Report of the Working Group on Demand (2004), P. 10

(1)

INCENTIVES, MOTIVATION &

C

S,

O

&

RETENTION HEALTH

WORKER

Oleh: Dwi Handono Sulistyo

(2)

HRH PROBLEMS

¾ ¾

SHORTAGE

¾ ¾

SHORTAGE

¾ ¾

WASTAGE

LOW MOTIVATION

¾

LOW MOTIVATION

¾

OUTDATED SKILL

¾

LOW PRODUCTIVITY

¾

MIGRATION/MALDISTRIBUTION

¾

MIGRATION/MALDISTRIBUTION

(3)

Does a well

Does a well--designed

designed

PAY SYSTEM

MOTIVATE employees to perform

better?

Or does it create greater

g

SATISFACTION?

Does perception of

PAY SYSTEM SATISFACTION

related to RETENTION?

(4)

JAWABANNYA BUKAN

HANYA “YA” ATAU

“TIDAK”

TIDAK

* PENJELASANNYA:

TERGANTUNG TEORI APA

YANG DIGUNAKAN

(5)

BASIC CONCEPTS

COMPENSATION (PAY;

INCENTIVES)

INCENTIVES)))

MOTIVATION

(6)

Compensation System

Direct Indirect

Base Pay Incentive Pay Legally Required S S Optional P id ti ff (h lid -Bonus -Commission -Profit sharing -Stock options -Social Security -Unemployment Compensation Insurance

-Paid time off (holidays, vacation, sick days, etc) -Health insurance

-Retirement/ P i l

Stock options Insurance -Worker’s Compensation -Family & M di l l Pension plans -Disability insurance -Life insurance -Tuition reimbursement D d t

Medical leave -Dependent care

-Flexible work schedules (telecommuting, flex time, Compressed work week,

t ) etc)

(7)

A Simple Model of Motivation

REWARDS Satisfy needs: BEHAVIOR

Result in NEED Creates desire

to fulfill needs y intrinsic or extrinsic rewards Result in actions to fulfill needs (money, friendship, recognition, achievement)

FEEDBACK Reward informs person whether behavior as appropriate and sho ld be sed again

was appropriate and should be used again

(8)

Motivation Theories & Workplace Outcomes:

A Contingency Approach

g

y

pp

Outcome

Outcome _{MOTIVATION THEORIES}_{MOTIVATION THEORIES}

Source: Kreitner & Kinicki (1998; p. 192)

of Interest

of Interest _Need_Need _{Reinforcement}_{Reinforcement} _Equity_{Equity Expectancy}_Expectancy _Goal_Goal

Setting Setting Job Job Characteristic Characteristic Choice to Choice to

X

pursue a pursue a course of course of action action

X

Effort Effort

X

Effort Effort

X

Performance Performance

X

Satisfaction Satisfaction

X

Absenteeism Absenteeism

X

Turnover Turnover

X

(9)

NEED THEORIES OF

MOTIVATION

¾

Maslow’s Need Hierarchy Theory

¾

Two

Two--Factor Theory (Herzberg)

Factor Theory (Herzberg)

y (

g)

¾

(10)

MASLOW’S HIERARCHY OF NEEDS

Self Esteem Self Actualization Needs Belongingness/Love Esteem Needs Belongingness/Love Needs Ph i l i l N d Safety Needs Compensation (Pay; Incentives) Physiological Needs

(11)

MENURUT MASLOW

¾

KOMPENSASI (GAJI INSENTIF

¾

KOMPENSASI (GAJI, INSENTIF

KEUANGAN) BERADA DI LEVEL

TERBAWAH DARI HIERARKI

¾

JADI TIDAK MEMPENGARUHI

MOTIVASI

¾

(12)

NEW MODEL OF MASLOW’S HIERARCHY OF NEEDS Self Actualization Tran scendence Aesthetic Needs Actualization

Need to Know & Understand

Esteem Needs

Safety Needs

Belongingness/Love Needs

Physiological Needs Safety Needs

(13)

HERZBERG’S TWO-FACTOR THEORY MOTIVATORS Motivators Highly Satisfied Achievement Recognition Responsibility Work Itself AREA OF SATISFACTION Motivators Influence level Of satisfaction Work Itself Personal Growth Neither Satisfied nor HYGIENE FACTORS Working conditions AREA OF dissatisfied g

