Individual&Group Reward

CAN CHANGE OF REWARD SYSTEM ENHANCE MOTIVATION AND BEHAVIOUR IN TASK FORCE TEAM? A. Introduction It is undeniable that employees are a high valuable asset for a company. They are main resource for the company to maximise its profit. Employees have given their abilities and efforts to help the company achieve its goals. Then, it is logic that they would ask for appropriate rewards for what they have done. A problem exists when they feel that their efforts are not properly rewarded by the company. This leads to depression of employees and it is bad news for the company because this problem will be likely to contribute negatively to the company’s performance. The main purpose of having reward system is to motivate and satisfy employees in undertaking jobs. The reward system can be applied both in team level and individual level. Some companies prefer team reward system to the individual one. It depends on how the reward systems would affect employee’s performance in the workplace and also the complexity of measuring employee’s performance. However, in today’s rapid-changing business environment, it is uncommon that an organisation uses the same reward system over long period of time. As Fletcher (2005) said, it is unlikely that any appraisal scheme will be relevant to the needs and situation of the organisation for more than a few years. The statement seems to be true when Bank of Rakyat Indonesia or “BRI” (Indonesia state-owned government bank) has changed its team-based appraisal system to evaluate its Non Performing Loan (NPL) Task Force Team performance. BRI claims that this “old” reward system would strengthen the group-work and eventually would increase team outcome. Unfortunately, this pay mechanism failed to improve the performance. Instead, it decreased member’s motivation and caused members to change their behaviour against the team. Through mini investigation, I would suggest that the existing reward should be replaced by individual reward. Slowly but