Contribution Of Robert Owen WITHIN THE 19th Century Business Essay

Though Owen is known as to be paternalistic in his view, his contribution is of a significant relevance in the theories of Motivation. Through the early years of the nineteenth century, Owen's textile mill at New Lanark in Scotland was the arena of some novel ways of dealing with people. His view was that individuals were similar to machines. A machine that is taken care of properly, cared for and retained well, performs effectively, reliably and lastingly, similarly people will tend to be more efficient if they're looked after. Robert Owen used what he preached and launched such things as employee housing and company shop. His ideas upon this and other things were considered to be too revolutionary for that point.

2) Jeremy Bentham's "The Carrot and the Stay Way" :

Possibly the essence of the traditional view of individuals at the job can be best liked by a brief look at the work of this English philosopher, whose ideas were also developed in the first many years of the Industrial Revolution, around 1800. Bentham's view was that people are self-interested and are determined by the desire to avoid pain and find pleasure. Any worker will work only if the pay back is big enough, or the punishment sufficiently unpleasant. This view - the 'carrot and stick' strategy - was included in the philosophies of the age and continues to be to be found, especially in the older, more traditional sectors of industry.

The various leading theories of desire and motivators seldom make reference to the carrot and the keep. This metaphor relates, of course, to the utilization of rewards and penalties in order to induce desired tendencies. It originates from the old tale that to make a donkey move, one must put a carrot before him or dab him with a keep from behind. Despite all the research on the ideas of motivation, compensation and punishment are still considered strong motivators. For years and years, however, they were too often regarded as the sole forces which could motivate people.

At once, in all theories of inspiration, the inducements of some type of 'carrot' are accepted. Often this is money in the form of pay or bonuses. Even though money is not the one motivating force, it has been and will continue to be an important one. The difficulty with the amount of money 'carrot' approach is the fact all too often everyone gets a carrot, irrespective of performance through such tactics as salary increase and campaign by seniority, automatic 'merit' increases, and professional bonuses not predicated on individual supervisor performance. It is as simple as this : If a person put a donkey in a pen filled with carrots and then stood outside the house with a carrot, would the donkey be motivated to emerge from the pen ?

The 'stick', in the form of fear-fear of lack of job, loss of income, reduction of bonus, demotion, or various other penalty-has been and continues to be a solid motivator. Yet it is admittedly not the best kind. It often provides go up to defensive or retaliatory behavior, such as union corporation, poor-quality work, executive indifference, failure of the manager to consider any hazards in decision making or even dishonesty. But concern with penalty cannot be overlooked. Whether managers are first-level supervisors or key executives, the power with their position to give or with keep rewards or impose penalties of varied kinds gives them an ability to control, to a very great level, the monetary and social well-being of the subordinates.

3) Abraham Maslow's "Need Hierarchy Theory" :

One of the most widely mentioned theories of motivation is the hierarchy of needs theory put forth by psychologist Abraham Maslow. Maslow saw human needs in the form of a hierarchy, ascending from the cheapest to the best, and he figured when one group of needs is satisfied, this type of need ceases to be always a motivator.

As per his theory this needs are :

(i) Physiological needs :

These are important needs for sustaining the individual life. Food, drinking water, comfort, shelter, sleep, remedies and education are the basic physiological needs which show up in the principal set of need satisfaction. Maslow was of opinion that until these needs were satisfied to a diploma to keep up life, no other motivating factors can work.

(ii) Security or Safety needs :

These are the must be free of physical danger and of the fear of losing employment, property, food or shelter. It also includes safeguard against any emotional harm.

(iii) Public needs :

Since people are communal beings, they need to belong and be accepted by others. People try to satisfy their dependence on affection, popularity and companionship.

(iv) Esteem needs :

According to Maslow, once people commence to gratify their need to belong, they have a tendency to desire to be performed in esteem both independently and by others. This sort of need produces such satisfaction as ability, prestige status and self-confidence. It includes both interior esteem factors like self-respect, autonomy and achievements and exterior esteem factors such as areas, identification and attention.

(v) Dependence on self-actualization :

Maslow relation this as the highest need in his hierarchy. It's the drive to become what one is capable of becoming, it offers growth, achieving one's potential and self-fulfillment. It really is to increase one's potential and attain something.


As each of these needs are considerably satisfied, another need becomes dominant. In the standpoint of inspiration, the theory would say that although no need is ever before completely gratified, a considerably satisfied need no much longer motivates. So if you need to motivate someone, you must understand what level of the hierarchy that person is on and concentrate on gratifying those needs or needs above that level.

Maslow's need theory has received extensive recognition, particularly among practicing managers. This can be related to the theory's intuitive logic and simple understanding. However, research will not validate these theory. Maslow provided no empirical research and other several studies that wanted to validate the idea found no support for it.


4) "Theory X and Theory Y" of Douglas McGregor :

McGregor, in his publication "The Human side of Business" states that individuals inside the business can be monitored in two ways. The foremost is in essence negative, which falls under the category X and the other is basically positive, which falls under the category Y. After looking at the way in which the manager dealt with employees, McGregor concluded that a manager's view of the type of humans is dependant on a certain grouping of assumptions and that he or she tends to mold his / her behavior towards subordinates according to these assumptions.

Under the assumptions of theory X :

Employees inherently do nothing like work and whenever possible, will try to avoid it.

Because employees dislike work, they have to be forced, coerced or threatened with punishment to accomplish goals.

Employees avoid responsibilities , nor work fill formal directions are released.

Most personnel place a larger importance on security over-all other factors and display little ambition.

In contrast under the assumptions of theory Y :

Physical and mental work at work is really as natural as leftovers or play.

