Task significance: how important is the job? Autonomy: how much independence does the jobholder have? Feedback: do workers know how well they are doing?
19
Job
Characteristics Model (JCM)

Critical Psychological States Experienced meaningfulness of the work Personal and Work Outcomes High Internal Work Motivation High-Quality Work Performance High Satisfaction with the Work Low Absenteeism and Turnover
Core Job Dimensions Skill Variety Task Identity Task Significance
Autonomy
Experienced responsibility for outcomes of the work
Feedback
Knowledge of the actual results of the work activities
Exhibit 9-5
20
Job Characteristics Model (JCM)

Guidelines for designing motivating jobs
Combine tasks (job enlargement) to create more meaningful work. Create natural work units to make employees work important and whole. Establish external and internal client relationships to provide feedback. Expand jobs vertically (job enrichment) by giving employees more autonomy. Open feedback channels to let employees know how well they are doing.
21
Job Characteristics Model (JCM)

Suggested Action Combine tasks Form natural work units Establish client relationships Load vertically Open feedback channels Core Job Dimension Skill variety Task identity Task significance Autonomy Feedback
Exhibit 9-6
22
Equity Theory:
Employees perceive:
What they get from a job situation (outcomes) What they put in (inputs) Yields input-outcome ratio
Employees compare their perceived ratio with those of others

If equal then a state of equity (fairness) exists If unequal, inequity exists and the person feels under- or over-rewarded
When inequities occur, employees will attempt to do something to rebalance the ratios (seek justice)
23
Equity Theory:
Employee responses:
Distort own or others ratios Induce others to change their own inputs or outcomes Change own inputs (increase or decrease efforts) or outcomes (seek greater rewards) Choose a different comparison (referent) other (person, systems, or self) Quit their job
Employees are concerned with both the absolute and relative nature of organizational rewards
24
Equity Theory, illustrated:

Ratio of Output to Input
Person 1 Inequity, under-rewarded Person 2
Person 1 s Perception
Person 1 Equity Person 2
Person 1 Inequity, over-rewarded Person 2
Exhibit 9-7
25
Expectancy Theory:
Individuals act based on the expectation that a given outcome will follow and whether that outcome is attractive The carrot Key to the theory is understanding and managing employee goals and the linkages among and between effort, performance, and rewards
Effort: employee abilities and training/development Performance: valid appraisal systems Rewards (goals): understanding employee needs
26
Expectancy Theory Relationships:

Expectancy (effort-performance linkage)
The perceived probability that an individuals effort will result in a certain level of performance
Instrumentality
The perception that a particular level of performance will result in attaining a desired outcome (reward)
Valence
The attractiveness/importance of the performance reward (outcome) to the individual
27
Expectancy Theory Relationships:

Individual Effort A Individual Performance B Organizational Rewards C Individual Goals
A = Effort-performance linkage B = Performance-reward linkage C = Attractiveness of reward
Exhibit 9-8
28
Expectancy Theory-Guided Improvements:

Improving Expectancy
Improve the ability of the individual to perform Make sure employees have skills for the task. Provide training. Assign reasonable tasks and goals.
Improving Instrumentality
Increase the individuals belief that performance will lead to reward Observe and recognize performance. Deliver rewards as promised. Indicate to employees how previous good performance led to greater rewards.
Improving Valence
Make sure that the reward is meaningful to the individual Ask employees what rewards they value. Give rewards that are valued.
Exhibit 9-9
29
Motivation: Current Issues

Motivating
a Diverse Workforce
Motivating a diverse workforce through flexibility:

Men desire more autonomy than do women Women desire learning opportunities, flexible work schedules, and good interpersonal relations Interesting work ranks high in importance to almost all employees
30

Motivating
a Diverse Workforce
Cross-cultural:
Maslows needs may be ranked differently:
Security ranked higher in uncertainty-avoidance cultures Social needs ranked higher in Quality-of-Life cultures
Equity theory relationships may differ:

Socialist entitlement bias
Herzbergs intrinsic Motivators:

Some evidence of general applicability
31

Motivating Minimum-Wage Employees

Employee recognition programs Provision of sincere praise
Motivating Professionals and Technical Workers

Characteristics of professionals:
Strong and long-term commitment to their field of expertise Loyalty is to their profession, not to the employer Have the need to regularly update their knowledge Dont define their workday as 9-5 Motivated by job challenges and organizational support of their work
32

Designing Effective Rewards Programs The role of money

Money is normally not an employees top priority
Employee recognition programs

Giving personal attention and expressing interest, approval, and appreciation for a job well done
Pay-for-performance
Variable compensation plans that reward employees on the basis of their performance:
Piece rates, wage incentives, profit-sharing, and lump-sum bonuses Bonuses for: staying until a plant closes, project finishes, etc.
33

Improving Work-Life Compressed workweek
Balance
Longer daily hours, but fewer days
Flexible work hours (flextime)

