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Lesson 10. The Importance of Employee Motivation
Lesson 10. The Importance of Employee Motivation
Lesson 10:
The Importance of
Employee Motivation
Page | 1
Republic of the Philippines
OCCIDENTAL MINDORO STATE COLLEGE
Labangan, San Jose, Occidental Mindoro
Website: www.omsc.edu.ph Email address: omsc_9747@yahoo.com
Tele/Fax: (043) 457-0231
Page | 2
Republic of the Philippines
OCCIDENTAL MINDORO STATE COLLEGE
Labangan, San Jose, Occidental Mindoro
Website: www.omsc.edu.ph Email address: omsc_9747@yahoo.com
Tele/Fax: (043) 457-0231
Page | 3
Republic of the Philippines
OCCIDENTAL MINDORO STATE COLLEGE
Labangan, San Jose, Occidental Mindoro
Website: www.omsc.edu.ph Email address: omsc_9747@yahoo.com
Tele/Fax: (043) 457-0231
Page | 4
Republic of the Philippines
OCCIDENTAL MINDORO STATE COLLEGE
Labangan, San Jose, Occidental Mindoro
Website: www.omsc.edu.ph Email address: omsc_9747@yahoo.com
Tele/Fax: (043) 457-0231
Page | 5
Republic of the Philippines
OCCIDENTAL MINDORO STATE COLLEGE
Labangan, San Jose, Occidental Mindoro
Website: www.omsc.edu.ph Email address: omsc_9747@yahoo.com
Tele/Fax: (043) 457-0231
Equity Theory
The Equity Theory of Motivation, or Adam's Equity Theory, was developed in 1963 by
workplace behavioral psychologist John Stacey Adams. The foundation of equity theory is based
on the idea that people are driven by fairness. To put it simply, equity theory says that when
someone notices a disparity between themselves and a peer, they will modify their effort to make
the situation more equitable in their perspective.
Adams' Equity Theory of Motivation proposes that individuals are motivated by
perceptions of fairness in social exchanges. It suggests that people strive to maintain a balance
between their inputs (such as effort, time, skills) and the outcomes (such as rewards, recognition,
benefits) they receive from their interactions with others, particularly in the workplace.
Inputs are defined as those things that an individual does in order to receive an output.
They are the contribution the individual makes to the organization.
Outputs (sometimes referred to as outcomes) are the result an individual receives as a
result of their inputs to the organization. Some of these benefits will be tangible, such as salary,
but others will be intangible, such as recognition.
According to Adam's Equity Theory, people don't only grasp equity in an empty space;
rather, they look around them and compare themselves against others. In the event they happen
to sense an imbalance, they will modify their inputs in order to make things right.
Page | 6
Republic of the Philippines
OCCIDENTAL MINDORO STATE COLLEGE
Labangan, San Jose, Occidental Mindoro
Website: www.omsc.edu.ph Email address: omsc_9747@yahoo.com
Tele/Fax: (043) 457-0231
A referent group simply represents a group of individuals that one makes use of to make
comparisons. According to Adam's Equity Theory of Motivation, individuals evaluate
themselves in relation to four referent groups:
Self-inside: the individual’s experience within their current organization.
Self-outside: the individual’s experience with other organizations.
Others-inside: others within the individual’s current organization.
Others-outside: others outside of the individual organization.
Goal-Setting Theory
In the 1960s, Edwin Locke put forward the goal-setting theory of motivation. This
theory states that goal setting is essentially linked to task performance. It states that specific and
challenging goals, along with appropriate feedback, contribute to higher and better task
performance.
Reinforcement Theory
Reinforcement theory is a psychological principle suggesting that behaviors are shaped
by their consequences, and that individual behaviors can be changed through reinforcement,
punishment and extinction. Behavioral psychologist B.F. Skinner was instrumental in developing
modern ideas about reinforcement theory. According to Skinner, a person's internal needs and
drives are not important areas of concern because their current behaviors follow the law of effect
and are based on the consequences of former behaviors. This means that behaviors can be altered
or manipulated over time.
