Clayton Alderfer's ERG Theory

Alderfer has tried to rebuild the hierarchy of needs of Maslow into another model named ERG, i.e., Existence - Relatedness - Growth. According to him there are 3 groups of core needs as mentioned above. The existence group is concerned mainly with providing basic material existence. The second group is the individuals need to maintain interpersonal relationship with other members in the group. The final group is the intrinsic desire to grow and develop personally. The major conclusions of this theory are :

1. In an individual, more than one need may be operative at the same time.

2. If a higher need goes unsatisfied than the desire to satisfy a lower need intensifies.

3. It also contains the frustration-regression dimension.

4. Equity Theory : As per the equity theory of J. Stacey Adams, people are motivated by their beliefs about the reward structure as being fair or unfair, relative to the inputs. People have a tendency to use subjective judgment to balance the outcomes and inputs in the relationship for comparisons between different individuals. Accordingly :

5. If people feel that they are not equally rewarded they either reduce the quantity or quality of work or migrate to some other organization. However, if people perceive that they are rewarded higher, they may be motivated to work harder.

6. Reinforcement Theory : B.F. Skinner, who propounded the reinforcement theory, holds that by designing the environment properly, individuals can be motivated. Instead of considering internal factors like impressions, feelings, attitudes and other cognitive behavior, individuals are directed by what happens in the environment external to them. Skinner states that work environment should be made suitable to the individuals and that punishments actually leads to frustration and de-motivation. Hence, the only way to motivate is to keep on making positive changes in the external environment of the organization.

7. Goal Setting Theory of Edwin Locke : Instead of giving vague tasks to people, specific and pronounced objectives, help in achieving them faster. As the clarity is high, a goal orientation also avoids any misunderstandings in the work of the employees. The goal setting theory states that when the goals to be achieved are set at a higher standard than in that case employees are motivated to perform better and put in maximum effort. It revolves around the concept of "Self-efficacy", i.e., individual's belief that he or she is capable of performing a hard task.

8. Cognitive Evaluation Theory : As per this theory a shift from external rewards to internal rewards results into motivation. It believes that even after the stoppage of external stimulus, internal stimulus survives. It relates to the pay structure in the organization. Instead of treating external factors like pay, incentives, promotion etc. and internal factors like interests, drives, responsibility etc., separately, they should be treated as contemporary to each other. The cognition is to be such that even when external motivators are not there the internal motivation continues. However, practically extrinsic rewards are given much more weight age.

Process Theories of Motivation

1. Needs-Goal Theory: Motivation begins with an individual feeling a need. This need is then transformed into behavior directed at supporting, or allowing, the performance of goal behavior to reduce that felt need. Theoretically, goal supportive behavior and goal behavior itself continue until the felt need has been significantly reduced.

2. Vroom Expectancy Theory: Like the needs-goal theory, motivation strength is determined by the perceived value of the result of performing a behavior and the perceived probability that the behavior performed will cause the result to materialize. As both of these factors increase, so does motivation strength, or the desire to perform the behavior. People tend to perform the behaviors that maximize their rewards over the long term.

3. Equity Theory: Equity theory looks at an individual's perceived fairness of an employment situation and finds that perceived inequalities can lead to changes in behavior. When individuals believe that they have been treated unfairly in comparison with their coworkers, they will react in one of four ways:

(a) Changing their work inputs to better match the rewards they are receiving.

(b) Ask for a raise or take legal action.

(c) Change their own perception of the situation.

(d) Quit.

4. Porter-Lawler Theory: The Porter-Lawler Theory accepts the premises that felt needs cause human behavior and that the effort expended to accomplish a task is determined by the perceived value of rewards that will result from finishing the task and the probability that those rewards will

Morale is internal feeling and it is inspired by the environment. Motivation comes from enthusiasm, zeal, confidence in individuals or groups that they will be able to cope with the tasks assigned to them.

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