Module – III: Motivation

Concept of Motivation
Motivation is an important factor that encourages people to give their best performance and
help in reaching enterprise goals. A strong positive motivation will enable the increased output
of employees but a negative motivation will reduce their performance. A key element in
personnel management is motivation.
According to Likert, “It is the core of management which shows that every human being gives
him a sense of worth in face-to-face groups which are most important to him. A supervisor
should strive to treat individuals with dignity and a recognition of their personal worth.”
Berelson and Steiner: “A motive is an inner state that energizes, activates, or moves and
directs or channels behavior goals.”
Lillis: “It is the stimulation of any emotion or desire operating upon one’s will and promoting
or driving it to action.”
The Encyclopedia of Management: “Motivation refers to the degree of readiness of an
organism to pursue some designated goal and implies the determination of the nature and locus
of the forces, including the degree of readiness.”
Dubin: “Motivation is the complex of forces starting and keeping a person at work in an
organization.”
Vance: “Motivation implies any emotion or desire which so conditions one’s will that the
individual is properly led into action.”
Vitiles: “Motivation represents an unsatisfied need which creates a state of tension or
disequilibrium, causing the individual to make a goal-directed pattern towards restoring a state
of equilibrium by satisfying the need.”
Memoria: “A willingness to expend energy to achieve a goal or reward. It is a force that
activates dormant energies and sets in motion the actions of the people. It is the function that
kindles a burning passion for action among the human beings of an organization.”

Motivation is a psychological phenomenon which generated within an individual. A person

feels the lack of certain needs, to satisfy which he feels working more. The need-satisfying ego
motivates a person to do better than he normally does.

From the definitions given earlier, the following inferences can be derived:
• Motivation is an inner feeling which energizes a person to work more.
• The emotions or desires of a person prompt him to do a particular work.
• There are unsatisfied needs of a person which disturb his equilibrium.
 • A person moves to fulfill his unsatisfied needs by conditioning his energies.
• There are dormant energies in a person that are activated by channeling them into
actions.
Characteristics of Motivation
Motivation can be defined as the driving force behind our actions, fueled by our desire for
something. It is that internal strength that gets us to move, and give 100% to whatever goal or
end we desire or plan to achieve. From a manager’s point of view motivation is the process to
energies, direct, and sustain your subordinates’ efforts to attain the goals.
1. Motivation is a Psychological Concept: Motivation has to come from within each
individual. There are two desiring factors in motivation –
i. Fundamental needs, such as food, clothes, and shelter and
ii. Ego-satisfaction includes self-esteem, recognition from others, opportunities for
achievements, self-development, and self-actualization which act as powerful
though unconscious, motivators of behaviour. Inner motivation can be more
decisive for behaviour than any external influence.
2. Motivation affects the Whole Individual, not part of Him /Her: A person’s basic
needs determine to a great extent what he will try to do at any given time. All these
needs are interrelated because each individual is an integrated organized whole.
3. Motivation is never an Unending Process: Man is a social animal. As a social animal,
he has innumerable wants which induce him to work. If one basic need is adequately
satisfied for a given individual it loses power as a motivator and does into determine
his current behaviour but at the same time other needs continue to emerge. Wants are
innumerable and cannot be satisfied at one time. It is an unending process so the process
of motivation is also unending to induce the person to satisfy his innumerable wants.
The importance of motivation is to keep it alive and not let it dwindle.
4. Non-fulfilment of Basic Needs Makes a Man Sick: If anybody fails in trying to meet
a need that he feels is essential for him, he becomes to some extent mentally ill and
such a frustrated man cannot be motivated any further until his essential need is
satisfied.
5. Goals are Motivators: Goals and motives are inseparable. A man works to achieve his
goals. As soon as the goal is achieved, he will be no longer interested in work.
Therefore, the management needs to know his goal to push him to work.
6. The Self-concept as a Unifying Force: According to Geller-man unifying forces run
through each individual’s history. A unifying force means the drive to activate his/her
image of herself. The outline of a person’s self-image is fairly well checked in early
childhood and thereafter does not act ordinarily change. Thus, two things that an
individual is always trying to do are (a) to act like the person; he thinks he is, and (b)
to get what he thinks, he can.
 7. Motivation is a complex phenomenon: Motivation being an internal feeling cannot
be observed directly. Since motives themselves are dynamic, it further adds to the
complexity.
8. Motivation is different from Satisfaction, Inspiration, and Manipulation:
Motivation refers to the drive and efforts to satisfy a want or goal, whereas satisfaction
refers to the contentment experienced when a want is satisfied. In contrast, inspiration
is bringing about a change in the thinking pattern. On the other hand, Manipulation is
getting things done by others in a predetermined manner.

