Expectancy Theory and Goal Setting Theory in Organizational Behavior

Classified in Psychology and Sociology

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Expectancy Theory (VIE) - Three Key Components

People's behavior results from conscious choices among alternatives and these choices (behaviors) are systematically related to psychological processes - perceptions, beliefs, & attitudes. Emphasizes the need for organizations to relate rewards directly to performance, ensures the rewards are deserved & wanted by recipients.

EXPECTANCY:

Self-efficacy, their estimate of ability to complete the task, refers to the strength of a person's belief about the degree of a particular first-level outcome is the result of their actions (factors include confidence, budget, & materials).

INSTRUMENTALITY:

The connection between performance of the job and the outcomes that result. This connection determines the valence of the performance.

VALENCE:

The value a person expects to receive from the outcome; contributes to the motivation to act - the affective orientation people hold with regards to the outcome.

Four Tenets of Goal Setting Theory

  • Goals and intentions are responsible for human behavior.
  • If goals determine effort - then higher goals result in higher performance.
  • Specific goals result in higher levels of effort than vague goals.
  • Incentives have no effect unless they lead to the setting and/or acceptance of hard, specific goals.

Management by Objectives - Four Stages of Goal Setting Process

  • Managers negotiate with subordinates to determine organizational and personal objectives for some period of time.
  • Subordinate prepares an action plan describing how they will achieve agreed goals.
  • Performance review by the superior and subordinate of progress towards objectives set at the beginning of the period.
  • Setting of new objectives by the superior and subordinate for the next time period.

Organizational Behavior Modification - Four Steps

  • When managers systematically apply the tools of operant conditioning to an organizational setting - behaviors that are specific, objective, and countable.
  • Specify desired behavior.
  • Measure frequency of desired performance.
  • Provide frequent, positive consequences.
  • Evaluate the effectiveness of the ultimate job performance.

Self-Regulation Theory - Five Stages

  • Goal selection
  • Goal cognition
  • Directional maintenance
  • Directional change
  • Goal termination

Social Cognitive Theory

Recognizes people can have some control over their destinies while the environment sets limits on what is possible - the psychosocial functioning 'triadic reciprocal causation' - a theory of human agency.

COGNITIVE FACTORS:

Knowledge, expectations, attitudes

BEHAVIORAL FACTORS:

Skills, practice, self-efficacy

ENVIRONMENTAL FACTORS:

Social norms, community access, influence on others

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