1. Introduction
The rising requisite of the management is to get the full ability out of your work force by delivering them
the skills and by correct suitable drilling motivation and suitable appraisals, and this could only be
attainable when the employees are presenting efficiently and up to the mark of attaining the
organizational goals and objectives. The management is getting attentive of better perceptive the
increasing needs of and employee and using different methodology and strategies ,to overpower this
gap through the most effective approach and that is reward system. To administer performance of an
individual or a group is that the management should have the dexterities to prepare them in peace to
achieve the organizational goals and the best way is to give them a upliftment in something and it could
be a monitory upliftment or some kind of recognition among others. Different organizations apply
different approaches according to their relevant environments, some may get swayed by more skilled or
old employees and in reaction to that give a low performance behavior on the other hand at some point
the organization makes reward system so robust that it gets out of hand for them to control the
organizational goals themselves. Consequently, the management performance system is a equilibrium
between the implementation of an employee and the reward he/she gets from achieving the goals of the
organization according to its operation.
According to Paul J stonich (1981) “Enterprise frequently discovers challenges to carry out their
stratagemsbecause theyhave managerial compensationsystemthat compute andrewardperformance
in a way that disregards or even exasperates deliberate thinking, planning, and action. Especially,
rewardssystem seldomaccentsthe longneitherrun effectively ,norare they well harmonized with the
procedures and objectives of other management systems”. Therefore, there are enterprise that only
stressesuponthe rewardsystemand overlook theirtactical work hence,the strategicplanof actiongets
overlooked so as it disturbs the long run reward system and organizational goals, objectives as well.
Rewards Systems confirms to be as a instrumenttoescalate the performance andchange behaviorsin
disappointed employees.Employeesare the possessions of the organization andtheyare the hands and
brains through which the whole organizational development comes to life. Consequently, a honest
reward system could build job satisfaction and dynamic behavior in an employee.
Reward system in not just about expansion in the salary and bonuses, sometimes it contains both of
these incentives, this also comprises awards and recognition, reassignments, promotions and other
rewardprograms.Rewardsystemisthe prerequisite of the organizationto preserveandhire the longing
employeetoincrease the modestedge insuchacompetitive environment. Reward system influencing
2. the employee workharderandfasterascompare to otheremployee whohasnoreward system in their
organization. Because worker required incentive to works hard and incentive plan under the reward
system. Reward systems not only match organizational culture but also supporting with the plan of
organization.
Rewardscan be categorized astangible or intangible. Awards approved to employees on the source of
tasks accomplished, which encounter or surpass the prospects initially renowned. Secondly, they are
distinct as approval granted in public by asset of achievements widely permitted in the setting of
organizational culture (Stajkovic & Luthans, 1997). Within this probability, it is worth highlighting that
rewardsystemsare calculatedwith the purpose of increasing organizational efficiency, and rewarding
those who accomplish an expectable level of implementation. The vital question is how to define
suitable indicators to ensure the efficiency of teams and to quick motivation without producing
dysfunctioninthe measurementsystemandactionthathas little effect .AccordingtoZanelli (2004), the
reward system of an society has consequences on motivating work when workers are rewarded in a
tangible way(cashbonuses, salary increases) or intangible (praise or public recognition) because they
have confirmed behaviors reflected suitable for the organization. The main encounter of an effective
reward system is connected to explaining standards on how the reward should be distributed among
people.The use of standardsof differentiationthatpeople considerare fairand the steadiness of these
benchmarks with the situation of the organization are essential for there to be commitment to the
company and the work to be performed.
One of the vital objective in any organization is adjusting the modifications of markets and
employees requirements. Consequently, the managers have enormous responsibilities to enhance
and organize these relations to act intensely in the market in which the planning and the constitution
of organizations have altered a lot. Hence, the managers must accumulate their strategies to these
modifications to set objectives, visions and expected outputs as well as reaching enough proficiency
and efficiency. To reach this objective, they must contemplate about employees and the way to
communicate with them .
