Final Report On Motivation by Novelty Group of UCP

University of Central Punjab
Financial & NonFinancial Motivation
Novelty Group
M.com ||| (Section A)
Submitted By Rabbiyah Jasia Ayesha Madeeha
(03) (36) (20) ( 3)
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We are presenting our Project to Honorable Teacher
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A!"#o$led%eme#ts
I would like to express my gratitude to Punjab collage Gujranwala campus for giving me the opportunity and arranging such an extensive project program !irst of all I would like to say thanks to my parents who brought us up and made us able to face challenges of this dynamic environment Their love and guidance is with us like a torch throughout the project making "ur sisters and !riends are also the source of strength and motivation for us #ecause there love and care is with us at every step of over project $t the last we would like to say thanks to our current and old teachers also without their cooperation We could not able to do this job They guided us in preparation of our project
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&edi!atio#
The project is dedicated to
The personality that is most loveable and respectful to us
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Executive Summary
%otivation in simple terms may be understood as the set of forces that cause people to behave in certain ways $ motivated employee generally is more &uality oriented Highly motivated worker are more productive than apathetic worker one reason why motivation is a difficult task is that the workforce is changing 'mployees join organi(ations with different needs and expectations Their values) beliefs) background) lifestyles) perceptions and attitudes are different *ot many organi(ations have understood these and not many H+ experts are clear about the ways of motivating such diverse workforce *ow days employees have been hired) trained and remunerated they need to be motivated for better performance %otivation in simple terms may be understood as the set or forces that cause people to behave certain ways People are motivated rewards something they can relate to and something they can believe in Times have changed People wants more %otivated employees are always looking for better ways to do a job It is the responsibility of managers to make employees look for better ways of doing their jobs Individuals differ not only in their ability to do but also in their will to do) or motivation %anagers who are successful in motivating employees are often providing an environment in which appropriate goals are available for needs satisfaction +etaining and motivating workers re&uires special attention and the responsibility falls s&uarely on the shoulders of H+ as well as managers and supervisors at all level They have to create a work environment where people enjoy what they do) feel like they have a purpose and have pride in the mission of the organi(ation It re&uires more time) more skill) and managers who care about people It takes true leadership #y giving employees special tasks) you make them feel more important When your employees feel like they are being trusted with added responsibilities) they are motivated to work even harder so they won,t let the company down %otivation is essential for any company because employee is $sset of company %otivation is important for the growth of employees as well as growth of the organi(ation
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!ntro"uction
%otivation is an internal process that influences a person to act effectively and efficiently for his better future and encourage a person towards the achievement of its goals "rgani(ations used different ways to motivate their employees- some organi(ations used financial reward to motivate their employees so that they encourage performing their work efficiently and effectively #y taking interest in the future of the employees we can also motivate them) giving them suggestions and opportunities towards the future career We can also motivate employees by giving them easy schedule of work so that they can spend time with their family and balance their work and personal life #y paying attention to their suggestions and ideas we also motivate employees .o not judge employees on your personal liking or disliking) judge employees on their performance Give employees good and happy atmosphere so that they work comfortably and easily Give them respect and care so that they work with more devotion) these little things also motivate employees towards the achievement of organi(ational goals .evelop good communication with your employees so that they can easily share different ideas and suggestions towards the success of organi(ation and easily share their personal problems also Give reward to employees towards the achievement of specific goal $rrange recreational tours of employees so that they spend time with each other in a happy environment and get fresher to perform their work 'mpowerment is an important tool to motivate employees towards the achievement of goals There are many other ways through which we can motivate the employees in an organi(ation and motivation has a great impact on the performance of employees in any organi(ation towards the achievement of goals whether this can be intrinsic motivation or extrinsic motivation
&e'i#itio#
Motivation is getting others to do something because they want to do it. The act or process of stimulating to action, providing an incentive or to motive, especially for an act is called motivation.
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University of Central Punjab %otivation is a force that drives a person to action It means inspiring workers to perform tasks that lead to accomplishment of goals In narrow sense, motivation is a process of satisfying the wants and needs of the employees and inducing, encouraging and helping the employees to perform their assigned jobs more enthusiastically for the effective achievement of the organi ational goals. In broad sense, motivation is a process of directing or channeling the behaviors of the employees toward tas! performance.
(mporta#!e o' Motivatio#

%otivation is essential because/ 0 1 2 3 4 5 6 7 8 09 00 01 %otivated employees are always looking for better ways to do a job $ motivated employee generally is more &uality oriented Highly motivated workers are more productive than apathetic employees Higher performance Inspires employees to work Helps in achieving organi(ational objectives #etter relations 'ffectiveness of managerial functions #etter industrial relations +educes employees turnover 'ffective utili(ation of resources !acilitates change
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)heories o' Motivatio# *o#te#t )heories

1. Maslows Hierarchy of Needs
%aslow,s theory of motivation is called the :hierarchy of needs; %aslow believes that people have five main needs in the following order of importance/<
Physiological Needs <
i= the need to eat ii= the need to drink iii= the need to work iv= the need to sleep
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University of Central Punjab v= the need to reproduce
Safety Needs <
i= the need for shelter ii= the need to feel secure
Belonging Needs -
i= the need to feel part of a group ii= the need for acceptance
Self-Esteem Needs -
i= the need to feel good about themselves ii= the need to be recogni(ed for their achievement
Self-Realization Needs
i= the need for personal fulfillment ii= the need to grow and develop
"ow does the "ierarchy #or!$

< $ person starts at the bottom of the hierarchy >pyramid= and will initially seek to satisfy basic needs >e g food) shelter= < "nce these physiological needs have been satisfied) they are no longer a motivator the individual moves up to the next level < ?afety needs at work could include physical safety >e g protective clothing= as well as protection against unemployment) loss of income through sickness etc= < ?ocial needs recogni(e that most people want to belong to a group These would include the need for love and belonging >e g working with colleague who support you at work) teamwork) communication= < 'steem needs are about being given recognition for a job well done They reflect the fact that many people seek the esteem and respect of others $ promotion at work might achieve this
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University of Central Punjab < ?elf<actuali(ation is about how people think about themselves < this is often measured by the extent of success and@or challenge at work %aslowAs model has great potential appeal in the business world The message is clear < if management can find out which level each employee has reached) then they can decide on suitable rewards
%roblems with the Maslow Model

There are several problems with the %aslow model when real<life working practice is considered/ < Individual behavior seems to respond to several needs < not just one < The same need >e g the need to interact socially at work= may cause &uite different behavior in different individuals < There is a problem in deciding when a level has actually been BsatisfiedB < The model ignores the often<observed behavior of individuals who tolerate low<pay for the promise of future benefits < There is little empirical evidence to support the model ?ome critics suggest that %aslowAs model is only really relevant to understanding the behavior of middle<class workers in the CD and the C?$ >where %aslow undertook his research=
2. Her !er"s #wo$%actor #heory

Motivation factors&
$ccording to Her(berg) the hygiene factors cannot be regarded as motivators The motivational factors yield positive satisfaction These factors are inherent to work These factors motivate the employees for a superior performance These factors are called satisfiers These are factors involved in performing the job 'mployees find these factors intrinsically rewarding The motivators symboli(ed the psychological needs that were perceived as an additional benefit %otivational factors include/ +ecognition < The employees should be praised and recogni(ed for their accomplishments by the managers ?ense of achievement < The employees must have a sense of achievement This depends on the job There must be a fruit of some sort in the job

Growth and promotional opportunities < There must be growth and advancement opportunities in an organi(ation to motivate the employees to perform well +esponsibility < The employees must hold themselves responsible for the work The managers should give them ownership of the work They should minimi(e control but retain accountability
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%eaningfulness of the work < The work itself should be meaningful) interesting and challenging for the employee to perform and to get motivated The hygiene factors symboli(ed the physiological needs which the individuals wanted and expected to be fulfilled
"ygiene factors&

