ABSTRACT
Reward
system can be seen as a means of actively engaging and the renewing the
employee’s sense of community and mission of an organization. In this view, an
effectively administered system of rewards can provide incentive for quality
workmanship and performance. Reward system and management is one important
Human Resource Management strategy for attracting and retaining high quality
employee as well as facilitating them to improve performance.
This
study adopted survey research design. The target population
comprised of 3105 staffs of technical/production department in the three
manufacturing companies in Lagos state NigeriaTaro Yamane’s formula was used to
determine the sample size of 459 respondents. A structured questionnaire was used to generate
data .The questionnaire was adapted with Cronbachs Alpha test for the
constructs of the variables ranging from 0.887-0.908,respectively.Data
were analyzed usingdescriptive statistics (Frequencies, percentages,
inferential statistics (regression).
The
findings revealed that there was a significant positive relationship between sense
of accomplishment and employee task performance (R=0.382,R2=0.146,p=0.000<0.05).
Recognition&appreciation has asignificantpositive effect on employee
contextual performance (R= 0587,R2=0.345,p=0.000<0.05).salary&wages
has nosignificant positive effect on employee’s counterproductive behaviour (R=0.043,R2=0.002,p=0.421>0.05).
Fringe benefits has asignificant positive effect on employee’s adaptive
performance(R=0.918,R2=0.843,p=0.000<0.05).
It was concluded that CombinedReward
system variables had positive effect on employee performance . It was
recommended that organizations should ensure that they provide the needed motivation, compensation or remunerate that
will spur employees to act towards improving their task performance. They
should check employees to ensure that they have the required resources to
accomplish a task in record time. The firms
should try as much as possible to improve the work environment so that
employees can act or perform in context. They have to be monitored in order not
to act out of context in the organization.
1.1 Background to the Study
It
is the concern of organizations all over the world on effective human capital
strategies to enhance their productivity. It is clear that employee’s
productivity in the expanding organization is a key factor in organization
performance. Employees, technically known as human resources in modern
organizations, are rightly considered as the most important assets (Ong &
Teh, 2012). In developed countries such as USA, JAPAN, UK and Germany
organizations recognize employees as the important asset that needs high
consideration in promotion (Lawler & Worley, 2006). The rationale behind
the use of rewards to employees is that motivated employees become satisfied in
terms of fulfilling their wants, both financial and non financial. Failure to
do so, employees will be tempted to leave the organization. (Azasu, 2009). On
one hand, employees prefer receiving intrinsic rewards in terms of praise and
recognition for certain work accomplishments, while other employees are happy
with extrinsic reward in terms of salaries, bonus and incentive offered to
employees (Lawler, 2008, Sajuyigbe, Bosede & Adeyemi, 2013).
In
developing countries such as China, India and Thailand also employees reward is
one of highly demanded factors in
influencing organization performance. One of the most important factors
in rewarding employees for organization performance is through recognition and
appreciation (Ajila & Abiloa, 2004).
In
Tanzania like any other country employees are motivated by rewards. There is a
need
for organization to reward its employees for creating a successful competitive
Environment.
This is one of the essential for the organizations to achieve high work
performance. Some employees are highly motivated by extrinsic rewards such as
increase in pay, promotions and bonus, others employees are motivated with
intrinsic rewards such as appreciation, praise and recognition on (Bana &
Kessy, 2007).
Paying
employees for productivity has been the cornerstone of industrial and business
development for centuries. Financial reward has always been important in
managing employee’s performance, but over the last 25 years other elements of
compensation have been developed to provide employers with more scope to
reward, and thus, motivate employees. Performance management influences performance
by helping people to understand what good performance means and by providing
the information needed to improve it. While reward management influences
performance by recognizing along with rewarding good performance as well as
providing incentives to improve it. The rewards that an enterprise apply to
both individual and team performance are critical in determining how affective
the reward strategy will be. Also performance management involves the
value an enterprise workforce could make to the overall business goals and how
it could be groomed and cultivated to add most value to competitive advantage.
This necessitates the need to identify how these
rewards impact employee performance and how well the current reward system does
this, within the chosen manufacturing companies forming the basis for this
research.
