MYKOLAS ROMERIS UNIVERSITY ZILINA UNIVERSITY Martina Blaskova Vladimiras Grazulis MOTIVATION OF HUMAN POTENTIAL: THEORY AND PRACTICE Monograph Vilnius 2009 UDK 331.101 Bl-14 Reviewers: Professor Vaclav Liska, PhD, of Czech Technical University in Prague, Professor Stanislaw Borkowski, PhD, of Poland’s Czestochowa University of Technology, Professor Borisas Melinkas, PhD, of Vilnius’ Gediminas Technical University, Lithuania The Monograph was considered in the Oct. 15, 2009 session of the Board of the Mykolas Romeris University Faculty of Public Administration (protocol no. 2VA-1) and recommended for publication The Monograph was considered in the Sept. 24 session of the Board of the Department of Personnel Management and Organizational Development under the the Mykolas Romeris University Faculty of Public Administration (protocol no. 1PVOK-2) and recommended for publication The Mykolas Romeris University Commission for Approving Scientific-Academic Publications in the Nov. 19 session (protocol no. 2L-2) approved the Monograph for publication The Monograph is copyright-protected. The publication cannot be reproduced, amended or otherwise distributed without the publisher‘s prior consent. The Monograph is supported by the Grant of the Ministry of Education of the Slovak Republic VEGA No 1/4647/07 Dynamical model of Human Potential Motivation ISBN 978-9955-19-155-1 © Mykolas Romeris University, 2009 © Zilina University, 2009 © Martina Blaskova, Vladimiras Grazulis, 2009 3 PREFACE Implementation of market economy-based changes in the post- Soviet block of countries led to their gradual integration into the global economy, creating the need for the development of a modern approach to business management. Slovakia and Lithuania’s accession to the European Union (EU) and, in turn, to the global economy, left the coun- tries unwilling and unable to compete through cheap workforce, which was basically their only competitive advantage right after the fall of col- lectivism and planned economy. Our idea to compose a monograph on possibilities for improving employee motivation mechanisms in organizations was fuelled by Slo- vakia and Lithuania’s EU accession and the ever-increasing impact of globalization on businesses run in the two states. The book’s coming into existence was also prompted by positive reader feedback on previ- ously published works, namely the books “Riadenie a rozvoj ľudského potenciálu”: Uplatňovanie motivačného akcentu v procesoch práce s ľuďmi (Human Potential Management and Development: Applying Mo- tivational Accent in Processes of Managing People, published in Slova- kia in 2003 by Martina Blašková; “Motyvacijos pasaulis – jo supratimo keliai ir klystkeliai” (World of Motivation: Roads and Crossroads to Understanding), published in 2005 by Vladimiras Graźulis, and “Or- ganizaciju strategines pasirinktys. Ar mokame veikti?” (Organizational Choices. Do We Know how to Act?), published in 2008 by Vladimiras Graźulis. References to our papers on this topic in various scientific publications also played a major role in our decision to produce a joint monograph. th A renowned 20 Century management theorist Chester I. Barnard back in 1938 provided a first-ever definition of the organization as a so- cial system, where the means of attaining organizational goals and ef- fectiveness are linked with employee work motivation. We drafted our monograph bearing in mind a statement made by Peter F. Drucker, who wrote that “what matters most in a social discipline such as management 4 are therefore the basic assumptions. And a change in the basic assump- tions matters even more,” (Management Challenges for the 21st Cen- tury, 2004, p. 4). It is our conviction that in order to best understand what drives employees, it is necessary to take into account the entire spectrum of factors that could influence an individual’s will to work, i.e. to consider assumptions relative to both the work setting and a person’s individual characteristics. It is in this particular context that our book covers the conceptual legacy left behind by renowned theorists, who researched organizations and their capacity to adapt to modern-day processes and motivate em- ployees to be driven by change, presenting specific approaches and de- tailed practical