Motivation and emotion/Book/2024/ERG theory

ERG theory:
What is Alderfer's ERG theory?

Multimedia presentation (3 min)

Overview

The theory of existence, relatedness and growth (ERG), was developed by psychologist Clayton Alderfer and published in an Empirical Test of a New Theory of Human Needs (1969). Alderfer's ERG theory is often applied to motivation in the workplace (Caulton, 2012).

Alderfer expanded upon Maslow's hierarchy of needs by compressing the five needs down to three, explaining the overlapping nature of all of the needs. Both of these theories aim to explain the driving force of human behaviour though they do have key differences (Kurt, 2023).

Alderfer's ERG Theory like Maslow's hierarchy of needs has contributed significantly to the understanding of human motivation, and although they share similarities, like the recognition of basic human needs, the way they approach the categorisation and understanding these needs is distinctly different.

Focus questions: What is the difference between ERG theory and Maslow's hierarchy of needs? Does a regression in needs mean you aren't moving forward? How does ERG theory apply to workplaces and education?

Existence Relatedness Growth Theory is applicable to needs and motivations in the workplace. Looking at young university teachers (early stage of career) you can split them into the three categories. 1. Existence need: need to support their life, i.e., pay/job security/working circumstances 2. Relatedness need: emotional needs, i.e., intrapersonal relationships with students, colleagues, supervisors 3. Growth needs: personal and career development opportunities, i.e., achieving self-fulfilment Job burnout and ERG needs are closely related - in these young university teachers job burnout looks like emotional exhaustion, indifferent attitudes towards others and a lack of accomplishment in their work (Yang & Que, 2023).

Figure 1. Maslow's hierarchy of needs (as often depicted in pyramid form)

Maslow's hierarchy of needs

Abraham Maslow said people have needs depending on their circumstances. He categorised these needs into five levels, of which the lower levels had to be met before one can move on to the higher levels.

The five levels of needs are (see Figure 1):

1. Physiological - biological needs such as food and water
2. Safety - shelter from the elements, sickness and harm
3. Social - love and belonging
4. Self-esteem - respect of others and own sense of worth
5. Self-actualisation - doing what one is meant to do and being who they are meant to be

Maslow's theory states that we aim to meet our most basic human needs, we also seek to satisfy a higher set of needs to become self-actualised (aka all that we can be) (Mindtools, 2022).

Maslow's hierarchy of needs is often portrayed in the shape of a pyramid, with the largest and most fundamental levels of needs at the bottom, and the need for self-actualisation at the top.

When the most prepotent goal is realized, the next higher need emerges. "Thus man is a perpetually wanting animal." (Maslow, 1943)

Note: Maslow noted that "self-actualisers" are not pursuing happiness, although they might be lucky enough to experience it. Rather, they're driven by their sense of values, purpose and potential (Mindtools, 2022).  

A criticism of Maslow's hierarchy is its lack of consideration for cultural variations in needs, unlike Alderfer's ERG Theory which is deemed to be more flexible and applicable across different cultural contexts.

ERG Theory

Figure 2. Alderfer's ERG Theory

Alderfer's ERG theory and Maslow's Hierarchy of Needs are both theories that attempt to explain human motivation and the factors that drive individuals.

The theory of existence, relatedness and growth (ERG), expands upon Maslow's hierarchy of needs. Alderfer believed that the complexity of human behaviour isn't reflected in Maslow's hierarchy of needs, due to ones needs not being as independent as stated, which is why Alderfer's ERG theory exists, to explain the simultaneous nature of the needs.

Alderfer compressed the five needs down to three:

Existence needs

Encompassing Maslow's physiological and safety needs.

Relatedness needs

Covering social needs and the external self-esteem needs.

Growth needs

Which are the internal self-esteem needs and self-actualisation.

The key additions to ERG theory are the implementation of the satisfaction/progression, frustration/regression and the satisfaction/strengthening (see Figure 2).