Certainly, the employee of any organization is the vital notion to pay devotion to in the human
resource monarchy . Therefore, they are expected to form the crucial part of the human resource
planning that managers accepts in their organization. For example, when the line managers count
rewards in their human resource approaches, they should formulate a appropriate rewarding system
3. for their organization. Similarly the skill of rewarding can give new defying rewarding strategies to
the organization. Though r, these strategies are required to be authorized by the line managers to
perform them. In effect, human resource significance is stronger for line managers nowadays and if
they do not note the novel policies, it produces some unconstructive outputs.
Rewarding has been initiated to be one of the vital organizations strategies which can uplift the
functioning of workforce and enhance the outputs of organizations. Certainly, with the prevailing
international economic development, many employers have understood this circumstance that
efficiency is needed for their organizations to participate intensely and also their employees output
is compulsory in determining the organization accomplishments. Instead, employee’s concert, as a
outcome of the expansion and the growth is essential for any organization.
Reward System And Its Impact On Employee Motivation
An essentially motivated individual, according to Ajila (1997) will be dedicated to his work to the degree to
which the job innately contains tasks that are rewarding to him or her. And an extrinsically motivated
person will be dedicated to the extent that he can gain or receive external rewards for his or her job. An
individual should be motivated in a work situation there must be a need, which the individual would have
to observe a possibility of satisfying through some reward. If the reward is intrinsic to the job, such desire
or motivation is intrinsic. But, if the reward is express as external to the job, the motivation is described as
extrinsic.
Good compensation has been found over the years to be one of the strategy the organization can
embrace to enhance their workers presentation and thereby enhance the organizations productivity. Also,
with the current global economic inclination, most employers of labour have comprehend the fact that for
their organizations to compete positively, the productivity of their employees goes a long way in shaping
the power of workers productivity to motivate them began in the 1970s. So many people have carried out
researches in this area, some of which are Oloko (1977), Kayode (1973), Egwuridi (1981), Nwachukwu
(1994), Ajila (1997).
The functioning of workers has become crucial due to the i escalating concern of human resources and
personnel experts about the level of results acquired from workers due to underprivileged remuneration.
This approach is also a social concern and is very vital to recognize the issues that are present in
industrial surroundings due to non-challenging approach of managers to administer their workers by
4. rewarding them well to increase their productivity. All hard work must be geared towards just beginning
workers interest in their job so as to make them happy in giving their best to their work, this will ensure
industrial harmony. In view of this, this study attempts to recognize the influence that rewards have on
workers performance in order to address problems occurring from motivational approaches in
organizational settings. For some reasons most organizations use rewards external to the job in inspiring
their workers.
Vroom (1964), authenticated the statement that workers incline to work more effectively if their wages are
linked to performance which is not depended on personal bias or prejudice, but the purpose of evaluation
of an employee’s value. Although many techniques of measuring job performance have been devised, in
general the exact technique selected for the different type of work. All these issues c make an efforts,
so as to bring to focus how an appropriate reward can cheer up or inspires the workers to develop
positive approach towards their job and thereby increase their
Efficiency. Perhaps the best means of acknowledging the workers motivation is to ponder the social
meaning of work. In this regard, short-term goals and long-term goals of employees and employers may
affect productivity. Therefore, giving consideration to the manner in which rewards given to workers are
apparent is more likely to pretentious that reward means the same thing to all. Rewards that an individual
receives are very much a part of the understanding of motivation. Study has recommended that rewards
now cause job motivation and satisfaction, which leads to performance.
The practicing of Reward Strategy
According to Armstrong (2000, pg.232), reward strategy is the strategy that gives exact directions for the
organization to increase and devise series which will certify its rewards the performance result supporting
the achievement of its business goals. Vicki (1994) agreed that reward strategy gives particular direction
to how the company will device its individual reward programs. As defined by Gomez-Mejia and Balkin
(1992) in Armstrong (2000, pg.232), a reward strategy is: prêt ermined consumption of the pay system as
an important incorporation mechanism through which the efforts of different units and individuals are
focussed in the line of achievement of an organization’s strategic objectives.