illustrations of these processes. In our publication we seek to underline that an organization cannot achieve a competitive edge in the global scheme of things unless it ap- plies theory to practice – a connection we find to still be rather fragile and discourse on organizational involvement in change lacking in our countries. During our years of teaching human resource management in the University of Zilina in Slovakia and the Mykolas Romeris University in Lithuania we’ve observed that given the task to do some autonomous research on employee motivation, students can use available textbooks and other sources to quickly draft a paper. However, as soon as the dis- cussion extends to specific real-life situations, the researched motivation theories narrow down to just general theoretical provisions, and obvious and widely known practical decisions like better pay, a secure work- place, a friendly work environment, etc. We’ve also noted that it isn’t commonplace in our countries to apply to practice ideas generated by motivation theorists. Having given some thought to these points, we’ve discerned that the overly abstract method of introducing these theories to university students, i.e. by presenting theory and in no way applying it to practice, may be the reason behind the situation at hand. Our experience in conducting surveys, working as research mentors and analyzing case studies served for accumulating quite an abundance of valuable information, which is now being applied for teaching human resource management, marking the first positive results in the under- standing of the process of employee motivation. 5 The monograph is aimed at introducing the concept of an organiza- tion primarily focusing on the human factor, i.e. covering basic motiva- tion theories and the process of motivation and its development to help the reader better understand how the discussed theories relate to prac- tice. Authors are aware that the topic of employee motivation has been the subject of many a book and publication, however hope that this monograph will turn new pages on this topic and aid readers in learning to analyze and assess organizational processes and developing an or- ganization’s human potential amid a competitive environment. The book, it should be noted, also cannot provide final answers to all ques- tions that may arise, however we hope it will facilitate the analysis of modern-day management processes and better understanding of the world of human motivation. While the publication is first of all targeted at human resource man- agement lecturers and students, it may also be of utility to owners of a wide-array of businesses and anyone interested in organizational poten- tial for development amid a changing environment. Authors would like to kindly thank reviewers Professor Václav Liška of the Czech Technical University in Prague, Stanisław Bor- kowski, PhD, of Poland’s Czestochowa University of Technology, Bori- sas Melinkas, PhD, of Vilnius’ Gediminas Technical University, and lecturers of Mykolas Romeris University Department of Personnel Management and Organizational Development and Žilina University Department of Management Theories for their valuable feedback. Au- thors also thank translator and editor Elma Paulauskaite and everyone who in any way contributed to the publication. Please direct any comments or feedback on the book directly to the authors by email: [email protected] and [email protected]. Dear reader, we will be most happy to hear your opinion on our book. We hope your feedback will help us improve any future editions. Sincerely Yours, Martina Blašková and Vladimiras Gražulis 6 CONTENTS 1. THE CONCEPT OF AN ORGANIZATION IN MODERN-DAY SOCIETY…………………………………………………………. 11 1.1. Identification of an Organization……………………………….. 11 1.2. Environmental Impact on Organizational Development……….. 16 1.3. Organizational Challenges in a Changing Environment………... 35 1.3.1. Necessary Preconditions for Organizational Changes…… 35 1.3.2. Challenges Impeding Organizational Transition………… 42 2. CONTEMPORARY DIMENSIONS OF MISSION OF HUMAN POTENTIAL MANAGEMENT WITH ASPECT OF THE MOTIVATION…………………………………………………… 48 2.1. Human Potential versus Human Resource and Necessity for Systematic Motivating………………………………………….. 