Friday, September 23, 2016

Equity theory of management



John Stacey Adams' equity theory helps explain why pay and conditions alone do not determine motivation. It also explains why giving one person a promotion or pay-rise can have a demotivating effect on others.
Inputs: time, effort, loyalty, hard work, commitment, ability, adaptability, flexibility, tolerance, determination, enthusiasm, personal sacrifice.
Outputs: Typical outcomes are job security, esteem, salary, employee benefits, expenses, recognition, reputation, responsibility, sense of achievement, praise, thanks.