Pay & security Company policies Supervisors Interpersonal AREA OF DIS-SATISFACTION Hygiene factors Influence level of dissatisfaction Interpersonal relationships Highly Dissatisfied

(14)

MENURUT HERZBERG

¾

GAJI ATAU KENAIKAN GAJI TIDAK

¾

GAJI ATAU KENAIKAN GAJI TIDAK

AKAN MENINGKATKAN MOTIVASI

¾

TAPI JIKA GAJI TIDAK CUKUP (TIDAK

¾

TAPI, JIKA GAJI TIDAK CUKUP (TIDAK

SESUAI DENGAN HARAPAN), AKAN

MENIMBULKAN KETIDAKPUASAN

¾

GAJI CUKUP =

Neither Satisfied nor

di

ti fi d

di

ti fi d

dissatisfied

(15)

Acquired Needs Theory

(M Cl ll

d)

(M Cl ll

d)

(McClelland)

3 needs can be acquired:

¾

Need for Achievement

N

d f

Affili ti

N

d f

Affili ti

¾

Need for Affiliation

¾

Need for Power

Diskusi: TIDAK TERKAIT LANGSUNG

DENGAN HUBUNGAN KOMPENSASI

--MOTIVASI

(16)

Motivation Theories & Workplace Outcomes:

A Contingency Approach

g

y

pp

Outcome

of of

Interest

Interest NeedNeed ReinforcementReinforcement Equity Equity ExpectancyExpectancy _Setting_SettingGoal Goal _{Characteristic}_{Characteristic}Job Job

Choice to Choice to

X

Effort Effort

X

Effort Effort

X

Turnover Turnover

X

(17)

REINFORCEMENT

REINFORCEMENT THEORY

THEORY

Skinners

¾

¾ Looks at the relationship between BEHAVIOR &Looks at the relationship between BEHAVIOR &

¾

¾ Looks at the relationship between BEHAVIOR & Looks at the relationship between BEHAVIOR & its CONSEQUENCES by changing or modifying its CONSEQUENCES by changing or modifying follower’s on the job behavior through the

follower’s on the job behavior through the

appropriate use of immediate REWARDS or appropriate use of immediate REWARDS or PUNISHMENTS

PUNISHMENTS

¾

¾ BEHAVIOR MODIFICATION: the law of effectBEHAVIOR MODIFICATION: the law of effect

¾

¾ 4 Cara: Positive & Negative Reinforcement; 4 Cara: Positive & Negative Reinforcement; P i h E i i

P i h E i i Punishment; Extinction Punishment; Extinction

¾

¾ DiskusiDiskusi: HUBUNGAN KOMPENSASI : HUBUNGAN KOMPENSASI --MOTIVASI

MOTIVASI MOTIVASI MOTIVASI

(18)

ADAM’S EQUITY THEORY OF

MOTIVATION

¾

¾ A Model of Motivation that explains how people A Model of Motivation that explains how people pp pp pp strive for FAIRNESS & JUSTICE in social

strive for FAIRNESS & JUSTICE in social exchanges or give

exchanges or give--andand--take relationshiptake relationship

¾

¾ EmployeeEmployee--Employer exchange components:Employer exchange components:

¾

¾ EmployeeEmployee--Employer exchange components: Employer exchange components: INPUTS & OUTCOMES

INPUTS & OUTCOMES

¾

¾ INPUTS: Time, education/training, experience, INPUTS: Time, education/training, experience, kill ti it i it l lt

kill ti it i it l lt

skills, creativity, seniority, loyalty, age, skills, creativity, seniority, loyalty, age,

personality traits, effort expanded, personal personality traits, effort expanded, personal appearance

appearance

¾

¾ OUTCOMES: pay/bonuses, fringe benefits, OUTCOMES: pay/bonuses, fringe benefits, challenging assignments, job security, career challenging assignments, job security, career advancements/promotions status symbols

advancements/promotions status symbols advancements/promotions, status symbols, advancements/promotions, status symbols, recognition, etc

(19)

Self Other

ADAM’S EQUITY THEORY OF MOTIVATION Self Self Other Other Other An Equitable Situation Self Other Negative Inequity EQUITY = RATIO OF RATIO OF OUTCOMES TO INPUTS Positive Inequity 1919

(20)

Expanded the Concept of Equity

¾

¾ Distributive JusticeDistributive Justice

¾

¾ Distributive JusticeDistributive Justice

¾

¾ Procedural JusticeProcedural Justice

¾

¾ External Equity (pekerjaan A vs pekerjaan A diExternal Equity (pekerjaan A vs pekerjaan A di

