Equity theory examples in the workplace. What Is the Equity Theory in the Workplace? 2019-02-10
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What Is an Inequity Resolution in the Workplace?
Health care, Leadership, Nurse 2047 Words 9 Pages farnborough collage Problem in employee absenteeism and concentration to the workplace. When employees believe that the workplace is unfair, they grow to distrust organizational leadership. With this is mind, it is possible that age, or other external factors, might play a part in which equity sensitivity group an individual is likely to be in. Strengths and Weaknesses of Equity Theory Equity Theory is a good resource for organizations to consider when it comes to understanding social comparison amongst employees. Another cognitive process alternative would be to choose a different comparative other. Greenberg was correct in his hypothesis and now had results showing that money was not the only driving factor for equity theory.
Equity Theory of Motivation in Management: Definition & Examples
Important Management theories There are several management theories for the purpose of the managerial activity at the office. Equity Theory explains why people can be happy and motivated by their situation one day, and yet with no change to their terms and working conditions can be made very unhappy and demotivated, if they learn for example that a colleague or worse an entire group is enjoying a better reward-to-effort ratio. A combination of a number of concepts depending on the workforce, purpose and workplace are used by the managers. Once research was conducted on the equity theory and how it pertains to the Eastern culture, results found that equality rather than equity was preferred Leung and Bond, 1982, 1984; Leung and Park, 1986; Mahler, Greenberg and Hayashi, 1981 as cited in Fadil et al, 2005. Bullying, Discrimination, Feminism 1861 Words 6 Pages hierarchy-of-needs theory; b the motivation-hygiene theory; c the equity theory; and d the expectancy theory? For example, employees can use the equity theory to determine if inequity has occurred, and if so, they can use the expectancy theory to act upon the inequity. For example: A range of discipline along with professional from the various sector with authority is also required.
A person's beliefs in regards to what is fair and what is not fair can affect their motivation, attitudes, and behaviors. As of current, Sarah has been with Corporation X for 3 years and is in line to move into a management position within the next six months. Everything in excess or in dearth is bad. The exercise of power is legitimated through authority Weber 1947 and Weber was the first to develop a systematic version of these terms as keystone of his social theory. Management can do a lot to prevent perceptions of inequity, the assessment of inputs and outcomes will remain based on individual's subjective perception Adams, 1963. Work stress is seen as a modern epidemic, which effects one in terms of health, absence from work, and costs to the national economy.
What Theory Can Management Apply in the Workplace for Motivation?
However, Equity Theory takes a less straightforward and more fluid approach than previous models; the employee can be content with their situation one day, but feel defeated the next. Equity Theory adds a crucial additional perspective of comparison with 'referent' others people we consider in a similar situation. The theory is quoted to make two remarkable set of assumptions about the employees. Equity, and therefore the motivational situation we aim to assess using the model, is not dependent on the extent to which a person believes reward exceeds effort, nor even necessarily on the belief that reward exceeds effort at all. Essentially, an individual within an organization will always try to keep fairness equity in balance: How We Compare: Referent Groups A referent group is simply a collection of people a person uses for the purposes of comparison. Industrial and organizational behavior 5th ed.
Equity theory can be applied in almost any exchange situation, so there are a multitude of components that can be listed as inputs or outcomes. For example, Skarlicki and Folger 1997 found that employees that are treated with respect are more likely to tolerate unfair pay. It is important for managers and employers to find a suitable measure between them Cory, 2006. Inequities typically come about as a result of perceived or actual unfair treatment relative to other employees within the organization, and can include such things as internal and external pay discrepancies, unfair decision-making, and poor career development opportunities. Equity Theory Overview Equity Theory proposes that a person's motivation is based on what he or she considers to be fair when compared to others Redmond, 2010.
Equity theory is a theory about fairness. Equity theory is considered as one of the justice theories; it was first developed in 1962 by John Stacey Adams, a workplace and behavioral psychologist, who asserted that employees seek to maintain equity between the inputs that they bring to a job and the outcomes that they receive from it against the. Paul D Sweeney and Dean B. Or they may feel undervalued because someone else did get one, and they perceive their inputs to be superior to the person that got the bonus. It also explains why giving one person a promotion or pay-rise can have a demotivating effect on others.
What Theory Can Management Apply in the Workplace for Motivation?
Associations or relationships of any kind are crated for the sake of this same utility: the organization can do more than an individual can do in isolation. Examples of equity theory at work In practice this helps to explain why people are so strongly affected by the situations and views and gossip of colleagues, friends, partners etc. Plant B experienced a large increase in theft while Plant A experienced a smaller increase. While believes of Theory Y is that the employees are naturally determined and take responsibility. The theory states that when a person compares himself to his coworkers and finds the results to be fair, he will be more motivated.
According to equity theory, perceived inequity comes from social comparisons Adams, 1965. In doing so, they will compare the total of all inputs against the total of all outputs. About the Author Walter Johnson has more than 20 years experience as a professional writer. Other examples of personal qualities employees bring to an employer are loyalty and commitment, adaptability and flexibility, trustworthiness, dependability, tolerance and personal sacrifice. Thus, two employees of equal experience and qualification performing the same work for the same pay may have quite different perceptions of the fairness of the deal.
