Theories of Motivation
There are several Theories of Motivation that are developed to explain the concept of “Motivation”. These theories of motivation offer different perspectives on what drives human behavior and how to enhance motivation. Theories of motivation can be broadly classified as:
1. Content Theories
2. Process Theories
I. Content Theories of Motivation
Content theories focus on the factors within the person that energies, direct, sustain and stop behavior. They attempt to determine the specific needs that motivate people. Following are the four best Content Theories of Motivation:
1. Maslow’s Need Hierarchy Theory
The most widely recognized theory of motivation is the needs hierarchy theory. Abraham Maslow suggested that people have a complex set of exceptionally strong needs, which can be arranged in a hierarchy. These needs are:
i. Physiological needs
The physiological needs are at the top of the hierarchy because they tend to have the highest strength until they are reasonably satisfied. Until these needs are satisfied to the degree needed for the efficient operation of the body, the majority of a person’s activities will probably be at this level, and the other levels will provide him with little motivation. It includes hunger, thirst, shelter, sex and other bodily needs.
ii. Safety/Security
The needs for safety, stability and absence of pain, threat or illness are all security needs. Like physiological needs, unsatisfied security needs cause people to be preoccupied with satisfying them. Managers who believe that security needs are most important they focus on rules, job security and fringe benefits. Such managers may not encourage innovation by employees and will not reward risk taking. Employees who are most concerned about security will follow rules strictly.
iii. Social/Affiliation
After the first two needs are satisfied, social needs become important in the need hierarchy. Since man is a social being, he has a need to belong and to be accepted by various groups. When social needs become dominant, a person Will strive for meaningful relations With others. In organization context when affiliation needs are the primary source of motivation, people value the workplace as an opportunity for finding and establishing warm and friendly interpersonal relationships.
iv. Esteem
The esteem needs are concerned with self-respect, self-respect, a feeling of personal worth, feeling of being unique, and recognition. Satisfaction of these needs produces feelings of self-confidence, prestige, power and control.
v. Self-actualisation
This level represents the culmination of all the lower, intermediate and higher needs of human. Self-actualisation is the need to maximize one’s potential. whatever it may be. This is related With the development of intrinsic capabilities which lead people to seek Situations that can utilize their potential. This includes competence which implies control over environmental factors, both physical and social. and achievement. A man with high intensity of achievement needs will be restless unless he can find fulfillment in doing what he is fit to do.
Assumptions of the theories :
i. A satisfied need does not motivate. When one need is satisfied another need emerges to take its place, so people are always striving to satisfy some need.
ii. The needs network for most people is complex, with several affecting the behavior of each person at any one time.
iii. In general, lower level needs must be satisfied before higher level needs are activated sufficiently to drive behavior.
- There are more ways to satisfy higher level needs than lower level needs.
i. Maslow need hierarchy is viewed as a simple and straightforward analysis of human motivation with human needs forming the basis for analysis. This theory has found wide acceptance among practicing managers for its logical exposition and easy to understand format.
ii. The theory points out a fact which ignored in the conventional approach to the management of people, that a satisfied need is not a motivator of behvaiour.
iii. Maslow has maintained a reasonably sensible and realistic view of human nature. He has insisted that process of self actualization cannot occur automatically as it requires initiatives, desires and efforts on the part of the individuals.
Demerits
i. The hierarchy of basic needs is not always fixed. Different people may have different orders. For example, in case of creative people like singers, painters etc. their self actualization needs may become the dominant motivation force even before their lower order needs are satisfied.
ii. There is lack of direct cause and effect relationship between need and behavior. Thus a particular need may cause behavior in different ways in different persons.
iii. The level of satisfaction for particular need may differ form person to person. A person tries for his higher level need when his lower order need is reasonably satisfied.
2. Herzberg’s Motivation-Hygiene Theory (Two Factor Theory)
The psychologist Frederick Herzberg extended the work of Maslow and proposed a new motivation theory also known as Two factor theory. He conducted a research study of 200 accountants and engineers employed by firms in and around Western Pennsylvania. He asked these people to describe two important incidents at their jobs :
i. When did you feel particularly good about your job?
ii. When did you feel exceptionally bad about your job?
