If we really look at the theory that we have been discussed, it was really inequity that we were setting as the subject matter and not equity itself. As research has progresses, certain revisions have been suggested to this basic equity theory. One such interesting approach has been suggested by classifying individuals based on their preference for equity. These are:
Benevolent refers to those individuals who are comfortable with an equity ratio lesser than that of their comparison other. The Entitled on the other hand are people who are comfortable with equity ratio greater than that of their comparison others. The Entitled behavior is generally observed in the younger generation of the affluent families. If we were to call Benevolent as givers, the Entitled could be called as takers.
We could remember the above using the following diagram.
When in a situation of inequity, and individual could find one of the seven strategies listed below:
Research has indicated that those people who feel that their compensations are equitable have displayed greater job satisfaction and organizational commitment. Thus a lot of the equity theory helps explain important organizational behavior. This theory could also be extended to manage important labor relationships.
Sometimes one finds oneself unmotivated and angry about the compensation/hike that was granted by the organization one worked for.
If one were to reflect on what could have lead to this discomforting feeling and we map it on to the equity theory, we realize we could develop a output-input ratio based on the expectations and their fulfillment.
Let us begin by defining an important concept that would follow this ratio that we have just mentioned – Inequity
Inequity – is a situation in which a person perceives he or she is receiving less that he or she is giving, or is giving less than he or she is receiving.
Looking back the situation described earlier, a person would examine the contribution portion of the exchange relationship – the individual considers their input (own contribution) in the relationship and their outcomes (the organization’s contribution) in the relationship. We could summarize this in the following diagram:
In essence, inequity leads to the experience of tension, and the tension motivates people to act in a manner to resolve the inequity – this was proposed by Stacy Adams.
Demands are expectations that parties have on the others in the relationship. Each party in the exchange makes a demand on the other. Organizations express its demands on the individual in the form of goal or mission statements, or job expectation or performance objectives and performance feedback. It is through these formal mechanisms through which people learn about the organization’s demands and expectations.
Individuals to possess needs that need to be satisfied (we could look back at earlier theories discussed to understand this in greater detail). It is these needs that form the basis of the expectations or demands placed on organization by the individual. It has been found that employees need fulfillment and the feeling of belongingness are both essential to a healthy exchange and have the feeling of organizational membership.
As the other side of the coin – every demand comes in with some form of contribution. Each party to the exchange makes demands on the other; each also has contributions to make to the relationship. The demands expressed are satisfied through the contributions made to the relationship. Employees satisfy the organization’s demands using their skills, abilities, knowledge, energy, networks etc. Organization’s contribution in the relation would be in the form of salary, security, benefits, promotions, status, social affiliations etc.
The question of fairness still remains when we look at this sort of an exchange.
Research on companies has found that unengaged people who are just showing up for work are the source of companies incurring unnecessary costs in the billions. It has been found that even when managing one’s time well, one still ends up exhausted and stressed, unable to concentrate, stay focused, and be productive. That’s because the problem isn’t time management, its energy. One major quality that executives seek for themselves and their employees is sustained high performance in the face of ever-increasing pressure and rapid change, and that takes energy.
The principles of Full Engagement and Energy management were derived by the study of highly successful professional athletes and other runners. At top levels, most sports stars are highly talented. The difference between the consistent winners and the others is in their ability to manage and conserve their energy.
The same principles can be applied to corporate executives. Here are the basic concepts, from Loehr and Schwartz (authors of The Power of Full Engagement (2003)):
(Read more from the reference at: http://www.workingresources.com/professionaleffectivenessarticles/article.nhtml?uid=10058)
Eustress can be defined as a pleasant or curative stress. It is the healthy, normal stress that sometimes gets us to perform to the best of our ability. Research has found that, it is Eustress that enables athletics perform better in competition, it also synchs with one’s attempt to delivering a speech. This positive stress ensures that the speaker is prepared well for the speech and takes greater care to deliver the speech well.
Eustress is part of the new discipline of positive organizational scholarship that includes study on investing in strengths, finding positive meaning of work displaying courage and principled action and drawing on positive emotions at work. This approach to work enhances hope and optimism and there by health for people at work. The focus in these studies is on the individual’s interpretation of events as a source of motivation.
Eustress is a manifestation of this broad, positive perspective – people begin to see opportunities when they would otherwise have felt obstacles, they begin to interpret the barriers as challenges in their path. The pressure tends to keep them motivated and not frustrate them in their daily activities.
We shall continue the discussion on positive energy and full engagement in the next byte.