Exam 6: Motivation: Organizational Applications

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A significant amount of research has been done on what determines whether individuals are satisfied with rewards.Edward Lawler has summarized five conclusions based on the behavioral science research literature: 1.Satisfaction with a reward is a function of both how much is received and how much the individual feels should be received.This conclusion is based on the comparisons that people make.When individuals receive less than they feel they should,they're dissatisfied. 2.An individual's feelings of satisfaction are influenced by comparisons with what happens to others.People tend to compare their efforts,skills,seniority,and job performance with others.They then attempt to compare rewards; that is,they compare their own inputs with others' inputs relative to the rewards received. 3.Satisfaction is influenced by how satisfied employees are with both intrinsic and extrinsic rewards.Intrinsic rewards are valued in and of themselves; they're related to performing the job.Examples would be feelings of accomplishment and achievement.Extrinsic rewards are external to the work itself; they are administered externally.Examples would be salary and wages,fringe benefits,and promotions.There's debate among researchers as to whether intrinsic or extrinsic rewards are more important in determining job satisfaction.Most studies suggest that both rewards are important.One clear message from the research is that extrinsic and intrinsic rewards satisfy different needs. 4.People differ in the rewards they desire and in the relative importance different rewards have for them.In fact,preferred rewards vary at different points in a person's career,at different ages,and in various situations. 5.Some extrinsic rewards are satisfying because they lead to other rewards.For example,a large office or an office that has carpeting or drapes is often considered a reward because it indicates the individual's status and power.Money is a reward that leads to such things as prestige,autonomy,security,and shelter.