Essay on The Theory Of The Expectancy Theory

1146 Words Oct 27th, 2016 5 Pages
Elements of the expectancy theory were very clearly demonstrated throughout this case study, and particularly with the new pay structure. With the proposed compensation plan, the physicians would have a very clear understanding of how their effort to obtain the minimum number of patients directly correlates to their individual success, and the success of their peers and hospital. The increased connection between effort input to rewards reaped for each doctor means that there is a higher expectancy value than before. Additionally, with this new plan instrumentality increases because an underperforming doctor will always have to rely on another doctor to carry their weight, and directly face the uncomfortableness and bruised ego that comes with it. Previously, when the doctors’ salary was determined almost exclusively by the amount of time working as opposed to the quality or quantity of the work done, instrumentality was low because there was a very weak relationship between performance and salary increases. The balance between the MGOA physicians could vary because some of them focus primarily on serving patients, while others are more focused on conducting research and teaching than actually working with patients. Thus, every doctor has different rewards that motivate them most.
There are more strengths than weaknesses to this plan, particularly when looking at long term benefits. For example, this new payment plan successfully provides a clear connection between the…

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