Chapter 3 Title Page - Shodhgangashodhganga.inflibnet.ac.in/bitstream/10603/62613/12/13...Kreitner,...

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115 CHAPTER 3 MOTIVATION AND EMPLOYEES Chapter 3 Title Page 3.1 Introduction 116 3.2 Definition of motivation 116 3.3 Types of motivation 119 3.4 Theory of motivation 120 3.4.1 Content theories of motivation 120 3.4.1.1 Maslow’s Hierarchy of Needs Theory 120 3.4.1.2 Herzberg’s Two-Factor Theory 123 3.4.1.3 ERG Theory of Motivation 128 3.4.1.4 McClelland’s Learned Needs Theory 131 3.4.2 Process theories of motivation 134 3.4.2.1 Locke and Latham’s Goal Setting Theory 134 3.4.2.2 Adam’s Equity Theory of Motivation 136 3.4.2.3 Skinner’s Reinforcement Theory of Motivation 138 3.4.2.4 Vroom’s Expectancy Theory of Motivation 140 3.4.2.5 McGregor X-Y Theory 143 3.5 Summary 143 3.6 Theoretical framework of the present study 148 References 150

Transcript of Chapter 3 Title Page - Shodhgangashodhganga.inflibnet.ac.in/bitstream/10603/62613/12/13...Kreitner,...

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115 CHAPTER 3

MOTIVATION AND EMPLOYEES

Chapter 3 Title Page 3.1 Introduction 116 3.2 Definition of motivation 116 3.3 Types of motivation 119 3.4 Theory of motivation 120

3.4.1 Content theories of motivation 120 3.4.1.1 Maslow’s Hierarchy of Needs Theory 120 3.4.1.2 Herzberg’s Two-Factor Theory 123 3.4.1.3 ERG Theory of Motivation 128 3.4.1.4 McClelland’s Learned Needs Theory 131 3.4.2 Process theories of motivation 134 3.4.2.1 Locke and Latham’s Goal Setting Theory 134 3.4.2.2 Adam’s Equity Theory of Motivation 136 3.4.2.3 Skinner’s Reinforcement Theory of Motivation 138 3.4.2.4 Vroom’s Expectancy Theory of Motivation 140 3.4.2.5 McGregor X-Y Theory 143

3.5 Summary 143 3.6 Theoretical framework of the present study 148

References 150

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116 CHAPTER 3

MOTIVATION AND EMPLOYEES 3.1 INTRODUCTION In this changing world, there is a need of motivated employees so that they can survive in the organization and it will also give help in the development of the organization. Motivation is one of the most important factors affecting human behavior and performance. Everyone is in need of motivation. Motivation is widely discussed in today’s business environment. This is mainly due to the findings of psychologists who realized that people act according to their inner motives and that there are ways to influence them. Motivation plays an important role in the business environment and that its lack can have an undesirable effect on organization’s performance. Many researches try to examine the factors to retain good staff and to encourage employees to perform good productivity. It was to be concluded that the factor that impact or use to enhance employees’ work achievement is the employees’ motivation. In order to facilitate the understanding of motivation and employees, a broader definition of motivation will be introduced.

3.2 DEFINITION OF MOTIVATION There are variations of definitions to describe a concept of motivation and motivation too has many different definitions, but it is important to focus on those are related to the workplace. The definition of motivation starts with the root word, motive. Webster’s Dictionary (2013)1 defines motive as, something that causes a person to act. Therefore, motivation can be defined as, the act of providing motive that causes someone to act. In other words, motivation causes someone to act and someone else cannot make someone motivated.

Gardner and Lambert (1959)2 identified motivation as being of the instrumental or integrative nature, integrative motivation being seen as a desire to communicate and become similar to members of that community. On the other hand, instrumental motivation is seen as the desire to learn or to gain a better job.

Higgins (1994)3 described that motivation is a general term applied to the entire class of drives, desires, needs, wishes, and similar forces. Managers motivate their

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117 employees is to say that they do those things which they hope will satisfy these drives and desires and induce the employees to act in a desire manner. Thus, motivation is defined as the inner force that drives individuals to accomplish personal and organizational goals. To motivate others is the most important of management tasks. It comprises of the abilities to communicate, to set an example, to challenge, to encourage, to obtain feedback, to involve, to delegate, to develop and train, to inform, to brief and to provide reward.

Kreitner, R. (1995)4, in his view, motivation is to inspire people to work, individually or in groups in the way such as to produce best results. It is the will to act. It is the willingness to exert high levels of effort towards organizational goals, conditioned by the efforts and ability to satisfy some individual need. Motivation is getting somebody to do something because they want to do it.

Simons and Enz (1995)5 argued that motivation is a force that pushes people to make a particular job choice, remain at the job, and put in effort.

Lindner (1998)6 defined motivation as “the psychological process that gives behavior purpose and direction, a predisposition to behave in a purposive manner to achieve specific unmet needs, an unsatisfied need, and the will to achieve, respectively.

Antomioni (1999)7 pointed out that motivation is the amount of effort people are willing to put in their work depends on the degree to which they feel their motivational needs will be satisfied. On the other hand, individuals become de-motivated if they feel something in the organization prevents them from attaining good outcomes.

Greenberg and Baron (2000)8 defined motivation as the set of processes that arouse, direct, and maintain human behavior towards attaining some goal. They explained that there are three definitions of motivation. The first definition looks at arousal that deals with the drive, or energy behind individual (s) action. People turn to be guided by their interest in making a good impression on others, doing interesting work and being successful in what they do. The second definition refers to the choice people make and the direction their behavior takes. The third definition deals with maintaining behavior clearly defining how long people have to persist at attempting to meet their goals.

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118 Young, B.C. (2000)9 stated that motivation is the force within an individual that account for the level, direction, and persistence of effort expended at work.

Ramlall, S. (2004)10 defined motivation as the internal factors that energize behavior. It is the willingness to exert high levels of effort toward organizational goals, conditioned by the effort’s ability to satisfy some individual needs.

Nel, P.S. (2004)11 illustrated that motivation can be described as intentional and directional. The word ‘intentional’ refers to personal choice and persistence of action. The word ‘directional’ indicates the presence of a driving force aimed at attaining a specific goal.

Halepota, H.A. (2005)12 defined motivation as “a person’s active participation and commitment to achieve the prescribed results. ”Halepota further presents that the concept of motivation is abstract because different strategies produce different results at different times and there is no single strategy that can produce guaranteed favorable results all the times.”

Mills, et al. (2006)13 defined motivation as the individual’s desire to direct and sustain energy toward optimally performing, to the best of his or her ability, the task required in order to be successful in a work position.

Bagraim et al. (2007)14 stated that motivation refers to the force that arouses, directs and sustains the human behavior. The definition of arousal is about the energy that drives the behavior to achieve the goal, direction, and sustain.

Griffin and Moorhead (2009)15 viewed that motivation is the set of forces that causes people to engage in one behavior, rather than some other alternative behavior.

It can be observed from the above definitions that motivation is a theoretical construct used to explain behavior. It is the scientific word used to represent the reasons for actions, desires, and needs. Motivation can also be defined as direction to behavior or what causes people to want to repeat a behavior. Motivation is the set of force that cause behavior that is goal-directed. It is the driving force behind human behavior. Motivation in general, is more or less basically concern with factors or events that moves, leads, and drives certain human action or inaction over a given period of time given the prevailing conditions. Further

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119 more the definitions suggest that there need to be an” invisible force” to push people to do something in return. It could also be deduced from the definition that having a motivated work force or creating an environment in which high levels of motivation are maintained remains a challenge for today’s management. This challenge may emanate from the simple fact that motivation is not a fixed trait –as it could change with changes in personal, psychological, financial or social factors.

