4.1 Classic and Contemporary Motivation Theories

Motivation theories offer insights into what drives people at work. Maslow's hierarchy and Herzberg's two-factor theory explain basic needs and job satisfaction, while Theory X and Y contrast employee assumptions. These frameworks help managers understand and boost employee motivation.

Vroom's expectancy theory digs deeper, linking effort, performance, and rewards. It suggests motivation depends on employees believing their work matters, leads to rewards, and that those rewards are worthwhile. Smart managers use these ideas to create motivating work environments.

Motivation Theories

Components of Maslow's hierarchy

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• Physiological needs form the foundation of the hierarchy include basic requirements for survival (food, water, shelter, sleep)
• Safety needs involve feeling secure and protected from harm encompass financial security, health, and well-being (job security, health insurance, safe work environment)
• Love and belonging needs relate to social connections and relationships include friendships, family, and sense of belonging (positive coworkers, supportive supervisor)
• Esteem needs revolve around feeling respected, recognized, and valued by others include self-esteem and respect from others (job titles, promotions, awards, acknowledgment of achievements)
• Self-actualization needs sit at the top of the hierarchy involve reaching one's full potential and personal growth include challenging work, creativity, and learning opportunities (training programs, autonomy in role)

Elements of Herzberg's two-factor theory

• Motivators (intrinsic factors) lead to job satisfaction and motivation when present but do not cause dissatisfaction when absent include:
  • Achievement: Accomplishing goals and seeing results of one's work
  • Recognition: Receiving acknowledgment and praise for achievements
  • Responsibility: Having control and accountability over one's work
  • Advancement: Opportunities for growth and promotion within the company
  • Work itself: Finding the job interesting, challenging, and meaningful
• Hygiene factors (extrinsic factors) can lead to job dissatisfaction if inadequate but do not necessarily lead to satisfaction when present include:
  • Salary: Fair compensation for work performed
  • Company policies: Clear, fair, and consistently applied rules and procedures
  • Supervision: Competent and supportive management
  • Working conditions: Safe, comfortable, and well-maintained work environment
  • Interpersonal relationships: Positive interactions with coworkers and supervisors

Theory X vs Theory Y

• Theory X assumes employees:
  • Inherently dislike work and will avoid it if possible
  • Require close supervision, control, and threats of punishment to achieve goals
  • Prefer being directed, avoid responsibility, and prioritize job security
• Theory Y assumes employees:
  • Can find work enjoyable and are capable of self-direction and self-control
  • Are committed to objectives and can be motivated by higher-level rewards (esteem, self-actualization)
  • Seek responsibility and can make innovative decisions when given the opportunity
• Managers with Theory X assumptions tend to have an authoritarian leadership style, while those with Theory Y assumptions tend to have a participative and empowering style

Core ideas of Vroom's expectancy theory

• Motivation is determined by an individual's belief in the relationship between effort, performance, and outcomes
• Three key variables:
  1. Expectancy: Belief that increased effort will lead to improved performance influenced by self-efficacy, goal difficulty, and perceived control
  2. Instrumentality: Belief that improved performance will lead to desired outcomes or rewards influenced by trust in management, clarity of performance-reward relationships, and transparency of the reward system
  3. Valence: Perceived value or attractiveness of the outcomes or rewards influenced by individual preferences, needs, and goals
• Motivation calculated using the formula: $Motivation = Expectancy \times Instrumentality \times Valence$
• To increase motivation, managers should:
  • Ensure employees believe their efforts will improve performance (high expectancy)
  • Clearly link performance to desired rewards (high instrumentality)
  • Offer rewards valued by employees (high valence)
  • Consider individual differences in employee preferences and tailor rewards accordingly