Lahore Business School

Organizational Behavior

Program:
MBA

Semester:
Fall 2010

Topic:
Expectancy Theory of Motivation

Submitted To:
Madam Aqsa Akbar

Submitted By:
Mazhar Rasheed
(ID# MBA01091-028)
 Introduction

The basic purpose of study was to critically examine the expectancy theory of motivation and
investigate that what motivates the employees to provide high-quality feedback in order to
improve the performance of an organization and what factors de-motivate. And provide
criticism on this theory and finally give proposed theory of motivation on the basis of
expectancy model.

As a leader, you need to interact with your followers, peers, seniors, and others; whose
support you need in order to accomplish your goals. To gain their support, you must be able
to understand and motivate them. To understand and motivate people, you must know
human nature. Human nature is the common qualities of all human beings. People behave
according to certain principles of human nature.

After reading some research papers I am coming to this results that expectancy model
ignores some areas which cause the motivation level decrease in the employees. Based on
these findings my conclusion is, motivation was not only dependent upon the three variables
of expectancy model (valance, expectancy, instrumentality) some others factors are also
affecting the motivation level of an employees like biasness, underestimation or
overestimation of skills of employees.

Performance is also affected by individual abilities (to perform the tasks), traits, and role
perceptions of the tasks other than motivation.
 Expectancy Theory of Motivation

Motivation:
Motivation is a desire to achieve a goal, combined with the energy to work towards
that goal.

“Work motivation is a set of energetic forces that originate both within as well as beyond an
individual’s being, to initiate work-related behavior, and to determine its form, direction,
intensity, and duration.” (Pinder, 1998)

Positive and negative Motivation:
Some time distinction is made between positive and negative motivation. Positive motivation
is a response which includes enjoyment and hopefulness about the tasks that you are
involved in. Negative motivation involves undertaking tasks because there will be undesirable
outcomes, eg. failing a subject, if tasks are not completed.

Expectancy theory:
The Expectancy Theory of Motivation was developed, by Victor Vroom of the Yale
School of Management, in the year 1964. He was of the opinion that people made a conscious
choice while deciding whether or not to perform at the workplace. However the choice that
was made by the employee depended entirely on the employee's level of motivation.

The expectancy theory says that individuals have different sets of goals and can be motivated
if they have certain expectations. This theory is about choice, it explains the processes that an
individual undergoes to make choices. The expectancy theory of motivation suggested does
not concentrate on needs, but rather focuses on outcomes.

Vroom’s Expectancy Theory is based upon three variables or beliefs that he calls Valence,
Expectancy and Instrumentality:
Valence:
Strength of an individual’s preference for a particular outcome, for the valence to be
positive, the person must prefer attaining the outcome to not attaining it. Valance is the
outcome get of any value. It refers to the emotional orientations which people hold with
respect to outcomes [rewards]. The depth of the want of an employee for extrinsic [money,
promotion, free time, benefits] or intrinsic [satisfaction] rewards.

Instrumentality:
The degree to which a first level outcome will lead to the second level outcome. The
belief that “if I complete certain actions then I will achieve the outcome”. In other words, it is
the belief that if you perform well that a valued outcome will be received.

Expectancy:
Probability or strength of belief that a particular action will lead to a particular first
level outcome. Simple it is the belief that if I am able to complete the actions has different
expectations and levels of confidence about what they are capable of doing. Expectancy
refers to the strength of a person’s belief about whether or not a particular job performance
is attainable.

Vroom says the product of these variables is the motivation and suggests that an employee’s
beliefs about Expectancy, Instrumentality, and Valence interact psychologically. In this way
they create a motivational force, such that the employee will act in a way that brings pleasure
and avoids pain. This force can be ‘calculated’ via a formula:

Motivation = Valence x Expectancy (Instrumentality).

