Expectancy theory

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Expectancy theory (or expectancy theory of motivation) proposes that an individual will behave or act in a certain way because they are motivated to select a specific behavior over others due to what they expect the result of that selected behavior will be. [1] In essence, the motivation of the behavior selection is determined by the desirability of the outcome. However, at the core of the theory is the cognitive process of how an individual processes the different motivational elements. This is done before making the ultimate choice. The outcome is not the sole determining factor in making the decision of how to behave. [1]

Contents

Expectancy theory is about the mental processes regarding choice, or choosing. It explains the processes that an individual undergoes to make choices. In the study of organizational behavior, expectancy theory is a motivation theory first proposed by Victor Vroom of the Yale School of Management.

This theory emphasizes the need for organizations to relate rewards directly to performance and to ensure that the rewards provided are deserved and wanted by the recipients. [2]

Victor H. Vroom (1964) defines motivation as a process governing choices among alternative forms of voluntary activities, a process controlled by the individual. The individual makes choices based on estimates of how well the expected results of a given behavior are going to match up with or eventually lead to the desired results. Motivation is a product of the individual's expectancy that a certain effort will lead to the intended performance, the instrumentality of this performance to achieving a certain result, and the desirability of this result for the individual, known as valence. [3]

Author

In 1964, Victor H. Vroom developed the expectancy theory through his study of the motivations behind decision-making. This theory is relevant to the study of management.

Key elements

The expectancy theory of motivation explains the behavioral process of why individuals choose one behavioral option over the other. This theory explains that individuals can be motivated towards goals if they believe that there is a positive correlation between efforts and performance, the outcome of a favorable performance will result in a desirable reward, a reward from a performance will satisfy an important need, and/or the outcome satisfies their need enough to make the effort worthwhile.

Vroom introduced three variables within the expectancy theory which are valence (V), expectancy (E) and instrumentality (I). The three elements are important behind choosing one element over another because they are clearly defined: effort-performance expectancy (E>P expectancy), performance-outcome expectancy (P>O expectancy). [4]

Expectancy theory has three components:

  1. Expectancy: effort → performance (E→P)
  2. Instrumentality: performance → outcome (P→O)
  3. Valence: V(R) outcome → reward

Expectancy: effort → performance (E→P)

Expectancy is the belief that one's effort (E) will result in attainment of desired performance (P) goals. Usually based on an individual's past experience, self-confidence (self efficacy), and the perceived difficulty of the performance standard or goal. [5]

  1. Self efficacy – the person's belief about their ability to successfully perform a particular behavior. The individual will assess whether they have the required skills or knowledge desired to achieve their goals.
  2. Goal difficulty – when goals are set too high or performance expectations that are made too difficult. This will most likely lead to low expectancy. This occurs when the individual believes that their desired results are unattainable.
  3. Perceived control – Individuals must believe that they have some degree of control over the expected outcome. When individuals perceive that the outcome is beyond their ability to influence, expectancy, and thus motivation, is low.

Instrumentality: performance → outcome (P→O)

Instrumentality is the belief that a person will receive a reward if the performance expectation is met. This reward may present itself in the form of a pay increase, promotion, recognition or sense of accomplishment. Instrumentality is low when the reward is the same for all performances given.

Another way that instrumental outcomes work is commissions. With commissions performance is directly correlated with outcome (how much money is made). If performance is high and many goods are sold, the more money the person will make.

Factors associated with the individual's instrumentality for outcomes are trust, control and policies:

Valence V(R)

Valence is the value an individual places on the rewards of an outcome, which is based on their needs, goals, values and sources of motivation. [6] Influential factors include one's values, needs, goals, preferences and sources that strengthen their motivation for a particular outcome.

Valence is characterized by the extent to which a person values a given outcome or reward. This is not an actual level of satisfaction rather the expected satisfaction of a particular outcome. [7]

The valence refers to the value the individual personally places on the rewards. -1 →0→ +1

-1= avoiding the outcome 0 = indifferent to the outcome +1 = welcomes the outcome

In order for the valence to be positive, the person must prefer attaining the outcome to not attaining it.

Valence is one behavioral alternative, where the decision is measured on the value of the reward. The model below shows the direction of motivation, when behavior is energized:

Motivational Force (MF) = Expectancy x Instrumentality x Valence

When deciding among behavioral options, individuals select the option with the greatest amount of motivational force (MF).