The productivity
and success of every organization is highly dependent on its staff (Ali, 2013;
Gabcanova, 2011; Markova & Ford, 2011; Vlachos,2009). Thus maximizing the
overall organisation performance requires an understanding of those factors
that encourages the employees to put in extra effort at work and also in
enhancing their performances (Hafiza,Shah,Jamseheed&Zaman, 2011). Reward
system and management is one important Human Resource Management strategy for
attracting and retaining high quality employee as well as facilitating them to
improve performance (Dewhurst, Gutridge& Mohr, 2010; Ibrar& Khan,
2015).
According to
Anku-Tsede&Kutin(2013) reward system can be seen as a means of actively
engaging and the renewing the employee’s sense of community and mission of an
organisation. In this view, an effectively administered system of rewards can
provide incentive for quality workmanship and performance. Likewise, a poorly
administered reward system can lead to low morale, unproductive performance and
in the extreme cases a high percentage of employee turnovers. Organizations
provide rewards to members in the form of wages and salaries, promotions, long
service awards and certificates, end of the year bonus and other fringe
benefits. These rewards are to motivate behaviour that will contribute to the
achievement of the goals of organizations.The questions that readily come to
mind are, what sort of behaviour does an organization want? How can reward
process promote that behaviour? What motivates an organization to design reward
packages for the employees? Nearly all organizations invest in the provision of
rewards to motivate their employees in order to get the desired results.
According to equity theory, the adequacy of such rewards will to a large extent
depend on the value the employees place on the inputs they bring to the job in
the form of education, experience, training, time, effort etc, with the
outcomes (rewards) such as pay, promotions, praises and recognitions they
receive as a result of performing the job (Fajana, 2002).
Reward systems is a
broad construct that generally represents anything that employees may value and
are willing to acquire in exchange for his or her contribution to work.Chiang
& Birtch (2008).Pratheepkanth (2011) describe reward system to include all
organisation components which may include people, processes, rules and decision
making activities involved in the allocation of compensation and benefits to employees
in exchange for their contribution to the organisation. From both definitions,
rewards can be described as tangible benefits one can receive from engaging in
a specific task. This opinion is reiterated by Torrington, Hall, Taylor and
Atkinson (2011) who argue that although there are few people who claim to enjoy
work for the sake of it, most people work in large part because it provides a
means sustaining livelihood. This implies that people generally are concerned
with the amount of benefits (whether financial or non-financial) attached to
their work. The positive relationship between reward systems (especially
financial rewards) on employee performance has been established in past studies
(Lazear,2000;Osa,2014;Prendergast,1999;Metha ,2014; Saleem, 2011.).
Other commentators
have put forward the notion that non-financial rewards are also important
facilitators of organisational performance with the argument that financial
performance on its own is incapable of effectively motivating employees towards
optimum performance (Babakus, Yavas, Karatape&Avci, 2003; Bason, 2003;
Dewhurst et al.(2009); Perry,Mesch&Paarlberg, 2006; Neckermann&Kosfeld,
2008; Dewhurst et
al. (2009) for instance advanced the notion that non-financial rewards have a
more significant influence on employee performance than financial rewards with
the argument that financial rewards are mostly effective in boosting employees’
energy in the short-term and in most cases can have damaging unintended
consequence. Three major non-monetary rewards reported to have significant
effect on employee morale are: (i) praise from immediate managers, (ii)
leadership attention (i.e. one on one conversation) and (iii) the opportunity
to lead projects or task forces. In addition, Neckermann and Kosfeld, (2008)
identify significant non-financial rewards to include social recognition from managers and
colleagues alike in the form of appreciation for job completed, acknowledgement
and certificates of recognition, were reported to be better drive improved
performance than financial/monetary rewards .