Pay < The pay or salary structure should be appropriate and reasonable It must be e&ual and competitive to those in the same industry in the same domain Eompany Policies and administrative policies < The company policies should not be too rigid They should be fair and clear It should include flexible working hours) dress code) breaks) vacation) etc !ringe benefits < The employees should be offered health care plans >mediclaim=) benefits for the family members) employee help programs) etc Physical Working conditions < The working conditions should be safe) clean and hygienic The work e&uipments should be updated and well<maintained ?tatus < The employees, status within the organi(ation should be familiar and retained Interpersonal relations < The relationship of the employees with his peers) superiors and subordinates should be appropriate and acceptable There should be no conflict or humiliation element present Fob ?ecurity < The organi(ation must provide job security to the employees
%otivationGHygiene Eombinations
High M High H Low H

high motivation few complaints high motivation many complaints
Low M
low motivation few complaints low motivation many complaints
'imitations of Two()actor Theory

The two factor theory is not free from limitations/ 0 The two<factor theory overlooks situational variables
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University of Central Punjab 1 2 3 4 Her(berg assumed a correlation between satisfaction and productivity #ut the research conducted by Her(berg stressed upon satisfaction and ignored productivity The theory,s reliability is uncertain $nalysis has to be made by the raters The raters may spoil the findings by analy(ing same response in different manner *o comprehensive measure of satisfaction was used $n employee may find his job acceptable despite the fact that he may hate@object part of his job The two factor theory is not free from bias as it is based on the natural reaction of employees when they are en&uired the sources of satisfaction and dissatisfaction at work They will blame dissatisfaction on the external factors such as salary structure) company policies and peer relationship $lso) the employees will give credit to themselves for the satisfaction factor at work The theory ignores blue<collar workers .espite these limitations) Her(berg,s Two< !actor theory is acceptable broadly
Implications for Management

If the motivation<hygiene theory holds) management not only must provide hygiene factors to avoid employee dissatisfaction) but also must provide factors intrinsic to the work itself in order for employees to be satisfied with their jobs Her(berg argued that job enrichment is re&uired for intrinsic motivation) and that it is a continuous management process $ccording to Her(berg/

The job should have sufficient challenge to utili(e the full ability of the employee 'mployees who demonstrate increasing levels of ability should be given increasing levels of responsibility If a job cannot be designed to use an employeeAs full abilities) then the firm should consider automating the task or replacing the employee with one who has a lower level of skill If a person cannot be fully utili(ed) then there will be a motivation problem
Eritics of Her(bergAs theory argue that the two<factor result is observed because it is natural for people to take credit for satisfaction and to blame dissatisfaction on external factors !urthermore) job satisfaction does not necessarily imply a high level of motivation or productivity
&. #he '() #heory

'+G theory states that *eeds are grouped into three categories/ Existence needs These needs are concerned with survival like/
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University of Central Punjab Physiological and security needs *elatedness needs These needs stress the importance of interpersonal and social relationships #elongingness +rowth needs These are concerned with the individual,s desire of personal development self<esteem and self<actuali(ation '+G theory assumes that/ %ultiple needs can be operative at one time >there is no absolute hierarchy of needs= Hower level needs are not re&uired to be satisfied in order to satisfy a higher level need
,ifference between Maslow -eed "ierarchy Theory and .lderfer/s E*+ Theory
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University of Central Punjab '+G Theory states that at a given point of time) more than one need may be operational '+G Theory also shows that if the fulfillment of a higher<level need is subdued) there is an increase in desire for satisfying a lower<level need $ccording to %aslow) an individual remains at a particular need level until that need is satisfied While according to '+G theory) if a higher< level need aggravates) an individual may revert to increase the satisfaction of a lower< level need This is called frustration< regression aspect of '+G theory !or instance< when growth need aggravates) then an individual might be motivated to accomplish the relatedness need and if there are issues in accomplishing relatedness needs) then he might be motivated by the existence needs Thus) frustration@aggravation can result in regression to a lower< level need While %aslow,s need hierarchy theory is rigid as it assumes that the needs follow a specific and orderly hierarchy and unless a lower<level need is satisfied) an individual cannot proceed to the higher<level need- '+G Theory of motivation is very flexible as he perceived the needs as a range@variety rather than perceiving them as a hierarchy $ccording to $lderfer) an individual can work on growth needs even if his existence or relatedness needs remain unsatisfied Thus) he gives explanation to the issue of :starving artist; who can struggle for growth even if he is hungry
Implications of the E*+ Theory

%anagers must understand that an employee has various needs that must be satisfied at the same time $ccording to the '+G theory) if the manager concentrates solely on one need at a time) this will not effectively motivate the employee $lso) the frustration< regression aspect of '+G Theory has an added effect on workplace motivation !or instance< if an employee is not provided with growth and advancement opportunities in an organi(ation) he might revert to the relatedness need such as sociali(ing needs and to meet those sociali(ing needs) if the environment or circumstances do not permit) he might revert to the need for money to fulfill those sociali(ing needs The sooner the manager reali(es and discovers this) the more immediate steps they will take to fulfill those needs which are frustrated until such time that the employee can again pursue growth
*. +a,id Mc-lellands #heory of Needs

$chievement) power and affiliation are three important needs that explain motivation %cElelland said that most people possess and exhibit a combination of these characteristics ?ome people exhibit a strong bias to a particular motivational need) and this motivational or needs AmixA conse&uently affects their behaviour and working@managing style %cclelland
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University of Central Punjab suggested that a strong n<affil Aaffiliation<motivationA undermines a managerAs objectivity) because of their need to be liked) and that this affects a managerAs decision<making capability $ strong n<pow Aauthority<motivationA will produce a determined work ethic and commitment to the organisation) and while n<pow people are attracted to the leadership role) they may not possess the re&uired flexibility and people<centred skills %cElelland argues that n<ach people with strong Aachievement motivationA make the best leaders) although there can be a tendency to demand too much of their staff in the belief that they are all similarly and highly achievement< focused and results driven) which of course most people are not %cElellandAs particular fascination was for achievement motivation) and this laboratory experiment illustrates one aspect of his theory about the affect of achievement on peopleAs motivation %cElelland asserted via this experiment that while most people do not possess a strong achievement<based motivation) those who do) display a consistent behaviour in setting goals/ Iolunteers were asked to throw rings over pegs rather like the fairground game- no distance was stipulated) and most people seemed to throw from arbitrary) random distances) sometimes close) sometimes farther away However a small group of volunteers) whom %cElelland suggested were strongly achievement<motivated) took some care to measure and test distances to produce an ideal challenge < not too easy) and not impossible Interestingly a parallel exists in biology) known as the Aoverload principleA) which is commonly applied to fitness and exercising) ie ) in order to develop fitness and@or strength the exercise must be sufficiently demanding to increase existing levels) but not so demanding as to cause damage or strain %cElelland identified the same need for a Abalanced challengeA in the approach of achievement< motivated people %cElelland contrasted achievement<motivated people with gamblers) and dispelled a common pre<conception that n<ach Aachievement<motivatedA people are big risk takers "n the contrary < typically) achievement<motivated individuals set goals which they can influence with their effort and ability) and as such the goal is considered to be achievable This determined results< driven approach is almost invariably present in the character make<up of all successful business people and entrepreneurs %cElelland suggested other characteristics and attitudes of achievement<motivated people/ o achievement is more important than material or financial reward o achieving the aim or task gives greater personal satisfaction than receiving praise or recognition o financial reward is regarded as a measurement of success) not an end in itself o security is not prime motivator) nor is status
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University of Central Punjab o feedback is essential) because it enables measurement of success) not for reasons of praise or recognition >the implication here is that feedback must be reliable) &uantifiable and factual= o achievement<motivated people constantly seek improvements and ways of doing things better achievement<motivated people will logically favour jobs and responsibilities that naturally satisfy their needs) ie offer flexibility and opportunity to set and achieve goals) eg ) sales and business management) and entrepreneurial roles 'very individual 0= 1= 2= $ffiliation is driven to varying extents by one of three motivators/ $chievement Power
These motivators $HH exist to varying extents in each individual) and are socially ac&uired or learned How people act is to a significant extent driven by the combination of these attributes) both based on individual and relative strengths It,s interesting to note that most people aren,t consciously aware of what drives them) and yet the combination of these motivators that you hold significantly impacts how you work with others and the types of roles you,re likely to succeed in .0"IE1EME-T& $chievement oriented people are driven to master complex challenges) to find solutions) overcome goals) and they love getting feedback on the level of success ?tandards of excellence) precise goals and clear roles are what motivates these people This results in a non< conscious concern for achieving excellence through individual effort They usually set challenging goals for themselves) assume personal responsibility for accomplishment and take calculated risks for achieving these goals They are very effective in leading task oriented groups and do well in entrepreneurial roles ?imply put) they love to achieve) and to measure that achievement %2#E*& Power oriented people want to control and influence) they have a need to win arguments) and love to persuade and prevail This motivator is typically and not surprisingly strong in executives In fact) when the power motivator exceeds that of achievement >which can be an individual focused trait=) it is predictive of leadership effectiveness The desire to influence results in a sustained focus on leadership Howver) this motivator needs to be constrained to a level where self<promotion doesn,t have negative conse&uences for the organi(ation This motive is activated when the individual is allowed to have an impact) impress those in power or beat competitors
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University of Central Punjab .))I'I.TI2-& $ffiliation oriented people have a strong desire to belong They have a deep concern for relationships) they strive to reduce uncertainty) and they love teamwork They tend to be less assertive) submissive) and tend to be more dependent on others In management positions) too great of a need for affiliation can surface in behaviours such as/ avoidance for disciplining subordinates) favoritism) submissiveness) and reluctance to hold others accountable These leaders are motivated by what they can accomplish with people they know and trust
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Process t(eories
1.
'./ectancy theory0
'xpectancy theory is a theory first developed by 1ictor 1room in 0853 and later developed by Porter and Hawlor in 0857 Theory asserts that the motivation to behave in a particular way is determined by an individual,s expectation that behaviour will lead to a particular outcome) multiplied by the preference or valence that person has for that outcome Three components of 'xpectancy theory are/
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Expectancy/ The belief of the person that her@his effort will result in attainment of desired 'xpectancy is the belief that oneAs effort >'= will result in attainment of desired performance >P= goals Csually) this is based on an individualAs past experience) self<confidence >self efficacy=) and the perceived difficulty of the performance standard or goal !actors associated with the individualAs expectancy perception are self efficacy) goal difficulty) and control ?elf efficacy is the person,s belief about their ability to successfully perform a particular behavior Goal difficulty involves how goals or performance expectations that are set too high are most likely to lead to low expectancy Eontrol is oneAs perceived control over performance In order for expectancy to be high) individuals must expect to have some control over the outcome Performance goals Instrumentality/ The belief of the person that she@he will receive a reward if the performance expectation is met Instrumentality is the belief that a person will receive a reward if the performance expectation is met This reward may come in the form of a pay increase) promotion) recognition) or sense of accomplishment Instrumentality is low when the reward is the same for all possible levels of performance
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University of Central Punjab 1alence/ It is the value of the reward according to the person >' g Is the reward attractive to the personJ= Ialence is the value the individual places on the rewards >+= based on their needs) goals) values) and sources of motivation !actors associated with the individualAs valence for outcomes are values) needs) goals) preferences) sources of motivation) and the strength of an individual,s preference for a particular outcome
This theory states that workers will only act when they have a reasonable expectation that their work will lead to the desired outcome They need to believe that they possess the necessary ability and skill to achieve the given goal 'xpectancy theory predicts that employees in an organisation will be motivated when they believe that/ Putting in more effort will yield better job performance better job performance will lead to organisational rewards) such as an increase in salary or benefits these predicted organisational rewards are valued by the employee in &uestion Iroom suggested that the relationship between peopleAs behaviour at work and their goals was not as simple as was first imagined by other scientists Iroom realised that an employeeAs
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University of Central Punjab performance is based on individual factors such as personality) skills) knowledge) experience and abilities In order to enhance performance managers should use reward systems that tie rewards very closely to performance )or example& .o I have the time) energy and commitment to undertake this courseJ If I pass the course will my promotion chances increaseJ
.dvantages of the Expectancy Theory

