Definition of Erg Theory

ERG theory is proposed by American psychologist Clayton Paul in 1969 which ranks human needs in a hierarchy. ERG theory is the extension of Maslow’s 5 need theory whereas this theory categories human needs into 3 categories. ERG theory classifies human needs into the lower level and higher-level needs according to the value.

This theory has 3 difference from Maslow’s theory;

1. it allows individuals to follow different need levels at a time.
2. it allows different people to choose different levels as per their need. A level is chosen by the value each need provides to different people.
3. when the higher level of need is not fulfilled, a person can revert to lower level of needs that are relatively easy to choose.