He used critical incident method for obtaining data. The responses when analysed were found quite interesting and fairly consistent. Herzberg concluded that there were two categories of needs essentially independent of each other affecting behavior in different ways. His findings are that there are some job conditions which operate primarily to dissatisfy employees when the conditions are absent, however their presence does not motivate them in a strong way. These are the maintenance or hygiene factors. Another set of job conditions operates primarily to build strong motivation and high job satisfaction, but their absence rarely proves strongly dissatisfying. These are motivational factors.
i. Hygiene Factors
According to Herzberg, there are ten maintenance or hygiene factors. These are company policy and administration, technical supervision, interpersonal relationship with supervisors, interpersonal relationship with peers, interpersonal relationship with subordinates, salary, job security, personal life, working conditions, and status. They are not an intrinsic part of a job, but they are related to the conditions under which a job is performed. The maintenance factors are necessary to maintain at a reasonable level of satisfaction in employees. Any increase beyond this level will not provide any satisfaction to the employees, however any cut below this level will dissatisfy them. As such. these are also called as dissatisfiers. Since any increase in these factors will not affect employee’s level of, satisfaction, these are of no use for motivating them.
According to Scott Myers “ maintenance factors are characterized by the fact that they inspire little positive sentiment when added, but incite strong negative reactions when removed”.
ii. Motivational Factors
Herzberg includes six factors that motivate employees. These are: achievement, recognition, advancement, work itself, possibility of growth. and responsibility. They are related to the content of the job. An increase in these factors will satisfy the employees however, any decrease will not affect their level of satisfaction. Since, these increase level of satisfaction in the employees; these can be used in motivating them for higher output.
Assumptions
i. The opposite of satisfaction is not dissatisfaction. The removal of dissatisfying characteristics from a job does not necessarily make the job satisfying.
ii. Today’s motivators are tomorrow’s hygiene because the later stop influencing the behavior of persons when they get them.
Merits
i. The theory is supported with considerable empirical data and is included in other research that is supportive of the original hypothesis.
ii. Recognizes the fact that motivation comes from within the individual as opposed to any external factors.
iii. The Two Factor Theory Provides practical solutions for organizations.
Demerits
i. The two factor theory has been criticized for ignoring the influence of situational variables in classifying the factors. Herzberg’s description of money as a mere maintenance factor and not a motivator for employees cannot always be true.
ii. People generally tend to take credit themselves when things go well. They blame failure on the external environment.
iii. The theory basically explains job satisfaction not motivation.
iv. No overall measure of satisfaction was utilized. A person may dislike part of a job yet still think the job is acceptable overall.
v. Herzberg assumed a relationship between satisfaction and productivity, but the research methodology he used looked only at satisfaction not at productivity. To make such research relevant, one must assume a strong relationship between satisfaction and productivity.
3. McClelland’s Need Theory
Another well-known need based theory of motivation, as opposed to hierarchy of needs or satisfaction-dissatisfaction, is the theory developed by McClelland and his associates. McClelland developed his theory based on Henry Murray’s long list of motives and manifest needs used in early studies of personality. His theory focuses on Murray’s three needs : Achievement, Power and Affiliation. These are explained below:
i. Need for Achievement
McClelland’s research has led him to believe that the need for achievement is a distinct human motive that can be distinguished from other needs. He has identified few basic characteristics of high achievers:
(a) Moderate risks – Taking moderate risks is probably the simple and most descriptive characteristic of the person possessing high achievement need. This is against the common sense that a high achiever would take high risks.
(b) Immediate Feedback – Person with high achievement need desires activities which provide immediate and precise feedback information about how he is progressing towards a goal.
(c) Accomplishment – Person with high achievement need finds accomplishing a task intrinsically satisfying in and of itself, or he does not expect or necessarily want the accompanying material rewards. Though he likes to earn money a lot but not for the usual reason of wanting money for its own sake or for the material benefits that it can buy.
(d) Preoccupation with tasks – Once a high achiever selects a goal, he tends to be totally preoccupied with the task until it is successfully completed. He will not feel satisfied unless he has put is best effort in completing the task.