Importance of Motivation/Importance of psychological process of motivation

1. Greater efficiency: Motivation enhances the efficiency of the employees and of the
organization. When employees are motivated, they can perform with commitment and
dedication.
2. Reduction in absenteeism and labour turnover: Motivated employees may not
remain absent or leave the organization. They develop a sense of belonging to the
organization and thus improve their overall performance.
3. Team spirit: Motivation improves the team spirit of employees, and this improves the
work environment and the overall performance of the employees and the organization.
4. Reduction in wastages and breakages: Motivated employees take great care in
handling machines and other resources. This will reduce wastages and breakages, thus
resulting in higher benefits to the organization.
5. Cordial relations: Motivation enables cordial and healthy relationships in the
organization. Motivation helps reduce labour grievances and disputes. It ensures sound
relations between the management and the labour. It improves the overall efficiency of
the organization.
6. Promotion of innovation: Motivated employees use their initiative to find innovative
ways in the performance of their operations. Such employees are more creative and
help the organization gain a competitive advantage.
7. Optimum use of resources: Motivation leads to greater employee involvement and
lesser wastage. This leads to the optimum utilization of resources.
8. Corporate image: Motivated employees are more loyal to the organization. They work
with a sense of commitment and dedication. This improves the overall performance of
the employee, which enables better results for the company. This results in better
relations with all the stakeholders.
Process of Motivation
The process of motivation is based on human needs. The steps of the process of motivation are
as follows:
 1. Unsatisfied Needs: Need is the starting point of motivation. The process always
begins when a person feels that there is some unsatisfied need in him.
2. Tension and Drive: When an unsatisfied need is recognized, tension is created in the
mind of the person. This tension stimulates the drive and compels the person to take
action to fulfill his needs.
3. Search Behaviour: In this, the drives create a drive to search for different ways or
alternatives to relieve the tension.
4. Satisfied need: After searching the various options available, the person chooses a
particular option. The person evaluates whether his need is satisfied or not as per the
chosen option.
5. Reduction of Tension: Tension is reduced and the person feels motivated when he is
successful in satisfying his needs.
For Example, if a person is thirsty, then the need for water will create tension and he will start
thinking of ways to satisfy his needs. It will stimulate his drive and will search for different
options, like water, juice, shakes, etc., to satisfy himself. If the need is satisfied through water,
then the individual is relieved of tension.
Motivation does not end with the satisfaction of a particular need. Therefore, it can be said that
it is a continuous process. So, after the fulfillment of a particular need, another need develops
and this process continues.