3.3 TYPES OF MOTIVATION Motivation can be divided into two different types known as Intrinsic (internal) motivation and Extrinsic (external) motivation. Intrinsic motivation Intrinsic motivation refers to the motivation that comes from inside the individual. It is an internal desire that stems from feelings such as pride for contributing to something worthwhile, being excites by work related challenges and satisfaction in the personal development that may come from tasks or certain work activities. Intrinsic motivation is the self-desire to seek out new things and new challenges, to analyze one's capacity, to observe and to gain knowledge. It is driven by an interest or enjoyment in the task itself, and exists within the individual rather than relying on external pressures or a desire for reward. The phenomenon of intrinsic motivation was first acknowledged within experimental studies of animal behavior. In these studies, it was evident that the organisms would engage in playful and curiosity driven behaviors in the absence of reward. Intrinsic motivation is a natural motivational tendency and is a critical element in cognitive, social, and physical development. People who are intrinsically motivated are more likely to engage in the task willingly as well as work to improve their skills, which will increase their capabilities. Common extrinsic motivations are interesting work, challenging work, learning new things, responsibility, autonomy, and being creative (Ryan, Richard; Edward L. Deci, 2000)16.

Extrinsic motivation Extrinsic motivation refers to the performance of an activity in order to attain a desired outcome and it is the opposite of intrinsic motivation. Extrinsic motivation comes from influences outside of the individual. Usually extrinsic motivation is used to attain outcomes that a person wouldn't get from intrinsic motivation. Common extrinsic motivations are

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120 rewards, praise, salary, promotion, job design, and status. Competition is in an extrinsic motivator because it encourages the performer to win and to beat others, not simply to enjoy the intrinsic rewards of the activity. A cheering crowd and the desire to win a trophy are also extrinsic incentives (Ryan, R. M., & Deci, E. L., 2000)17.

3.4 THEORY OF MOTIVATION Motivation is defined as the action of orienting ones behavior to a specific goal. There are a lot of theories that try to explain about motivation. Every employee is at a different stage in their lives, which requires different management techniques. It is shown that motivation must come from within the employee. The theories investigated will help describe how manager can influence their employees to self motivate and produce the best work possible. Theory of motivation can be divided into two basic groups, namely content theories and process theories.

3.4.1 Content theories of motivation Content theories of motivation focus on internal or intrapersonal factors that energies, direct, sustain and or prohibit behavior. These theories explain forces of motivation by focusing on individuals’ needs. In the attempt to identify the specific forces which motivate people, content theories focus on both intrinsic (needs and motives) and extrinsic motivators (such as money and status) which can motivate people (Coetsee, 2003)18.

Some of the most popular and best known of content theories of motivation includes Abraham Maslow’s hierarchy of needs theory, Alderfer’s ERG theory of motivation, Hertzberg’s two-factor theory and McClelland’s learned needs theory.

3.4.1.1 Maslow’s Hierarchy of Needs Theory Abraham Maslow was born in April of 1908 and discovered the theory in

which he calls the hierarchy of needs in 1943. Maslow believed every person had needs that need to be met. He transferred his idea into a triangle design. The follow displays Maslow’s hierarchy of needs:

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121

FIGURE 3.1: MASLOW’S HIERARCHY OF NEEDS

Maslow (1954)19 believed that people are motivated to fulfill their own. Every person starts at the bottom of the pyramid to achieve the goals of the next layer to the top sector. One is not able to move on to the next level of the pyramid until the needs of the first level are met. Once they move to the next level, those needs must be met and if they are not, then it is possible to fall back down the pyramid.

At the lowest tier, basic life sustaining needs or physiological needs such as hunger and thirst are the first level of hierarchy. For example of physiological needs, water, cloth, food, sleep, and shelter were identified. The next level is security needs include the need for safety, fair treatment, protection against threats, job security etc. The security or safety needs means that the person’s surroundings are not threatening to them or their family. If the environment seems to be safe, then it means that there is a since of predictability or stability in the surroundings. Security could also include financial security so that there is no financial uncertainty in the future. This could be achieved by creating a retirement package, securing job position, and insurance. Social needs or esteem needs include the needs of

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122 being loved, accepted, part of a group etc. In the workplace, this means to feel as though they are a part of the group and included in the work. People have the urge to be accepted by others, especially the people they are around the most. The fourth tier in corporate esteem needs include the need for recognition by one’s peers, respect, achievement, autonomy, independence etc. In order to fully understand this level, the person must have a high image of them self and encompass self respect. This level has two components: feelings of self worth, and the need for respect from others. Finally, at the top of pyramid, self-actualization needs, which are the highest in the level of Maslow’s need theory, include personal autonomy, realizing one’s full potential or self-development and self-direction. This level is defined as someone being all they can be and they have met each of the previous stages. In this particular level, the person’s talents are being completely utilized. Maslow believes that no one is ever completely self actualized. People are always striving to be better and use their talents in new ways. This is important to motivation because a person must be motivated to fulfill their needs and strive for the next level until they reach self actualization. According to Maslow, the needs of an individual exist in a logical order and that the basic lower level needs must be satisfied before those at higher levels.

Explanation of Maslow’s hierarchy of needs is shown below:

Physiological Needs: Physiological Needs are the needs at the bottom of the triangle and include the lowest order need and most are desired for basic necessities of life. The physiological needs involve the needs to satisfy the fundamental biological drives such as, oxygen, air, water, food, shelter, rest, cloth, good and comfortable work conditions etc. According to Maslow, organization must provide employees with adequate physiological needs for their living conditions. Safety Needs or Security Needs: This kind of needs occupies the second level of needs. Safety needs are activated after physiological needs are met. They refer to the need for a secure working environment free from any threats or harms i.e. need for safety, fair treatment, protection against threats, job security, and need for freedom from harm or danger. Organizations can provide these needs by providing employees with safety working equipment e.g. hardhats, health insurance plans, fire protection, stability or organization, and others unsafe work conditions etc.

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123 Social Needs: This kind of needs represent the third level of needs. They are activated after safety needs are met. Social needs refer to the need to be affiliated that is the needed to be loved and accepted by other people, desire for status, recognition, achievement, confidence affection of belongingness and meaningful, loved, accepted, part of a group etc. To meet these needs organizations should encourage employees participation in social events such as organization meeting, working through the team, sufficient interaction and picnics etc. Esteem Needs or Affiliation Needs: This kind of needs represent the fourth level of needs. It includes the need for self-respect and approval of others. Organizations should introduce awards banquets to recognize distinguished achievements. The desire for esteem needs are the need to be self-fulfilled, self-respect and recognition, appreciation of achievement, personal autonomy, realizing one’s full potential or self-development and self-direction etc. Self-Actualization Needs: The high level of Maslow hierarchy of needs is needs for Self-Actualization. This occupies the last level at the top of the triangle. This kind of needs refer to the need to become all that one is capable of being to develop ones fullest potential. The rationale here holds to the point that self-actualized employees represent valuable assets to the organization human resource.

3.4.1.2 Herzberg’s Two-Factor Theory Frederick Herzberg, an American psychologist, was born in 1923 and passed away in 2000. One of Herzberg’s theories is known as the Two-Factor Theory or the Motivation Hygiene Theory. This theory is commonly related to Maslow’s theory of hierarchy of needs and was conducted in the late 1950’s. In his first steps of studying the redesigning of jobs, he looked at all the available information at the time. From his study he found that the subjects he surveyed described satisfying events at work in terms of factors that were connected to the job itself (Ramlall, 2004)20. He believed that the mental health of an employee is directly related to performing meaningful work (“Motivation Theories”).

