Organizational Behavior Emerging Knowledge 5th Edition by Steven McShane - Test Bank

Organizational Behavior Emerging Knowledge 5th Edition by Steven McShane – Test Bank

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Chapter 05

Foundations of Employee Motivation

True / False Questions

Motivation is closely related to the concept of employee engagement.
True False

Motivation is one of the four essential drives of individual behavior and performance.
True False

Most employers say that nowadays motivating employees is more challenging than it used to be.
True False

The problem with the concept of employee engagement is that it lacks theoretical foundation.
True False

The concept of employee engagement is related to motivation, but not role perception.
True False

The stronger your needs, the less motivated you are to fulfill them.
True False

Drives are needs, and are essential parts of human psychology.
True False

In the context of motivation, drives are also called primary needs, fundamental needs, or innate needs.
True False

Needs Hierarchy Theory explains how people develop perceptions of fairness in the distribution and exchange of resources.
True False

Maslow’s Needs Hierarchy Theory incorporates only five basic categories.
True False

Maslow’s Needs Hierarchy Theory states that people are motivated by only one need at a time.
True False

According to Needs Hierarchy Theory, the need for self-actualization continues to develop even when it is fulfilled.
True False

Abraham Maslow was the first to recognize that human thoughts play a role in motivation.
True False

Maslow is credited for bringing a mechanistic perspective to the study of motivation.
True False

ERG Theory recognizes three learned needs: achievement, affiliation and power.
True False

According to ERG Theory, a person can regress down the hierarchy of needs when they fail to fulfill higher needs.
True False

One advantage of ERG Theory over Maslow’s Needs Hierarchy Theory is that the ERG model seems to explain human motivation somewhat better.
True False

Human needs cluster more neatly around the three needs categories in ERG Theory than the five needs categories in Maslow’s Needs Hierarchy.
True False

A person’s hierarchy of needs is influenced by his or her values.
True False

People with a high need for achievement tend to avoid risks and prefer working in teams.
True False

Successful entrepreneurs tend to have a high need for achievement.
True False

People with a high need for affiliation tend to be more effective in jobs that allocate scarce resources among employees.
True False

People with a high need for affiliation tend to be more effective in jobs that require them to mediate conflicts.
True False

According to Learned Needs Theory, people with a high personalized need for power enjoy power for its own sake and use it to advance their career rather than to benefit others.
True False

According to Learned Needs Theory, companies should hire leaders with a strong need for personalized power.
True False

Four-drive Theory states that people have a hierarchy of needs that they progress through as lower level needs are fulfilled.
True False

Two drives identified in Four-drive Theory are the drive to acquire and the drive to bond.
True False

According to Four-drive Theory, three drives are proactive (i.e. we actively seek to fulfill them) whereas the drive to defend is reactive (i.e. activated only in reaction to threat).
True False

In Four-drive Theory, the drive to bond does not produce any emotional markers.
True False

According to Four-drive Theory, social norms, past experience, and personal values translate emotional signals into goal-directed effort.
True False

According to Four-drive Theory, organizations maximize motivation by focusing employees on opportunities to fulfill only one of the four drives.
True False

Four-drive Theory recommends keeping all four drives in “balance”; that is, organizations should avoid too much or too little opportunity to fulfill each drive.
True False

Expectancy Theory of motivation states that people naturally direct their effort towards behaviors they believe are most likely to lead to desired outcomes.
True False

According to Expectancy Theory, employee motivation will remain high when the P-to-O expectancy falls to zero.
True False

In Expectancy Theory, the performance-to-outcome expectancy represents the anticipated satisfaction or dissatisfaction that an individual places on an outcome.
True False

One way to increase an employee’s E-to-P expectancy regarding a specific task is to increase the person’s self-confidence through counseling and coaching.
True False

According to Expectancy Theory, communicating the existence of a performance-based reward system motivates employees by increasing their outcome valences.
True False

One of the main problems with Expectancy Theory of motivation is that it does not identify the comparison other in the motivation process.
True False

One way to increase a person’s P-to-O expectancy is to measure his or her job performance more accurately.
True False

Employee motivation is explained reasonably well by the Expectancy Theory model.
True False

Expectancy Theory identifies emotions as a key component of employee motivation.
True False

Goal setting potentially improves employee performance by increasing motivation and clarifying role perceptions.
True False

Goal setting tends to be more effective when the goals are specific rather than general.
True False

Goal setting is more effective when employees can easily complete the goals assigned to them.
True False

The optimal level of goal difficulty occurs where the goal has more than a low level but less than a moderate level of goal difficulty.
True False

Participation in goal formation tends to increase performance when employees lack commitment to assigned goals.
True False

Feedback to employees is most effective when it is frequent, credible, and general.
True False

Feedback can be more frequent when employees perform short rather than long job cycles.
True False

The idea behind 360-degree feedback is that employees should receive feedback for 360 continuous days.
True False

Research suggests that feedback originating only from the supervisor provides more complete and accurate information than feedback received through a 360-degree process.
True False

Compared to supervisor-only feedback, 360-degree feedback tends to produce more ambiguous and conflicting feedback.
True False

To learn about their progress towards goal accomplishment, employees usually prefer feedback from supervisors and other people.
True False

Employees consider feedback from non-social sources to be more accurate than feedback from social sources.
True False

When employees want to improve their self-image, they seek out positive feedback from social sources.
True False

Combining goal setting with monetary incentives motivates many employees to set up difficult goals.
True False

To determine the fairness of pay or other outcomes, people almost always rely on the equity principle.
True False

The distributive justice principle states that everyone should receive the same rewards in life.
True False

According to Equity Theory, employees feel inequity only when other people receive higher salaries than they do.
True False

In the Equity Theory model, a ‘comparison other’ is an individual or group of people against whom the person compares his or her outcome/input ratio.
True False

One of the most significant discoveries in Equity Theory research is that people tend to keep the same comparison other throughout their working lives.
True False

Feelings of inequity occur when employees receive less than others, but not when they receive more than others.
True False

Overreward inequity occurs whenever other people receive less money than you do.
True False

Underreward inequity occurs when your outcome/input ratio is lower than the outcome/input ratio of a comparison other.
True False

Equity Theory research has found that employees who feel overrewarded tend to alter their perceptions of inputs and outcomes rather than attempt to actually change them.
True False

One of the most common consequences of overreward inequity is that overpaid employees try to increase their inputs by working harder.
True False

‘Benevolents’ and ‘Entitleds’ represent opposing ends of the equity sensitivity continuum.
True False

One problem with Equity Theory is that it incorrectly assumes people are individualistic, rational, and selfish.
True False

Procedural justice is influenced by the policies and practices that decision makers follow as well as their standards of interpersonal conduct.
True False

Distributive justice increases directly with the extent that the decision allows voice, can be appealed, and has an unbiased decision maker.
True False

Giving employees an explanation for a negative decision has no effect on procedural justice.
True False

Feelings of procedural injustice produce anger, which, in turn, generates either withdrawal or aggression.
True False

Multiple Choice Questions

Motivating employees is more challenging today than two decades ago because:
A. employers have difficulty understanding the different needs and expectations that younger generation employees bring to the workplace.
B. there is more layers of management today, which makes it more difficult to motivate everyone in management positions.
C. corporate downsizing and reduced job security have damaged the levels of trust employees need to work beyond minimum levels.
D. All of the answers are correct.
E. employers have difficulty understanding the different needs and expectations that younger generation employees bring to the workplace, and corporate downsizing and reduced job security have damaged the levels of trust employees need to work beyond minimum levels.

Expectations of new workforce entrants has:
A. made employee motivation less relevant as an influence on job performance.
B. made it less difficult to motivate employees using financial rewards.
C. made it more difficult to identify what motivates employees.
D. made it impossible to use any form of goal setting.
E. had no effect on employee motivation.

All of the following are reasons given for why some employees are “disengaged” EXCEPT:
A. Companies have not adjusted to the changing needs and expectations of the new workforce.
B. Corporate restructuring (downsizing) has undermined commitment and trust among employees.
C. Pressures from globalization and information technology make it harder to motivate employees beyond minimum standards.
D. Employees aged 25 to 34 sometimes or frequently feel demotivated.
E. Basic needs have already been provided and satisfied. Therefore higher-level needs are harder for employers to anticipate and offer.

_________ produce emotions, whereas _________ represent the motivational force of those emotions which are channeled toward particular goals.
A. Drives, needs
B. Needs, drives
C. Thinking, doing
D. Planning, projecting
E. None of the above is correct.

Which of the following statements about drives is FALSE?
A. They are also called primary needs.
B. They activate emotions, which put us in a state of readiness to act.
C. They include only basic physiological essentials, such as hunger and thirst.
D. Drives and emotions represent the primary sources of motivation.
E. All of the above are correct.

Self-concept, social norms, and past experiences help us:
A. adjust our level of drive-based emotions.
B. regulate our decisions and behaviors.
C. adjust our drive-based emotions, but not our behaviors.
D. make unemotional decisions based on reason and logic.
E. adjust our level of drive-based needs, and regulate our decisions and behaviors.

Needs Hierarchy Theory includes all of the following concepts EXCEPT:
A. self-actualization.
B. frustration-regression.
C. esteem.
D. belongingness.
E. physiological needs.

Which of these is the most widely known theory of human motivation?
A. Maslow’s Needs Hierarchy Theory
B. Expectancy Theory
C. Goal Setting Theory
D. Equity Theory
E. Learned Needs Theory

The highest level need in Maslow’s Hierarchy of Needs is:
A. esteem.
B. safety.
C. power.
D. belongingness.
E. self-actualization.

In Maslow’s needs hierarchy, the bottom four levels are collectively known as ___________ needs, whereas self-actualization is called a ______________ need.
A. belongingness, infinite
B. fictitious, factual
C. deficiency, growth
D. subordinate, superordinate
E. safety, reward

Which of these theories states that we are motivated by several needs, but the strongest source is the lowest unsatisfied need?
A. Four-drive Theory
B. Needs Hierarchy Theory
C. Equity Theory
D. Distributive Justice Theory
E. Learned Needs Theory

If individuals are unable to satisfy a particular need, the ERG theory states that they:
A. keep trying to fulfill this need until it is satisfied.
B. redirect their efforts towards fulfilling a higher need in the hierarchy.
C. permanently remove the blocked need from their list of needs to satisfy.
D. redirect their efforts towards fulfilling a lower need in the hierarchy.
E. any one of the four options above might occur depending on the individual.

