2. The self-actualization needs of the Need hierarchy theory, the Motivators or intrinsic factors and the Need for Power of the Acquired Needs theory.
3. The equity theory does apply here. Employees are motivated when their perceived inputs equal outputs. When the employee gets to decide what salary he or she will draw and how much effort will go into it, he or she will ensure that the inputs match the outcome. With the employee empowered to decide what is equitable, there is no reason not to be motivated.
The expectancy theory proposes that people are motivated when they believe they can accomplish the task, they will get the reward when they accomplish the task and the reward is worth the effort.
Here we are assuming that all of Art Friedman's employees are competent at accomplishing the task. With the attainment of reward on accomplishing their task and the magnitude of the reward in their own hands, the employees' motivation is totally in their control.
4. Friedman used positive reinforcement; the employees could decide their reward, their working schedule and time off, and freedom to borrow money whenever they wished to. All are very attractive positive reinforcements.
5. At FedEx the drivers decide the best and most efficient routes. There is no one providing route guidance. The drivers are the most motivated to find the most efficient route as they are the ones who gain by finding a route that helps them to get home early at night . The drivers are thus empowered to do their job well, feel good about it and also create higher efficiencies for the organization.
6. Friedman's technique probably may not work in a large complex organization or in a different cultural situation or for different products or services. The technique was implemented by Friedman at a time in history where ethical values were higher. The original 15 employees were probably mentored by Friedman himself and so were fully indoctrinated with Friedman's ideologies. The product range is narrow and Friedman was able to monitor the process at close quarters. He was able to monitor productivity and expenses to ensure that the technique was indeed working. While the employees did get the freedom, the controls were in place and probably Friedman would not have continued with the process if it did not work.
In a situation with a large number of products, heterogeneous employees, poor control mechanisms and geographically dispersed locations, the techniques used by Friedman would not work .It will also not work in situations like customer service where employees have to be physically present. Making satisfying work schedules with flexible work hours would become more and more complicated, as the number of employees multiplied. It would probably work if technology could be used intelligently to monitor each employee's contributions with the rewards that they chose to receive. It will also work if every single task can be recorded and documented and if work can be specifically attributed to a person or team
7. In a position of authority, would you use Friedman’s technique? Which ones?
In reading the “Friedmans Appliance” case study, I tend to see elements from all of the leadership styles listed in question one. The University of Iowa which promotes the Democratic Leadership style contains the most elements of Art Friedman’s new direction for his company. Allowing the workers to control their scheduling, pay, discipline nearly all issues concerning their employment is the essence of a Democratic Leadership style. Now the University of Michigan and Ohio State leadership theories are essentially the same idea with a different application procedure. Art Friedman’s new leadership style is without question an employee centered leadership style, present in both Michigan and Ohio States theories.