It is based on self<interest individual who want to achieve maximum satisfaction and who wants to minimi(e dissatisfaction This theory stresses upon the expectations and perception- what is real and actual is immaterial It emphasi(es on rewards or pay<offs It focuses on psychological extravagance where final objective of individual is to attain maximum pleasure and least pain
%ractical measures based on expectancy theory&

Work out which outcomes are valued by employees .ecide what kind of performance is re&uired from employees 'nsure that the desired level of performance is achievable Tie in the desired outcomes with the desired performance Eheck the situation for any conflicting expectancies 'nsure that the outcomes are seen as sufficient reward Eheck that the system is fair and seen to be fair
These precepts can be translated into practical measures

Pay and reward systems should be designed) which reward performance efforts by employees Fobs must be flexibly designed to take account of the needs of employees
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University of Central Punjab %anagers must be trained to set clear and achievable goals) which are clearly linked with the reward system) and to use positive reinforcement of desired responses %otivation throughout the organi(ation must be regularly monitored !lexibility should be built in to allow employees to choose their own rewards -adler and 'awlor, 3455 'xpectancy theory does highlight the significance of matching rewards for effort on an individual@personal basis It focuses on the relationship between anticipated future rewards and present behavior
2.
'12ity theory0
6ohn Stacey .dams) workplace and behavioural psychologist) put forward his '&uity Theory on job motivation in 0852 There are similarities with previous theories of %aslow and Her(berg in that the theory acknowledges that subtle and variable factors affect each individualAs assessment and perception of their relationship with their work) and their employer
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University of Central Punjab '&uity Theory suggests that if the individual perceives that the rewards received are e&uitable) that is) fair or just in comparison with those received by others in similar positions in or outside the organi(ation) then the individual feels satisfied $dams asserted that employees seek to maintain e&uity between the inputs that they bring to a job and the outcomes that they receive from it) against the perceived inputs and outcomes of others In this particular model) there is emphasis on Awhat is fair and reasonableA $s individuals) we seek a fair balance between what we put into our job and what we get out of it $dams calls these inputs and outputs Individuals form perceptions of what constitutes a fair balance or trade of inputs and outputs by comparing their own situation with colleagues) friends and partners in establishing benchmarks and their own responses to them
"ow to apply the .dams7 E8uity Theory&

It is important to also consider the $damsA '&uity Theory factors when striving to improve an employeeAs job satisfaction) motivation level) etc ) and what can be done to promote higher levels of each To do this) consider the balance or imbalance that currently exists between your employeeAs inputs and outputs) as follows/ Inputs typically include&

'ffort Hoyalty Hard Work Eommitment ?kill $bility $daptability !lexibility Tolerance .etermination 'nthusiasm Trust in superiors ?upport of colleagues
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Personal sacrifice
2utputs typically include&

!inancial rewards >such as salary) benefits) perks= Intangibles that typically include/

+ecognition +eputation +esponsibility ?ense of $chievement Praise ?timulus ?ense of $dvancement@Growth Fob ?ecurity
While obviously many of these points canAt be &uantified and perfectly compared) the theory argues that managers should seek to find a fair balance between the inputs that an employee gives) and the outputs received Moderating 1ariables& The gender) salary) education and the experience level are moderating variables Individuals with greater and higher education are more informed Thus) they are likely to compare themselves with the outsiders %ales and females prefer same sex comparison It has been observed that females are paid typically less than males in comparable jobs and have less salary expectations than male for the same work Thus) a women employee that uses another women employee as a referent tends to lead to a lower comparative standard 'mployees with greater experience know their organi(ation very well and compare themselves with their own colleagues) while employees with less experience rely on their personal experiences and knowledge for making comparisons
.ssumptions of the E8uity Theory