Expectancy and instrumentality are attitudes (cognitions), whereas valence is rooted in an individual's value system.

Examples of valued outcomes in the workplace include, pay increases and bonuses, promotions, time off, new assignments, recognition, etc. If management can effectively determine what their employee values, this will allow the manager to motivate employees in order to get the highest result and effectiveness out of the workplace. [8]

Current research

Management

Victor Vroom's expectancy theory is one such management theory focused on motivation. According to Holdford and Lovelace-Elmore, Vroom asserts, "intensity of work effort depends on the perception that an individual's effort will result in a desired outcome". [9]

In order to enhance the performance-outcome tie, managers should use systems that tie rewards very closely to performance. Managers also need to ensure that the rewards provided are deserved and wanted by the recipients. [2] In order to improve the effort-performance tie, managers should engage in training to improve their capabilities and improve their belief that added effort will in fact lead to better performance. [2]

Expectancy Theory, though well known in work motivation literature, is not as familiar to scholars or practitioners outside that field.

Computer users

Lori Baker-Eveleth and Robert Stone, University of Idaho in 2008 conducted an empirical study on 154 faculty members' reactions to the use of new software. [10] It was found that ease of system use affects both self-efficacy (self-confidence) and anticipated usefulness. These in turn influenced the decision, or anticipated decision, to use the software.

Self-efficacy and outcome expectancy impact a person's affect and behavior separately:

Self-efficacy has a direct impact on outcome expectancy and has a larger effect than outcome expectancy. Employees will accept technology if they believe the technology is a benefit to them. If an employee is mandated to use the technology, the employees will use it but may feel it is not useful. On the other hand, when an employee is not mandated, the employee may be influenced by these other factors (self-confidence and confidence in outcome) that it should be used.

The self-efficacy theory can be applied to predicting and perceiving an employee's belief for computer use. [11] [12] This theory associates an individual's cognitive state with effective behavioral outcomes. [13]

Other constructs of the self-efficacy theory that impact attitudes and intentions to perform are:

Models of teacher expectancy effects

Jere Brophy and Thomas Good [14] [15] provided a comprehensive model of how teacher expectations could influence children's achievement. Their model posits that teachers' expectations indirectly affect children's achievement: "teacher expectations could also affect student outcomes indirectly by leading to differential teacher treatment of students that would condition student attitudes, expectations, and behavior". [16] : 639  The model includes the following sequence. Teachers form differential expectations for students early in the school year. Based on these expectations, they behave differently toward different students, and as a result of these behaviors the students begin to understand what the teacher expects from them. If students accept the teachers' expectations and behavior toward them then they will be more likely to act in ways that confirm the teacher's initial expectations. This process will ultimately affect student achievement so that teachers' initial expectancies are confirmed. [17]

In discussing work related to this model, Brophy made several important observations about teacher expectation effects. First and foremost, he argued that most of the beliefs teachers hold about student are accurate, and so their expectations usually reflect students' actual performance levels. As a result, Brophy contended that self-fulfilling prophecy effects have relatively weak effects on student achievement, changing achievement 5% to 10%, although he did note that such effects usually are negative expectation effects rather than positive effects. Second, he pointed out that various situational and individual difference factors influence the extent to which teacher expectations will act as self-fulfilling prophecies. For instance, Brophy stated that expectancy effects may be larger in the early elementary grades, because teachers have more one-on-one interactions with students then, as they attempt to socialize children into the student role. In the upper elementary grades more whole-class teaching methods are used, which may minimize expectation effects. [16] Some evidence supports this claim; expectancy effects in Rosenthal and Jacobson's study were strongest during the earlier grades. [18] Raudenbush's meta-analysis of findings from different teacher expectancy studies in which expectancies were induced by giving teachers artificial information about children's intelligence showed that expectancy effects were stronger in grades 1 and 2 than in grades 3 through Grade 6, especially when the information was given to teachers during the first few weeks of school. [19] These findings are particularly relevant because they show a form of the expectancy theory: how teachers have certain expectations of students, and how they treat the students differently because of those expectations. [17]

