THE ROLE OF REWARD MANAGEMENT IN ORGANIZATIONAL PERFORMANCE(A STUDY OF UNIVERSITY OF NIGERIA NSUKKA)

ABSTRACT

This research assessed the role of reward management in organizational performance with special reference to University of  Nigeria  Nsukka  in  Enugu  State.  The  research  tried  to examine the role of reward management in enhancing organizational performance of University of Nigeria Nsukka and to formulate remedies as to how to enhance its effectiveness and efficiency in its management and administration. To achieve the above research objective, four research hypotheses have been advanced to include that there is no positive relationship between monetary rewards and employees performance among staff in University of Nigeria Nsukka; that there is no significant relationship between non-monetary reward and employee’s performance among staff in University of Nigeria Nsukka; that there is no positive relationship between reward and employee motivation among staff in University of Nigeria Nsukka and that there is no positive relationship between total reward system and job satisfaction of the staff in University of Nigeria Nsukka. The study uses the survey research method. The population of the study constitutes of academic and administrative staff of University of Nigeria Nsukka. The findings of the study include that;  there  is  a  significant  relationship  between  monetary rewards and employees performance among University of Nigeria  Nsukka  Staff;  that  there  is  a significant  relationship between non-monetary rewards and employees performance among  staff  in  University of  Nigeria Nsukka.  Based on the findings of this project, it was concluded that; both monetary and non-monetary rewards have significant effects to the staff performance in University of Nigeria Nsukka. Further, that there is  a  significant  relationship between reward system and job satisfaction  of  employee.  It  was  recommended  that  a more comprehensive study can be extended to all private and public tertiary educational institutions to ensure that better generalizable findings can be achieved.

CHAPTER ONE INTRODUCTION

1.1    BACKGROUND OF THE STUDY

Employees are the most valuable asset to an organization and they play an important role in preserving the successful image of organization. Employee performance is the main factor in ensuring that the organization is run smoothly and successfully. Good employee performance will improve the organization performance. To maintain a good employee performance, a suitable performance management is needed. According to Hermann (2007:42), a performance management is defined as a continuous process of identifying, measuring and developing the performance of individuals and teams and aligning performance with the strategic goals of the organization.

Performance   management   requires   all  managers   to ensure that all of their employee activities and outputs are congruent with the organization’s goal and therefore help the organization to gain a competitive advantage (Aguinis,

2009:22). Organization that have a good performance management will have many advantages such as increased self-esteem, clear mind regarding their organizational goals, increased   motivational   and   others   (Allen   and   Kilmann,

2001:110).

Managing employees’ reward appropriately is an important factor as a return for their contributions or performance to organization.  According to Adam Equity Theory (1963), less reward may result to the decreasing of employees’ performance such as high number of absenteeism, as well as lack of interest in doing task that is not included in their job description. In other word calculative in whatever task given to them, not focus on their job which is also the decreasing resulted in job quality. The theory also propagate that the reduction in employees’ performance could happen whenever they felt that their contributions were not fairly rewarded. In other words, rewards can influence employees’ performance.

Employer or organization should reward the positive performance. Reward will motivate the employees and

when the employee motivation increased, it’s also will increase the employee performance. In addition, employee performance also can be enhanced through a continuous and interactive process to help departments and teams achieve business goals and to help employees to improve their performance. Increased in employees performances will increase the organization performance.

This research work deals extensively with the role of reward   management   on   organizational   performance   with specific reference to University of Nigeria, Nsukka, Enugu State.

The   former   Nigerian   college   of   Arts,   Science   and

Technology,  Enugu,  was  incorporated  into  the  University  in

1961,  and  its  buildings  now  form the  Enugu  Campus  (200 hectares) of the University located in the heart of Enugu, the administrative capital of Enugu State of Nigeria. Enugu is a modern city,  accessible by air, rail and road. The faculties of Business Administration, Environmental Studies, Law and Medical Sciences are located at the Enugu Campus.

The Teaching Hospital (UNTH) attached to the University is presently sited at Ituku – Ozalla (25 kilometres) South of Enugu on a 500 hectare site. It also hosts the Faculty of Dentistry and Health Sciences and Technology.

1.2    STATEMENT OF THE PROBLEM

Personnel administration is very pivotal to the growth and wealth creation of any organization. Personnel administration is said to be good if it can reward and motivate its employees to enable them to put in their best performances in the organization. Some of the problems associated with total reward system include the followings:-

a)Bad and depressed economic condition in Nigeria makes it difficult to fully implement a total reward system. The employers usually cite poor economic conditions as their excuses. On the other hand, the employee who knows his worth usually cite his contributions to the growth of the organization as his reason for the demand for a better condition.

b)There is criticism that organizations in Nigeria particularly Universities  miss  the  most  important  component  of reward, which is the low-cost; high-return ingredient to a well-balanced  reward  system.  Studies  that  have conducted on the topic indicates that the most common problem in Nigerian Organization is that they miss the most important component of reward as stated above.

c)Fear of losing one’s job makes it possible for him to demand for an improvement in his working conditions. Some workers may know their rights but they cannot demand for them for fear of losing their jobs.

d)Most employers of labour in Nigeria disregard labour laws and edicts, sometimes; this situation leaves the dejected employee with no other condition/option than to accept what is offered to him, otherwise he will face unemployment consequences. There were some cases where employees were fired for not accepting paltry reward (compensation).