Specific weekly hours with varying arrival, departure, lunch and break times around certain core hours during which all employees must be present
Job Sharing
Two or more people split a full-time job
Telecommuting
Employees work from home using computer links
34
Motivation: Suggestions
Recognize Match
individual differences
Motivation is subjective
people to jobs
I.E. Put people in the job that best satisfies needs, attitudes, personality HR material on selection
Individualize
rewards
Motivation is subjective
35
Motivation: Suggestions
Link
rewards to performance the system for equity
Reward appropriate behavior

Check Use
Careful: subjective by definition
recognition ignore money
Can be a both cheap and effective

Dont
Ultimate, tangible measure of value

36
Motivation: Teams
Groups
vs. Teams:
Group:
Two or more interacting and interdependent individuals who come together to achieve particular goals Functions: share information, make decisions
Team:
Group working together towards a common goal Functions: creating a whole greater than the sum of its parts through:
Synergy Complementary Skills Mutual Accountability
37
Motivation: Teams
Team
Types:
Problem-Solving:
5-12, same functional area
Self-Managed:
No official leader
Cross-Functional:
Experts from multiple functional areas
Virtual:
Technology used to link physically dispersed team
38
Motivation: Teams
Virtual
Team topics:
Possible Issues:
Limited social contact, i.e. informal contact Missing nonverbal communication Missing paraverbal communication
Tone, pitch, emphasis, pacing 6-pack this: I didnt say you were stupid
Developing interaction and trust:

Initial e-mails highly important to set tone Personal introductions, albeit through e-mail Assign clear roles Spontaneous communications, i.e. MBWA via phone
39
Motivation: Team Development

Tuckman
Model:
Prestage 1
Stage I Forming
Stage II Storming
Stage III Norming
Stage IV Performing
Stage V Adjourning
Exhibit 10-2
40

Tuckman Model:
Stage 1 - Forming:
One word: Uncertainty Join the group: trying define the groups purpose, structure, and leadership Confusion about team goals, structure and leadership Excitement, anticipation, and optimism, pride in being chosen to be part of a team Attempt to define their roles and responsibilities Tentative attachment to the team, suspicion, fear, and anxiety about the job ahead Ends when: members begin to think of themselves as part of a group
PM: Directed or telling leadership

41

Tuckman Model:
Stage 2 - Storming:
One word: Conflict Resistance to group control Potential conflict over leadership and process Cliques may form Easily distracted from purpose Ends when: members agree on leadership and direction
Needs: Coaching or selling leadership
42

Tuckman Model:
Stage 3 - Norming:
One word: Cohesiveness Relationships now formed, resistance fades Members get used to working together Accept the team, team ground rules (or "norms"), their roles in the team, and the individuality of fellow members May open up and freely exchange ideas and thoughts Ends when: members agree on roles and responsibilities
Needs: Facilitating or participating leadership
43

Tuckman Model:
Stage 4 - Performing:
One word: Functional Team begins performingdiagnosing and solving problems, and choosing and implementing changes Clear about goals, responsibilities, and process Conflicts resolved within the team Team may aim to overachieve stated goals Members have insight into personal and group processes, and better understanding of each other's strengths and weaknesses Ends when: goals achieved
Needs: Oversight and mentoring, or delegating/empowering leadership

44

Tuckman Model:
Stage 5 - Adjourning:
Two words: Deforming and Mourning
First 4 stages posited in 1965, stage 5 added ~10 years later
Team winds down Concerned with wrapping up activities rather than with task performance Members may feel separation anxiety and sense of loss Ends when: team members move on
Note: Stage not important wrt. managing for project results Needs: Sensitivity from the organization
45
Motivation: Creating Team Players

Challenges:
Individual Resistance:
Most people are used to individual performance plans May need to learn new behavior to work in a team Team rewards are a valuable tool
National Culture:
Individualism
High or Low
Power Distance
Expectation of hierarchy or self-direction
Uncertainty Avoidance
Tolerance for Ambiguity
46

Challenges:
Social Loafing
The tendency for individuals to expend less effort when working collectively than when working individually
47

Management
Responses:
Selection:
Technical Skills The right interpersonal skills for team work
Never try to teach a pig to sing; it wastes your time and annoys the pig
http://thinkexist.com/quotes/robert_heinlein/
http://www.grsites.com/archive/sounds/view/1659/
48

Management Responses (continued):

Training:
Supplement skills if a viable option
Problem solving Communications Negotiation Conflict resolution Coaching
Rewards
Reward behavior that supports team effectiveness Make link between perfromance and reward clear Beware of rewarding:
Individual effort at the expense of the team But the team may choose Activity, instead of results
49

Effective Teams:
Clear understanding of goals Competent members: technical and interpersonal High mutual trust Unified in commitment to goals Communicate well Effective negotiating skills Appropriate leadership Supportive environment: Internal External
50

