| INTRODUCTION | | | | Instrumentality refers to the ralationship between |
| People join and work in organizations to satisfy their | | | | performance and raward. People ask, "Will I be |
| needs. They are attracted to organizations that have | | | | rewarded if I perform the job well?" If the answer is |
| the means of satisfying their needs. These means are | | | | affirmative, they will be motivated to exert an effort |
| called incentives of rewards; organizations use them | | | | and increase the level of task performance. If the |
| to induce people to contribute their efforts toward | | | | answer is negative, their motivational efforts will be |
| achieving organizational goals. The continued existence | | | | reduced. As with valence, the measures of |
| of an organisation depends on its ability to attract and | | | | instrumentality can be positive or negative. If people |
| motivate people to achieve these personal and | | | | perceive that their performance is generally rewarded, |
| organizational goals. | | | | the perceived instrumentality will be positive. If they |
| I. THE CONCEPT OF MOTIVATION | | | | perceive that performance does not make any |
| Motivation is defined as goal-directed behavior. It | | | | difference to their rewards, or if poor performers are |
| concerns the level of effort one exerts in pursuing a | | | | rewarded as much as or more than high performers, |
| goal. Managers are concerned with this concept | | | | the instrumentality will be low. |
| because it is closely related to employee satisfaction | | | | Since perceived instrumentality is a subjective |
| and job performance. | | | | judgment, managers do not have direct control over it. |
| If managers are asked to list the problems they face, | | | | But they can positively influence their subordinates' |
| the problem of motivating employees is likely to be | | | | perception of the instrumental relationship by matching |
| near the top. Employee motivation is a major concern | | | | rewards to rerformance and by communicating this |
| of managers as well as scholars because motivation | | | | fact effectively to the subordinates. For example, |
| is closely related to the success of an individual, an | | | | managers can improve instrumentality by using |
| organisation, and society. Through motivational efforts, | | | | performance-contingent pay systems such as piece |
| people achieve their personal, or organizational, and | | | | rates, merit rates, or performance bonuses, and by |
| societal goals. In an age of high labour costs and limited | | | | managing such systems fairly. |
| natural resources, the effective utilization of human | | | | Effort-Perfirmance Expectancy |
| resources is a key to solving many organizational and | | | | Expectancy is the belief that effort leads to |
| economic problems. | | | | performance. It is a subjective feeling that people |
| Yet motivating employees is becoming increasingly | | | | attach to the likehood of accomplishing a task. They |
| complex and difficult. As people become better | | | | may ask, "Can I perform and accomplish the task |
| educated and economically more independent, the | | | | goal?" "How much effort would the task reqiure?" If |
| traditional means of motivation ? formal authority and | | | | they feel there is a close relationship between their |
| financial incentives become less effective. In addition, | | | | effort and task accomplishment, expectancy will be |
| the ever increasing contraints placed on organizations | | | | favorable. However, if the task is too simple or too |
| further erode the power of manager to motivate | | | | complex relative to their ability, then they may feel that |
| employees. Within these contraints, however, | | | | their effort is not related to task performance. |
| managers still have the responsibility of motivating their | | | | Like other motivational concepts, expectancy is |
| employees toward the attaintment of organizational | | | | subjective; people attach varying expectancies to an |
| goals. To meet this responsibility, they should | | | | outcome. A task may seem simple to some but not to |
| understand how and why people are motivated to | | | | others. A person's ability and personality influence his |
| work in organizations and be equipped with a set of | | | | or her effort-performance expectancy. Competent |
| principles that can be applied to employee motivation. | | | | and secure individuals tend to perceive expectancy |
| What Motivates People? | | | | more positively than incompetent and pessimistic |
| Why are some amployees better motiveted than | | | | individuals. |
| others? Employee motivation is difficult to understand | | | | Managers have no direct control over how their |
| because it involves a variety of individual and | | | | employees perceive the chance of achieving an |
| organizational factors. The individual factors include | | | | outcome or task, but they can influence the |
| needs, goals, attitudes, and abilities; the organizational | | | | employee's expectancies positively by matching |
| factors include pay, job security, co-workers, | | | | people to jobs. When people are matched with jobs, |
| supervision, praise and the job itself. | | | | employees can utilize their job skills and energies |
| A number of theories have been developped to | | | | effectively. Consequently, effort-performance |
| explain employee motivation in organizations. These | | | | expectancy will be increased. |
| theories can be divided into two main categories: (1) | | | | III. DEVELOPING MOTIVATIONAL |
| content and (2) process. Content theories include the | | | | PRINCIPLES |
| needs theory and the reinfircement theory. The needs | | | | Managers can improve the valence, instrumentality, and |
| theory indicates that human behavior is energised by | | | | expectancy employees place in their job situations by |
| internal stimuli ? needs; the reinforcement theory | | | | (1) matching rewards to needs, (2) natching rewards to |
| explains how behavior can be controlled by its | | | | performance, and (3) matching job to employees. |