48 2.2. Human Potential Management and Development……………… 52 2.3. Actual Mission of Human Potential Management and Development……………………………………………………. 54 3. MOTIVATION AND MOTIVATING EMPLOYEES AND MANAGERS................................................................................... 58 3.1. Identification of the Motivation………………………………… 58 3.2. Identification of the Motivating………………………………… 63 3.3. Relations of the Motivation and Motivating……………………. 69 3.4. Identification of Motives of Human Activity…………………... 71 4. MOTIVATIONAL PROCESSES – PROCESSES OF INFLUENCING MOTIVATION………………………………… 88 4.1. Intra-motivational and a Inter-motivational Chains…………….. 88 4.2. Identification of Process of Motivating/Motivational Process…. 94 4.3. Approaches to the Motivating Employees and Managers……… 98 5. MODELS AND THEORIES OF MOTIVATION AND MOTIVATING……………………………………………………101 5.1. Development of Motivational Models from Early Management Theories to Present……………………………………………… 101 7 5.2. Importance of Theories to Efficient Motivating………………... 113 5.3. Maslow’s Hierarchy of Needs Theory………………………….. 114 5.4. Herzberg’s Two-Factor Theory………………………………… 139 5.5. McGregor’s Approach to Inborn Behavior……………………... 160 5.6. Alderfer’s ERG Theory………………………………………….176 5.7. Vroom’s Expectancy Theory…………………………………… 178 5.8. Porter’s and Lawler’s Expectancy Model………………………. 181 5.9. Equity Theory…………………………………………………... 183 5.10. Strengthening Theory…………………………………………. 186 5.11. Goal Theory…………………………………………………… 187 5.12. McClelland’s Achievement Motivation Theory………………. 189 5.13. Homeostasis Theory……………………………………………201 5.14. Pragmatism in the Management of Working Motivation……... 202 5.15. Synthesis of the Knowledge of Motivating…………………… 204 5.16. Collins’s Level 5 Leadership………………………………….. 208 5.17. Creative Proactive-Concluding Theory of Motivating………... 211 5.17.1. Argumentation of Implement of Proactive-Concluding Theory………………………………………………… 212 5.17.2. Characteristics of Creative Proactive-Concluding Theory………………………………………………… 214 6. STRATEGIC MOTIVATING OF HUMAN POTENTIAL……… 221 6.1. Approaches to Strategic Motivating of Human Potential………. 222 6.1.1. Partial-process approach……………………………….. 223 6.1.2. Complex-realization approach…………………………..226 6.2. Process of Complex Strategic Motivating of Human Potential… 227 6.2.1. Thorough analysis of three key fields of information….. 230 6.2.2. Setting strategic objectives of the motivating human potential…………………………………………………241 6.2.3. Formulation of strategy and policy of motivating human potential…………………………………………………251 6.2.4. Implementation of chosen strategy…………………….. 258 6.2.5. Evaluation of effectiveness of strategic motivating human potential…………………………………………262 6.3. Importance of Strategic Thinking………………………………. 266 7. MOTIVATION PROGRAM AND ITS DIMENSIONS…………. 268 7.1. Identification of the Motivation Program………………………. 269 7.2. Motivation Program Dimensions……………………………….. 272 7.2.1. D1 Dimension of the Creation………………………….. 273 8 7.2.2. D2 Dimension of the Planning Category……………….. 279 7.2.3. D3 Dimension of the Object……………………………. 280 7.2.4. D4 Dimension of the Subject…………………………… 282 7.2.5. D5 Dimension of the Used Methods……………………283 7.2.6. D6 Dimension of the Adaptability to Individual and Group Differences……………………………………… 284 7.2.7. D7 Dimension of the Evaluation and Requirements…… 285 7.2.8. D8 Dimension of the Included Motivators……………... 290 8. CLASSIFICATION OF MOTIVATORS........................................292 8.1. Process Motivators………………………………………………293 8.2. Personality Motivators………………………………………….. 296 8.3. Symbol Motivators……………………………………………… 301 8.4. Intellect Motivators……………………………………………... 305 8.5. Communication-Social Motivators……………………………... 307 8.6. Cognitive-Dynamical Motivators………………………………. 310 9. DYNAMICAL AND MOTIVATIONAL MODEL OF EXTENDING OF PARTICIPANTS SPECTRUM IN HUMAN POTENTIAL MANAGEMENT…………………………………. 312 9.1. Identification of Key Concept: Modeling and Model………….. 313 9.2. Arguments for Creation of Model of Participants in Human Potential Management and Development………………………. 316 9.2.1. Exploitation of Employees’ and Managers’ Potential….. 