DEFINITION:

“Motivation is such a process in which a person exert effort that is persistentant and
direction towards goals”
Examples:
 Western hotel give free meal at job to motivate the employee
 Reader digest give Friday holiday in month of May

EARLY THEORIES OF MOTIVATION:

It includes following theories like:
1. Hierarchy of need theory
2. Theory X and Theory Y
3. Two-Factor theory
I will explain only third theory due to assignment requirement.
3) TWO FACTOR THEORY:
This theory is proposed by Frederick Hertzberg. This theory is also called
“motivation hygiene theory”. He said that the factors which satisfy the employee are
different from the factors which dissatisfy them. He classified these factors as
motivational/ satisfaction factors and dissatisfaction/ hygiene factors. Hygiene factors are
those which help to avoid dissatisfaction but they itself not provide satisfaction.
These hygiene factors includes, the organization, its policies and its administration, the
kind of supervision, working condition, interpersonal relations, salary, status, job security
and motivator factors includes, Achievement, Recognition for achievement, Interest in the
task, Responsibility for enlarged task, Growth and advancement to higher level tasks.
High hygiene factors and high motivator factors:
If the company provide high hygiene factor like suitable working condition,
salary, status job security and high motivation factors like recognition for achievement,
promotion, interesting task then this will leads to the positive attitude and high motivation
of employee. (Few complains)
Low hygiene factors and high motivator factors:
If the company provides low hygiene factors like not suitable working
condition, low salary but high motivation factors like interesting and challenging task in

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this situation employee will be motivate but not satisfy from the job due to low salary..
Etc
High hygiene factors and low motivator factors:
If the company provide high hygiene factors like high job security, suitable
salary and working condition but low motivation factors like not promote the employee,
not provide interesting job, not recognize on achievement in this situation employee will
be satisfy from the job but he/she will not motivated.
Low hygiene factors and low motivator factors:
If the company provides low hygiene factors like low salary, high
formulization (limited interpersonal relation) and low motivators like not promote the
employee, not provide interesting challenging job, this situation leads to de-motivation
and dissatisfaction from the job.
 The key point of this theory is that hygiene factors provide satisfaction or
dissatisfaction while motivator factors provide motivation or de-motivation so the
manager should provide both factors to achieve the loyalty, commitment, low
absenteeism, reduce turnover of employee’s behavior
CONTEMPORARY/ MODERN THEORIES OF MOTIVATION:
1. McClelland's theory of needs
2. Cognitive evaluation theory
3. The goal setting theory
4. Self efficacy theory
5. Reinforcement theory
6. Equity theory
7. Expectancy theory
1) MCCLELLAND’S THEORY OF NEEDS:
This theory is proposed by McClelland He said that employee has three types of
needs. These needs shows basically three types of personalities
A) Achievement of need:
The employee who wants to achieve something great, he/ she accept the
challenging task and consider himself/herself to failure or success of task not blame
others, prefer to perform those task in which they the surety of 0.5% of success, avoid the

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task which have no surety of success and also avoid those tasks in which they have the
high probability of success so such employee have the need of achievement.
Tasks and motivation:
Manager should give these employees the challenging tasks or projects with
reachable goals. They will motivate with praise or promotion type of feedback not with
money.
B) Power of need:
Those employees who want to enjoy the giving order to others and expecting
other will obey it are said to be the need of power. Such employees are
 Status oriented
 Competitive orientation
Tasks and motivation:
Manager should arises the job position of employee which motivate them, this
occur usually in hierarchical organizations
C) Affiliation need:
The employees who want to be friendly with others, develop mutual
understanding, avoid competitive environment are said to be the need of affiliation.
Tasks and motivation:
Manager should provide supportive, friendly environment (team oriented) to
motivate them. Sales person job is best for them
 If manager or subordinates wants to get success or promotion in their field, they
must require affiliation and power need, while manager have high power need
and low affiliation need are called effective or best managers they are not easily
get promotion or success.
2) COGNITIVE EVALUATION THEORY:
Cognitive means mental ability and evaluation means to examine so this
theory states that the employee can be highly motivated if they are given a task after
examining their mental ability or interest. The employee who have given desired work are
having intrinsic (inner) motivation, they do not require extrinsic motivation (high salary,
promotion). If extrinsic motivation is given the employee intrinsic motivation will
decrease. The reason is those employees concentrate on getting more extrinsic motivation

