Reference no: EM131284311

Vroom's Model of Expectancy Theory

In a two- to three-page paper (excluding the title and reference pages), examine how Vroom's Model of Expectancy Theory can help with staffing issues in an organization. Include the following in your paper:

1. Describe Vroom's Model of Expectancy Theory.

2. Describe how the model measures motivation.

3. Explain how the measure of valence can aid staffing issues in an organization.

Your paper must include in-text citations and references from at least two scholarly sources, excluding the textbook, and be formatted according to APA guidelines outlined in the Ashford Writing Center.

Carefully review the Grading Rubric for the criteria that will be used to evaluate your assignment.

PERFORMANCE-BASED HUMAN RESOURCE DEVELOPMENT AND THE HUMAN CAPITAL THEORY

Koppe (2014) stated that performance-based human resource development is related to human capital theory. Since performance-based views look at the organization's profit and competitive advantage as the measurements of success, understanding a management theory that examines the individuals in an organization, and the bottom line, is a logical correlation. One of the discussion questions this week requires summarizing the basics of performance-based HRD. Understanding the effect of human capital aids in understanding performance-based development. Please watch this video to gain more knowledge of human capital theory: The New Science of Human Capital.

Psacharopoulos (2006) stated that the basis of human capital theory is "the formation of human capital entails the sacrifice of resources today for the sake of a stream of benefits in the future" (p. 114). This definition indicates that HRD should focus on improving the human capital in an organization to increase the future bottom line.

Nafukho, Hairston, and Brooks (2004) posited that human capital theory is related to HRD. According toNafukho, Hairston, and Brooks (2004) a key similarity between human capital theory and HRD is that investing in individuals in an organization will increase productivity. Both human capital theory and performance-based HRD require the measurement of intangible assets.

Psacharopolos (2006) and Nafukho, Hairston, and Brooks (2004) agreed that in performance-based HRD that human capital theory should be focused on the training of the individuals in the organization. The cost of training and the development of the individuals in the organization should be considered an investment in the future profit of the organization. The same argument could be made for the decision to go to Ashford University. The prospective student has to weigh the costs of the education, and for some, the loss of current income against the future return on his or her educational investment.

Cornachionne and Daugherty (2013) stated that human capital theory is a tool for HRD. Human capital theory can be utilized to predict and interpret the effects to the profitability of an organization from the costs of investing in human capital. HRD staff and management should be experts in human capital theory. The knowledge allows HRD to examine various investment possibilities and determine which likely will have the highest rate of return for the organization (Cornachionne and Daugherty, 2013).

Performance-based HRD is focused on the profitability of the organization rather than on the employees themselves. The employees receive training and increases in pay because they are viewed as assets of the organization rather than as individuals. This view has been criticized as dehumanizing the individuals of the organization. The other common view of HRD is the developmental view, which is a more humanistic approach.

As you focus on the reading and assignments this week, the different views of HRD will become clear. The focus of this week is an overview of the basic functions of HRD. One question to consider as you read is how your personal views of the development of individuals in the organization connect to the theories.

References:

Cornachionne, E., & Daugherty, J. L. (2013). Trends in opportunity costs of U.S. postsecondary education: A national HRD and human capital theory analysis. New Horizons in Adult Education & Human Resource Development, 25(2). Retrieved from ProQuest database.

Harvard Business Review (2008, December 1). The new science of human capital [Video file]. Retrieved from

https://www.youtube.com/watch?v=j3rZSIqZ0pM

Kopp, D. M. (2014). Human resource training & development: Performance improvement through workplace learning. San Diego, CA:

Bridgepoint Education
Nafukho, F. M., Hairston, N. R., & Brook, K. (2004). Human capital theory: Implications for human resource development. Human Resource Development International, 7(4). doi: 10.1080/1367886042000299843

Psacharopoulos, G. (2006). The value of investment in education: Theory, evidence, and policy. Journal of Education Finance, 32(2). Retrieved from

https://www.press.uillinois.edu/journals/jef.html