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Group-12 Gaurav Mittal F-217 Shubham Goswami F-252 Tenzin Dicky F-273

Q1. If you were Amit, what would you do to handle this situation?

There are two main issues that can be discussed in the meeting with the HR manager. Firstly, the issue
of giving Amit a low rating even though he deserved higher rating points. He was given false hopes of
a fair appraisal based on his performance by his mentor and Project manager. The second issue is of
the confidential salary information of fresh campus graduates that he holds. Amit should handle the
matter in the following manner.

Firstly, he should be able to justify the matter that he knew about the salary information of
fresh campus graduates by saying that it was well-known information within the company. It
was probably made known to him during informal coffee breaks or chats with the colleagues.
Secondly, he should be able to negotiate with the HR manager about the discrepancy in his
appraisal. First of all, he should not quit from his position in the company. He should try to
explain his situation clearly to the HR. He should politely make his point about his skills and
achievements within the first six months. His performance had been appreciated by all the
project managers, the mentor and even the customers. He had been consistently reminding
his managers of updating his ratings which was a fair demand. However, due to one reason or
the other, the ratings were updated at a later date. He had been informed that he had done
well and would get a good salary hike. However, the hike which he got was not at par even
with the fresh campus graduates with no experience.
Amit should be able to highlight his achievements clearly to the HR Manager to justify his
demand for a better appraisal. Since he had consistently performed well, he deserved a 4
instead of 3.5. He should also highlight about his accommodating nature regarding the delay
of his promotion in the first half-yearly appraisal period.

Q2. Apply process theories of motivation to explain the motivational challenge facing the VP-India
operations.

When Amit approached the VP-India operations and informed him about his predicament, there was
no effort put in by the VP to address the situation. He was in a complete disregard for the situation
and offered him a short end of the stick by either quitting the company or continue with the same
salary.

We now proceed to the process theories that we could apply in the situation which attempt to explain
and describe how people start, sustain and direct behaviour.

Adams theory of Inequity suggests that individuals try to engage in social comparison by
comparing their rewards and efforts with those of others who are relevant to them.
The individuals perception about the fairness of his/her rewards relative to others influences
his/her level of motivation.
Equity exists when an individual perceives that the ratio of efforts to rewards or the
input/outcome ratio is the same for him/her as it is for others to whom he/she compares with
himself/herself.
Group-12 Gaurav Mittal F-217 Shubham Goswami F-252 Tenzin Dicky F-273

Inequity exists when an individual perceives that the ratio of efforts to rewards or the
input/outcome ratio is different (usually negatively so) for him/her than it is for others to
whom he/she compare themselves.

Individuals consider their inputs, i.e. their contribution to the organisation and their outcomes, i.e. the
companys response to that contribution while examining whether the situation is inequitable or
unfair. Thus, we calculate an input-outcome ratio which is compared to a relevant other.

1. Therefore, in this situation, the VP should try to reduce the level of inequity (i.e. the feeling of
being under-rewarded by Amit) by altering the rewards for the inputs made by Amit.
2. Amit should also be motivated to change the reference person for assessing his equity
perception.
3. The VP should set up an equity committee within the company to highlight the matter of
perceived inequity within the organization and try to suggest some measures of reducing the
same.
4. They should hire a company compensation specialist so that the employees get the
compensation they deserve according to their inputs.
5. They should set up a legal advisory committee to sort out the grievances of the employees.

Vroom expectancy motivation theory

Vroom Expectancy theory predicts that employees in an organization will be motivated when they
believe that:

Putting in more effort will yield better job performance


Better job performance will lead to organizational rewards, such as an increase in salary or
benefits
These predicted organizational rewards are valued by the employee in question

As in this case, even after receiving excellent performance feedbacks from his mentor and project
manager Amit did not receive rewards in accordance with his performance. So now it is the
responsibility of the VP-India operations to develop a system that tie rewards with the performance
in a more transparent way.