Process Theories - week 3 Flashcards
What are the 3 components of organizational justice discussed in this module?
Procedural justice - fairness of the decision-making process (Konovsky, 2000), e.g. procedures used to determine compensation.
Interactional justice - fairness pertaining to the 1-to-1 relationship between employee and line manager, e.g. satisfaction with performance appraisal feedback.
Distributive justice - fairness in the amount and form of compensation an individual receives (Tremblay et al, 2000).
There’s also informational justice, but this isn’t discussed in the module.
What is expectancy theory?
Expectancy theory sees human behaviours as purposeful, goal directed and largely based on conscious intentions - rational decision process.
Two ‘classic’ theories: Vroom (1964), and Porter & Lawler (1968)
What is Vroom’s expectancy theory?
Vroom, 1964 - VIE theory
Premise: people act in expectation that the action will be followed by desired outcome(s)
Assumptions: clear, achievable goals, understandable paths to achieving those goals, meaningful rewards
Key tenets: Expectancy (think they can do them), Instrumentality (think their performance will lead to specific outcomes, Valence (think anticipated outcomes are attractive). Motivation = V x I x E. If any of these are low, motivation will be low.
Limitations: Complex to apply (requires understanding individual goals and perceived outcomes), methodological & conceptual weaknesses
What is goal setting theory?
Locke & Latham, 1990;2019
Premise: Setting specific & challenging goals leads to higher performance
Assumptions: Setting & striving for goals will always postitively motivate individuals
Key tenets: directs attention, mobilises effort, increases persistence, encourages the development of strategies and action plans
Limitations: potential neglect of / difficulty in measuring particular aspects of job performance; overuse of v high goals combined w economic rewards can lead to cost-cutting / unethical behaviour.
What is equity theory?
Adams, 1963
Premise: individuals are motivated by fairness
Assumptions: demotivated in face of perceived inequity
Key tenet: people strive for a balance between their inputs (e.g. effort, skill, loyalty) and outcomes (e.g. salary, benefits, recognition), ratio compared with that of a comparison other (could be internal or external to the org). Inequity (unequal ratio) creates an aversive sense of tension (greater inequality = greater tension), which motivates individuals to restore equity. Procedural fairness plays a role.
Strategies for restoring equity include changing inputs (effort), leaving, lowering the value placed on outcomes, changing the comparison other - so behaviour can be hard to predict.
Limitations: subjective nature of perceived equity, complexity of managing individual perceptions of fairness in diverse work environments. See also differences in outcomes between external vs internal equity.
What is Porter & Lawler’s expectancy theory?
Porter & Lawler, 1968
Recognises role of individual diffs (e.g. employee abilities & skills, individual self-efficacy) and role clarity in linking job effort to actual job performance.
This relationship is mediated by extent and quality of rewards employees receive in exchange for good performance.
Incorporated a feedback loop to recognise learning by employees about past experiences.
Addresses the issue raised about how beliefs change over time.
Which process theories does proactive behaviour theory combine?
Expectancy theory (‘can do’ motivation) and self-determination theory (‘reason to’, aka content).
Proactive behaviour refers to an anticipatory, self-initiated action aimed at improving current circumstances.
What is the relationship between equity and social exchange theory?
(SET is a content theory)
Social exchange theory can be drawn into equity theory, e.g. a better relationship between employee and line manager may mean that there’s a stronger perception of procedural fairness, a better fairness process with each other - ‘organisational justice’.
Org justice is the fairness of outcomes received. When there’s a stronger social exchange with each other, each party sees that the outcome has been evaluated through a fair and transparent approach.
Procedural justice – the fairness of the decision making process. Procedural justice tends to be a better predictor of reactions to the organisation, as compared to one-on-one relationships, e.g. employees’ better trust in the upper management of HR strategies.