The debate on whether to use monetary or
non-monetary rewards has led to the development of the concept, Total Reward
System. WorldatWork (2011)
defines total rewards as holistic approach that strategically incorporates
several employment factors (such as compensation, benefits and work-life
amenities) in unison, to deliver desired employee attraction, motivation and
retention. Thompson (2002) also defines total reward to typically encompass not
only traditional, quantifiable elements like pay and benefits, but also more
intangible elements such as scope to achieve and exercise responsibility,
career opportunities, learning and development, the intrinsic motivation
provided by the work itself and the quality of working life provided by the
organisation. Kaplan (2007), also sharing this view, define total rewards as a
holistic approach aligning business strategy and people strategy, aimed at
bringing about maximum return and builds up employment brand, all of which
create sustainable competitive advantage for organisations. According to
Armstrong (2007) the conceptual basis of total reward is the bringing together
of the different reward processes (that are interrelated, complementary and
mutually reinforcing) with the focus of stimulating a deeper and long-lasting
impact on the motivation and commitment of employees.
Similarly, Nazir,
Shah and Zaman (2012) describe total rewards as an enclosing of aspects of work
benefits that employees attach value to; whether it concerns provision of
healthy work environment, better opportunities of learning and development or
the benefits package linked to the pay. Hence, an effective reward system
incorporates both the financial incentives (such as pay, fringe benefits and
other money-related plans) and non-financial incentives (such as
vacations/holidays, recognition and appreciations) in driving employee
motivation for improved performances. Given that employees’ morale and improved
productivity go hand in hand, it is therefore imperative for organisations to foster a properly
administered reward system which not only has the capacity to improve the
quality work efforts and employee but also act as a strategic tool for
attracting skilled employees to the organisation (Armstrong & Brown, 2005;
Herman, 2009). Notwithstanding, most organizations are still
finding it difficult to establish an effective reward system that fairly suits
the organizational demands in relation to employee performance and over
organizational profitability (Osa, 2014; Roberts, 2005; WorldatWork, 2011.).
Dewhurst et al. (2009) argue that the
present economic situation has pushed successful companies around the world to
adjust their reward systems – moving from financial to non-financial sensitive
systems; whereas some organizations (to their detriment) are still sticking to
the traditional method of rewards that emphasis bonuses and payment
compensation. Additionally, the findings
that the workers’ needs and desire from work differs from one individual to
another require organization management to develop reward systems that is
tailored towards the individual needs of their staffs (Dewhurst et al.
2009). Nevertheless, as emphasized by
Brian (2006), rewarding and recognizing employee can be a tricky task as there
is no generalized model towards its implementation; arguing that a successful
system in one organization can be a failure in another.
Company Profile
Unilever Nigeria Plc
Unilever
Nigeria Plc. was established in 1923 as a soap manufacturing company – Lever
Brothers West Africa by Lord Leverhulme. Today, it is the oldest surviving
manufacturing organization in Nigeria (Unilever Nigeria Plc. 2016).After a
series of mergers/acquisitions, the Company diversified into manufacturing and
marketing of foods and personal care products. These mergers/acquisitions
brought in Lipton Nigeria Ltd. in 1985, Cheesebrough Industries Ltd. in 1988
and Unilever Nigeria Ltd. in 1996. The Company changed its name to Unilever
Nigeria Plc. in 2001 in line with the global strategic direction of the
business. The Company was quoted on the Nigerian Stock Exchange in 1973 and
with equity holdings of 58.53% Unilever, and 41.47% Nigerian investors, the company
is a true Multi-local Multinational organization with very outstanding
international and local brands in her portfolio. The international brands
include Close-Up toothpaste, Pepsodent toothpaste, LUX beauty soap, Lifebuoy
soap, Rexona, Vaseline lotion and Vaseline Petroleum Jelly in the Personal Care
Unit of the business; Blue Band Margarine, Lipton Yellow Label Tea and Knorr
bouillon cubes in the Foods Unit; and OMO Multi-Active Detergent ,Sunlight
washing powder and Sunlight Dish washing liquid in the Home Care Unit. Other
Regional and local products include the Pears Baby Products range and Royco
bouillon cubes. As at 2015, the organisation currently has over 1,200full time
employees across three core departments: administration, technical/production
and sales and marketing.
