Introduction equity theory is one of the most

Introduction Motivation is a goal-oriented characteristic that helps a person achieve his objectives. It pushes an individual to work hard at achieving his or her goals. An executive must have the right leadership traits to influence motivation. However, there is no specific blueprint for motivation. As a leader, one should keep an open perspective on human nature. Knowing different needs of subordinates will certainly make the decision-making process easier. Both an employee as well as manager must possess leadership and motivational traits.

An effective leader must have a thorough knowledge of motivational factors for others. He must understand the basic needs of employees, peers and his superiors. Leadership is used as a tool of motivating others. In the big company such as Air Asia, PETRONAS, Google and Microsoft have high motivated employee and also manage by persons who have both leadership and motivational traits. Due to those traits those companies become well-known companies in their respectively industries. Motivation

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Motivation has been defined as: the psychological process that gives behavior purpose and direction (Kreitner, 1995); a predisposition to behave in a purposive manner to achieve specific, unmet needs (Buford, Bedeian, & Lindner, 1995); an internal drive to satisfy an unsatisfied need (Higgins, 1994); and the will to achieve (Bedeian, 1993). When talking about motivation equity theory is one of the most spoken theories in the motivation behavior. According to Cory (2006), the equity theory describes the relationship between how fairly an employee perceived he is treated and how hard work he is motivated to work.

Peter Dunkey is an author who is specialize in economic first to propose the relationship between the equity theory and employee motivation. The basic idea behind the equity theory is that workers in attempts to balance what they put in into their jobs and what they will get from them. According to equity theory, the most highly motivated employee is the one who perceives his rewards are equal to his contributions. If he feels that he is working and being rewarded at about the same rate as his peers, then he will judge that he is being treated fairly. This doesn’t mean that every manager should treat every employee dentically, because every worker does not measure his contributions in the same way. For example, flexible working hours might motivate a working mother even more than a pay raise. Research on Equity Theory and employee motivation has shown that, in general, over-rewarded employees will produce more and of a higher quality than will under-rewarded, less motivated employees. Adams’ theory states that employees strive for equity between themselves and other workers. Equity is achieved when the ratio of employee outcomes over inputs is equal to other employee outcomes over inputs (Adams, 1965).

If an employee at the centers feels that there is a lack of appreciation for work done, as being too low relative to another employee, an inequity may exist and the employee will be dis-motivated. Further, if all the employees at the centers feel that there is a lack of appreciation for work done, inequity may exist. There should be balance of the outcomes/inputs relationship for one person in comparison with that for another person. If people feel that they are inequitably rewarded, they may be dissatisfied, reduce the quantity or quantity or quality of output, or leave the organization.

If people perceive the rewards as equitable, they probably will continue at the same level of output. If people think that rewards are greater than what is considered equitable, they may work harder. It is also possible that some may discount the rewards. Criticism of the theory Equity theory has its own criticisms. One criticism of both expectancy and equity theories is that they focus primarily on psychological processes involved in work motivation, providing little explicit theory and guidance for explaining the role of contextual forces (Katzell & Thompson, 1990).

Critics argue that a number of ‘demographic and psychological variables’ affect people’s perceptions of equality. In other words, what a manager feel is equal may be considered unfair by his employees. Secondly, because much of the research supporting the propositions of this Equity theory has been conducted in laboratory settings, some people may believe that it does not apply to the practical situations. Finally, skeptics have also argued that employees might perceive equity/inequity not only in terms of their relationships with their colleagues, but also with the overall system.

This means that, for instance, an employee may view his inputs and outputs are relatively similar compared to his colleagues, yet may feel that the system as a whole is unfair. People`s perception of equality toward the equity theory cannot be considered as criticism because in organization some input are very important because the manager do according to the nature of the business itself. Employees need to accept the variable, input or the output set by the managers for them because the manager know what the employees need to do so that they can claim the reward as what they did.

For the critics that some people believe the equity theory does not apply to the practical situations it can be counter the criticism by doing the equity theory test at work place. So that, the result produces can be valid and reflect the practical situations. If the employees feel that the system as a whole is unfair because he view his inputs and outputs are the same, the organization need to review and tells the employees what types of input or outputs that the company look for in order the employees can be rewarded. Having a good system of measurement to measure the input or the output can be best solution for that critic.

Application Air Asia can be an excellent place for someone who looking forward to have a good place for their career development. Air Asia need to apply this equity theory in their management style to motivate their staff and also the top management. If Air Asia management take this and use as part of their management style for sure the staff will be highly motivate due to the equity and fairness among the colleagues. The reward given to the staff will be given only to those who are deserved to get it and they did job on what the management wants from them.

In order to give the reward for qualified employees the management needs to have a good system of rewarding the staff. Before the system is implemented the management itself needs to review on what variable, input or output they need to measure. They cannot look only what the employees have because in each department certain criteria they need to have. For example, in the customer service department the qualities that the employees need to have is polite and friendly manner to handle the complaints from the guest. So, those criteria will be evaluated by the supervisor of those departments toward the employees.

In order to recognize which criteria are necessarily in each department on site test need to be done. The management can hired evaluator from outside or inside Air Asia to evaluate and recognize which criteria are needs. This will help the Air Asia management to reward their staffs and crews and also reduce the critics that the system is unfair. Those staff and crew know what they must have in order for them to be rewarded. Leadership Leadership is about influencing, motivating, and enabling others to contribute toward the effectiveness and success of the organization they serve.

