INCENTIVES, MOTIVATION & RETENTION HEALTH WORKER Oleh: Dwi Handono Sulistyo
1
HRH PROBLEMS HRH PROBLEMS • • • • • •
SHORTAGE WASTAGE LOW MOTIVATION O O O OUTDATED SKILL LOW PRODUCTIVITY MIGRATION/MALDISTRIBUTION •Report of the Working Group on Demand (2004), P. 10 2
Does a well‐designed PAY SYSTEM MOTIVATE employees to perform better? Or does it create greater SATISFACTION?
Does perception of Does perception of PAY SYSTEM SATISFACTION related to RETENTION? 3
JAWABANNYA BUKAN HANYA “YA” ATAU “TIDAK” * PENJELASANNYA: TERGANTUNG TEORI APA YANG DIGUNAKAN
4
BASIC CONCEPTS BASIC CONCEPTS COMPENSATION (PAY; INCENTIVES) MOTIVATION
5
Compensation System
Direct
Base Pay
Indirect
Incentive Pay
Legally Required
Optional
-Bonus -Commission -Profit sharing -Stock Stock options
-Social S Security S -Unemployment Compensation Insurance -Worker’s Compensation -Family & M di l lleave Medical
-Paid P id titime off ff (holidays, (h lid vacation, sick days, etc) -Health insurance -Retirement/ P Pension i plans l -Disability insurance -Life insurance -Tuition reimbursement -Dependent D d t care -Flexible work schedules (telecommuting, flex time, Compressed work week, etc) t ) 6
From: Mello (2006), p. 494
A Simple Model of Motivation
NEED Creates desire to fulfill needs (money, friendship, recognition, achievement)
BEHAVIOR Result in actions to fulfill needs
REWARDS Satisfy y needs: intrinsic or extrinsic rewards
FEEDBACK Reward informs person whether behavior was as appropriate and sho should ld be used sed again From: Daft (2005), p. 295 7
Motivation Theories & Workplace Outcomes: A Contingency Approach g y pp Source: Kreitner & Kinicki (1998; p. 192)
Outcome MOTIVATION THEORIES of Interest Need Reinforcement Equity Expectancy Goal Setting Choice to pursue a course of action Effort
X X
Performance Satisfaction Absenteeism Turnover
Job Characteristic
X X
X X X
X X X X X
X
X
X X
X X X X X
8
NEED THEORIES OF MOTIVATION NEED THEORIES OF MOTIVATION • Maslow’s Need Hierarchy Theory • Two‐Factor Theory (Herzberg) y( g) • Acquired Needs Theory (McClelland)
9
MASLOW’S HIERARCHY OF NEEDS
Self Actualization Needs
Esteem Needs Belongingness/Love Needs Compensation (Pay; Incentives)
Safety Needs Ph i l i l Needs Physiological N d 10
MENURUT MASLOW MENURUT MASLOW • KOMPENSASI KOMPENSASI (GAJI, INSENTIF KEUANGAN) (GAJI INSENTIF KEUANGAN) BERADA DI LEVEL TERBAWAH DARI HIERARKI • JADI TIDAK MEMPENGARUHI MOTIVASI JADI TIDAK MEMPENGARUHI MOTIVASI • BERSIFAT EXTRINSIKS
11
NEW MODEL OF MASLOW’S HIERARCHY OF NEEDS Tran scendence Self Actualization
Aesthetic Needs Need to Know & Understand
Esteem Needs Belongingness/Love Needs Safety Needs Physiological Needs
12
HERZBERG’S TWO-FACTOR THEORY Highly Satisfied
MOTIVATORS AREA OF SATISFACTION
Achievement Recognition Responsibility Work Itself Personal Growth
Motivators Influence level Of satisfaction
Neither Satisfied nor dissatisfied
AREA OF DISSATISFACTION
Highly Dissatisfied
HYGIENE FACTORS Working g conditions Pay & security Company policies Supervisors Interpersonal relationships
Hygiene factors Influence level of dissatisfaction
13
