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Motivation
The impact of a reward sytem on employee motivation in Motonet-Espoo

Carolina Mikander

Carolina Mikander

Degree Thesis

International Business 2010

Carolina Mikander

DEGREE THESIS Arcada Degree Programme: Identification number: Author: Title: International Business 3071 Carolina Mikander The impact of a reward sytem on employee motivation in Motonet-Espoo Sveinn Eldon Motonet Oy

Supervisor (Arcada): Commissioned by:

Abstract: The purpose of the thesis was to investigate and analyze how well the current reward system of Motonet-Espoo helps generate employee work motivation. More specifically it aimed to find out which aspects of the reward system functions well, and which aspects could be further developed and improved in order to increase employee satisfaction. The theoretical part of the study introduces different theories of motivation and rewarding. Emphasis is put on Maslow's hierarchy of needs, the goal setting theory and the total reward system. The empirical part of the thesis was conducted by using a quantitative research method. The data was gathered with the help of a questionnaire and two interviews. The aim of the research was to compare the different reward systems used in Motonet-Espoo and find the pros and cons of them. The research results revealed how Motonet-Espoo can develop their reward system by including the employees in the decision making process. The research supports the assumption that a well developed and functional reward system can increase employee motivation and satisfaction.

Keywords: Number of pages: Language: Date of acceptance:

Motivation, Reward System, Motonet-Espoo 46 English 11.5.2010

EXAMENSARBETE Arcada Utbildningsprogram: Identifikationsnummer: Författare: Arbetets namn: International Business 3071 Carolina Mikander The impact of a reward sytem on employee motivation in Motonet-Espoo Sveinn Eldon Motonet Oy

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