XS4007 Organisational Behaviour: Employee Motivation, Reward & Equity

This report examines employee motivation within organizational behavior, focusing on reward schemes and motivational theories. It uses Mullins' model to analyze how employee award schemes meet work-related expectations, referencing a case study where an employee was motivated by recognition and a cash prize. The report then evaluates Vroom's expectancy theory, discussing its potential benefits and drawbacks for managers in implementing award schemes, highlighting the importance of expectancy, instrumentality, and valence. It also justifies the use of equity theory, emphasizing the need for a fair balance between employee input and output, using a case study to illustrate fair compensation for hard work. The implications of equity theory for managers are explored, noting its role in understanding employee motivation and resource allocation. Finally, the report discusses whether the application of these theories is useful or damaging for managers, concluding that equity theory can be beneficial for planning employee rewards if managers understand the potential for de-motivation when employees perceive inequity.

Organisational Behaviour

TABLE OF CONTENTS
INTRODUCTION...........................................................................................................................3
MAIN BODY..................................................................................................................................3
1. Using Mullins model identify using article example how employee award scheme helps in
meeting employee work related expectations..............................................................................3
2. Using Vroom's process theory, explaining how application of the theory is beneficial or
damaging for manager.................................................................................................................4
3. Justified by the Equity theory..................................................................................................5
4. Implications in Equity theory would be useful for a manager.................................................6
5. The application of these theories would be useful or damaging for a manager......................6
CONCLUSION................................................................................................................................7
REFERENCES................................................................................................................................1

INTRODUCTION
Organisational behaviour helps in studying human behaviours at organisation. It finds out
that what impact an individual and team is having on behaviour in the organisation. It is process
to find out that how employees interact with each other in an organisation. This report will
discuss about how awards scheme is helpful in meeting employee needs. Further it will evaluate
vroom theory and how its application will help manager in planning for awards scheme. This
report will evaluate equity theory and also how implications in equity theory useful for manager.
This report will also discuss content theories and how its application is good or bad for managers
who want to introduce employee award scheme.
MAIN BODY
1. Using Mullins model identify using article example how employee award scheme helps in
meeting employee work related expectations.
The success of the organisation is dependent on their employees that how they are using their
abilities and knowledge to meet company's objectives.
Mullin's three fold classification
This classification have three factors which will show about needs of people at work.
Economic reward:
it is reward which is associated with monetary aspects like payment benefits, security, pension
benefits etc. such rewards can considered as the highest motivator rewards because this reward
motivate majority of employees. In this case study Stephen Carella has awarded with employee
of year 2008. after getting award he said that he gets motivation from the recognition he got and
also through cash price of £10,000.
Intrinsic satisfaction:
this step is considered and surrounded to employee itself. It is dependent on person to person and
also is depends on situation in the organisation (Li and et.al., 2020). It also changes with the
nature of job or various work role in same type of job. It is extracted from job nature, personal
growth and development.
Social relationship:
it is considered as relative orientation and connected with different people. This step is
considered as one of the important step. As it contributes in improving relationships within co

workers and enhance teamwork and also increase sense of friendship in the organisation. In the
case study Ben William said that teamwork is important so teams should be considered as
together because team achieve goals from participation of every team member.
Hence individual level of motivation, work performer and job satisfaction can be
determined with these sets of expectation. There are chances that some employees prefer only
economic rewards and ignore intrinsic satisfaction and social relationship (Schjoedt and Shaver,
2020). It can be said that majority of employees get motivation through money but it can be also
said that motivation depends on person to person and also based on circumstances.
2. Using Vroom's process theory, explaining how application of the theory is beneficial or
damaging for manager.
Vroom's expectancy theory:
As per this theory performance of employees are based on various factors like
knowledge, skill set, experience, personality etc. it have three factors which are as follows:
expectancy:
as per this factor it is belief of majority of people that if an individual will make more efforts
then that will increase their performance and they will become more successful. Effective
performance can be achieved if employee get resources do to their job, having particular skills
required for job or have proper support from their supervisor. So by using this factor manager
can motivate employees by giving rewards so that they bring good performance by working
hard. At this step manager have to provide all necessary things to the employees so that they can
provide good performance.
Instrumentality:
as per this factor it says that if an individual will perform well then they will get good results. So
first outcome will gives second outcome (Thiagaraj and Thangaswamy, 2017). For achieving
good results employee should have proper knowledge of performance and results. Transparency
should be there in terms of what rewards will be given after achieving which target. At this step
trust is very important. So trust should be there by the employees on their managers because
managers will decide that what reward will be given at which outcome.
Valence:
it refers to the importance which is given by the employees to the outcome. Here an individual
should focus on its way of motivation only. Example if a person is getting motivation through

money then he or she should not get attracted by other rewards like time off etc. this can help
manager who is planning for award scheme because at this stage manager will understand that
which award scheme they should launch by getting knowledge about what is motivating majority
of employees (Lloyd and Mertens, 2018). If majority of workers are getting motivated by money
then manager can bring money related award and if employees want recognition of flexibility
then manager can plan to bring rewards related to that.
3. Justified by the Equity theory
Equity theory that would be based on having the proper ideas and though in motivation
for their employee and that could also play the important role for which the concepts in given
case study that could be clear. While having such things this could help for knowing about some
basic concepts and that could be more better things for their employee in working. As equity
theory is best example for the employee with peer long term which got exactly towards the same
job as earning more money (Vrontis and et.al., 2020). While having such things this could also
help the employee for keeping the motivation and that could also help the people for earning
money and might be play the important things. Employee who are working with equity
sensitivity place that could keep the importance in terms with some better situation along with
having some higher score. Equity theory for the employee could play the important role and
make sure for them in keeping long term with organization. As the company culture could also
provide modern creativity for the employee and make sure about the team working managing.
As per the equity theory there should be fair or non partial balance between employee
input which he puts in the form of knowledge, skills, hard work etc and to employees output
which is remuneration, rewards and recognition or other benefits. In this case study fair balance
is seen in Stephen Carella case. He work very hard because it was his dream to become
employee of month. He received six awards of employee of month and also £10,000 as the
reward price. It is fair because he work hard to achieve that benefits and company has also gave
him benefits what they has promised to him. Hence it can be said that worker input and worker
output has got fair balance (Foktas and Jucevičienė, 2021). So it can be said that rewards has
motivated him to achieve company's target and become employee of the month. If fair balance
will not be there between work which is done and salary which is provided then it can de-
motivate employees. Employee will stop doing hard work because they will think that company
is not recognising their hard work and also not treating them equal.

