Principles of management

Principles of Management :

Presented to : Sir Zahid Irshad Presented by: Syed Waqas Faheem Shah Fahad Ullah Imran Ashraf Talha Bin Tariq Khawaja Shoaib Principles of Management

Our Agenda:

Motivation Maslow's Hierarchy of Needs Theory McGregor's Theory X and Theory Y Herzberg's Two Factor Theory McClelland's Three Needs Theory Contemporary Theories of Motivation Goal Setting Theory Reinforcement Theory Job Design Theory Equity Theory Expectencacy Theory Our Agenda

What is Motivation?:

" Motivation refers to all those phenomena which are involved in the stimulation of action towards particular objectives where previously there was little or no movement towards those goals .“ “ Motivation refers to the process by which a Person’s efforts are energized, directed and sustained towards a goal.“ “Motivation is a decision making process through which the individual chooses the desired outcomes and sets in motion the behaviors appropriate to acquiring them ” What is Motivation?

Maslow's Hierarchy of Needs Theory :

Maslow's hierarchy of needs is a theory in psychology, proposed by Abraham Maslow. Maslow's Hierarchy of Needs Theory

McGregor's Theory X and Theory Y:

Theory X and Theory Y are theories of human motivation created and developed by Douglas McGregor. Theory X ('authoritarian management' style) The average person dislikes work and will avoid it he/she can . Therefore most people must be forced with the threat of punishment to work towards organizational objectives . The average person prefers to be directed; to avoid responsibility; is relatively unambitious, and wants security above all else. McGregor's Theory X and Theory Y

McGregor's Theory X and Theory Y:

Theory X and Theory Y are theories of human motivation created and developed by Douglas McGregor. Theory Y ('participative management' style) Effort in work is as natural as work and play. People will apply self-control and self-direction in the pursuit of organizational objectives, without external control or the threat of punishment. Commitment to objectives is a function of rewards associated with their achievement. McGregor's Theory X and Theory Y

Hezberg's Two Factor Theory:

The two-factor theory (also known as Herzberg's motivation-hygiene theory) states that there are certain factors in the workplace that cause job satisfaction, while a separate set of factors cause dissatisfaction . Two-factor theory distinguishes between: Motivators ( e.g. challenging work, recognition, responsibility) that give positive satisfaction, arising from intrinsic conditions of the job itself, such as recognition, achievement, or personal growth . Hygiene factors (e.g. status, job security, salary, fringe benefits, work conditions) that do not give positive satisfaction, though dissatisfaction results from their absence. These are extrinsic to the work itself, and include aspects such as company policies, supervisory practices, or wages/salary . Hezberg's Two Factor Theory

Hezberg's Two Factor Theory:

Hygienic Factors Company Policy Administration and Salary Job Security Work Conditions Style of supervision Interpersonal relation with team Recognition Responsibility Challenging work Achievement Growth and development in the job Hezberg's Two Factor Theory Motivator Factors The Need for personal growth & fulfillment The Need to Avoid Unpleasantness

McClelland's Three Needs Theory:

McClelland's approach is not particularly associated with a theoretical perspective , but identifies three needs important in the workplace . The need for achievement (N-Ach) , The need for power (N-Pow) , The need for affiliation (N- Affl ) . McClelland's Three Needs Theory

McClelland's Three Needs Theory:

The need for achievement (N-Ach); This is the need to achieve, excel and succeed. A person with this type of need, will set goals that are challenging but realistic. The goals have to be challenging so that the person can feel a sense of achievement. However the goals also have to be realistic as the person believes that when a goal is unrealistic, its achievement is dependant on chance rather than personal skill or contribution. This type of person prefers to work alone or with other high achievers. They do not need praise or recognition, achievement of the task is their reward. McClelland's Three Needs Theory

McClelland's Three Needs Theory:

The need for power (N-Pow); This is the need to lead others and make an impact. This need can exhibit itself in two ways. The first which is the need for personal power may be viewed as undesirable as the person simply needs to feel that they have “power over others”. They don’t have to be effective or further the objectives of their employer. The second type of “need for power” is the need for institutional power. People with the need for institutional power; want to direct the efforts of their team, to further the objectives of their organization. McClelland's Three Needs Theory

McClelland's Three Needs Theory:

The need for affiliation (N-Affil); This is the need for friendly relationships and human interaction. There is a need “to feel liked” and “accepted” by others. A person with a high need for affiliation is likely to be a team player and thrive in a customer services environment. They will perform best in a co-operative environment. McClelland said that a strong need for affiliation will interfere with a manager’s objectivity. The “need to be liked” will affect a manager’s decisions, prompting them to make decisions to increase their popularity rather than furthering the interests of the organization. McClelland's Three Needs Theory

Contemporary Theories of Motivation:

Motivation : “The process that account for an individual’s intensity, direction, and persistence of effort toward attaining a goal .” Hierarchy of needs theory Theories X and Y The two-factor theory Three needs theory They represent a foundation from which contemporary theories have grown. GOAL-SETTING THEORY REINFORCEMENT THEORY JOB DESIGN THEORY EQUITY THEORY EXPECTANCY THEORY Contemporary Theories of Motivation

Goal Setting Theory:

