In: Operations Management
Organizational Behaviour
Equity theory or Adams theory of motivation founded by J.S.Adams. According to the theory, employees working in an organization except justice and fairness on the path of management. Biased and unfair treatment not only demotivates them, but also hampers their performance. Adams theory of motivation focuses on identifying the reasons for unbiased behavior on the part of an organization and its impact on the employees. The theory of Adams stands to motivate employees, through the proper way of analysis. Which may find out the feeling of inequity, which will create motivation for equity. Contemporary theories in this category have a reasonable degree of valid supporting documentation.
To begin with, according to this theory, once the person starts to comparing his contribution and result with the relevant other's effort, he starts developing motivation to perform better. When the person's input and outcomes are not equal to that of relevant others, he gets motivated to put in more effort and reduce that feeling of inequity. There are three observations in it, One. An Equitable Suitable, Two. Negative Inequity, Three. Positive Inequity. However, the theory in the practical side needs to pick out the form of inequity from the organization, to solve. Which will leads to organizational growth faster.
Moreover, there are some four in numbers of elements of Adams equity theory, which may obtained an important role in it. are, Person: The individual dealing with equitable or non-equitable situations, Comparison Other: Comparison Oher is the individual with whom the person compares his efforts and inputs made and outcomes received. These are also known as 'relevant other', Input: These are the characteristics of an individual such as skills, proficiencies, experience, talent, and potentials which he carries with him while joining the job. These are constantly observed by different people having different looks, Outcomes: These are the results of employees' performance and are awarded in the form of salary, promotion, bonus, and fringe benefits. These are distributed upon the performance of the individual. The equity theory of work motivation performs in this well effective manner.
Furthermore, The three different equity relationships as explained, ie., equity, negative inequity, and positive inequity. In consideration, two peoples who have the same background and carry out similar tasks. However, they have different hourly paid rates. Equity takes place when the ratio of perceived comes of an individual to inputs is equivalent to that of the comparison other ( Equity), Negative inequity occurs if comparison other attains greater outcomes for similar inputs ( Negative Inequity), Positive equity will occur when an individuals outcome to input ration is more than that of comparison other (Positive Inequity). The criteria in this basic to identify the type of equity in its visible operational manner.
In conclusion, The Adams equity theory or Equity theory of motivation suggests some of the options to eliminate that inequity are; 1. He may try to bring some changes in his inputs, 2. He may also try to modify his output, 3. He may deform the inputs and outputs Cognitively, 4.Rather than making any alterations, he might give up, 5. The person may try to create such situations by which the 'relevant other' may leave the field or his input and outcome gets distorted cognitively, 6. The person may switch to another 'relevant other' for comparison. Besides, the statement is a supportive one that, the inequity creates motivates them to equity in the theoretical and application observations. One of the other contemporary theory is, McClelland's needs theory, also supports these same criteria of operations.