PowerPoint to accompany Chapter 2 Engaging and motivating employees and managing organisational change

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PowerPoint to accompany Chapter 2 Engaging and motivating employees and managing organisational change Slide 2 Copyright 2010 Pearson Australia (a division of Pearson Australia Group Pty Ltd) 9781442517981/ Hrtel l/Human Resource Management/2nd edition) Lecture objectives Motivating employees Positive leaders & positive work environments Psychological contract Motivating during times of change Emotional intelligence CHRM decision-making framework in action Conclusion Slide 3 Copyright 2010 Pearson Australia (a division of Pearson Australia Group Pty Ltd) 9781442517981/ Hrtel l/Human Resource Management/2nd edition) Motivating employees Work Motivation is defined as the stimulation of effort required to achieve and maintain organisational goals No two people are alike Unique values, attitudes, beliefs, strengths, expectations and ideas Unlike other resources (financial and technical), human resources are very difficult to predict Management must direct employee behaviour towards organisational goals Understanding why people work is essential to this task Slide 4 Copyright 2010 Pearson Australia (a division of Pearson Australia Group Pty Ltd) 9781442517981/ Hrtel l/Human Resource Management/2nd edition) Motivating employees Positive leaders: work with employees strengths, quickly address negative behaviours that may arise, as part of promoting a PWE. Positive work environment (PWE): where employees feel supported and fairly rewarded, have self-efficacy and integrity, and perceive an environment of trust and organisational justice. Slide 5 Copyright 2010 Pearson Australia (a division of Pearson Australia Group Pty Ltd) 9781442517981/ Hrtel l/Human Resource Management/2nd edition) Motivating employees through HRM Intrinsic factors Soft factors (e.g., friendly work environment) Extrinsic factors Hard factors (e.g., money, status, big office) A balance between the two is generally preferred Slide 6 Copyright 2010 Pearson Australia (a division of Pearson Australia Group Pty Ltd) 9781442517981/ Hrtel l/Human Resource Management/2nd edition) Hard and Soft HRM paradox Hard and soft HRM reflect focus on managerial control strategies versus the nature of people Hard HRM Humans are viewed as costs (McGregors Theory X) Soft HRM Humans are viewed as people (Theory Y) A combination of the two may be used, although soft HRM is preferred as it values people as an organisations most valuable assets. Slide 7 Copyright 2010 Pearson Australia (a division of Pearson Australia Group Pty Ltd) 9781442517981/ Hrtel l/Human Resource Management/2nd edition) Integration of hard and soft HRM Slide 8 Copyright 2010 Pearson Australia (a division of Pearson Australia Group Pty Ltd) 9781442517981/ Hrtel l/Human Resource Management/2nd edition) Theories of motivation Traditional views of motivation were based on scientific management and later on human relations Content theories: Humans have certain wants and needs that direct behaviour Process theories: Highlight thought patterns that underlie decisions of whether or not to engage in certain behaviour Be aware of limitations of each theory Slide 9 Copyright 2010 Pearson Australia (a division of Pearson Australia Group Pty Ltd) 9781442517981/ Hrtel l/Human Resource Management/2nd edition) Maslows hierarchy Slide 10 Copyright 2010 Pearson Australia (a division of Pearson Australia Group Pty Ltd) 9781442517981/ Hrtel l/Human Resource Management/2nd edition) Psychological contracts and motivation Psychological contracts: intangible, informal contracts that the employee perceives constitute their employment relationship Transactional Relational Ideology infused Psychological contracts can impact upon employees discretionary behaviours (and their motivation to work) Slide 11 Copyright 2010 Pearson Australia (a division of Pearson Australia Group Pty Ltd) 9781442517981/ Hrtel l/Human Resource Management/2nd edition) HR ethics, psychological contracts and motivation Deontological theory: Business is ethical when treating people with respect is the goal. Utilitarian theory: Business is ethical when people are the means to maximise positive business consequences for the majority of stakeholders (e.g. shareholders) Stakeholder theory: business is ethical when all stakeholders mutually benefit (e.g. employees, shareholders, customers, suppliers, unions and the local community) Slide 12 Copyright 2010 Pearson Australia (a division of Pearson Australia Group Pty Ltd) 9781442517981/ Hrtel l/Human Resource Management/2nd edition) Organisational justice perceptions Distributional justice: Justice perceptions regarding the fairness of the distribution of resources within the organisation Procedural justice: Justice perceptions regarding the procedures that are used within the organisation Interactional justice: Justice perceptions regarding interpersonal