Motivation & Reward Strategies

 
 
 
 
A strong organizational motivational strategy promoted in ì

contemporary management and organizational literature is the ì

linking of performance and reward. 3.ls1

1L. McTier Anderson, and James W. Fenton, Jr., "The Light At ì

The End Of The HRM Tunnel: Window Of Opportunity Or An Oncoming ì

Train," Business Horizons, (January 1993): 72-75.

the linking of performance and reward is that the key to ì

motivating an individual to remain in and perform well in an ì

organization lies not in urging an individual to remain or ì

perform, but, rather, in the developing within that individual a ì

strong commitment to the organization. The rewarding of

performance is seen as a strong factor in the development of such ì

commitment to the organization. From such a commitment will flow ì

the desire to remain in and perform well in an organization. ì

Organizational commitment is manifested as a strong desire to ì

remain as a member of a specific organization, willingness on the ì

part of an individual to exert high levels of effort for a ì

specific organization, and belief in and acceptance of ì

organizational values and goals by an individual.ª   3.ls1ì

2L. W. Porter, Organizational Commitment And Its ì

Development, 5th ed. (Berkeley, California: University of ì

The linking of performance and reward places a


     
 
 
 
    

 

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une 1994): 29-37. +  Probably the ì ì most common application found in the United States is similar to ì ì the arrangement found in the automobile industry. In the ì ì automobile industry, profit sharing agreements are written into ì ì collective bargaining contracts. Under arrangements such as the ì ì one found in the automobile industry, corporations share profits ì ì with their production employees at predetermined rates, once the ì ì minimum level of profits specified in the collective bargaining ì ì agreements have been attained. In such arrangements, the ì ì production employees share in the profits; however, they are not ì ì required to share in operational losses.ì A second method of profit sharing for production employees ì ì involves employee stock ownership.i   3.ls1  ää  6Bob Filiczak, "Remmele Engineering," Training, 31 (May ì 1994): 42-47. i  While any production ì ì employee is always free to go into the market to purchase stock ì ì in her or his publicly held employing firm, this method of profit ì ì sharing involves formal organizational programs that encourage ì ì and assist employees in the purchase of company stock. These ì ì programs are gene

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