The theory demonstrates that the individuals are concerned both with their own rewards and also with what others get in their comparison 'mployees expect a fair and e&uitable return for their contribution to their jobs 'mployees decide what their e&uitable return should be after comparing their inputs and outcomes with those of their colleagues
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'mployees who perceive themselves as being in an ine&uitable scenario will attempt to reduce the ine&uity either by distorting inputs and@or outcomes psychologically) by directly altering inputs and@or outputs) or by &uitting the organi(ation
$dams used the term AreferentA others to describe the reference points or people with whom we compare our own situation) which is the pivotal part of the theory '&uity theory thus helps explain why pay and conditions alone do not determine motivation '&uity does not depend on our input<to<output ratio alone) but also on comparison between an individualAs ratio and the ratio of others In practice) this helps to explain why people are so strongly affected by the situations >and views and gossip= of colleagues) friends) partners etc ) in establishing their own personal sense of fairness or e&uity in their work situations
Inputs
"utputs
"utputs are typically all financial rewards < pay) salary) expenses) Inputs are typically/ effort) People need to feel that bonus and commission < plus loyalty) hard work) commitment) there is a fair balance intangibles < recognition) skill) ability) adaptability) between inputs and reputation) praise) promotion) flexibility) etc outputs etc
If employees feel are that inputs are fairly and ade&uately rewarded by outputs then they are happy in our work and motivated to continue inputting at the same level If they feel that our inputs out<weigh the outputs then they become demotivated in relation to their job and employer and may feel a strong sense of injustice People respond to this feeling in different ways/ generally the extent of demotivation is proportional to the perceived disparity between inputs and expected outputs ?ome people reduce effort and application and become inwardly disgruntled) or outwardly difficult) recalcitrant or even disruptive "ther people seek to improve the outputs by making claims or demands for more reward) or seeking an alternative job
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The message for managers is that employees need to be seen to be rewarded on a fair and e&uitable basis) and ine&uities &uickly adjusted
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+oal(Setting Theory&
Goal setting involves establishing specific) measurable) achievable) realistic and time<targeted >? % $ + T = goals Work on the theory of goal<setting suggests that it is an effective tool for making progress by ensuring that participants in a group with a common goal are clearly aware of what is expected from them "n a personal level) setting goals helps people work towards their own objectivesKmost commonly with financial or career<based goals "f all the Process theories) Goal<setting theory is currently probably the most used and certainly the most researched 'mpirical research has confirmed/ .ifficult goals are more motivating than easy goals) provided the individual concerned is in agreement with the goals Goals must be specific rather than general BTry harderB does not work !eedback is crucial People need to know how they are doing HockeAs research showed that there was a relationship between how difficult and specific a goal was and peopleAs performance of a task He found that specific and difficult goals led to better task performance than vague or easy goals
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9asic %remise& That specific and difficult goals) with self-generated feedback) lead to higher performance ,ifficult +oals& !ocus and direct attention 'nergi(e the person to work harder .ifficulty increases persistence !orce people to be more effective and efficient *elationship between goals and performance depends on& Goal commitment >the more public the betterL= Task characteristics >simple) well<learned= Eulture !unction of Goals basis of motivation direct behavior !or goals to be effective G individuals must be aware of goals G must accept the goals !actors that influence effectiveness of goal setting G goals must be specific G goals should be difficult but attainable
Telling someone to BTry hardB or B.o your bestB is less effective than BTry to get more than 79M correctB or BEoncentrate on beating your best time B Hikewise) having a goal thatAs too easy is not a motivating force Hard goals are more motivating than easy goals) because itAs much more of an accomplishment to achieve something that you have to work for $ few years after Hocke published his article) another researcher) .r Gary Hatham) studied the effect of goal setting in the workplace His results supported exactly what Hocke had found) and the inseparable link between goal setting and workplace performance was formed In 0889) Hocke and Hatham published their seminal work) B$ Theory of Goal ?etting and Task Performance B In this book) they reinforced the need to set specific and difficult goals) and they outlined three other characteristics of successful goal setting
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)ive %rinciples of +oal Setting

To motivate) goals must have/ Elarity Ehallenge Eommitment !eedback Task complexity 0larity& Elear goals are measurable and unambiguous When a goal is clear and specific) with a definite time set for completion) there is less misunderstanding about what behaviors will be rewarded Nou know whatAs expected) and you can use the specific result as a source of motivation When
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University of Central Punjab a goal is vague G or when itAs expressed as a general instruction) like BTake initiativeB G it has limited motivational value
To improve your or your teamAs performance) set clear goals that use specific and measurable standards B+educe job turnover by 04MB or B+espond to employee suggestions within 37 hoursB are examples of clear goals 0hallenge& "ne of the most important characteristics of goals is the level of challenge People are often motivated by achievement) and theyAll judge a goal based on the significance of the anticipated accomplishment When you know that what you do will be well received) thereAs a natural motivation to do a good job +ewards typically increase for more difficult goals If you believe youAll be well compensated or otherwise rewarded for achieving a challenging goal) that will boost your enthusiasm and your drive to get it done ?etting ?%$+T goals that are +elevant links them closely to the rewards given for achieving challenging goals +elevant goals will further the aims of your organi(ation) and these are the kinds of goals that most employers will be happy to reward When setting goals) make each goal a challenge If an assignment is easy and not viewed as very important G and if you or your employee doesnAt expect the accomplishment to be significant G then the effort may not be impressive 0ommitment& Goals must be understood and agreed upon if they are to be effective 'mployees are more likely to Bbuy intoB a goal if they feel they were part of creating that goal The notion of participative management rests on this idea of involving employees in setting goals and making decisions "ne version of ?%$+T G for use when you are working with someone else to set their goals G has $ and + stand for $greed and +ealistic instead of $ttainable and +elevant $greed goals lead to commitment This doesnAt mean that every goal has to be negotiated with and approved by employees It does mean that goals should be consistent and in line with previous expectations and organi(ational concerns $s long as the employee believes that the goal is consistent with the goals of the company) and believes the person assigning the goal is credible) then the commitment should be there
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University of Central Punjab Interestingly) goal commitment and difficulty often work together The harder the goal) the more commitment is re&uired If you have an easy goal) you donAt need a lot of motivation to get it done When youAre working on a difficult assignment) you will likely encounter challenges that re&uire a deeper source of inspiration and incentive $s you use goal setting in your workplace) make an appropriate effort to include people in their own goal setting 'ncourage employees to develop their own goals) and keep them informed about whatAs happening elsewhere in the organi(ation This way) they can be sure that their goals are consistent with the overall vision and purpose that the company seeks )eedbac!& In addition to selecting the right type of goal) an effective goal program must also include feedback !eedback provides opportunities to clarify expectations) adjust goal difficulty) and gain recognition ItAs important to provide benchmark opportunities or targets) so individuals can determine for themselves how theyAre doing These regular progress reports) which measure specific success along the way) are particularly important where itAs going to take a long time to reach a goal In these cases) break down the goals into smaller chunks) and link feedback to these intermediate milestones ?%$+T goals are %easurable) and this ensures that clear feedback can be provided With all your goal setting efforts) make sure that you build in time for providing formal feedback Eertainly) informal check<ins are important) and they provide a means of giving regular encouragement and recognition However) taking the time to sit down and discuss goal performance is a necessary factor in long<term performance improvement ?ee our article on .elegation for more on this Tas! 0omplexity& The last factor in goal setting theory introduces two more re&uirements for success !or goals or assignments that are highly complex) take special care to ensure that the work doesnAt become too overwhelming People who work in complicated and demanding roles probably have a high level of motivation already However) they can often push themselves too hard if measures arenAt built into the goal expectations to account for the complexity of the task ItAs therefore important to do the following/ Give the person sufficient time to meet the goal or improve performance Provide enough time for the person to practice or learn what is expected and re&uired for success
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The whole point of goal setting is to facilitate success Therefore) you want to make sure that the conditions surrounding the goals donAt frustrate or inhibit people from accomplishing their objectives This reinforces the B$ttainableB part of ?%$+T
.dvantages of +oal Setting Theory

Goal setting theory is a techni&ue used to raise incentives for employees to complete work &uickly and effectively Goal setting leads to better performance by increasing motivation and efforts) but also through increasing and improving the feedback &uality
'imitations of +oal Setting Theory
$t times) the organi(ational goals are in conflict with the managerial goals Goal conflict has a detrimental effect on the performance if it motivates incompatible action drift
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Iery difficult and complex goals stimulate riskier behavior If the employee lacks skills and competencies to perform actions essential for goal) then the goal<setting can fail and lead to undermining of performance There is no evidence to prove that goal<setting improves job satisfaction
9asic %rinciples The key points that Hocke and Hatham made were that motivational goals needed to have the following dimensions/ clarity) challenge) commitment) feedback and complexity Goals need to be clear and measurable such as/ %y goal is to reduce maintenance downtime by 04 percent ?econdly) goals must be challenging) with achievement as the final payoff Thirdly) employees must feel like part of the goal<setting process to be committed to a clearly relevant goal *ext) there must be a program that involves feedback) recognition and progress reports Hastly) the task must be complex but not overwhelming) with sufficient time and resources available %ractical .pplication Theories are nice) but what does all this mean to you) small business owner or managerJ Eonsider how a company such as %oog) a manufacturer of precision air control components) has built its corporate culture around motivation and goal<setting theory %oog credits its success with a Bculture that unites and motivatesB its workers .uring their first days with the company) new interns sit down with management to discuss job expectations) skills and aspirations $ll employees receive one<on<one time with managers for regular progress reports Their performance is assessed and they are asked for suggestions regarding process improvement They go over upcoming job openings that might suit the company and the individualAs agenda 'mployees are fre&uently trained in other divisions and offered different positions or promotions In other words) employees are always being challenged with complex tasks and encouraged with clear feedback
3orter 4awler #heory0