MENURUT HERZBERG MENURUT HERZBERG • GAJI GAJI ATAU KENAIKAN GAJI TIDAK AKAN ATAU KENAIKAN GAJI TIDAK AKAN MENINGKATKAN MOTIVASI • TAPI, JIKA GAJI TIDAK CUKUP (TIDAK SESUAI TAPI JIKA GAJI TIDAK CUKUP (TIDAK SESUAI DENGAN HARAPAN), AKAN MENIMBULKAN KETIDAKPUASAN • GAJI CUKUP = Neither Satisfied nor di dissatisfied i fi d
14
Acquired Needs Theory (McClelland) Acquired Needs Theory (McClelland) 3 needs can be acquired: 3 needs can be acquired: • Need for Achievement • Need for Affiliation df ffili i • Need for Power Diskusi: TIDAK TERKAIT LANGSUNG DENGAN HUBUNGAN KOMPENSASI ‐ MOTIVASI
15
Motivation Theories & Workplace Outcomes: A Contingency Approach g y pp Source: Kreitner & Kinicki (1998; p. 192)
Outcome of Interest
MOTIVATION THEORIES Need Reinforcement
Equity
Choice to pursue a course of action Effort
Absenteeism Turnover
Goal Setting
Job Characteristic
X X
X X X X X
X X
Performance Satisfaction
Expectancy
X X
X X X
X X X X X
X
X
16
REINFORCEMENT THEORY Skinners • Looks Looks at the relationship between BEHAVIOR & its at the relationship between BEHAVIOR & its CONSEQUENCES by changing or modifying follower’s on the job behavior through the appropriate use of immediate REWARDS or PUNISHMENTS • BEHAVIOR MODIFICATION: the law of effect • 4 Cara: Positive & Negative Reinforcement; Punishment; Extinction • Diskusi: HUBUNGAN KOMPENSASI ‐ MOTIVASI
17
ADAM’S EQUITY THEORY OF MOTIVATION • A Model of Motivation that explains how people p p p strive for FAIRNESS & JUSTICE in social exchanges or give‐and‐take relationship • Employee Employee‐Employer Employer exchange components: INPUTS exchange components: INPUTS & OUTCOMES • INPUTS: Time, education/training, experience, skills, creativity, seniority, loyalty, age, personality traits, ti it i it l lt lit t it effort expanded, personal appearance • OUTCOMES: pay/bonuses, fringe benefits, p y/ , g , challenging assignments, job security, career advancements/promotions, status symbols, recognition, etc recognition, etc 18
ADAM’S EQUITY THEORY OF MOTIVATION Self
Other Self Other
An Equitable Situation
EQUITY = RATIO OF OUTCOMES TO INPUTS
Other Self
Positive Inequity
Negative Inequity
19
Expanded the Concept of Equity Expanded the Concept of Equity • Distributive Distributive Justice Justice • Procedural Justice External Equity (pekerjaan A vs pekerjaan A di • External Equity (pekerjaan A vs pekerjaan A di organisasi lain) • Internal Equity (pekerjaan A vs pekerjaan B dalam Internal Equity (pekerjaan A vs pekerjaan B dalam satu organisasi) • Individual Equity (pekerjaan A vs pekerjaan A dalam q y (p j p j satu organisasi) Diskusi: HUBUNGAN KOMPENSASI – MOTIVASI & KEPUASAN 20
Motivation Theories & Workplace Outcomes: A Contingency Approach g y pp Source: Kreitner & Kinicki (1998; p. 192)
Outcome of Interest
MOTIVATION THEORIES Need Reinforcement
Equity
Choice to pursue a course of action Effort
Absenteeism Turnover
Goal Setting
Job Characteristic
X X
X X X X X
X X
Performance Satisfaction
Expectancy
X X
X X X
X X X X X
X
X
21
VROOM’S EXPECTANCY THEORY E Æ P expectancy Effort Æ Performance
P Æ O expectancy Performance Æ Outcomes
Valence – Value of outcomes (pay, recognition, other rewards)
Will putting effort into The task lead to the Desired performance?
Will high performance Lead to the desired Outcome? Are the available outcomes Highly valued?