Satisfaction/Progression:

• Refers to satisfying a need and moving onto higher level needs.

Frustration/Regression:

• If a person finds it challenging to meet higher-level needs, they are likely to step back and focus on fulfilling lower-level needs (Mind Tools Content Team, 2023).
  • For example, if an employee is striving for self-actualisation in their role but faces obstacles that prevent them from achieving this, they may revert to seeking social connections or ensuring their basic physiological and safety needs are met.

Satisfaction/Strengthening:

• This is where you satisfy the current need level over and over and over again.
  • Which is viewed as perceived progress (Kurt, 2023), allowing the individual to be motivated by a sense of progression in meeting their needs.

In Summary

ERG theory allows for movement between the different need categories, meaning that if a higher-level need is frustrated, an individual can regress to a lower-level need. Maslow's Hierarchy of Needs, on the other hand, suggests a linear progression from the lowest to the highest needs, with individuals needing to satisfy lower-level needs before progressing to higher ones. This adds a layer of complexity to Alderfer’s model missing in Maslow’s approach, it allows for shifts in priorities as ones circumstances change.

Test yourself! 1 Which theorist believes you must fully satisfy a level of need before moving onto the next?: Abraham Maslow Clayton Alderfer 2 ERG stands for: Existence, Readiness, Growth Existence, Relatedness, Grit Experience, Relatedness, Grit Existence, Relatedness, Growth

Applications

Alderfer's ERG Theory is often applied to motivation in workplaces (Caulton, 2012) and education. it is used to figure out how to increase moral and productivity by looking at job satisfaction, self-esteem, co-worker relationships, management influence, and leader styles.

motivating factors at work need to be personal , organisation shave to provide good working conditions, encourage positive working relationships, and provide development opportunities (Mind Tools Content Team, 2023)

Workplaces and ERG Theory

1. Understanding motivation
2. Addressing frustration
3. Create reward systems
4. Promote career development.

In summary, workplaces and ERG theory intersect in understanding motivation, addressing frustration, creating reward systems, and promoting career development. using ERG Theory can create a supportive and engaging working environment (Acquah et al., 2021).

Education and ERG Theory

1. Understanding student needs
2. Educational goals
3. Student frustration and satisfaction
4. Educational Strategies.

In summary, ERG theory when applied to education highlights the importance of understanding diverse student needs, being flexible in educational goals, addressing student frustration and satisfaction, and tailoring educational strategies to individual student needs (Acquah et al., 2021).

Benefits

Understanding this theory can help individuals and organisations in various ways:

1. Recognising needs
2. Goal setting
3. Addressing frustration and satisfaction
4. Tailoring motivational strategies

Personal and professional development can benefit from tailoring their approaches to consider individual differences in needs and motivations. Overall, the implications of the ERG theory for personal and professional development show the benefit of recognising diverse needs, allowing for flexibility, addressing frustration and satisfaction, and tailoring strategies to individual.

Disadvantages

Determinants and/or antecedents of needs and personality variables, need to be applied along with the ERG Theory to determine how they can effect the outcomes - For instance, it is likely that Females will be more concerned about their existence needs (covering pay and perks) that could afford them to follow through with maternal desires if they wish (Arnolds & Boshoff, 2002).

Arnolds and Boshoff (2002) found limitation in the inclusion of other personality variables, such as locus of control, stating the inclusion could increase our understanding of how need satisfaction, personality and job performance are interconnected.

Related theories

Figure 3. Picture depicts the Mnemonic for Theory X and Y. A person refusing to work is 'X' and the person cheering about working is 'Y'.

McGregor's Theory X and Y: Theory X is based on the assumptions that employees don't really want to work, lack ambition, only work to be paid, and need constant supervision. Theory Y is based on the assumptions that employees want to work, want to take responsibility, and do not need much supervision (see Figure 3).