(e) Take personal responsibility
When he undertakes task, he wants the credit for the success of the undertaking, but he is equally prepared to accept the blame should it fail.
ii. Need for Power
The need to power is the desire to have impact, to be influential, and to control others. Individuals with high need for power enjoy being incharge, strive for influence over others, prefer to be placed into competitive and status oriented situations, and tend to be more concerned with prestige and gaining influence over others that with effective performance.
iii. Need for Affiliation
It is a desire to interact with individuals , to be liked by the, to belong to different groups etc. Thus it is related to social needs. People with high need for affiliation usually derive pleasure from being loved and tend to avoid the pain of being rejected. They are concerned with maintaining pleasant social relationship, developing understanding and enjoy helping others in trouble.
McClelland’s theory can be compared with Maslow’s theory. The achievement motivation resembles self-actualization need . Affiliation motivation forms part of Maslow’s social need. Power motivation as proposed by McClelland embraces safety, esteem and social needs as embodied in Maslow’s hierarchy
Assumptions
i. People are usually driven by these needs or motives irrespective of their gender or culture.
ii. This theory insists that people are not born with these needs but learn them through life experiences.
Merits
i. David McClelland’s theory is regarded more useful that Maslow and Alderfer’s theories as there is much more empirical evidence to support McClelland’s Needs Theory.
ii. McClelland believed that needs were not innate but learned at a young age and could also be developed in individuals. McClelland developed training programs for managers to increase their need for achievement. This need correlates well with positive organizational behaviors and performance. While other needs theories are more descriptive, McClelland offers a better mix of description and prescription enabling organizations to proactively encourage beneficial corporate behavior through both training programs and matching motivational needs with job situations.
Demerits
i. Need and satisfaction of needs is a psychological thing. Sometimes even the person may not be aware of his own needs. In such a case, it will be difficult for the manager to understand the employee’s need.
ii. There is no direct cause and effect relationship between need and behaviour. One particular need may cause different types of behaviour in different persons. On the other hand, a particular individual behaviour may be the result of different needs.
iii. The physiological and safety needs are more important as compared to McClelland’s needs.
4. Alderfer’s ERG Theory
An extension of the Herzberg theory and Maslow’s need hierarchy theory comes from the work of Clayton Alderfer. He formulated a need category model that was more in line with the existing empirical evidence. Like Maslow and Herzberg, he does feel that there is value in categorizing needs and that there is a basic distinction between lower order needs and higher order needs. Alderfer identified three groups of core needs:
i. Existence Needs
Existence needs include all needs related to physiological and safety aspects of an individual. Thus, existence needs group physiological and safety needs of Maslow into one category as these have similar impact on the behavior of the individual.
ii. Relatedness Needs
Relatedness needs include all those needs that involve relationship With other people whom the individual cares. Relatedness needs cover Maslow’s social needs and that part of esteem l needs which is derived from the relationship with other people.
iii. Growth Needs
Growth needs involve the individual making creative efforts to achieve full potential in the existing environment. These include Maslow’s self actualization need as well as that part of the esteem need which is internal to the individual like feeling of being unique, feeling of personal growth etc.
Assumptions
i. By and large, lower order needs must be satisfied to move on to higher order needs(satisfaction-progression process).
ii. In case of the frustration of higher order needs the person can go back to lower order needs(frustration-regression process).
iii. The greater the satisfaction of higher order needs the more satisfying they become.
iv. All the needs can operate simultaneously.
v. All these needs can be influenced by educational, social and cultural determinants.
Merits
i. ERG theory takes the strong points of the earlier content theories but it is less restrictive and limiting as compared to the others.
ii. The ERG theory is more consistent with our knowledge of individual differences among people. Variables such as education, family background, and cultural environment can alter the importance or driving force that a group of needs hold for a particular individual .
Demerits
i. The ERG theory failed to propose straightforward guiding principle. The model suggests that individuals will be driven to involve in a behavior which will gratify one of the three sets of needs assumed by the model.
ii. Process Theories of Motivation
Process theories try to describe and analyze how personal factors (internal to the person) interact to produce certain kinds of behavior. Unlike the content theories that focus on people’s needs that cause certain behavior, the process theories primarily focus on the process of motivation. Content theories attempt to find answers to questions like “what motivates people?” while process theories focus on questions like “how to motivate?”.