Many studies have revealed positive outcomes on the consequence of reward constitution on the
performance measure. Sarin &Mahajan (2001) arrives with a few proposition on how the
5. rewards constitution inspires the team performance. The performance magnitude which are
not pretentious evenly by the reward constitution should motivate the specialised person to
reconsider some currently accepted theories and practices. This denotes that appropriate reward
strategy improvement is indeed very crucial to each and every organization. In the meantime
Lee and Wong (2006) have identified that reward does have an influence on the company’s
improved performance. Additionally, Paul (1981) proposed that a reward strategy can point out
the vital section of an organization, and directing its future course Thesedays, a different and
more adaptable method is required in meeting varying lifestyles as well as the demands of
today's young professionals .
(The Star, 2010). Current trend as reported by Woods (2010) reveals that the financial sector has
alter the mix of pay, exchange their reward focus from short-term incentive schemes to long-
term incentives scheme, according to a global survey by Mercer. They are varying to direct more
on balanced, risk-adjusted performance measurement and deferment of bonus payouts over a
multi-year span of time.
The Total reward approach
Total reward could be used to handle and encourage people by carefully understanding the
comparative importance placed on the various feature of the reward scheme and implement the
well-designed total reward strategy efficiently. According to Armstrong and Stephens, (2006,
pg.7) total reward is the arrangement of both the financial and non-financial rewards made
accessible to the employees. As defined by Manus and Graham in Armstrong and Stephens
(2006, pg.13), total reward consists of all type of rewards, direct and indirect, as well as intrinsic
and extrinsic. Each part of rewards is being combined together as an incorporated and logical
whole. In the meantime, World at Work (2007), a global human resources association in US with
main objective for compensation, benefits, work-life and integrated total rewards, has describe
total rewards as all of the gear existing by the employer that may be exercise to attract,
encourage and keep hold of talented employees.
6. It includes the whole thing that the employee interpret to be of worth in their employment
relationship. Devising a total reward strategy that will make sure a well-integrated and cost-
efficient method to recompense employees is possible. The system will make sure that the
factors compensation costs is unsurprising and convenient, as well as employees have clear
understanding about the links between their efforts, efficiency, and performance outcomes and
between company outcomes and their reward opportunities (Vicki, 1994). The theory basis of
total reward includes Maslow’s need hierarchy theory, Alderfer’s ERG theory; two-factor theory
put advance by divides job-related variables into hygiene factors and motivators, Expectancy
Theory, as well as Adams’ Equity Theory. In addition when total reward strategy is to be
approved, it must guarantee that employees’ various demands must be well measured, and all
these theory will assist the organization attain its outcome.
Since the year of 2000s, many revealed that the primitive pay reward system has been slowly
modified into total compensation scheme. This is mostly due to the development of new mind
set of a new class of worker known as the Generation Y born between 1978 and 1988, who
determined on their own desires and wishes (Bowen, 2000). Correspondingly, John (2001) who
identify this is as new pay aimed out its affect of continuing having a span of control attitude in
today’s praised and more self-directed surroundings, where it will restrain alteration and
moderate the organization’s efficiency. These novel experiment in employees significantly
influence the rewards and compensation constitutions and expenses, as well as lined up of
human resource management with the organization outcomes.
To preserve strong competitiveness in current era, every organization especially the small and
medium business requires completely to identify with the power of reward strategy and
therefore it implements effective reward system. Reward systems exist transversely in every
organization and in the industries, but the procedure of growth of the reward strategy is diverse
depending on the role and size of the organization. Moreover, reward system play a role to a
same ultimate goal even though the size of the businesses is changing g in the industry. In the
7. meantime, the responsible personnel play a vital role as they are the brains in controlling an
effective reward for achieving their company’s ultimate mission and vision .
Managing Performance through Reward System
The key persons who forecast the performance Management in a service and organization in the
nearly all type of business organizations. The strongest forecast was found to be company
satisfaction, the degree to which one's job takes advantages of talents and abilities ,and the extent
to which the organization highlight doing things right the first time. A work surroundings should
be conducive to a nonstop learning culture was also found to be extremely linked with
performance management. The increasing wants of the management is to get the optimum
utilisation of work force by giving them the skills and by appropriate coaching; motivation and
accurate appraisals, and this might only be possible when the workforce are performing
effectively and up to the mark of accomplishing the organizational goals and mission. .The
management is getting informed of better understanding the mounting needs of and employee
and using different techniques and strategies, to conquer this space through the most efficient
strategy and that is reward system.