Cohesiveness:
Degree to which members are attracted to a group and share the groups goals
Increasing socio-emotional cohesiveness

Keep the group relatively small Strive for a favourable public image to increase the status and prestige of belonging Encourage interaction and cooperation Emphasize members common characteristics and interests Point out environmental threats (e.g., competitors achievements) to rally the group
51
Motivation: Cohesiveness
Cohesiveness High Low
Strong Increase in Productivity
Moderate Increase in Productivity
Decrease in Productivity
No Significant Effect on Productivity
Exhibit 10-4
52
Motivation: Team Conflict

Defined:
perceived incompatible differences in a group resulting in some form of interference with or opposition to its assigned tasks
Traditional view: must be avoided Human relations view: natural and inevitable outcome in any group Interactionist view:
can be a positive force absolutely necessary for effective group performance
53

Low High Level of Conflict High
Level of Group Performance
A Low Situation Level of Conflict Type of Conflict Group's Internal Characteristics Level of Group Performance A Low or none Dysfunctional Apathetic Stagnant Unresponsive to Change Lack of New Ideas Low
B Optimal Functional Viable Self-Critical Innovative High
C High Dysfunctional Disruptive Chaotic Uncooperative Low
Exhibit 10-5
54

Categories
of Conflict
Functional conflicts Dysfunctional conflicts

Types
of Conflict
Task conflict: content and goals of the work Relationship conflict: interpersonal relationships Process conflict: how the work gets done
55

Techniques to Reduce Conflict:

Avoidance
Withdraw or suppress
Accommodation
One side gives in
Forcing
One imposed solution: My way or the highway
Compromise
Both sides willing to concede something: Meeting halfway
Collaboration
Both sides actively work towards full, or better, satisfaction
56

Forcing Collaborating
Resolving conflicts by satisfying ones own needs at the expense of anothers.
Resolving conflicts by seeking an advantageous solution for all parties.
Resolving conflicts by each party's giving up something of value.
Compromising
Resolving conflicts by withdrawing from or suppressing them.
Resolving conflicts by placing anothers needs and concerns above your own.
Avoiding Uncooperative Cooperativeness

Accommodating Cooperative
Exhibit 10-6 57

PMGT - 402 Project Leadership: School of Business

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PMGT 402 Project Leadership

Monday Aug 2: School Closed Assignment #2

Final: Tuesday, Aug. 17, 1330, E2-12

Theories Issues Suggestions Groups and Teams

PMGT 402- Week 14 - Motivation

PMGT 402- Week 14 - Motivation

Hierarchy of Needs Theory Needs were categorized as five levels

PMGT 402- Week 14 - Motivation

Growth, self-fulfillment, learning

Esteem Social Safety Physiological

Self- respect, confidence, recognition

Security: from harm, of supply

Food, drink, shelter 8

PMGT 402- Week 14 - Motivation

Job satisfaction and job dissatisfaction are created by different factors

PMGT 402- Week 14 - Motivation

PMGT 402- Week 14 - Motivation

PMGT 402- Week 14 - Motivation

had a different perspective:

Maslow: Individual McGregor: Manager Herzberg: Organization

are well known Intuitive appeal Low Order:

Three acquired needs motivating job performance:

PMGT 402- Week 14 - Motivation

Reward the positive

5 dimensions in designing a motivating job

Fair return for effort

Expected positive outcome of an action

PMGT 402- Week 14 - Motivation

Reinforcement Theory, the basis:

http://www3.niu.edu/acad/psych/Millis/History/2003/OperantConditioning.htm PMGT 402- Week 14 - Motivation

An Aside: Classical Conditioning

Characteristics Model (JCM)

Characteristics Model (JCM)

Core Job Dimensions Skill Variety Task Identity Task Significance

Experienced responsibility for outcomes of the work

Knowledge of the actual results of the work activities

PMGT 402- Week 14 - Motivation

Job Characteristics Model (JCM)

PMGT 402- Week 14 - Motivation

Job Characteristics Model (JCM)

Employees compare their perceived ratio with those of others

PMGT 402- Week 14 - Motivation

Equity Theory, illustrated:

Person 1 Equity Person 2

Person 1 Inequity, over-rewarded Person 2

Expectancy Theory Relationships:

PMGT 402- Week 14 - Motivation

Expectancy Theory Relationships:

A = Effort-performance linkage B = Performance-reward linkage C = Attractiveness of reward

PMGT 402- Week 14 - Motivation

Expectancy Theory-Guided Improvements:

PMGT 402- Week 14 - Motivation

Motivation: Current Issues

Motivating a diverse workforce through flexibility:

PMGT 402- Week 14 - Motivation

Motivation: Current Issues

Equity theory relationships may differ:

Herzbergs intrinsic Motivators:

PMGT 402- Week 14 - Motivation

Motivation: Current Issues

Motivating Minimum-Wage Employees

Motivating Professionals and Technical Workers