Fundamentals of Management Ch. 12 Terms


may be defined as the psychological processes that arouse and direct goal-directed behavior

extrinsic reward

is the payoff, such as money, a person receives from others for performing a particular task

intrinsic reward

is the satisfaction, such as feeling of accomplishment, a person receives from performing the particular task itself

Content perspective

also known as need-based perspective, are theories that emphasize the needs that motivate people


are defined as physiological or psychological deficiencies that arouse behavior

hierarchy of needs theory

which proposes that people are motivated by five levels of needs: (1) physiological, (2) safety, (3) love, (4) esteem, and (5) self-actualization

acquired needs theory

which states that three needs- achievement, affiliation, and power- are major motives determining people's behavior in the workplace

self-determination theory

assumes that people are driven to try to grow and attain fulfillment, with their behavior and well-being influenced by three innate needs: competence, autonomy, and relatedness

two-factor theory

which proposed that work satisfaction and dissatisfaction arise from two different factors-work satisfaction from motivating factors and work dissatisfaction from hygiene factors

hygiene factors

are factors associated with job dissatisfaction-such as salary, working conditions, interpersonal relationships, and company policy-all of which affect the job context in which people work

motivating factors

or simply motivators, are factors associated with job satisfaction- such as achievement, recognition, responsibility, and advancement- all of which affect the job content or the rewards of work performance

Process perspectives

are concerned with the thought processes by which people decide how to act

Equity theory

focuses on employee perceptions as to how fairly they think they are being treated compared with others

expectancy theory

suggests that people are motivated by two things: (1) how much they want something and (2) how likely they think they are to get it


is the belief that a particular level of effort will lead to a particular level of performance


is the expectation that successful performance of the task will lead to the outcome desired


is value, the importance a worker assigns to the possible outcome or reward

Goal-setting theory

suggests that employees can be motivated by goals that are specific and challenging but achievable

Job design

is (1) the division of an organization's work among its employees and (2) the application of motivational theories to jobs to increase satisfaction and performance

job simplifaction

the process of reducing the numbers of tasks a worker performs

job enlargement

consists of increase the number of tasks in a job to increase variety and motivation

job enrichment

consists of building into a job such motivating factors as responsibility, achievement, recognition, stimulating work, and advancement

job characteristics

consists of (a) five core job characteristics that affect (b) three critical psychological states of an employee that in turn effect (c) work outcomes- the employee's motivation, performance, and satisfaction

reinforcement theory

which attempts to explain behavior change by suggesting that behavior with positive consequences tends to be repeated, whereas behavior with negative consequences tends not to be repeated


is anything that causes given behavior to be repeated or inhibited

Positive reinforcement

is the use of positive consequences to strengthen a particular behavior

Negative reinforcement

is the process of strengthening behavior by withdrawing something negative


is the weakening of behavior by ignoring it or making sure it is not reinforced


is the process of weakening behavior by presenting something negative or withdrawing something positive

pay for performance

bases pay on one's results

piece rate

in which employees are paid according to how much output they produce

sales commission

in which sales representatives are paid a percentage of the earnings the company made from their sales


are cash awards given to employees who achieve specific performance objectives

Profit sharing

is the distribution to employees a percentage of the company's profits


is the distribution of saving or "gains" to groups of employees who reduced costs and increased measurable productivity

stock options

certain employees are given the right to buy stock at a future date for a discounted price

pay for knowledge

ties employee pay to the number of job-relevant skills or academic degrees they earn