Herzberg (1959)21 developed his two factor theory derived from work of Mayo and Coch & French. Mayo discovered that relationships between workers and their supervisors had more of an effect on worker output than any kind of manipulation of environmental conditions. Mayo also found that informal associations of a group of men can influence

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124 productivity levels. Coch & French (cited by Herzberg, 1959)22 stated that the employees that are given the prospect to set goals and make decisions that affect their work are employees that will accept change more readily than those employees that are not given those opportunities. Herzberg (1959)23 took three approaches to measure job attitudes: (1) by demographic variables, using demographics such as gender, age, education level, social class, and occupation type to evaluate similarities and differences, (2) to used scaled inventories of worker morale and job attitudes, and (3) observation, where the researcher observes the behavior of workers. Herzberg was seeking to answer the question, “what does a worker want from their job?” to develop this answer, three methods could be used: a list of factors for the workers to rank and rate in order of desirability, another method was to question workers spontaneously about their likes and dislikes of the job, and creating an inventory or questionnaire. While developing these factors Herzberg found that some factors were “satisfying” and others were “dissatisfying.” These factors became integral to the theory and became known as “motivators” that bring job satisfaction and “hygiene” factors that brought job dissatisfaction. The motivators are intrinsic factors that influence satisfaction based on fulfillment of higher level needs such as achievement, recognition, work itself, recognition and advancement or opportunity for growth (Ramlall, 2004)24. The hygiene factors are extrinsic variables such as supervisory style, pay or salary, company policies administration, physical working conditions, interpersonal relationships, and job security that must be met to prevent dissatisfaction. When hygiene factors are poor, work will be dissatisfying. However, simply removing the poor hygiene does not equate to satisfaction. Similarly, when people are satisfied with their job, motivators are present, but removing the motivator does not automatically lead to dissatisfaction. Essentially, job satisfaction depends on the extrinsic characteristics of the job, in relation to the job’s ability to fulfill ones higher level needs of self-actualization. Hygiene theory states that the removal of job dissatisfiers does not result in a state of job satisfaction. The result is a neutral state. Job satisfiers are distinct and different from job dissatisfiers; motivation can only be increased by the use of job enrichment. If managers remove the job dissatisfiers this can alleviate the dissatisfaction, but does not bring motivation (Ramlall, 2004)25. The following table shows the Two Factor Theory:

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125 Motivator (Satisfiers) Factors

(Intrinsic Motivation) Hygiene Factors

(Extrinsic Motivation) Achievement Organization and Administrative Policies Recognition Technical Supervision Work itself Salary Responsibility Interpersonal Relations Advancement Growth Working Condition

To apply Herzberg's theory to real-world practice, let's begin with the hygiene issues. Although hygiene issues are not the source of satisfaction, these issues must be dealt with first to create an environment in which employee satisfaction and motivation are even possible. Hygiene factors of Extrinsic Motivation

(1) Organization and administrative policies. An organization's policies can be a great source of frustration for employees if the policies are unclear or unnecessary or if not everyone is required to follow them. Although employees will never feel a great sense of motivation or satisfaction due to the policies, employees can decrease dissatisfaction in this area by making sure the policies are fair and apply equally to all. Also, make printed copies of the policies-and-procedures manual easily accessible to all employees. (2) Technical supervision. To decrease dissatisfaction in this area, the beginning should be by making wise decisions when appointing someone to the role of supervisor. The role of supervisor is extremely difficult. It requires leadership skills and the ability to treat all employees fairly. Supervisors should use positive feedback whenever possible and should establish a set means of employees evaluation and feedback so that no one feels singled out. (3) Salary. Salary is not a motivator for employees, but they do want to be paid fairly. If employees believe they are not compensated well, they will be unhappy working. So, make sure employees have clear policies related to salaries, raises and bonuses. (4) Interpersonal relations. Remember that part of the satisfaction of being employed is the social contact it brings, so allow employees a reasonable amount of time for socialization (e.g., over lunch and during breaks). This will help them develop a sense of camaraderie and teamwork. At the same time, the manager should crack down on rudeness,

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126 inappropriate behavior and offensive comments. If employees continue to be disruptive, take charge of the situation, perhaps by dismissing him or her from the work. (5) Working conditions. The environment in which employees’ work has a tremendous effect on their level of pride for themselves and for the work they are doing. It is necessary to do everything which keeps equipment and facilities up to date. Even a nice chair can make a world of difference to an individual's psyche. Also, if possible, avoid overcrowding and allow each employee his or her own personal space, whether it is a desk, a locker, or even just a drawer. So deal with hygiene issues first, then move on to the motivators. Motivator (satisfiers) Factors or Intrinsic Motivation According to Herzberg, hygiene factors cannot be regarded as motivators. The motivational factors yield positive satisfaction. These factors are inherent to work and motivate the persons for a superior performance. These factors are called satisfiers. These are intrinsically rewarding factors which involved in performing the job. Motivational factors included: (1) Achievement. Achievement refers to the opportunity for increasing the employees’ achievement. These achievements must result in employees’ profession i.e. achieving goals and standards of work, achieving in knowledge, achieving in career path and position. One premise inherent in Herzberg's theory is that most individuals sincerely want to do a good job. To help them, make sure that employees have placed in positions that use their talents and are not set up for failure. Set clear, achievable goals and standards for each position, and make sure employees know what those goals and standards are. Employees should also receive regular, timely feedback on how they are doing and should feel they are being adequately challenged in their jobs. (2) Recognition. Recognition refers to the praised and recognition for employees’ accomplishments given by the manager. Appreciating employees’ work or providing better opportunities will motivate, encourage and contribute more to firm the employees’ job satisfaction. Employees at all levels of the organization want to be recognized for their achievements on the job. Their successes don't have to be monumental before they deserve recognition, but employees’ praise should be sincere. If manager notice employees doing something well, take the time to acknowledge their good work immediately. Publicly thank

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127 them for handling a situation particularly well. Write them a kind note of praise. Or give them a bonus, if appropriate. Manager may even want to establish a formal recognition programme, such as “employee of the month.” Another major factor determining job satisfaction is the inclusion of a good evaluation system that recognizes the efforts and work of employees. (3) Work itself. Work itself refers to the work which is meaningful, interest and challenging for employees to perform and to get motivated. Perhaps most important to employees’ motivation is helping individuals believe that the work they are doing is important and that their tasks are meaningful. Emphasize that the contributions should result in positive outcomes of employees. Share stories of success about how employees’ actions made a real difference from others, or in making a process better. Make a big deal out of meaningful tasks that may have become ordinary. Of course employees may not find all their tasks interesting or rewarding, but manager should show the employees how those tasks are essential to the overall processes that make the teaching practice succeed. The manager should keep in mind that creating work for employees’ job satisfaction must challenge and match the skills and abilities of employees. (4) Responsibility. Responsibility refers to the opportunity to increase the responsible for work. Giving employees the ownership of the work, giving the opportunity to hold employees themselves responsible the important work, granting additionally authority to employees in their activity, give the employees’ job freedom, give employees a complete natural unit of work, increasing the accountability of employees for own work, and removing some controls while retaining accountability are the example of responsibility aspects of job satisfaction.

Employees will be more motivated to do their jobs well if they have ownership of their work. This requires giving employees enough freedom and power to carry out their tasks so that they feel they “own” the result. As individuals mature in their jobs, provide opportunities for added responsibility. Manager should find ways to add challenging and meaningful work, perhaps giving the teacher greater freedom and authority as well. Therefore, increased responsibility relates to a more complex task or increasing the complexity of the job can provide the opportunity for understanding the relationships among the various components of the assignment and thereby provide for the next level of growth.

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128 Thus the manager should give as much responsibility to employees in individual or in team as much as possible. (5) Advancement of growth. Advancement of growth refers to the growth and promotional opportunities of employees. There must be growth and advancement opportunities in organization to motivate the employees to perform well. Providing opportunities to advance in organization or in career path through internal promotions, offering training and development opportunities, giving opportunity for possible growth, contributing job promotion for successful job and creating opportunity to be more experiences are the example of advancement aspect of job satisfaction. Therefore, reward loyalty and performance with advancement is very importance for employees. If manager does not have an open position to which to promote a valuable employees, consider giving him or her a new title that reflects the level of work he or she has achieved. When feasible, support employees by allowing them to pursue further education or special training, which will make them more valuable to teaching practice and more fulfilled professionally.

