Expectancy Theory

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The expectancy theory by Victor Bloom is based on the believe that organizational employees act in a certain way based on the strength of an outcome and how attractive the outcome is to the individual. The theory contains three main relationships and when all three are maintained the desired behavior from the employee will be achieved. These three relationships are effort-performance (Expectant probability), performance-reward (Instrumentality probability) and rewards-personal goals (Valence).

In the effort-performance relationship or expectancy the employee must believe that if they perform in a certain manner that they will indeed increase their performance and thus make goals obtainable. In order for the employee to actually believe that increase effort will lead to increase performance they must believe that the process is valid, that they have the tools and resources to achieve the goal and that the goal is meaningful. The goal can’t be without merit based on their knowledge of the job and their past experiences.

The performance-reward relationship or instrumentality hinges of the belief that if the employee does work harder and does meet the performance goal that they will receive a reward or a greater reward compared to others. The employee again needs to have trust in the reward system and the people who manage the processes and reward systems. The reward process should be transparent and fair.

The rewards-personal relationship or valence is the value that the employee sees in obtaining the goals. This will be variable because different things motivate people. Paid time off motivate some, bonuses and or pay raises motivate others. Some employees simply are satisfied with being recognized and others seek promotion. The key element to the rewards-personal relationship is not that the employee is satisfied but the satisfactions meet their expectant level of satisfaction. (Expectancy Theory of Motivation, 2012)

In the task’s given scenario...
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