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Republic of the Philippines
OCCIDENTAL MINDORO STATE COLLEGE
Labangan, San Jose, Occidental Mindoro
Website: www.omsc.edu.ph Email address: omsc_9747@yahoo.com
Tele/Fax: (043) 457-0231
As per the job characteristics model, when these five fundamental job aspects are present,
employees go through three psychological states: they perceive their work as significant, they
feel accountable for the results, and they get insight into the outcomes. Positive results, including
Page | 8
Republic of the Philippines
OCCIDENTAL MINDORO STATE COLLEGE
Labangan, San Jose, Occidental Mindoro
Website: www.omsc.edu.ph Email address: omsc_9747@yahoo.com
Tele/Fax: (043) 457-0231
Page | 9
Republic of the Philippines
OCCIDENTAL MINDORO STATE COLLEGE
Labangan, San Jose, Occidental Mindoro
Website: www.omsc.edu.ph Email address: omsc_9747@yahoo.com
Tele/Fax: (043) 457-0231
Page | 10
Republic of the Philippines
OCCIDENTAL MINDORO STATE COLLEGE
Labangan, San Jose, Occidental Mindoro
Website: www.omsc.edu.ph Email address: omsc_9747@yahoo.com
Tele/Fax: (043) 457-0231
Page | 11
Republic of the Philippines
OCCIDENTAL MINDORO STATE COLLEGE
Labangan, San Jose, Occidental Mindoro
Website: www.omsc.edu.ph Email address: omsc_9747@yahoo.com
Tele/Fax: (043) 457-0231
Page | 12
Republic of the Philippines
OCCIDENTAL MINDORO STATE COLLEGE
Labangan, San Jose, Occidental Mindoro
Website: www.omsc.edu.ph Email address: omsc_9747@yahoo.com
Tele/Fax: (043) 457-0231
Page | 13
Republic of the Philippines
OCCIDENTAL MINDORO STATE COLLEGE
Labangan, San Jose, Occidental Mindoro
Website: www.omsc.edu.ph Email address: omsc_9747@yahoo.com
Tele/Fax: (043) 457-0231
References:
The Importance of Employee Motivation for an Organization https://getbravo.io ›
importance-of...
10 Statistics That Teach You the Importance of Boosting Team Motivation
https://www.plecto.com › blog › 1...
Importance Of Employee Motivation: Inspire Your Team
https://www.loophealth.com › post
University of Minnesota Twin Cities https://open.lib.umn.edu › chapter 14.3 Need-Based
Theories of Motivation – Principles of Management
"Locke's Goal-Setting Theory." Mind Tools. https://www.mindtools.com/azazlu3/lockes-
goal-setting-theory
"Herzberg's Motivation-Hygiene Theory (Two-Factor Theory)." Education Library.
https://educationlibrary.org/herzbergs-motivation-hygiene-theory-two-factor/
"Herzberg's Two-Factor Theory." Simply Psychology.
https://www.simplypsychology.org/herzbergs-two-factor-theory.html
"Goal-Setting Theory." Indeed Career Advice.
https://www.indeed.com/career-advice/career-development/goal-setting-theory#:~:text=Goal
%2Dsetting%20theory%20is%20an,well%20as%20bolster%20employee%20engagement.
https://www.strategies-for-managing-change.com/process-theories-of-
motivation.html
https://managementstudyguide.com/expectancy-theory-motivation.htm
https://expertprogrammanagement.com/2017/06/equity-theory/
How to Design a Job That Motivates Employees. https://hireology.com/blog/design-a-job-that-
motivates-employees/#:~:text=The%20five%20core%20characteristics%20of,performance%2C
%20absenteeism%2C%20and%20turnover.
Motivating Employees Through Job Design – Organizational Behavior.
https://open.lib.umn.edu/organizationalbehavior/chapter/6-2-motivating-employees-through-job-
design/
Manager as Motivator: How Managers Motivate Their Employees.
https://www.indeed.com/career-advice/resumes-cover-letters/manager-as-motivator#:~:text=As
%20a%20manager%2C%20you%20serve,staff%20and%20become%20better%20leaders.
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