3.4.1.3 ERG Theory of Motivation The ERG theory is another important need theory of motivation that was developed by Clayton Alderfer, and is regarded as an extension and refinement of Maslow’s hierarchy of needs theory with several important differences between the two (Griffin and Moorhead, 2009)26. The E, R, and G stands for three basic need categories: existence, relatedness, and growth. These needs can be summarized as follows: · Existence needs: This is concerned with providing the nutritional and human’s basic material existence requirements (at work this would include conditions). It can be said that existence needs are desires for physical and material well-being. In items Maslow’s model, existence needs are considered as physiological and safety needs. · Relatedness needs: This is concerned with the human’s desire for satisfying interpersonal relationships. These social and status desires require interaction with others if they are to be satisfied. In terms of Maslow’s model, relatedness needs are the social needs and the external components of Maslow’s esteem needs.

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129 · Growth needs: This is concerned with the human’s intrinsic desire for personal continued psychological growth and development which aligns with the external components of Maslow’s self-actualization needs.

Alderfer’s theory differs from Maslow in a number of important respects. Alderfer argued that it was better to think in terms of a continuum rather than a hierarchy; from concrete existence needs to least concrete growth needs and argued that you could move along this in either direction. Maslow argued that when satisfied a need becomes less important to an individual, but Alderfer argues that relatedness or growth needs become more important when satisfied. This means that team - working arrangements can continue to motivate employees and are not necessarily superseded by growth needs.

Mumford (1976)27 argues that workers have: (1) Knowledge needs, work that utilizes their knowledge and skills. (2) Psychological needs, such as recognition, responsibility, status and advancement. (3) Task needs, which include the need for meaningful work and some degree of autonomy. (4) Moral needs, to be treated in the way that employers would themselves wish to be treated. Mumford’s assumption was that employees did not simply see their job as a means to an end by had needs which related to the nature of their work.

Apart from only being concerned with three needs instead of Maslow’s five needs, the ERG theory differs from Maslow’s theory in that it allows that more than one need may be operative at a time, where Maslow’s theory postulates that in order to move to the next level, the lower-order needs must be substantially satisfied first.

Griffin and Moorhead (2009)28 indicates that a more important difference from Maslow’s hierarchy is that ERG theory includes a satisfaction progression component and a frustration-regression dimension.

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130 Ahmad, Gilkar and Darzi (2008)29 indicate that Alderfer agreed with Maslow that once one level of needs are satisfied, people will progress to the next level to satisfy the higher-order needs. Alderfer however postulated that, if for some reason, people become frustrated in satisfying their needs at one level, their next lower level need will re-emerge and they will regress to the lower level to satisfy them. Alderfer also postulated that satisfaction of higher- order needs leads to greater intensity of those needs.

According to Bagraim et al (2007)30, the ERG theory has not stimulated much research and is therefore difficult to assess whether it has been supported by empirical evidence or not. The basic idea of ERG theory, that individuals shape their actions to satisfy unfulfilled needs, is consistent with other motivational theories.

Management application of ERG theory Borkowski (2009)31 states that managers must recognize that an employee might have multiple needs to satisfy simultaneously; focusing exclusively on one need at a time will not effectively motivate an employee. Managers need to realize that the frustration-regression impacts workplace motivation. If managers are able to recognize those employee needs that are frustrated, steps can be taken to satisfy the employee’s frustrated needs until the employee is able to pursue growth again.

Mukherjee (2009)32 explains that if a situation that occurred was due to the very nature of a particular job and other situational constraints, the manager realizes that there are few opportunities to develop different skills, he should try and compensate by providing opportunities to satisfy other needs of the employees. It therefore implies that managers need to ensure continuous communication with employees and allow employees to express their concerns.

Factors of motivation identified in ERG theory. Being an extension of Maslow’s hierarchy of needs the researcher identified the same factors as per Maslow’s hierarchy of needs. This theory pays specific attention to ongoing communication with employees to establish their needs and recognize at which level in the model employees are attempting to satisfy their needs and to recognize frustrated

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131 needs, should they emerge, in order to take the necessary steps to remedy those identified frustrated needs.

3.4.1.4 McClelland’s Learned Needs Theory McClelland's needs theory, also known as Three Needs Theory, proposed by psychologist David McClelland, is a motivational model that attempts to explain how the needs for achievement, power, and affiliation affect the actions of people from a managerial context. This model was developed in the 1960s soon after Maslow's hierarchy of needs in the 1940s. McClelland (1961)33 stated that “we all have these three types of motivation regardless of age, sex, race, or culture”.

Need for achievement: This refers to the people who are achievement-motivated. They prefer working on tasks of moderate difficulty, prefer work in which the results are based on their effort rather than on anything else, and prefer to receive feedback on their work. Achievement based individuals tend to avoid both high risk and low risk situations. Low risk situations are seen as too easy to be valid and the high risk situations are seen as based more upon the luck of the situation rather than the achievements that individual made. This personality type is motivated by accomplishment in the workplace and an employment hierarchy with promotional positions. Need for affiliation: This refers to the people who prefer to spend time creating and maintaining social relationships, enjoy being a part of groups, and have a desire to feel loved and accepted. People in this group tend to adhere to the norms of the culture in that workplace and typically do not change the norms of the workplace for fear of rejection. This person favors collaboration over competition and does not like situations with high risk or high uncertainty. People who have a need for affiliation work well in areas based on social interactions like customer service or client interaction positions.

Need for power: This refers to the person's desire to influence, teach, or encourage others. People in this category enjoy work and place a high value on discipline. The downside to this motivational type is that group goals can become zero-sum in nature, that is, for one person to win, another must lose. However, this can be positively applied to help accomplish group goals and to help others in the group feel competent about their work.

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132 A person motivated by this need enjoys status recognition, winning arguments, competition, and influencing others. With this motivational type, people need for personal prestige, and a constant need for a better personal status. Nel, et al. (2004)34 described the characteristics of people with a high need for achievement by the following characteristics:

They set challenging yet attainable goals. They require regular and immediate feedback. The take moderate, calculated risks. They prefer situations where they have personal responsibility. They are problem solvers. They perceive money as the result of success rather than for material value.

Daft (2008)35 gave the opinion that people with a need for achievement tend to enjoy work that is entrepreneurial and innovative. People who have a high need for affiliation are successful “integrators”, whose job is to coordinate the work of people and organizations. A high need for power is often associated with successful attainment of top levels in the organizational hierarchy. Erasmus, et al. (2008) mentioned that individuals with a high need for achievement generally do not make good managers, especially in large organizations. The best managers are people with a high need for power and a low need for affiliation.

Daft & Marcic (2009)36 explained about McClelland’s need theory that when a need is strong, it will motivate the individual to engage in behaviors to satisfy that need. People with a strong need for affiliation will direct their behavior at friendships and close interpersonal relationships, while people with a strong need for power try to influence the behaviors of others. McClelland distinguishes between two different ways in which people with a high need for power, can express their need for power. They are social power and personalized power. Social power is aimed at inspiring and influencing employees to achieve goals, while personalized power involves the use of aggressive, exploitative and dominating behavior over other people.

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133 Management application of McClelland’s learned needs theory McClelland’s learned needs theory can be applied in organizations aimed at

improving employee work performance by placing employees in those jobs that suite their predominant needs, as follows: (Smit, et al., 2007)37. Employees with a high need for achievement are motivated by non-routine tasks that are challenging and have clear and attainable goals. Feedback on their performance must be meaningful and regular. Their accomplishments must be published and they must be held up as role models to other employees of the organization. They enjoy increased responsibility to do new things. They are good at managing self-contained units within a large organization. Employees with a high need for achievement are not necessarily effective managers due to the fact that they are interested in how well they perform personally rather than influencing others. High achievers differentiate themselves from others by their desires to do things better. These individuals are strongly motivated by job situations with personal responsibility, feedback, and an intermediate degree of risk. In addition, high achievers often exhibit the following behaviors: Seek personal responsibility for finding solutions to problems Want rapid feedback on their performances so that they can tell easily whether they are improving or not Set moderately challenging goals and perform best when they perceive their probability of success as 50-50

Employees with a high need for affiliation will be motivated when they work in teams and are praised for their accomplishments. Their satisfaction is derived from the people they work with, rather than from the task they have to perform. People with the need for affiliation seek companionship, social approval, and satisfying interpersonal relationships. People needing affiliation display the following behaviors:

Take a special interest in work that provides companionship and social approval

Strive for friendship Prefer cooperative situations rather than competitive ones

Desire relationships involving a high degree of mutual understanding

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134 Employees with a high need for power enjoy working in an environment where they can influence other people’s actions. They prefer competitive and status-orientated situations. An individual with a high need of power is likely to follow a path of continued promotion over time. Individuals with a high need of power often demonstrate the following behaviors:

Enjoy being in charge Want to influence others Prefer to be placed into competitive and status-oriented situations Tend to be more concerned with prestige and gaining influence over others

than with effective performance

3.4.2 Process theories of motivation Coetsee (2003)38 stated about process theories that each individual’s behavior is a result of his or her own assumptions, premises, expectations, values and other psychological processes. Motivated behavior is seen as the result of conscious, rational decisions between alternative choices which each individual makes.

