1. Les Affaires Français Chapter 7; Motivation II: Equity, Expectancy, and Goal Setting

2. Adams’s Equity Theory of Motivation Is a model of motivation that explains how people strive for fairness and justice in social exchanges. This theory is based on cognitive dissonance theory.

3. Individual-Organization Exchange Relationships Two primary components are involved in the employee-employer exchange. Inputs = such things as education, training, creativity, and or seniority. Things that you bring to the table. Outcomes= pay, bonuses, fringe benefits,and or challenging assignments. These are things that you are compensated with.

4. Negative and Positive Inequity Is a persons evaluation of whether he or she receives adequate rewards to compensate for his or her contributive inputs. Three types of Equity An equitable situation Negative Inequity Positive Inequity

5. Thresholds of Equity and Inequity Equity Sensitivity is an individual’s tolerance for negative and positive equity. Three types of sensitivity Benevolent Types Equity Sensitives Entitleds

6. Organizational Justice Components of Organizational Justice Distributive Justice The perceived fairness of how resources and rewards are distributed. Procedural Justice The perceived fairness of the process and procedures used to make allocation decisions. Interactional Justice Extent to which people feel fairly treated when procedures are implemented.

7. Expectancy Theory of Motivation Holds that people are motivated to behave in ways that provide valued outcomes.

8. Victor Vroom Expectancy Theory Book focuses mainly on Vrooms expectancy theory form his 1964 book, Work and Motivation Three key concepts: Expectancy Instrumentality Valence

9. Vroom’s Expectancy Theory in Action FedEx college age workers in the cargo terminal and there lack of motivation.

10. Research shows… There are three issues to consider when deciding on the relative balance between monetary and nonmonetary rewards. There are four prerequisites to linking performance and rewards.

11. Motivation through Goal Setting Successful people tend to have one thing in common, their lives are goal oriented. Goal: what an individual is trying to accomplish; it is the object or aim of an action. Management by objectives (MBO): a management system that incorporates participation in decision making, goal setting, and objective feedback.

12. How Does Goal Setting Work? Locke’s model has four motivational mechanisms 1. Goals Direct Attention Goals direct one’s attention and effort toward goal-relevant activities and away from goal-irrelevant activities. 2. Goals Regulate Effort Goals motivate us to act. 3. Goals Increase Persistence Persistence represents the effort expended on a task over an extended period of time. 4. Goals Foster the Development and Application of Task Strategies and Action Plans Helps encourage people to develop strategies and action plans that enable them to achieve their goals.

13. 5 insights to Goal Setting Difficult Goals lead to Higher Performance Goal Difficulty reflects the amount of effort required to meet a goal Specific, Difficult goals lead to higher performance for simple rather than complex task Goal Specificity pertains to the quantifiability of a goal

14. 5 insights to Goal Setting Feedback enhances the effect of specific, difficult goals. Feedback allows people to know how they are performing Participative goals, assigned goals, and self-set goals are equally effective It has not been found in studies that any one of the approaches is more effective than the other

15. 5 insights to Goal Setting Goal commitment and monetary incentives affect goal-setting outcomes Goal commitment is the extent to which an individual is personally committed to achieving a goal.

16. Practical Applications of Goal Setting Step 1: Set Goals Goals should be SMART; specific, measurable, attainable, results orientated, and time Bound

17. Practical Applications of Goal Setting Step 2: Promote Goal Commitment Important because employees are more motivated to pursue goals they view as reasonable, obtainable, and fair. Step 3: Provide Support and Feedback “Motivation without knowledge is useless”

18. Putting Motivational Theories to Work Successfully designing and implementing motivational programs is not easy Method to evaluate performance Equity theory Expectancy theory

19. Putting Motivational Theories to Work Undesirable employee behavior can be due to a host of deficient individual inputs or job context factors Performance must be accurately evaluated and rewards should be equitably distributed Employee motivation and behavior are influenced by organizational culture