Expectancy Theory and Goal-Setting Theory

Expectancy Theory

• expectancy theory: suggests that people are motivated by two things:

• created by Victor Vroom

  1. how much they want something
  2. how likely they think they are to get it

• 3 elements to expectancy theory:

  1. expectancy: belief that a particular level of effort will lead to a particular level of performance
  2. instrumentality: expectation that successful performance of the task will lead to the desired outcome
  3. valence: the value a worker assigns to an outcome

• assuming they have choices, people will make the choice that promises them the greatest reward if they think they can get it

• your motivation, according to expectancy theory, involves the relationship between your effort, performance, and the desirability of the outcomes (such as pay or recognition) of your performance

  • how hard will you work is determined by expectancy, instrumentality, and valence

Using Expectancy Theory To Motivate Employees

1. what rewards do your employees value?
2. what are the job objectives and the performance level you desire?
3. are the rewards linked to performance
4. do employees believe you will deliver the right rewards for the right performance?

Goal-Setting Theory

• goal-setting theory: suggests that employees can be motivated by goals that are specific and challenging, but achievable

  • however, the goal-setting process is useful only if the people understand and accept the goals

• goal-setting motivates via 4 mechanisms:

  1. it directs your attention
  2. it regulates the effort expended (effort = difficulty)
  3. it increases your persistence
  4. it fosters use of strategic and action plans

• practical considerations of goal-setting theory:

  1. goals should be specific

  2. certain conditions are necessary for goal-setting to work

     1. people must have the ability and resources needed and they must be committed to the goal

  3. goals should be linked to action plans

     1. action plans: a proposed strategy or course of action

  4. performance feedback and participation in deciding how to achieve goals are necessary but not sufficient for goal-setting to work

     1. these enhance performance only when they lead employees to set and commit to a specific and difficult goal