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BBA 3451, Organizational Theory and Behavior 1


Performance Practices, Perceptions, & Performance

Course Learning Outcomes for Unit III Upon completion of this unit, students should be able to:

1. , team, and organizational-level performance- based rewards.

2. Discuss five ways to improve reward effectiveness. 3. List the advantages and disadvantages of job specialization. 4. Explain the job characteristics model and three ways to improve

employee motivation through job design. 5. Identify empowerment and strategies that support it. 6. Discuss the five elements of self-leadership and specific personal and

work environment influences on self-leadership.

Unit Lesson Money “Show me the money,” said the football player to Jerry McGuire, but that movie was not just about money, was it? Money means a variety of things to an employee, particularly when comparing compensation with fellow employees. Keeping pay records and pay rates confidential is almost impossible because regardless of policies, employees eventually will share with one another. Finding out that a colleague makes more money than another causes organizational resentment for obvious reasons. People work for the paycheck, but in most cases, employees prefer that the monetary pay is allocated fairly. Organizational behavior literature indicates that money is much more than a paycheck from the employer to the employee. Rather, money fulfills a need to be recognized for a job well done, and it shapes an employee’s self-concept. When the employer is considering benefits, pay, and others items such as bonuses or even catering an appreciation luncheon, care should be given. Financial Rewards Financial rewards are organized into the four specific outcomes identified in our textbook in Exhibit 6.1 and shown below: membership and seniority, job status, competencies, and performance.

Reading Assignment Chapter 6: Applied Performance Practices

Supplemental Reading See information below.

Learning Activities (Non-Graded) See information below.

Key Terms 1. Empowerment 2. Job characteristics

model 3. Job design 4. Job evaluation 5. Job specialization 6. Scientific

management 7. Self-leadership 8. Task identity 9. Task significance

BBA 3451, Organizational Theory and Behavior 2

Evaluating Organizational-Level Rewards School administrators and business leaders alike undergo national accreditations or quality-service processes. The process of self-study and ultimate accreditation award can be instrumental in improving the workplace culture, strengthening the team’s shared vision, and resulting in the school’s or corporation’s success. The accreditation itself will typically have a validation renewal process, whereby the team must undergo ongoing documentation and auditing of their quality. The reward is thereby continual if the team is successful. It is a great quality-building experience. There are more examples in our textbook. Ways to Improve Reward Effectiveness Most employees want rewards and not only monetary ones; however, as the text points out, conditions should be met (e.g., the reward should be linked to performance, be team-based when used for interdependent jobs, and be valued). The reward must be fairly awarded such as years-of-service awards (e.g., 5 years of service), which are almost universally valued by the employees. Problems with Job Specialization Frederick Taylor, the father of scientific management, focused on time management and job specialization in order to reduce labor costs and increase profit. This process was not valued by employees and was largely seen as inhumane in extreme cases. Since that time, Taylorism (as it has come to be known) has gained some respect in the OB field, but when used alone (without other management tools or strategies), it has been proven to adversely affect motivation. “Some jobs—such as painting eyes on dolls—are so specialized that they soon become tedious, trivial, and socially isolating.” (McShane & Von Glinow, 2013, p. 174) Therefore, as the motivation to continue into another workday decreases, so does the quality of the work. It is a lot like the Laverne and Shirley sitcom’s introductory scene in which the two are working on a line with bottles, and their attention wanders. Naturally, chaos ensues.

EXHIBIT 6.1 Reward Objectives, Advantages, and Disadvantages (McShane & Von Glinow, 2013, p. 165).

BBA 3451, Organizational Theory and Behavior 3

More complex jobs, which take longer to master, provide ongoing development. Many educators enjoy the fact that they receive new students each September as it is like getting a new job each year. Job Characteristics Model As shown in Exhibit 6.2 of our textbook on page 175, some things are critical to employee motivation. Looking at this model, which aspects ring true to your job (past or present)? Which of the three psychological states have you had? To see if we have a tendency to have higher levels of internal work motivation or job satisfaction (seen through the work itself), we can examine this model. Empowerment Empowerment is widely embraced by most people. Having a duty and being trusted has been a positive experience for many people. It does not always work as well with new employees. There are four dimensions: self- determination, meaning, competence, and impact of the individual’s role in the organization (McShane & Von Glinow, 2013). Here the descriptions of each component:

 Self-determination—empowered employees feel that they have freedom, independence, and discretion over their work activities.

 Meaning—employees who feel empowered care about their work and believe that what they do is important.

 Competence—empowered people are confident about their abilities to perform the work well and have a capacity to grow with new challenges.

 Impact—empowered employees view themselves as active participants in the organization; that is, their decisions and actions have an influence on the company’s success (McShane & Von Glinow, 2013, p. 181).

Supporting Empowerment Think about a job you have had in the past. Were you empowered? For some people, empowerment equates to more meaningfulness, while for others, it can be intimidating. When working in jobs with high levels of task identity and , many people experience more self-confidence. Almost universally, however, people are empowered when they receive feedback about their performance and accomplishments (McShane & Von Glinow, 2013). Self-leadership Strategies Overall, self-leadership means that we regulate our own actions through these five main activities as identified below in Exhibit 6.4 (McShane & Von Glinow, 2013). These elements tend to occur in a sequence, which is interesting to consider as it relates to grocery shopping or personal tasks of any kind. Think about it.

BBA 3451, Organizational Theory and Behavior 4

Reference McShane, S. L., & Von Glinow, M. A. (2013). Organizational behavior (6th ed.).

New York, NY: McGraw-Hill/Irwin.

Supplemental Reading Click here for the Chapter 6 Presentation in PowerPoint form. Click here to access a PDF version of the presentation. Using the CSU Online Library, locate and read the following article. Look for this article using the Academic OneFile Database: Giauque, D., Anderfuhren-Biget, S., & Varone, F. (2013, June). HRM practices,

intrinsic motivators, and organizational performance in the public sector. Public Personnel Management, 42(2), 123+.

Learning Activities (Non-Graded) Read and complete Self-Assessment 6.3 on pp. 189-190 in your textbook. Non-graded Learning Activities are provided to aid students in their course of study. You do not have to submit them. If you have questions, contact your instructor for further guidance and information.

EXHIBIT 6.4 Elements of Self-Leadership (McShane & Von Glinow, 2013, p. 182)

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