¾

¾ External Equity (pekerjaan A vs pekerjaan A di External Equity (pekerjaan A vs pekerjaan A di organisasi lain)

organisasi lain)

¾

¾ Internal Equity (pekerjaan A vs pekerjaan BInternal Equity (pekerjaan A vs pekerjaan B

¾

¾ Internal Equity (pekerjaan A vs pekerjaan B Internal Equity (pekerjaan A vs pekerjaan B dalam satu organisasi)

dalam satu organisasi)

¾

¾ Individual Equity (pekerjaan A vs pekerjaan A Individual Equity (pekerjaan A vs pekerjaan A dd duadua qu ty (pe e jaaqu ty (pe e jaa s pe e jaas pe e jaa dalam satu organisasi)

dalam satu organisasi)

Diskusi: HUBUNGAN KOMPENSASI

Diskusi: HUBUNGAN KOMPENSASI –– MOTIVASI MOTIVASI & KEPUASAN

(21)

Motivation Theories & Workplace Outcomes:

A Contingency Approach

g

y

pp

Outcome

of of

Interest

Interest NeedNeed ReinforcementReinforcement Equity Equity ExpectancyExpectancy _Setting_SettingGoal Goal _{Characteristic}_{Characteristic}Job Job

Choice to Choice to

X

Effort Effort

X

Effort Effort

X

Turnover Turnover

X

(22)

VROOM’S EXPECTANCY THEORY

E Æ P expectancy Effort Æ Performance

Will putting effort into The task lead to the Desired performance?

P Æ O expectancy Will high performance

P Æ O expectancy

Performance Æ Outcomes

Will high performance Lead to the desired Outcome?

Valence – Value of outcomes (pay, recognition, other rewards)

Are the available outcomes Highly valued?

(23)

PORTER

PORTER--LAWLER’S

LAWLER’S

EXPECTANCY MODEL

1 4 8 Nilai penghargaan Kemampuan dan bakat Penghargaan yang dirasa pantas 1 6 7 9 Kinerja

Usaha Penghargaan Kepuasan

6 7 9

3

Kemungkinan kinerja akan diberi

penghargaan

Persepsi terhadap

peran

(24)

EXPECTANCY THEORY

¾

DISKUSI: HUBUNGAN KOMPENSASI

DISKUSI: HUBUNGAN KOMPENSASI –

–

¾

DISKUSI: HUBUNGAN KOMPENSASI

MOTIVASI & KEPUASAN

¾

Contoh: Jika bekerja 5 tahun mendapat

¾

Contoh: Jika bekerja 5 tahun mendapat

cuti 10 hari/5 tahun; Jika bekerja 10 tahun

akan mendapat tambahan cuti 5

hari/tahun, plus: status senior, tunjangan

dan gaji tambahan dll

dan gaji tambahan, dll.

(25)

Motivation Theories & Workplace Outcomes:

A Contingency Approach

g

y

pp

Outcome

of Interest

of Interest _Need_Need _{Reinforcement}_{Reinforcement} _Equity_{Equity Expectancy}_Expectancy _Goal_Goal

Setting Setting Job Job Characteristic Characteristic Choice to Choice to

X

Effort Effort

X

Effort Effort

X

Turnover Turnover

X

(26)

Critical

THE JOB CHARACTERISTIC MODEL

Core job characteristics Critical Psychological states Outcomes Skill variety Task identity Task significance Experienced meaningfulness of the work High internal Work motivation Autonomy Experienced responsibility for outcomes of the work

High “growth” Satisfaction High general outcomes of the work

Feedback from job

Knowledge of the actual results of th k ti iti High general Job satisfaction High work

the work activities Moderators:

1 K l d d kill

effectiveness

1.Knowledge and skill 2.Growth need strength

(27)

Locke’s Model of Goal Setting Directing one’s attention Regulating one’s one’s effort Goals motivate the i di id l Task performance Increasing one’s persistence individual by… performance Encouraging the development of goal-attainment strategies or action plans

(28)

DISKUSI

¾

KEDUA MODEL TERAKHIR TIDAK ADA

¾

KEDUA MODEL TERAKHIR, TIDAK ADA

HUBUNGANNYA/TAK BISA

MENJELASKAN HUBUNGAN

KOMPENSASI

KOMPENSASI –

– MOTIVASI &

MOTIVASI &

KEPUASAN

(29)