Which of these motivation theories arranges employee needs in a hierarchy of importance?
A. ERG Theory
B. Four-drive Theory
C. Expectancy Theory
D. McClelland’s Learned Needs Theory
E. ERG Theory and McClelland’s Learned Needs Theory

McClelland’s Learned Needs Theory does NOT include which of these needs?
A. Safety need
B. Achievement need
C. Socialized power need
D. Personalized power need
E. Affiliation need

The desire to seek approval from others, conform to their wishes and expectations, and avoid conflict and confrontations is called:
A. Need for affiliation
B. Need for power
C. Need for achievement
D. Need for safety
E. Need for existence

According to the Four-drive Theory, which of the following is the foundation of competition and the basis of our need for esteem?
A. Drive to acquire
B. Physiological needs
C. Drive to defend
D. Drive to bond
E. Drive to learn

In the Four-drive Theory, the drive ______ is most closely associated with the need for relative status and recognition.
A. to bond
B. for fairness
C. to achieve goals
D. to acquire
E. for feedback

In the Four-drive Theory, the drive ______ is the drive to form social relationships and develop mutual caring commitments with others.
A. to bond
B. for fairness
C. to defend
D. to acquire
E. to achieve goals

The Four-drive Theory is based on the idea that:
A. needs can be learned.
B. needs form a permanent hierarchy.
C. employee motivation is based on expectations.
D. the sources of employee needs are hard-wired through evolution.
E. people do not really have any needs.

According to Four-drive Theory, ______ are the conscious sources of human motivation.
A. co-workers
B. food and drink
C. emotional markers
D. drives
E. justice and equity

Which drive in the Four-drive Theory is reactive rather than proactive?
A. Drive to acquire
B. Drive to learn
C. Drive to defend
D. Drive to bond
E. Drive for power

One of the main implications of drives/needs-based theories of motivation is that:
A. employers should offer employees a choice of rewards.
B. employees should be given specific goals with plenty of feedback.
C. employers should give all employees the same employee benefits.
D. employers should select people with the best qualifications for the job.
E. drives/needs-based theories have no relevance for managing people in organizational settings.

Four-drive Theory recommends:
A. that companies should encourage employees to fulfill one drive at a time.
B. that companies should provide sufficient rewards, learning opportunities, and social interaction at the same time.
C. that companies should only hire people with a strong drive to defend.
D. that companies should create a work environment that routinely triggers the employee’s drive to defend.
E. None of the answers apply.

One of the main implications of Four-drive Theory is that:
A. employers should offer employees enough opportunity to keep all four drives in balance.
B. employees should be given specific goals with plenty of feedback.
C. employers should give all employees the same employee benefits.
D. employers should select people with the best qualifications for the job.
E. needs-based theories have no relevance for managing people in organizational settings.

Which motivation theory is based on the idea that work effort is directed toward behaviors that people believe will lead to desired outcomes?
A. Equity Theory
B. ERG Theory
C. Goal Setting Theory
D. The Four-drive Theory
E. Expectancy Theory

Expectancy Theory mainly helps us to predict an individual’s:
A. effort.
B. need for achievement.
C. distributive justice.
D. job satisfaction.
E. rewards.

An individual’s perceived probability that a particular level of effort will result in a particular level of performance refers to the:
A. E-to-P valance.
B. EP-to-PO outcome.
C. E-to-V expectancy.
D. E-to-P expectancy.
E. EV-to-PE outcome.

Which of the following statements about Expectancy Theory is FALSE?
A. Expectancy Theory is a needs-based theory of motivation.
B. E-to-P expectancies are influenced by the individual’s beliefs that he or she can successfully complete the task.
C. The process of employee motivation is explained reasonably well by Expectancy Theory.
D. One way to increase the P-to-O expectancy in the Expectancy Theory model is to accurately measure job performance.
E. Expectancy Theory has three main components relating to effort, performance and performance outcomes.

Which of these is found in the Expectancy Theory model?
A. P-to-O expectancy
B. E-to-O expectancy
C. V-to-E expectancy
D. P-to-E expectancy
E. O-to-P expectancy

Expectancy Theory mainly explains how employees:
A. have different needs at different times.
B. can use personal expectations to reduce work-related stress.
C. can motivate themselves through power.
D. have different levels of work effort based on their expectations of performance and reward outcomes.
E. compare their inputs and outcomes to other people.

Employees who believe that accomplishing a particular task will almost certainly result in a day off with pay would have:
A. an E-to-P expectancy above 100.
B. a P-to-O expectancy close to 1.
C. an outcome valence above 0.
D. an E-to-P expectancy close to minus 100.
E. a P-to-O expectancy close to 100.

According to Expectancy Theory, a reward that is not wanted has:
A. a high E-to-P expectancy.
B. an inappropriate comparison other.
C. a negative outcome valence.
D. a low P-to-O expectancy.
E. a low need for socialized power.

In Expectancy Theory, valence refers to the:
A. amount of effort a person puts towards a known goal.
B. individual’s perceived probability of performing the task at a particular level.
C. anticipated satisfaction or dissatisfaction that an individual feels towards an outcome.
D. individual’s perceived probability that his or her performance will lead to specific outcomes.
E. feelings that result from a comparison of the individual’s outcome/input ratio with the outcome/input ratio of a comparison other.

According to Expectancy Theory, providing counseling and coaching to an employee who lacks self-confidence is most likely to increase the employee’s:
A. V-to-O expectancy.
B. E-to-P expectancy.
C. P-to-E expectancy.
D. O-to-P expectancy.
E. P-to-O expectancy.

Employee motivation tends to increase when people are assigned to jobs for which they are qualified and they receive coaching to improve their self-confidence. Both of these practices improve employee motivation by:
A. reducing feelings of inequity.
B. increasing outcome valences.
C. satisfying existence needs.
D. increasing P-to-O expectancies.
E. increasing E-to-P expectancies.

According to Expectancy Theory, a skill-development training program would:
A. have no effect on employee motivation.
B. mainly increase the effort-to-performance expectancy.
C. mainly increase the performance-to-outcome expectancy.
D. mainly increase the valence of pay increases and other organizational outcomes.
E. mainly alter the comparison other.

Which of the following actions would increase employee motivation mainly by enhancing their effort-to-performance expectancy?
A. Convince employees that poor performance will not be rewarded.
B. Reward employees with things that they value.
C. Measure valance more accurately.
D. Let employees know that their chances of performing successfully are good.
E. All of the above.

One way to increase employee motivation by improving the P-to-O expectancies is to:
A. measure employee performance accurately.
B. convince employees that they are able to accomplish the task.
C. select employees with the required skills and knowledge.
D. provide sufficient time and resources to perform the task.
E. give everyone the same reward.

ABC Corp. introduced a training program that ensured everyone had the required knowledge and skills to perform the work. The company also brought in a performance-based reward system that accurately identified employees who performed better than others. These practices improve employee motivation by:
A. increasing employee needs.
B. reducing feelings of inequity.
C. improving E-to-P expectancies.
D. improving P-to-O expectancies.
E. both ‘C’ and ‘D’.

According to Expectancy Theory, which of the following actions would NOT alter outcome valences?
A. Show employees how their skills can accomplish the task.
B. Give employees a choice of rewards.
C. Minimize the presence of countervalent outcomes.
D. Distribute rewards that employees want.
E. Adapt the type of rewards offered to each employee’s dominant needs.

According to Expectancy Theory, giving more valued rewards to employees with higher job performance mainly increases motivation by:
A. strengthening the E-to-P expectancy.
B. increasing the valence of a $1,000 bonus.
C. weakening the E-to-P expectancy.
D. strengthening both the E-to-P and P-to-O expectancies.
E. strengthening the P-to-O expectancy.

Individualizing rewards enhances which Expectancy Theory component?
A. Performance expectancy
B. E-to-O expectancy
C. Valences of outcomes
D. E-to-P expectancy
E. V-to-E outcomes.

Goal setting influences employee behavior and performance mainly by improving:
A. situational contingencies and learned abilities.
B. aptitudes and learned abilities.
C. motivation and role perceptions.
D. role perceptions and learned abilities.
E. motivation and aptitudes.

Goal setting is most effective when:
A. the supervisor sets the goals before discussing them with the employee.
B. the goals stretch the employee’s abilities and motivation.
C. the goal statements are general rather than specific.
D. all of the above.
E. both ‘A’ and ‘B’.

Goal setting requires all of these conditions EXCEPT:
A. challenging goals.
B. relevant goals.
C. goal feedback.
D. goal commitment.
E. goal timeliness.

The optimal level of goal difficulty:
A. occurs where the goal is challenging but not impossible.
B. is the most challenging goal that the company can possibly imagine.
C. occurs only when employees set their own goal.
D. is the point at which the employee does not yet think the goal will ‘stretch’ them at all.
E. occurs only when both ‘A’ and ‘C’ exist.

To increase goal performance, employees should participate in the goal-setting process:
A. when employees would otherwise lack commitment to those goals.
B. whenever supervisors have any control over setting goals.
C. when employees possess knowledge that would improve goal quality.
D. Never – participation weakens the effectiveness of goal setting.
E. ‘A’ and ‘C’ only.

Feedback affects behavior and job performance by improving which of the following?
A. Motivation
B. Role perceptions
C. Learned ability
D. All of the above
E. Only ‘B’ and ‘C’

Effective feedback is all of the following EXCEPT:
A. sufficiently frequent.
B. timely.
C. general.
D. credible.
E. relevant.

Effective feedback:
A. is general enough that it applies to any employee.
B. is provided only through social sources.
C. is provided no more frequently than once every three months.
D. all of the above.
E. none of the above.

