Equity plays a big role in organization as it helps to generate motivation for employees.
Abraham Maslow is his Hierarchy of Needs theory showed that an individual has a hierarchy of needs that shape his reaction to any particular situation.
Money is used as a means of keeping an organization adequately staffed and not primarily as a motivator.
Cognitive evaluation theory suggests that there are actually two motivation systems; intrinsic and extrinsic those correspond to two kinds of motivators.
Doughlas McGregor stated his views of human nature in two sets of assumptions; theory-X and theory-Y.
Expectancy theory argues that the strength of a tendency to act in a certain way depends on the strength of an expectation.
Similarities between Maslow’s and Herzberg’s models of motivation as they assume that specific needs energize human behavior.
Goal-setting theory states that goal setting is essentially linked to task performance as goals indicate and give direction to an employee about what needs to be done and how much efforts are required to be put in.
J. Stacy Adams developed equity theory which states that employees perceive what outcomes they get from a job in relation to what inputs they put into it and then compare them with other individuals.
Reinforcement theory is based law of effect, the idea that behaviors are selected by their consequences and overlooks the internal state of individual.