Goals tell an employee what needs to be done and how much effort will need to be expended . In order to increase performance: Set specific goals. Difficult goals, when accepted, result in higher performance than does easy goals. Provide feedback . An individual is committed to the goal when he believes he can achieve the goal, and wants to achieve it. Goal Setting Theory

Reinforcement Theory:

Reinforcement theory is a limited effects media model applicable within the realm of communication. The theory generally states that people seek out and remember information that provides cognitive support for their pre-existing attitudes and beliefs. The main assumption that guides this theory is that people do not like to be wrong and often feel uncomfortable when their beliefs are challenged . There are two types of reinforcement: positive and negative. Positive reinforcement results when the occurrence of a valued behavioral consequence has the effect of strengthening the probability of the behavior being repeated. The specific behavioral consequence is called a reinforcer . Reinforcement Theory

Reinforcement Theory:

Negative reinforcement results when an undesirable behavioral consequence is withheld, with the effect of strengthening the probability of the behavior being repeated. Negative reinforcement is often confused with punishment, but they are not the same; negative reinforcement attempts to increase desired behavior. Thus , both positive and negative reinforcement have the effect of increasing the probability that a particular behavior will be learned and repeated . THERE ARE ALSO CONCEPTS OF PUNISHMENT AND EXTINCTION IN Reinforcement Theory. Reinforcement Theory

Reinforcement Theory:

P unishment attempts to decrease the probability of specific behaviors being exhibited. Punishment is the administration of an undesirable behavioral consequence in order to reduce the occurrence of the unwanted behavior. Punishment is one of the more commonly used reinforcement-theory strategies, but many learning experts suggest that it should be used only if positive and negative reinforcement cannot be used or have previously failed, because of the potentially negative side effects of punishment . Extinction is similar to punishment in that its purpose is to reduce unwanted behavior. The process of extinction begins when a valued behavioral consequence is withheld in order to decrease the probability that a learned behavior will continue. Over time, this is likely to result in the ceasing of that behavior. Extinction may alternately serve to reduce a wanted behavior, such as when a positive reinforcer is no longer offered when a desirable behavior occurs. Reinforcement Theory

Job Design Theory:

The term job design is to refer to the way tasks are combine to form complete jobs. Managers should design jobs deliberately and thoughtfully to reflect the demand of the changing environment, the organization’s technology and employees skills, abilities and preferences. Different Approaches for Job Design Theory Job Enlargement: The horizontal expansion of job by increasing job scope. number of different task required in job Frequency with which task are repeated Job Design Theory

Job Design Theory:

b. Job Enrichment: The Vertical expansion by adding planning and evaluating responsibility. Allow the Worker do their job with freedom and independence. Allow the Workers to Evaluate their own performance. c. Job Characteristics Model: Identifies five job characteristics and their relationship to personal and work outcomes. Job Design Theory Characteristics: Skill variety Task identity Task significance Autonomy Feedback

Job Design Theory:

The Job Characteristics Model Skill Variety: The degree to which a job requires a variety of different activities. Task Identity: The degree to which the job requires completion of a identifiable piece of work. Task Significance: The degree to which the job has a substantial impact on the socialism of other people. Autonomy: The degree to which the job provides substantial freedom and discretion to the individual in scheduling the work and in determining the procedures to be used in carrying it out. Feedback: The degree to which carrying out the work activities required by a job results in the individual obtaining direct and clear information about the effectiveness of his or her performance. Job Design Theory

Job Design Theory:

Specific Guidance for Job design Combine Tasks Create Natural Work Units Establish Clients (External or Internal) Relationship Expand Jobs Vertically Open Feedback Channels Job Design Theory

Equity Theory:

Employees make comparison of their job inputs and outcomes relative to those of others : When employees perceive inequity, they can: Change their inputs Change their outcomes Distort perceptions of self Distort perception of others Choose a different referent Leave the field Equity Theory

Equity Theory:

Given payment by time : Over rewarded employees will produce more than will equitably paid employees. Under rewarded employees will produce less or poorer quality of output. Given payment by quantity of production: Over rewarded employees will produce fewer, but higher-quality, units than will equitably paid employees. Under rewarded employees will produce a large number of low-quality units in comparison with equitably paid employees. Equity Theory

Equity Theory:

Motivation is influenced significantly by others’ rewards as well as by one’s own rewards . Inequities created by overpayment do not seem to have a very significant impact on behaviour. Most research has focused on pay, but employees seem to look for equity in the distribution of other rewards . Historically , equity theory focused on distributive justice . But increasingly equity is thought of from the standpoint of organizational justice . Managers should consider openly sharing information on how allocation decisions are made, following consistent and unbiased procedures. Equity Theory

Expectancy Theory:

The strength of a tendency to act in a certain way depends on the strength of an expectation that the act will be followed by a given outcome and on the attractiveness of that the outcome to the individual. Expectancy Theory The theory focuses on three relationships : Effort-performance. Performance-reward. Rewards-personal goals .

Expectancy Theory:

Giving maximum effort not always means being recognized . Good performance appraisal not always leads to organizational rewards. Rewards are not always found attractive by employees : Managers limited in the rewards they can distribute. Managers incorrectly assume that all employees want the same. Expectancy Theory

That’s All...:

That’s All...