To control functioning of an individual or a group is that the management should have the ability
to guide them in agreement to accomplish the organizational goals and the best way is to give
them a increase in a bit and it could be a monitory lift or some kind of acknowledgment among
others . Various organizations operate diverse strategies according to their respective
surroundings ,some may get inclined by more skilled or old employees and in reply to that give
a low performance behaviour on the contrary sometime the organization makes reward system
so strong that it gets out of hand for them to control the organizational goals themselves. Thus
the management performance system is a equilibrium between the performance of an employee
and the reward he/she gets from achieving the goals of the organization according to its
delegation.
8. According to Paul J stonich (1981) “corporation frequently find it hard t to implement their
policy because they have limited reward system that ascertain and reward performance in a way
that look out over or even put off strategic thinking, planning, and action. Exceptionally rewards
system infrequently accent the long neither run effectively, nor are they well synchronized with
the procedure and objective of other management systems”. There are corporate that only
expected upon the reward system and overlook their planned job subsequently, the deliberate
plan of achievement gets ignored so the influence of ignorance concern in the long run reward
system and organizational goals, objectives as well.
ARNE L.Kalleberg, Karyn A. Loscocco; (Aging Values and Rewards, 1983 ) “by far most
extensively accessible description age difference in job satisfaction centre upon characteristics of
the job itself: older workers are more satisfied than their younger corresponding person because
they actually have Improved or greatly rewarded jobs”. More knowledgeable job holders take
pleasure in better job rewards evaluate to the less experienced which becomes a cause of
dissatisfaction and depleted performance .Rewards establish to be as a instrument to enhance the
presentation and alter behaviors in dissatisfies employees. Employees are the assets of the firm
and they are the hands and brains throughout which the complete organizational procedure
comes to life. Consequently a fair reward system could construct job satisfaction and creative
behavior in an employee.
Performance management is the continuous process of recognizing, computing and developing
the performance of individuals and teams and support the performance with the planned goals of
the organization .performance management is a process of recognizing the need of an employee
or a group and facilitate them to appreciate and develop their ability through better guidance and
performance management that will lead towards achievement of organizational objective.
Reward system in not just about increase in the salary and bonuses, s at times it contain both of
these incentives, this also contains awards and recognition, reassignments, promotions and
9. different programs. Reward system is the need of the organization to keep and employ the
longing employee to increase the aggressive border in such a competitive surroundings. Reward
system helps in encouraging the employee work harder and faster in comparison of other
employee who has no reward system in their organization. Because worker wants encouragement
to works hard and incentive plan under the reward system. Reward systems not only match
organizational culture but also line up with the strategy of organization.
Reward system should be objective oriented, employee expansion, proficiency measures, and
team work. This will decentralized the decision making downwards the pecking order to
authorize those performing the tasks. This will interpret into better reward scheme and better
confidence among employees. In sequence to create a competitive frame, many organizations are
now doing more with less employees, It is very important that people are rewarded for using
efficient and moral problem-solving and decision-making traits. Every organization has its own
society and reward system. Similar reward system does not exist in another organization system
because business plannings are different and aim of organizations are also different.
Consequently, organizations must be conscious of using reward system that better suites the
organization culture to enhance the employee performance.
The reward system work as a tool for taxing the capability of an employee needed for the job
and could estimate of checking the readiness to follow the organizational aim and so make an
occasion to select the suitable aspirant for the job. Compensations available by an organization
give an benefit to it s performance and for recruiting and retaining employees.
REWARD SYSTEM FOR EMPLOYEES
An employee reward system consists of an organization’s integrated strategy, procedure and system
for rewarding its employees in peace with their involvement, skills and capability and their market
value. It materializes within the structure of the organization’s reward beliefs, strategies and policies.