Salient Motivation Tools

Salient Motivation Tools are strategies and techniques used to encourage and inspire
individuals to achieve their goals and enhance their performance. These tools play a vital role
in fostering employee engagement, satisfaction, and productivity in organizational settings.
Below are some key motivation tools:
1. Financial Incentives
i. Salary and Bonuses: Competitive salaries and performance-based bonuses are
strong motivators.
ii. Profit Sharing: Employees receive a share of the organization's profits,
aligning their efforts with organizational success.
iii. Stock Options: Providing shares or options to employees motivates them to
contribute to long-term organizational growth.
2. Non-Financial Incentives
i. Recognition and Appreciation: Publicly acknowledging achievements
through awards, certificates, or verbal praise boosts morale.
ii. Job Enrichment: Expanding job responsibilities to make work more
meaningful and engaging.
 iii. Career Development: Offering opportunities for growth, such as training
programs and promotions, motivate employees to excel.
3. Intrinsic Motivation Tools
i. Autonomy: Allowing employees to make decisions and control their work
fosters a sense of ownership.
ii. Purpose: Connecting employees' work to a larger mission or cause enhances
intrinsic motivation.
iii. Challenging Work: Assigning tasks that require skill and effort keeps
employees engaged and motivated.
4. Work Environment
i. Positive Work Culture: Creating a supportive and inclusive workplace
encourages collaboration and motivation.
ii. Flexible Work Arrangements: Offering options like remote work, flexible
hours, or compressed workweeks supports work-life balance.
iii. Employee Wellness Programs: Providing resources for physical and mental
health promotes overall well-being.
5. Goal Setting and Feedback
i. SMART Goals: Setting Specific, Measurable, Achievable, Relevant, and Time-
bound goals gives employees clarity and focus.
ii. Regular Feedback: Constructive feedback helps employees understand their
performance and areas for improvement.
iii. Performance Appraisals: Periodic evaluations provide an opportunity to
recognize achievements and set future objectives.
6. Team-Based Motivation
i. Team Building Activities: Activities that promote camaraderie and trust
enhance group motivation.
ii. Shared Rewards: Encouraging collaboration by rewarding team performance
fosters unity and cooperation.
iii. Open Communication: Encouraging dialogue and idea-sharing improves trust
and motivation.
7. Empowerment
i. Delegation of Authority: Trusting employees with responsibilities empowers
them to take initiative.
ii. Skill Development: Providing resources and opportunities to enhance skills
builds confidence and competence.
iii. Participative Management: Involving employees in decision-making
 processes increases their commitment and motivation.
8. Social and Emotional Support
i. Mentorship Programs: Pairing employees with mentors provides guidance
and encouragement.
ii. Peer Recognition: Encouraging peer-to-peer appreciation strengthens
interpersonal relationships.
iii. Counselling Services: Offering support for personal or professional challenges
helps employees stay focused.
9. Reward Systems
i. Incentive Programs: Offering tangible rewards for meeting or exceeding
targets motivates employees.
ii. Non-Monetary Rewards: Gifts, vouchers, or paid time off can be effective
motivators.
iii. Celebrations: Recognizing milestones and achievements through celebrations
fosters a sense of belonging.
10. Technology and Innovation
i. Digital Tools: Leveraging tools like gamification in training or task
management systems to keep employees motivated.
ii. Workplace Automation: Reducing mundane tasks allows employees to focus
on meaningful work.
iii. Recognition Platforms: Using apps or software for peer and managerial
recognition enhances motivation.
Motivation tools are essential for maintaining a motivated and productive workforce. A
balanced combination of financial, non-financial, intrinsic, and team-based tools can help
organizations address diverse motivational needs and drive long-term success. Managers
should tailor these tools to individual preferences and organizational goals for maximum
impact.
Need Theories/ Content Theories
From a historical perspective, the content theories tend to be the earliest theories of motivation
or later modifications of early theories. Within the work environment, they have had the
greatest impact on management practice and policy, whilst within academic circles they are the
least accepted.
Content theories are also called needs theories because they are generally associated with a
view that concentrates on the importance of determining 'what' motivates us. In other words,
they try to identify what our 'needs' are and relate motivation to the fulfillment of these needs.

Maslow’s Need Hierarchy Theory of Motivation

Abraham Maslow in his book. Motivation and Personality (1954) propounded that humans
have a hierarchy of five needs, which begins with the basic need for physiological well-being
and goes up to the realization of one’s potential. These needs are physiological, safety, social,
esteem, and self-actualization.