317 9.2.2. Willingness to Improve the Performance in Case of Improved Motivating…………………………………… 318 9.2.3. Instigations for Improvement the Quality of Organiza- tional Processes………………………………………… 319 9.3. Motivational Model of More Extensive Including Participants in Human Potential Management and Development………………321 10. PENETRATION OF MOTIVATION TO THE PROCESSES OF HUMAN POTENTIAL MANAGEMENT AND DEVELOPMENT.......................................................................... 333 10.1. Philosophy of Implanting of Motivational Accent to Key Processes of Human Potential Management and Development. 333 10.2. Importance and Contents of Penetration of the Motivation to Key Processes of Human Potential Management and Development…………………………………………………... 335 10.2.1. Strategic Human Potential Management and Development…………………………………………..336 9 10.2.2. Planning of Human Potential………………………….. 339 10.2.3. Recruitment and Selection of Human Potential………. 341 10.2.4. Orientation and Replacement of Human Potential…….343 10.2.5. Appraisal of Human Potential Performance…………... 345 10.2.6. Leading of Human Potential………………………….. 348 10.2.7. Motivating of Human Potential………………………..350 10.2.8. Training and Development of Human Potential………. 353 11. MOTIVATION AND INTERPERSONAL INTERVIEWS……. 357 11.1. Selective Interviews from Viewpoint of Strengthening Motivation…………………………………………………….. 357 11.2. Orientation Interviews from Viewpoint of Strengthening of Motivation…………………………………………………….. 360 11.3. Appraisal Interviews from Viewpoint of Strengthening Motivation…………………………………………………….. 363 11.4. Outgoing Interviews from Viewpoint of Strengthening Motivation…………………………………………………….. 364 12. MOTIVATION AND POWER IN ORGANIZATION………… 367 12.1. Determination of Power……………………………………….. 368 12.2. Subjects of Power Relationship and their Motivation………… 371 13. MOTIVATION AND CONFLICTS……………………………..377 13.1. Influence of Conflicts upon Level of Felt Motivation………… 377 13.2. Causes of Conflicts Origin and Classification of Conflicts…… 379 13.3. Resolution of Conflicts and Motivation within the Organization…………………………………………………… 382 13.4. Consequence of Conflict and Possible Influences on Motivation…………………………………………………….. 385 14. MOTIVATION AND ORGANIZATIONAL CHANGES……… 388 14.1. Gist and Basic Characteristics of Organizational Changes…… 388 14.2. Motivational Equation of Organizational Change…………….. 393 14.3. Process of Organizational Change…………………………….. 395 15. MOTIVATION AND QUALITY IN MANAGEMENT OF ORGANIZATION………………………………………………. 401 15.1. Quality Determination and Its Content in Organization……… 401 15.2. Factors which Influence the Quality Improving through the Motivation Improving………………………………………… 405 16. MOTIVATION FOR DEVELOPMENT OF PROFESSIONAL- PERSONALITY POTENTIAL AND MOTIVATION OF HIGH-QUALIFIED HUMAN POTENTIAL…………………… 407 10 16.1. Motivating For Development of Professional-Personality Potential………………………………………………………..407 16.1.1. Motivating for Development of Potential from Side of Educating Subject……………………………………... 409 16.1.2. Motivating for Development of Potential from Side of Future Employer………………………………………. 411 16.1.3. Motivating for Development of Potential from Side of Present Employer……………………………………...412 16.2. Determination of High-qualified Human Potential…………… 415 16.3. The Specificities of High-qualified Potential from Viewpoint of Motivation………………………………………………….. 415 16.4. Starting Points of Motivating High-qualified Human Potential. 417 17. METHODOLOGY OF RETRIEVAL AND PROCESSING INFORMATION FOR MOTIVATING ………………………... 420 17.1. Approaches towards Information Retrieval and Processing…... 420 17.2. Process of Quantitative and Qualitative Research …………….424 17.3. Questionnaire…………………………………………………..429 17.4. Interview………………………………………………………. 432 17.5. Experiment…………………………………………………….. 437 17.6. Observation……………………………………………………. 439 17.7. Work Meetings………………………………………………… 442 17.8. Brainstorming…………………………………………………. 445 17.9. Brainwriting and its Variants…………………………………..448 17.10. Methods of the Statistical Processing and Evaluating Information…………………………………………………... 450 17.11. Analysis……………………………………………………… 457 17.12. Synthesis……………………………………………………...462 17.13. Deduction…………………………………………………….. 462 17.14. Induction……………………………………………………...463 17.15. Experience and Intuition…………………………………….. 464 Annexes 1 – 6………………………………………………………... 467 Glossary………………………………………………………………481 Bibliography………………………………………………………… 485
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