1. Vroom’s Expectancy Theory of Motivation
Expectancy model was developed by Victor Vroom in 1964. Criticizing the content theories of motivation which are based on the needs of people and their priority. Vroom has presented an alternative theory which is based on motivation process. Various theories which are based on motivation process are more concerned with the cognitive antecedents that go into motivation or efforts and more important with the way they relate to each other.
Vroom’s expectancy theory has its roots in the cognitive concepts of pioneering Kurt Lewin and Edward Tolman and in the choice behavior and utility concepts of classical economic theory. According to Vroom. people will be motivated to do things to achieve some goals to the extent that they expect that certain actions on their part will help them to achieve the goal. The theory is based on the simple equation :
Motivation (force) = Expectancy X Instrumentality X Valence
Vrooms expectancy theory is presented below:
As shown in the figure above the model is built around the concepts of valence, instrumentality and expectancy. Therefore this model is referred to as VIE theory. The various terms related to this model are explained below :
Valence
Valence means the strength of an individual’s preference for a particular outcome. Other terms that might be used are value, incentive, attitude and expected utility. Valence is positive when the individual prefers attaining the outcome to not attaining it. Valence is negative when the individual prefers not attaining the outcome to attaining it and it is zero when the individual is indifferent towards the outcome.
Instrumentality
Another major input into the valence is the instrumentality if the first level outcome in obtaining second level outcomes. For example the person would be motivated towards superior performance because of the desire to be promoted, The superior performance (first level outcome) is seen as being instrumental in obtaining a promotion (second level outcome).
Expectancy
Another major variable in the Vroom motivational process is expectancy. Expectancy relates efforts to first level outcomes and second level outcomes. In other words, expectancy in Vroom’s theory is the probability that a particular action or effort will lead to a particular first level outcome.
Assumptions
i. Individuals join an organization with clear expectations of their needs, motivation and environment.
ii. Individual behavior is typically their conscious decision.
iii. Individuals seek to fulfill different goals and needs through their organisation.
iv. Individuals like to choose among the alternatives in order to optimize their outcome
Merits
i. It recognizes individual differences in work motivation and suggests that motivation is a complex process as compared to Maslow’s or Herzberg’s simplistic models.
ii. It also clarifies the relationship between individual and organizational goals.
Demerits
i. Vroom’s theory indicates only the conceptual determinants of motivation and how they are related. It does not provide specific suggestions on what motivates organizational members as the Maslow, Hezberg and Alderfer models do.
ii. The theory is complex and its validity cannot be fully tested.
iii. The theory cannot be applied in practice.
2. Porter Lawler Model Of motivation
Porter Lawler’s Theory is an improvement over Vroom’s expectancy theory. According to this model, when the rewards available to an individual are sufficient, he/she will then exert high level of performance that will lead to satisfaction. As shown in the figure the amount of efforts put in by a person in a job depends on his/her perception of the likely reward from work, the probability of getting such rewards and the perceive energy levels required for the performance of such job. Porter and Lawler point out that effort does not directly lead to performance. It is dedicated by abilities and traits ad by role perceptions.
Major variables involved in this model are:
i. Effort
Effort refers to the amount of energy exerted by an employee on a given task. Perceived reward probability refers to the individual’s perception of the probability that differential rewards depend upon differential amounts of effort. These two factors-value of reward and perception of effort-reward probability-determine the amount of effort that the employee Will put in.
ii. Performance
Effort leads to performance But both of these may not be equal, rather performance is determined by the amount of effort and the ability and role perception of the individual. Thus. if an individual has little ability and/or inaccurate role perce.’ption, his performance may be ineffective in spite of his putting in great efforts.
iii. Rewards
Performance is seen as leading to intrinsic rewards (such as a sense of accomplishment and actualization) and extrinsic rewards (such as working conditions and status). However, the intrinsic rewards are much more likely to produce attitudes about satisfaction that are related to performance. In addition. the perceived equitable rewards vitally affect the performance-satisfaction relationship. They reflect the fair level of rewards that the individual feels should be given for a given level of performance.