The reward systems of employees has activities in the form of progression, routine, structures, which
will supply and continue suitable types and levels of pay, benefits and other forms of reward. The
reward system comprises of financial rewards that can be fixed and variable employee benefits,
which together consists of total compensation. The system also includes non-financial rewards
Acknowledgment, praise, accomplishment, responsibility and personal development) .
10. An organization’s reward system is the way by which it motivates and de-motivates certain traits of
the employees. The most vital tool of the reward system contains salaries, bonuses and benefits . The
reward system as a means to support the novelty by workforce is a absolutely emotionless but
nevertheless effective management technique. Once the members of an organization understand that
they will be rewarded for such tasks, they are more likely to work resourcefully. The proposal to
offer financial and non-financial rewards to people and groups who enlarge the innovative ideas is
vital for organizations. But it is equally important to evade gruelling creativity when it does not result
in highly successful innovation. Reward systems are compulsory because they give inclination to
service over self -interest. It also means there need to be an reasonable in distribution of wealth.
Purpose of Reward
Reward system is very significant in any organization as the development that is in charge of human
behaviour within an organization. It helps to authenticate not only productivity in relation to current
objectives but also encourages the possibility of people unification and remaining in an
organization. It also outline the degree to which effort is directed in the development of the
organization future capacities. If correctly planned or monitored, reward systems can direct to
fascinating behaviour for a enterprise. On the other contrary, if incorrectly planned or monitored,
reward systems can lead to the firm decline of an organization.
Every company is in rivalry with other companies in similar businesses or in other businesses for
employ and retaining productive employees. For example, two professional sport organizations may
seek good aspirant for front-office jobs. Two fitness clubs may require good accountants. The
managers in these situation must keep in mind that the probable candidates are employable in
different types of organizations. An accountant may locate profitable jobs with a construction
company, a law firm, a hospital, or a university. Consequently, the managers must guarantee that its
reward structure is correspondent to the market rate. An effective reward system shall allow
competitiveness with those of the other firms seeking a particular kind of capability and talent which
is more outstanding to potential candidates.
11. According to Lawler Company, managers can plan reward systems to reduce absenteeism by
combining bonuses to levels of attendance. This process is particularly positive in compensation for
low job content and poor working conditions that cannot be enhanced. In addition, some of the jobs
in facility management companies may be simple and routine and therefore may lack motivational
style. The facility manager may try to decrease such absenteeism by combining certain rewards to
attendance. For example, the manager may set a policy of giving a monetary bonus or extra days of
paid leave for an ideal or near-perfect attendance. Company’s effectiveness is amplified through
workforce output that in turn can be executed by an effective reward system. Porter and Lawler
suggest that the combining between performance and reward (that is intrinsic and extrinsic rewards)
is a strong factor encouraging performance.
The RelationshipbetweenDemographics Elements and Performance
The High Performance Work System (HPWS) and Job Satisfaction are two main everyday spoken
focuses. Actually, organizations use HPWS to develop employee’s presentation, satisfaction n, and
productivity. Currently HPWS has been functional as a new approach for prolific organizations and is
considered as a kind of human resources management , which expands the organizations efficiency.
Most Of the organizations tried to figure out about the association between HPWS and different employee
models, which are correlated to the demographic factors and to examine about its efficiency on the
high performance levels for the organizations. Identifying about job satisfaction and HR matters differs
constructed on demographic elements such as gender, job position, rank, age and region. For instance, in
numerous of the technologically advanced countries, newer workers get pleased from extrinsic rewards
more than intrinsic and in underdeveloped nationalities, oldest employees increase more happiness from
both intrinsic and extrinsic rewards in an equivalent form .
Grounded on deliberations by some of the associates, there are two theories on HPWS the first one is
social exchange theory , which confers the association between job satisfaction and HPWS and is
predictable to allocate future accountability. In this respect, the nature of reoccurrence is not to be
negotiated but must be left to the adjudication of one who makes it. The second theory is about the
12. characters of Herzberg motivation hygiene theory , which confers the fundamentals of job
satisfaction that are dissimilar from the disappointment causing fundamentals
Other conclusions on the effect of demographics on implementation and satisfaction are also
conferred by some researchers. For case, in many companies, female employees are shown to
distinguish various job satisfaction degrees compared to the men and it specifies a prejudice among
gender differences . Moreover, it is substantiated that employees perceptive of the organization
values, demographic factors and job security, impacts the turnover rate .