Porter and Lawler used Victor Vrooms expectancy theory as a foundation to develop their expectancy model. Similar to Vrooms theory Porter and Lawler concluded that an individuals motivation to complete a task is affected by the reward they expect to receive for completing the task. However Porter and Lawler introduced additional aspects to the expectancy theory.
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5ntrinsic and '.trinsic (ewards

Porter and Lawler categori ed the reward as intrinsic and extrinsic !ntrinsic rewards are the positive feelings that the individual experiences from completing the task e.g. satisfaction" sense of achievement. #xtrinsic rewards are rewards emanating from outside the individual such as bonus" commission and pay increases. Porter and Lawlers model suggested that an individuals view regarding the attractiveness and fairness of the rewards will affect motivation. A!ility 6 3erce/tion
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University of Central Punjab Porter and Lawler said that motivation is also affected by the individuals ability to perform the task and their perception of the task
Forms of motivation
Being motivated is one of the key requirements for success in your studies. While at times you might not feel like studying, if you can identify and focus on the forces that are driving your desire to succeed, you will be well along the path to being motivated. here are several different forms of motivation! internal" e#ternal" positive" negative. $arious combinations of these can be brought together to help you achieve in your studies. he most successful form of motivation is both positive and internal.

%o to forms of motivations and reflect on how they relate to you Make a list all the forces that will help you to be a successful student &in the finished list in a visible place
Internal Motivation
he desire to be a successful student can arise from within. Here are some e#amples.

'(m determined to get a good education '(ll have a secure future if ' obtain a degree My family will be impressed when ' graduate '(m sure to get promoted in the company quickly ' really en)oy learning new things *tudying is one of my most pleasant past+times ' can contribute to this profession
,o any of these apply to you- .an you identify the internal forces that will help to motivate you- Write these down on your list and pin them in a visible place.
External Motivation
*ometimes our desire to succeed is driven by e#ternal forces. Here are some e#amples!

My employer e#pects me to get a university degree before ' get promoted '(ll be disappointing my mother and father if ' don(t succeed at university /ll my friends have been to university 'f ' want a successful career then ' have to obtain a degree hey will cut off my financial support if ' don(t succeed Page | 3
he community elders want people who are well educated as future leaders
,o any of these apply to you- .an you identify the e#ternal forces that will help to motivate you- Write these down on your list and pin them in a visible place.
Positive Motivation
/dopting a positive attitude towards the task of study will help to motivate you. 0nhancing that positive attitude is a matter of identifying those motivating forces that you en)oy and like. Here are some e#amples.

' want to learn and understand more about that topic ' have the ability to get a degree and ' know ' can do the work / university qualification will be really helpful for my future ' en)oy studying new things My future income will be much greater when ' graduate My results so far are okay but ' can do better
,o any of these apply to you- .an you identify the positive forces that will help to motivate you- Write these down on your list and pin them in a visible place.
Negative Motivation
*ometimes a fear of failure or other negative consequences can motivate you to study. hese are stress+producing forces and should be minimi1ed in favour of a positive attitude. Here are some e#amples.

My father will cut off my allowance if ' don(t study My mother will be really disappointed if ' drop out 'f ' fail my friends will think '(m stupid '(ll never get a better )ob without a degree
,o any of these apply to you- .an you identify the negative forces that will help to motivate you- Be aware of these forces but don(t dwell on them and don't add them to your list. 2ocus instead on the positive, internal and e#ternal forces.
+i#a#!ial Motivatio#
%oney is an important factor for motivation !or motivation management uses financial incentives like bonuses) wages) salaries) retirement benefits etc but these incentives may not always provide motivation
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University of Central Punjab To keep the workforce with the organi(ation there is a need of increase in the financial incentives on regular basis To attract the employees management should provide the attractive wages and salaries %oney also helps in satisfying physiological) security and social needs of employees ?o money can also be a symbol of status) power) and respect #ut it does not mean that money always provide satisfaction because at some stage importance of money can be reduced for some people and non<financial rewards become more important for them 3. Stoc! 2ptions
o
?tock options are often used to recruit) retain and reward employees ?tock option contracts give the right but not the obligation to exchange each option for a share at a fixed price) known as the strike price) on or before an expiration date $lthough stock options can align employee and stakeholder interests) Hegg %ason Eapital chief investment strategist and Eolumbia #usiness ?chool adjunct professor %ichael F %auboussin argued in a Harvard #usiness +eview blog post that stock options might end up rewarding randomness rather than specific skills in achieving desired goals !or example) a bull market could be more rewarding than a flat or down market) even if the company executes flawlessly in both markets
:. %erformance 9onus
o
Performance bonuses are usually paid for meeting specific goals ?ales and marketing employees can receive most of their compensation from commissions and bonuses Private and public<sector managers are often paid bonuses for exceeding sales and &uality benchmarks $ccording to author Iictor IroomAs expectancy model) cited by Dat() an incentive program can have a strong impact on employee motivation when the employee believes that effort leads to performance) which in turn lead to rewards that are desirable To motivate employees) management must set attainable targets and specify the financial rewards for meeting or exceeding them
;. Executive Incentives
o
!inancial incentives) such as stock options and retention bonuses) often constitute the majority of executive compensation packages They are designed to attract and retain both talent and expertise +etention bonuses are unusual because they essentially provide an incentive to do nothing/ They are paid to executives) especially in mergers and reorgani(ations) to stay with the company) lend their name and expertise and provide continuity ?tanford Graduate ?chool of #usiness professor Feffrey Pfeffer) &uoted by #en Pimentel in a ?eptember 1996 ?tanford G?# *ews article) suggests that stock option grants to senior executives can be problematic because of evidence that shows that the higher the option grants) the more likely it is that a company will have to restate its earnings He argues that organi(ational and management problems cannot be solved through financial incentives alone
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University of Central Punjab <. 9ase 0ompensation and 9enefits #ase Eompensation is one type of Eompensation It refers to the basic salaries and wages given to he employees It is normally constant at a given amount irrespective of the difference in work performance )actors influencing 9ase 0ompensation and 9enefits o "ne factor that influences #ase Eompensation is demand and supply of labor in the market o Habor union pressure is also another factor influencing #ase Eompensation This is because unions always try their best to fight for their members, rights o *ature of job as determined by the job description) each employee deserves a different compensation package o ?i(e of the organi(ation and its ability to pay its employees o Product market compensation is yet another factor influencing #ase Eompensation o Psychological and social factors like employee satisfaction and security o ?alaries paid by similar firms are also a factor affecting #ase Eompensation o Government policies on wage determination o Eost of living of the employees When the employees, cost of living is very high then they need a higher compensation benefit o Increase in productivity of labor o !irms in general- whether competing firms or not =. 1ariable 0ompensation and 9enefits This type of compensation as by its name is variable It means that one gets compensation as per the work done If one does a remarkable job then he or she deserves a higher compensation package than one whose work is of poor &uality >. Supplementary 0ompensation and 9enefits ?upplementary Eompensation is compensation given by an employer when he or she wishes to It is not compulsory or a routine once one is given the compensation that one will be awarded another time In this type of Eompensation the employer has a right to add) deduct or even withdraw the benefits when he or she wishes 5. *etirement benefits $ retirement plan or a pension is an arrangement by an employer to provide their employees with an income when they are no longer earning a regular income from working +etirement plans may be set up by in a variety of ways but typically will have a form of a guaranteed payment "ften retirement plans re&uire both the employer and employee to contribute money into a fund while employed so that they will receive benefits upon retirement Pension plans are considered a form of delayed income
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University of Central Punjab ?. %ension %lans Pension plans are usually classified as either defined benefit or defined contribution according to how the payments are determined
$ defined benefit plan guarantees a predictable monthly payment at retirement) calculated by using an established formula with some combination of the employee,s salary) years of service and@or age $ defined contribution plan will provide a payment@payout at retirement that will be determined by the amount of money contributed during the life of the plan and the performance of the stock or investments used
4. #ages and Salary The most obvious form of compensation is wages and salary These are hourly and weekly payments in cash for the amount of time spent at work When an employee thinks of :compensation); money is probably the first thing that comes to mind To attract top<notch talent your wages and salary must be comparable with those of the rest of the field) particularly larger businesses 3@. "ealth Insurance In many Western countries the government provides all citi(ens health care In the Cnited ?tates) it is far more common for employees to receive health care from their employers Providing your employees with health insurance is a must for companies wishing to attract the top talent in the field !urther) your health insurance plan must be as good or better than your competitors Hook around at different health care plans and find one that provides
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University of Central Punjab comprehensive coverage and a number of doctors to choose from #alance this against having a plan with premiums that your employees can afford without breaking the bank
33. 'ife Insurance ?imilar to health insurance) many employees receive life insurance as part of a group plan through their employer Particularly if you run a business with a high rate of on<the<job casualties) such as construction) you will want to provide your employees with the opportunity to buy life insurance 3:. *etirement %lans Pensions are largely a thing of the past) in part because individual retirement accounts >I+$s= and 390>k= plans are more flexible and attractive to employees $ll workers dream of the day that they no longer have to work and can spend the rest of their days relaxing Helping your employees to save for retirement through retirement plans and matching funds is an attractive form of compensation 3;. 9onuses Providing your employees with clear expectations and bonuses for exceeding them is a way to motivate employees to work harder Eommissions for sales employees are essential for motivation in this field #onuses can be applied to any field Eome up with clear metrics for employees to meet and reward them for surpassing these goals
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3<. %aid Time 2ff "ne way to increase employee compensation without incurring addition expenses is with extra time off Paid holidays and vacations give employees a way to rest up and re<energi(e themselves for when they come back 04 9enefits in !ind ABfringe benefitsCD G Iery common in businesses of all kinds- these include staff discounts) contributions to travel costs) staff uniforms etc 05 Time(rate pay/ Pay based on time worked- very common in small businesses where employees are paid per hour 06 %iece(rate pay& Pay per item produced G becoming less common 07 0ommission/ payment based on the value of sales achieved
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Motivation techni8ues&
%otivation is an important factor that is likely to rise the productively of the employees in the organi(ation 'mployee motivation helps to raise the productivity of an organi(ation and at the same time assist the organi(ation to work as a system The most important aspect of motivation is to align the aims) purpose) and the values between staff) teams and the whole organi(ation in general to the culture of the organi(ation There are organi(ational and personal motivation techni&ues which are important for an organi(ation to achieve improved productivity Personal motivation techni&ues are important as they help to have motivated employees who are well integrated in the organi(ation culture >Geen) 1993= ; )ortune =@@ companies
)i* !+M cor,oration

