UNIVERSIY OF CEBU LAPU-LAPU AND MANDAUE CAMPUS

COLLEGE OF BUSINESS ADMINISTRATION

HUMAN BEHAVIOR IN ORGANIZATION

NAME: EDDIE RAY D. OBANDO BSA 2A

5. ERG Theory of Motivation

ASSIGNED TOPIC

CONTENT AND DISCUSSION:

ERG Theory of Motivation

You can think of Alderfer’s ERG Theory of Motivation as a simplified version of Maslow’s
Hierarchy of Needs.

While ERG Theory has much in common with the Hierarchy of Needs it does differ in a few
important aspects.

The model was developed by Clayton Paul Alderfer, an American psychologist.

What is the ERG Theory of Motivation?

The best way to visualize ERG Theory is in the context of the Hierarchy of Needs as shown
below.
As can be seen from the diagram, ERG theory is an acronym for Existence, Relatedness, and
Growth.

These are the three basic needs that employees will try to satisfy. In the model, as one need is
filled, this will provide motivation for the employee to want to fulfill another need. All three
needs must be satisfied simultaneously in order for an individual to feel motivated.

Let’s examine what each of these terms means in turn.

1. Existence (E)
Existence refers to our basic survival needs as humans.

In this category are food and water, shelter, good health, and feeling safe. These needs can be
broadly described as our basic physiological and safety needs.

If you can’t satisfy your basic survival needs then it impossible to focus on other, higher needs.
For example, if you don’t have enough water to drink, and you don’t have ready access to clean
water, then your life is in immediate peril and finding water will occupy most of your thoughts,
at the expense of almost all other needs.

2. Relatedness (R)
Relatedness refers to our need to relate to other people, that is, it refers to the relationships
we have.

Having good relationships and interactions with other humans is a need we all share, although
obviously, this need isn’t as strong as our basic survival needs.

To feel happy and content most humans need to interact with others and for those interactions
to be positive in nature.

3. Growth (G)
Growth refers to our need for personal development, to be creative and to perform meaningful
work. Growth allows us to explore what our potential might be within our current environment.

It’s easy to see why you might lack motivation if you are stuck doing the exact same job every
day without variety. Conversely, if your job provides interesting and varied challenges, it’s
easier to be motivated as you’re being presented with growth opportunities each day.

Frustration-Regression Principle

ERG Theory proposes that if a higher-level need fails to be filled then a person may regress and
seek to further fill lower-level needs instead.
For example, if an ambitious employee isn’t provided with growth opportunities, then their
motivation will be lower and they may become frustrated. This may cause them to seek out
more relatedness needs. They may socialize with other members of the team more.

Finally, if they are unable to satisfy their relatedness need, they may seek to further satisfy their
existence needs.

Difference from Maslow’s Hierarchy of Needs

There are several differences between the ERG Theory of Motivation and Maslow’s Hierarchy of
Needs:

»Unlike in Maslow’s theory, needs at multiple levels can be pursued at the same time.

»In ERG Theory, if a higher-level need isn’t satisfied then the person may regress to seeking to
satisfy lower-level needs (Frustration-Regression principle).

»In Maslow’s theory needs must be satisfied in sequence from the bottom to the top of the
pyramid, one at a time. This is not the case with ERG Theory, where different levels of needs
can be satisfied at any time. For example, an individual can feel that they are having their
growth needs met whilst still feeling unsatisfied in their relationships.

Managerial Implications of ERG Theory

Let’s now examine how the ERG Theory of Motivation applies to the workplace.

To boost motivation, managers should look to promote all elements of ERG Theory
simultaneously. According to the theory, limiting your focus to just one or two aspects of the
theory will fail to motivate your team.

The aim is to act before Frustration-Regression starts to set in.

1. Existence
Employees won’t be happy if their basic needs are not met.

Rember that safety is one of these basic human needs. If employees don’t feel safe in their
work environment they are unlikely to be motivated.

Ask yourself:

»Are you doing everything you can to make your employees feel safe?

2. Relatedness
We all want good relationships. If we don’t get on with our boss it’s going to be difficult to feel
motivated. Likewise, if we have negative relationships with co-workers then our motivation is
likely to be low. We’ll look forward to leaving the office each day so we can get back to our
homes and switch to having more positive relationships with our families.

Ask yourself:

»Are any of the team working isolated or working alone all day?

3. Growth
In the workplace, we have a need to grow. If we work hard year after year and everything stays
exactly the same we’re going to find it difficult to stay motivated. We need growth. This could
mean recognition of our achievements, respect from peers, pay raises, increases in
responsibility, or increased respect from peers.

Ask yourself:

»Do any of your team feel they are stuck in a dead-end job?
»Is each member of your team aware of the growth opportunities available to them?
»Do you tend to hire internal or external candidates for new positions? Preferring internal
candidates can provide growth opportunities to your existing team.

Summary

The ERG Theory of Motivation is a simplified but more flexible version of Maslow’s hierarchy of
Needs.

It proposes three needs that must all be satisfied in order for an individual to be motivated:
existence, relatedness, and growth.

Managers can use the theory to ensure that the conditions within their organization are right to
allow each team member to be motivated.

Reference:

https://expertprogrammanagement.com/2018/10/erg-theory-of-motivation/