Chapter 14

Copyright © 2015 by McGraw Hill Education (India) Private Limited.
All rights reserved

Learning Objectives
After studying this chapter, you should be able to:
 LO1 Define the nature of leading and leadership

 LO2 Describe the basic human factors that affect managing
 LO3 Explain the meaning of motivation
 LO4 Describe the various theories of motivation and their strengths and
weaknesses
 LO5 Analyze motivational techniques, with emphasis on the role of money,
participation, the
 quality of working life, and job enrichment
 LO6 Present a systems and contingency approach to motivation
2
Copyright © 2015 by McGraw Hill Education (India) Private Limited. All rights reserved
Definition of Leading, LO1
Leading is the process of influencing people so that they will contribute to

organizational and group goals.
3
What is Managing?
Managing requires the creation and

maintenance of an environment in which
individuals work together in groups
toward the accomplishment of common
objectives.
4
HUMAN FACTORS IN MANAGING,
LO2
• Multiplicity of Roles
• No Average Person
• The Importance of Personal Dignity
• Consideration of the Whole Person
5
What is MOTIVATION?, LO3
Motivation is a general term applying to the entire class of drives, desires,

needs, wishes, and similar forces.
6
AN EARLY BEHAVIORAL
MODEL: MCGREGORS THEORY X AND THEORY Y,
LO4
7
Theory X and Theory Y, LO4
• Theory X and Theory Y are two sets of assumptions about the nature
of people
Example of Theory X
• Average human beings have an inherent dislike of work and will
avoid it if they can
Example of Theory Y
• The expenditure of physical effort and mental effort in work is as
natural as play or rest
8
Clarification of X and Y
Theories
• They are assumptions only – not prescriptions

• Not hard or soft management
• Not to be viewed as being on a continuous scale, with X and Y on
opposite extremes.
• Not to be viewed as being on a continuous scale, with X and Y on
opposite extremes
• Theory Y is not a case for consensus management nor is it an
argument against the use of authority
• The productive enterprise is one that fits the task requirements to
the people and the particular situation
9
THE HIERARCHY OF NEEDS
THEORY, LO4
Maslow concluded that when one set of needs is satisfied, this kind of need
ceases to be a motivator
10
Maslow’s Hierarchy of Needs
11
ALDERFER'S ERG THEORY, LO4
ERG theory has three categories: existence needs, relatedness needs, and
growth needs.
12
HERZBERG’S MOTIVATION-HYGIENE
THEORY, LO4
• According to Herzberg, dissatisfiers are not motivators. They are also

called maintenance, hygiene, or job context factors
• Satisfiers are motivators – related to job content
13
The satisfiers and dissatisfiers identified by Herzberg are
similar to the factors suggested by Maslow
14
THE EXPECTANCY THEORY OF
MOTIVATION, LO4
Vroom holds that people will be motivated to do things to reach a goal

if they believe in the worth of that goal and if they can see that what
they do will help them in achieving it.
15
Force = Valence x Expectancy
• Force is the strength of a person's motivation
• Valence is the strength of an individual's preference for an outcome
• Expectancy is the probability that a particular action will lead to a desired

outcome
16
The Porter and Lawler Motivation Model
17
EQUITY THEORY, LO4
Equity theory refers to an individual's subjective judgments about the

fairness of the reward she or he got, relative to the inputs in
comparison with the rewards of others
Outcomes by a Outcomes by
person another person
------------------ = --------------------
Inputs by a Inputs by
another person person
18
Equity Theory
19
GOAL SETTING THEORY OF
MOTIVATION, LO4
For objectives to be meaningful, they must be clear, attainable, and

verifiable. The objectives must be challenging yet they must also be
reasonable. To gain commitment to achieving the goals, true participation
in setting them is essential.
20
Goal Setting Theory of Motivation
21
SKINNER’S REINFORCEMENT
THEORY, LO4
Positive reinforcement or behavior modification, holds that individuals can

be motivated by proper design of their work environment and praise for
their performance and that punishment for poor performance produces
negative results.
22
MCCLELLAND'S NEEDS THEORY OF
MOTIVATION, LO4
McClelland’s types of motivating needs are: the need for power, need
for affiliation, and the need for achievement.
23
SPECIAL MOTIVATIONAL
TECHNIQUES, LO5
• Money is often more than monetary value. It can also mean status
or power, or other things
• Intrinsic rewards may include a feeling of accomplishment, or even

self-actualization
• Extrinsic rewards include benefits recognition, status symbols, and,

of course, money
24
SPECIAL MOTIVATIONAL
TECHNIQUES- continued
• Pay may be based on individual, group, and organizational performance
• Motivation through the use of participation
• Quality of working life (QWL) program is a systems approach to job

design and a promising development in the broad area of job
enrichment, combined with a grounding in the sociotechnical systems
approach to management
25
JOB ENRICHMENT
• Job enlargement means enlarging the scope of the job by adding

similar tasks without enhancing responsibility
• Job enrichment attempts to build into jobs a higher sense of

challenge and achievement
26
A SYSTEMS AND CONTINGENCY
APPROACH TO MOTIVATION, LO6
Motivation must be considered from a systems and contingency point of

view.
27

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Copyright © 2015 by McGraw Hill Education (India) Private Limited.

All rights reserved

 LO1 Define the nature of leading and leadership

Leading is the process of influencing people so that they will contribute to

Managing requires the creation and

• The Importance of Personal Dignity

• Consideration of the Whole Person

Motivation is a general term applying to the entire class of drives, desires,

• They are assumptions only – not prescriptions

• According to Herzberg, dissatisfiers are not motivators. They are also

• Satisfiers are motivators – related to job content

Vroom holds that people will be motivated to do things to reach a goal

• Force is the strength of a person's motivation

• Valence is the strength of an individual's preference for an outcome

• Expectancy is the probability that a particular action will lead to a desired

Equity theory refers to an individual's subjective judgments about the

For objectives to be meaningful, they must be clear, attainable, and

Positive reinforcement or behavior modification, holds that individuals can

• Intrinsic rewards may include a feeling of accomplishment, or even

• Extrinsic rewards include benefits recognition, status symbols, and,

• Pay may be based on individual, group, and organizational performance

• Motivation through the use of participation

• Quality of working life (QWL) program is a systems approach to job

• Job enlargement means enlarging the scope of the job by adding

• Job enrichment attempts to build into jobs a higher sense of

Motivation must be considered from a systems and contingency point of

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