Question

In: Operations Management

explain two motivation theories that you think are most useful for a manager who is planning...

explain two motivation theories that you think are most useful for a manager who is planning an employee award scheme ,both to decide what to include in the scheme and what not to include.

Solutions

Expert Solution

Two theories are:

  • McClelland’s Theory of Needs
  • Expectancy Theory

McClelland’s Theory of Needs

This theory is developed by David McClelland and his associates. Here they looked mainly at three needs:

  • Need for Achievement
  • Need for Power
  • Need for Affiliation

They mostly focused on the need for achievement. Those who perform better and high achievers their success rate is 0.5. That is the success chance of 50-50. They don't like to gamble for more success and save their chances for better achievements with fewer risks. This theory also shows some relationship between job performance and achievement. First, when jobs have a high level of personal responsibility and responsiveness and an intermediate degree of risk, high achievers are strongly motivated. They are good entrepreneurs and runs their businesses very well. Also, it is not necessary that a higher need for achievement makes us a good manager.

Expectancy Theory

The expectancy theory argues that the power of our tendency to work in a certain way depends on the durability and attractiveness of our expectations of a given result. Employees will be motivated to pursue higher-level efforts when they believe it will promote a good performance evaluation; A good assessment will promote organizational rewards such as bonuses, increments, or promotions; And that the awards will meet the personal goals of employees. Therefore, the theory focuses on three relationships:

  • Effort–performance relationship
  • Performance–reward relationship
  • Rewards–personal goals relationship

First, if I give maximum effort, will it be recognized in my performance evaluation? But its not possible for many employees. Their skill level may be low, meaning that no matter how much they try, they are unlikely to perform high.

Second, if I get a good performance appraisal, will it yield organizational rewards? Many organizations reward things in addition to performance. Salary is based on factors such as being seniority, being cooperative, or "kissing up" to the boss if employees are likely to see the relationship of performance reward as weak and demotivating.

Lastly, if I got rewards, are the awards good for me? The employee works hard in the hope of getting promotions but instead gets a salary increase. Unfortunately, many managers are limited in the rewards they can distribute, making it difficult to obtain rewards for the needs of the individual employee.

Most organizations see rewards as a means of motivating certain behaviors in employees. In particular, the awards are intended to motivate employees to perform effectively and efficiently to achieve organizational goals. Rewards are used to motivate or motivate certain behaviors among employees that are considered beneficial for enhanced performance by inhibiting other behaviors that they perceive to be detrimental to organizational development and performance.


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