Creating Motivating Workplace Chapter 7 1 Before Starting What happens to your life? Any little changes in you? - Thinking - Feeling - Behavior What did we study in Chap. 6? 2 Key words of Chap. 6 3 Lessons of Chap. 7 Lesson 1: Job Design & Work Arrangements Lesson 2: Pay & Reward Systems Lesson 3: Employment Relationship & Careers 4 We are studying OB 5 Lesson 1 Job Design & Work Arrangements 6 The Motivation Tools Job Design Inputs: Effort Time Education Experience Skills Knowledge Job behaviors Performance: Quantity Quality Level of customer service Outcomes: Pay Job security Benefits Satisfaction Pleasure 7 What Is Job Design? • Define specific jobs for workers 8 What Is Job Design? • Define specific jobs for workers • Deciding what techniques, equipment, and procedures should be used to perform those tasks • Job design may increase motivation and encourage good performance 9 Job Design: Early Approaches Scientific management Job enlargement Job enrichment 10 Scientific Management • A set of principles and practices stressing job simplification and specialization • There is one best way to perform any job • Management’s responsibility is to determine what that way is • Time and motion studies 11 Disadvantages of the Scientific Management Method • Loss of control • Repetitive, boring tasks • Meaningless, monotonous work • High job dissatisfaction • No opportunity to develop and acquire new skills 12 “Modern Times” by Charlie Chaplin Watch a Video Clip 13 How to Make These Jobs More Motivating 14 How to Make These Jobs More Motivating 15 How to Make These Jobs More Motivating 16 Job Enlargement Increasing the number of tasks an employee performs but keeping all of the tasks at the same level of difficulty and responsibility • Horizontal job loading • Job rotation 17 Job Enrichment Designing jobs to provide opportunities for employee growth by giving employees more responsibility and control over their work • Vertical job loading • Empowerment 18 Enrichment Methods • Allow employees to plan their own work schedules • Allow employees to decide how the work should be performed • Allow employees to check their own work • Allow employees to learn new skills 19 The Job Characteristics Model Integrated Model of Job Design Developed by Greg Oldham and Richard Hackman in 60s Based on intrinsic motivation theory Five Core Dimensions Skill variety Task identity Task significance Autonomy Feedback 20 Job Diagnostic Survey • Scales used to measure the five dimensions • Allows for the computation of a job’s motivating potential score (MPS) MPS=(SV+TI+TS)/3x ATxFB • Identifies the dimensions most in need of redesign 21 Sample Job Diagnostic Survey Profiles 22 Job Diagnostic Survey_Excercise Job Dimension Security Guard Professor Skill Variety Task Identity Task Significance Average Autonomy Feedback MPS 23 Ways to Redesign Jobs to Increase MPS • Combine tasks so that an employee is responsible for work from start to finish • Group tasks into natural work units • Allow employees to interact with customers or clients (relational job design) • Vertically load jobs to give employees more control and higher levels of responsibility • Open feedback channels 24 Job Dimensions and Psychological States • Experienced meaningfulness of the work • Experienced responsibility for work outcomes • Knowledge of results 25 Work and Personal Outcomes • High intrinsic motivation • High job performance • High job satisfaction • Low absenteeism and turnover 26 Job Characteristics Model 27 Individual Differences • Growth-need strength • Knowledge and skills • Satisfaction with the work context 28 Alternative Work Arrangements Flextime : Flexible work hours Job Sharing : Two or more individuals split a traditional 40-hour-a week job Telecommuting : Working from home at least 2 days a week through virtual devices that are liked to the employer's office 29 Job Crafting Job crafting : An employee-initiated approach which enables employees to shape their own work environment such that it fits their individual needs by adjusting the prevailing job demands and resources (Time & Bakker, 2020) Task crafting : Changing up Responsibilities Relationship crafting : Changing up interactions Cognitive crafting : Changing up your mindset 30 Exercise for lesson 1 1. What is scientific management for job design? 2. What is job enlargement? 3. What is job enrichment? 4. What are the core dimensions of job characteristics model? 5. What is job crafting? 31 Lesson 2 Pay & Rewards Systems 32 The Motivation Tools Job Design Performance Appraisal Inputs: Effort Time Education Experience Skills Knowledge Job behaviors Performance: Quantity Quality Level of customer service Outcomes: Pay Job security Benefits Satisfaction Pleasure 33 Performance Appraisal • Encourage high levels of employee motivation and performance (feedback) • Provide accurate information to be used in managerial decision making (reward or job assignment) 34 Information Provided to Employees Level of contribution Accuracy of tasks and direction Performance appraisals give employees feedback that contributes to intrinsic motivation! 