Which of the following statements about performance feedback is FALSE?
A. The optimal frequency of feedback depends on the type of job.
B. Feedback is more valuable when it comes from a credible source.
C. Feedback is more useful when it consists of general phrases, such as “Your sales are going well!” rather than specific phrases.
D. Feedback should be available to employees as soon as possible.
E. Feedback is relevant when it is linked to goals.

Employees who experience feelings of inequity tend to change their comparison other:
A. never; people do not change their comparison other to reduce inequity feelings.
B. every three or four months.
C. as the first strategy to correct feelings of inequity.
D. as the main way to alter their inputs.
E. if they can’t alter the outcome/input ratio through other means.

Which of the following theories suggests that employee motivation is influenced by what other people contribute to and receive from the organization?
A. Expectancy Theory
B. Equity Theory
C. Needs-based Theory
D. Need Theory
E. Goal Setting Theory

Inputs, outcomes, and comparison other are elements of:
A. Innate Drives Theory.
B. Maslow’s Needs Hierarchy.
C. Equity Theory.
D. Expectancy Theory.
E. Goal Setting Theory.

Susan and Courtney have been in the same job for about the same length of time and perform very similar tasks. Susan’s bonus for her performance over the past year was higher than Courtney’s bonus. Susan believes that Courtney’s job performance was lower than her job performance. Based on this information:
A. Susan would definitely have feelings of underreward inequity.
B. Susan would definitely have feelings of overreward inequity.
C. Susan would definitely feel that she is rewarded equitably.
D. Susan would never have Courtney as a comparison other.
E. we cannot determine Susan’s feelings of equity or inequity.

Employees who receive a fixed amount of pay each week and who feel underrewarded are most likely to:
A. reduce their work effort.
B. increase their work effort.
C. change their comparison other.
D. encourage the comparison other to reduce his or her work effort.
E. do none of the above.

According to Equity Theory:
A. we compare ourselves with a comparison other only when we are certain that inequity exists.
B. our comparison other never exists in real life.
C. our comparison other is always someone in another organization.
D. we choose people as comparison others only when we know that they receive fewer outcomes than we do.
E. none of these statements are true.

The distributive justice rule applies the concept of:
A. motivation.
B. individual needs.
C. equity.
D. goal setting.
E. None of the answers apply.

According to Equity Theory:
A. everyone has the same needs over their working life.
B. money should never be used to motivate employees.
C. employees must set their own goals.
D. the importance of inputs and outcomes varies from one person to the next.
E. improving job security and working conditions will improve job satisfaction and, consequently, employee motivation.

People who are ‘equity sensitive’ tend to:
A. avoid having a comparison other.
B. be tolerant of situations where they are underrewarded.
C. have a low E-to-P expectancy.
D. feel more comfortable in situations where they receive proportionately more than others.
E. want their outcome/input ratio to be equal to the outcome/input ratio of the comparison other.

In the equity sensitivity literature, ‘entitleds’:
A. feel uncomfortable when they receive more rewards than they should receive.
B. feel that everyone is entitled to receive the same outcomes no matter what position they hold in the organization or how hard they work.
C. feel best when they receive proportionately more than others.
D. frequently experience overreward inequity but rarely experience underreward inequity.
E. lack any sensitivity to feelings of inequity.

It is often difficult to maintain feelings of equity among employees because:
A. most employees feel inequitably treated no matter how much they receive for their work effort.
B. the Equity Theory model does not apply to non-management employees.
C. most employees don’t know about feelings of equity.
D. each employee has different opinions regarding which inputs should be rewarded and which outcomes are more valuable than others.
E. All of the answers are correct.

Perceptions of procedural justice are influenced by both ____ rules and _____ rules.
A. conceptual, applied
B. innate, learned
C. structural, social
D. relatedness, growth
E. specific, general

Voice and the right to appeal are two important practices that influence:
A. the size of outcome valences.
B. a person’s innate drives.
C. a person’s location in maslow’s needs hierarchy.
D. perceptions of procedural justice.
E. whether companies should use 360-degree feedback or just supervisor feedback.

With respect to procedural justice, the “value-expressive” function which “voice” provides refers to:
A. the feeling employees get when they feel valued at work.
B. the way employees feel after voicing their opinions.
C. the cathartic benefits of shouting at each other.
D. the sense of pride employees derive when they are eloquent during presentations.
E. None of the answers are correct.

When people experience procedural injustice, they tend to:
A. engage in more organizational citizenship behaviors.
B. engage in counterproductive work behaviors.
C. be more likely to comply with higher authorities in the future.
D. change comparison others.
E. All of the answers are correct.

Essay Questions

Maslow’s Needs Hierarchy Theory was dismissed by experts more than three decades ago, yet Maslow’s writing has had a lasting and valuable effect by advocating a more holistic and humanistic approach to human motivation. Discuss these two approaches and point out how they were applied in Maslow’s Needs Hierarchy Theory.

Compare and contrast ERG Theory with McClelland’s Theory of Learned Needs.

Your organization wants to hire and develop a group of people for executive positions in a fast-growing high-technology firm. The company’s selection tests are able to identify each applicant’s current level of need for achievement, power (both types) and affiliation. Moreover, the company has special training programs to further develop these fast-track executives on these learned needs. Identify which learned needs the company should use to select these applicants and should further develop in the training programs.

A large manufacturer of Internet hardware wants to hire an executive who will help develop the firm’s marketing division. This executive must be a ‘team player’ by working with other executives. The successful candidate will also delegate more responsibility to the marketing professionals, but is responsible for making tough decisions regarding allocation of limited budgets. Describe the level of need for achievement, affiliation, and socialized and personalized power that the ideal candidate would have for this position. Your answer should also briefly define these terms.

Briefly describe the Four-drive Theory and explain how drives influence employee motivation.

Four-drive Theory offers a contemporary view of how individual drives influence behavior. The first part of the theory explains how drives generate emotions. Explain how these emotions are translated into employee behavior. Your answer should identify the three factors that people consider in this translation process.

Four-drive Theory is one of the few theories of motivation that recognizes the central role of human emotions in the motivation process. Explain how Four-drive Theory applies emotions to employee motivation.

Your organization wants to improve employee motivation. Employees already have strong P-to-O expectancies and the outcome valences are quite favorable for strong performance, but they seem to have a low E-to-P expectancy. Identify three distinct types of strategies that would potentially increase employee motivation by improving the E-to-P expectancy.

You want production employees at your company to be more motivated to complete their assignments more efficiently. They are confident that they can perform their jobs more efficiently and the rewards you give employees (pay checks, paid time off, etc.) are valued by these people. Identify the one element of Expectancy Theory that requires improvement and identify three possible actions that would increase employee motivation through this element.

You supervise two-dozen sales representatives covering every region of the country from your office at company headquarters. Describe a feedback strategy that might improve the performance of these employees with respect to increasing sales to new clients.

Jack Smith and Sam Clemens are neighbors who work as purchasing managers in different companies in the petrochemical industry. During one neighborly discussion, Jack learned that Sam’s salary was nearly 15% higher than his even though their job duties were similar. Other than this difference, both received similar benefits and seemed to enjoy their jobs and colleagues. Jack was upset about Sam’s higher salary although he hid his emotions from Sam (after all, it wasn’t Sam’s fault that they received different salary levels). Jack was frustrated not only because Sam received a significantly higher salary, but also because Jack was certain that he worked longer hours and was more productive than Sam. According to Equity Theory research, what will Jack probably do to reduce his upset feelings?

A large project engineering company assigns engineering, purchasing, marketing and support staff to client-based projects lasting anywhere from four months to one year. The project staff report to both the project leader and the manager of their functional specialization. For example, a marketing employee in Project Z would receive day-to-day instructions from the Project Z manager, but would receive career development guidance from the company’s director of marketing. The functional manager also places employees in future projects. In the past, project staff were evaluated by the employee’s project leader at the time of the annual performance evaluation. However, some employees complained that they had just started the project, so the project leader didn’t know their performance. The company wants to introduce a 360-degree feedback process to overcome this issue and other problems with the performance evaluation system. Describe the specific characteristics of a 360-degree feedback process for project staff at this company and identify two problems that the company should know about 360-degree feedback systems.

Why is it difficult to maintain feelings of equity among employees?

Chapter 05 Foundations of Employee Motivation Answer Key

True / False Questions

(p. 132)Motivation is closely related to the concept of employee engagement.
TRUE

AACSB: 3
BT: Knowledge
Difficulty: Easy

(p. 132)Motivation is one of the four essential drives of individual behavior and performance.
TRUE

AACSB: 3
BT: Knowledge
Difficulty: Easy

(p. 132)Most employers say that nowadays motivating employees is more challenging than it used to be.
TRUE

AACSB: 3
BT: Knowledge
Difficulty: Easy

(p. 132-133)The problem with the concept of employee engagement is that it lacks theoretical foundation.
FALSE

AACSB: 3
BT: Knowledge
Difficulty: Easy

(p. 132)The concept of employee engagement is related to motivation, but not role perception.
FALSE

AACSB: 3
BT: Knowledge
Difficulty: Medium

(p. 134)The stronger your needs, the less motivated you are to fulfill them.
FALSE

AACSB: 3
BT: Comprehension
Difficulty: Easy

(p. 134)Drives are needs, and are essential parts of human psychology.
FALSE

AACSB: 3
BT: Comprehension
Difficulty: Medium

(p. 134)In the context of motivation, drives are also called primary needs, fundamental needs, or innate needs.
TRUE

AACSB: 3
BT: Knowledge
Difficulty: Medium

(p. 135-136)Needs Hierarchy Theory explains how people develop perceptions of fairness in the distribution and exchange of resources.
FALSE

AACSB: 3
BT: Knowledge
Difficulty: Easy

(p. 135)Maslow’s Needs Hierarchy Theory incorporates only five basic categories.
TRUE

AACSB: 3
BT: Knowledge
Difficulty: Easy

(p. 136)Maslow’s Needs Hierarchy Theory states that people are motivated by only one need at a time.
FALSE

AACSB: 3
BT: Knowledge
Difficulty: Medium

(p. 136)According to Needs Hierarchy Theory, the need for self-actualization continues to develop even when it is fulfilled.
TRUE

