A Reward Allocation Decision
A Reward Allocation Decision
Reward allocation is a significant organizational issue, as it affects the working attitudes of the employees as well as the efficiency of the organization. Many people would say that the reward allocation must be equal for each employee, giving each of them equal amount of reward; some people would say equity should be used, basing it on performance and the competency of each individual; and other people would say that it should be given based on the needs of each employee without regard to individual performances. There are a number of ways to allocate rewards to employees. As for me, I would allocate the rewards this way: according to the length of months that each employee worked for the project, the length of years each employee has been in the company and through their individual performance.
Being granted to allocate rewards is a very complicated job because it takes more than just decisions to make, but also the heart to understand what each employees would feel when decisions are made. In my opinion, if bonuses weren’t a part of the reward, just having to go out of my way to recognize each employee for their share in the success of the team and praising them would definitely be great. On the other hand, giving extrinsic rewards is one way to motivate the employees. As stated from Chapter 5: Theories of Motivation from the Organizational Behavior book, “Motivation is defined as the desire to achieve a goal or a certain performance level, leading to goal-directed behavior.” So, if an employee is given an extrinsic motivator such as money, they are more likely to be motivated to accomplish goals or do a better job. But then of course, the employee must see the reward as a motivator for it to be effective.
Chapter 5: Theories of Motivation, under Process-based Theories, also said that “When distributing rewards, make sure you pay attention to different contribution levels of employees. Treating everyone equally could be
Reward allocation is a significant organizational issue, as it affects the working attitudes of the employees as well as the efficiency of the organization. Many people would say that the reward allocation must be equal for each employee, giving each of them equal amount of reward; some people would say equity should be used, basing it on performance and the competency of each individual; and other people would say that it should be given based on the needs of each employee without regard to individual performances. There are a number of ways to allocate rewards to employees. As for me, I would allocate the rewards this way: according to the length of months that each employee worked for the project, the length of years each employee has been in the company and through their individual performance.
Being granted to allocate rewards is a very complicated job because it takes more than just decisions to make, but also the heart to understand what each employees would feel when decisions are made. In my opinion, if bonuses weren’t a part of the reward, just having to go out of my way to recognize each employee for their share in the success of the team and praising them would definitely be great. On the other hand, giving extrinsic rewards is one way to motivate the employees. As stated from Chapter 5: Theories of Motivation from the Organizational Behavior book, “Motivation is defined as the desire to achieve a goal or a certain performance level, leading to goal-directed behavior.” So, if an employee is given an extrinsic motivator such as money, they are more likely to be motivated to accomplish goals or do a better job. But then of course, the employee must see the reward as a motivator for it to be effective.
Chapter 5: Theories of Motivation, under Process-based Theories, also said that “When distributing rewards, make sure you pay attention to different contribution levels of employees. Treating everyone equally could be