| consequences ? reward and punishment. | | | | The strength of expectancy theory lies in the fact that |
| While content theories are primarily concerned with the | | | | it accomodates three theories of individual behavior |
| internal and external causes of behavior (needs and | | | | (needs, reinforcement, and perception) and that it can |
| incentives), process theories attempt to explain the | | | | be operationalized. We have seen a set of |
| process by which people make motivational choices. | | | | motivational principles from expectancy theory and |
| The process theories are the perceptual theory, the | | | | now I'll try to explain how these principles can be |
| expectancy theory, the equidity theory and the | | | | applied in organizational settings. |
| discrepancy theory. | | | | Matching Rewards to Employee Needs |
| The Motivational Process in Organizations | | | | By matching rewards to needs, management can |
| The motivational process in organizations can be | | | | increase not only the valence of rewards but also the |
| described by a model that is composed of three parts: | | | | level of employee satisfaction. How can management |
| motivational inputs, motivational decisions and | | | | match rewards to needs? There are a few things that |
| motivational outcomes. | | | | managers can do: |
| The first part of the model identifies a set of | | | | 1. Figure out what employees want. Managers can ask |
| motivational determinants. These key variables can be | | | | their employees what kinds of rewards they prefer. |
| described as: | | | | This information can be used to select appropriate |
| 1. Employee needs. People have a set of needs they | | | | rewards. People want different things from their jobs, |
| want to satisfy: (a) existence (biological and safety), (b) | | | | and matching rewards to these needs increases the |
| relatedness (affection, companionship, and influence), | | | | valence of the rewards. |
| and (c ) growth (achievement and self-actualization). | | | | 2. Find people who value rewards. The match |
| These internal stimuli energize behavior. | | | | between rewards and needs can be achieved by |
| 2. Organizational incentives. Organizations have a set | | | | finding people who may value what the organisation |
| of rewards that can satisfy employee needs. These | | | | may offer. Some organizations are limited in their ability |
| include: (a) subatantive rewards (pay, job security, and | | | | to offer a variety rewards. In this case the organization |
| physical working conditions), (b) interactive rewards | | | | needs to attact people who can be motivated by |
| (co-workers, supervision, praises and recognition), and | | | | what it can offer. For example, if the only things a |
| (c ) intrinsic rewards (accomplishment, challenge, and | | | | company can offer is money, it should hire people who |
| responsibility). These organizational factors influence | | | | are striving for economic need saticfaction. |
| the direction of behavior. | | | | Matching Rewards to Performance |
| 3. Percaptual outcomes. People develop a set of | | | | By relating organizational rewards to job performance, |
| perceptions regardng: (a) the value of organizational | | | | management can increase the chances of attaining |
| rewards, (b) the relationship between performance and | | | | both individual and organizational goals. This strategy |
| rewards, and (c ) the likehood that their efforts may | | | | favorably affects the performance-reward |
| result in task performance. | | | | instrumentality. There are several things that managers |
| The second part of the model explains the process by | | | | can do in this effort. |
| which people make motivational choices and decisions. | | | | 1. Use performance-contingent reward systems. Some |
| This process describes the motivational efforts | | | | reward systems lack motivational value because they |
| involved in deciding to perform effectively. The specific | | | | are not tied to performance. Annual bonuses and |
| element involved is: | | | | fringe benefits are often not tied to performance; they |
| 4. Motivational efforts. If they have the ability and | | | | are usually given to employees instead for maintaining |
| authority, people make motivational decisions based on | | | | organizational membership. Incentive pay and merit |
| how they perceive the value of rewards, the | | | | systems are examples of relating rewards to |
| instrumental relayionship between performance and | | | | performance. |
| rewards, and the likehood of task accomplishment. | | | | 2. Maintain equity in reward systems. Matching |
| Generally, positive perceptions lead to high motivation. | | | | rewards to performance also means that the amount |
| The last part of the model explains the outcomes of | | | | of reward should be commensurate with task |
| employee motivation. It shows the relationships among | | | | complexity, labour availability, prewailing wage level, and |
| motivation, performance, rewards, employee | | | | amount of responsibility. When there are no objective |
| satisfaction and organizational productivity. These key | | | | performance criteria, managers need to be cautious in |
| variables can be discribed as: | | | | evaluating the performance of their employees. |
| 5. Performance levels. Performance is a function of | | | | 3. Communicate performance-reward contingencies. It |
| ability and motivation. Ability determines what a person | | | | does not matter whether or not rewards are actually |
| can do, while motivation determines what a person will | | | | tied to performance. Unless the performance-reward |
| do. Employee job performance influences | | | | contingencies are clearly communicated to employees |
| organizational productivity, which in turn affects the | | | | and perceived by employees as such, the reward |
| levels of organizational rewards. | | | | systems cannot have a strong impact on employee |
| 6. Rewards. Performance may be either rewarded or | | | | motivation. Performance feedback, followed by |
| not rewarded. Equitable rewards lead to employee | | | | reinforcement, is essential in maintaining a high level of |