MOTIVATION 22
PORTER‐LAWLER’S EXPECTANCY MODEL 4 Kemampuan dan bakat
1 Nilai penghargaan
8 Penghargaan yang dirasa pantas 6
3 Kinerja
Usaha
2 Kemungkinan kinerja akan diberi penghargaan
7
9
Penghargaan
Kepuasan
5 Persepsi terhadap peran
23
EXPECTANCY THEORY EXPECTANCY THEORY • DISKUSI: DISKUSI: HUBUNGAN KOMPENSASI HUBUNGAN KOMPENSASI – MOTIVASI & KEPUASAN • Contoh: Jika bekerja 5 tahun mendapat cuti 10 Contoh: Jika bekerja 5 tahun mendapat cuti 10 hari/5 tahun; Jika bekerja 10 tahun akan mendapat tambahan cuti 5 hari/tahun plus: mendapat tambahan cuti 5 hari/tahun, plus: status senior, tunjangan dan gaji tambahan, dll. dll
24
Motivation Theories & Workplace Outcomes: A Contingency Approach g y pp Source: Kreitner & Kinicki (1998; p. 192)
Outcome MOTIVATION THEORIES of Interest Need Reinforcement Equity Expectancy Goal Setting Choice to pursue a course of action Effort
X X
Performance Satisfaction Absenteeism Turnover
Job Characteristic
X X
X X X
X X X X X
X
X
X X
X X X X X
25
THE JOB CHARACTERISTIC MODEL Core job characteristics
Skill variety Task identity Task significance
Autonomy
Feedback from job
Critical Psychological states
Experienced meaningfulness of the work Experienced responsibility for outcomes of the work Knowledge of the actual results of th work the k activities ti iti Moderators: 1K 1.Knowledge l d and d skill kill 2.Growth need strength 3.”Context” satisfactions
Outcomes
High internal Work motivation High “growth” Satisfaction High general Job satisfaction High work effectiveness
26
Locke’s Model of Goal Setting Directing one’s attention
Goals motivate the i di id l individual by…
Regulating one’s effort Task performance Increasing one’s persistence Encouraging the development of goal-attainment strategies or action plans
27
DISKUSI • KEDUA KEDUA MODEL TERAKHIR, TIDAK ADA MODEL TERAKHIR TIDAK ADA HUBUNGANNYA/TAK BISA MENJELASKAN HUBUNGAN KOMPENSASI – MOTIVASI & HUBUNGAN KOMPENSASI MOTIVASI & KEPUASAN
28
RANGKUMAN • HUBUNGAN HUBUNGAN ANTARA KOMPENSASI DENGAN ANTARA KOMPENSASI DENGAN MOTIVASI DALAM 2 KONTEKS KHUSUS: KEPUASAN PEGAWAI & PRODUKTIVITAS BOCORAN UJIAN: • HUBUNGAN HUBUNGAN “PAY PAY and EMPLOYEES and EMPLOYEES’ SATISFACTION” • HUBUNGAN HUBUNGAN “PAY PAY and EMPLOYEES and EMPLOYEES’ PRODUCTIVITY”
29
KEMBALI KE KEMBALI KE …… COMPENSATION
30
COMPENSATION DECISIONS COMPENSATION DECISIONS PAY FOR PARTICULAR POSITION IS SET RELATIVE TO 3 GROUPS (remember: EQUITY THEORY): • Employees working on similar jobs in other organizations (based on: EXTERNAL EQUITY Æ (b d Æ PAY LEVEL DECISION) • Employees working on different jobs within the Employees working on different jobs within the organization (based on: INTERNAL EQUITY Æ PAY‐ STRUCTURE DECISION) • Employees working on the same job within the organization (based on: INDIVIDUAL EQUITY Æ INDIVIDUAL PAY DETERMINATION) INDIVIDUAL PAY DETERMINATION) 31
COMPENSATION DECISIONS
PAY LEVEL DECISION
INTERNAL EQUITY Q
EXTERNAL EQUITY
PAY-STRUCTURE DECISION
INDIVIDUAL EQUITY
INDIVIDUAL PAY DETERMINATION 32
PAY‐LEVEL PAY LEVEL DECISION DECISION BASED ON: PAY SURVEYS BASED ON: PAY SURVEYS 3 PAY‐LEVEL STRATEGY: • HIGH‐PAY STRATEGY G S G • LOW‐PAY STRATEGY • COMPARABLE‐PAY STRATEGY
33
THE PAY STRUCTURE DECISION THE PAY STRUCTURE DECISION • TOOL: TOOL: JOB EVALUATION JOB EVALUATION • A systematic comparison of the worth of one job with that of another job results in the job with that of another job, results in the creation of wage or salary hierarchy • Case: Strategic HRM: “A” position versus “B” C S i HRM “A” ii “B” or “C” position (Jobs/work); “A” player versus “B” “C” l “B” or “C” players