Leaders apply various form of influence particularly persuasions and related tactics that will build commitment so that the followers have motivation to achieve the goal. Not only that, leader need to arrange the working environment as it will help the employee to achieve the goal easily. Transformational leadership is a type of leadership style that leads to positive changes in those who follow. Transformational leaders are generally energetic, enthusiastic and passionate. Not only are these leaders concerned and involved in the process; they are also focused on helping every member of the group succeed as well, Burns, J.

M. (1978). In Leadership books written by James Macgregor Burns they define transformational leadership theory in which the leadership with values and meaning, and a purpose that transcends short-term goals and focuses on higher order needs. Transformational leaders raise the bar by appealing to higher ideals and values of followers. In doing so, they may model the values themselves and use charismatic methods to attract people to the values and to the leader. Burns’ view is that transformational leadership is more effective than transactional leadership, where the appeal is to more selfish concerns.

An appeal to social values thus encourages people to collaborate, rather than working as individuals (and potentially competitively with one another). He also views transformational leadership as an ongoing process rather than the discrete exchanges of the transactional approach. Bono and Judge (2003) conducted a field study and a laboratory experiment showing that transformational leaders encouraged employees to set autonomous rather than controlled goals, resulting in more positive attitudes and higher erformance Transformational leadership may be found at all levels of the organization: teams, departments, divisions, and organization as a whole. Such leaders are visionary, inspiring, daring, risk-takers, and thoughtful thinkers. They have a charismatic appeal. But charisma alone is insufficient for changing the way an organization operates. For bringing major changes, transformational leaders must exhibit the following four factors; inspiration motivation, intellectual stimulation, individualized consideration and also idealized influence.

Even though this theory can be found and use well wide in organization it still have its own criticism the first criticism according to Management Study Guide is transformational leadership makes use of impression management and therefore lends itself to immoral self-promotion by leaders. Second criticism was the theory is very difficult to be trained or taught because it is a combination of many leadership theories and the third criticism was follower might be manipulated by leaders and there are chances that they lose more than they gain They are counter-criticism toward the critic thrown towards transformational leadership.

For the immoral self-promotion by leaders or in other words misused of power by the manager. This can be overcome and reduced by mixed the transactional leadership together with the transformational leadership. According to Bass, the transaction need to be monitored and devise the ways of not only setting limits to its use but build into the theory check mechanisms for when the manager gets out of control. To counter the second critic, the theory itself is combination with many leadership theories. So maybe the manager can give priorities in which one of the leadership theories that have in the transformational leadership theories.

This will make the training and teaching of the theories become easier. And for the last critics the managers it needs to be evaluate by the employees. The employees need to give evaluation toward their manager whether their manager was a servant leader or autocratic leader. This will overcome the problem where the employees being manipulated by the manager. Application Air Asia can be a world class low fare airlines if they manage by good leader. A good leader can motivate all their staff and crew to be always stayed in high motivation.

Having motivated employees will drive Air Asia to be leader in aviation industry. As Air Asia can be considered as a new airline and hence the management needs to develop a new leadership style to drive the company and the staff so that Air Asia can be drive forward. By applying the transformational leadership theory in the company the company lead by Dato Seri Tony Fernandez can give positive changes to the staff that follow under him. Tony Fernandez is a leader that are passion and energetic to bring new faces to Air Asia.

So in order for him to motivate and lead Air Asia staff he needs to put priorities in his style of management. So that, other people can follow his vision and mission. If he using too much style in his leadership, other people can follow what he do because it hard for his staff to be train and taught so many leadership theories in a short time. Beside him the only one who evaluates the staffs, he also needs to evaluate by the staff. This to ensure that the employees are not manipulated by the manager. The evaluation toward the manager is a good way to ensure whether tony Fernandez is a good leader or not.

If the evaluation show a good figure it show that Tony Fernandez manage to lead Air Asia and at the same time motivate the staffs to follow his lead. CONCLUSION For starters, in order to reach a high level of leadership, you need to have a strong sense of self-motivation. Success does not come rolling, but rather when people know they want and decide to get it no matter what. In order to become a leader in your selected field, you need to have the motivation to be the best. You need to know what you want, and have a strong desire that makes you willing to do anything in order to get it.

But once in a leadership position, motivation will begin to play a different role in your life. While it takes personal motivation to reach a status of leadership, it requires an ability to motivate others to be successful in that position. Leaders are people who can inspire others to take action for a common goal. The problem that most people have is getting people to be passionate about the goals that they are hoping to achieve. The most successful leaders are those who are able to clearly show their vision into the minds of others. When others can clearly see that vision for themselves, they will egin to have a strong desire to achieve that goal. When those who depend on you for leadership are inspired to achieve that purpose that you are aiming for, you will be a successful leader, and your goals, no matter how large, will be reached. To get people motivated and inspired to do their best to reach the common goals, you need to make sure they have a personal attachment to the outcome. And when people do not have a personal benefit that they can pursue, they will have a hard time having the commitment to do what you want them to do.

However, when your people have something to get excited about, a real passion or a personal benefit that they would love to realize, they will have their own sense of motivation and therefore your job as leader will have been a successful one. Know what other people want and show them the way to get it. This is the way to get people to take action on their own accord. Understanding the relationship between leadership and motivation will give you the power to collaborate with motivated individuals to accomplish your vision.


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