| satisfaction; inequitable rewards or no rewards lead to | | | | performance. |
| dissatisfaction. | | | | Matching Jobs to Employees |
| 7. Satisfaction. The ammount of satisfaction modifies | | | | Mathing the technical, physical, and psychological |
| the type and intensity of employee needs. This | | | | requirements of the job to the employee's qualifications |
| modified need structure influences the individual's future | | | | enchances the effort-performance expectancy. If the |
| behavior. | | | | job is either too simple or too complex, the employee |
| This conceptual model identifies a number of factors | | | | may not feel that his or her effort has been effectively |
| influencing employee motivation, satisfaction, and | | | | utilized in the task performance. The matching process |
| performance. | | | | involves the following actions. |
| II. THE EXPECTANCY THEORY OF | | | | 1. Design the job to suit employee needs. People want |
| MOTIVATION | | | | different levels of job challenge. Some employees |
| Expectancy theory explains the process by which | | | | may prefer complex and challenging jobs; other may |
| people make motivational choices. According to this | | | | prefer simple tasks. Task complexity needs to be |
| theory, people make motivational choices based on | | | | differentiated to reflect the technical and psychological |
| how they perceive (1) the value of rewards, (2) the | | | | qualifications of employees. |
| instrumental relationship between performance and | | | | 2. Match employees to jobs. The match between jobs |
| rewards, and (3) the chance of getting the job done. | | | | and people can also be achieved by hiring people who |
| The expectancy theory starts with the assumption | | | | will fit the jobs. When it is economically and technically |
| that people are rational beings who want to maximize | | | | impractical to redesighn jobs, it makes more sence to |
| their gains in their goal-directed endeavors. Therefore, | | | | fit employees to jobs than the other way around. |
| when they are faced with a number of behavioral | | | | 3. Improve employee job skills. Another way of fitting |
| options leading to need satisfaction, they will evaluate | | | | people to jobs is by training. When employees are |
| the potential outcomes of these options and select | | | | underqualificated to perform their jobs, training can help |
| one that promises an optimal result. In evaluating these | | | | them find a better fit. Training also enchances |
| behavioral options, a rational person will analyze (1) the | | | | effort-performance expectancy. |
| value of the rewards that the organization offers | | | | 4. Set challenging but attainable goals. Set |
| (valence), (2) the relationship between performance | | | | performance goals that are challenging but attainable. If |
| and rewards (instrumentality), and (3) the perceived | | | | the task goals are ether too high or too low, |
| chance of accomplishing the required task | | | | employees are not likely to feel that their efforts are |
| (expectancy). The tendency to act (motivation) is said | | | | related to task performance. When the task goals are |
| to be a function of the valence (V), the instrumentality | | | | challenging but attainable, they are more likely to |
| (I) and the expectancy (E). Using the initials of these | | | | perceive the relationship between effort and task |
| three variables, expectancy theory is often called the | | | | accomplishment. |
| VIE theory. Now let's discuss each of these key | | | | This diccussion demonstrates how motivational |
| elements. | | | | principles can be applied in managing organozational |
| Valence of Rewards | | | | reward and work systems. |
| Valence is a subjective value attached to an incentive | | | | CONCLUSION |
| of reward. People attach a valence to an incentive | | | | My work presents a model of motivation, describes a |
| because they believe it satisfies some of their needs. | | | | set of motivational principles. Here also shown in short |
| Since it is subjective, people differ in the value they | | | | the expectancy theory, which explains how |
| attach to a given incentive. For example, one person | | | | motivational decisions are made. |
| may attach a high value to a promotion, while another | | | | People make motivational decisions based on how |
| person can avoid it. The former may like it because it | | | | they perceive the relationship between their needs and |
| brings money and power, while the latter dislikes it | | | | organizational rewards (valence), their performance |
| because it means more responsibility or the | | | | and rewards (instrymentality), and their efforts and |
| headaches of dealing with other people's problems. | | | | task performance (expectancy). Generally, work |
| Also since it is subjective, managers have little control | | | | motivation increases when they perceive these |
| over the valences their employees attach to | | | | relationships favorably. |
| organizational incentives. However, managers can | | | | A set of motivational principles can be derived from |
| influence the valence if incentives by matching | | | | the expectancy theory. The valence, instrumentality, |
| rewards to employee needs. Valence usually | | | | and expectancy of performing a task can be |
| increases when (1) an employee has strong needs, (2) | | | | improved by adopting the following three principles: |
| the incentive matches one or more needs, and (3) the | | | | 1. Match rewards to employee needs |
| size of the incentive is large enough to satisfy the | | | | (valence). |
| aroused needs. For example, an employee will | | | | 2. Match rewards to performance |
| probably attach a high valence to money if (1) he or | | | | (instrumentality). |
| she has a strong economic need, (2) money used as | | | | 3. Match jobs to employees (expectancy). |
| an incentive, and (3) the size of the monetary incentive | | | | LITERATURE |
| is sufficiently attractive. | | | | 1. Lawler, Motivation in Work Organizations. |
| Performance-Reward Instrumentality | | | | 2. Vroom, Vork and Motivation. |