Equity & Expectancy Theory of Motivation

Motivation Explain Adams equity theory Adams’ equity theory is a motivational model that attempts to explain the relationship between what an employee puts into their job (input), what they get out of it (output) and the fairness and justice exchanged between the two (Cosier & Dalton, 1983). Inputs include all factors that are perceived as necessary to obtain a return, such as effort, loyalty, hard work, commitment, skill, ability, flexibility, tolerance, determination, heart and soul, enthusiasm, trust in the employer and personal sacrifice. Whilst outputs include all factors that are seen as a return of the job such as financial rewards, perks, benefits, pension arrangements, recognition, reputation, praise, interest, responsibility, travel, training, development, sense of achievement and promotion (Cosier & Dalton, 1983). A fair and equitable balance of the two are based on the employees own perception, thoughts and beliefs and are formed through comparing the employees own situation with other employees in the market place along with opinions and comparisons from colleagues, friends and partners (Kreitner & Kinicki, 2010). Ultimate Software has been able to provide an equitable balance between the inputs and outputs of their employees through implementing some of the key principles of equity theory. For example they are providing a strong leadership role model through Scott Scherr-the CEO, they are being attentive to their employees’ perception of fairness and more importantly they are involving their employees in the decision making and policy process. In return this has promoted cooperation and team work within the company (Kreitner & Kinicki, 2010). More specifically Ultimate Software application of being attentive and involving their employees was demonstrated when their employee suggested that they offer paid adoption leave to their employee and they consequently implemented the benefit (Kreitner & Kinicki, 2010). This particular employee was about to