Herzberg's Motivation Hygiene Theory: This theory focuses on motivation which that is necessary for the accomplishment of work. Stating that there are two types of factors, motivating factors which cause job satisfaction, and hygiene factors which cause dissatisfaction (Acquah et al., 2021).

McClelland's need for achievement, affiliation and power:Differs from Maslow and Alderfer’s theories by focusing on creating needs, rather than satisfying existing needs. His need for achievement involves the desire to master objects, ideas and other people, and increase self-esteem. Affiliation motivation is a need for love, belonging and relatedness. Power motivation is the need to control over one’s own work or the work of others.

Conclusion

The theory or existence, relatedness and growth (ERG), was developed by psychologist Clayton Alderfer to expands upon and further develop Maslow's hierarchy of needs. It is a framework for understanding human needs and motivations which allows for those who don't follow the sequential path through existence, relatedness and growth, accounting for the dynamic shifts in priorities that people often experience in day to day life. Overall, Alderfer's ERG theory offers important implications for understanding and managing employee motivation, and there is still much to explore in terms of its application and potential refinements.

One implication is that individuals have multiple needs that they are motivated to satisfy simultaneously. This means that managers need to recognise and address the different needs of their employees in order to keep them motivated.

Future research could focus on the interaction between different needs within the ERG framework. For example, how do growth needs influence relatedness needs, and vice versa? A deeper understanding of these interactions can provide valuable insights for managing employee motivation effectively.

Focus question answers: What is the difference between ERG theory and Maslow's hierarchy of needs? the implementation of the satisfaction/progression, frustration/regression and the satisfaction/strengthening ERG theory allows for movement between the different need categories unlike Maslow's Hierarchy Does a regression in needs mean you aren't moving forward? Regression allows for satisfaction/progression or satisfaction/strengthening of a lower level need to occur which is progression (aka moving forward). How does ERG theory apply to workplaces and education? Recognising needs Goal setting Addressing frustration and satisfaction Tailoring motivational strategies

See also

• Abraham Maslow (Wikipedia)
• Clayton Alderfer (Wikipedia)
• ERG theory (Wikipedia)
• ERG theory (Book chapter, 2022)
• Maslow's hierarchy of needs (Wikipedia)
• Self-actualisation (Wikipedia)
• Plato's theory of soul(Wikipedia)

References

Acquah, A., Nsiah, T. K., Antie, E. N. A., & Otoo, B. (2021). Literature Review on Theories of Motivation. EPRA International Journal of Economic and Business Review, 9(5), 25–29. https://doi.org/10.36713/epra6848

Alderfer, C. P. (1969). An empirical test of a new theory of human needs. Organizational Behavior and Human Performance, [online] 4(2), pp.142–175. https://doi.org/10.1016/0030-5073(69)90004-x.

Arnolds, C. A., & Boshoff, C. (2002). Compensation, esteem valence and job performance: an empirical assessment of Alderfer’s ERG theory. The International Journal of Human Resource Management, 13(4), 697–719. https://doi.org/10.1080/09585190210125868

Caulton, J. (2012). The development and use of the theory of ERG: a literature review. Emerging Leadership Journeys, [online] 5(1). Available at: https://www.regent.edu/journal/emerging-leadership-journeys/alderfers-erg-theory-of-motivation/.

Maslow, A. H. (1943). A theory of human motivation. Psychological Review, 50(4), pp.370–396. https://doi.org/10.1037/h0054346.

Yang, Y., & Que, L. (2023). The influence of existence–relatedness–growth need satisfaction and job burnout of young university teachers: the mediating role of job satisfaction. Frontiers in Psychology, 14. https://doi.org/10.3389/fpsyg.2023.1205742

External links

https://educationlibrary.org/alderfers-erg-theory/ (Education Library)

https://www.mindtools.com/an20l52/alderfers-erg-theory(MindTools)

https://www.mindtools.com/a4denhh/maslows-hierarchy-of-needs(MindTools)