This document discusses six major theories of motivation: cognitive evaluation theory, goal setting theory, self-efficacy theory, reinforcement theory, equity theory, and expectancy theory. It provides an overview of each theory, including key concepts and assumptions. For example, it explains that cognitive evaluation theory focuses on how extrinsic rewards can undermine intrinsic motivation, goal setting theory emphasizes that specific, difficult goals lead to higher performance, and expectancy theory proposes that motivation depends on expectations of effort leading to performance and performance leading to outcomes.

3.  What is motivation?
 Contemporary theories of motivation
-Cognitive Evaluation Theory
-Goal Setting Theory
-Self Efficacy Theory
-Reinforcement Theory
-Equity Theory
-Expectancy Theory

4. What is motivation?
 Motivation is the process that account for an
individual’s intensity, direction and persistence of
effort toward attaining a goal.
 Motivation is the result of the interaction between an
individual and a situation.
 Motivation process is universal, all people are
motivated to pursue goals they value.
 The level of motivation varies both between
individuals and within individuals at different times.

5. Contemporary theories
of motivation
Each contemporary theory has a reasonable degree of
valid supporting documentation. We call them
“contemporary theories” not because they were all
developed recently but because they represent current
state of thinking in explaining employee motivation.
 Cognitive Evaluation Theory
 Goal Setting Theory
 Self Efficacy Theory
 Reinforcement Theory
 Equity Theory
 Expectancy Theory

6. Cognitive Evaluation Theory
 A theory that states that allocating extrinsic rewards for
behavior that had been previously intrinsically rewarding tends
to decrease the overall level of motivation.
 When looking at task, we evaluate it in terms of how well it
meets our needs to feel competent and in control. If we think we
will be able to complete the task, we will be intrinsically
motivated to complete the task, requiring no further external
motivation.
 People may see external rewards as achieving some degree of
control over them or may see the reward as informational, such
as where they reinforce feelings of competence and self-
determination. When people see the reward as mostly for
control they will be motivated by gaining the reward but not by
enacting the requested behavior.

8.  A recent outgrowth of cognitive evaluation theory is self
concordance, which considers the degree to which people’s
reasons for pursuing goals are consistent with their interests
and core values.
For example: If individuals pursue goals because of an
intrinsic interest, they are more likely to attain goals and are
happy even if they don’t attain them.
In contrast, people who pursue goals for extrinsic reasons are
less likely to attain their goals and are less happy even when
they do achieve them.

9. Goal Setting Theory
 A theory that says that specific and difficult goals with
feedback, lead to higher performance.
 According to Edwin Locke, intentions to work toward a goal are
a major source of work motivation.
 Goals tell an employee what needs to be done and how much
effort will need to be extended.
 “More difficult the goal, higher the level of performance”
because:
 Challenging goals help to get our attention and tend to help us
focus.
 Difficult goals energize us because we have to work harder to
attain them.

10.  When goals are difficult, people persist in trying to attain them.
 Difficult goals lead us to discover strategies that help us to
perform the job or task more efficiently.
 People do better when they get feedback on how well they are
progressing toward their goals because feedback helps to
identify discrepancies between what they have done and what
they want to do; that is , feedback acts to guide behavior.
 Factors that have been found to influence the goals-performance
relationship are:
o Goal commitment-Goal setting theory presupposes that an
individual is committed to the goal. Individual believes that
he/she can achieve the goal or wants to achieve it.

11. o Task characteristics-Goals seem to have a more substantial
effect on performance rather than complex and independent
rather than interdependent.
o National culture-Goal setting theory is culture bound. It
assumes that employees will be reasonably independent, that
managers and employee will seek challenging goals and that
performance is considered important by both.

12. Self Efficacy Theory
 Self efficacy(also known as social cognitive theory or social
learning theory) refers to an individual’s belief that he/she is
capable of performing a task.
 Higher your self efficacy, the more confidence you have in your
ability to succeed in a task and respond to negative feedback
with increased effort and motivation.
 Self efficacy can be increased by four ways:
o Enactive mastery-gaining relevant experience with the task or
job.
o Vicarious modeling-becoming more confident because you
see someone else doing the task.

13. o Verbal persuasion-becoming more confident because
convinces you that you have the skills necessary to be
successful.
o Arousal-leads to an energized state, which drives a person to
complete a task. But, when arousal is not relevant, then arousal
hurts performance.
 Goal setting theory and self efficacy theory don’t compete with
one another; rather they complement each other.

14. Reinforcement Theory
 A theory that says that behavior is a function of its
consequences.
 Ignores internal state of a person.
 Focuses only on what happens to a person as a result of an
action taken.
 Ignores elements like: feelings, attitudes, expectations etc.
 “Understand relationship between behaviors and
consequences….arrange contingences that reinforce desirable
behaviors and discourage undesirable behaviors”.
STIMULUS ====== RESPONSE =====
CONSEQUENCE

15. Types of Reinforcement
EMPLOYEE
BEHAVIOR
TYPE OF
REINFORCEMEN
T
CONSEQUENCE
EMPLOYEE
BEHAVIOR
(Future)
Improved Performance Positive Praise improvement Repeat quality work
Improved Performance Negative
Do not give any
reprimand
Repeat quality work
Performance not
improved
Extinction Withhold praise/raise
Do not repeat poor
work
Performance not
improved
Punishment
Discipline action, such
as written warning
Do not repeat poor
work

16. Equity Theory
 A theory that says that behavior is a function of its
consequences.
 Motivation is influenced significantly by others’ rewards as well
as by one’s own rewards.
 Most research has focused on pay, but employees seem to look
for equity in the distribution of other rewards.
 Historically, equity theory focused on distributive justice. But
increasingly equity is thought of from the standpoint of
organizational justice.
 Managers should consider openly sharing information on how
allocation decisions are made, following consistent and
unbiased procedures.

17. Ratio
Comparisons
Perception
O/IA < O/IB
Inequity – under
rewarded
O/IA = O/IB Equity
O/IA > O/IB
Inequity – over
rewarded

18. Model of organizational justice
DISTRIBUTIVE
JUSTICE
PROCEDURAL
JUSTICE
INTERACTIONAL
JUSTICE
Perceived fairness of
amount the amount and
allocation of rewards
Perceived fairness of
process used to
determine the
distribution
Perceived degree to
which an individual is
treated with dignity,
concern and respect
Organizational Justice
Overall perception of what is fair in the workplace

19. Expectancy Theory
 The strength of a tendency to act in a certain way depends on
the strength of an expectation that the act will be followed by a
given outcome and on the attractiveness of that the outcome to
the individual.
 The theory focuses on three relationships:
1. Effort-performance.
2. Performance-reward.
3. Rewards-personal goals.
Indivudual
Effort
Personal
Goals
Organizational
Rewards
Individual
Performance
1 32

20.  Assumptions:
 Both internal (needs) and external (environment) affect
behavior;
 Behavior is individual’s decision;
 People have different needs, desires & goals;
 People make behavior decisions based on their
perception of outcome

21. Motivation = Expectancy * Instrumentality * Valance
I can achieve
this target
I will get a
reward
Winning this
reward is
important for
me