The Relationship between Rewarding and Performance
Rewarding is essential as an incentive and an unbreakable motivator to realize the organizational
performance. In addition, today, it has been adopted by different organizations in both public and
private sections. In downsizing, for instance, doing more with reward is very important to elevate
self-esteem and to establish kindness between managers and their employees (Bowen, 2000). On
the whole, the employees‗ insight into the reward practice clarity depends on two factors:
complexity and communication. In other words, the requirement for a clear reward system includes
having an obvious communication of the offer and concentration on the rewards as well as the
concerns about comprehending the methodologies, targets, and measures applied while
introducing rewards. In this case, the employees need to know the relationship between the firm‗s
goals, their supply, and the way they are rewarded; and ambiguity in this regard will decrease the
motivation rewarding value (Gibbons, 1998). Pertaining to the reward discussion, Ivana, Lovorka,
and Nevenka (2009) discussed that rewarding must please an open and full obvious regarding
awards. On the other side, communication of the rewards‗ accessibility, the criteria for getting
satisfied, and the award recipients recognition should be accessed by rewards (Ivana et al. 2009
The Relationship between Monetary Rewards (Extrinsic Reward) and Performance
Extrinsic rewards are external to the job and comprise factors like fringe benefits, pay, promotions,
the social climate, and job security. Other instances are modest salaries, bonuses, pay hikes, and
indirect payment forms as compensatory time off. Extrinsic rewards are frequently functional to
establish that the enterprise is thoughtful about escalating group contributions to fineness. In this
respect and as a subcategory, the monetary rewards include cash as advantage paid to team members.
As a matter of fact, the advantage is paid distinctly from the wage and salary. In contrast, team
13. rewards should be used in a way so that managers can evade abolishing operates intrinsic motivation
in doing their jobs. Certainly, the request of extrinsic rewards which are strongly connected to team
implementation and can teach the members to become famished to money and to finish their
intrinsic interest in the job. Extrinsic rewards also need worker confidence and the circulation of
these rewards always has appeared big in companies particularly in agreement with implementation
evaluations in current globalization eras . Additionally, giving rewards has turn out to be a portion of
enterprise policies as it has been shown to improve workforce working and the enterprise efficiency.
Based on all current works and by concentrating on the relations between all of the results, one can
comprehend that an suitable compensation model includes monetary rewards, will source a higher
concert and productivity for the firm. This compensation comprises of both extrinsic and intrinsic
rewards. Several types of financial incentive systems are present. Some directly provide the
employee with hard cash. Bonuses based on productivity against budget, quality or other benchmarks
may be used as instant financial incentives. Management rewards by bonuses have become admired
in some companies as a mode of offering a employees with an instant buster for completion of a
activity. Mainly companies exercise financial compensation plan to encourage their employees like
Sales challenge are short term incentive plans that can be an effective encouragement device if they
are carefully and precisely calculated
A sales challenge should have a exact purpose, such as to growth in sales in short term sales of slow
moving products or getting new customers. The plan of the sales challenge should take into thought
the following points-each salesperson has an equal opportunity to earn, use sales quotas and select
either open ended in which unlimited number of salespersons can earn. Additionally to the above,
closed ended challenge could be use in which there are limited number of salespersons winning the
contest. reward should be lucrative, each constitutes of cash prizes. At least 10 percent of the budget
should be spent on sale contest, so there is an enthusiasm in the company. Precision should be taken
in order that employees do not use unwanted means such as using pressure strategy to accomplish
their targets. In order to reduce the unwanted method is not to announce the contest period in
advance.
Sophisticated executives of the majority companies have detach compensation programs and plans.