iv. Satisfaction
Satisfaction is derived from the extent to which actual rewards fall short, meet or exceed the individual’s perceived level of equitable If actual rewards meet or exceed perceived equitable rewards, the individual will feel satisfied, if these are less than equitable rewards, he will be dissatisfied. Thus, this provides two implications. a) satisfaction is only in part determined by actual rewards. b) satisfaction is more dependent on performance than performance is on satisfaction. Only through the less-direct feedback loops, satisfaction Will affect performance. This is a marked departure from the traditional analysis of the satisfaction-performance relationship.
Assumptions
i. Individuals are assumed to be rational human beings who make conscious decisions about their behaviour in the organisations.
ii. Individuals have different needs, desires and goals.
iii. On the basis of their expectations, individuals decide between alternate behaviours and such decided behaviour will lead to a desired outcome.
iv. According to this model, individual behaviour is determined by a combination of factors in the individual and in the environment.
Merits
i. Match the abilities and traits of individuals to the requirements of the job by putting the right person on the right job.
ii. The model suggests that managers should carefully assess their reward structures and that through careful planning and clear definition of role requirements, the effort-performance-reward-satisfaction system should be integrated into an entire system of
Demerits
i. It is quite complex and has proved to be difficult way to bridge the gap to actual management practice.
3. Equity Theory
This theory was developed by James Stacy Adam. It was published in the journal, Experimental Social Psychology, 1965, New York titles ‘Inequality in Social Exchange’. The theory is also known as Adam’s Inequity Theory of Motivation. It is a cognitive-centered theory as it is basically concerned with the person himself, his beliefs, feelings or perceptions. Equity theory of work motivation is based on the social exchange process. Basically, he theory points out that people are motivated to maintain far relationship between their performance and reward in comparison to others.
Assumptions
i. Individuals make contributions (inputs) for which they expect certain rewards (outcomes).
ii. Individuals decide whether or no, a particular exchange is satisfactory, by comparing theory inputs and outcomes with those of others and try to rectify any inequality.
Exchange relationship between a person’s inputs/outcomes in relation to those of other persons may be of three types:
i. Overpaid Inequity
In this case, the person perceives that his outcomes are more as compared to his inputs in relation to others. This relationship can be expressed by :
Person’s outcomes/Person’s inputs > Other’s outcomes/ Other’s inputs
In this case, the person might feel guilty
ii. Underpaid Inequity
In this case, the person perceives that his outcomes are lower as compared to his inputs in relation to others. This relationship can ebe expressed as:
Person’s outcomes / Person’s inputs < Other’s outcomes /Other’s inputs
In this case, the person experience dissonance.
iii. Equity
In this case, the person perceives that his outcomes in relation to his inputs are equal to those of others. This relationship can be expressed by :
Person’s outcomes / Person’s inputs = Other’s outcomes/ Other’s inputs
In this case person experiences satisfaction.
Assumptions
i. An individual is concerned with his achievements (rewards and recognition) as well as with achievements of others.
ii. Employees expect a fair and equitable return for their contribution to their jobs.
iii. Employees determine what return (equitable) they should receive after comparing their inputs with the outcomes their relational workers have received.
iv. Employees who perceive themselves as being in an inequitable scenario will attempt to reduce the inequity either by distorting inputs and/or outcomes psychologically, by directly altering inputs and/or outputs, or by quitting the organization.
Merits
i. The theory makes managers realize that equity motivate tends to be one of the most important motives of the people in the organization.
ii. The theory is capable of contributing to both theory and practice of motivation.
Demerits
i. Practically it is difficult to measure perception of people about output-input ratios.
ii. The theory does not show clearly the specific actions a person should take to re-establish equity hen inequity is perceived.
iii. The theory does not consider all motivation factors. Only personal perception is the basic consideration.
iv. There is no standard measurement for efforts (inputs) and rewards. So exact comparison with others is not possible.
v. An individual hardly accepts that he is getting more rewards than others. Most problems are of low return, the negative inequality.
