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The Expectancy theory states that employee’s motivation is an
outcome of how much an individual wants a reward (Valence), the assessment
that the likelihood that the effort will lead to expected performance
(Expectancy) and the belief that the performance will lead to reward
(Instrumentality). In short, Valence is
the significance associated by an individual about the expected outcome. It
is an expected and not the actual satisfaction that an employee expects to
receive after achieving the goals. Expectancy is the faith that better efforts will result in
better performance. Expectancy is influenced by factors such as possession of
appropriate skills for performing the job, availability of right resources,
availability of crucial information and getting the required support for
completing the job.
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Instrumentality is the faith that
if you perform well, then a valid outcome will be there. Instrumentality is
affected by factors such as believe in the people who decide who receives
what outcome, the simplicity of the process deciding who gets what outcome,
and clarity of relationship between performance and outcomes. Thus, the
expectancy theory concentrates on the following three relationships:
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- Effort-performance
relationship: What is the likelihood that the individual’s effort be
recognized in his performance appraisal?
- Performance-reward
relationship: It talks about the extent to which the employee believes
that getting a good performance appraisal leads to organizational rewards.
- Rewards-personal goals
relationship: It is all about the attractiveness or appeal of the
potential reward to the individual.
Vroom was of view that employees consciously
decide whether to perform or not at the job. This decision solely depended on
the employee’s motivation level which in turn depends on three factors of
expectancy, valence and instrumentality.
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