People do exercise self-control and self-direction and if they're focused on those goals.

Average humans are willing to take responsibility and exercise creativity, ingenuity and creativeness in solving the issues of the organization.

That the way the things are sorted out, the average human being's brainpower is merely partly used.

On evaluation of the assumptions it can be found that theory X assumes that lower-order needs dominate individuals and theory Y assumes that higher-order needs dominate individuals. An organization that is operate on Theory X lines is commonly authoritarian in nature, the term "authoritarian" suggests such ideas as the "power to enforce obedience" and the "to command. " In contrast Theory Y organizations can be described as "participative", where in fact the aims of the business and of the individuals in it are included; individuals can achieve their own goals best by directing their attempts into the success of the organization.

However, this theory has been criticized extensively for generalization of work and individual behavior.

5) Contribution of Rensis Likert :

Likert developed a sophisticated classification, wearing down organizations into four management systems.

1st System - Primitive authoritarian

2nd System - Benevolent authoritarian

3rd System - Consultative

4th System - Participative

As per the thoughts and opinions of Likert, the 4th system is the best, not only for profit organizations, but also for non-profit businesses.

6) Frederick Herzberg's motivation-hygiene theory :

Frederick has tried to change Maslow's need Hierarchy theory. His theory is also called two-factor theory or Hygiene theory. He explained that we now have certain satisfiers and dissatisfiers for employees at the job. In- trinsic factors are related to job satisfaction, while extrinsic factors are associated with dissatisfaction. He devised his theory on the question : "What do people want using their jobs ?" He asked visitors to describe in detail, such situations when they experienced exceedingly good or extremely bad. From replies that he received, he concluded that opposite of satisfaction is not dissatisfaction. Getting rid of dissatisfying characteristics from a job does not always make the job satisfying. He expresses that existence of certain factors in the business is natural and the existence of the same does not lead to drive. However, their nonpresence brings about demotivation. In similar manner there are certain factors, the lack of which in turn causes no dissatisfaction, but their presence has motivational impact.


Examples of Cleanliness factors are :

Security, status, romantic relationship with subordinates, personal life, salary, work conditions, romance with supervisor and company plan and administration.

Examples of Motivational factors are :

Growth prospectus job growth, responsibility, challenges, reputation and achievements.


7) Efforts of Elton Mayo :

The work of Elton Mayo is famously known as "Hawthorne Experiments. " He conducted behavioral tests at the Hawthorne Works of the North american European Electric Company in Chicago. He made some lighting experiments, launched breaks among the task performance and also presented refreshments through the pause's. On the basis of this he drew the conclusions that motivation was a very complex subject. It was not only about pay, work condition and morale but also included internal and cultural factors. Although this research has been criticized from many angles, the central conclusions attracted were :

People are motivated by more than pay and conditions.

The dependence on recognition and a sense of belonging are incredibly important.

Attitudes towards work are strongly influenced by the group.

8) Vroom's Valence x Expectancy theory :

The most generally accepted explanations of drive has been propounded by Victor Vroom. His theory is commonly known as expectancy theory. The idea argues that the strength of a tendency to act in a specific way depends upon the strength of an expectation that the function will be accompanied by a given end result and on the attractiveness of that outcome to the individual to make this simple, expectancy theory says an employee can be encouraged to perform better when their is a belief that the better performance will lead to good performance appraisal and that shall end result into realization of personal goal in form of some pay back. Therefore an employee is :

Motivation = Valence x Expectancy.

The theory targets three things :

Efforts and performance relationship

Performance and praise relationship

Rewards and personal goal relationship

This leads us to a conclusion that :


9) The Porter and Lawler Model :

Lyman W. Porter and Edward E. Lawler developed a more complete version of determination depending after expectancy theory.


Actual performance in a job is primarily determined by the effort put in. But it is also affected by the person's ability to do the job and also by individual's notion of what the required process is. So performance is the responsible factor that causes intrinsic as well as extrinsic rewards. These rewards, combined with the equity of specific causes satisfaction. Hence, satisfaction of the individual depends after the fairness of the compensation.

10) Clayton Alderfer's ERG Theory :

Alderfer has tried to rebuild the hierarchy of needs of Maslow into another model named ERG i. e. Life - Relatedness - Progress. Relating to him there are 3 groups of core needs as mentioned above. The existence group can be involved mainly with providing basic material existence. The next group is the individuals need to keep up interpersonal romantic relationship with other associates in the group. The final group is the intrinsic need to expand and develop in my opinion. The major conclusions of the theory are :

In an individual, more than one need may be operative at the same time.

If a higher need should go unsatisfied than the desire to meet a lower need intensifies.

It also contains the frustration-regression dimension.

11) McClelland's Theory of Needs :

David McClelland is rolling out a theory on three types of motivating needs :

Need for Power

Need for Affiliation

Need for Achievement

Basically people for high dependence on power are inclined towards effect and control. They prefer to be at the guts and are good orators. They are simply demanding in mother nature, forceful in manners and ambitious in life. They could be motivated to execute if they are given key positions or electric power positions.

In the second category are the folks who are social in mother nature. They try to affiliate marketing themselves with individuals and communities. They are influenced by love and trust. They like to build a friendly environment around themselves. Social acceptance and affiliation with others provides them determination.

People in the third area are powered by the challenge of success and the fear of failure. Their need for achievement is average and they arranged for themselves reasonably difficult tasks. They may be analytical in aspect and take calculated risks. Such people are encouraged to perform when they see atleast some chances of success.

McClelland observed that with the advancement in hierarchy the need for vitality and success increased somewhat than Affiliation. He also detected that people who have been at the top, later ceased to be determined by this drives.

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