4. Carrot and Stick approach of Motivation
Carrot and stick approach of motivation is based on the ·’principle of reinforcement’ The theory was propounded by Jeremy Bentham. The carrot and stick approach of motivation comes from the old story that the best way to make a donkey move is to put a carrot in front of him or jab him with a stick from behind. The carrot is the reward for moving and the stick is the punishment for not moving. The carrot and stick approach of motivation takes the same view in motivating people for behaviour that is desirable. Rewards ( carrot) can be in the form of money, promotion. and other financial and non-financial factors. Punishment (Stick) can be in the form of fines, penalties, withholding salary increment, demotion, loss of job, transfer etc. Both rewards and punishment can be used to push the people for desired behavior or to refrain from undesired behavior.
Assumptions
i. Using the carrot and stick approach, there are basically two ways; behaviour is changed by force or by choice through the use of incentives.
Merits
i. Inefficient behavior is less often to occur.
ii. Good behavior will be repeated .
iii. When all else fails, the stick approach is somehow most attractive as it usually produces instantaneous compliance and hence immediate results.
iv. Useful for routine and highly controlled tasks. All those tasks, where the process is straightforward and lateral thinking is not required, rewards can provide a small motivational boost.
Demerits
i. The carrot and stick approach is not effective in work that is complex, requires creativity or involves problem solving.
ii. This approach reduces creativity encourage cheating, shortcuts and unethical behavior.
5. McGregor’s Theory X and Theory Y
Douglas McGregor’s in his book “the human side of Enterprise” published in 1960, explain two different kinds of theories or assumptions about human behavior. They are theory X an d theory Y. Theory X holds a negative (traditional) view of the workers which theory Y holds a much refined and positive view of workers.
Theory X
Theory X is the traditional theory of management philosophy. Power is supreme is the main theme of the theory where the people at work level have no authority to suggest or object anything except to carry out the orders of the supervisor.
Assumptions
i. Workers have an inherent dislike towards their job and they will avoid their job if it is possible for them.
ii. Workers have little or no ambition in theory work life and are not concerned about their career growth.
iii. They tend to resist changes and also avoid responsibilities.
iv. They are basically self-centered and do not care about organizational goals and objectives. In other words, their goals are contrary to the organizational goals.
v. They prefer to be led by others rather than lead others.
vi. Workers in general are not intelligent and are mostly gullible.
vii. Workers are generally poor decision makers.
viii. They need to be monitored and controlled closely to make them work effectively.
X-Theory is regarded as the means to supervise and control the workers. Decision making in all fields is entrusted with the managers. Workers are allowed to express their suggestions and emotion. But the decisions are taken by managers and workers are formed to follow the decisions.
Theory Y
Y-Theory is just opposite to X-Theory. So, X-Theory is considered as traditional theory and Y-theory as modern theory. Y theory emphasizes the importance of workers in the accomplishment of enterprise objectives.
Assumptions
i. The average human being does not dislike work. Work is as natural as play or rest. Work may be a source of satisfaction or punishment depending upon the controllable conditions.
ii. External control and the threat of punishment are not the only means for accomplishing the organizational objectives. Workers are committed to objectives and exercise self control and self direction to achieve them. They are fully conscious of their job.
iii. The average man works under proper conditions, not only to accept but seek responsibilities. Avoidance of responsibility, lack of ambition and emphasis on security are not the inherent qualities of the man but they are all consequences of experience.
iv. The rewards for the execution of work is that is should be properly recognized. Satisfaction of ego and actualization needs can be product of efforts directed towards organizational objective.
v. The capacity to exercise a relatively high degree of imagination, ingenuity and creativity in the solution of organizational problems is widely distributed in the population i.e. labour co-operates the management in solving the problems of the organization.
vi. Human abilities and capabilities are not fully developed till now with reference to modern industrial system. Management has ample scope to develop the intellectual potentialities of the average human being.
vii. The theory is based on democratic principles wherein all persons are given equal chance to develop their skill.
According to Y-Theory, a worker has integrity and readiness to work hard. He is willing to participate in the decision making process and shows a sense of creativity and imagination. So, X-Theory may say to be a negative and pessimistic one and Y-Theory may say to be positive and optimistic.