Criticisms

Critics of the expectancy model include Graen, Lawler and Porter. [20] Their criticisms of the theory were based upon the expectancy model being too simplistic in nature; these critics started making adjustments to Vroom's model. [21]

Edward Lawler claims that the simplicity of expectancy theory is deceptive because it assumes that if an employer makes a reward (such as a financial bonus or promotion) enticing enough, employees will increase their productivity to obtain the reward. [22] However, this only works if the employees believe the reward is beneficial to their immediate needs. For example, a $2 increase in salary may not be desirable to an employee if the increase pushes him into a tax bracket in which he believes his net pay is actually reduced (a belief that is typically fallacious, especially in the United States). Similarly, a promotion that provides higher status but requires longer hours may be a deterrent to an employee who values evening and weekend time with their children.

As an additional example, if a person in the armed forces or security agencies is promoted, there is the possibility that he or she will be transferred to other locations. In such cases, if the new posting is far from their permanent residence where their family resides, they will not be motivated by such promotions and the results will backfire. As such, the reward is valued negatively to the person receiving it.

Lawler's new proposal for expectancy theory does not contradict Vroom's theory. Lawler argues that since there have been a variety of developments of expectancy theory since its creation in 1964 that the expectancy model needs to be updated. Lawler's new model is based on four claims. [23] First, whenever there are a number of outcomes, individuals will usually have a preference among those outcomes. Second, there is a belief on the part of that individual that their action(s) will achieve the outcome they desire. Third, any desired outcome was generated by the individual's behavior. Fourth and finally, the actions generated by the individual were generated by the preferred outcome and expectation of the individual.

Instead of simply looking at expectancy and instrumentality, W.F. Maloney and J.M. McFillen [23] found that expectancy theory could explain the motivation of those individuals who were employed by the construction industry. For instance, they used worker expectancy and worker instrumentality. Worker expectancy is when supervisors create an equal match between the worker and their job. Worker instrumentality is when an employee knows that any increase in their performance leads to achieving their goal.

In the chapter entitled "On the Origins of Expectancy Theory" published in Great Minds in Management by Ken G. Smith and Michael A. Hitt, Vroom himself agreed with some of these criticisms and stated that he felt that the theory should be expanded to include research conducted since the original publication of his book. [24]

Related Research Articles

Victor Harold Vroom was a Canadian psychologist and business school professor at the Yale School of Management.

Social learning is a theory of learning process social behavior which proposes that new behaviors can be acquired by observing and imitating others. It states that learning is a cognitive process that takes place in a social context and can occur purely through observation or direct instruction, even in the absence of motor reproduction or direct reinforcement. In addition to the observation of behavior, learning also occurs through the observation of rewards and punishments, a process known as vicarious reinforcement. When a particular behavior is rewarded regularly, it will most likely persist; conversely, if a particular behavior is constantly punished, it will most likely desist. The theory expands on traditional behavioral theories, in which behavior is governed solely by reinforcements, by placing emphasis on the important roles of various internal processes in the learning individual.

The path–goal theory, also known as the path–goal theory of leader effectiveness or the path–goal model, is a leadership theory developed by Robert House, an Ohio State University graduate, in 1971 and revised in 1996. The theory states that a leader's behavior is contingent to the satisfaction, motivation and performance of his or her subordinates. The revised version also argues that the leader engages in behaviors that complement subordinate's abilities and compensate for deficiencies. According to Robert House and John Antonakis, the task-oriented elements of the path–goal model can be classified as a form of instrumental leadership.

<span class="mw-page-title-main">Incentive</span> Something that motivates individuals to perform

In general, incentives are anything that persuade a person to alter their behavior in the desired manner. It is emphasized that incentives matter by the basic law of economists and the laws of behavior, which state that higher incentives amount to greater levels of effort and therefore higher levels of performance.

The Pygmalion effect is a psychological phenomenon in which high expectations lead to improved performance in a given area and low expectations lead to worse. It is named for the Greek myth of Pygmalion, the sculptor who fell so much in love with the perfectly beautiful statue he created that the statue came to life. The psychologists Robert Rosenthal and Lenore Jacobson present a view, that has been called into question as a result of later research findings, in their book Pygmalion in the Classroom; borrowing something of the myth by advancing the idea that teachers' expectations of their students affect the students' performance. Rosenthal and Jacobson held that high expectations lead to better performance and low expectations lead to worse, both effects leading to self-fulfilling prophecy.

