Cross cultural management 5e by cullen CH14

Learning Objectives • Know how people from different nations perceive the basic functions of working • Know how people from different nations view the importance of working • Understan

Chapter 14

Motivation in Multinational

Companies

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Learning Objectives

• Know how people from different nations perceive the

basic functions of working

• Know how people from different nations view the

importance of working

• Understand how the national context affects the basic processes of work motivation

• Know how people from different nations perceive the

basic functions of working

• Know how people from different nations view the

importance of working

• Understand how the national context affects the basic processes of work motivation

Learning Objectives

• Be able to apply common theories of work motivation

in different national context

• Be able to design jobs for high motivational potential in different national cultures

• Be able to apply common theories of work motivation

in different national context

• Be able to design jobs for high motivational potential in different national cultures

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Motivation in Multinationals

• Multinational managers must understand how to

motivate international employees

• Multinationals face an array of challenges to motivate a workforce in the face of a rapidly changing labor

market

• Multinational managers must understand how to

motivate international employees

• Multinationals face an array of challenges to motivate a workforce in the face of a rapidly changing labor

market

How Important is Work in People’s Lives?

• Work centrality: overall value of work in a person’s life

- Work compared to other activities such as leisure

and family

- Higher levels of work centrality match average

number of hours worked per week

- High levels of work centrality may lead to dedicated workers

• Work centrality: overall value of work in a person’s life

- Work compared to other activities such as leisure

and family

- Higher levels of work centrality match average

number of hours worked per week

- High levels of work centrality may lead to dedicated workers

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Exhibit 14.1: Differences in Work

Centrality in Seven Countries

How Important is Work in People’s Lives?

• Work obligation norms

- Societies that have high work obligation norms

expect their citizens to view work as an obligation or

a duty

- These societies are more likely to have individuals adhering to this norm by working longer

• Work obligation norms

- Societies that have high work obligation norms

expect their citizens to view work as an obligation or

a duty

- These societies are more likely to have individuals

adhering to this norm by working longer

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Exhibit 14.2: Levels of Work

Obligations in Various

Societies

What Do People Value in Work?

• Extrinsic work values: individuals express preference for security from their jobs with such aspects as

income, job security, and less demanding work

• Intrinsic work values: express preferences for

openness to change, the pursuit of autonomy, growth, creativity, and the use of initiative at work

• Extrinsic work values: individuals express preference

for security from their jobs with such aspects as

income, job security, and less demanding work

• Intrinsic work values: express preferences for

openness to change, the pursuit of autonomy, growth, creativity, and the use of initiative at work

© 2011 Cengage Learning All Rights Reserved May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part

Exhibit 14.3: Extrinsic Work

Values for Selected Countries

Exhibit 14.4: Intrinsic Work

Values for Selected Countries

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Exhibit 14.5: Priorities Given to

Different Job Characteristics in

Selected Countries

What Do People Value in Work?

• In some societies, work is very central and absorbs

much of a person’s life

• All people hope to receive certain benefits from work

• Societies differ in the degree to which they regard work

as an obligation to society

• Many of the emerging economies that value extrinsic

work values such as income and job security also

place high value on intrinsic work values

• In some societies, work is very central and absorbs

much of a person’s life

• All people hope to receive certain benefits from work

• Societies differ in the degree to which they regard work

as an obligation to society

• Many of the emerging economies that value extrinsic

work values such as income and job security also

place high value on intrinsic work values

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What Do People Value in Work?

• The first key to successful motivational strategies is

understanding the differences regarding how people

view work among countries

• The first key to successful motivational strategies is

understanding the differences regarding how people

view work among countries

The Basic Work-Motivation Process

• Motivation: a psychological process resulting in

goal-directed behavior that satisfies human needs

• Need: feeling of deficit or lacking

• Goal-directed behavior: one that people use with the

intention of satisfying a need

• Motivation: a psychological process resulting in

goal-directed behavior that satisfies human needs

• Need: feeling of deficit or lacking

• Goal-directed behavior: one that people use with the

intention of satisfying a need

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Work Motivation and the National Context

• Reinforcement: reactions to a person’s behavior that

encourage the person to continue the behavior

• E.g., bonus pay to encourage behavior

• Punishment: consequences of a person’s behavior that discourage the behavior

• E.g., docking pay to discourage behavior

• Reinforcement: reactions to a person’s behavior that

encourage the person to continue the behavior

• E.g., bonus pay to encourage behavior

• Punishment: consequences of a person’s behavior that discourage the behavior

• E.g., docking pay to discourage behavior

Exhibit 14.6: The Basic Work

Motivation Process and the

National Context

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National Context and Work Motivation

• Culture and social institution influence

- They influence the priority people attach to work

- They define what behaviors are legitimate ways to

satisfy goals

- National context also influences reactions to

goal-directed behaviors at work

• Culture and social institution influence

- They influence the priority people attach to work

- They define what behaviors are legitimate ways to

satisfy goals

- National context also influences reactions to

goal-directed behaviors at work

Theories of Work Motivation in the Multinational Context

• Two basic types of motivational theories

- Need theory: assumes that people can satisfy basic human needs in the work setting

- Process theory: arising from needs and values

combined with an individual’s beliefs regarding the work environment

• Two basic types of motivational theories

- Need theory: assumes that people can satisfy basic human needs in the work setting