35 Information Functions Developmental purposes Evaluative, decision-making purposes 36 Developing a Performance Appraisal System Choice 1: The mix of formal and informal appraisals Choice 2: What factors to evaluate Choice 3: Methods of appraisal Choice 4: Who appraises performance 37 Factors to Evaluate Traits Behaviors Results 38 Factors to Evaluate Young Research Engineers Research Team leaders Results Skill Ability Behavior Attitude 39 Methods of Appraisal Objective: Subjective: Numerical counts based on facts Perceptions based on traits, behaviors, and results 40 Graphic Rating Scale 41 Behaviorally Anchored Rating Scale 42 Behavioral Observation Scale 43 Who Appraises Performance? Supervisors Subordinate Self-appraisals appraisals Customer/client appraisals Multiple raters Peer appraisals 360-degree appraisal 44 Problems and Biases Harshness, leniency, Stereotypes and average tendency Primacy effect biases Contrast effect Knowledge-of-predictor Halo effect bias Similar-to-me effect 45 The Motivation Tools Job Design Performance Appraisal Pay & Rewards Inputs: Effort Time Education Experience Skills Knowledge Job behaviors Performance: Quantity Quality Level of customer service Outcomes: Pay Job security Benefits Satisfaction Pleasure 46 Pay Systems: Different Elements Basic & Variable elements 47 Basic Salary Job-based : According to job grades Seniority-based : Automatic yearly increase Skill-based : According to skill(or qualification) grades 48 Variable Pay Programs Also known as “Pay for performance” Piece-rate pay : According to production volume Merit pay: Based on performance appraisal ratings Bonus : Big amount, not cumulative Profit-sharing Employee stock ownership 49 Variable Pay at Different Levels Individual Team or group Department Company 50 Exercise for lesson 2 1. What is performance appraisal? 2. What is developmental purpose of performance appraisal? 3. What is 360 degree feedback? 4. What is job-based pay? 5. What is pay-for-performance? 51 Lesson 3 Employment Relationships & Careers 52 Homework #6 Choose a topic among the following 3 topics. Make a presentation material more than 10 ppt slides Submit thru telegram, Monday Dec. 26, noon. • Job Design • Pay-for-performance • 360 degree feedback 53 Mid-term Exam. • Take-home • Questions are released next Monday Dec. 26. • Submit the answer sheet till 5 pm. Monday, Jan. 5, 2023. • Questions are open questions for short essays. 54 Your Concept of Workplace What is a workplace for you? A kind of family? Just for money making? Is it a stepping-stone for the next career? Do you want to stay in an organization as long as possible? 55 Psychological Contract Employee and employer have an exchange relationship. They have expectations about their obligations and rights, legal as well as psychological. Psychological contract influence a lot the employee behaviors. 56 Psychological Contract Contributions (Perception, expectation) Employee Employer Compensations (Perception, expectation) 57 Sources of Information Direct communication from coworkers and supervisors Written documents Observations of what actually transpires in the organization 58 Types of Psychological Contracts Transactional Contracts: Short term Narrow and specific Limited promises and obligations Relational Contracts: Long term General and evolving Extensive and broad promises and obligations 59 Multiple Psychological Contracts Contingent(Transactional) Regular (Relational) 60 Effects of Psychological Contract Job design and reward system become elements of psychological contract. Once the contract established, the employees and the employer want to maintain the contract. However, the breach of contract happens for a variety of reasons, particularly in this turbulent society. 61 Consequences of Broken Contracts • Poor motivation and performance • Negative moods and emotions • Job dissatisfaction • Intent to quit 8-62 Transition of Psychological Contracts • From “relational” to “transactional” • However, many employees are not prepared for that. • In transactional contract or relationship, individuals must be more proactive and entrepreneurial. 8-63 Motivation in the Long Run • Motivation problem must be dealt with within a broader context in the long view. • Employer should support career development of their employees even beyond the current organizational boundary. • Boundaryless career 64 Career Support • Identify long-term career goals of employees • Provide training or coaching opportunities for the future careers • Sometimes encourage to spin off from the main business and to start a new business. 8-65 Chapter Review 1. Close your book and notes. 2. Take a blank sheet and try to write down on the sheet the key words you’ve learnt today, as many as possible, without any reference.(2 min.) 3. Now, look at your notes and lecture slides of today’s class. (3 min.) 4. Select three key words you’d like to memorize from today’s lessons. Thank You Very Much!