Equity theory focuses on determining whether the distribution of resources is fair. Equity is measured by comparing the ratio of contributions and benefits for each person. Considered one of the justice theories, equity theory was first developed in the 1960s by J. Stacy 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 perceived inputs and outcomes of others. According to Equity Theory, in order to maximize individuals' rewards, we tend to create systems where resources can be fairly divided amongst members of a group. Inequalities in relationships will cause those within it to be unhappy to a degree proportional to the amount of inequality. The belief is that people value fair treatment which causes them to be motivated to keep the fairness maintained within the relationships of their co-workers and the organization. The structure of equity in the workplace is based on the ratio of inputs to outcomes. Inputs are the contributions made by the employee for the organization.

Staffing is the process of finding the right worker with appropriate qualifications or experience and recruiting them to fill a job position or role. Through this process, organizations acquire, deploy, and retain a workforce of sufficient quantity and quality to create positive impacts on the organization's effectiveness. In management, staffing is an operation of recruiting the employees by evaluating their skills and knowledge before offering them specific job roles accordingly.

Content theory is a subset of motivational theories that try to define what motivates people. Content theories of motivation often describe a system of needs that motivate peoples' actions. While process theories of motivation attempt to explain how and why our motivations affect our behaviors, content theories of motivation attempt to define what those motives or needs are. Content theory includes the work of David McClelland, Abraham Maslow and other psychologists.

Goal setting involves the development of an action plan designed in order to motivate and guide a person or group toward a goal. Goals are more deliberate than desires and momentary intentions. Therefore, setting goals means that a person has committed thought, emotion, and behavior towards attaining the goal. In doing so, the goal setter has established a desired future state which differs from their current state thus creating a mismatch which in turn spurs future actions. Goal setting can be guided by goal-setting criteria such as SMART criteria. Goal setting is a major component of personal-development and management literature. Studies by Edwin A. Locke and his colleagues, most notably, Gary Latham have shown that more specific and ambitious goals lead to more performance improvement than easy or general goals. The goals should be specific, time constrained and difficult. Vague goals reduce limited attention resources. Unrealistically short time limits intensify the difficulty of the goal outside the intentional level and disproportionate time limits are not encouraging. Difficult goals should be set ideally at the 90th percentile of performance,assuming that motivation and not ability is limiting attainment of that level of performance. As long as the person accepts the goal, has the ability to attain it, and does not have conflicting goals, there is a positive linear relationship between goal difficulty and task performance.

<span class="mw-page-title-main">Theory of planned behavior</span> Theory that links behavior

The theory of planned behavior (TPB) is a psychological theory that links beliefs to behavior. The theory maintains that three core components, namely, attitude, subjective norms, and perceived behavioral control, together shape an individual's behavioral intentions. In turn, a tenet of TPB is that behavioral intention is the most proximal determinant of human social behavior.

Expectancy violations theory (EVT) is a theory of communication that analyzes how individuals respond to unanticipated violations of social norms and expectations. The theory was proposed by Judee K. Burgoon in the late 1970s and continued through the 1980s and 1990s as "nonverbal expectancy violations theory", based on Burgoon's research studying proxemics. Burgoon's work initially analyzed individuals' allowances and expectations of personal distance and how responses to personal distance violations were influenced by the level of liking and relationship to the violators. The theory was later changed to its current name when other researchers began to focus on violations of social behavior expectations beyond nonverbal communication.

In psychology, self-efficacy is an individual's belief in their capacity to act in the ways necessary to reach specific goals. The concept was originally proposed by the psychologist Albert Bandura.

Self-determination theory (SDT) is a macro theory of human motivation and personality that concerns people's innate growth tendencies and innate psychological needs. It pertains to the motivation behind people's choices in the absence of external influences and distractions. SDT focuses on the degree to which human behavior is self-motivated and self-determined.