- Process theory: arising from needs and values

combined with an individual’s beliefs regarding the

work environment

© 2011 Cengage Learning All Rights Reserved May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part

Theories of Work Motivation in the Multinational Context

• Four need theories of motivation

- Maslow’s Hierarchy of Needs

- ERG theory

- Motivator-hygiene theory

- Achievement motivation theory

• Four need theories of motivation

- Maslow’s Hierarchy of Needs

- ERG theory

- Motivator-hygiene theory

- Achievement motivation theory

Exhibit 14.7: Need Theories of

Motivation

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Maslow’s Hierarchy of Needs Theory

• States that people have five basic types of needs

- Physiological, Security, Affiliation, Esteem, and

Self-actualization

• The needs follow a basic hierarchy

• People first seek to satisfy lower needs

• Once lower need is satisfied, it no longer motivates

• People try to satisfy higher needs

• States that people have five basic types of needs

- Physiological, Security, Affiliation, Esteem, and

Self-actualization

• The needs follow a basic hierarchy

• People first seek to satisfy lower needs

• Once lower need is satisfied, it no longer motivates

• People try to satisfy higher needs

Exhibit 14.8: Maslow’s Hierarchy of

Needs and Country Level Measures

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Alderfer’s ERG Theory

• Simplified hierarchy of needs, including existence

needs, relatedness needs, and growth needs

- Frustration of a need motivates behavior to satisfy

the need.

- People seek to satisfy higher and lower level needs.

- If people cannot satisfy higher needs, they will try to satisfy lower level needs.

• Simplified hierarchy of needs, including existence

needs, relatedness needs, and growth needs

- Frustration of a need motivates behavior to satisfy

the need.

- People seek to satisfy higher and lower level needs.

- If people cannot satisfy higher needs, they will try to satisfy lower level needs.

Motivator-Hygiene Theory

• Assumption that a job has two basic characteristics:

motivators and hygiene factors

- Job content—motivating factors

• E.g., challenging job

- Job context—hygiene factors

• E.g., good benefits

• Assumption that a job has two basic characteristics:

motivators and hygiene factors

- Job content—motivating factors

• E.g., challenging job

- Job context—hygiene factors

• E.g., good benefits

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Achievement-motivation Theory

• Suggestion that only some people have the need to

win in competitive situations or to exceed a standard of excellence

- Three key needs: achievement, affiliation, and power

- High achievement people have needs to win and to set own goals and seek challenging situations

• Suggestion that only some people have the need to

win in competitive situations or to exceed a standard of excellence

- Three key needs: achievement, affiliation, and power

- High achievement people have needs to win and to

set own goals and seek challenging situations

Needs and the National Context: Lessons

• People from different nations do not give the same

priorities to the needs that might be satisfied at work

• Even with similar needs, they may not give the same

level of importance of satisfying these needs

• People from different nations do not give the same

priorities to the needs that might be satisfied at work

• Even with similar needs, they may not give the same

level of importance of satisfying these needs

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Exhibit 14.9: Rankings of the

Importance of Job-Related Sources of

Need Satisfaction for Seven Countries

Exhibit 14.10: Hofstede’s Dimensions

of National Culture and Motivators at

Work

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Applying Need Theories in Multinational Settings

• Identify the basic functions of work in the national or

local culture

• Identify the needs considered most important by

workers in the national or local culture

• Sources of need fulfillment may differ for the same

• Identify the needs considered most important by

workers in the national or local culture

• Sources of need fulfillment may differ for the same

needs

• Understand limitations of available jobs to satisfy

needs

Process and Reinforcement Theories of Motivation:

Expectancy Theory

• Expectancy theory

- Assumes that part of motivation is an individual’s

desire to satisfy needs

- People’s beliefs regarding how much their efforts at work will eventually satisfy their needs

• Expectancy theory

- Assumes that part of motivation is an individual’s

desire to satisfy needs

- People’s beliefs regarding how much their efforts at work will eventually satisfy their needs

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Expectancy Theory

• Three factors

- Expectancy: an individual’s belief that his or her

effort will lead to some result

- Valence: the value attached to the outcome of efforts

- Instrumentality: the links between early and later

results of the work effort

• Motivation = Expectancy x Valence x Instrumentality

• Three factors

- Expectancy: an individual’s belief that his or her

effort will lead to some result

- Valence: the value attached to the outcome of efforts

- Instrumentality: the links between early and later

results of the work effort

• Motivation = Expectancy x Valence x Instrumentality

Applying Expectancy Theory

in Multinational Settings

• Two key issues

- Identify valued outcomes of work

- Use culturally appropriate ways to convince

employees that their efforts will lead to desirable

ends

• Two key issues

- Identify valued outcomes of work

- Use culturally appropriate ways to convince

employees that their efforts will lead to desirable

ends

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Equity Theory

• Focuses on the fairness that people perceive in the

rewards that they receive for their efforts at work

- There are no absolute standards for fairness in the

input/output (effort/reward) equation.

- People compare themselves to others and adjust

their input (effort).

• Focuses on the fairness that people perceive in the

rewards that they receive for their efforts at work

- There are no absolute standards for fairness in the

input/output (effort/reward) equation.

- People compare themselves to others and adjust

their input (effort).