Equity theory articles. The Equity Theory of Motivation for People, Teams & Managers 2022-10-15
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Equity theory is a social psychological concept that explains how individuals perceive and respond to perceived unfairness in social exchanges. It suggests that individuals strive for fairness in their relationships and that when they perceive an imbalance in the distribution of resources or rewards, they will attempt to restore equity.
The theory was first proposed by John Stacey Adams in 1963, and it has since been widely studied in the fields of psychology, sociology, and management. According to equity theory, individuals compare their own outcomes and inputs (such as effort, time, and resources) to those of others in order to determine whether they are being treated fairly. If they perceive an imbalance, they may respond in a number of ways, including adjusting their own inputs or outcomes, seeking additional resources or rewards, or terminating the relationship.
There are several key principles that underlie equity theory. One is the idea that individuals have different perceptions of what is fair and that these perceptions may vary based on personal values, cultural norms, and past experiences. Another is the idea that individuals are motivated to maintain a sense of fairness and balance in their relationships, and that this motivation can be a powerful force in shaping behavior.
There are several different types of equity that have been identified in the literature. These include distributive equity, which refers to the distribution of resources and rewards among individuals; procedural equity, which refers to the fairness of the processes used to make decisions and allocate resources; and interactional equity, which refers to the fairness of the interactions between individuals.
There are a number of implications of equity theory for organizations and individuals. For organizations, it can be important to ensure that resources and rewards are distributed fairly among employees in order to maintain a positive and productive work environment. For individuals, understanding and applying equity theory can help them to navigate conflicts and to build more satisfying and fair relationships with others.
Overall, equity theory is a valuable framework for understanding how individuals perceive and respond to fairness in social exchanges. It highlights the importance of fairness in relationships and provides insight into how individuals can work to maintain balance and equity in their interactions with others.
Equity Theory of Motivation
Anything perceived to be an outcome important to the individual can shift his ratio of inputs to outcomes. According to Adams, the most common and readily accessible avenue for an employee feeling this way is to reduce the work effort ibid. They might compare themselves to the CEO, who earns much higher than them. This theory is fairly straightforward, but comes with its own set of complications. Use an employee assistance programme With an When your people feel at their best, they perform better and they take fewer sick days. Immigrants move to new countries for a better life, and a better life means earning more money sooner or later. Or if a travel customer travels first class, that customer may expect to receive better meals, more space and an overall better experience because of the high price.
For example, a single parent will accept flexible working hours and lesser pay. They theorised that couples who believed the relationship was equitable would believe their marriages were more stable, and they would be more content. What, then, does this mean? Incentives motivated the earliest frameworks for persuasive communication Hovland, Janis, and Kelley , as well as more recent principles of compliance involving scarcity Cialdini as a threat to control over outcomes. The notion of restoring balance to the relationship is what drives most of us, as everyone strives for harmony. High benefits and low costs make a relationship more likely to succeed in the long term.
For example, a librarian who is receiving inequitable treatment might be given additional benefits e. Maybe the thing you thought you wanted isn't what you want anymore. The equity theory is not free from criticism. Most empirical studies attempt to mitigate the aforementioned endogeneity concerns by conducting a battery of robustness analyses including the use of different proxies for tournament incentives; lagged independent variables, firm fixed effects regressions, the propensity-score matching technique, the two-stage least squares 2SLS analysis, and the generalized method of moments GMM technique for dynamic models. Expectancy theory says that people are only motivated to work towards rewards they want and that are attainable. However, the same theory is also applicable to an individual's self-motivation, even outside the work environment.
Equity Theory and its Applications in the Various Spheres of Life Perception is a relative term and differs from person to person. It is often a topic of Advantages and Disadvantages of Equity Theory of Motivation Although this theory of motivation may seem like a beautiful concept, it does have its advantages and disadvantages. This theory of motivation was developed on the belief that fair treatment, or a perception thereof, motivates people to keep such fairness maintained within the relationships of their colleagues and the organization. But this is not the end of the argument for money and goods. The managers find it very useful in managing and motivating people through equitable rewards. Adams' theory of motivation can help create a fair and motivating work environment for all.
Although many respect his work and the workplace equity theory of motivation, it is not perfect. If these things are not fulfilled compared to those who are travelling business or economy class, or with the last visit, the customer will feel that there is an inconsistency between the perceived input and outcomes, and thus they will be inclined to have perceptions of unfairness. Excessive control over another person, to obtain desired outcomes, motivates instrumental aggression Geen , following the frustration—aggression hypothesis Dollard, Miller, Doob, Mowrer, and Sears. Even outside close relationships, outcome dependence motivates individuation Fiske , undercutting stereotypes. For example, Chen et al. These literatures suggest that tipping may be a way to maintain equitable relationships with service workers by reciprocating for services delivered with monetary gifts.
Here is a table that outlines some of the inputs and the expected outcomes that people expect in any kind of a relationship. Employees who feel like their jobs treat them fairly are more likely to be Leaders who let employees determine what is fair compensation can help reduce equity tension in the workplace. Open door policy Second, have an open door policy. These are just a few examples of how to identify equity theory. Adams has defined two specific words viz. If it is absent, then partners will make behavioral changes to restore harmony.
What Is Adam's Equity Theory Of Motivation In The Workplace?
Speak up if your boss mistreats you. The Academy of Management the Academy; AOM is a leading professional association for scholars dedicated to creating and disseminating knowledge about management and organizations. Extrinsic motivation — doing something in order to receive a reward or avoid punishment — is fairly common in the workplace. Creating an ongoing educational process to build DEI competencies. They may also have to work within certain geographical constraints, and need to weigh that in as well. Let us take a look at various spheres of life where this theory applies, explicitly or implicitly.
Therefore, addressing the one specific grievance of an employee at that point may not really address the other issues. . This might help you gain back some of that motivation you're missing. Reference Points and Comparisons: Give-and-take alone is not what sets the wheels of equity into motion. How To Use This Theory The equity theory of motivation can be a helpful tool for individuals looking to improve their intrinsic motivation.