Cadbury
Nigeria Plc
Cadbury Nigeria Plc was
incorporated in Nigeria on 9th January 1965 as a company limited by
shares. It became a publicly listed company with its shares traded locally on
the Nigerian Stock Exchange in 1976 (Cadbury Nigeria Plc. 2016). The company is
principally engaged in the manufacture and sales of branded fast moving
consumer goods mostly to the Nigeria market, but also exports to other West
African countries. The company’s brands fall into three principal categories,
namely: Refreshment Beverages, Confectionery and Intermediate Cocoa Products.
Cadbury Bournvita, Cadbury 3-in-1 Hot Chocolate are the main brands in the
refreshment beverage category. In the Confectionery category, the main products
are TOMTOM Classic, TOMTOM Honey Lemon, TOMTOM strawberry and BUTTERMINT.
Lastly, the main brands within the intermediate cocoa products include; Cocoa
Powder, Cocoa Cake and Cocoa Butter.
Nestle
Nigeria Plc
Nestle Nigeria Plc is a
Nigeria-based food manufacturing and marketing company founded in 1961 (Nestle
Nigeria, 2016). The Company operates through two segments: Food and Beverages.
The Food segment includes the production and sale of Maggi, Cerelac, Nutrend,
Nan, Lactogen and Golden Morn. The Beverages segment includes the production
and sale of Milo, Chocomilo, Nido, Nescafe and Nestle Pure Life. The Company
manufactures and markets a range of brands, which include Infant Formula-Nestle
NAN, Nestle LACTOGEN, Infant cereals-Nestle NUTREND, Nestle CERELAC, Family cereals-Nestle
GOLDEN MORN, Confectionery-Nestle CHOCOMILO, Nestle KITKAT, Bouillon-MAGGI
Cube, MAGGI Mix'py and Table Water-Nestle PURE LIFE. Its products include MAGGI
Star Cube, MAGGI Crayfish, MAGGI Chicken, Ginger & Garlic, Golden Beef and
Classic. It promotes food cultures through MAGGI Star Cook participatory
cookery program in neighborhoods, and MAGGI Women Forum, a home management
program targeted at semi urban and rural women.
1.2 Statement of the Problem
Osa (2014) reveals
that several organisations are still finding it difficult to establish an
effective reward system that fairly suits the organisational demands in
relation to employee performance and over organisational profitability and this
position is also shared by Dewhurst et al(2009)
and Roberts (2004).There is a natural disparity between
what people think they should be paid and what organizations spend in
compensation thus affecting employees sense of accomplishment and this is a
challenge employees in organizations face (WorldatWork, 2011). The unsteadiness in the FMCG sector
can throw those who work in it into all manners of psychological conditions
such as feelings of job insecurity, occupational stress, burnout and loss of
sense of accomplishment leading to reduction in their task performance and
overall performance on the job (Iwu
& Ukpere, 2012).
Considering the
importance of reward systems in employee performance of manufacturing
organizations, it is disheartening to note that salaries and wages reward
systems and practices in the manufacturing sector are largely disconnected from
the demands of fairness, prevailing realities and moderation (Ejumudo, 2014).
The environment created by the reward system has the potency of constituting a
cog in the much-desired process of initiating and sustaining motivation by a
team of competent, efficient, goal-driven, proactive and value-adding employees
in the organizations thus leading to counterproductive behaviors which
consequently leads to reduction in employee performance, reduction sales and
profits by the organizations and business failures (Ejumudo, 2011).
According to
Obikeze (2012), a greater percentage of the employees in manufacturing
companies have been major culprits of lateness to work and not keeping
appointment to customers, very unfriendly
and even become hostile while attending to customers, some lose focus
and consequently supply wrong brand of products to customers and these result
in long waiting time for customers to
receive the needed goods and services, and the consequent low
performance as some customers lose patience and consequently take their leave
and even go the alternatives. The poor attitudes of the sales force such as
lateness to work, delayed sales calls, lack of information for customers
problems, could contribute to the low growth of employee performance in
manufacturing companies and these arises from the poorly structured and in some
cases unavailable reward system through lack of fringe benefits to workers,
recognition and appreciation offered by the manufacturing companies to their
employees Obikeze (2012).