Social cognitive theory (SCT), used in psychology, education, and communication, holds that portions of an individual's knowledge acquisition can be directly related to observing others within the context of social interactions, experiences, and outside media influences. This theory was advanced by Albert Bandura as an extension of his social learning theory. The theory states that when people observe a model performing a behavior and the consequences of that behavior, they remember the sequence of events and use this information to guide subsequent behaviors. Observing a model can also prompt the viewer to engage in behavior they already learned. Depending on whether people are rewarded or punished for their behavior and the outcome of the behavior, the observer may choose to replicate behavior modeled. Media provides models for a vast array of people in many different environmental settings.

Expectancy–value theory has been developed in many different fields including education, health, communications, marketing and economics. Although the model differs in its meaning and implications for each field, the general idea is that there are expectations as well as values or beliefs that affect subsequent behavior.

Goal orientation, or achievement orientation, is an "individual disposition towards developing or validating one's ability in achievement settings". In general, an individual can be said to be mastery or performance oriented, based on whether one's goal is to develop one's ability or to demonstrate one's ability, respectively. A mastery orientation is also sometimes referred to as a learning orientation.

The Golem effect is a psychological phenomenon in which lower expectations placed upon individuals either by supervisors or the individual themselves lead to poorer performance by the individual. This effect is mostly seen and studied in educational and organizational environments. It is a form of self-fulfilling prophecy.

Work motivation is a person's internal disposition toward work. To further this, an incentive is the anticipated reward or aversive event available in the environment. While motivation can often be used as a tool to help predict behavior, it varies greatly among individuals and must often be combined with ability and environmental factors to actually influence behavior and performance. Results from a 2012 study, which examined age-related differences in work motivation, suggest a "shift in people's motives" rather than a general decline in motivation with age. That is, it seemed that older employees were less motivated by extrinsically related features of a job, but more by intrinsically rewarding job features. Work motivation is strongly influenced by certain cultural characteristics. Between countries with comparable levels of economic development, collectivist countries tend to have higher levels of work motivation than do countries that tend toward individualism. Similarly measured, higher levels of work motivation can be found in countries that exhibit a long versus a short-term orientation. Also, while national income is not itself a strong predictor of work motivation, indicators that describe a nation's economic strength and stability, such as life expectancy, are. Work motivation decreases as a nation's long-term economic strength increases. Currently work motivation research has explored motivation that may not be consciously driven. This method goal setting is referred to as goal priming. Effects of primed subconscious goals in addition to goals that are consciously set related to job performance have been studied by Stajkovic, Latham, Sergent, and Peterson, who conducted research on a CEO of a for-profit business organization using goal priming to motivate job performance. Goal priming refers to the achievement of a goal by external cues given. These cues can affect information processing and behaviour the pursuit of this goal. In this study, the goal was primed by the CEO using achievement related words strategy placed in emails to employees. This seemingly small gesture alone not only cost the CEO very little money, but it increased objectively measured performance efficiency by 35% and effectiveness by 15% over the course of a 5-day work week. There has been controversy about the true efficacy of this work as to date, only four goal priming experiments have been conducted. However, the results of these studies found support for the hypothesis that primed goals do enhance performance in a for-profit business organization setting.

Employee motivation is an intrinsic and internal drive to put forth the necessary effort and action towards work-related activities. It has been broadly defined as the "psychological forces that determine the direction of a person's behavior in an organisation, a person's level of effort and a person's level of persistence". Also, "Motivation can be thought of as the willingness to expend energy to achieve a goal or a reward. Motivation at work has been defined as 'the sum of the processes that influence the arousal, direction, and maintenance of behaviors relevant to work settings'." Motivated employees are essential to the success of an organization as motivated employees are generally more productive at the work place.

Reward management is concerned with the formulation and implementation of strategies and policies that aim to reward people fairly, equitably and consistently in accordance with their value to the organization.

References

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  18. ↑ Rosenthal, Robert; Jacobson, Lenore (1968). "Pygmalion in the classroom". The Urban Review. Springer Science and Business Media LLC. 3 (1): 16–20. doi:10.1007/bf02322211. ISSN   0042-0972. S2CID   189835367.
  19. ↑ Raudenbush, Stephen W. (1984). "Magnitude of teacher expectancy effects on pupil IQ as a function of the credibility of expectancy induction: A synthesis of findings from 18 experiments". Journal of Educational Psychology. American Psychological Association. 76 (1): 85–97. doi:10.1037/0022-0663.76.1.85. ISSN   0022-0663.
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