1.3    OBJECTIVES OF THE STUDY

The main objective of the study is to examine the role of reward   management   on   organizational   performance   with specific reference to University of Nigeria, Nsukka (UNN).

Specific objectives of the study include the followings:-

i)To examine the relationship between monetary rewards and employees’ performance in an organization.

ii)To examine the relationship between non-monetary reward and employees’ performance in an organization.

iii)To determine if there is a relationship between reward and employee motivation.

iv)To determine if there is a relationship between the total reward  system  and  job  satisfaction  of  the  staff  of University of Nigeria, Nsukka.

v)To  determine  the  factors  that  facilitate the role of  reward management on organizational performance in UNN.

vi)To  make  recommendations  based  on the findings of  this study as to how to enhance the role of reward management on organizational and employees’ performance.

1.4    RESEARCH QUESTIONS

This research is conducted to examine the role of reward management on organizational performance with specific reference to University of Nigeria, Enugu Campus.

The research questions are posed as follows:-

i)Do monetary rewards influence employees’ performance among staff in UNN.

ii)Do non-monetary rewards influence employees’ performance among staff in UNN.

iii)Is there a positive relationship between reward and employee motivation?

iv)Is there a positive relationship between total reward system and job satisfaction of the staff in UNN?

v)What factors facilitate the role of reward system/management on organizational performance?

1.5    RESEARCH HYPOTHESES

Subsequent to the aforementioned objectives and research questions, the following hypotheses have been formulated and shall be subjected to a suitable empirical statistical test.

Hypothesis I

Ho:There is no positive relationship between monetary rewards and employees’ performance among staff in UNN.

Hi:There is a positive relationship between monetary reward

and employees’ performance among staff in UNN.

Hypothesis II

Ho:There is no significant relationship between non-monetary reward and employees’ performance among staff in UNN.

H2:There is a significant relationship between non-monetary

reward and employees’ performance among staff in UNN.

Hypothesis III

Ho:There is no positive relationship between reward and employee motivation among staff in UNN.

H3:There  is  a  positive  relationship  between  reward  and

employee motivation among staff in UNN.

Hypothesis IV

Ho:There is no positive relationship between total reward system and job satisfaction of the staff in UNN.

H4:There is a positive relationship between total reward system

and job satisfaction of the staff in UNN.

1.6    SIGNIFICANCE OF THE STUDY

The significance of the current study lies in its theoretical and practical contribution as follows:

i)It will make a significant contribution to the body of knowledge on non-monetary and monetary rewards and provide useful suggestions in terms of designing a better reward program and strategies to University of Nigeria, Nsukka Enugu State and other organization in Nigeria”.

ii)The study is also important in the sense that it is aimed at sensitizing policy makers and planners to have a comprehensive view in total reward system in our Universities, public and private organization.

iii)The study is important because it will serve as a reference point for both present and future researchers who intends to carry on similar study.

1.7    SCOPE OF THE STUDY

This research is limited to staff in University of Nigeria, Nsukka in Enugu State. This is due to time constraint which made the researcher unable to cover other universities. For this study, the researcher only focused on the group respondents from executive level and above and in non-academic division. The numbers of respondents that involve within this research are  364  persons.  The  respondents  were  identified  using stratified random sampling.

1.8    LIMITATION OF THE STUDY

Every research work is subjected to certain limitations. In this study, the limitations include:

1.Time Constraints

Time affected the study. The time given for the completion of this study is limited. Therefore, the study was not able to cover wider area.

2.Finance

Financial constraint also pose a big threat in this study. The researcher would’ve wanted to cover order areas but due to financial constraint.

3.Uncompromising attitudes of respondents, especially in releasing vital information to the researcher to enable her.

1.9    DEFINITION OF TERMS

!Extrinsic Rewards

This is outcomes supplied by the organization and includes salary, status, job security and fringe benefits.

!Intrinsic Rewards

This  is  personally  satisfying  outcomer;  and  they  includes feelings of achievement and personal growth.

!Non–Monetary Reward

They range from small merchandise rewards to certificates of appreciation.

!Monetary Reward

These are tangible returns which includes cash compensation such as bonus, increment; short term incentive, long-term incentive and other benefits such as income protection, allowances and others.

!Reward Management

It deals with the design, implementation and maintenance of reward processes and practices that are geared to the improvement of organizational, team and individual performance.

!Reward

Can be defined as something given or received in recompense for worthy behaviour or in retribution for evil acts. It can also be defined as the return for

performance of a desired behaviour; positive reinforcement.

Basic Types of Reward

!Extrinsic Rewards

Satisfy basic needs survival, security pay, conditions, treatment.

!Intrinsic Rewards Satisfy higher needs; esteem, development.

₦5,000.00 – DOWNLOAD FULL PROJECT DOWNLOAD FULL PROJECT Added to cart

---

---

---

---

Related Project Topics :