Exhibit 8.1 A Simple Model of Motivation
Exhibit 8.2 Examples of Intrinsic and Extrinsic Rewards
Source: Adapted from Richard M. Steers, Lyman W. Porter, and Gregory A. Bigley, Motivation and Leadership at Work, 6th ed. (New York: McGraw-Hill, 1996), p. 498. Reprinted with permission of the McGraw-Hill Companies.
Exhibit 8.3 Needs of People and Motivation Methods
Source: Adapted from William D. Hitt, The Leader–Manager: Guidelines for Action (Columbus, OH: Battelle Press, 1988), p. 153.
Exhibit 8.4 Maslow’s Hierarchy of Needs
Exhibit 8.5 Herzberg’s Two-Factor Theory
Exhibit 8.6 Key Elements of Expectancy Theory
Exhibit 8.7 The Empowerment Continuum
Sources: Based on Robert C. Ford and Myron D. Fottler, “Empowerment: A Matter of Degree,” Academy of Management Executive 9, no. 3 (1995), pp. 21–31; Lawrence Holpp, “Applied Empowerment,” Training (February 1994), pp. 39–44; and David P. McCaffrey, Sue R. Faerman, and David W. Hart, “The Appeal and Difficulties of Participative Systems,” Organization Science 6, no. 6 (November–December 1995), pp. 603–627.
Exhibit 8.8 Semco’s 11 Ways to Pay
Semco, a South American company involved in manufacturing, services, and e-business, lets employees choose how they are paid based on 11 compensation options:
1. Fixed salary
2. Bonuses
3. Profit sharing
4. Commission
5. Royalties on sales
6. Royalties on profits
7. Commission on gross margin
8. Stock or stock options
9. IPO/sale warrants that an executive cashes in when a business unit goes public or is sold
10. Self-determined annual review compensation in which an executive is paid for meeting self-set goals
11. Commission on difference between actual and three-year value of the company
Source: Ricardo Semler, “How We Went Digital Without a Strategy,” Harvard Business Review (September–October 2000), pp. 51–58.
Daft Ch 08-1