Griffin and Moorhead (2009)39 pointed out that process-based perspectives are concerned with how motivation occurs. Rather than attempting to identify motivational stimuli, process perspectives focus on why people choose certain behavioral options to satisfy their needs and how they evaluate their satisfaction after they have attained their goals.

Some of the most popular and best known process theories of motivation include Locke and Latham’s Goal-setting theory of motivation, Skinner’s Reinforcement theory, Adam’s Equity theory of motivation, Vroom’s Expectancy theory of motivation, and McGregor X-Y Theory.

3.4.2.1 Locke and Latham’s Goal Setting Theory Edwin Locke, a leading authority on goal setting, and his colleagues define a goal as “what an individual” is trying to accomplish; it is the object or aim of an action (Kreitner & Kinicki, 2008)40. Goal setting theory is the theory “which shows that having specific goals is a major factor for motivation and performance,” Locke proposed that intentions to work towards

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135 a goal are a major source of work motivation. That is, goals inform employees what needs to be done and how much effort will need to be expended. Any idea that is not translated into specific goals will stay an idea only. Objectives and goals dictate the purpose and direction. The importance of goal-setting and goal attainment in performance management illustrates the role of goals in shaping and reinforcing the behavior of employees. Management By Objectives (MBO) is a widely used management technique that fosters employee participation in goal-setting, decision making and feedback.

Daft and Marcic (2009)41 point out that goal-setting increases motivation because it enables people to focus their energies in the right direction. People know what to work toward, so they can direct their efforts toward the most important activities to accomplish their goals. An instructive model was formulated by Locke and his associates that postulate that goal-setting influences behavior in four different ways: Goals direct attention to what is most important: This refers to the attention and efforts towards goal-relevant activities and away from goal-irrelevant activities. Goals regulate effort: This refers to action and motivation. Goals increase persistence: This refer to the exerting effort over a long period of time in the appropriate direction. Goals direct strategies and action plans: This refers to the development of strategies and action plans that enable to achieve the goals.

Application of goal-setting theory Kreitner and Kinicki (2008)42 suggested five practical insights of goal-setting theory as follow: Difficult goals lead to higher performance: The amount of effort that is required to accomplish goals reflects the goal’s degree of difficulty. Specific, difficult goals lead to higher performance for simple than the complex tasks. Feedback enhances the effect of specific, difficult goals: Feedback is important to employees as it informs them of the status of their progress i.e. whether they are

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136 headed towards their goal or not. Feedback equips employees with the information that allow them to change their direction or maintain their current efforts aimed at accomplishing specific goals. Participative goals, assigned goals, and self-set goals are equally effective. There is no approach that is more effective than others in increasing performance. Goal commitment and monetary incentives affect goal-setting outcomes. The difficult goals will only lead to higher performance if the employees are committed to their goals and research revealed that incentives should only be linked to goals if the performance goals are under the employee’s control, goals are quantitative and measurable and relatively large payments are frequently made for performance achievements.

According to the opinion of Kreitner & Kinicki (2008)43, there are three steps for goal setting. The first step for goal setting should be “SMART.” The acronym SMART stands for Specific (goals should be precise rather than vague), Measurable (in order to assess the extent to which a goals is accomplished), Attainable (they must be realistic, challenging and achievable as “impossible” goals reduce motivation), Result orientated (they should focus on desired end-results that support the organization’s vision while individuals’ goals should support the accomplishment of organizational goals) and Time bound (specifying target dates for completion). The second step is obtaining goal commitment. The goal-setting can only be successful if the manager can ensure that employees accept and remain committed to the goals that have been set. This can be accomplished to a large extent through appropriate rewards with the manager’s supportiveness. Success in accomplishing goals tends to reinforce acceptance of future goals. The third step is providing support elements. This includes providing the employee with training to increase their skills and ability and the information required to achieve goals. Managers should also pay close attention to employees’ perceptions of effort performance expectancies, self-efficacy, and valance of rewards.

3.4.2.2 Adam’s Equity Theory of Motivation The Adams' Equity (1965)44 Theory model extends beyond the individual self, and incorporates influence and comparison of other people's situations (for example colleagues and friends) in forming a comparative view and awareness of Equity, which commonly

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137 manifests as a sense of what is fair. Adams, J.S. was the pioneer of the equity theory. He suggested that when people feel fairly or advantageously treated they are more likely to be motivated; when they feel unfairly treated they are highly prone to feelings of disaffection and de-motivation. The way that people measure this sense of fairness is at the heart of Equity

Bagraim, et al. (2007)45 defined that equity theory is a model of motivation that explains how people strive for fairness and justice in social exchange or give-and-take relationships. The equity theory is the only theory of motivation that includes a social component. It discusses the social comparison that people make when they compare their inputs (which includes anything which the individual views as his personal ‘investment’ in his organization e.g. their effort, hours worked, quality of their work, training/education etc.) with the outcomes (that includes any return resulting from their job e.g. salary, more responsibility, benefits, recognition etc.) they receive.

Mukherjee (2009)46 argued that equity theory is essentially a social comparison theory, which emphasizes that people always judge themselves on the basis of comparison with others. People perform these evaluations by comparing the perceived fairness of their employment exchange (input-outcome ratio) to that of other employees’ employment exchange (input-outcome ratio). If people perceive their input-outcome ratio to be equal to that of relevant others with whom they compare themselves, a state of equity is said to exist. When they perceive the ratio as unequal, they experience equity tension. It is important to note the use of the word perceived rather than actual input or outcome.

Mukherjee (2009)47 stated that Adams identified six broad types of possible behavioral consequences of inequity. They are: Changes to inputs: This refers to the increasing/decreasing the levels of input by improving the quality of work, working extra hours or increasing absenteeism. Changes to outcomes: This refers to the attempting to improve the outcome without changing the input by requesting for increment or extra benefits from his/her manager. Modification of perception of self: This refers to the distorting the perception of individual’s inputs or outputs to adjust to realities.

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138 Modifying the perception of others: This refers to the changing the original perception of others with whom the comparison was made. Changing the object of comparison: This refers to the changing the person with whom the comparison was made with someone who is considered more appropriate. Leaving the field: This refers to the attempting to find a new situation with a more favorable balance (for example, by absenteeism, resigning from the job and joining a new organization).

Bargain, et al. (2007)48 explained that the equity theory is unfortunately not capable of predicting which of these alternatives an employee will select when they experience equity tension, but it can assist managers to understand the reason why employees act in a certain way, by presenting a limited set of alternatives. Equity theory is important because it highlights the fact that people are concerned with not only the absolute amount of the rewards that they receive, but also with the rewards that they receive relative to the rewards that other people receive.

