Thursday, February 13, 2014

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adams' equity theory

Adams called personal efforts and rewards and other similar 'give and take' issues at work respectively 'inputs' and 'outputs'.
Inputs are logically what we give or put into our work. Outputs are everything we take out in return.
These terms help emphasise that what people put into their work includes many factors besides working hours, and that what people receive from their work includes many things aside from money.
Adams used the term 'referent' others to describe the reference points or people with whom we compare our own situation, which is the pivotal part of the theory.
Adams Equity Theory goes beyond - and is quite different from merely assessing effort and reward. Equity Theory adds a crucial additional perspective of comparison with 'referent' others (people we consider in a similar situation).

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