Expectancy Theory

Victor H. Vroom introduced the theory of Expectancy, through his study of motivations behind decision making. Together with Edward Lawler and Lyman Porter, Victor Vroom suggested that the relationship between people's behavior at work and their goals was not as simple as was first imagined by other scientists. Vroom realized that an employee's performance is based on individuals factors such as personality, skills, knowledge, experience and abilities. The theory suggests that although individuals may have different sets of goals, they can be motivated if they believe that:

There is a positive correlation between efforts and performance, Favorable performance will result in a desirable reward, The rewardwill satisfy an important need, The desire to satisfy the need is strong enough to make the effort worthwhile.

The theory is based upon the following beliefs:

Valence
Valence refers to the emotional orientations people hold with respect to outcomes [rewards]. The depth of the want of an employee for extrinsic [money, promotion, time-off, benefits] or intrinsic [satisfaction] rewards. Managers must discover what employees value.

Expectancy
Employees have different expectations and levels of confidence about what they are capable of doing. Management must discover what resources, training, or supervision employees need.

Instrumentality
The perception of employees as to whether they will actually get what they desire even if it has been promised by a manager. Management must ensure that promises of rewards are fulfilled and that employees are aware of that. Vroom suggests that an employee's beliefs about Expectancy, Instrumentality, and Valence interact psychologically to create a motivational force such that the employee acts in ways that bring pleasure and avoid pain. Vrooms model has brought forward the following points:i. Its emphasis is on pay off or rewards. In other words,the rewards what an organization offers is in line with the employees expectation.

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We have to be concerned with the attractiveness of the rewards,which requires understanding and knowledge of what value the individual puts on organization payoff. Individual should be rewarded with those he/she value positively. It emphasizes expected behaviors, the individual should know what is expected of him and how he will be appraised. It implies that management should counsel subordinates in developing that skill that are important in leading to better performance. It also implies that management should make extended efforts of demonstrating confidence in individul that they can perform well. In conclusion Vrooms theory indicates only the conceptual determinants of motivation and how they are related. It does not provide specific suggestions on what motivates humans in organization. Its however of value in understanding organization behavior. It clarifies the goals between individual and organization but doesnt attempt to describe how motivational decisions are actually made.