MGT 350 – Professor Chung (F17)
Decision making by individuals and groups
o Main points from the decision-making exercise –
Clarity of purpose – should you stay or go? Talk about and reach consensus
Clear strategy – have to (from the purpose) have a strategy
Listen to/incorporate everyone’s input – communication is #1
Be willing to voice your opinion – everyone has different skills to capitalize on – must talk about skills
upfront.
Work as a group – solicit everyone’s opinions – asking each for input (nominal group technique)
Caution of Abilene Paradox – go along, figure you don’t know a lot, avoid conflict
Careful of group polarization – might be more cautious
Correct answer estimation/probability – group will outperform the individual
Small group quicker, but large groups make higher quality decisions if they discuss more
Use consensus – life or death - involves many people
Motivation (pp. 153-174)
o Motivation theories – know them, how to apply them, and how to critique them
Motivation: Process of arousing and sustaining goal-directed behavior (thing that managers find most
challenging)
Two types of motivation theories:
Endogenous processes (internal): internal to person – theories that talk about attributes, needs,
and characteristics
Exogenous causes (external): motivated by things outside of ourselves – learning/response
theories
Early theories of motivation:
People act out of self-interest – economic gain, material gain – avoid pain, seek pleasure
People act in ways that will satisfy/gratify their emotional needs
o Maslow’s Hierarchy
o Self-actualization needs abstract – reaching full potential. Challenging peoples growth – people
have the need to grow, flourish
Satisfy by: anything that gets someone to do something different, challenging assignments,
plotting out career paths, self-development activities
o Esteem needs respect
Self-esteem: self confidence – we all need to feel good about ourselves at work
Other-esteem: interpersonal esteem – respect and appreciation from others
Satisfy by: being respectful, give them things to do that’s a stretch, promote, recognize
performance, help build confidence
o Love (social) needs desire for affiliation – we all want to belong and feel like we’re a part of
something
Satisfy by: recognition parties, working in teams together, intramural sports, anything where
you're a part of the group! Annual picnic
o Safety and security needs self-preservation, freedom from threat, danger, SECURITY in job
Physiological safety needs: freedom from violence, radiation, chemicals, etc.
Interpersonal safety needs: not being harassed at work, sexual harassment, stable company
(security)
Satisfy by: security guard, strong sexual harassment policy, lots of safety procedures, making sure
radiation doesn’t affect people
o Physiological needs survival, shelter, food, water, PAY
Satisfy by: giving time to eat, comfortable workspace, good lighting, clean air
All of these are from the bottom up – physiological needs are the base of the pyramid
, o Progression hypothesis: your behavior is dominated by the level of needs that are still unfulfilled
1. Ex: have a safe job, get paid well, have lots of friend, and do a lot of teamwork – next level is
esteem
Hypothesis: that level is where you're going to be putting your energy. JUST THAT ONE
LEVEL.
The level that is unfulfilled is going to be the biggest motivator.
2. We will always start fulfilling needs from bottom up!! Physiological are most important
Major Flaw: doesn’t talk about how you move up and down – if something happens, you can go
back up/down
Also doesn’t say what happens if you lose your job
← Scenario: Mike is an account manager for Company. He earns decent salary and his family is taken care of.
Mike has been at job for 10 years and is doing well (secure). Mike has lots of friend and gets lots of praise for
business he brings in.
What level does Mike still need fulfilled? Self-Actualization
o Theory X vs. Y (addition to Maslow’s Theory – some employees motivated by X, some by Y)
Theory Y: Top 3 needs – more modern approach
o Working for needs
o People want to contribute and feel good about themselves
o People have ambition, want responsibility, want
autonomy
o People need intrinsic fulfillment – things that make
you feel good as a person
Theory X: Lower order needs – physiological needs and safety &
security needs
o Assumes people working for money and to avoid pain
o Work is distasteful, lack ambition, people want to be
controlled
o People work for money, people dislike responsibility
Common mistake: managers think people are more X, when most of us are Y.
o ERG theory (Alderfer)
o 1. Existence – Maslow’s physiological and physical safety
o 2. Relatedness – interpersonal safety, love and interpersonal esteem
o 3. Growth - Maslow’s self-actualization and self-esteem
o Regression hypothesis: complements progression – people get frustrated when they can’t meet their
next level. They will go back to level they can fulfill and intensify their fulfillment there.
o Going back to level that is completely fulfilled
o Herzberg’s 2-factor theory – 2 separate continuum (satisfying and dissatisfying)
o Satisfying:
o Motivators: satisfy the need for growth – ABOUT THE CONTENT OF THE JOB – more important
o Achievement
o Recognition
o Work itself
o Responsibility
o Advancement
o Growth
o ABSENCE OF THIS WILL NOT LEAD TO DISSATISFACTION – lead to lack of satisfaction
o Dissatisfying:
o Hygiene factors: (avoidance of pain) – unrelated to motivation factors. When absent, people will
feel dissatisfied – ABOUT THE CONTEXT OF THE JOB (surrounding things) – support factors
o Company policy and admin
o Supervisors
o Interpersonal relations