AACSB: 3
BT: Knowledge
Difficulty: Medium

(p. 136)Abraham Maslow was the first to recognize that human thoughts play a role in motivation.
TRUE

AACSB: 3
BT: Knowledge
Difficulty: Medium

(p. 136)Maslow is credited for bringing a mechanistic perspective to the study of motivation.
FALSE

AACSB: 3
BT: Comprehension
Difficulty: Medium

(p. 138)ERG Theory recognizes three learned needs: achievement, affiliation and power.
FALSE

AACSB: 3
BT: Knowledge
Difficulty: Medium

(p. 138)According to ERG Theory, a person can regress down the hierarchy of needs when they fail to fulfill higher needs.
TRUE

AACSB: 3
BT: Knowledge
Difficulty: Medium

(p. 138)One advantage of ERG Theory over Maslow’s Needs Hierarchy Theory is that the ERG model seems to explain human motivation somewhat better.
TRUE

AACSB: 3
BT: Comprehension
Difficulty: Easy

(p. 138)Human needs cluster more neatly around the three needs categories in ERG Theory than the five needs categories in Maslow’s Needs Hierarchy.
TRUE

AACSB: 3
BT: Knowledge
Difficulty: Medium

(p. 138)A person’s hierarchy of needs is influenced by his or her values.
TRUE

AACSB: 3
BT: Comprehension
Difficulty: Medium

(p. 139)People with a high need for achievement tend to avoid risks and prefer working in teams.
FALSE

AACSB: 3
BT: Comprehension
Difficulty: Medium

(p. 139)Successful entrepreneurs tend to have a high need for achievement.
TRUE

AACSB: 3
BT: Comprehension
Difficulty: Easy

(p. 139)People with a high need for affiliation tend to be more effective in jobs that allocate scarce resources among employees.
FALSE

AACSB: 3
BT: Comprehension
Difficulty: Medium

(p. 139)People with a high need for affiliation tend to be more effective in jobs that require them to mediate conflicts.
TRUE

AACSB: 3
BT: Comprehension
Difficulty: Medium

(p. 139)According to Learned Needs Theory, people with a high personalized need for power enjoy power for its own sake and use it to advance their career rather than to benefit others.
TRUE

AACSB: 3
BT: Knowledge
Difficulty: Medium

(p. 139)According to Learned Needs Theory, companies should hire leaders with a strong need for personalized power.
FALSE

AACSB: 3
BT: Knowledge
Difficulty: Medium

(p. 140)Four-drive Theory states that people have a hierarchy of needs that they progress through as lower level needs are fulfilled.
FALSE

AACSB: 3
BT: Knowledge
Difficulty: Medium

(p. 140)Two drives identified in Four-drive Theory are the drive to acquire and the drive to bond.
TRUE

AACSB: 3
BT: Knowledge
Difficulty: Easy

(p. 140)According to Four-drive Theory, three drives are proactive (i.e. we actively seek to fulfill them) whereas the drive to defend is reactive (i.e. activated only in reaction to threat).
TRUE

AACSB: 3
BT: Knowledge
Difficulty: Medium

(p. 140)In Four-drive Theory, the drive to bond does not produce any emotional markers.
FALSE

AACSB: 3
BT: Knowledge
Difficulty: Medium

(p. 141)According to Four-drive Theory, social norms, past experience, and personal values translate emotional signals into goal-directed effort.
TRUE

AACSB: 3
BT: Comprehension
Difficulty: Difficult

(p. 142)According to Four-drive Theory, organizations maximize motivation by focusing employees on opportunities to fulfill only one of the four drives.
FALSE

AACSB: 3
BT: Comprehension
Difficulty: Medium

(p. 142)Four-drive Theory recommends keeping all four drives in “balance”; that is, organizations should avoid too much or too little opportunity to fulfill each drive.
TRUE

AACSB: 3
BT: Knowledge
Difficulty: Easy

(p. 143)Expectancy Theory of motivation states that people naturally direct their effort towards behaviors they believe are most likely to lead to desired outcomes.
TRUE

AACSB: 3
BT: Knowledge
Difficulty: Medium

(p. 143)According to Expectancy Theory, employee motivation will remain high when the P-to-O expectancy falls to zero.
FALSE

AACSB: 3
BT: Knowledge
Difficulty: Medium

(p. 143)In Expectancy Theory, the performance-to-outcome expectancy represents the anticipated satisfaction or dissatisfaction that an individual places on an outcome.
FALSE

AACSB: 3
BT: Knowledge
Difficulty: Easy

(p. 144)One way to increase an employee’s E-to-P expectancy regarding a specific task is to increase the person’s self-confidence through counseling and coaching.
TRUE

AACSB: 3
BT: Knowledge
Difficulty: Medium

(p. 145)According to Expectancy Theory, communicating the existence of a performance-based reward system motivates employees by increasing their outcome valences.
FALSE

AACSB: 3
BT: Comprehension
Difficulty: Medium

(p. 145)One of the main problems with Expectancy Theory of motivation is that it does not identify the comparison other in the motivation process.
FALSE

AACSB: 3
BT: Comprehension
Difficulty: Medium

(p. 145)One way to increase a person’s P-to-O expectancy is to measure his or her job performance more accurately.
TRUE

AACSB: 3
BT: Knowledge
Difficulty: Medium

(p. 145)Employee motivation is explained reasonably well by the Expectancy Theory model.
TRUE

AACSB: 3
BT: Knowledge
Difficulty: Easy

(p. 145)Expectancy Theory identifies emotions as a key component of employee motivation.
FALSE

AACSB: 3
BT: Knowledge
Difficulty: Medium

(p. 146)Goal setting potentially improves employee performance by increasing motivation and clarifying role perceptions.
TRUE

AACSB: 3
BT: Comprehension
Difficulty: Medium

(p. 146)Goal setting tends to be more effective when the goals are specific rather than general.
TRUE

AACSB: 3
BT: Knowledge
Difficulty: Easy

(p. 147)Goal setting is more effective when employees can easily complete the goals assigned to them.
FALSE

AACSB: 3
BT: Knowledge
Difficulty: Easy

(p. 147)The optimal level of goal difficulty occurs where the goal has more than a low level but less than a moderate level of goal difficulty.
FALSE

AACSB: 3
BT: Knowledge
Difficulty: Medium

(p. 147)Participation in goal formation tends to increase performance when employees lack commitment to assigned goals.
TRUE

AACSB: 3
BT: Knowledge
Difficulty: Easy

(p. 148)Feedback to employees is most effective when it is frequent, credible, and general.
FALSE

AACSB: 3
BT: Knowledge
Difficulty: Easy

(p. 148)Feedback can be more frequent when employees perform short rather than long job cycles.
TRUE

AACSB: 3
BT: Knowledge
Difficulty: Easy

(p. 150)The idea behind 360-degree feedback is that employees should receive feedback for 360 continuous days.
FALSE

AACSB: 3
BT: Knowledge
Difficulty: Easy

(p. 150)Research suggests that feedback originating only from the supervisor provides more complete and accurate information than feedback received through a 360-degree process.
FALSE

AACSB: 3
BT: Knowledge
Difficulty: Easy

(p. 150)Compared to supervisor-only feedback, 360-degree feedback tends to produce more ambiguous and conflicting feedback.
TRUE

AACSB: 3
BT: Knowledge
Difficulty: Medium

(p. 151)To learn about their progress towards goal accomplishment, employees usually prefer feedback from supervisors and other people.
FALSE

AACSB: 3
BT: Knowledge
Difficulty: Easy

(p. 151)Employees consider feedback from non-social sources to be more accurate than feedback from social sources.
TRUE

AACSB: 3
BT: Knowledge
Difficulty: Easy

(p. 151)When employees want to improve their self-image, they seek out positive feedback from social sources.
TRUE

AACSB: 3
BT: Knowledge
Difficulty: Easy

(p. 151)Combining goal setting with monetary incentives motivates many employees to set up difficult goals.
FALSE

AACSB: 3
BT: Comprehension
Difficulty: Medium

(p. 152)To determine the fairness of pay or other outcomes, people almost always rely on the equity principle.
FALSE

AACSB: 3
BT: Knowledge
Difficulty: Easy

(p. 151)The distributive justice principle states that everyone should receive the same rewards in life.
FALSE

AACSB: 3
BT: Knowledge
Difficulty: Easy

(p. 152)According to Equity Theory, employees feel inequity only when other people receive higher salaries than they do.
FALSE

AACSB: 3
BT: Knowledge
Difficulty: Easy

(p. 152)In the Equity Theory model, a ‘comparison other’ is an individual or group of people against whom the person compares his or her outcome/input ratio.
TRUE

AACSB: 3
BT: Knowledge
Difficulty: Easy

(p. 152)One of the most significant discoveries in Equity Theory research is that people tend to keep the same comparison other throughout their working lives.
FALSE

AACSB: 3
BT: Knowledge
Difficulty: Medium

(p. 152)Feelings of inequity occur when employees receive less than others, but not when they receive more than others.
FALSE

AACSB: 3
BT: Knowledge
Difficulty: Medium

(p. 152)Overreward inequity occurs whenever other people receive less money than you do.
FALSE

AACSB: 3
BT: Knowledge
Difficulty: Easy

(p. 152)Underreward inequity occurs when your outcome/input ratio is lower than the outcome/input ratio of a comparison other.
TRUE

AACSB: 3
BT: Knowledge
Difficulty: Easy

(p. 153)Equity Theory research has found that employees who feel overrewarded tend to alter their perceptions of inputs and outcomes rather than attempt to actually change them.
TRUE

AACSB: 3
BT: Knowledge
Difficulty: Medium

(p. 153)One of the most common consequences of overreward inequity is that overpaid employees try to increase their inputs by working harder.
FALSE

AACSB: 3
BT: Comprehension
Difficulty: Medium

(p. 154)‘Benevolents’ and ‘Entitleds’ represent opposing ends of the equity sensitivity continuum.
TRUE

AACSB: 3
BT: Knowledge
Difficulty: Easy

(p. 154)One problem with Equity Theory is that it incorrectly assumes people are individualistic, rational, and selfish.
FALSE

AACSB: 3
BT: Knowledge
Difficulty: Medium

(p. 155)Procedural justice is influenced by the policies and practices that decision makers follow as well as their standards of interpersonal conduct.
TRUE

AACSB: 3
BT: Knowledge
Difficulty: Difficult

(p. 155)Distributive justice increases directly with the extent that the decision allows voice, can be appealed, and has an unbiased decision maker.
FALSE

AACSB: 3
BT: Knowledge
Difficulty: Difficult

(p. 155)Giving employees an explanation for a negative decision has no effect on procedural justice.
FALSE

AACSB: 3
BT: Knowledge
Difficulty: Medium

(p. 155)Feelings of procedural injustice produce anger, which, in turn, generates either withdrawal or aggression.
TRUE

AACSB: 3
BT: Comprehension
Difficulty: Medium

Multiple Choice Questions

(p. 132)Motivating employees is more challenging today than two decades ago because:
A. employers have difficulty understanding the different needs and expectations that younger generation employees bring to the workplace.
B. there is more layers of management today, which makes it more difficult to motivate everyone in management positions.
C. corporate downsizing and reduced job security have damaged the levels of trust employees need to work beyond minimum levels.
D. All of the answers are correct.
E. employers have difficulty understanding the different needs and expectations that younger generation employees bring to the workplace, and corporate downsizing and reduced job security have damaged the levels of trust employees need to work beyond minimum levels.

