MGMT 371 Chapter 7: Motivation through Equity, Expectancy & Goal Setting

1. MGMT 371Chapter 7: Motivation through Equity, Expectancy & Goal Setting • Adam’s Equity Theory • Organizational Justice • Expectancy Theory • Motivation through Goal Setting • Application of theories

2. Adam’s Equity Theory of Motivation • Negative and positive inequity • Equity sensitivity • Reducing inequity • Organizational Justice • Distributive • Procedural • Interactional • Findings and applications

3. $2 1 hour $4 2 hours = $2 per hour = $2 per hour Negative and Positive Inequity Figure 7-1 A. An Equitable Situation Other Self © 2005 The McGraw-Hill Companies, Inc. All rights reserved. McGraw-Hill McGraw-Hill/Irwin

4. B. Negative Inequity Self Other $2 1 hour $3 1 hour = $2 per hour = $3 per hour Negative and Positive Inequity (Cont.) Figure 7-1 © 2005 The McGraw-Hill Companies, Inc. All rights reserved. McGraw-Hill McGraw-Hill/Irwin

5. C. Positive Inequity Other Self $2 1 hour $3 1 hour = $1 per hour = $3 per hour Negative and Positive Inequity (Cont.) Figure 7-1 © 2005 The McGraw-Hill Companies, Inc. All rights reserved. McGraw-Hill McGraw-Hill/Irwin

6. Expectancy Theory of Motivation • Vroom’s Model • Expectancy • Instrumentality • Valence

7. Organizational Implications of Expectancy Theory • Reward people for desired performance and be transparent. • Design challenging jobs. • Tie some rewards to team work. • Reward managers for creating and maintaining expectancies (self-efficacy), instrumentalities, and outcomes

8. Organizational Implications of Expectancy Theory • Monitor employee motivation through interviews or anonymous questionnaires • Accommodate individual differences by building flexibility into the motivation program

9. Motivation through Goal Setting • Goals • How does goal setting work? • Attention • Effort • Persistence • Factors: • Difficulty • Specificity • Participative • Commitment

10. Guidelines for Writing SMART Goals Table 7-2 Specific Measurable Attainable Results oriented Time bound © 2005 The McGraw-Hill Companies, Inc. All rights reserved. McGraw-Hill McGraw-Hill/Irwin

11. Motivation through Goal Setting • Process • Step 1: Set goals • Step 2: Goal commitment • Step 3: Support and feedback • Theory applications

12. Skills & Best Practices: Managerial Actions for Enhancing Goal Commitment • Provide valued outcomes for goal accomplishment. • Raise employees’ self-efficacy about meeting goals by: • Training • Role modeling desired behaviors and actions • Persuasively communicating confidence in the employee • Make goals public • Communicate an inspiring vision and explain how individual goals relate to the vision. © 2005 The McGraw-Hill Companies, Inc. All rights reserved. McGraw-Hill McGraw-Hill/Irwin

13. Skills & Best Practices: Managerial Actions for Enhancing Goal Commitment (Cont.) • Participative goal setting • Be supportive rather than punitive. • Incremental goals • Ensure that employees have necessary resources to accomplish goals © 2005 The McGraw-Hill Companies, Inc. All rights reserved. McGraw-Hill McGraw-Hill/Irwin