RANGKUMAN

¾

HUBUNGAN ANTARA KOMPENSASI

¾

HUBUNGAN ANTARA KOMPENSASI

DENGAN MOTIVASI DALAM 2 KONTEKS

KHUSUS: KEPUASAN PEGAWAI &

PRODUKTIVITAS

BOCORAN UJIAN:

¾

HUBUNGAN “PAY and EMPLOYEES’

SATISFACTION”

¾

HUBUNGAN “PAY and EMPLOYEES’

PRODUCTIVITY”

(30)

KEMBALI KE

KEMBALI KE ……

COMPENSATION

(31)

COMPENSATION DECISIONS

PAY FOR PARTICULAR POSITION IS SET PAY FOR PARTICULAR POSITION IS SET

RELATIVE TO 3 GROUPS (remember: EQUITY RELATIVE TO 3 GROUPS (remember: EQUITY THEORY):

THEORY):

E l ki i il j b i h E l ki i il j b i h

¾

¾ Employees working on similar jobs in other Employees working on similar jobs in other

organizations (based on: EXTERNAL EQUITY organizations (based on: EXTERNAL EQUITY

Æ

Æ PAY LEVEL DECISION)PAY LEVEL DECISION)

Æ

Æ PAY LEVEL DECISION)PAY LEVEL DECISION)

¾

¾ Employees working on different jobs within the Employees working on different jobs within the organization (based on: INTERNAL EQUITY organization (based on: INTERNAL EQUITY ÆÆ PAY

PAY--STRUCTURE DECISION)STRUCTURE DECISION)

¾

¾ Employees working on the same job within the Employees working on the same job within the organization (based on: INDIVIDUAL EQUITY

organization (based on: INDIVIDUAL EQUITY ÆÆ organization (based on: INDIVIDUAL EQUITY organization (based on: INDIVIDUAL EQUITY ÆÆ INDIVIDUAL PAY DETERMINATION)

(32)

COMPENSATION DECISIONS

PAY LEVEL DECISION EXTERNAL PAY LEVEL DECISION

EQUITY PAY-STRUCTURE INTERNAL Q DECISION EQUITY INDIVIDUAL PAY DETERMINATION INDIVIDUAL DETERMINATION EQUITY

(33)

PAY

PAY--LEVEL DECISION

LEVEL DECISION

PAY

PAY LEVEL DECISION

LEVEL DECISION

BASED ON: PAY SURVEYS

3 PAY

3 PAY--LEVEL STRATEGY:

LEVEL STRATEGY:

HIGH

HIGH PAY STRATEGY

PAY STRATEGY

¾

HIGH

HIGH--PAY STRATEGY

PAY STRATEGY

¾

LOW

LOW--PAY STRATEGY

PAY STRATEGY

¾

(34)

THE PAY STRUCTURE DECISION

¾

TOOL: JOB EVALUATION

¾

TOOL: JOB EVALUATION

¾

A systematic comparison of the worth of

one job with that of another job results in

one job with that of another job, results in

the creation of wage or salary hierarchy

C

St t

i HRM “A”

iti

C

St t

i HRM “A”

iti

¾

Case: Strategic HRM: “A” position versus

“B” or “C” position (Jobs/work); “A” player

“B”

“C” l

“B”

“C” l

versus “B” or “C” players

(35)

Comparison of Job Evaluation

S

Systems

COMPARISON

COMPARISON NONNON-- QUANTITATIVE QUANTITATIVE BASIS

BASIS QUANTITATIVE QUANTITATIVE COMPARISON COMPARISON (Job as Whole) (Job as Whole) Q Q COMPARISON COMPARISON (Parts of Factors (Parts of Factors of Jobs) of Jobs) (Job as Whole)

(Job as Whole) of Jobs)of Jobs) JOB versus JOB

JOB versus JOB JOB RANKINGJOB RANKING FACTORFACTOR JOB versus JOB

JOB versus JOB JOB RANKINGJOB RANKING FACTOR FACTOR COMPARISON COMPARISON JOB versus JOB versus SCALE SCALE JOB GRADING or JOB GRADING or CLASSIFICATION CLASSIFICATION POINT SYSTEM POINT SYSTEM Source: Ivancevich (2007; p. 312)3535

(36)

The Individual Pay Decision

Two issues:

¾

1. the same pay?

2 k th di ti

ti

? B

d

h t?

2 k th di ti

ti

? B

d

h t?