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(high salary) rather than on particular desired or liked task, in other words they become
greed. These types of employee are motivated by verbal reward like praise, tangible
reward like money reduce motivation level.
3) GOAL SETTING THEORY:
This theory is proposed by Edwin Locke. He said that manager should set the goals
instead giving job duties/responsibilities to employee. The reason is that the goal tells the
employee how much effort is required and what activities will perform. So goal motivates
the employee. In goal setting phase employee should participate because through it
employee generates the desire of to do work so he/she exert high effort own self in other
case importance and purpose should clearly to employee. One thing more, goal should be
hard or high the reason is that high and difficult goal leads to high sort of effort, external
feedback by manager or self-managed feedback showed high level of performance.
4) SELF EFFICACY THEORY:
This theory is proposed by Albert Bandura. He said that employee can be
motivated if self efficacy level will increases. Self efficacy means personal believe he/she
have the ability to do a task. Some employee have naturally high self efficacy belief so
they are not less motivated on negative feedback instead of it they increase effort to prove
themselves while on the other hand low self- efficacy employee de-motivated on negative
feedback, more less their efforts. How manager can motivate low self- efficacy employee?
The self efficacy can be increased as
 Set challenging goal so they realize that they has the ability to do difficult task
than others.
 Job experience increase the self efficacy level
 Observing other who are performing the same task increase self efficacy level
 Motivational speech increases the self efficacy level
5) REINFORCEMENT THEORY:
This theory is proposed by B.F Skinner. He told that individuals are motivated by
designing the suitable external environment regardless of studying every individual’s
feelings, attitudes, cognitive behaviors and expectations. For creating such an
environment in organization he suggested reinforcement concept. He said that give reward

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or praise on desire behavior of employee and undesired behavior are stopped through
punishment or negative reinforcement.
6) EQUITY THEORY:
This theory is proposed by J. S. Adams. Equity means balance. He said that the
mangers should seek a fair balance between the employees' inputs (effort, loyalty, hard
work, sacrifice, etc) and their outputs (recognition, status, salary, status etc), in order to
motivate employee. The four types of referents an employee used to compare him/her
with others.
 Self-inside: An employee’s experience in a different position inside his
present organization.
 Self-outside: An employee’s experience in a situation outside the present
organization.
 Other-inside: Another employee or group of employees inside the
employee’s present organization.
 Other-outside: Another employee or employees outside the employee’s
present organization.
An employee might compare himself with his peer within the present job in the
current organization or with his friend/peer working in some other organization or with
the past jobs held by him with others. If the comparison is imbalance/inequity then
management should suffer following behavior of employee:
 Lower productivity
 Increased absenteeism
 Voluntary resignation
7) EXPECTANCY THEORY:
This theory is proposed by Victor H. Vroom. Word expectancy means that state of hope.
Expectancy theory told that motivation of individual is based on three perceptions
i) Expectancy
ii) Instrumentality
iii) Valence
Expectancy shows effort and performance relationship, if a person exerts high

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effort so their performance will also good. Instrumentality shows performance and reward
relationship. A person expects greater reward so he/she shows high performance. Valence
means individuals value to reward or promotion or effort. The conclusion of theory is that
employee can be motivate if they expect that high level of their efforts shows high
performance and will leads to rewards, rewards satisfy the personal goals.
INTEGRATING CONTEMPORAEIES MOTIVATION THEORIES
Contemporary theories of motivation are interrelated or complement we cant say one is
valid and other is invalid. This model shows that individual exert effort to find
opportunity.

 Arrow from individual effort to personal goal shows the goal setting motivation
theory. If organization set goals for employee so they exert effort for it. So goal
direct behavior of employee or motivate them
 Arrow from individual effort to high nAch and personal goals shows
McClelland’s needs motivation theory. If employee has high nAch need so they
exert effort to achieve personal goals without seeking rewards.
 Arrow from individual effort to individual performance, organization rewards,
personal goals shows the expectancy motivation theory. Employees exert effort in

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 such situation if they expect that they are able, organization will reward to them
which are related to achieve personal goals.
 Arrow from individual effort to individual performance, reinforcement,
organization rewards, and personal goals shows reinforcement theory. Employees
has motivated if organization evaluate their performance and reinforce them with
rewards which achieve personal goals.
 Arrow from individual effort to, individual performance, equity comparison,
organizational rewards and personal goals shows equity motivation theory. If
organization have fair reward system like giving reward related to employee’s
performance not much more nor much little should be balanced compare with
others. Through it employee are motivated.
 Arrow from individual effort to ability, individual performance, organizational
rewards and personal goals shows self efficacy theory. An employee only
performs those tasks in which he/she belief that has ability. So high self efficacy
employee are motivated through performance evaluation, rewards which their
personal goal as well.
 Arrow from individual effort to ability, individual performance, organizational
rewards and personal goals shows cognitive evaluation theory. Employees who
are performing the tasks which are most liked and have ability to do them are
rewarded verbally otherwise their self motivation will suffer/decreases.
CAVEAT EMPTOR: MOTIVATION THEORIES ARE OFTEN CULTURE BOND
Contemporary/ modern motivation theories are developed mostly in U.S.A. They describe
the different personalities of nation in this topic we will see these theories apply in which
countries and which theories are universal.
 McClelland need theory is implemented in U.S.A, Canada, Great Britain
because their nations accept moderate risk and concern its success. Equity theory
is implemented in America because companies gave reward on their tie outcome
bases. This means they have tight equity ratio with input and output.
Interesting work and intrinsic factors, extrinsic factors … etc are liked all over the world
regardless of countries.

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