Application of Adam’s equity theory Hellriegel and Slocum (2007)49 illustrated that the equity model leads to two primary conclusions. First, employees should be treated fairly. When individuals believe that they are not being treated fairly, they will try to correct the situation and reduce tension by means of one or more of the actions discussed earlier in this section. Second, people make decision about equity only after they compare their inputs and outputs with those comparable employees. These relevant others may be of the same organization or of other organizations. The latter creates a problem for managers, who cannot control what other organizations pay their employees. One managerial approach is to be open and honest about employee inputs and outcomes. Employees should be rewarded according to their contributions. Employee perception, whether correct or incorrect, represents the truth to them. 3.4.2.3 Skinner’s Reinforcement Theory of Motivation Skinner, B.F. (1953)50, who propounded the reinforcement theory, holds that by designing the environment properly, individuals can be motivated. Instead of considering internal factors like impressions, feelings, attitudes and other cognitive behavior, individuals

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139 are directed by what happens in the environment external to them. Skinner states that work environment should be made suitable to the individuals and that punishment actually leads to frustration and de-motivation. Hence, the only way to motivate is to keep on making positive changes in the external environment of the organization.

Daft (2008)51 pointed out that the reinforcement approach to employee motivation sidesteps the deeper issue of employee needs described in the need-based theories. Reinforcement theory simply looks at the relationship between behavior and its on sequences by changing or modifying followers’ on-the-job behavior through the appropriate use of immediate rewards or punishments. The theory suggests that behaviors followed by positive consequences will occur more frequently and that behaviors followed by negative consequences will occur less frequent.

Bagraim, et al. (2007)52 viewed that due to the fact that the reinforcement theory ignores the inner state of the individual and concentrates solely on what happens to a person when he or she take some actions. Reinforcement theory can strictly speaking not be classified as a theory of motivation. It does however provide managers and supervisors with some powerful means of analysis of what controls behavior, and it is for this reason that it is typically included in discussions of motivation. Managers and supervisors can attempt to shape employee behaviors by applying or withdrawing the consequences of their behavior. Consequences can either be positive or negative. He identifies the approaches that can be used to affect employee behavior as follow: Positive reinforcement: this is the application of a positive event as a result of desired employee behavior. The idea is to encourage the employee to repeat a particular behavior more frequently. Negative reinforcement: This behavior is reinforced by the avoidance of undesirable consequences. Punishment: This undesirable behavior is discouraged by the application of punishment. According to the reinforcement theory, the unpleasant consequences (punishment) of any undesirable behavior will discourage an individual from repeating the behavior. Punishment is not deemed as the most effective form of reinforcement. Punishment motivates people as soon as it is meted out, but once the negative reinforcement is

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140 neutralized, they fall back into their old patterns of undesirable behavior. Bitterness and animosity towards managers or the organization, hostile and inflexible behavior are some of the negative side effects of punishment and therefore less effective than the application of positive and negative reinforcement and should not be a desirable form of behavior in the workplace. Extinction: This is the withdrawal of something that an employee considers positive in order to weaken behavior, especially behavior that was previously rewarded. This could be as a result of behavior that was acceptable to a previous manager or, manager in a different department e.g. a previous manager might have appreciated it if the employee told tales about his/her coworkers.

Application of the reinforcement theory For enhancing motivation in the workplace by using reinforcement theory effectively, the manager should identify critical, observable, performance-related behaviors, measure the frequency of these behaviors and analyze both the cause and consequences of these behaviors in order to allow managers to create an environment where these critical behaviors can occur more frequently and to determine whether or not the behaviors produce the desired results. The frequency of the desired behaviors can increase through the application of positive and negative reinforcement and then evaluate the success of the reinforcement process by comparing employee behavior, prior to the application of reinforcement techniques, to behavior thereafter. The desired behavior should be reinforced by rewards that are appropriate and valued by employees. Poor performance should never be rewarded, but it is extremely important that managers and supervisors praise employees for their desired accomplishments (Smit et al, 2007)53.

3.4.2.4 Vroom’s Expectancy Theory of Motivation Vroom’s Expectancy Theory (1964)54 is one of the most widely accepted explanations of motivation. The theory argues that the strength of a tendency to act in a specific way depends on the strength of an expectation that the act will be followed by a given outcome and on the attractiveness of that outcome to the individual to make this simple, expectancy theory says that an employee can be motivated to perform better when their is a

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141 belief that the better performance will lead to good performance appraisal and that this shall result into realization of personal goal in form of some reward. Therefore an employee is:

Motivation = Valence x Expectancy.

The theory focuses on three things: (a) Efforts and performance relationship; (b) Performance and reward relationship; and (c) Outcomes (rewards and personal goal relationship).

Coetsee (2003)55 explains that the expectancy theory is based on the assumption that people are motivated by the attractiveness (both in a positive and a negative sense) of the consequences (outcomes) of their efforts. It means that people are motivated by the attractiveness of the expected results of their efforts or actions.

Smit, et al. (2007)56 mentioned that the expectancy model suggests that an individual’s work motivation is determined by the elements, such as, expectancy, instrumentality, and valence. The expectancy represents an individual’s belief that a particular degree of effort will be followed by a particular level of performance. An employee’s expectancy perceptions are influenced by factors such as self-esteem, self-efficacy, previous success at the task, help received from others, information necessary to complete the task and the quality of equipment and materials available to complete the task with. Instrumentality refers to the degree to which an individual believes that a certain level of performance will lead to the attainment of a desired outcome. Valence (Rewards personal goals relationship) is the value or importance that an individual attaches to various work outcomes. Each outcome has an associated valence or value.

Effort has to do with how much energy people are willing to expend and this determines the intensity with which people perform their work activities. Effort alone is not enough. Performance is the extent to which an employee contributes to achieving the objectives of the organization and motivation is not the only cause of productive behavior. Other factors that contribute towards an employee’s level of performance include inherent ability, opportunity and developed competencies. The level of performance is therefore dependant on the degree to which all these factors are present at the point the individual is

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142 performing the task. The equation for performance is: Performance = Skills and abilities (S) x Motivation (M) x Resources (R). Regarding to outcomes/rewards, the input employees provide through their effort, leads to output. The output is measured to determine whether the required goals and objectives were achieved. Performances are then rewarded accordingly. Employees sell their skills and ability to their employees and expect reward in return. It is important for sustained performance to ensure that there is a balance between input and output. The employer’s perception of the value of the reward might not be shared by the employee. Rewards need to be equitable for both parties to ensure continues output at the desired level of performance. One immediately thinks of rewards as being of monetary value. It is obvious that people work and expect to be compensated accordingly. Rewards can either be intrinsic or extrinsic of nature. Common intrinsic rewards are psychic self-granted rewards and include feelings of satisfaction, pride, and a sense of accomplishment.

Application of Vroom’s expectancy theory Vroom’s expectancy theory is very useful to managers because it helps to understand worker behavior. If employees lack motivation, it may be caused by their indifference toward, or desire to avoid, the existing outcomes. Expectancy theory is based on the assumption that employees calculate the “cost and benefits” in choosing among alternative behavioral actions (Borkowski, 2009)57.

Erasmus, et al. (2008)58 suggested that it is necessary for manager to set attainable performance standards for employees and providing the necessary support (training for example) to assist them with achieving these standards. This will increase employees’ perception or expectancy that their effort will lead to performance. Managers need to link rewards to set performance standards and employees are motivated to achieve those outcomes they desire. Managers therefore need to establish what outcomes are desired by their employees and provide them. Managers need to establish the personal goals of employees and link these to organizational rewards.

Kreitner & Kinicki (2008)59 stated that managers need valid and accurate performance ratings with which to compare employees. Inaccurate ratings create perceptions of inequity and thereby erode motivation. Performance appraisals play a vital role

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143 to ensure validity of the expectancy theory. If employees are of the opinion that their performances are not accurately measured or employer expectations are unrealistic, it will de-motivate employees. It is also important for managers to influence employees’ instrumentalities and to monitor valence for various rewards. Rewards can either be intrinsic or extrinsic of nature. Individuals differences and need theories tell us that people are motivated differently. It is therefore important that managers monitor what rewards are valued by employees.

3.4.2.5 McGregor X-Y Theory McGregor (1960)60 wrote The Human Side of Enterprise, after three decades of research in working conditions and workers’ attitudes toward their jobs. McGregor was interested in studying motivation, how workers were motivated, and how managers and supervisors could encourage motivation. It is stated that "McGregor's X-Y Theory remains central to organizational development and to improving organizational culture."