¾

2. make the distinction? Based on what?

z

z Individual differences in experience, skills, & Individual differences in experience, skills, &

f ?

performance? performance?

z

z Expectations that seniority, higher Expectations that seniority, higher

f b th d hi h ?

performance, or both deserve higher pay? performance, or both deserve higher pay?

(37)

Methods of Payment

¾

Flat Rates

¾

Flat Rates

¾

Payment for Time Worked

¾

Variable Pay: Incentive Compensation

¾

Variable Pay: Incentive Compensation

z

z Any compensation plan that emphasizes a Any compensation plan that emphasizes a

shared focus on organizational success, shared focus on organizational success, shared focus on organizational success, shared focus on organizational success, broadens opportunities for incentives to broadens opportunities for incentives to

nontraditional groups, & operates outside the nontraditional groups, & operates outside the base pa increase s stem

base pa increase s stem base pay increase system base pay increase system

z

z Gainsharing, winsharing, lumpGainsharing, winsharing, lump--sum bonuses, sum bonuses,

individual variable pay etc individual variable pay etc individual variable pay, etc. individual variable pay, etc.

z

(38)

The Double Impact of Incentive Bonuses on Employee Motivation and Performance

Identification of & solution t d ti it p y to productivity problems Bonus promised Participa-tion Intrinsic

motivation Effort Bonus

Information sharing & employee empowerment

(39)

RETENTION

Does perception of

PAY SYSTEM SATISFACTION

related to RETENTION?

(40)

3 Categories of factors affecting

ii

retention

¾

Personal Factors (age gender education

¾

Personal Factors (age, gender, education,

etc)

¾

Professional factors (specialization

¾

Professional factors (specialization,

working hours,

incentives

, etc)

C

t

l/

i

t l f

t

C

t

l/

i

t l f

t

¾

Contextual/environmental factors

(community amenities, quality of life,

l ti

’

d

ti

l l

l

t )

l ti

’

d

ti

l l

l

t )

population’s educational level, etc)

(41)

5 Categories of Determinants that

affect Geographical Distribution

¾

¾ Individual Factors: social background, ethnicity, Individual Factors: social background, ethnicity, gg ,, y,y, age, gender, education, values, beliefs, etc

age, gender, education, values, beliefs, etc

¾

¾ Organizational Environment: management style, Organizational Environment: management style,

i i & l l

incentives & career structures, salary scales, etc incentives & career structures, salary scales, etc

¾

¾ Health Care & Educational System Health Care & Educational System

Determinants: education & training process Determinants: education & training process Determinants: education & training process, Determinants: education & training process, health care system, HRH policy formulation health care system, HRH policy formulation process

process

¾

¾ Institutional Environment: decentralization & civil Institutional Environment: decentralization & civil service reform,

service reform, S

S

¾

¾ Sociocultural EnvironmentSociocultural Environment

(42)

Dokter di Bengkulu

¾

Penelitian: Bukit Trisnantoro Meliala

¾

Penelitian: Bukit, Trisnantoro, Meliala

(2002)

¾

Turn Over Rate tinggi

¾

Turn Over Rate tinggi

z

z Dokter hanya betah bertahan selama 2 tahunDokter hanya betah bertahan selama 2 tahun

ff

¾

Insentif kehadiran

up to

Rp 5 juta

¾

Fasilitas bekerja dan perumahan

disediakan

¾

(43)

Dokter di Papua

¾

¾ Penelitian Napitupulu, Meiyanto & MelialaPenelitian Napitupulu, Meiyanto & Meliala

¾

¾ Penelitian Napitupulu, Meiyanto & Meliala Penelitian Napitupulu, Meiyanto & Meliala (2005)

(2005)

¾

¾ Turn Over Rate tinggiTurn Over Rate tinggigggg

z

z Dokter hanya betah bertahan selama 3 tahunDokter hanya betah bertahan selama 3 tahun z

z Hanya menyelesaikan kontrakHanya menyelesaikan kontrak

¾

¾ Insentif kehadiran Rp 7.5 jutaInsentif kehadiran Rp 7.5 juta

¾

¾ Penghasilan Rp. 20 jutaPenghasilan Rp. 20 jutagg pp jj

¾

¾ Fasilitas bekerja dan perumahan disediakanFasilitas bekerja dan perumahan disediakan

¾

¾ Pelayanan kepada pasien di RS burukPelayanan kepada pasien di RS burukyy pp pp

(44)