4. Implications in Equity theory would be useful for a manager
As this have been seems that employee can work with having motivation and that could
keep some external things such as money, status to be motivated. While having the focus toward
the internal things such as desire for having the good jobs. While having such things this could
help for keeping some more important concepts and make sure for having some better estimation
about the resources (Sands and et.al., 2020). While in organization equity theory must play their
effective role in which they can easily make sure about their benefits and many other services in
which they work. Along with this also keep their employee for working with many rewards and
many system at their better places. As leader and manager should also come to know about their
sought for understanding theories of motivation and feel them for working with some better
estimation. At the workplace for increasing productivity and effectiveness of their workforce that
could be increases as well. Leader and manager in organization should also keep their main
feature about through which the concepts and that could being so clear in which they can work.
While keeping some motivation things that could also include some of the things which could
play their role and make sure about some better things.
Equity theory that could based on motivation theories in which the employee can get
motivated and come to know about their resources. Moreover, this could being so important for
them in working with having better things and that could also complete over through having the
supportive from the leader and manager in organization. In simple terms, equity theory that states
about the individual identifies an inequity between individual and peer which could make them
to do some situation fair at their eyes (Shah and Murthi, 2021). Extrapolating about the theory
that could keep higher individual perception of equity and based on their some other situation.
While having such things this could also led them for working with having some better
estimation and make their more sales rather than having other year sales. While having such
concepts this might be also essential for knowing about some those things which could being so
important and also keep their estimation about the proper sources.
5. The application of these theories would be useful or damaging for a manager
While equity theory concepts seems to be useful for manager in planning about their
employee rewards. As such things that could help them for keeping more effective and make
sure for keeping some more effective role and concepts. Equity theory states about individual
things in which they can work and keep their working estimation with focus so that could help

them for knowing about those things which help for working with some better conditions. While
having kind of activities this could also make sure for available about those things which could
keep the growth and make their high opportunities (Gervais, 2020). The hypothesis based
conviction that workers become de-roused, both comparable their work and their manager, event
that they feel like about information sources being more prominent than yields. Representatives
can required to react diverse ways including de-inspiration diminished exertion, flattering
displeased, more disgraceful cases, maybe even troublesome.
This might be also seems that keeping employee attraction that could make sure for
completing some better effective role and that might play the important role in goals and
objective. While having such things this could also keep them motivated and flexibility for their
work. Along with this also important for keeping them with working capacity and play their high
role in which the work and make sure for keeping some more better goals and objective for their
employee. In such kind of activities this could being so essential for knowing about those impact
and that could also play their effective motivation as equity theory being more described about
and that could also keep some better leader and manager for working with their employee
(Sundararajan, 2020). Leader and manager should understand about the better growth and
development in organization so that could help the company for having some better sales and
also make their market position.
CONCLUSION
From the above report it had been seem that, equity theory might be important for the
organization in such things that could make sure for keeping the estimation about those sources
which could help them. While having such things this could also help the for knowing about
some better things and that could also play their effective role. Organization also keep their
employee to work and that could also important for taking much benefits for completing their
goals and objective.

REFERENCES
Books and journals
Foktas, P. and Jucevičienė, P., 2021. Which Motivational Theories Are Suitable to Motivate
Employees Belonging to Generation Y?. In Eurasian Business and Economics
Perspectives (pp. 249-264). Springer, Cham.
Gervais, W.M., 2020. Practical methodological reform needs good theory. Perspectives on
Psychological Science. p.1745691620977471.
Li, Y. and et.al., 2020. Identification of cis-regulatory sequences controlling pollen-specific
expression of hydroxyproline-rich glycoprotein genes in Arabidopsis
thaliana. Plants. 9(12). p.1751.
Lloyd, R. and Mertens, D., 2018. Expecting more out of expectancy theory: History urges
inclusion of the social context. International Management Review. 14(1). pp.28-43.
Sands, S. and et.al., 2020. Managing the human–chatbot divide: how service scripts influence
service experience. Journal of Service Management.
Schjoedt, L. and Shaver, K.G., 2020. Entrepreneurs’ motivation: a conceptual process
theory. Journal of Small Business & Entrepreneurship. 32(4). pp.333-353.
Shah, D. and Murthi, B.P.S., 2021. Marketing in a data-driven digital world: Implications for the
role and scope of marketing. Journal of Business Research. 125. pp.772-779.
Sundararajan, L., 2020. Strong-ties and weak-ties rationalities: Toward an expanded network
theory. Review of General Psychology. 24(2). pp.134-143.
Thiagaraj, D. and Thangaswamy, A., 2017. Theoretical concept of job satisfaction-a
study. International Journal of Research-Granthaalayah. 5(6). pp.464-470.
Vrontis, D. and et.al., 2020. Intellectual capital, knowledge sharing and equity
crowdfunding. Journal of Intellectual Capital.
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