I#% Eorporation is one of the most successful companies in the world It has recorded impressive growth since the company was formed The company has cut an edge in the production and sale of computer hardware and other electronic "ne of the most important pillars for growth of the company has been its workforce The company has well motivated employees who have ensured that the company remains a market leader I# has employed different techni&ues in the motivation of its staff $mong the most notable techni&ues include/
The company sets goals for every employee in the organi(ation which ensures that they are moving towards achievement of a common goal This helps the employees to move to achieve a certain target The company also ensures a high level of team work spirit 'mployee works as a team to accomplish a given project
(ii) &ell *ompa#y

.ell has been another market leader in the world of computers ?ince the company was established it has ensured growth in the industry through innovation and marketing strategies $mong the most important internal factors that have ensured the growth of the company has been motivation of the workforce .ell uses the following techni&ues to motivate its workforce/
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It has ensured continuous training and development of the workforce in order to improve the work procedures This has created a focused workforce which is aimed at achieving the best for the company The company has also used rewards and incentives techni&ue like pay performance plans) merit pay and others which ensures intense work for each to achieve high pay
(iii) ,all-mart
Wall<mart is the leading store having established store outlets in all part of the world With large chains of outlets) wall<mart has a large workforce which has been well managed and controlled In the design of its operation) the company values its employees more since they are the source of growth for the company The company uses the following techni&ues to motivate its workforce/
The company carries continuous training and development of the workforce from time to time It has an inherent structure which ensures that those who are well trained and performs well in the system are promoted The company also offers a number of financial incentives for the workers
N.N-+(NAN*(A/ M.)(0A)(.N
When money satisfies the security and physiological needs then it stops to be a motivating force ?o money is a maintenance factor 'mployees have also other needs like security and recognition When survival needs satisfied then there is a desire of satisfying the ego@intern needs People want to achieve something for their own satisfaction in their lives ?o management uses various non<financial methods to motivate the employees that includes praise@appreciation) competition) rating of performance) participation in decision making) opportunity for growth) reward for suggestions etc %ost businesses recogni(e the need for non< financial methods of motivation The main ones are described briefly below/
#2*E%'.0E )'EFI9I'ITG&
$lternative work arrangements are effective ways to negotiate an arrangement that meet the needs of the organi(ation while also providing employees will what they need to balance their home and work environments Histed below are just some of the ideas that could be explored !inding out what your organi(ation would value can start this process The key is to ensure that
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University of Central Punjab any alternative arrangements considered do not hinder the organi(ation,s ability to ensure that core work is being completed in the time and manner re&uired to maintain sustainability Having clear expectations on both the organi(ation and the employee,s part as to the terms and conditions of the alternative work arrangement can prevent ineffective or damaging results
0 0ompressed wor! wee!

o
$llowing an employee to work their full number of hours in less days
'xample/ Eore hours are 39 hours per week) the employee works 3 G 09 hours days instead of 4 G 7 hour day
:. )lexible time
This can be establishing core hours) then allowing employees to work earlier in the day or later in the day
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University of Central Punjab o 'xample/ Eore hours are 8 to 1 Person $ starts at 6 and works till 2) Person # works from 8 to 4 ?easonal hours can be established in a variety of terms) just as flexible hours@schedule of part<time employees 'xample/ hiring a part<time person to work 3 days a week or a 7 but they actually work full<time for 09 months a year) and then take a combination of their time vacation and 1 hours and take a month in the summer and a month in the winter off work They would continue to receive the 7 salary for 01 months a year Example& o Iidya is the classic :morning person; ?he rises each day at 4/99 $ % sharp and full of energy However as she puts it) :I, m usually ready for bed right after the 8/99 P % news ; Iidya,s work schedule as a claim processor at the %ax *ew Nork Hife Group is flexible Her office opens at 7/99 $ % and closes at 8/99 P % It,s up to her how she schedules her 7<hours day within this 02< hours period #ecause Iidya is a morning person and also has a 6 years old son who gets out of school at 2/99 P % every day) she opts to work from 6/99 $ % to 3/99 P % :%y works hour are perfect I,m at job when I,m mentally most alert) and I can be home to take care of my son after he gets out of school Iidya,s schedule is a example of flextime .pplied side of flextime& !lextime becomes popular in India The flexible working mums, survey conducted by +egus in .ecember 1998 reported that 53M of Indian business leaders were keen to hire more mothers on flextime basis The portion of full time C ? employees on flextime more than doubled between the late 0879s and 1994) and approximately 32M of the C ? full<time workforce now have flexible daily arrival and departure times In Germany) 18M of business offer flextime
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;. 6ob sharing /
Having 1 &ualified employees share the duties and tasks of one position o #oth could work 1 4 days or alternative between 2 days one week and 1 the next
The advantage of job sharing is having 1 people who both know the role- the downside can be having a communication gap between individuals doing the role Eonsider having an employee who is contemplating retirement job share with a more junior employee with high potentialOtransition knowledge) skills and commitment
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Example& o %anix and Eharlotte ?chut(man share the title of vice president of employee communications in the Philadelphia office of Ieri(on ?chut(man works %onday and Tuesday) %anix Thursday and !riday and they alternates Wednesdays The two women have job shared for 09 years) ac&uiring promotions) numerous bounces) and a 19<person staff and better balancing their work and family responsibilities
.pplied side of job sharing& $pproximately 08M of large organi(ations now offer job sharing %any Fapanese firms are increasingly considering job sharing
1 )ele!ommuti#%2
What kinds of job lend themselves to telecommutingJ There are three categories/ 0 1 +outine<information handling tasks %obile activities
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University of Central Punjab 2
Professional and other knowledge<related tasks
This is the practice of allowing an employee work from their home location instead of on your premises There are guidelines governing the considerations for this type of employment
In the past ten years the number of people telecommuting has tripled with results indicating that increased productivity and effectiveness were seen from this type of working arrangement
.pplied side of telecommuting& Well known organi(ations that actively encourage telecommuting include $TPT) I#%) $merican 'xpress and ?un %icrosystems $ number of small and medium<si(ed companies in India also encourage telecommuting In !inland) ?weden) #ritain) and Germany) telecommuters represent 06) 04) 7) and 5 percent of the workforce) respectively
=. *egular part(time wor! /