AACSB: 3
BT: Comprehension
Difficulty: Difficult

(p. 133)Expectations of new workforce entrants has:
A. made employee motivation less relevant as an influence on job performance.
B. made it less difficult to motivate employees using financial rewards.
C. made it more difficult to identify what motivates employees.
D. made it impossible to use any form of goal setting.
E. had no effect on employee motivation.

AACSB: 3
BT: Knowledge
Difficulty: Medium

(p. 133)All of the following are reasons given for why some employees are “disengaged” EXCEPT:
A. Companies have not adjusted to the changing needs and expectations of the new workforce.
B. Corporate restructuring (downsizing) has undermined commitment and trust among employees.
C. Pressures from globalization and information technology make it harder to motivate employees beyond minimum standards.
D. Employees aged 25 to 34 sometimes or frequently feel demotivated.
E. Basic needs have already been provided and satisfied. Therefore higher-level needs are harder for employers to anticipate and offer.

AACSB: 3
BT: Knowledge
Difficulty: Medium

(p. 134)_________ produce emotions, whereas _________ represent the motivational force of those emotions which are channeled toward particular goals.
A. Drives, needs
B. Needs, drives
C. Thinking, doing
D. Planning, projecting
E. None of the above is correct.

AACSB: 3
BT: Knowledge
Difficulty: Medium

(p. 134)Which of the following statements about drives is FALSE?
A. They are also called primary needs.
B. They activate emotions, which put us in a state of readiness to act.
C. They include only basic physiological essentials, such as hunger and thirst.
D. Drives and emotions represent the primary sources of motivation.
E. All of the above are correct.

AACSB: 3
BT: Knowledge
Difficulty: Medium

(p. 134-135)Self-concept, social norms, and past experiences help us:
A. adjust our level of drive-based emotions.
B. regulate our decisions and behaviors.
C. adjust our drive-based emotions, but not our behaviors.
D. make unemotional decisions based on reason and logic.
E. adjust our level of drive-based needs, and regulate our decisions and behaviors.

AACSB: 3
BT: Comprehension
Difficulty: Medium

(p. 136)Needs Hierarchy Theory includes all of the following concepts EXCEPT:
A. self-actualization.
B. frustration-regression.
C. esteem.
D. belongingness.
E. physiological needs.

AACSB: 3
BT: Knowledge
Difficulty: Easy

(p. 135)Which of these is the most widely known theory of human motivation?
A. Maslow’s Needs Hierarchy Theory
B. Expectancy Theory
C. Goal Setting Theory
D. Equity Theory
E. Learned Needs Theory

AACSB: 3
BT: Knowledge
Difficulty: Easy

(p. 135)The highest level need in Maslow’s Hierarchy of Needs is:
A. esteem.
B. safety.
C. power.
D. belongingness.
E. self-actualization.

AACSB: 3
BT: Knowledge
Difficulty: Easy

(p. 136)In Maslow’s needs hierarchy, the bottom four levels are collectively known as ___________ needs, whereas self-actualization is called a ______________ need.
A. belongingness, infinite
B. fictitious, factual
C. deficiency, growth
D. subordinate, superordinate
E. safety, reward

AACSB: 3
BT: Knowledge
Difficulty: Medium

(p. 136)Which of these theories states that we are motivated by several needs, but the strongest source is the lowest unsatisfied need?
A. Four-drive Theory
B. Needs Hierarchy Theory
C. Equity Theory
D. Distributive Justice Theory
E. Learned Needs Theory

AACSB: 3
BT: Knowledge
Difficulty: Easy

(p. 138)If individuals are unable to satisfy a particular need, the ERG theory states that they:
A. keep trying to fulfill this need until it is satisfied.
B. redirect their efforts towards fulfilling a higher need in the hierarchy.
C. permanently remove the blocked need from their list of needs to satisfy.
D. redirect their efforts towards fulfilling a lower need in the hierarchy.
E. any one of the four options above might occur depending on the individual.

AACSB: 3
BT: Knowledge
Difficulty: Easy

(p. 138)Which of these motivation theories arranges employee needs in a hierarchy of importance?
A. ERG Theory
B. Four-drive Theory
C. Expectancy Theory
D. McClelland’s Learned Needs Theory
E. ERG Theory and McClelland’s Learned Needs Theory

AACSB: 3
BT: Knowledge
Difficulty: Medium

(p. 139)McClelland’s Learned Needs Theory does NOT include which of these needs?
A. Safety need
B. Achievement need
C. Socialized power need
D. Personalized power need
E. Affiliation need

AACSB: 3
BT: Knowledge
Difficulty: Easy

(p. 139)The desire to seek approval from others, conform to their wishes and expectations, and avoid conflict and confrontations is called:
A. Need for affiliation
B. Need for power
C. Need for achievement
D. Need for safety
E. Need for existence

AACSB: 3
BT: Knowledge
Difficulty: Easy

(p. 140)According to the Four-drive Theory, which of the following is the foundation of competition and the basis of our need for esteem?
A. Drive to acquire
B. Physiological needs
C. Drive to defend
D. Drive to bond
E. Drive to learn

AACSB: 3
BT: Knowledge
Difficulty: Medium

(p. 140)In the Four-drive Theory, the drive ______ is most closely associated with the need for relative status and recognition.
A. to bond
B. for fairness
C. to achieve goals
D. to acquire
E. for feedback

AACSB: 3
BT: Knowledge
Difficulty: Medium

(p. 140)In the Four-drive Theory, the drive ______ is the drive to form social relationships and develop mutual caring commitments with others.
A. to bond
B. for fairness
C. to defend
D. to acquire
E. to achieve goals

AACSB: 3
BT: Knowledge
Difficulty: Easy

(p. 140-141)The Four-drive Theory is based on the idea that:
A. needs can be learned.
B. needs form a permanent hierarchy.
C. employee motivation is based on expectations.
D. the sources of employee needs are hard-wired through evolution.
E. people do not really have any needs.

AACSB: 3
BT: Knowledge
Difficulty: Easy

(p. 141)According to Four-drive Theory, ______ are the conscious sources of human motivation.
A. co-workers
B. food and drink
C. emotional markers
D. drives
E. justice and equity

AACSB: 3
BT: Knowledge
Difficulty: Easy

(p. 140)Which drive in the Four-drive Theory is reactive rather than proactive?
A. Drive to acquire
B. Drive to learn
C. Drive to defend
D. Drive to bond
E. Drive for power

AACSB: 3
BT: Knowledge
Difficulty: Medium

(p. 141)One of the main implications of drives/needs-based theories of motivation is that:
A. employers should offer employees a choice of rewards.
B. employees should be given specific goals with plenty of feedback.
C. employers should give all employees the same employee benefits.
D. employers should select people with the best qualifications for the job.
E. drives/needs-based theories have no relevance for managing people in organizational settings.

AACSB: 3
BT: Comprehension
Difficulty: Medium

(p. 142)Four-drive Theory recommends:
A. that companies should encourage employees to fulfill one drive at a time.
B. that companies should provide sufficient rewards, learning opportunities, and social interaction at the same time.
C. that companies should only hire people with a strong drive to defend.
D. that companies should create a work environment that routinely triggers the employee’s drive to defend.
E. None of the answers apply.

AACSB: 3
BT: Knowledge
Difficulty: Medium

(p. 142)One of the main implications of Four-drive Theory is that:
A. employers should offer employees enough opportunity to keep all four drives in balance.
B. employees should be given specific goals with plenty of feedback.
C. employers should give all employees the same employee benefits.
D. employers should select people with the best qualifications for the job.
E. needs-based theories have no relevance for managing people in organizational settings.

AACSB: 3
BT: Knowledge
Difficulty: Medium

(p. 143)Which motivation theory is based on the idea that work effort is directed toward behaviors that people believe will lead to desired outcomes?
A. Equity Theory
B. ERG Theory
C. Goal Setting Theory
D. The Four-drive Theory
E. Expectancy Theory

AACSB: 3
BT: Knowledge
Difficulty: Medium

(p. 143)Expectancy Theory mainly helps us to predict an individual’s:
A. effort.
B. need for achievement.
C. distributive justice.
D. job satisfaction.
E. rewards.

AACSB: 3
BT: Knowledge
Difficulty: Medium

(p. 143)An individual’s perceived probability that a particular level of effort will result in a particular level of performance refers to the:
A. E-to-P valance.
B. EP-to-PO outcome.
C. E-to-V expectancy.
D. E-to-P expectancy.
E. EV-to-PE outcome.