Various
organizations staff has shown that they have diverse needs that require a
comprehensive total reward system to meet the needs of various employees. As a
result organizations has been faced with
the challenge of implementing and offering competitive rewards to the workforce
for the purpose of enhancing their performance as the lack of special
recognition to acknowledge outstanding individual or team achievements with
small cash awards, individual performance rewards based on specific employee
performance criteria and stock ownership rewards to professionals who meet
specific goals have been neglected by management in several organizations
(Kawara, 2014). Due to these, the conceptual and adaptive performance of the
employees has been on the decline leading to customer losses as the employees
feel less motivated towards work and organizational profit will decline
(Hafiza, Shah, Jamseheed, & Zamam, 2011).
The ability to attract and
retain effective and efficient employees, as well as keep them highly motivated
has become a great challenge among organizations that has led to reduction in
the employees performance with employers now requiring their employees to do
more while giving less in terms of rewards and employees on their part, are
asking for more incentives with the inability of organizations to strike a
balance resulting in reduced task performance by the employees (Nnaji &
Egbunike, 2015).
The poor productivity of
Nigerian workers has been blamed on several factors, among them is employer’s
failure to provide adequate compensation for hard work and the indiscipline of
the privileged class that arrogantly displays their wealth, which is very
demoralizing to working class and consequently reduced their productivity
(Sajuyigbe, Olaoye & Adeyemi, 2013). Markova and Ford (2011) mentions that
the real success of companies originate from employees’ willingness to use
their creativity, abilities and know-how in favor of the company and it is
organization’s task to encourage and nourish these positive employee inputs by
putting effective reward practices in place.
Lautizi,
Laschinger, & Ravazzolo, (2009) stated that the current level
of satisfaction by employees is quite low and the reward system offered by
organizations play a vital role and this has led to the dismal performance of
the organizations and their inability to emerge from its doldrums. The poor
reward system in the manufacturing companies has also led to the employee
performance rates within the last decade become a nationwide epidemic.
Employees in the organizations no longer feel the sense of loyalty that once
existed and have left employees feeling detached from the organizations lead
the employees to focus more on job hunting rather than increasing their
performance thereby hurting the general performance of the organizations. Muhammad (2014) stated that in today’s business scenario
only high salary and designation is not significant for employees to retain
them in organizations, but others factors also play important role in their
performance improvement, other factors such as recognition and appreciation
systems, sense of accomplishment and fringe benefits has been found to be a
missing vital link that could help achieve increased employee performance but
most organizations lack it and there by their lack of organizational growth.
According
to Zameer, Ali, Nisar and Amir(2014) reward systems in most organizations fail
because they are not usually performance based the lack of proper remuneration system and all these leads to decreasing
employee performances.Wasiu and Adebajo (2014) reveals that most Nigerian
organisations fails to pay adequate attention to the wellbeing of the employees
and in most cases the remunerations they receive is not even proportionate with
the efforts and skills that they put into work and organisational activities.
Akinbowale, Jinabhai and Lourens, (2013) reveals that most organisations in
Nigeria consider the employee as an additional cost (or liability) to their profit
making goal and as such as they do not remunerate them appropriately. Instead
of regarding the employees as the most valuable asset, attention is rather paid
to other organisational resources such as materials, machineries and process of
operations with the underlying drive for the organisations being to improve the
production process with little or no consideration for human efforts. Ajila and
Abiola (2004) describe the attitude of most Nigerian management towards workers
as a social concern and stressed the importance of investigating this problem
at the industrial settings that are resulting in their indifferent attitude
towards reward systems as a means of maximising employee productivity.
1.3 Objective of the Study
The specific objectives are to:
1. evaluate
the effect of Sense of Accomplishment on task performance in selected
manufacturing companies in Lagos state;
2. examine
the effect of Recognition/Appreciation system on contextual performance in
selected manufacturing companies in Lagos state;
3. determine
the effect of salary&wages on counterproductive behavior in selected
manufacturing companies in Lagos state;
4. assess
the effect of fringe benefits on adaptive performance in selected manufacturing
companies in Lagos state and
5. determine
the effect of combined reward system variables on employee performance in
selected manufacturing companies in Lagos State;
1.4 Research Questions
In line with the stated objectives, the
study will answer the following questions:
1. What is the effect of Sense of Accomplishment on
employee’s task performance in selected manufacturing companies in Lagos state?