Maslow saw human needs in the form of a hierarchy ascending from the lowest to the highest
and he concluded that when one set of needs is satisfied, this kind of need ceases to be a
motivator.
1) Physiological needs:
a. These needs are the basic human needs of an individual for survival, such as food,
clothing, shelter, and sleep.
b. These needs have the highest strength and intensity. The intensity of these needs keeps
changing with time.
c. However, they have to be repeatedly satisfied within a relatively short time.
2) Safety and security needs: With their physical needs relatively satisfied, the
individual’s safety needs take precedence and dominate behaviour. These needs are
second in the hierarchy. Safety needs manifest themselves in preference for job
security, grievance procedures, and job safety. Safety and security needs include the
following:
• Personal Security
• Financial security
• Health and well-being
• Safety net against accidents/illness
 3) Social needs: After physiological and safety needs are fulfilled, the third layer of
human needs is social, which involves feelings of belongingness. Social needs add
meaning to work life. Social needs are primarily satisfied through family picnics, get-
togethers, and cultural and sports activities. They form the basis for team spirit in an
organization. This aspect of Maslow’s hierarchy involves emotionally based
relationships, in general, such as the following:
• Friendship
• Intimacy
• Family
4) Ego and esteem needs: All humans need to be respected, to have self-esteem and self-
respect. Esteem presents the normal human desire to be accepted and valued by others.
Most people need stable self-respect and self-esteem. Fulfilling these needs provides
self-confidence, achievement, self-respect, and usefulness, and their non-fulfillment
produces feelings such as inferiority and unhelpfulness. Ego and esteem needs are
catered to by the organization through promotion policies, providing better status and
appreciation.
5) Self-actualization needs: This level of need pertains to what a person’s full potential
is and realizing that potential. Maslow describes this desire as the desire to become
more and more what one is, to become everything that one is capable of becoming. This
is a broad definition of the need for self-actualization, but when applied to individuals
the need is specific. Very few people have such needs. An individual may have a strong
desire for a challenging job and higher promotion. For example, Sunil Gavaskar entered
into modeling (Dinish Suiting). Organizations can provide employees with the
challenge and the opportunity to reach their full career potential.
The following are features of need hierarchy theory:
1. Human needs are wide in range and interrelated.
2. Needs are arranged in a hierarchy and the lower-level needs have to be at least partially
satisfied before one moves on to the higher-level needs.
3. A satisfied need is not a motivator. Only unsatisfied needs can motivate people into
action.
4. Every human being wants to move up the need hierarchy. Nobody wants to stop with
the satisfaction of lower-level needs.
5. Needs are interdependent and interrelated. A higher-level need may arise even before
the lower-level need is completely satisfied.
However, Maslow’s theory has the following limitations:
1. Needs are dynamic and keep changing with circumstances. The hierarchy of needs is
not a rigid structure; an individual may want to fulfill the higher-level needs even before
the lower-level needs are satisfied. For example, some cultures appear to place social
needs before others.
 2. There is little evidence to suggest that people are motivated to satisfy only one need
level at a time, except in situations where there is a conflict between needs.
3. The model of Maslow is based on the oversimplification of human needs.
4. Finally, behaviour is not influenced by needs alone. Factors such as expectations
experiences and perceptions also have a great impact on behaviour.
Alderfer’s ERG Theory Process Theories
C. P. Alderfer, an American psychologist, developed Maslow’s hierarchy of needs into a theory
of his own.
His theory suggests that there are three groups of core needs: existence (E), relatedness (R),
and growth (G). These groups are aligned with Maslow’s levels of physiological needs, social
needs, and self-actualization needs, respectively.
a) Existence needs concern our basic material requirements for living, which include
what Maslow categorized as physiological needs such as air, sleep, food, water,
clothing, sex, and shelter, and safety-related needs such as health, secure employment,
and property.
b) Relatedness needs have to do with the importance of maintaining interpersonal
relationships. These needs are based on social interactions with others and are aligned
with Maslow’s levels of love/belonging-related needs such as friendship, family, and
sexual intimacy, and esteem-related needs such as gaining the respect of others.
c) Growth needs describe our intrinsic desire for personal development. These needs are
aligned with the other part of Maslow’s esteem-related needs such as self-esteem, self-
confidence, and achievement, and self-actualization needs such as morality, creativity,
problem-solving, and discovery.
Alderfer believes that when a certain category of needs is not being met, people will redouble
their efforts to fulfill needs in a lower category.
Maslow’s theory is very rigid and it assumes that the needs follow a specific and orderly
hierarchy and unless a lower-level need is satisfied, an individual cannot proceed to the higher-
level need i.e., an individual remains at a particular need level until that need is satisfied.
Whereas, according to Alderfer’s theory, if a higher-level need is aggravated, an individual
may revert to increasing the satisfaction of a lower-level need. This is called the frustration-
regression aspect of ERG theory. ERG theory is very flexible as Alderfer perceived the needs
as a range/variety instead of perceiving them as a hierarchy i.e., an individual can work on
growth needs even if his existence or relatedness needs remain unsatisfied.
E.g., when growth needs aggravate, then an individual might be motivated to accomplish the
relatedness need and if there are issues in accomplishing relatedness needs, then he might be
motivated by the existing needs. Hence in this manner, frustration or aggravation can result in
regression to a lower-level need.
Another example could be if someone’s self-esteem is suffering, he or she will invest more
effort in the relatedness category of needs.
Implications of the ERG Theory
a) All managers must understand that an employee has various needs that must be satisfied
at the same time. According to the ERG theory, if the manager focuses solely on one
need at a time, then this will not effectively motivate the employee. The frustration-
regression aspect of ERG Theory has an added effect on workplace motivation. E.g., if
an employee is not provided with growth and advancement opportunities in an
organization, then he or she might revert to related needs such as socializing needs.
b) To meet those socializing needs, if the environment or circumstances do not permit it,
he might revert to the need for money to fulfill those socializing needs. By the time the
manager realizes and discovers this, they will take more immediate steps to fulfill those
needs which are frustrated until such time that the employee can again pursue growth.