AACSB: 3
BT: Knowledge
Difficulty: Medium

(p. 144)Which of the following statements about Expectancy Theory is FALSE?
A. Expectancy Theory is a needs-based theory of motivation.
B. E-to-P expectancies are influenced by the individual’s beliefs that he or she can successfully complete the task.
C. The process of employee motivation is explained reasonably well by Expectancy Theory.
D. One way to increase the P-to-O expectancy in the Expectancy Theory model is to accurately measure job performance.
E. Expectancy Theory has three main components relating to effort, performance and performance outcomes.

AACSB: 3
BT: Comprehension
Difficulty: Medium

(p. 143)Which of these is found in the Expectancy Theory model?
A. P-to-O expectancy
B. E-to-O expectancy
C. V-to-E expectancy
D. P-to-E expectancy
E. O-to-P expectancy

AACSB: 3
BT: Knowledge
Difficulty: Easy

(p. 143)Expectancy Theory mainly explains how employees:
A. have different needs at different times.
B. can use personal expectations to reduce work-related stress.
C. can motivate themselves through power.
D. have different levels of work effort based on their expectations of performance and reward outcomes.
E. compare their inputs and outcomes to other people.

AACSB: 3
BT: Comprehension
Difficulty: Easy

(p. 143)Employees who believe that accomplishing a particular task will almost certainly result in a day off with pay would have:
A. an E-to-P expectancy above 100.
B. a P-to-O expectancy close to 1.
C. an outcome valence above 0.
D. an E-to-P expectancy close to minus 100.
E. a P-to-O expectancy close to 100.

AACSB: 3
BT: Comprehension
Difficulty: Difficult

(p. 144)According to Expectancy Theory, a reward that is not wanted has:
A. a high E-to-P expectancy.
B. an inappropriate comparison other.
C. a negative outcome valence.
D. a low P-to-O expectancy.
E. a low need for socialized power.

AACSB: 3
BT: Comprehension
Difficulty: Medium

(p. 144)In Expectancy Theory, valence refers to the:
A. amount of effort a person puts towards a known goal.
B. individual’s perceived probability of performing the task at a particular level.
C. anticipated satisfaction or dissatisfaction that an individual feels towards an outcome.
D. individual’s perceived probability that his or her performance will lead to specific outcomes.
E. feelings that result from a comparison of the individual’s outcome/input ratio with the outcome/input ratio of a comparison other.

AACSB: 3
BT: Knowledge
Difficulty: Medium

(p. 144)According to Expectancy Theory, providing counseling and coaching to an employee who lacks self-confidence is most likely to increase the employee’s:
A. V-to-O expectancy.
B. E-to-P expectancy.
C. P-to-E expectancy.
D. O-to-P expectancy.
E. P-to-O expectancy.

AACSB: 3
BT: Comprehension
Difficulty: Medium

(p. 145)Employee motivation tends to increase when people are assigned to jobs for which they are qualified and they receive coaching to improve their self-confidence. Both of these practices improve employee motivation by:
A. reducing feelings of inequity.
B. increasing outcome valences.
C. satisfying existence needs.
D. increasing P-to-O expectancies.
E. increasing E-to-P expectancies.

AACSB: 3
BT: Comprehension
Difficulty: Medium

(p. 145)According to Expectancy Theory, a skill-development training program would:
A. have no effect on employee motivation.
B. mainly increase the effort-to-performance expectancy.
C. mainly increase the performance-to-outcome expectancy.
D. mainly increase the valence of pay increases and other organizational outcomes.
E. mainly alter the comparison other.

AACSB: 3
BT: Comprehension
Difficulty: Difficult

(p. 145)Which of the following actions would increase employee motivation mainly by enhancing their effort-to-performance expectancy?
A. Convince employees that poor performance will not be rewarded.
B. Reward employees with things that they value.
C. Measure valance more accurately.
D. Let employees know that their chances of performing successfully are good.
E. All of the above.

AACSB: 3
BT: Comprehension
Difficulty: Difficult

(p. 145)One way to increase employee motivation by improving the P-to-O expectancies is to:
A. measure employee performance accurately.
B. convince employees that they are able to accomplish the task.
C. select employees with the required skills and knowledge.
D. provide sufficient time and resources to perform the task.
E. give everyone the same reward.

AACSB: 3
BT: Comprehension
Difficulty: Difficult

(p. 145)ABC Corp. introduced a training program that ensured everyone had the required knowledge and skills to perform the work. The company also brought in a performance-based reward system that accurately identified employees who performed better than others. These practices improve employee motivation by:
A. increasing employee needs.
B. reducing feelings of inequity.
C. improving E-to-P expectancies.
D. improving P-to-O expectancies.
E. both ‘C’ and ‘D’.

AACSB: 3
BT: Application
Difficulty: Medium

(p. 145)According to Expectancy Theory, which of the following actions would NOT alter outcome valences?
A. Show employees how their skills can accomplish the task.
B. Give employees a choice of rewards.
C. Minimize the presence of countervalent outcomes.
D. Distribute rewards that employees want.
E. Adapt the type of rewards offered to each employee’s dominant needs.

AACSB: 3
BT: Comprehension
Difficulty: Difficult

(p. 145)According to Expectancy Theory, giving more valued rewards to employees with higher job performance mainly increases motivation by:
A. strengthening the E-to-P expectancy.
B. increasing the valence of a $1,000 bonus.
C. weakening the E-to-P expectancy.
D. strengthening both the E-to-P and P-to-O expectancies.
E. strengthening the P-to-O expectancy.

AACSB: 3
BT: Comprehension
Difficulty: Difficult

(p. 145)Individualizing rewards enhances which Expectancy Theory component?
A. Performance expectancy
B. E-to-O expectancy
C. Valences of outcomes
D. E-to-P expectancy
E. V-to-E outcomes.

AACSB: 3
BT: Knowledge
Difficulty: Easy

(p. 146)Goal setting influences employee behavior and performance mainly by improving:
A. situational contingencies and learned abilities.
B. aptitudes and learned abilities.
C. motivation and role perceptions.
D. role perceptions and learned abilities.
E. motivation and aptitudes.

AACSB: 3
BT: Comprehension
Difficulty: Medium

(p. 147)Goal setting is most effective when:
A. the supervisor sets the goals before discussing them with the employee.
B. the goals stretch the employee’s abilities and motivation.
C. the goal statements are general rather than specific.
D. all of the above.
E. both ‘A’ and ‘B’.

AACSB: 3
BT: Knowledge
Difficulty: Medium

(p. 147)Goal setting requires all of these conditions EXCEPT:
A. challenging goals.
B. relevant goals.
C. goal feedback.
D. goal commitment.
E. goal timeliness.

AACSB: 3
BT: Knowledge
Difficulty: Medium

(p. 147)The optimal level of goal difficulty:
A. occurs where the goal is challenging but not impossible.
B. is the most challenging goal that the company can possibly imagine.
C. occurs only when employees set their own goal.
D. is the point at which the employee does not yet think the goal will ‘stretch’ them at all.
E. occurs only when both ‘A’ and ‘C’ exist.

AACSB: 3
BT: Knowledge
Difficulty: Medium

(p. 147)To increase goal performance, employees should participate in the goal-setting process:
A. when employees would otherwise lack commitment to those goals.
B. whenever supervisors have any control over setting goals.
C. when employees possess knowledge that would improve goal quality.
D. Never – participation weakens the effectiveness of goal setting.
E. ‘A’ and ‘C’ only.

AACSB: 3
BT: Comprehension
Difficulty: Difficult

(p. 148)Feedback affects behavior and job performance by improving which of the following?
A. Motivation
B. Role perceptions
C. Learned ability
D. All of the above
E. Only ‘B’ and ‘C’

AACSB: 3
BT: Comprehension
Difficulty: Medium

(p. 148)Effective feedback is all of the following EXCEPT:
A. sufficiently frequent.
B. timely.
C. general.
D. credible.
E. relevant.

AACSB: 3
BT: Knowledge
Difficulty: Medium

(p. 148)Effective feedback:
A. is general enough that it applies to any employee.
B. is provided only through social sources.
C. is provided no more frequently than once every three months.
D. all of the above.
E. none of the above.

AACSB: 3
BT: Knowledge
Difficulty: Medium

(p. 149)Which of the following statements about performance feedback is FALSE?
A. The optimal frequency of feedback depends on the type of job.
B. Feedback is more valuable when it comes from a credible source.
C. Feedback is more useful when it consists of general phrases, such as “Your sales are going well!” rather than specific phrases.
D. Feedback should be available to employees as soon as possible.
E. Feedback is relevant when it is linked to goals.

AACSB: 3
BT: Comprehension
Difficulty: Medium

(p. 152)Employees who experience feelings of inequity tend to change their comparison other:
A. never; people do not change their comparison other to reduce inequity feelings.
B. every three or four months.
C. as the first strategy to correct feelings of inequity.
D. as the main way to alter their inputs.
E. if they can’t alter the outcome/input ratio through other means.

AACSB: 3
BT: Comprehension
Difficulty: Medium

(p. 152)Which of the following theories suggests that employee motivation is influenced by what other people contribute to and receive from the organization?
A. Expectancy Theory
B. Equity Theory
C. Needs-based Theory
D. Need Theory
E. Goal Setting Theory

AACSB: 3
BT: Knowledge
Difficulty: Easy

(p. 152)Inputs, outcomes, and comparison other are elements of:
A. Innate Drives Theory.
B. Maslow’s Needs Hierarchy.
C. Equity Theory.
D. Expectancy Theory.
E. Goal Setting Theory.

AACSB: 3
BT: Knowledge
Difficulty: Easy

(p. 153)Susan and Courtney have been in the same job for about the same length of time and perform very similar tasks. Susan’s bonus for her performance over the past year was higher than Courtney’s bonus. Susan believes that Courtney’s job performance was lower than her job performance. Based on this information:
A. Susan would definitely have feelings of underreward inequity.
B. Susan would definitely have feelings of overreward inequity.
C. Susan would definitely feel that she is rewarded equitably.
D. Susan would never have Courtney as a comparison other.
E. we cannot determine Susan’s feelings of equity or inequity.

