State the expectancy theory formula and explain what each component means in a work setting.

• A. Motivation = Expectancy × Instrumentality × Valence; Expectancy: belief effort leads to performance; Instrumentality: belief performance leads to outcomes; Valence: value of outcomes to the individual.
• B. Motivation = Effort + Reward; where Effort is energy expended, Reward is pay.
• C. Motivation = Performance × Reward; where Performance is ability and Reward is reward size.
• D. Motivation is a fixed trait and cannot be calculated.

Answer: (A)

The main idea here is that motivation in the workplace arises from a combination of three beliefs, multiplied together: how likely you think your effort will lead to good performance, how likely good performance will lead to valued outcomes, and how much you value those outcomes. In the formula, motivation equals expectancy times instrumentality times valence. Expectancy is your belief that putting in effort will improve your performance. Instrumentality is your belief that performing at a certain level will lead to specific rewards or outcomes. Valence is the value or attractiveness those outcomes hold for you.

In a work setting, this means if you believe that extra effort will indeed raise your performance (high expectancy), you also believe that performing well will result in meaningful rewards (high instrumentality), and you strongly value those rewards (high valence), your motivation to put in the effort will be high. If any piece is weak—your effort may not reliably boost performance, or performance may not be linked to the outcomes, or the outcomes aren’t valuable to you—the overall motivation drops, even if the other pieces are strong.

Why the other options don’t fit: they rely on simple addition or only two elements, or treat motivation as a fixed trait. Real expectancy theory requires the belief-based, probabilistic links between effort and performance, performance and outcomes, and the personal value of those outcomes to explain why people choose to act.