Chapter Eight Motivation Through Equity, Expectancy, and Goal Setting
8-10
Goals
Figure 8-3
Goal: What an individual is trying to accomplish. Directing one’s attention
Goals motivate the individual by...
Regulating one’s effort Increasing one’s persistence Encouraging the development of goalattainment strategies or action plans
Task performance
8-11a
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8-11b
Insights from Goal-Setting Research Difficult Goals Lead to Higher Performance. - Easy goals produce low effort because the goal is too easy to achieve. - Impossible goals ultimately lead to lower performance because people begin to experience failure. Specific Difficult Goals Lead to Higher Performance for Simple Rather Than Complex Tasks. - Goal specificity pertains to the quantifiability of a goal. - Specific difficult goals impair performance on novel, complex tasks when employees do not have clear strategies for solving these types of problems. Feedback Enhances The Effect of Specific, Difficult Goals. - Goals and feedback should be used together.
Insights from Goal-Setting Research (continued)
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Participative Goals, Assigned Goals, and Self-Set Goals Are Equally Effective. - Managers should set goals by using a contingency approach. Different methods work in different situations. Goal Commitment and Monetary Incentives Affect Goal-Setting Outcomes. - Difficult goals lead to higher performance when employees are committed to their goals. - Difficult goals lead to lower performance when employees are not committed to their goals. - Goal based incentives can lead to negative outcomes for employees in complex, interdependent jobs requiring cooperation. * Employees may not help each other. * Quality may suffer as employees pursue quantity goals. * Commitment to difficult goals may suffer.
8-12
Guidelines for Writing “SMART” Goals
Specific Measurable Attainable Results oriented Time bound
8-2 Table 8-1
Factors Considered When Making Equity Comparisons Inputs
Time Education/training Skills Creativity Seniority Loyalty to organization Age Personality traits Effort expended Personal appearance
Outcomes Pay/bonuses Fringe benefits Challenging assignments Job security Career advancement/promotions Status symbols Pleasant/safe working environment Opportunity for personal growth/ development Recognition Participation in important decisions
Reducing Inequity n n n n n n n n
Increase own inputs Decrease own inputs Increase own outcomes Decrease own outcomes Leave Distort own inputs or outcomes Distort other’s inputs or outcomes Change comparison other
8-4
Organizational Justice Distributive Justice: The perceived fairness of how resources and rewards are distributed. Procedural Justice: The perceived fairness of the process and procedures used to make allocation decisions. Interactional Justice: The perceived fairness of the decision maker’s behavior in the process of decision making.
8-5a
Practical Lessons from Equity Theory Employee’s beliefs and attitudes affect job performance. ° Managers should pay attention to employees’ perceptions of distributive, procedural, and interactional justice because they affect many different employee outcomes. ° Managers benefit by allowing employees to participate in making decisions about important work outcomes. ° Perceptions of fairness are increased by giving employees the opportunity to appeal decisions that affect them. °
8-5b
Practical Lessons from Equity Theory (continued)
Employees are more likely to accept change when they believe the organization is treating them fairly and equitably. ° Managers can promote cooperation and teamwork among work group members by treating them equitably. ° Treating employees inequitably can lead to litigation and costly court settlements. ° A climate for justice is associated with positive employee outcomes. °
M = E à P à O (V)
8-6
A General Model of Vroom’s Expectancy Theory Outcome 1 Performance Goal
High Effort Expectancy “What are my chances of reaching my performance goal if I work hard?” Decision to Exert Effort
Expectancy “What are my chances of reaching my performance goal if I slack off?”
Outcome 2 Outcome 3
Instrumentality “What are my chances of getting various outcomes if I achieve my performance goal?”
Valence “How much do I value these outcomes?”
Outcome 1 Low Effort
Performance Goal
Outcome 2 Outcome 3
8-8 Table 8-3a
Managerial Implications of Expectancy Theory
Determine the outcomes employees value. µ Identify good performance so appropriate behaviors can be rewarded. µ Make sure employees can achieve targeted performance levels. µ Link desired outcomes to targeted levels of performance. µ Make sure changes in outcomes are large enough to motivate high effort. µ Monitor the reward system for inequities. µ
8-8 Table 8-3b
µ µ µ µ
µ µ
Organizational Implications of Expectancy Theory Reward people for desired performance, and do not keep pay decisions secret. Design challenging jobs. Tie some rewards to group accomplishments to build teamwork and encourage cooperation. Reward managers for creating, monitoring, and maintaining expectancies, instrumentalities, and oucomes that lead to high effort and goal attainment. Monitor employee motivation through interviews or anonymous questionnaires. Accommodate individual differences by building flexibility into the motivation program.
8-6 for use with Exercise
Applying Vroom’s Expectancy Theory Outcome 1
(1.0)
High Effort
Performance
(.80)
Work hard for 10 hours a day
Sell nine cars a month
Make $3,600 in commission
Outcome 2 Gain respect from peers and recognition from boss
Motivating Employees 1 Interesting work 2 Full appreciation of work done 3 Feeling of being in on things 4 Job security 5 Good wages 6 Promotion and growth in the organization 7 Good working conditions 8 Personal loyalty to employees 9 Tactful discipline 10 Sympathetic help with personal problems