AACSB: 3
BT: Comprehension
Difficulty: Difficult

(p. 153)Employees who receive a fixed amount of pay each week and who feel underrewarded are most likely to:
A. reduce their work effort.
B. increase their work effort.
C. change their comparison other.
D. encourage the comparison other to reduce his or her work effort.
E. do none of the above.

AACSB: 3
BT: Comprehension
Difficulty: Easy

(p. 153)According to Equity Theory:
A. we compare ourselves with a comparison other only when we are certain that inequity exists.
B. our comparison other never exists in real life.
C. our comparison other is always someone in another organization.
D. we choose people as comparison others only when we know that they receive fewer outcomes than we do.
E. none of these statements are true.

AACSB: 3
BT: Comprehension
Difficulty: Medium

(p. 151)The distributive justice rule applies the concept of:
A. motivation.
B. individual needs.
C. equity.
D. goal setting.
E. None of the answers apply.

AACSB: 3
BT: Comprehension
Difficulty: Easy

(p. 152)According to Equity Theory:
A. everyone has the same needs over their working life.
B. money should never be used to motivate employees.
C. employees must set their own goals.
D. the importance of inputs and outcomes varies from one person to the next.
E. improving job security and working conditions will improve job satisfaction and, consequently, employee motivation.

AACSB: 3
BT: Comprehension
Difficulty: Medium

(p. 152)People who are ‘equity sensitive’ tend to:
A. avoid having a comparison other.
B. be tolerant of situations where they are underrewarded.
C. have a low E-to-P expectancy.
D. feel more comfortable in situations where they receive proportionately more than others.
E. want their outcome/input ratio to be equal to the outcome/input ratio of the comparison other.

AACSB: 3
BT: Knowledge
Difficulty: Difficult

(p. 154)In the equity sensitivity literature, ‘entitleds’:
A. feel uncomfortable when they receive more rewards than they should receive.
B. feel that everyone is entitled to receive the same outcomes no matter what position they hold in the organization or how hard they work.
C. feel best when they receive proportionately more than others.
D. frequently experience overreward inequity but rarely experience underreward inequity.
E. lack any sensitivity to feelings of inequity.

AACSB: 3
BT: Knowledge
Difficulty: Difficult

(p. 154)It is often difficult to maintain feelings of equity among employees because:
A. most employees feel inequitably treated no matter how much they receive for their work effort.
B. the Equity Theory model does not apply to non-management employees.
C. most employees don’t know about feelings of equity.
D. each employee has different opinions regarding which inputs should be rewarded and which outcomes are more valuable than others.
E. All of the answers are correct.

AACSB: 3
BT: Comprehension
Difficulty: Medium

(p. 155)Perceptions of procedural justice are influenced by both ____ rules and _____ rules.
A. conceptual, applied
B. innate, learned
C. structural, social
D. relatedness, growth
E. specific, general

AACSB: 3
BT: Comprehension
Difficulty: Medium

(p. 155)Voice and the right to appeal are two important practices that influence:
A. the size of outcome valences.
B. a person’s innate drives.
C. a person’s location in maslow’s needs hierarchy.
D. perceptions of procedural justice.
E. whether companies should use 360-degree feedback or just supervisor feedback.

AACSB: 3
BT: Comprehension
Difficulty: Medium

(p. 155)With respect to procedural justice, the “value-expressive” function which “voice” provides refers to:
A. the feeling employees get when they feel valued at work.
B. the way employees feel after voicing their opinions.
C. the cathartic benefits of shouting at each other.
D. the sense of pride employees derive when they are eloquent during presentations.
E. None of the answers are correct.

AACSB: 3
BT: Comprehension
Difficulty: Difficult

(p. 156)When people experience procedural injustice, they tend to:
A. engage in more organizational citizenship behaviors.
B. engage in counterproductive work behaviors.
C. be more likely to comply with higher authorities in the future.
D. change comparison others.
E. All of the answers are correct.

AACSB: 3
BT: Comprehension
Difficulty: Easy

Essay Questions

(p. 135-136)Maslow’s Needs Hierarchy Theory was dismissed by experts more than three decades ago, yet Maslow’s writing has had a lasting and valuable effect by advocating a more holistic and humanistic approach to human motivation. Discuss these two approaches and point out how they were applied in Maslow’s Needs Hierarchy Theory.

Students should describe each of these three philosophies of motivation thinking and identify how they exist in Maslow’s own needs hierarchy theory. Here are the key points:

Holistic. This is the view that needs and drives should be studied together, not piecemeal, because their effects are influenced by other needs and drives, not independently. Maslow’s Needs Hierarchy Theory takes a holistic approach by condensing the long list of needs into a hierarchy of five basic categories, and describes the effect of these needs on motivation in terms of each need’s relationship to other needs (the lowest level need is strongest; people move to a higher need when the lower one is fulfilled, etc.).

Humanistic. The humanistic approach refers to the notion that motivation is influenced at least partly by human thought and social influences rather than just instinct. This contrasts with early motivation research which mainly investigated instinctive forms of motivation. This humanistic approach is apparent in needs hierarchy theory because it introduced growth needs rather than just deficiency needs. Growth needs (self-actualization) involves thinking rather than instinctive wants. Social status also likely has a social rather than purely instinctive influence.

AACSB: 1, 3, 6
BT: Comprehension
Difficulty: Medium

(p. 138-139)Compare and contrast ERG Theory with McClelland’s Theory of Learned Needs.

The main similarity between these two theories is that they are both needs-based theories of motivation. In other words, both theories try to explain why people have certain needs at various times. The two theories also refer to needs that are somewhat similar (i.e. affiliation/relatedness, achievement, growth), although they take different perspectives regarding the foundation of these needs.

ERG Theory and McClelland’s Theory of Learned Needs differ in several ways. ERG Theory deals with primary needs — needs that are instinctive. In contrast, McClelland’s Theory refers to secondary needs — needs that are learned and reinforced rather than instinctive. Another difference is that ERG Theory proposes a needs hierarchy — that some needs have more importance than others at certain points in time. McClelland’s Theory does not propose a needs hierarchy. A third difference is that ERG Theory includes existence (physiological) needs whereas McClelland’s Theory does not.

AACSB: 1, 3, 6
BT: Comprehension
Difficulty: Medium

(p. 139)Your organization wants to hire and develop a group of people for executive positions in a fast-growing high-technology firm. The company’s selection tests are able to identify each applicant’s current level of need for achievement, power (both types) and affiliation. Moreover, the company has special training programs to further develop these fast-track executives on these learned needs. Identify which learned needs the company should use to select these applicants and should further develop in the training programs.

Need for socialized power. Effective executives have a high need for socialized power because this motivates them to acquire power to benefit the organization. Therefore, applicants should be selected if they have high levels of this need, and they should receive further training to develop this socialized power need.

Need for personalized power. Effective executives have low levels of personalized power because this motivates them to acquire power for personal gain. Thus, applicants with high levels of this need should be screened out. Moreover, these people should not receive any training to develop this need.

Need for affiliation. Effective executives have a relatively low need for affiliation so that their choices and actions are not biased by a personal need for approval. Thus, applicants with high levels of this need should be screened out. Moreover, these people should not receive any training to develop this need.

Need for achievement. Effective executives have a moderate (neither too high nor too low) need for achievement. If too high, executives have difficulty delegating work and involving employees. If too low, executives are not motivated enough to work towards challenging goals. Thus, applicants should be selected if they have moderate levels of this need. Training probably should not be provided, unless some of these people currently have low need for achievement.

AACSB: 1, 3, 6
BT: Comprehension
Difficulty: Difficult

(p. 139)A large manufacturer of Internet hardware wants to hire an executive who will help develop the firm’s marketing division. This executive must be a ‘team player’ by working with other executives. The successful candidate will also delegate more responsibility to the marketing professionals, but is responsible for making tough decisions regarding allocation of limited budgets. Describe the level of need for achievement, affiliation, and socialized and personalized power that the ideal candidate would have for this position. Your answer should also briefly define these terms.

To answer this question, students need to briefly define each term, then identify the level of each need.

Need for achievement (nAch). This is a learned need that causes people to want to accomplish reasonably challenging goals through their own efforts. The textbook indicates that people with a high nAch prefer working alone rather than in teams. The position in this question calls for someone who is a team player, so the person should have somewhat lower nAch because they must delegate work and build support through involvement. This does not mean that nAch should be low. Rather, it should not be extremely high (as found in entrepreneurs). Some students might note that high nAch people may perform well in large companies where they are given considerable independence — as though they are running their own business. However, this clearly indicates that the marketing executive is working with the executive team.

Need for affiliation (nAff). This is a learned need that causes people to seek approval from others, conform to their wishes and expectations, and avoid conflict and confrontation. The textbook indicates that decision makers (including executives) should have a relatively low level of nAff because people with high nAff are less effective at allocating scarce resources and making other decisions that potentially generate conflict. The ideal candidate for this position should have a relatively low nAff so that his or her choices and actions are not biased by a personal need for approval.

Need for power (nPow). This is a learned need that causes people to want to exercise control over others and are concerned about maintaining their leadership position. Those with a high personalized need for power enjoy their power for its own sake and use it to advance their career and other personal interests. Those with a high socialized need for power want power as a means to help others, such as improving society or increasing organizational effectiveness. The ideal executive should have a low personalized need for power and a high socialized need for power so that power is directed towards fulfillment of organizational objectives.

AACSB: 1, 3, 6
BT: Application
Difficulty: Difficult

(p. 140)Briefly describe the Four-drive Theory and explain how drives influence employee motivation.

The four drives are:

Drive to acquire: This is the drive to seek, take, control, and retain objects and personal experiences.

Drive to bond: This is the drive to form social relationships and develop mutual caring commitments with others.

Drive to learn: This is the drive to satisfy our curiosity, to know and understand ourselves and the environment around us.

Drive to defend: This drive creates a fight-or-flight response in the face of personal danger.

Every bit of information we receive is quickly and non-consciously tagged with emotional markers that subsequently shape our logical analysis of the situation. According to Four-drive Theory, these four drives determine which emotions are tagged to incoming stimuli. Four-drive Theory states that competing drives (i.e. conflicting emotions) demand our attention, which causes us to choose a course of action based on our social norms, past experience, and personal values. In other words, our conscious analysis of competing demands from the four drives generates needs that energize us to act in ways acceptable to society and our own moral compass.

