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The Equity Theory of Motivation

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The Equity Theory of Motivation
The Equity Theory of Motivation

What is it?
It is the theory that goes forward and tries to explain the relational satisfaction in terms of understanding of the fair distribution of the resources with the various interpersonal skills. Also known as the justice theories, the theory was found by John Stacey Adams, who maintained his pool of thought where employees who were searching for the maintenance of equity between two inputs that bring the jobs and the regular results that they will be receiving from the inputs and the outcomes of the others. With the belief that the people value justified treatment which causes others to be encouraged however, fairness should be maintained among the relationships, co workers and the outcomes. The various inputs are actually contributed by the employee of the organization.

Definition
The person will consider him to be under equity because the ratio of the inputs cannot be more than the results.

Inputs: Inputs are defined as the contributions that are given by the participant. These inputs will essentially contribute to the relationship along with some other aspects, which entitles the participants for some rewards or in this case some costs. The entitlement to the costs however, varies depending on the relationship setting.

Outcomes: On the other hand, the outcomes or the results can be defined as the sum total of the positive and the negative consequences that occurred due the person’s relationship with one another. When the ratio between the input and the output is close, the satisfaction by the employee is much higher. It is important to remember that outputs can be both tangible and intangible in nature.

Equity theory in business
Most of the times this has been widely applied to different business settings that will help the organizational psychologists describe the relationship between the motivations of the employee with the perception of the equitable or inequitable treatment. There is usually

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