Introduction To

Business

Chapter Human Relati

10 on &
Motivation

1
Human Resource Management
& Relations
 Scientific Management:
The scientific study and breakdown of
work into its smallest mechanical
elements, and then rearrangement into
their most efficient combination.

2
 Developing a Positive Work
Environment
 Once an organization has acquired the
best possible human resources to
perform a job, each manager is faced
with the challenge of creating a positive
work environment where the employees
can go.
 The positive work environment is the
key to developing and maintaining
motivated workers who will achieve
organizational objectives. 3
 Managers can create a positive work
environment by :

 Recognizing people as individuals.

 Acquiring resources for goal accomplishment.
 Providing rewards based on performance.
 Developing, communicating, and reinforcing
expectations for the performance
 Encouraging initiative and creativity.
 Encouraging risk taking.
 Allowing participation in goal setting.

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Motivation, Rewards, Punishment

 Motivation– The way drives or needs

direct a person’s behavior toward a
specific goal; involves the level of effort
put forth to pursue the goal.
 Generally, rewards and punishments are
the tools managers use to motivate
employees.
 It is the set of forces that cause people to
act in a certain way.
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 Rewards –

 Extrinsic Reward– Reward external to

the work itself and administered by
someone else, such as manager (fringe
benefits, recognition, praise).
 Intrinsic Reward – A sense of
gratification directly related to
performing the job (feeling good about
accomplishing an objective).

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 Rewards, Punishment

 Punishment – an undesirable
consequence of a particular
behavior.

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Process of Motivation in Individual

Needs or Tension Search for

Solution

Redefinition of
Some Goals Attained
Needs,
and
Goals and Behavior
Some need to fulfilled

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Theories of Managements
and Needs
 Maslow’s Needs Hierarchy Theory.
 McGregor’s Theory X and Theory Y.
 Ouchi’s Theory Z.
 Herzberg’s 2-Factor Model of
Motivation.
 Behavior Modification/Reinforcement
Theory

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Maslow’s Needs Hierarchy
Theory
 A popular theory of human needs that
helps us to understand the relationship
between needs and motivation.
 A tool managers can apply to
understand human needs was
developed by Abraham H. Maslow in his
book Motivation and Personality.

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 Five Need Levels– The needs Maslow
identified fall into a hierarchy or
arrangement of power to motivate
behavior.
 Each higher-order need becomes active
and motivates a person only when
lower-level needs have been fulfilled.
 The first two needs are considered
primary, or lower-order, needs.
 The remaining three are secondary, or
higher-order, needs.
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 Maslow’s Theory
Self Actualization
Highest Need Level, Need to fulfill one’s self, To grow
and use abilities to fullest and most creative extent
Higher
Higher
Order
Order Esteem
Need for respect, prestige, recognition, personal,
Needs
Needs sense of competence

Social
Need for love, affection and sense of belongingness

Lower
Lower Safety
Order
Order Need for security, protection and stability in physical and
interpersonal relations
Needs
Needs
Physiological
Most basic of all human need, need for biological
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maintenance: food, water etc.
 NEEDS
General Examples Organizational Examples

Self- Challenging
Achievement actualization job

Job
Status Esteem
title

Friends
Friendship Belongingness
at work

Pension
Stability Security
plan

Base
Food Physiology
salary

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Physiological Need:

Physiological need is the fundamental need for

food, clothing, and shelter. People must be
able to satisfy is need before they acknowledge
any of the higher ones.
Implications for Management:
Provide lunch breaks, rest breaks, and wages
that are sufficient to purchase the essentials of
life.

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 Safety and Security Need:

The safety and security need is the need to

avoid bodily harm and uncertainty about
one’s well-being. People become conscious
of this need after they fulfill the first one.
Implications for Management:
Provide a safe working environment,
retirement benefits, and job security.

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Social Need:
Social need the need to be accepted by
people whose opinions and companionship
you value. On the job pleasant relations
with co-workers help people meet these
needs.
Implications for Management:
Create a sense of community via team-
based projects and social events.