%any people today are looking for meaningful work but on a part<time basis $ desire to balance work and life priorities has increased exponentially over the past decade and employers who recogni(e the contribution part<time employees can make) are leading their organi(ations forward
629 *2T.TI2-&
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Fob rotation involves the movement of employees through a range of jobs in order to increase interest and motivation !or example) an administrative employee might spend part of the week looking after the reception area of a business) dealing with customers and en&uiries ?ome time might then be spent manning the company telephone switchboard and then inputting data onto a database Fob rotation may offer the advantage of making it easier to cover for absent colleagues) but it may also reduceA productivity as workers are initially unfamiliar with a new task Fob rotation also often involves the need for extra training The strengths of job rotation are that it reduces boredom) increases motivation and helps employees better understand how their work contributes to the organi(ation $n indirect benefit is that employees with the wider range of skills give management more flexibility in scheduling work) adapting to changes and filling vacancies However job rotation is no without drawbacks) training cost increase) and productivity is reduced by moving a worker into a new position just when efficiency at the prior job is creating organi(ational economies Fob rotation also creates
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University of Central Punjab disruptions when members of the work group have to adjust new employee $nd supervisors may also have to spend more time answering &uestions and monitoring the work of recently rotated employees
.pplied side of job rotation

$t Hassia Packing Htd) a Pune<based custom packing machine shop) workers are trained to work on all parts of the assembly so that they can work on the necessary part of the machine as per the incoming orders !uture group) in trying to overcome attrition) uses job rotation This large retail chain has professionals working in various departments in rotation !or example) employees in marketing and finance may work in H+ and logistics and vice versa
629 E-*I0"ME-T&
Fob enrichment attempts to give employees greater responsibility by increasing the range and complexity of tas!s they are asked to do and giving them the necessary authority It motivates by giving employees the opportunity to use their abilities to the fullest ?uccessful job enrichment almost always re&uires further investment in employee training
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The strength of job enrichment is that it reduces absenteeism and turnover costs and increase satisfaction but not all enrichment programs are e&ually effective) fre&uent and specific feedback related to solving problems was linked to consistently higher performance) but infre&uent feedback that focused more on past problems than future solutions was much less effective Fob enrichment works best when it compensates for feedback and reward system
.pplied side of job enrichment

The Cniversity of *ew %exico provides Fob enrichment through cross<training to learn new skills and job rotation to perform new tasks in another position Two university employees held administrative positions in the same academic department "ne speciali(ed in handling student records and the other processed tuition payments Through the enrichment program) the student record assistant received cross< training in H+ classes to learn about purchasing and accounting system The accounting assistant work with the student records assistant 1 hours pr week learning about the job The two than proposed rotating their jobs for a summer $s a result both expanded their
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University of Central Punjab repertoire of skills and experiences to enable them to cover for or help the other employee) and better prepare for future promotions
EM%'2GEE I-12'1EME-T&
It,s a participative process that uses employees input to increase their commitment to organi(ation,s success The logic is that if we engage workers in decisions that effect them and increase their autonomy and control over their work lives) they will become more motivated) more committed to the organi(ation) more productive) and more satisfied with their jobs
Employee Involvement %rograms&

There are two major forms of employee involvement 0 1 Participative management +epresentative participation
%articipative Management&
The distinct characteristic common to all participative management programs is joint decision making) in which subordinates share a significant degree of decision making power with there immediate supervisors Participative management has) at times) been promoted as a panacea for poor morale and low productivity #ut for it to work) the issues in which employees are
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University of Central Punjab engaged must be relevant to their interests so they will be motivated) employees must have the competence and knowledge to make a useful contribution) trust and confidence must exist among all parties
*epresentative %articipation&
$ system in which workers participate in organi(ational decision making through a small group of representative employees +epresentative participation called the most widely legislated form of employee involvement round the world
'in!ing Employee Involvement %rograms and Motivation Theories&

'mployee involvement draws on a number of motivation theories Theory N is consistent with participative management and theory Q with the more traditional autocratic style of managing people In terms of two factor theories) employee involvement programs could provide intrinsic motivation by increasing opportunity of growth) responsibility) and involvement in the work itself The opportunity to make and implement decisions and then see them to work out can help satisfy an employee,s needs for responsibility) achievement) recognition) growth) and enhanced self<esteem $nd extensive employee involvement programs clearly have the potential to increase employee intrinsic motivation in work tasks
TE.M #2*E&
-ne of t(e best .ays to /otivate t(e e/,loyees is t(roug( tea/.or01 !t is ,roven t(roug( researc( t(at .(en e/,loyees feel 2inclu"e"2 as ,art of a tea/ an" ,art of a .or0 fa/ily3 t(ey .ill be /ore ,ro"uctive an" /ore
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University of Central Punjab efficient1 -ne .ay to ins,ire tea/.or0 is t(roug( contests an" e4ercises t(at your e/,loyees can be inclu"e" in1 5ave tea/buil"ing e4ercises suc( as ga/es or c(allenges1
HI.'ITG 0I*0'ES&
We can also motivate employees through &uality circles Ruality circle is the voluntary groups of employees who works on similar tasks or share an area of responsibility They agree to meet on regular basis to discuss and solve problems related to work They operate on the principle that employee participation in decision making and problem solving improves the &uality of work This method is greatly used in India #H'H) Hyderabad first in India to start &uality circles
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T.*+ET SETTI-+&
Goal setting has proved to be one of the most simple and effective motivational devices developed for employees While the concept is not new) today the techni&ues for effective goal setting have been refined and clarified %otivation is all about having needs and striving to have those needs met How can you enhance employee motivationJ
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University of Central Punjab 0 1 2 3 4 Provide more time and attention to employee when he@she is having difficulty learning a skill +eward small gains of achievement in skill level .evelop other measures of achievement outside of winning ?how your employee that they are important to you ?how your employee that you are proud of them and excited about what they are doing
Goals give direction They tell us what needs to be accomplished They increase effort) persistence and the &uality of performance 'stablishing goals also re&uires that the employee determine techni&ues for how to achieve those goals
.'H'G$TI"*/
We can also motivate our employees through delegation .elegation is a way to appropriately and consistently provide direction to the staff #y delegating properly) you can teach employees new skills and expertise to help them be more productive and instill a sense of self<reliance) improving morale and motivation $s a supervisor) you must assess your staffAs current abilities and their potential to accept and complete assignments through established guidelines Nou must know how to plan and coordinate a variety of activities and how to monitor progress
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University of Central Punjab .elegation brings into play many management functions planning) organi(ing) coordinating) motivating) communicating) and leading It not only frees up our time to work on other priorities) it also develops other people,s skills and motivates them to work more effectively $lso) the more control you give to others) the less stress they experience #ut dumping jobs onto others) with little planning) training or feedback) is neither motivational nor stress< reducing .on,t always delegate to your most capable employees Cse delegation to develop all your people) forming a strong team with no weak links 'very task you delegate should not be a simple) boring) repetitive task ?hare some of the more enjoyable tasks with your staff members Het your people make a few mistakes- don,t expect perfection) and don,t jump on them every time they slip up 'ncourage your staff to find better ways of performing a task once they have mastered it $sk for solutions) not problems 'ncourage your staff to think for themselves by asking for their suggestions rather than presenting them with answers to their &uestions
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%any people will do for recognition what they will not do for money $nd) this is the manager7s secret weapon for employee motivation ?ome people are motivated by the opportunity to get their name on the wall) receive a trophy at an annual ban&uet) or see their name in the company newsletter It gives them an Bemotional payoffB for their actions Hook for ways to increase employee motivation by recogni(ing excellence in the workplace +ing a bell every time an individual or team hits the production target Put up posters with the photographs of team members who have had the most days without accidents Give out awards for attendance records Fust do something It is so inexpensive) yet highly effective in your efforts of employee motivation
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Inspiration comes from leadership This form of employee motivation includes the companyAs mission) purpose and goals People want to be part of an organi(ation that is going somewhere) that stands for something) and that provides a meaningful service to the marketplace If you want to lead an inspired) mission<guided organi(ation) follow these steps and watch employee motivation improve dramatically 0 1 Have a clear mission < in other words) know where you are going #e excited and passionate about your mission $fter all) if you donAt get excited) they wonAt either 2 #e able to communicate the mission) itAs value to the marketplace In other words) why itAs worthwhile 3 4 %ake sure everyone in the organi(ation understands and can communicate the mission #e sure employees understand how they fit into the process of fulfilling the organi(ationAs mission 5 %ake the connection between the mission and the individual values and goals of your employees
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University of Central Punjab 6 Deep your mission in front of everyone in the organi(ation
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3mployee motivatio# as it relates to employees satisfaction is vitally important $nd) it goes way beyond just a Bhappier workforce B WhyJ
#ecause there is an undeniable link between satisfied) motivated employees) and satisfied customers In other words) focus on creating satisfied employees) focus on employee motivation) and those motivated) satisfied employees will take care of your customers
3N*.4RAG3 G..& 53A/)52