McGregor (1960)61 illustrated that Theory X assumes that workers are more interested in attaining the lower needs such as safety and physiological needs. Theory X assumptions are more autocratic and dictated, looks to humans as cost centers. It can be said that Theory X refers to an "authoritarian" style of managing people. Based on this theory, the average employee does not like work. Only the threat of punishment forces him or her to perform. This type of person prefers being directed. If possible, he or she tries to avoid responsibility at every opportunity. This can create a lot of stress in the work place.

Theory Y is a participative management style. It is after higher level needs such as social or esteem needs. Theory Y assumptions are democratic and contributing, employees as resources that can be used for return on investment. Employees in Theory Y are self-direct themselves to pursue the achievement of organizational objectives. They have the self-driven urge to seek additional responsibilities. They are self-motivated.

3.5 SUMMARY Motivation is the psychological forces that determine the direction of a person’s behavior in an organization, a person’s level of effort and a person’s level of persistence.

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144 There are two types of motivation, intrinsic and extrinsic. Intrinsic motivation refers to the motivation that comes from inside the individual. It is an internal desire that stems from feelings such as pride for contributing to something worthwhile, being excites by work related challenges and satisfaction in the personal development that may come from tasks or certain work activities. Common extrinsic motivations are interesting work, challenging work, learning new things, responsibility, autonomy, and being creative. Extrinsic motivation refers to the performance of an activity in order to attain a desired outcome and it is the opposite of intrinsic motivation. Extrinsic motivation comes from influences outside of the individual. Common extrinsic motivations are rewards, praise, salary, promotion, job design, and status.

Theory of motivation can be divided into two basic groups, namely content theories and process theories. Content theories of motivation focus on internal or intrapersonal factors that energies, direct, sustain and or prohibit behavior. These theories explain forces of motivation by focusing on individuals’ needs. In the attempt to identify the specific forces which motivate people, content theories focus on both intrinsic (needs and motives) and extrinsic motivators (such as money and status) which can motivate people Some of the most popular and best known of content theories of motivation includes Abraham Maslow’s hierarchy of needs theory, Alderfer’s ERG theory of motivation, Hertzberg’s two-factor theory and McClelland’s learned needs theory.

Process theories focus on each individual’s behavior that result of his or her own assumptions, premises, expectations, values and other psychological processes. Motivated behavior is seen as the result of conscious, rational decisions between alternative choices which each individual makes. Some of the most popular and best known process theories of motivation include Locke and Latham’s Goal-setting theory of motivation, Skinner’s Reinforcement theory, Adam’s Equity theory of motivation, Vroom’s Expectancy theory of motivation, and McGregor X-Y Theory.

Maslow’s Hierarchy of Needs Abraham Maslow viewed motivation as being based off a hierarchy of needs, of which a person cannot move to the next level of needs without satisfying the previous level. Maslow’s hierarchy starts at the lowest level of needs, basic physiological needs. Basic

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145 physiological needs include air, water, and food. Employers who pay at least a minimal living wage will meet these basic employee needs. The next level of needs is referred to as safety and security needs. This level includes needs such as having a place to live and knowing one is safe. Employers can meet these needs by ensuring employees are safe from physical, verbal or emotional hazards and have a sense of job security. The third level of needs is social affiliation and belonging. This is the need to be social, have friends, and feel like one belongs and is loved. Implementing employee participation programs can help fulfill the need to belong. Rewards such as acknowledging an employee’s contributions can also satisfy these social and love needs. The fourth level on the hierarchy is esteem needs. This level is described as feeling good about one’s self and knowing that their life is meaningful, valuable, and has a purpose. Employers should use the job design technique to create jobs that are important to and cherished by the employee. The last level Maslow described is called self-actualization. This level refers to people reaching their potential states of well-being. An employer who ensures that an employee is in the right job and has all other needs met will help the employee realize this highest need.

ERG Theory The ERG theory of Clayton Alder stands for three basic need categories: existence, relatedness, and growth. These needs can be summarized as: (a) existence needs (concerned with the nutritional and human’s basic material existence, (b) relatedness needs (concerned with the human’s desire for satisfying interpersonal relationships), and (c) growth needs (concerned with the human’s intrinsic desire for personal continued psychological growth and development).

Herzberg's Two-FactorTheory Frederick Herzberg developed the two-factor theory of motivation based on satisfiers and dissatisfiers. The “motivator” factors are intrinsic factors that influence satisfaction and “hygiene” factors are extrinsic variables that brought dissatisfaction. Satisfiers are motivators associated with job satisfaction while dissatisfiers are motivators associated with hygiene or maintenance. Satisfiers are intrinsic factors that include achievement, recognition, work itself, responsibility, and advancement of growth. Satisfiers are all intrinsic motivation that are directly related to rewards attainable from work

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146 performance and even the nature of the work itself. Dissatisfiers are extrinsic motivation based on the organizational administration and policies, technical supervision, salary, interpersonal relations, and working conditions. Herzberg believed providing for hygiene and maintenance needs could prevent dissatisfaction but not contribute to satisfaction. Herzberg also believed that satisfiers hold the greatest potential for increased work performance. Work-life programs are a form of satisfier that recognizes the employee’s life outside of work which, in turn, helps motivate the employee.

McClelland's needs theory McClelland's needs theory, also known as Three Needs Theory, proposed by psychologist David McClelland, is a motivational model that attempts to explain how the needs for achievement, power, and affiliation affect the actions of people from a managerial context. Need for achievement refers to the people who are achievement-motivated. They prefer working on tasks of moderate difficulty, prefer work in which the results are based on their effort rather than on anything else, and prefer to receive feedback on their work. Need for affiliation refers to the people who prefer to spend time creating and maintaining social relationships, enjoy being a part of groups, and have a desire to feel loved and accepted. Need for power refers to the person's desire to influence, teach, or encourage others. People in this category enjoy work and place a high value on discipline.

Adam’s Equity Theory The Adams' Equity (1965) Theory model extends beyond the individual self, and incorporates influence and comparison of other people's situations (for example colleagues and friends) in forming a comparative view and awareness of Equity, which commonly manifests as a sense of what is fair. Adams suggested that when people feel fairly or advantageously treated they are more likely to be motivated; when they feel unfairly treated they are highly prone to feelings of disaffection and de-motivation. The way that people measure this sense of fairness is at the heart of Equity. Skiner’s Reinforcement Theory of Motivation Skinner, B.F. who propounded the reinforcement theory, holds that by designing the environment properly, individuals can be motivated. Instead of considering internal factors like impressions, feelings, attitudes and other cognitive behavior, individuals are

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147 directed by what happens in the environment external to them. Skinner states that work environment should be made suitable to the individuals and that punishment actually leads to frustration and de-motivation. The approaches that can be used to affect employee behavior comprised of: (a) positive reinforcement, (b) negative reinforcement, (c) punishment, and (d) extinction.

Locke and Latham’s Goal Setting Theory Edwin A. Locke’s goal theory describes setting more specific goals to elicit higher performance and setting more difficult goals to increase effort. He also believed that, through employee participation in goal setting the employees would be more likely to accept the goals and have a greater job satisfaction. The goal theory’s underlying assumption is that employees who participate in goal setting will set more difficult goals for themselves and yield superior performance. The theory is logical because employees are going to set more difficult goals but the goals will be attainable with increased effort. Sometimes organizations set goals that their employees will rarely, if ever, be able to meet. If the goals are always unattainable, there is no motivation to try accomplishing them.

An instructive model was formulated by Locke and his associates that postulate that goal-setting influences behavior in four different ways: Goals direct attention to what is most important: This refers to the attention and efforts towards goal-relevant activities and away from goal-irrelevant activities. Goals regulate effort: This refers to action and motivation. Goals increase persistence: This refer to the exerting effort over a long period of time in the appropriate direction. Goals direct strategies and action plans: This refers to the development of strategies and action plans that enable to achieve the goals.

