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234 PART 4: THE LEADER AS A RELATIONSHIP BUILDER
associated with successful attainment of top levels in the organizational hierarchy.
For example, McClelland studied managers at AT&T for 16 years and found that
those with a high need for power were more likely to pursue a path of continued
promotion over time.
In summary, needs-based theories focus on underlying needs that motivate
how people behave. The hierarchy of needs theory, the two-factor theory, and the
acquired needs theory all identify the specifi c needs that motivate people. Leaders
can work to meet followers’ needs and hence elicit appropriate and successful
work behaviors.

Other Motivation Theories

Three additional motivation theories, the reinforcement perspective, expectancy
theory, and equity theory, focus primarily on extrinsic rewards and punishments.
Relying on extrinsic rewards and punishments is sometimes referred to as the
“carrot-and-stick” approach. The behavior that produces a desired outcome is
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rewarded with “carrots,” such as a pay raise or a promotion. Conversely, unde-
sirable or unproductive behavior brings the “stick,” such as a demotion or with-
holding a pay raise. Carrot-and-stick approaches tend to focus on lower needs,
although higher needs can sometimes also be met.
Reinforcement Perspective on Motivation
The reinforcement approach to employee motivation sidesteps the deeper issue of
Reinforcement theory
Reinforcement theory employee needs described in the needs-based theories. Reinforcement theory simply
a motivational theory that looks
a motivational theory that looks looks at the relationship between behavior and its consequences by changing or
at the relationship between
at the relationship between
behavior and its consequences
behavior and its consequences modifying followers’ on-the-job behavior through the appropriate use of immediate
by changing or modifying
by changing or modifying rewards or punishments.
followers’ on-the-job behavior
followers’ on-the-job behavior Behavior modifi cation is the name given to the set of techniques by which
through the appropriate use 20
through the appropriate use
of immediate rewards or
of immediate rewards or reinforcement theory is used to modify behavior. The basic assumption underly-

punishments
punishments ing behavior modification is the law of effect, which states that positively reinforced
behavior tends to be repeated, and behavior that is not reinforced tends not to
cation
Behavior modification
Behavior modifi

the set of techniques by which
the set of techniques by which be repeated. Reinforcement is defi ned as anything that causes a certain behavior
reinforcement theory is used to to be repeated or inhibited. Four ways in which leaders use reinforcement to modify
reinforcement theory is used to
modify behavior
modify behavior or shape employee behavior are: positive reinforcement, negative reinforcement,
Law of effect
Law of effect punishment, and extinction.
states that positively reinforced
states that positively reinforced Positive reinforcement is the administration of a pleasant and rewarding con-
behavior tends to be repeated and sequence following a behavior. A good example of positive reinforcement is im-
behavior tends to be repeated and
behavior that is not reinforced
behavior that is not reinforced
tends not to be repeated
tends not to be repeated mediate praise for an employee who arrives on time or does a little extra in his
or her work. The pleasant consequence will increase the likelihood of the excel-
Reinforcement
Reinforcement lent work behavior occurring again. Studies have shown that positive reinforce-
anything that causes a certain
anything that causes a certain
behavior to be repeated or
behavior to be repeated or ment does help to improve performance. In addition, non-fi nancial reinforcements
inhibited
inhibited such as positive feedback, social recognition, and attention are just as effective as
fi nancial rewards. Indeed, many people consider factors other than money to be
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Positive reinforcement
Positive reinforcement
the administration of a pleasant
the administration of a pleasant more important. Nelson Motivation Inc. conducted a survey of 750 employees
and rewarding consequence
and rewarding consequence across various industries to assess the value they placed on various rewards. Cash
following a behavior
following a behavior and other monetary awards came in dead last. The most valued rewards involved
praise and manager support and involvement. 22
Negative reinforcement Negative reinforcement is the withdrawal of an unpleasant consequence once a be-
Negative reinforcement
the withdrawal of an unpleasant havior is improved. Sometimes referred to as avoidance learning, negative reinforce-
the withdrawal of an unpleasant
consequence once a behavior is
consequence once a behavior is
improved
improved ment means people learn to perform the desired behavior by avoiding unpleasant
situations. A simple example would be when a supervisor stops reprimanding an
employee for tardiness once the employee starts getting to work on time.