Merits
i. Theory ‘X’ and theory ‘Y’ are a good guide to management, to not only developing motivational techniques; but also attuning entire managerial systems around these assumptions about human behaviour.
ii. McGregor’s assumptions about human behaviour are rather realistic; as in practice we usually find people corresponding to Theory ‘X’ or Theory ‘ Y’ ideologies. This is the common observation of many of us.
Demerits
i. It tends to over-generalise and over simplify people as being one way or the other. People cannot be put on two extremes. No enterprising man belongs either to Theory X or Theory Y.
ii. McGregor’s theory squeezes managerial styles and philosophies into two extremes of conduct which is devoid of reality.
iii. McGregor suggests that job itself is the key to motivation. But all people do not see motivation in the job. The management has to motivate people to work.
iv. People who follow Theory Y still find that they have to behave in a very directive and controlling manner.
6. Theory Z
Theory Z was developed by William Ouchi in 1981. It describes the major postulates of Japanese management practices and how these practices can be adopted to the environment of United States and other countries. It provides a complete transformation of motivational aspect of employees which other theories are not able to emphasize. It is not merely a motivational technique but involves the complete transformation of management actions including various management techniques.
Features of Theory Z
Features on Japanese management practices and motivational pattern. Ouchi has suggested five broad features of Theory Z.
i. Trust
According to Ouchi, trust means trust among employees, supervisors, work groups, unions, management, and the government. He states that trust, integrity, and openness are closely related. These are effective ingredients of effective organizations. When an organization relies on these principles, employees tent to cooperate to the maximum extent. When trust and openness exist, the chances of conflict are automatically reduced to the minimum.
ii. Strong bond between organization and employees
Theory Z suggests that there is strong bond between organization and its employees. Ochi has suggested certain methods for this, including life time employment in the organization as being followed by Japanese organizations. This stability must be achieved through the provisions of highly conducive work environment and challenges and participation on decisions.
iii. Employee involvement
Employee involvement is an important factor in Theory Z. The involvement comes through meaningful participation. However, It does not mean that employees participation is necessary in all decisions. In fact, there can be some decisions which are taken without consulting employees but they are informed later. There can be some decisions where employee’s suggestions are taken but the final decisions are made by management. In the case of remaining decisions, the process should be a joint one.
iv. No Formal Structure
Theory Z provides no formal structure for the organization. Instead, it must be a perfect teamwork with cooperation along with the sharing of information, resources, and plans.
v. Coordination of Human beings
The leader’s role is to cooperated people and not technology to achieve productivity. This involves developing people’s skills and also the creation of new structures, incentives and new philosophy of management. The purpose is to achieve commitment of employees to the development of the less selfish more cooperative approach to work.
Assumptions
i. This theory tends to view job security as an important source of job satisfaction and motivation.
ii. The theory suggests that the performance of workers should be evaluated in a slow and steady manner on a long term basis. Further the promotion available to the workers should be few and far between in the work life of people.
iii. According to this theory employees who continuously perform new tasks are normally more important, productive and satisfied with their work than those who remain in one job.
iv. The theory suggests that employees work together towards the achievement of well-defined goals but the final responsibility should rest only with the individuals.
v. The organization must adopt a holistic approach in its dealings with employees by acknowledging that employees exist with ordinary demands of all workers in the society.
vi. This theory recommends implicit, informal control but with explicit formalized measures.
vii. The theory insists on the principles of collective decision making. According to this theory the management and group of employees must collectively discuss and decide on the issues that affect the organization in general and employees in particular.
Merits
i. The theory believes in converting the whole organization into one highly cohesive group.
ii. It aims at promoting inter-personal skills required for group interaction which promotes worker’s contribution to the maximum of their potential.
iii. it provides job security and broader career paths to workers and the informal control processes increases the quality of work.
iv. It also helps the workers to self-direct and self-control their activities.
