Management Theories > Motivation Theory

What is Motivation?

Motivation is the answer to the question Why we do what we do?. The motivation theories try to figure out what the M is in the equation: M motivates P (Motivator motivates the Person). It is one of most important duty of an entrepreneur to motivate people. (I strongly belive that motivating people with visionary and shared goals is more favorable than motivating through tactics, incentives or manipulation through simple carrot and stick approaches because motivating with vision is natural wheras the former is artificial and ephemeral).

Now, lets rise on the shoulders of the giants :

A Classification of Motivation Theories (Content vs. Process) Motivation theories can be classified broadly into two different perspectives: Content and Process theories. Content Theories deal with what motivates people and it is concerned with individual needs and goals. Maslow, Alderfer, Herzberg and McCelland studied motivation from a content perspective. Process Theories deal with the process of motivation and is concerned with how motivation occurs. Vroom, Porter & Lawler, Adams andLocke studied motivation from a process perspective.

Abraham Maslows Hierarchy of Needs When motivation theory is being considered the first theory that is beingrecalled is Maslows hierarchy of needs which he has introduced in his 1943 article named as A Theory of Human Motivation. According to this theory, individual strives to seek a higher need when lower needs are fulfilled. Once a lower-level need is satisfied, it no longer serves as a source of motivation. Needs are motivators only when they are unsatisfied.

Alderfers ERG Theory

In 1969, Clayton P. Alderfer, simplified Maslows theory by categorizing hierarchy of needs into three categories:

Herzbergs Two Factor Theory

Frederick Herzberg, introduced his Two Factor Theory in 1959. He suggested that there are two kinds of factors affect motivation, and they do it in different ways:

1) Hygiene factors: A series of hygiene factors create dissatisfaction if individuals perceive them as inadequate or inequitable, yet individuals will not be significantly motivated if these factors are viewed as adequate or good. Hygiene factors are extrinsic and include factors such as salary or remuneration, job security and working conditions.

2) Motivators: They are intrinsic factors such as sense of achievement, recognition, responsibility, and personal growth.

The hygiene factors determine dissatisfaction, and motivators determine satisfaction. Herzberg theory conforms with satisfaction theories which assert that a satisfied employee tends to work in the same organization but this satisfaction does not always result in better performance. In other words, satisfaction does not correlate with productivity.

McClellands Achievement Need Theory

in his 1961 book named as The Achieving Society,David McClelland identified three basic needs that people develop and acquire from their life experiences .

Although these categories of needs are not exlusive, generally individuals develop a dominant bias or emphasis towards one of the three needs. Entrepreneurs usually have high degree of achivement needs.

Incentive Theory

Incentive theory suggests that employee will increase her/his effort to obtain a desired reward. This is based on the general principle of reinforcement. The desired outcome is usually money. This theory is coherent with the early economic theories where man is supposed to be rational and forecasts are based on the principle of economic man.

2. Process Theories about Motivation

Expectancy Theory

Expectancy Theory argues that humans act according to their conscious expectations that a particular behavior will lead to specific desirable goals.

Victor H. Vroom, developed the expectancy theory in 1964, producing a systematic explanatory theory of workplace motivation. Theory asserts that the motivation to behave in a particular way is determined by an individuals expectation that behaviour will lead to a particular outcome, multiplied by the preference or valence that person has for that outcome.

Three components of Expectancy theory are:

The equation suggests that human behaviour is directed by subjective probability.

Goal Theory

Edwin Locke proposed Goal Theory in 1968, which proposes that motivation and performance will be high if individuals are set specific goals which are challenging, but accepted, and where feedback is given on performance.

The two most important findings of this theory are:

Adams Equity Theory

Developed by John Stacey Adams in 1963, Equity Theory suggests that if the individual perceives that the rewards received are equitable, that is, fair or just in comparison with those received by others in similar positions in or outside the organization, then the individual feels satisfied.Adams asserted that employees seek to maintain equity between the inputs that they bring to a job and the outcomes that they receive from it against the perceived inputs and outcomes of others.

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A Brief Introduction to Motivation Theory