Herzberg’s Two Factor Theory

In 1959, Frederick Herzberg, a behavioural scientist proposed a two-factor theory or the
motivator-hygiene theory. According to Herzberg, there are some job factors that result in
satisfaction while there are other job factors that prevent dissatisfaction. According to
Herzberg, the opposite of “Satisfaction” is “No satisfaction” and the opposite of
“Dissatisfaction” is “No Dissatisfaction”. Herzberg classified these job factors into two
categories-
1. Hygiene factors- Hygiene factors are those job factors that are essential for the
existence of motivation at the workplace. These do not lead to positive satisfaction in
the long term. But if these factors are absent / if these factors are non-existent at the
workplace, then they lead to dissatisfaction. In other words, hygiene factors are those
factors which when adequate/reasonable in a job, pacify the employees and do not make
them dissatisfied. These factors are extrinsic to work. Hygiene factors are also called
dissatisfies or maintenance factors as they are required to avoid dissatisfaction. These
factors describe the job environment/scenario. The hygiene factors symbolized the
physiological needs which the individuals wanted and expected to be fulfilled. Hygiene
factors include:
• Pay - The pay or salary structure should be appropriate and reasonable. It must be equal
and competitive to those in the same industry in the same domain.
• Company Policies and administrative policies - The company policies should not be
too rigid. They should be fair and clear. It should include flexible working hours, dress
code, breaks, vacations, etc.
• Fringe benefits - The employees should be offered health care plans (mediclaim),
benefits for the family members, employee help programs, etc.
• Physical Working conditions - The working conditions should be safe, clean, and
hygienic. The work equipment should be updated and well-maintained.
 • Status - The employees’ status within the organization should be familiar and retained.
• Interpersonal relations - The relationship of the employees with their peers, superiors,
and subordinates should be appropriate and acceptable. There should be no conflict or
humiliation element present.
• Job Security - The organization must provide job security to the employees.

2. Motivational factors- According to Herzberg, hygiene factors cannot be regarded as

motivators. The motivational factors yield positive satisfaction. These factors are
inherent to work. These factors motivate the employees for superior performance.
These factors are called satisfiers. These are factors involved in performing the job.
Employees find these factors intrinsically rewarding. The motivators symbolized the
psychological needs that were perceived as an additional benefit. Motivational factors
include:
• Recognition - The employees should be praised and recognized for their
accomplishments by the managers.
• Sense of achievement - The employees must have a sense of achievement. This
depends on the job. There must be a fruit of some sort in the job.
• Growth and promotional opportunities - There must be growth and advancement
opportunities in an organization to motivate the employees to perform well.
• Responsibility - The employees must hold themselves responsible for the work.
The managers should give them ownership of the work. They should minimize
control but retain accountability.
• Meaningfulness of the work - The work itself should be meaningful, interesting,
and challenging for the employee to perform and to get motivated.
Limitations of Two-Factor Theory
The two-factor theory is not free from limitations:
• The two-factor theory overlooks situational variables.
• Herzberg assumed a correlation between satisfaction and productivity. However, the
research conducted by Herzberg stressed satisfaction and ignored productivity.
• The theory’s reliability is uncertain. Analysis has to be made by the raters. The raters
may spoil the findings by analyzing the same response differently.
• No comprehensive measure of satisfaction was used. An employee may find his job
acceptable even though he may hate/object to part of his job.
• The two-factor theory is not free from bias as it is based on the natural reaction of
employees when they are enquired about the sources of satisfaction and dissatisfaction
at work. They will blame dissatisfaction on external factors such as salary structure,
 company policies, and peer relationships. Also, the employees will give credit to
themselves for the satisfaction factor at work.
• The theory ignores blue-collar workers. Despite these limitations, Herzberg’s Two-
Factor theory is acceptable broadly.
Implications of Two-Factor Theory