interactions (e.g. honesty, politeness, and dignity) Especially critical in time of constant changes Slide 13 Copyright 2010 Pearson Australia (a division of Pearson Australia Group Pty Ltd) 9781442517981/ Hrtel l/Human Resource Management/2nd edition) Diversity Diverse workplaces (e.g. race, gender, sexual orientation, age, disabilities, lifestyle and values) Key cultural orientations: Individualists: typically associated with Western cultures such as Australia, U.S. and NZ (Hofstede, 1980); satisfying individual goals Collectivists: typically associated with Eastern cultures such as China, Thailand and Japan (Hofstede, 1980); seek to benefit the group and community Slide 14 Copyright 2010 Pearson Australia (a division of Pearson Australia Group Pty Ltd) 9781442517981/ Hrtel l/Human Resource Management/2nd edition) Motivation during times of change Organisational change: any alteration which causes a shift in the status quo, affecting the structure and resources of an organisation Organisational change affects the ability to engage and motivate employees Employee motivation levels may change at any time as can the focus of motivation (e.g., productive vs. counterproductive behaviours) Continual monitoring is necessary Slide 15 Copyright 2010 Pearson Australia (a division of Pearson Australia Group Pty Ltd) 9781442517981/ Hrtel l/Human Resource Management/2nd edition) Types of organisational change Planned: Any deliberate, structured execution of a shift in the status quo Unplanned: Unanticipated change which is generally forced upon the company Incremental: A series of small changes Radical: Large-scale and drastic change. There are five stages of radical change: Planning, enabling, launching, catalysing and maintaining Slide 16 Copyright 2010 Pearson Australia (a division of Pearson Australia Group Pty Ltd) 9781442517981/ Hrtel l/Human Resource Management/2nd edition) HRM strategies for change Change success depends a great deal on the attitude that an organisation adopts towards its employees during the change process. Change initiatives that adopt a caring attitude towards employees, together with a concern for economic results tend to be more successful than initiatives that simply focus on economic results. Communication, Voice, and Justice Cultivation of a culture of emotional awareness (e.g. emotional intelligence) Slide 17 Copyright 2010 Pearson Australia (a division of Pearson Australia Group Pty Ltd) 9781442517981/ Hrtel l/Human Resource Management/2nd edition) The CHRM decision-making framework Slide 18 Copyright 2010 Pearson Australia (a division of Pearson Australia Group Pty Ltd) 9781442517981/ Hrtel l/Human Resource Management/2nd edition) Step 1 Screening HR-environmental factors Monitor/analyse data (past, present and future): e.g. Unfriendly CEO and senior management in the past; redundancies Internal/organisational environment: e.g. Diversity-closed culture (gender bias?) External environment: e.g. Stricter Airline Regulations since 2001 Slide 19 Copyright 2010 Pearson Australia (a division of Pearson Australia Group Pty Ltd) 9781442517981/ Hrtel l/Human Resource Management/2nd edition) Step 2 Detect HR potential problem or opportunity Lack of employee motivation Low absenteeism and high turnover Gender discrimination claims Slide 20 Copyright 2010 Pearson Australia (a division of Pearson Australia Group Pty Ltd) 9781442517981/ Hrtel l/Human Resource Management/2nd edition) Step 3 Verify /falsify potential problem or opportunity Motivational factors Management style Redundancy effects Slide 21 Copyright 2010 Pearson Australia (a division of Pearson Australia Group Pty Ltd) 9781442517981/ Hrtel l/Human Resource Management/2nd edition) Step 4 Devise plan and success criteria Change the management style to develop respect for and trust from employees Ask employees what motivates them to work (learn about their values) Identify employees thoughts, fears and concerns relating to the redundancies Identify and address areas where employees perceive discrimination Slide 22 Copyright 2010 Pearson Australia (a division of Pearson Australia Group Pty Ltd) 9781442517981/ Hrtel l/Human Resource Management/2nd edition) Step 5 Implement the plan Develop an employee motivation, perceived discrimination and redundancies related questionnaire within 4 weeks Have employees answer the questionnaire within the following 2 weeks Once the questionnaire content is analysed, change management styles to respond to needs in the areas of perceived gender discrimination, redundancy effects and motivation Slide 23 Copyright 2010 Pearson Australia (a division of Pearson Australia Group Pty Ltd) 9781442517981/ Hrtel l/Human Resource Management/2nd edition) Step 6 Evaluate against success criteria Distribute the questionnaire on an annual basis and examine trends Identify percentage of reduction in employee absenteeism, turnover and discriminatory claims Slide 24 Copyright 2010 Pearson Australia (a division of Pearson Aust