Vroom's Expectancy Theory The expectancy theory of motivation was established by Victor Vroom with the belief that motivation is based on the expectation of desired outcomes. The theory is based on three concepts: valence, expectancy, and force. Valence is the attractiveness of potential rewards, outcomes, or incentives. Expectancy is a person’s belief that they will or will not be

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148 able to reach the desired outcome. Force is a person’s motivation to perform. “In general, people will work hard when they think that it is likely to lead to desired organizational rewards”.

McGregor's X-Y Theory McGregor stated that "McGregor's X-Y Theory remains central to organizational development and to improving organizational culture.

Theory X refers to an "authoritarian" style of managing people. Based on this theory, the average employee does not like work. Only the threat of punishment forces him or her to perform. This type of person prefers being directed. If possible, he or she tries to avoid responsibility at every opportunity. Theory Y is a participative management style. Employees self-direct themselves to pursue the achievement of organizational objectives. They have the self-driven urge to seek additional responsibilities. They are self-motivated.

3.6 Theoretical framework of the present study After the study about motivation, Herzberg's Two-Factor Theory, developed by Frederick Herzberg was utilized to be the theoretical framework of the present study. Two factors concerned to this theory are “Motivator” and “Hygiene”.

Motivator (Intrinsic or satisfiers) comprises of five factors i.e. achievement, recognition, work itself, responsibility, and advancement growth. Achievement refers to the opportunity for increasing the employees’ achievement. These achievements must result in employees’ profession i.e. achieving goals and standards of work, achieving in knowledge, achieving in career path and position. Recognition refers to the praised and recognition for employees’ accomplishments given by the manager. Work itself refers to the work which is meaningful, interest and challenging for employees to perform and to get motivated. Responsibility refers to the opportunity to increase the responsible for work. Advancement refers to the growth and promotional opportunities of employees. Hygiene (Extrinsic or Dissatisfiers) comprises of five factors i.e. organization and administrative policies, technical supervision, salary, interpersonal relations, and working conditions.

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149 The next chapter will present the analysis of data and interpretation regarding the motivation of employees in electric generating authority of Thailand.

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150 REFERENCES

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151 16. Ryan, Richard; Edward L. Deci (2000). "Intrinsic and Extrinsic Motivations: Classic Definitions and New Directions", Contemporary Educational Psychology. Vol. 25 (1), PP : 54–67. 17. Ibid. 18. Coetsee, L.D. (2003). Peak Performance and Productivity. (2nd ed.), Potchefstroom: Van Schaik. 19. Maslow, A.H. (1954). Motivation and Personality. New York: Harper and Row. 20. Ramlall, S. (2004). “A Review of Employee Motivation Theories and their Implications for Employee Retention within Organizations”, The Journal of American Academy of Business. Cambridge, 5 (1/2), PP: 52-63. 21. Herzberg, F., Mausner, B. & Snyderman, B.B. (1959) The Motivation of Works. (2nd ed.) New York: John Wiley & Sons. 22. Ibid. 23. Ibid. 24. Ramlall, S. (2004). “A Review of Employee Motivation Theories and their Implications for Employee Retention within Organizations”, The Journal of American Academy of Business. Cambridge, 5 (1/2), PP: 52-63. 25. Ibid. 26. Griffin, W. and Moorhead, G. (2009). Organizational Behavior: Managing People and Organizations. (9th ed.), New York : Thompson South Western. 27. Mumford, E. (1976) Work Design and Job Satisfaction. Manchester: Business School. 28. Griffin, W. and Moorhead, G. (2009). Organizational Behavior: Managing People and Organizations. (9th ed.), New York : Thompson South Western. 29. Ahmad, F.S., Gilkar, N.H., Darzi, J.A. (2008). Organisational Behaviour. New Delhi : Atlantic Publishers and Distributors. 30. Bagraim, J., Cunningham, P., Potgieter, T. & Viedge, C. (2007). Organisational Behaviour: A Contemporary South African Perspective. (2nd ed.), Pretoria: Van Schaik. 31. Borkowski, N. (2009). Organizational Health Care. (2nd ed.), Canada : Jones and Bartilett Publishers.

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152 32. Mukherjee, K. (2009). Principles of Managing Organisational Behaviour. New Delhi: Tata McGraw-Hill. 33. McClelland, D.C. (1961). The Achieving Society. Princeton: D. Van Nostrand Company, Inc. 34. Nel, P.S., Van Dyk, P.S., Haasbroek, G.D., Schultz, H.B., Sono, T, and Werner, A. (2004). Human Resource Management. (6th ed.), Cape Town: Oxford University Press Southern Africa. 35. Daft, R.L. (2008). The Leadership Experience. (4th ed.), New York: Thompson South Western. 36. Daft, R.L. & Marcic, D. (2009). Understanding Management. (6th ed.), New York: Thompson South-Western. 37. Smit, P.J., Cronje, G.J., Brevis, T. & Vrba, M.J. (2007). Management Principles: A Contemporary Edition for Africa. (4th ed.), Cape Town: Juta and Co.Ltd. 38. Coetsee, L.D. (2003). Peak Performance and Productivity. (2nd ed.), Potchefstroom: Van Schaik. 39. Griffin, W. and Moorhead, G. (2009). Organizational Behavior: Managing People and Organizations. (9th ed.), New York : Thompson South Western. 40. Kreitner, R. & Kinicki, A. (2008). Organizational Behavior. Boston: McGraw-Hill. 41. Daft, R.L. & Marcic, D. (2009). Understanding Management. (6th ed.), New York: Thompson South Western. 42. Kreitner, R. & Kinicki, A. (2008). Organizational Behavior. Boston: McGraw-Hill. 43. Ibid. 44. Adams, J.S. (1965). “Inequity in Social Exchange”, Advances in Experimental Social Psychology. Vol. 2, PP: 267-299. 45. Bagraim, J. Cunningham, P., Potgieter, T., Viedge, C. (2007). Organizational Behavior: A Contemporary South Africa Perspective. Pretoria: Van Schaik. 46. Mukherjee, K. (2009). Principles of Managing Organisational Behaviour. New Delhi: Tata McGraw-Hill. 47. Ibid. 48. Bagraim, J. Cunningham, P., Potgieter, T., Viedge, C. (2007). Organizational Behavior: A Contemporary South Africa Perspective. Pretoria: Van Schaik.

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153 49. Hellriegel, D. & Slocum, J.W. (2007). Organizational Behavior. (11th ed.), New York: Thompson South Western. 50. Skinner, B.F. (1953). Science and Human Behavior. New York: Free Press. 51. Daft, R.L. (2008). The Leadership Experience. (4th ed.), New York: Thompson South Western. 52. Bagraim, J. Cunningham, P., Potgieter, T., Viedge, C. (2007). Organizational Behavior: A Contemporary South Africa Perspective. Pretoria: Van Schaik. 53. Smit, P.J., Cronje, G.J., Brevis, T. & Vrba, M.J. (2007). Management Principles: A Contemporary Edition for Africa. (4th ed.), Cape Town: Juta and Co.Ltd. 54. Vroom, V.H. (1964). Work and Motivation. New York: Wiley. 55. Coetsee, L.D. (2003). Peak Performance and Productivity. (2nd ed.), Potchefstroom: Van Schaik. 56. Smit, P.J., Cronje, G.J., Brevis, T. & Vrba, M.J. (2007). Management Principles: A Contemporary Edition for Africa. (4th ed.), Cape Town: Juta and Co.Ltd. 57. Borkowski, N. (2009). Organizational Health Care. (2nd ed.), Canada : Jones and Bartilett Publishers. 58. Erasmus, B., Swanepoel, B. & Schenk, H. (2008) South Africa Human Resource Management: Theory and Practice. (4th ed.), Cape Town: Juta and Co.Ltd. 59. Kreitner, R. & Kinicki, A. (2008). Organizational Behavior. Boston: McGraw-Hill. 60. McGregor, D. (1960). The Human Side of Enterprise. New York: McGraw-Hill. 61. Ibid.