This formula can be used to indicate and predict things as: job satisfaction, occupational
choice, the likelihood of staying in a job, and the effort that one might expend at work.
 (Research Papers on Expectancy Theory)
1. Lean Kaizen Motivational Influence Explained Utilizing
Expectancy-Value Motivation Theory
Bradley D. Miller, P.E.
Department of Industrial Engineering, University of Houston, USA

Abstract:
To implement the lean manufacturing philosophy, engineers utilize kaizen: a
structured process for continuous improvement that heavily involves the floor operator. The
successful implementation of lean requires kaizen to motivate floor operators to both learn
and apply industrial engineering principles to their individual tasks. The implied motivational
power of the kaizen process has not been studied using modern psychological motivation
theories. This paper describes expectancy-value motivation theory from a social-cognitive
perspective and proposes how the kaizen process fits within this theoretical framework to
increase worker motivation.

2. What Motivates Students to Provide Feedback to

Teachers About Teaching and Learning? An Expectancy
Theory Perspective
Jay Caulfield
Marquette University
Milwaukee, Wisconsin, USA

Abstract:
The purpose of this empirical research study was to investigate what motivates
students to provide formative anonymous feedback to teachers regarding their perceptions
of the teaching and learning experience in order to improve student learning. Expectancy
theory, specifically Vroom’s Model, was used as the conceptual framework for the study.
Multiple regression analysis was employed to test both the valence and force equations.
Statistically significant results indicated that students’ motivation was dependent upon the
importance to them of improving the value of the class and of future classes, and the
expectation that their formative feedback would lead to increased value for them, their peers
in the classroom and for students in future classes. Based on these findings, it is important for
teachers who request students to participate in providing anonymous feedback to emphasize
that this feedback is a valuable tool to assist in improving current and future teaching and
learning experiences.

3. WHY PEOPLE BLOG: AN EXPECTANCY THEORY ANALYSIS

Su-Houn Liu, Chung Yuan Christian University,

Abstract:
The evolution of Internet offers new tools allowing ordinary people to become
content creators. One of the latest popular tools is the Internet-based blog. Few previous
studies explored and examined user motivations of blogging. In this study, expectancy theory
is applied to construct a conceptual framework as well as a measurable model on bloggers’
motivation to blogging. Expert interviews and survey instrument were used in this study.
Interviews with bloggers were first performed to verify the questionnaire items of the
attractiveness of possible outcomes resulting from blogging. After the construction of the
questionnaire, a survey was conducted and 177 bloggers were asked to respond the
questionnaire. From the 10 motivations examined in this study, bloggers ranked pouring out
feelings and connecting with people respectively, as their two most valued rewards. They
also assigned the highest probabilities to these rewards. The collected data shows that
bloggers with high (both intrinsic and extrinsic) motivation for rewards have higher level of
blogging intention. A blogger with higher blogging intention is willing to take more time to
maintain their blog and post more articles on the blog.

4. Incorporating Coping into an Expectancy Framework for

Explaining Drinking Behavior
Penelope A. Hasking, and Tian P.S.

Abstract:
Grounded in social cognitive theory, expectancy theory provides a framework for
conceptualizing alcohol use and abuse by identifying individual differences in alcohol-related
cognitions. However, although expectancy theory has the potential to describe aspects of
drinking behavior, it does not account for the effect of behavioral factors such as individual
coping strategies. By including deal with in an expectancy framework it is possible to gain a
better understanding of drinking behavior. The interactive effects of outcome expectancies,
self-efficacy, and coping were discussed within the framework of reciprocal determinism and
the limited research investigating the combined effects of these variables was reviewed. It
was proposed that the understanding of drinking behavior requires investigation of both the
independent and combined effects of all three variables. Including coping strategies in an
expectancy framework will promote investigation of how cognitive and behavioral
determinants of drinking behavior interact, allowing a more complete test of social cognitive
theory constructs.