AACSB: 1, 3
BT: Comprehension
Difficulty: Easy

(p. 141)Four-drive Theory offers a contemporary view of how individual drives influence behavior. The first part of the theory explains how drives generate emotions. Explain how these emotions are translated into employee behavior. Your answer should identify the three factors that people consider in this translation process.

This question asks students to describe the second half of the Four-drive Theory process. To answer this question, students need to state that when emotions are raised to a level of consciousness (which often occurs when emotions compete with each other). When aware of this internal conflict, people rely on a built-in skill set to resolve these dilemmas. These skills take into account social norms, past experience, and personal values. The result is goal-directed decision and effort that fits within the constraints of cultural and moral expectations. In other words, the conscious analysis of competing demands from the four drives generates needs that energize people to act in ways acceptable to society and our own moral compass.

AACSB: 1, 3, 6
BT: Comprehension
Difficulty: Medium

(p. 141-142)Four-drive Theory is one of the few theories of motivation that recognizes the central role of human emotions in the motivation process. Explain how Four-drive Theory applies emotions to employee motivation.

Four-drive Theory recognizes that we perceive information from the external environment both rationally and emotionally. The emotional centre, which operates faster than the rational centre, relies on the innate drive to code the relevance and strength of the perceived information. Situations that violate or support these drives receive emotional markers (fear, excitement, anger, etc.). The emotionally coded information is transmitted to the rational centre of the brain where it is evaluated in the context of memory and competencies. The rational centre then makes a conscious choice that motivates behavior.

The four drives speed up the decision-making process because the emotional markers created by these drives highlight the alternative actions to avoid and the alternatives to favor. Emotional markers also become the conscious sources of human motivation.

AACSB: 1, 3, 6
BT: Comprehension
Difficulty: Difficult

(p. 143-144)Your organization wants to improve employee motivation. Employees already have strong P-to-O expectancies and the outcome valences are quite favorable for strong performance, but they seem to have a low E-to-P expectancy. Identify three distinct types of strategies that would potentially increase employee motivation by improving the E-to-P expectancy.

The E-to-P expectancy may be improved generally by increasing the individual’s abilities and self-perceptions of ability, and by providing favorable situational contingencies. There are three basic strategies for improving the individual’s ability to perform the job. First, the organization should select people with the required skills and knowledge to perform the job. Second, the organization should provide sufficient training to enable the person to do the job proficiently. Third, for those who lack the skills or knowledge to perform the whole job, managers might temporarily reduce the job requirements. Specifically, aspects of the job that are beyond the individual’s qualifications may be temporarily assigned to other people.

To improve the person’s perceived ability to perform the job, managers could show employees how their skills can accomplish the task. They could provide evidence and examples that similar employees have been successful in this job. Managers should provide encouragement and support to employees who lack self-confidence. They should provide feedback to reinforce the belief that the employees can perform the job.

Finally, the E-to-P expectancy tends to increase as employees are placed in work environments with favorable situational contingencies. In other words, they should be given sufficient time, materials and other resources to accomplish the job and have obstacles removed where possible.

AACSB: 1, 3, 6
BT: Comprehension
Difficulty: Difficult

(p. 145)You want production employees at your company to be more motivated to complete their assignments more efficiently. They are confident that they can perform their jobs more efficiently and the rewards you give employees (pay checks, paid time off, etc.) are valued by these people. Identify the one element of Expectancy Theory that requires improvement and identify three possible actions that would increase employee motivation through this element.

Students need to answer this question by first identifying the element of Expectancy Theory that requires change. The incident says that employees know they can perform their jobs more efficiently, so they already have a high E-to-P expectancy. Moreover, employees value the rewards, suggesting that the outcomes have a high valence. This leaves the likelihood that employees have a low P-to-O expectancy. That is, they perceive a low probability that performing the job more efficiently will lead to desired outcomes.

There are several ways to increase the P-to-O expectancy. The company needs to measure employee performance accurately (in this case, measuring number of units produced per hour or some other measure of work efficiency). The company needs to tell employees that certain desirable rewards will result from increased work efficiency. P-to-O expectancy will also increase if the company shows examples of situations where employees receive the desired rewards after they have performed their jobs more efficiently. Moreover, when employees receive their rewards, they should be told how these rewards resulted from past incidents of work efficiency.

AACSB: 1, 3, 6
BT: Application
Difficulty: Difficult

(p. 146-147)You supervise two-dozen sales representatives covering every region of the country from your office at company headquarters. Describe a feedback strategy that might improve the performance of these employees with respect to increasing sales to new clients.

To answer this question, we must consider the five characteristics of effective feedback described in the textbook. In other words, the sales manager must construct a feedback mechanism that takes into account the degree to which the feedback is specific, frequent, timely, credible and relevant.

Specific feedback. Feedback is more useful when it includes specific information rather than subjective and general phrases. Thus, the sales manager should provide feedback that describes specific information (e.g. sales volume) for a specific area and time frame.

Sufficiently frequent feedback. Most organizations should provide more frequent feedback to employees. The best strategy is to have feedback continuously available and to let employees decide when they want to see it. Thus, the sales manager should make sales information available whenever sales employees want this feedback.

Timely feedback. Feedback should be available as soon as possible so that employees see a clear association between their behavior and its consequences. Thus, the sales manager should arrange to have sales information prepared as quickly as possible.

Credible feedback. Feedback has value only when the employee accepts its content. Employees are more likely to accept feedback from trustworthy and credible sources. Thus, feedback should come from reputable sources, such as valid computer printouts and from executives who are respected by sales employees.

Relevant feedback. Feedback is most effective when it relates to the individual’s behavior rather than broader departmental or organizational activities. Thus, the sales manager should ensure that each employee’s feedback relates to sales goals for that person and that the information relates to events under the employee’s control.

AACSB: 1, 3, 6
BT: Application
Difficulty: Medium

(p. 153)Jack Smith and Sam Clemens are neighbors who work as purchasing managers in different companies in the petrochemical industry. During one neighborly discussion, Jack learned that Sam’s salary was nearly 15% higher than his even though their job duties were similar. Other than this difference, both received similar benefits and seemed to enjoy their jobs and colleagues. Jack was upset about Sam’s higher salary although he hid his emotions from Sam (after all, it wasn’t Sam’s fault that they received different salary levels). Jack was frustrated not only because Sam received a significantly higher salary, but also because Jack was certain that he worked longer hours and was more productive than Sam. According to Equity Theory research, what will Jack probably do to reduce his upset feelings?

The textbook describes six possible consequences of inequity, but some are more likely to occur than others. One likely consequence is that Jack will try to increase his outcomes, such as by approaching his superiors for a pay increase or making greater use of company facilities and resources. Alternatively, Jack might try to reduce his inputs, such as by working fewer hours and with less motivation towards maintaining high performance. If neither of these actions sufficiently reduces his feelings of inequity, Jack might begin looking for a purchasing management job in another company or consider moving into higher-paying jobs within his current organization. Jack’s feelings of inequity might be reduced by changing his perceptions, but this is more difficult given the clarity of salary information. It is also unlikely that Jack would push Sam to work harder or try to reduce his salary. Finally, it may be difficult for Jack to change his comparison other since Sam is a neighbor.

AACSB: 1, 3, 6
BT: Application
Difficulty: Medium

(p. 150)A large project engineering company assigns engineering, purchasing, marketing and support staff to client-based projects lasting anywhere from four months to one year. The project staff report to both the project leader and the manager of their functional specialization. For example, a marketing employee in Project Z would receive day-to-day instructions from the Project Z manager, but would receive career development guidance from the company’s director of marketing. The functional manager also places employees in future projects. In the past, project staff were evaluated by the employee’s project leader at the time of the annual performance evaluation. However, some employees complained that they had just started the project, so the project leader didn’t know their performance. The company wants to introduce a 360-degree feedback process to overcome this issue and other problems with the performance evaluation system. Describe the specific characteristics of a 360-degree feedback process for project staff at this company and identify two problems that the company should know about 360-degree feedback systems.

To answer this question, students need to describe the 360-degree process in this context and they need to identify two problems with 360-degree feedback.

The 360-degree process for project staff can take a few forms, but the following description is probably the most common one. Once or possibly twice each year, the company would collect feedback about specific employees from a representative group of people around that employee. In this setting, the current and former project leaders over the past year would contribute feedback, as would a sample of employees in the current and past projects over the past year. These projects are client-based, so the company might ask clients for feedback, where appropriate. It isn’t clear whether these staffers have subordinates, but, if so, lower-level employees would also submit feedback about the employee.

One issue in this process is who would collect and process this multisource feedback and discuss the results with the employee. While there is no absolutely correct answer here, probably the best choice would be the employee’s functional manager (e.g. the director of marketing for marketing employees). Functional heads are logical choices because they are responsible for the employee’s career development and oversee the employee’s project placement. Thus, the various sources of feedback would submit their comments and ratings to the employee’s functional manager. The functional manager would organize this information and discuss it with the employee.

The textbook identifies the following four potential problems with 360-degree feedback. Students need to identify any two of these (although other logical problems with multisource feedback should also receive credit):

Costs. 360-degree feedback can be expensive and time-consuming because several people take time to review several other employees.

AACSB: 1, 3, 6
BT: Application
Difficulty: Difficult

(p. 154)Why is it difficult to maintain feelings of equity among employees?

Maintaining feelings of equity is not an easy task because employees have different opinions regarding which inputs should be rewarded (e.g. seniority versus performance) and which outcomes are more valuable than others. We must also remember that the comparison other is not easy to identify and may, in fact, represent a distorted interpretation of reality. Lastly, people have different levels of equity sensitivity, so they react differently to inequitable situations.

AACSB: 1, 3, 6
BT: Comprehension
Difficulty: Medium

Organizational Behavior Emerging Knowledge 5th Edition by Steven McShane - Test Bank

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Organizational Behavior Emerging Knowledge 5th Edition by Steven McShane - Test Bank

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