34
Comparison of Job Evaluation Systems Comparison of Job Evaluation Systems COMPARISON BASIS
NON NON-QUANTITATIVE COMPARISON (Job as Whole)
QUANTITATIVE Q COMPARISON (Parts of Factors of Jobs)
JOB versus JOB
JOB RANKING
FACTOR COMPARISON
JOB versus SCALE
JOB GRADING or CLASSIFICATION
POINT SYSTEM
35 Source: Ivancevich (2007; p. 312)
The Individual Pay Decision The Individual Pay Decision Two issues: Two issues: • 1. the same pay? • 2. make the distinction? Based on what? 2 k h di i i ? d h ? – Individual differences in experience, skills, & performance? f ? – Expectations that seniority, higher performance, or both deserve higher pay? b th d hi h ?
36
Methods of Payment Methods of Payment • Flat Rates Flat Rates • Payment for Time Worked • Variable Pay: Incentive Compensation Variable Pay: Incentive Compensation – Any compensation plan that emphasizes a shared focus on organizational success, broadens focus on organizational success, broadens opportunities for incentives to nontraditional groups, & operates outside the base pay increase system t – Gainsharing, winsharing, lump‐sum bonuses, individual variable pay etc individual variable pay, etc. – Flexible, depend on organization profit 37
The Double Impact of Incentive Bonuses on Employee p y Motivation and Performance Identification of & solution t productivity to d ti it problems
Bonus promised
Participation
Intrinsic motivation
Effort
Bonus
Information sharing & employee empowerment
38 From: Kreitner & Kinicki (1998), p.269
RETENTION Does perception of PAY SYSTEM SATISFACTION related to PAY SYSTEM SATISFACTION related to RETENTION? 39
3 Categories of factors affecting retention • Personal Personal Factors (age, gender, education, etc) Factors (age gender education etc) • Professional factors (specialization, working hours incentives etc) hours, incentives, etc) • Contextual/environmental factors (community amenities, quality of life, population’s ii li f lif l i ’ educational level, etc)
40
5 Categories of Determinants that affect Geographical Distribution affect Geographical Distribution • Individual Factors: social background, ethnicity, age, g , y, g , gender, education, values, beliefs, etc • Organizational Environment: management style, incentives & career structures, salary scales, etc l l • Health Care & Educational System Determinants: education & training process health care system education & training process, health care system, HRH policy formulation process • Institutional Environment: decentralization & civil service reform, • Sociocultural Environment Source: Dussault & Francheschini (2006), p. 4-6 41
Dokter di Bengkulu Dokter di Bengkulu • Penelitian: Bukit, Trisnantoro, Meliala (2002) Penelitian: Bukit Trisnantoro Meliala (2002) • Turn Over Rate tinggi – Dokter hanya betah bertahan selama 2 tahun D kt h b t hb t h l 2t h
• Insentif kehadiran up to Rp 5 juta • Fasilitas bekerja dan perumahan disediakan • Pelayanan kepada pasien di RS buruk y p p
Source: Meliala (2007)
42
Dokter di Papua Dokter di Papua • Penelitian Napitupulu, Meiyanto & Meliala (2005) Penelitian Napitupulu, Meiyanto & Meliala (2005) • Turn Over Rate tinggi – Dokter hanya betah bertahan selama 3 tahun Dokter hanya betah bertahan selama 3 tahun – Hanya menyelesaikan kontrak
• • • •
Insentif kehadiran Rp 7.5 juta p j Penghasilan Rp. 20 juta Fasilitas bekerja dan perumahan disediakan Fasilitas bekerja dan perumahan disediakan Pelayanan kepada pasien di RS buruk Source: Meliala (2007)
43
44