5. Expectancy Theory and Behavioral Intentions to Use

Computer Applications
Lori Baker-Eveleth and Robert W. Stone (University of Idaho Moscow, USA)

Abstract:
A theoretically sound model linking background of an organizationally new software
implementation to behavioral intentions to use this software is presented and empirically
tested. The organization is a university in the United States and the users are primarily
faculty. The past history of previous computer experience, ease of system use, and
administrator support for the software are linked to behavioral intentions to use the software
through self-efficacy and outcome expectancy/ usefulness and then attitudes toward the
software. The software context examined is an implementation of Digital Measures that is
used to develop a storehouse of faculty activities and to generate a variety of faculty-
oriented reports. The empirical study used 154 responses by faculty. The model was
estimated using structural equations modeling. The results found that ease of system use
impacts both self-efficacy and outcome expectancy/usefulness, which both then impact
attitudes towards Digital Measures, which in turn influences behavioral intentions to use
Digital Measures.
 6. The Effect of Noise in a Performance
Measure on Work Motivation:
A Real Effort Laboratory Experiment
Randolph Sloof, C. Mirjam van Praag

Abstract:
This paper reports the results of an individual real effort laboratory experiment where
subjects are paid for measured performance. Measured performance equals actual
performance plus noise. We compare a stable environment where the noise is small with a
volatile environment where the noise is large. Subjects exert significantly more effort in the
volatile environment than in the stable environment. This .finding is in line with standard
agency theory and contrasts a distinct element of expectancy theory; noisier performance
measures do not lower work motivation.

7. Performance measurement, expectancy and

agency theory: An experimental study
Randolph Sloof and Mirjam van Praag
University of Amsterdam and Tinbergen Institute
February 25, 2005

Abstract:
Theoretical analyses of (optimal) performance measures are typically performed
within the area of the linear agency model. An important implication of this model is that, for
a given compensation scheme, the agent’s optimal effort choice is unrelated to the amount of
noise in the performance measure. In contrast, expectancy theory as developed by
psychologists predicts that effort levels are increasing in the signal-to-noise ratio. We conduct
a real effort laboratory experiment to assess the relevance of this prediction in a setting
where all key assumptions of the linear agency model are met. Moreover, our experimental
design allows us to control expectancy exactly as in Vroom’s (1964) original expectancy
model. In this setting, we find that effort levels are invariant to changes in the distribution of
the noise term, i.e. to expectancy. Our results thus confirm standard agency theory and reject
this particular aspect of expectancy theory.
 Criticism:
  
Biasness
From my point of view Expectancy theory ignores the factor of biasness because due
to this factor we can not measure the performance accurately hence the employees whose
have rights on rewards remains get nothing. The application of this theory is limited in this
case also that reward is not directly correlated with performance in many organizations. It is
related to other parameters also such as position, effort, responsibility, education, etc.

Ability
A worker believes that he can convert his expended effort into a specified and level of
performance. If the foreman assigning an under skilled worker to a complex task this can
effect a worker's motivation, performance, and satisfaction.

Individuals may not possess the necessary abilities needed to achieve high levels of
performance, or because they may have an inadequate or vague perception of how to
perform necessary tasks. Without an understanding of how to direct effort effectively,
individuals may exert considerable effort without a corresponding increase in performance

Normative model
This model is a normative model, and not a descriptive model. This means that it can
only predict how people should make decisions to act, rather than how they actually do make
such decisions. In reality, few people are well-enough informed on all the possible choices
and all the possible outcomes to make balanced judgments about which behavior it would be
best for them to adopt.

The expectancy theory also ignores the central role the emotions which play an
important role on effort and behavior. In addition the expectancy theory seems to be
idealistic because quite a few individuals perceive high degree correlation between
performance and rewards. Performance is also affected by factors other than motivation,
such as individual abilities, traits, and role perceptions.
 Proposed Theory

VALANCE

Management
X must ensure that
there is no
EXPECTANCY biasness occurs
and tasks MOTIVATION
assigning to
X employees are
according to their
ability.
INSTRUMENTALIT
Y