This document provides an overview of Expectancy Theory, including its key components and relevance to organizational behavior. Expectancy Theory proposes that individuals will be motivated to put forth effort if they believe it will lead to good performance and rewards. The theory has three components: Expectancy (effort leads to performance), Instrumentality (performance leads to rewards), and Valence (rewards are desirable). The document outlines Victor Vroom's contributions to developing Expectancy Theory and explains how management can apply it by understanding employee needs, ensuring promised rewards are given, and recognizing what employees value.

1. Maureen Ong

2. Objectives
At the end of the report:
 The students will be able to know the meaning of the
Expectancy Theory
 The student will be able to recall the three
components of the Expectancy Theory
 The students will be able to discuss the relevance of
the Expectancy Theory in the Organizational
Behavior.

3. Victor Vroom
 Business school professor at
Yale University
 He made psychological analysis
of behavior in organization
focusing on leadership and
decision –making

4. Victor Vroom
 He published several books that were
acknowledged as the breakthroughs in
the study of organizational behavior
such as:
“Leadership and DecisionMaking”
“The New Leadership”

5. WHAT IS
EXPECTANCY
THEORY?

6. The basic idea behind the theory
is that people will be motivated
because they believe that their
decision will lead to their desired
outcome" (Redmond, 2009)
"

7. Expectancy Theory
Proposes that a person will decide to
act in a certain way because they are
motivated to select a behavior over
other behaviors due to what they
expect the result to be.

8. Expectancy Theory
The theory states that individuals have different sets of
goals and can be motivated if they believe that:
There is a positive correlation between efforts and
performance.
2. Favorable performance will result in a desirable reward.
3. The reward will satisfy an important need
1.

9. Expectancy Theory is Based on four
assumptions:
A person join an organization with expectations
about their needs, motivation and past experiences
2. An individual’s behavior is a result of conscious
choice
3. A person want different things from the organization
(good salary, promotion, fulfillment etc)
4. A person will chooses among alternatives to be able
to optimize outcomes for them personally.
1.

10. 3 Components of the Expectancy Theory
 Expectancy
Low Probability
0
 Instrumentality
Low Probability
0
High Probability
+1
High Probability
+1
 Valence
Strong Avoidance
-1
Indifference
0
Strong Preference
+1

11. Motivation

12. Expectancy
The belief that higher or increased
work effort will result to better
performance or completion of a task.

13. Instrumentality
The perception of the person that if
he or she person performs well, a
desired outcome will result from it.

14. Valence
 This refers to the person’s emotional orientation to the
value of the outcome or rewards that were brought
about by the person’s effort to the performance shown.
Intrinsic Factors are those that are driven by internal
rewards such as satisfaction and pleasure felt when a
task is accomplished.
Extrinsic Factors are those that are external rewards
such as promotion, increase in salary etc.

15. What the management should do?
 The management must know what supervision,
trainings or resources the employees needs
 The management must ensure that promises of
rewards are fulfilled and that the employees are made
aware of that
 The management must know the employees value.

17. Reference
 Newstrom,John (2007).Organizational Behavior: Human Behavior at
work (12th ed.). Boston, Mass:McGrawHill
 Lunenburg, Fred(2011).Expectancy Theory of Motivation: Motivating
by Altering Expectations. International Journal of Management
,Business ,and Administration,Vol.15 No.15.
http://www.nationalforum.com/Electronic%20Journal%20Volumes/Lu
neneburg,%20Fred%20C%20Expectancy%20Theory%20%20Altering%
20E
 https://www.boundless.com/management/organizational-
behavior/process-and-motivation/expectancy-theory--2/
 http://som.yale.edu/victor-h-vroom
 https://wikispaces.psu.edu/display/PSYCH484/4.+Expectancy+Theory