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 Esteem Need:
Esteem need is the need to feel important,
admired, and worthwhile.
Implications for Management:
Recognize achievements to make
employees feel appreciated and valued.
Offer job titles that convey the importance
of the position.

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 Self-actualization or Self-realization
Need:

Self-actualization or self-realization need is the need to get

the maximum reward from one’s life experience; to
maximize one’s skills, abilities, and potential. It is reaching
one’s potential in his life.
Implications for Management:
Provide employees a challenge and the opportunity to reach
their full career potential.

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McGregor’s Theory X and
Theory Y
 A factor that sets the foundation for
creating the work environment is a
manager’s philosophy of management
or attitude about the workers.
 Douglas Mcgregor, a professor of
industrial management, has provided two
sets of assumptions about workers. They
are--
1. Theory X
2. Theory Y
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Theory X
 Theory X is the pessimistic and negative
view of workers consistent with the views of
scientific management.
 Managerial assumptions that employees
dislike work responsibility and accountability
and must be closely directed and controlled
to be motivated to perform

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 Theory X……
Theory X managers are assumed to view
the average employee as-
 Disliking work and finding ways to avoid it as
much as possible
 Responding to threats of punishment or
control because of the dislike of work
 Avoiding responsibility because of a lack of
ambition
 Wanting to be directed and have security
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 Theory X……
 A manager with a Theory X view of workers will
probably focus on creating conditions to satisfy
physiological and safety needs, closely
controlling and supervising subordinates
 Theory X represent autocratic management
style

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Theory Y
Theory Y is a positive view of
workers.
 Managerial assumptions that

employees want to be challenged,

like to display creativity and can be
highly motivated to perform well if
given some freedom to direct or
manage their own behavior.
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Theory Y………
Theory Y manager assumes that the average
employee –
 Enjoys work and does not want to avoid it
 Wants to achieve organizational goals through self-
directed behavior
 Responds to rewards associated with accomplishing
goals
 Will accept responsibility
  Has initiative and can be creative in solving
organizational problems
  Is intellectually underutilized 24
 Theory Y………

 Theory Y emphasizes on human growth and

development instead of coercive authority
 Theory Y represent democratic management
style
 Employees seeking social, esteem and self-
actualization needs on the job prefers
Theory Y.

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 Ouchi’s Theory Z

 Management theory that draws on the characteristics

of successful Japanese and American managers;
emphasizes consensus management process
 Lifetime employment (to satisfy physiological and safety
needs)
 Consensus decision making (to help social needs)
 Individual responsibility (to help satisfy self-esteem needs)
 Careful evaluation and promotion (to build confidence and
self-esteem)
 Opportunity to use skills (to help satisfy self-actualization
needs)
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Herzberg’s 2-Factor Model
of Motivation
Frederick Herzberg, another well-known
observer of management, developed a theory
of motivation in his motivation-maintenance
model.
Herzberg’s research indicates that two sets of
factors affect how people behave in
organizations. These two sets of factors are
~Maintenance and
~Motivation Factors.
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 Maintenance Factors
 Maintenance factors are those factors that prevent
dissatisfaction but do not motivates workers to
greater effort.

They include the following:

 1. Salary : Adequate wage, salary, fringe benefits.
 2. Job Security: Company grievance procedure
and seniority privileges.
 3. Working condition : Adequate heat, light,
ventilation, and hours of work.

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Maintenance Factors…….
 4. Status:
Privileges, job titles, ranks and positions.
 5. Company Policies:
Policies of the organization and fairness in
administration.
 6. Quality of Technical Supervision :
Whether or not an employee gets answers of
the job related questions.
 7. Quality of interpersonal relationships:
Interpersonal relations among peers, supervisors,
subordinates, social opportunity and
development of comfortable operating relationship.
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 Motivation Factors
Motivation factors are those factors that
provide satisfaction and therefore
motivation, but whose absence causes
dissatisfaction.
1. Achievement:
Opportunity for accomplishment and for
contributing something of value.
2. Recognition :
Acknowledgement that contributions are noted
and appreciated.
 Motivation Factors……..