These programs are likely to reward these executives for their productivity and for the results of the
company. The higher executives accumulate their compensation in two forms. One is a base salary as
the case maybe. The base salary is a fixed amount that the employees will be paid. Over the base
14. salary, the majority executives also pick up one or more forms of incentive pay. The standard manner
of incentive pay for executives is in the shape of bonuses. The bonuses in turn are generally establish
by the accomplishment of the company. Therefore, at the end of the year, some part of a corporation
profits may be preoccupied into a bonus pool. Senior executives then receive a bonus articulated as a
percentage of this bonus pool. The chief executive officer and president are it seems that likely to get
a larger percentage bonus than a vice president. Additionally to salary and bonuses, many executives
entertain other kinds of compensation as well this could be in the form of stocks.
The Relationship between Non-Monetary rewards and Performance
Non-Monetary rewards may consists higher status, recognition, more responsibility, positive
feedback, and more confidence . In retrospection, acknowledgment is one of the main important non-
monetary rewards that are exactly valued by some workers. Parenthetically, being observed and
valued can be a royal motivator which inspires workers to halt with a manager .
Though the extrinsic rewards improve a survival level, the intrinsic ones are strong motivators just as
much. Actually, employees need to be motivated by intrinsic rewards such as being gratified by
doing an actual job and a feeling to do something valuable and meaningful. Though, both extrinsic
and intrinsic rewards inspire the employees to have higher levels of performance and efficency.
Organizations with optimistic goal could make accessible a outline within which high levels of
motivation could be achieved through non financial reward systems by the prerequisite of scenario
for learning and development. But personal management skills still have a significant role to play in
arranging their own motivating skills to acquire individual within their organization to give their best
accomplishment by to making good use of the motivational systems and processes provided by the
company.
Acknowledgment is gratitude of accomplishment by the organization of an act done by the team or
team member. commonly, it is some time uttered as “I caught you doing something right.” It is an
method of explicit appreciation for the special effort done by an workforce within an organization.
Acknowledgment has two essential goals to motivate the employees or team to replicate or maintain
15. the behavior and to motivate others employees to do the same. Most team acknowledgement tactics
fall over into celebrating organizational objectives usually as an event, intended to recognize the
successful completion of crucial company goals. This is to produce a superior consciousness or to
prompt people of the value of the goals accomplished within the company. For example, a division of
large telecommunications company held an all hands meeting at an off-site facility to rejoice the
achievement of their goals. Acknowledgment either informal or formal has been the most lucrative
way to reinforce necessary actions for productivity within an organization.
Feedback in specific positive disapproval is essential for the expansion and development of the
employee. Negative fortification such as demonstrating mistakes and intimidating employees with
job loss, causes employees to regulate their behavior just sufficient to shun punishment. It may get
to make a positive consequence at the job but it won’t produce eagerness. Negative strengthening
create responses like “That’s not my job” or “I don’t know.” On the contrary, periodic positive
accomplishment reconsider make extra attempt on the part of the employees. Positive feedback
encourages the employees to perform as a team.
According to Herzberg, managers do not encourage employees by awarding employees higher
wages, additional benefits . Somewhat, employees are motivated by their own intrinsic wants to
achieve something at a stimulating task. The manager’s job then is not to encourage employees to
get their tasks accomplished slightly the manager should provide chance for people to acquire their
task so that they will become encouraged. Affecting employees through a multiplicity of jobs,
departments or functions is specific an outstanding method to interpretation the employees to
challenging task. This is very proper to employees who have been on a job for a long time and are
no longer challenged by the job but rather who have a strong requirement for activities . By open-
handed the chance to change jobs, the manager has absolutely uncovered the employees to new
confront and it will facilitate the employees to put in their best in order to meet up to expectations.
Ittner and Larcker 1998b, 220). (1997) determined the factors of the use of nonfinancial
measures in CEO compensation, but did not examine the performance thought of such
compensation plans. To restrain the overhead expenses of the organization it is must for the
management to keep a balance of financial issue and it consist of the rewards as well. As a result,
16. non-financial tool should be set up and reward should be available to The workforce so that
functioning could be uphold while expenses are also on hold.