The intent of this paper is to discuss some of the current research and opinion concerning, and to compare and contrast the strengths and weaknesses of, one of the more common theories of motivation, the Equity theory. In addition, this paper will compare and contrast the Equity theory with another popular theory of motivation: the Expectancy theory.
Introduction
Motivational theories receive a great deal of attention in organizational behavior research, primarily because of their purported ability to explain some of the complexities of employee performance and turnover in an organization. Most motivational theories try to integrate external factors (i.e., an organizational compensation system) with internal forces (i.e., personal needs and motives). Some of the structure these theories provide can also be used in a work environment as measuring tools for individual performance in an organization.
In this paper we study a major motivational theory: the Equity theory. We explore the similarities and differences between this theory and two other common theories. We will also consider current research and opinion surrounding this theory and compare its strengths and weaknesses with another common motivational theory, the Expectancy theory.
Equity theory
Adams first talked about Equity theory in 1963 and 1965 (cited in Ambrose & Kulik, 1999). According to Adams, an individual assesses his relationships by analyzing his inputs to the relationship and what he receives in return compared to what other individuals contribute to the relationship and receive in return. At its core, this is a theory that is based on perceived fairness. It is a reasonable, common-sense notion that people want to be treated in a manner that they perceive to be fair, or at the very least, equal to those performing the same tasks.
If the individual thinks that his outcome-to-input ratio is less or more than that of the other individuals in the
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