Better Manager 7th prelims:Better Manager 7th edition

(Ron) #1

Expectancy theory


Expectancy theory states that motivation only happens when
individuals:


■ feel able to change their behaviour;
■ feel confident that a change in their behaviour will produce a
reward;
■ value the reward sufficiently to justify the change in behav-
iour.


The theory indicates that motivation is only likely when a clearly
perceived and usable relationship exists between performance
and outcome and the outcome is seen as a means of satisfying
needs. This applies just as much to non-financial as to financial
rewards. For example, if people want personal growth they will
only be motivated by the opportunities available to them if they
know what they are, if they know what they need to do to benefit
from them (and can do it) and if the opportunities are worth
striving for.
Expectancy theory explains why extrinsic motivation – for
example, an incentive or bonus scheme – works only if the link
between effort and reward is clear and the value of the reward
is worth the effort. Such schemes should provide a clear line of
sight between effort and reward. It also explains why intrinsic
motivation arising from the work itself can sometimes be more
powerful than extrinsic motivation. Intrinsic motivation
outcomes are more under the control of individuals, who can
place greater reliance on their past experiences to indicate the
extent to which positive and advantageous results are likely to be
obtained by their behaviour.


IMPLICATIONS OF MOTIVATION THEORY


Motivation theory conveys two important messages. First, there
are no simplistic solutions to increasing motivation. No single
lever such as performance-related pay exists which is guaran-
teed to act as an effective motivator. This is because motivation is
a complex process. It depends on:


■ Individual needs and aspirations,which are almost infinitely
variable.


224 How to be an Even Better Manager

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