2. What is the impact of Recognition/Appreciation
system on employee’s contextual performance in selected manufacturing companies
in Lagos state?
3. What is the influence of salaries/wages on
employee’s counterproductive behavior in selected manufacturing companies in
Lagos state?
4. Evaluate
the extent to which fringe benefits affect employee’s adaptive performance in
selected manufacturing companies in Lagos state?
5. What is the effect of combined reward system
variables on employee performance in selected manufacturing companies in Lagos
State?
1.5
Hypotheses
To provide answers to the research questions,
the following hypotheses will be tested in this study:
H01:Sense
of Accomplishment has no significant effect on employee task performance in
selected manufacturing companies in Lagos state
H02:Recognition/Appreciation
system has no significant effect on employee contextual performance in selected
manufacturing companies in Lagos state.
H03:Salary/Wages
has no significant effect on employee’s counterproductive behavior in selected
manufacturing companies in Lagos state.
H04:Fringe
Benefits has no significant effect on employee’s adaptive performance in selected
manufacturing companies in Lagos state.
H05:JointReward
System Variables has no significant effect on employee performance in selected
manufacturing companies in Lagos state.
This study investigated reward system and
employee performance of selected Manufacturing companies in Lagos state. The
researcher would therefore limit the
research to three(3)Manufacturing
companies namely Unilever Nigeria Plc, Nestle Nigeria Plc and Cadbury Nigeria
Plc. Manufacturing companies were selected because reward system is very
crucial to these companies and to also ensure an in-depth examination of the
research focus in each organization such that the results will provide
useful information. The target respondents
for this study are staffs of technical/production department. Population
arrived at based on survey of the selected companies is Eight hundred and
twelve (3105) staff sourced from the annual report of the companies(2016).
Sample size based on Taro Yamane (1967) is 459 including provision for thirty
percent non-respondent. The study adopted simple random sampling. Data were
analyzed using descriptive survey administered through questionnaire which will
be employed to empirically investigate the relationship among variables of the
study.
The study was
carried out in Lagos state because it is considered the nerve centre for
commercial purpose. The study assessed the current reward systems adopted in
each of the organizations and examined its impact on the employee
organizational outcomes. The choice of limiting the study to only three
organizations is to ensure an in-depth examination of the research focus in
each organization, such that the results provided useful information on the
impact of rewards on the measured employee outcomes.
1.7 Significance
of the Study
The
study is expected to increase knowledge and understanding of the effects of
reward system on the performance level of employees in the Nigerian
manufacturing industry. The
study of management would be enhanced as different approaches have been used to
view reward system and employee performance. As such this study would help to
increase the knowledge of both management tutor and students as they would gain
more insight into this study. Industries would utilize this study to formulate
and implement policies that would lead to a fair reward system for private and
public servants and which would improve efficiency and effectiveness in
organizational processes/staff performance. It is also hoped that firms within the
industry utilizes the findings from the current study to formulate and
implement policies that would lead to the implementation of fair reward
systems, aimed at improving individual and collective performances of employees
and in the long run would aid in improving the efficiency and effectiveness of
organisational processes.Employers
are also expected to learn from this study so that they avoid development and
selective implementation of haphazard reward systems through creation of highly
qualified and sensitive human resource departments that would select, train and
equip employees in order to reduce their withholding of effort at their
workplace. The study would be utilized to create more convenient and
satisfactory rewards for the employees in industries and thereby yielding a
higher result in the output .It is also expected that at the completion of this
study, the society would adopt the concept of absolute and sincere reward
system that enables individuals to offer their best in every undertaken to
ensure success and completion of tasks handled. This implies that the study
contributes to the daily implementation of reward systems that enhances the
output and performance of individuals at home and at workplace. The government
of Nigeria through public service commission would use this study to formulate
and implement policies that would lead to a fair reward system.