Demerits
i. This theory assumes the presence of a homogeneous internal organizational culture and decision making by consensus. This assumption is actually in conflict with the concept of cultural diversity and respect for divergent views, opinions and values.
ii. The provision of life-time employment to develop strong bond between the organization and its employees seems to be difficult because of two reasons. Firstly the employer is unlikely to retain an employee who is otherwise unproductive because of easy availability of substitutes. Secondly an average employee will not hesitate to switch over if there is a relative rise in his income or other consequently the unusual loyalty of the employees.
iii. Theory Z suggests organization without any structure. But without structure there may be chaos in the organization as nobody will know who is responsible to whom.
iv. Theory Z is based on Japanese management practices. These practices have been evolved from Japan’s unique culture. Therefore, the theory may not be applicable in different cultures.
Contingency Approach of motivation
The appraisal of various theories of motivation and resultant motivational strategies suggested by these fails to provide any concrete result as to how a manager can be sure about the way he can motivate people in the organsiation. The various theories suggest that there is no universal device applicable to everyone. What motivates people is situational. Since individual differ, it is not possible to motivate them by a single method. However, it does not mean that various theories do not offer any help. In fact, the contingency approach is derived out of these theories which merely suggests that in motivating people, all the contextual variables must be specified and theory inter-relationship should be established. When this is done, it may be easy to find out what the motivational strategy would be.
Thus, contingency approach emphases on the analysis of individual and organizational variables which are as follow:
i. Since individuals differ in terms of their personality, ability, attitudes and values, their need patterns also differ. The analysis of individuals provides clue about the factors which motivate them.
ii. An individual’s needs are determined by his initial needs derived from his socio-cultural background as well as the needs which he develops through the interaction with the organization. Therefore, the individual organization can modify the need patterns of individuals within the overall macro motivational context.
*Micromotivation operates at the level of individual firms while macromotivation operates at the broad social level.
Goal Setting Approach of Motivation
This approach to motivation has been pioneered in the USA by Edwin Locke and his associates in 1960s and refined in 1980s. The theory suggests that managers and subordinates should set goals for an individual on a regular basis, as suggested by MBO. The goals should be realistic, attainable and very specific and of type that an employee will accept and make a commitment to accomplishing them. Rewards should be directly related to accomplished goals. When involved in goal settings, employees see how their effort will lead to performance, rewards and personal satisfaction.
Features
i. The resources required and the effort needed can only be fixed with specific goals.
ii. Performance is increased.
iii. Difficult goals result higher performance than easy job.
iv. Better feedback results leads to better performance.
v. Participation in setting goal, increase acceptance of goal, involvements and therefore effort.
Merits
i Setting specific goals provides clear direction and focus. Employees understand what is expected of them and can concentrate their efforts on achieving those objectives, which can enhance performance and productivity.
ii. Challenging but attainable goals can boost motivation. The process of setting and striving for goals can increase commitment and effort, especially when individuals are personally involved in setting the goals.
iii. Goals provide benchmarks for measuring progress. This allows individuals and teams to track their achievements and make necessary adjustments to stay on track, enhancing accountability and performance.
iv. Research shows that specific and challenging goals lead to higher performance compared to vague or easy goals. This is because challenging goals push individuals to exert more effort and develop new strategies.
v. The process of working toward goals provides opportunities for feedback and learning. Individuals can assess their performance, learn from successes and failures, and adjust their strategies accordingly.
Demerits
i. A strong focus on goals can sometimes lead to tunnel vision, where individuals concentrate solely on achieving the goal at the expense of other important aspects of their work or well-being.
ii. Challenging goals can sometimes create excessive pressure and stress, especially if they are perceived as unrealistic. This can lead to burnout, reduced job satisfaction, and negative impacts on mental health.
iii. In the pursuit of achieving specific goals, some individuals might engage in unethical or risky behavior to meet targets. This is particularly a concern if the goals are tied to significant rewards or punishments.
iv. Goal-setting can sometimes be rigid, making it difficult to adapt to changing circumstances or unforeseen obstacles. This lack of flexibility can hinder progress if the goals become unrealistic or irrelevant.
v. Focusing heavily on specific goals might lead individuals to neglect other important areas of their work or personal development that are not directly tied to the goals. This can result in an imbalance and missed opportunities for growth.