While it,s not realistic for most workplaces to install a gym) employers can still encourage and reward employees who wish to maintain an active and healthy lifestyle to keep their work@life balance firmly in check Having organic fruits delivered to the office for your employees)
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University of Central Punjab offering free fruit juices and granola bars help them stay alert and stay healthy throughout the day .iscounts on gym memberships are one highly valued benefit in the workplace $dditionally) physical team building events and intramural leagues like soccer) softball and even bowling) add an element of physical as well as social activity for an alternative to the usual happy hour on any given night
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Ereative and imaginative employees need to work in an environment that reflects their skills and personalities ?tudies show that we,re dramatically shifting from offices and cubicle farms)
Page | #1
University of Central Punjab to open) interactive spaces with light) color) positive energy and comfortable areas within the office to relax and take a break
629 SE0I*ITG&
*othing can motivate a worker) appointed temporarily) better than provision of job security 'ven if a temporary worker puts in greater efforts) lack of job security will always pose a threat If such a worker is given job security) he will be even grateful to the management
0".''E-+I-+ #2*E&
Page | #2
University of Central Punjab Workers) who are dynamic in nature) do not show preference for routine jobs They are always ready to accept challenging assignments It is) therefore) the duty of the employer) to understand the capabilities of every individual in the organi(ation and accordingly assign him work If a conservative person is given a job that re&uires a dynamic approach) he may not have any motivation to take it up "n the other hand) if a dynamic person is given a routine job) he too would not feel induced
T*.I-I-+ .-, ,E1E'2%ME-T&
'mployees can become restless and frustrated when they feel that their career development has become arrested Providing opportunities for training and development can make employees feel that you have an investment in their future with your company ?ending employees to a place like Hawaii for training is a sure way to win loyalty
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9ETTE* ,ESI+-.TI2-&
The designation of an employee is yet another motivating factor 'mployees do show preference for certain designations $ salesman) for example) would like to be designated as a sales executive
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University of Central Punjab There should never be a stagnation point for any employee during the prime time of his career The employer must always provide opportunities for his employees to perform well and move up in the hierarchy
02M%ETITI2-&
The management can encourage healthy competition among the employees This would) certainly) motivate them to prove their capabilities The management can also rank the employees according to performance ?uch of those employees who have performed very well may be given merit certificates
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Biblio%raphy
http/@@www callofthewild co uk@library@theory@maslows<hierarchy<of<needs<how<to<motivate< your<staff@ http/@@www tutor1u net@business@people@motivationStheorySmaslow asp http/@@www netmba com@mgmt@ob@motivation@her(berg@ http/@@www businessballs com@davidmcclelland htm http/@@blog kirkleverington com@JpT642 http/@@www managementstudyguide com@erg<theory<motivation htm http/@@www managementstudyguide com@expectancy<theory<motivation htm http/@@www1 ifm eng cam ac uk@dstools@paradigm@vroom html https/@@www boundless com@management@organi(ational<behavior@process<and< motivation@expectancy<theory<<1@ http/@@www slidesandnotes com@1900@91@theories<of<motivation<vrooms<valence html http/@@www managementstudyguide com@e&uity<theory<motivation htm https/@@www boundless com@management@organi(ational<behavior@process<and< motivation@e&uity<theory<<1@ https/@@www boundless com@management@organi(ational<behavior@process<and<motivation@goal< setting<theory<<1@ http/@@www mindtools com@pages@article@newHT'S76 htm
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University of Central Punjab http/@@www managementstudyguide com@goal<setting<theory<motivation htm http/@@motivationcube wordpress com@1901@09@05@set<s<m<a<r<t<e<r<goals<goal<setting<theory@ http/@@smallbusiness chron com@motivation<goal<setting<theory<0076 html http/@@www ofs edu sg@#$EEpacks@HumanSresourcesSstudent@pageS88 htm https/@@www boundless com@management@organi(ational<behavior@process<and<motivation@goal< setting<theory<<1@ https/@@www google com pk@searchJ clientToperaP&TimagesUofUexpectancyUtheoryPsourceidToperaPieTutf<7PoeTutf< 7PchannelTsu http$%%www.learnmanagement&.com%porterandlawlerexpectancytheory.htm
(tt,677/anage/entstu"ygui"e1co/7/otivation8incentives1(t/ (tt,677...1articlesbase1co/7international-stu"ies-articles7/otivation-tec(ni9ues223 2421(t/l
http/@@www slideshare net@sarameeajan@financial<and<non<financial<motivation http/@@www scribd com@doc@019851531@%otivation<*on<!inancial<Incentives http/@@www scribd com@doc@19000381@%otivation<Theory http/@@www tutor1u net@business@gcse@peopleSmotivationSfinancialSrewards htm http/@@www ngfl<cymru org uk@busstud<home@busstud<recruitmenttrainingmotivation@busstud< motivation@busstud<motivationmethods@busstud<nonfinancialmotivation htm
Page | #$

Final Report On Motivation by Novelty Group of UCP

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Final Report On Motivation by Novelty Group of UCP

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University of Central Punjab

Financial & NonFinancial Motivation

Submitted By Rabbiyah Jasia Ayesha Madeeha

(03) (36) (20) ( 3)

University of Central Punjab

We are presenting our Project to Honorable Teacher

University of Central Punjab

University of Central Punjab

The personality that is most loveable and respectful to us

University of Central Punjab

University of Central Punjab

(mporta#!e o' Motivatio#

University of Central Punjab

)heories o' Motivatio# *o#te#t )heories

Physiological Needs <

University of Central Punjab v= the need to reproduce

Safety Needs <

i= the need for shelter ii= the need to feel secure

"ow does the "ierarchy #or!$

%roblems with the Maslow Model

2. Her !er"s #wo$%actor #heory

University of Central Punjab

High M High H Low H

'imitations of Two()actor Theory

Implications for Management

&. #he '() #heory

Implications of the E*+ Theory

*. +a,id Mc-lellands #heory of Needs

University of Central Punjab

University of Central Punjab

.dvantages of the Expectancy Theory

%ractical measures based on expectancy theory&

These precepts can be translated into practical measures

"ow to apply the .dams7 E8uity Theory&

University of Central Punjab

2utputs typically include&

.ssumptions of the E8uity Theory

University of Central Punjab

University of Central Punjab

University of Central Punjab

University of Central Punjab

University of Central Punjab

)ive %rinciples of +oal Setting

University of Central Punjab

.dvantages of +oal Setting Theory

'imitations of +oal Setting Theory

University of Central Punjab

3orter 4awler #heory0

University of Central Punjab

5ntrinsic and '.trinsic (ewards

University of Central Punjab

University of Central Punjab

University of Central Punjab

)i* !+M cor,oration

(ii) &ell *ompa#y

University of Central Punjab

0 0ompressed wor! wee!

$llowing an employee to work their full number of hours in less days

University of Central Punjab

University of Central Punjab

University of Central Punjab 2

Professional and other knowledge<related tasks

=. *egular part(time wor! /

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