1.8 Operationalization of Variables
The research work is based on two major
constructs, namely reward system and employee performance, that is,
Y= f (X)
Where; Y
= Employee Performance
X = Reward System
This
implies that employee performance is a function of the reward systems. The
evidence from the literature represents the platform used for the selection of
both dependent (Y) and independent (X) variables used in the study. The reward
systems was designated as the ‘X’ constructs while, employee performance is
presented by ‘Y’ construct. In addition, the employee organisational outcome is
operationalized as;
Y
= (y1, y2, y3, y4)
X
= (x1, x2,, x3, x4)
Where;
y1
= Task Performance (TP)
y2
= Contextual Performance (CP)
y3
= Counterproductive work behaviour (CWB)
y4
= Adaptive Performance (AP)
x1
= Sense of Accomplishment(SOA)
x2
= Recognition&Appreciation(RA)
x3
= Salaries&Wages(SW)
x4=
Fringe Benefits (FB)
Y
= f (X)
y1=f(x1)……........................................................................................Equation
1
y2=f(x2)…............................................................................................Equation
2
y3=f(x3)………………………………………………………………Equation
3
y4=f(x4)…………………………………….……………………..… Equation
4
Y
= f(x1, x2,x3,x4)……………………………………………………Equation
5
Regressionally
we have,
y1
= α0 +β1x1+ µi…………………..……...……..……………..Equation
1
y2
= α0 + β2x2 +µi…………………………………………….... Equation
2
y3
= α0 + β3x3 + µi………………….…………………………...Equation
3
y4
= α0 + β4x4+ µi…………………….………………….……...Equation
4
Y=
α0 +β1x1+ β2x2
+ β3x3+β4x4+µi…………………….……… Equation 5
These
are the equations to be considered in this study.
Where,
α
= The constant of the equation
βi
= The coefficient of the independent variable
µ
= Error term or values that account for change but are not part of the survey
at present.
Reward: can be
defined as anything that an employee may value that an employer is willing to
offer in exchange for his or her contributions.
Reward
System: comprises of all interrelated organisational
processes – including people, process, rules and decision making activities
which combine to ensure that reward management is carried out effectively to
the benefit of the organisation and the people who work there.
Intrinsic
Reward: refers to the reward one derives from the content
of the work itself and includes factors such as interesting and challenging
work task, self-direction and responsibility, variety, creativity,
opportunities to use one’s skills and abilities, sufficient feedback regarding
effectiveness of one’s effort, personal satisfaction with job, recognition and
appreciation, career development opportunities, etc.
Extrinsic
Reward: refers to the reward attained that are external to
the job itself and it usually include financial and tangible rewards components
such as pay, fringe benefits, job security, promotions, private office space,
etc.
Employee
Performance: is defined as the undertaking of
complex series of actions that integrate the skills and knowledge of the
employee(s) to produce a valuable result. It also can be defined to reflect the
quality and quantity of the employee’s output, presence at work, accommodative
and helpful nature and timeliness of output.
Task
Performance: can be defined as the proficiency
(i.e., competency) with which one performs central job tasks; reflecting an
individual’s proficiency with which he/she performs activities which contribute
to the organisation’s goals and objectives.
Contextual
Performance: refers to activities which do not
contribute to the technical core of the organisation but which support the
organizational social and psychological environment in which organizational
goals are pursued and includes behaviour such as helping colleagues, being a
reliable member of the organisation and making suggestions about how to improve
work procedures.
Counterproductive
Behavior: defined as behaviour that harms the wellbeing of
the organisation and it includes behaviour such as absenteeism, being late for
work, engaging in off-task behaviour, theft and substance abuse. It also
include overt acts such as aggression and theft or more passive acts, such as
purposely failing to follow instructions or doing work incorrectly.
Adaptive
Performance: is defined as the extent to which an
individual adapts to changes in a work system or work roles and include, for
example, solving problems creatively, dealing with uncertain or unpredictable
work situations, learning new tasks, technologies, and procedures, and adapting
to other individuals, cultures, or physical surroundings.
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Format: MS Word | Price: N3,000 | Delivery: Within 30Mins.
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