The Two-Factor theory implies that the managers must stress upon guaranteeing the
adequacy of the hygiene factors to avoid employee dissatisfaction. Also, the managers must
make sure that the work is stimulating and rewarding so that the employees are motivated to
work and perform harder and better. This theory emphasizes upon job-enrichment to
motivate employees. The job must utilize the employee’s skills and competencies to the
maximum. Focusing on the motivational factors can improve work quality.

Vroom’s Expectancy Theory

The expectancy theory was proposed by Victor Vroom of Yale School of Management in
1964. Vroom stresses and focuses on outcomes, and not on needs, unlike Maslow and
Herzberg. The theory states that the intensity of a tendency to perform in a particular manner
is dependent on the intensity of an expectation that the performance will be followed by a
definite outcome and on the appeal of the outcome to the individual.
The Expectancy theory states that employee motivation is an outcome of how much an
individual wants a reward (Valence), the assessment of the likelihood that the effort will lead
to expected performance (Expectancy), and the belief that the performance will lead to reward
(Instrumentality). In short, Valence is the significance associated by an individual with the
expected outcome. It is an expected and not the actual satisfaction that an employee expects to
receive after achieving the goals. Expectancy is the faith that better efforts will result in better
performance. Expectancy is influenced by factors such as the possession of appropriate skills
for performing the job, availability of the right resources, availability of crucial information,
and getting the required support for completing the job.
Instrumentality is the faith that if you perform well, then a valid outcome will be there.
Instrumentality is affected by factors such as belief in the people who decide who receives what
outcome, the simplicity of the process of deciding who gets what outcome, and clarity of the
relationship between performance and outcomes. Thus, the expectancy theory concentrates on
the following three relationships:
1) Effort-performance relationship: What is the likelihood that the individual’s effort be
recognized in his performance appraisal?
2) Performance-reward relationship: It talks about the extent to which the employee
believes that getting a good performance appraisal leads to organizational rewards.
3) Rewards-personal goals relationship: It is all about the attractiveness or appeal of the
potential reward to the individual.
Vroom was of the view that employees consciously decide whether to perform or not at the
job. This decision solely depended on the employee’s motivation level which in turn depends
on three factors expectancy, valence, and instrumentality.
Advantages of the Expectancy Theory
1) It is based on the self-interested individual who wants to achieve maximum satisfaction
and who wants to minimize dissatisfaction.
2) This theory stresses expectations and perception; what is real and actual is immaterial.
3) It emphasizes rewards or pay-offs.
4) It focuses on psychological extravagance where the final objective of the individual is
to attain maximum pleasure and least pain.
Limitations of the Expectancy Theory
1) The expectancy theory seems to be idealistic because quite a few individuals perceive
a high degree of correlation between performance and rewards.
2) The application of this theory is limited as reward is not directly correlated with
performance in many organizations. It is related to other parameters also such as
position, effort, responsibility, education, etc.
Implications of the Expectancy Theory

•• The managers can correlate the preferred outcomes to the aimed performance levels.

•• The managers must ensure that the employees can achieve the aimed performance
levels.

•• The deserving employees must be rewarded for their exceptional performance.

•• The reward system must be fair and just in an organization.

•• Organizations must design interesting, dynamic, and challenging jobs.

• The employee’s motivation level should be continually assessed through various

techniques such as questionnaires, personal interviews, etc.