Rewards are more effective than punishments in altering individual behavior.
W H A T ’ S
F O R
M E ?
Reading this chapter will help you do the following: 1. 2. 3. 4. 5. 6. Understand need-based theories of motivation. Understand process-based theories of motivation. Describe how fairness perceptions are determined and their consequences. Learn to use performance appraisals in a motivational way. Learn to apply organizational rewards in a motivational way. Develop your personal motivation skills.
Motivation is defined as “the intention of achieving a goal, leading to goal-directed behavior.” When we refer to someone as being motivated, we mean that the person is trying hard to accomplish a certain task. Motivation is clearly important for someone to perform well. However, motivation alone is not sufficient. Ability—having the skills and knowledge required to perform the job—is also important and is sometimes the key determinant of effectiveness. Finally, environmental factors—having the resources, information, and support one needs to perform well—are also critical to determine performance. Figure 14.2. The P-O-L-C Framework
What makes employees willing to “go the extra mile” to provide excellent service, market a company’s products effectively, or achieve the goals set for them? Answering questions like this is of utmost importance to understand and manage the work behavior of our peers, subordinates, and even supervisors. As with many questions involving human beings, the answers are anything but simple. Instead, there are several theories explaining the concept of motivation. Figure 14.3.
According to this equation, motivation, ability, and environment are the major influences over employee performance.
Case in Point: Zappos Creates a Motivating Place to Work
It is unique to hear about a CEO who studies happiness and motivation and builds those principles into the company’s core values or about a company with a 5-week training course and an offer of $2,000 to quit anytime during that 5 weeks if you feel the company is not a good fit. Top that off with an on-site life coach who also happens to be a chiropractor, and you are really talking about something you don’t hear about every day. Zappos is known as much for its 365-day return policy and free shipping as it is for its innovative corporate culture. Although acquired in 2009 by Amazon (NASDAQ: AMZN), Zappos managed to move from number 23 in 2009 onFortune magazine’s “100 Best Companies to Work For” list to 15 in 2010. Performance is a function of motivation, ability, and the environment in which you work. Zappos seems to be creating an environment that encourages motivation and builds inclusiveness. The company delivers above and beyond basic workplace needs and addresses the self-actualization needs that most individuals desire from their work experience. CEO Tony Hsieh believes that the secret to customer loyalty is to make a corporate culture of caring a priority. This is reflected in the company’s 10 core values and its emphasis on building a team and a family. During the interview process, applicants are asked questions relating to the company’s values, such as gauging their own weirdness, open-mindedness, and sense of family. Although the offer to be paid to quit during the training process has increased from its original number of $400, only 1% of trainees take the offer. Work is structured differently at Zappos as well. For example, there is no limit to the time customer service representatives
spend on a phone call, and they are encouraged to make personal connections with the individuals on the other end rather than try to get rid of them. Although Zappos has over 1,300 employees, the company has been able to maintain a relatively flat organizational structure and prides itself on its extreme transparency. In an exceptionally detailed and lengthy...