3. Responsibility:
Acquisition of new duties or responsibilities
through expansion of job or by delegation.
4. Advancement :
Improvement of an employee’s organizational
position as a result of job performance.
5. The work itself :
Opportunity for self-expression, personal
satisfaction, and challenge.
Herzberg’s 2-Factor Model of Motivation
Work itself, Achievement, Possibility
of growth
Motivati Responsibility
Motivati
onal
onal Advancement
Factors Recognition
Factors
Relations with supervisors, peers,
subordinate
Quality of supervision, Status
Company policy and Administration
Mainten
Mainten Job Security
ance
ance
Factors Working Conditions
Factors Compensation package
HERZBERG’S MAINTENANCE AND MOTIVATION FACTORS

Maintenance
Factors
High No Dissatisfaction
Dissatisfaction

Absence of Factors Presence of

Factors
Motivation
No Factors High Satisfaction
Satisfaction

Absence of Factors Presence of

Factors
Motivating Employees
 Goal Setting
 The process of identifying specific levels of
performance to be achieved in a certain time
frame
 Workers perform at higher levels when asked to
meet a specific challenging goal than they do
when simply asked to “do your best” or when no
goal at all is assigned
 However, when goals become too difficult,
performance drops because the goals are seen as
unrealistic
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 Another goal-setting concept is to involve
workers in the process
 By participating a person becomes more
committed & develops a stronger drive to
accomplish the goal
 Feedback on goal accomplishment is
important

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 Job Enrichment
 A method intend to increase the motivation and
satisfaction of employees and to improve
production through job design.
 By adding more job motivators to the jobs job
enrichment can make the work meaningful,
stimulating, challenging.
 The first step in job enrichment is to determine
which characteristics of a job increase
motivation.

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 Motivational jobs contain the following
characteristics:
 Meaningfulness.
 Responsibility.
 Knowledge of results/ Feedback.

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 5 job characteristics for creating good
psychological feelings about a job:
 Skill variety
 Task identity
 Task significance
 Autonomy
 Feedback
 Job enrichment must be used selectively
 Management must provide enough time for
the approach to be understood
 Must consider situation, the job & the people
involved 38
 Quality of Work Life
 Managerial programs that increase outcomes
such as productivity or performance by better
management of jobs, people & working
conditions
 Quality of Work Life approaches are designed
to help employees feel good about
themselves, their jobs & organizations

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Behavior Modification/Reinforcement
Theory
 This theory is based on the theory of B F Skinner’s
research
 It assumes that human behavior is determined by
its environmental consequences
 It explains the role of rewards as they cause
behavior to change or remain the same over time
 Behavior that results in a pleasant outcome will
likely to be repeated
 Behavior that results in an unpleasant outcome
is not likely to be repeated
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 Behavior Modification
 Application of learning principles called operant
conditioning
 It grew out of the idea that changing the attitude
of a person does not necessarily improve
performance, instead the person’s behavior must
be changed
 It assumes that human behavior is determined by
its environmental consequences
 The way people behave is a function of of
heredity, past experiences & the present situation

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 Managers can control only the present situation
 Managers can shape the behavior of subordinates
by controlling the reinforcers
 A reinforcer is a consequence of behavior, one
that can improve the likelihood that the behavior
will or will not occur again
 Behavior that results in a pleasant outcome will
likely to be repeated
 Behavior that results in an unpleasant outcome is
not likely to be repeated

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 Positive Reinforcer
 A consequence of behavior (such as praise or
reward) that when administered increases the
chances that the behavior will be repeated
 Negative Reinforcer
 A consequence of behavior (such as
reprimand/warning) that when administered
encourages employee to adapt more desirable
behavior to avoid the unpleasant consequence
 Punishment & negative reinforcement are not
the same
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