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Alderfer's ERG theory


Block Diagram of Alderfer's ERG Theory


 Alderfer's ERG theory contends there are three basic needs an employee seeks to fulfill. As each need is fulfilled, it serves as motivation to fulfill a different need.

ERG stands for existence , connection , relatedness and growth, and these are outlined as:

  • Existence - the need for basic material existence, like physiological health and safety
  • Relatedness - the need for interpersonal connections, social status and recognition
  • Growth - the need for personal development, including creative and meaningful work

As every  need would like  is met, another would like may be glad & need could be satisfied. In fact, at any point, several could be satisfied. Similarly, Maslow believed that there are five basic human needs:

  • Physiological needs
  • Safety needs
  • Belongingness needs
  • Status needs
  • Need for self actualization

The difference is that Maslow believed that only one need could be satisfied at any given time. As a lower-order need is met, like getting a new job, work begins on satisfying a higher-order need, like getting a promotion.

If a lower-order need such as health is no longer satisfied, like being diagnosed with a long-term illness, the status of having a promotion is no longer important. A swift move down the hierarchy is necessary to work on satisfying the physiological need to heal.

In accordance with the Maslow's Theory


✱ Existence (E)

→Our basic survival needs as humans

Example: food ,air, water, shelter, good health ,feeling safe.

✱ Relatedness (R)

→Our need to belongingness 

Example: Friends, relative, work.

✱ Growth(G)

Our need to self discovery ,personal development, to be creative and perform meaningful work.

Critical Evaluation of ERG Theory:

ERG Theory is pragmatic in its approach, as it takes into consideration the individual differences among people. Individual differences in terms of education, family background and culture can alter the motive strength , the perceived need factors. The theory is more appealing, intuitive and logical than Maslow’s Need Hierarchy Theory. Despite such advantages, the theory does not offer any clear-cut guidelines.

It just indicates that people get motivated to behave in a particular way to satisfy one of the three sets of needs, i.e., the need for existence, the need for relatedness and the need for growth. Moreover, the theory is yet to be backed by adequate research.


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