Motivation is the driving force behind employee performance and productivity in any organization. Understanding what motivates your employees will help you build more engaged and satisfied workforce.
Should you care about employee motivation? Well.. In fact, a study by the Hay Group found that engaged employees can generate 43% more revenue.
One theory that explains employee motivation is Vroom's Expectancy Theory of Motivation.
In this article, we will overview the key principles of Vroom’s Expectancy Theory of Motivation and explore how leaders and managers can apply these principles to improve team performance and satisfaction in the workplace.
Table Of Contents:
The Expectancy Theory of Motivation suggests that people are motivated to work hard when they believe their efforts will lead to a desired outcome and when they value that outcome. This theory, also known as the VIE theory, is proposed by Victor Vroom, a Canadian psychologist.
Victor Vroom proposes that motivation is influenced by both how likely people think they are to achieve a goal and how much they value that goal.
According to the VIE theory, employees are motivated in the workplace by their beliefs about:
Let’s take an example.
Imagine an employee, Sarah, who works in a sales department. Sarah believes that if she works harder and makes more sales calls (expectancy), she will increase her sales performance and earn more commission (valence). She also trusts that her manager will promote her for the efforts (instrumentality). This belief motivates Sarah to put in more effort in her sales activities.
The VIE theory is based on the idea that an employee's motivation to perform a specific task or behavior in the workplace is determined by their beliefs regarding the effort-performance relationship, the performance-reward relationship, and the attractiveness or value of the rewards.
These beliefs are influenced by three key elements:
Valence (V), Instrumentality (I), and Expectancy (E)
Valence refers to the value or attractiveness that an employee places on the rewards or outcomes. The more team members value the outcomes, the more they will be motivated to put the effort on a given task.
Instrumentality is the belief that successful performance will lead to certain outcomes or rewards. It is the perceived probability that employee performance will be rewarded.
This refers to employees’ belief that their effort will lead to increased and successful performance. If an employee believes that putting in more effort will result in better performance, they are more likely to be motivated to exert that effort.
The research entitled Understanding employee motivation reveals that the theory calculates 'motivation asset' concerning the value of a reward (Valence), the time used to get the reward (Instrumentality), and the opportunity to motivate an individual (expectancy). This creates the formula:
Because valence, instrumentality, and expectancy are on a range scale of 0-1, anything multiplied by zero will result in zero motivation.
Meaning we can interpret it as follows:
The EPO (Expectancy-Performance-Outcome) model is a variant or extension of Vroom's Expectancy Theory of Motivation. It adds a new dimension to the theory - attitudes about himself, his work, and the degree of trust in himself. The Model focuses on the individual's perceptions of their performance and how it relates to the expected outcome.
The EPO model helps to explain how employees evaluate their performance and adjust their motivation based on their perceptions.
Here's a brief overview of each component:
You can apply expectation theory in your leadership practices to improve the motivation of your team by following these steps:
Establish a fair and transparent reward system that links performance to rewards. You need to make sure that employees value the rewards and find them meaningful. Also, the rewards you offer should match the effort and performance of the employees.
You should clearly define performance expectations and provide employees with the necessary resources, feedback, and support to achieve those expectations. Ensure that employees understand how their effort and performance will help them meet the expectations. This can include quantitative or numerical goals that team members can easily track to see how they're performing. To be on the same page with your team members, you can schedule regular catch-up meetings to review progress, offer feedback, and provide support.
According to employee motivation statistics, many employees are motivated by team trainings that create opportunities for career growth. For this, you can offer training and development opportunities to enhance your employees' skills and abilities.
By providing training and development to your team members, you can increase the likelihood of positive outcomes, such as improved performance and career aspirations. This is especially effective to support the instrumentality in a team.
For example, by participating in diversity and inclusion training, you can create a more supportive and equitable work environment where all employees feel valued and empowered to perform at their best.
Another step to apply the expectancy theory in the workplace is feedback system. For this, you should provide timely and constructive feedback on employee performance to support the link between effort and performance.
Giving regular positive feedback to your team members can increase expectancy, while constructive feedback can help improve performance.
Studies have shown that 39% of employees believe they are not sufficiently appreciated at work, and 77% say they would increase their efforts if they received more recognition.
To maintain high level of motivation in the workplace, leaders should recognize and reward employees based on their efforts and achievements. This can include both financial rewards and non-financial rewards such as recognition and opportunities for advancement. This approach will help you increase the motivation in your team and create workplace culture for appreciation and excellence.
Moving on, you need help employees set realistic bur achievable goals. Goal setting can increase expectancy by clarifying performance expectations and providing a clear target for employees to work towards.
A positive workplace culture is essential for business success. Over 50% of executives believe that a strong corporate culture boosts productivity, creativity, profitability, overall company value, and growth rates.
Create a work environment that is supportive and encouraging. A positive work environment can increase self-motivation and valence in employees by making the rewards of good performance more attractive.
One way managers can apply the principles of expectancy theory is by placing trust in their employees' abilities. For this, you need to give control and create a sense of accountability.
When employees feel trusted and empowered, they are more likely to be motivated to perform well and meet or exceed expectations.
By giving autonomy and creating a sense of accountability, you will delegate decision-making responsibilities among the team members. This can boost team effort and increase motivation. The reason is that employees feel more invested in the outcomes of their work and are more likely to take pride in their achievements.
When you align tasks to an employee's skill set, you create a space for maximizing their potential and motivation.
There are several ways that you can apply to match skills and tasks. These can include conducting skill and effectiveness assessments, assigning tasks that match skills, providing skill development opportunities, offering feedback and coaching, providing challenging tasks for growth, recognizing and celebrating achievements, etc.
Task and skill set alignment increases motivation, as employees feel more invested in the outcomes of their work and are more likely to take pride in their achievements.
Understanding what drives employee motivation is crucial for effective team management and reaching company's short and long term goals.
To effectively manage expectancy and implement Vroom's Expectancy Theory of Motivation in your workplace, it's highly recommended to cultivate a workplace culture and environment that actively supports and promotes high employee engagement. Programs like Team Coaching can provide a supportive setting where teams enhance their cohesion, develop new skills, and build strong relationships, all within the framework of the company's shared goals.
Encouraging your team to participate in such developmental programs enables the practical application of building a highly motivated team, resulting in a more motivated and cohesive teamwork.