Impact of reward on organizational profitability and employees performance

Project Abstract

The impact of rewards on organizational profitability and employee performance is a critical area of research that has garnered significant attention in the field of organizational behavior and human resource management. Rewards play a vital role in shaping employee behavior, motivation, and overall performance within an organization. This study aims to explore the relationship between rewards, organizational profitability, and employee performance, examining how different reward systems influence employee engagement and productivity. The research will utilize a mixed-methods approach, incorporating both quantitative and qualitative data collection methods to provide a comprehensive understanding of the subject matter. Quantitative surveys will be distributed to employees across various organizations to gather data on their perceptions of the rewards they receive and their impact on their performance. In addition, qualitative interviews with managers and HR professionals will be conducted to gain deeper insights into the design and implementation of reward systems within organizations. The study will also investigate the link between rewards and organizational profitability, examining how effective reward systems can contribute to increased profitability through enhanced employee motivation and performance. By analyzing financial data and performance metrics, the research aims to identify the specific ways in which rewards influence organizational outcomes and contribute to long-term success. The findings of this study are expected to provide valuable insights for organizations seeking to optimize their reward systems to enhance both employee performance and organizational profitability. By understanding the impact of rewards on employee behavior and motivation, organizations can design more effective reward programs that align with their strategic goals and objectives. Furthermore, the research will contribute to the existing body of knowledge on the role of rewards in shaping organizational behavior and performance, offering practical implications for managers and HR professionals. Overall, this research aims to shed light on the important relationship between rewards, organizational profitability, and employee performance, highlighting the significance of reward systems in driving employee engagement, motivation, and productivity. By exploring these dynamics, the study seeks to offer actionable recommendations for organizations looking to leverage rewards as a strategic tool for achieving both financial success and employee satisfaction.

Project Overview

<p> <b></b></p><p><b><b>INTRODUCTION<br></b></b></p><p><b><b></b></b></p><b><b><p><b>1.1Background<br>of the study</b></p><p><b></b></p><b><p>Emenike ltd was<br>incorporated in 1961 as turner abestors Cement (TAC Nigeria Ltd,) the company<br>commenced the actual business of manufacturing re-forced fiber-cement material<br>such as roofing-sheet and flat sheets (ceiling board in 1963). The product line<br>was later expanded to include pressure pipes. In 1988, turners building (turner<br>assistors cement TAC ltd Emene was acquired by Emenite group of Belgium and in<br>1989, the name was charged to Emenite ltd. &nbsp;Emenite ltd pays a lot of<br>emphasis on product inspection. They start from the raw material, the raw<br>material includes cement, wood, pulp and fibre, undergoes series of tests.The<br>wood is tested for the dispersion and shaper rougher S.R that determines that<br>freeness of the wood pulp. Then the fibre is tested by solubility, which<br>determines that dispersion ability in the fibre.The final inspection is the<br>finished product inspection, which a simple is collected at random from the<br>production line, from each pallet as they are called and after (curing) drying,<br>they test the bending strength which determines the strength of the product and<br>also tested for all porosity and density which will show the ability of the<br>product to absorb water, this tests are being carried out in two stages.First<br>after 7 days and second after 28 days, then if they are certified okay by the<br>quality controller, it can now be sold. The control of the product is purely<br>the responsibility of the quality control department. In Emenite ltd, the<br>department comprises of the quality control and the process control.The process<br>control section is responsible for the online process of the product while the<br>product are still in process, they control the parameters and make sure that<br>the production crew comply to the set standard, if there is any non conformity<br>in the process, a complaint form is being issued out to the production crew for<br>immediate correction. This section is responsible for testing and certifying<br>the raw material before use.</p><p>All the products have a<br>standard that it must pass before they are released from the quality control<br>department. The company presently has a staff strength of about 200 which is<br>supplemented by a few contract worker hire from the time as the need arise.</p><p><b>1.2<br>STATEMENT OF THE PROBLEM</b></p><p><b></b></p><b><p>&nbsp;There is controversy all<br>over the companies; there is a frequent clash between company and customers.<br>Most times when the customers visit the company, experience is always<br>unbearable, delayed tactics and the manner by which the workers react to their<br>customers, mostly with harsh tones, in attending these customers, create lot of<br>discouragement. The head office of Emene ltd in Lagos works even on Sunday<br>without any of the staff complaining, while their counterparts of the other<br>companies were on their weekend or holidays.Work overload were the major<br>problem facing Emenite ltd Company even most times, delay in receiving their<br>salary, it takes the management one or two weeks, delay to pay their workers<br>monthly salary especially Emenite ltd emene Enugu.</p><p><b>1.3<br>OBJECTIVE OF THE STUDY</b></p><p><b></b></p><b><p>The objectives of the study are;</p><p>1. &nbsp; To<br>determine whether a relationship exists between intrinsic rewards and employee<br>performance.</p><p>2. &nbsp; To<br>ascertain the impact of reward on organizational profitability</p><p>3. &nbsp; To<br>ascertain the relationship between organizational profitability and employees<br>performance</p><p>4. &nbsp; To<br>ascertain the impact of reward on employees performance</p><p><b>&nbsp;</b></p><p><b></b></p><b><p><b>1.4<br>RESEARCH HYPOTHESES</b></p><p><b></b></p><b><p>For the successful completion of the study, the<br>following research hypotheses were formulated by the researcher; </p><p><b>H0:<br></b>there<br>is no relationship exists between intrinsic rewards and employee performance.</p><p><b>H1:<br></b>there<br>is relationship exists between intrinsic rewards and employee performance.<b></b></p><b><p><b></b></p><b><p><b>H02:</b>there<br>is no relationship between organizational profitability and employee’s<br>performance</p><p><b>H2:</b>there<br>is relationship between organizational profitability and employee’s performance</p><p><b>1.5<br>SIGNIFICANCE OF THE WORK</b></p><p><b></b></p><b><p>Rewards play important role<br>in success and failure of organization. Employees don’t work for free. Rewards<br>are important for employees because people work only for rewards. Organizations<br>provide rewards to their personnel in order to try to motivate their<br>performance and encourage their loyalty and retention. Organization rewards<br>take a number of different forms including money (salary, bonuses, and<br>incentive pay), recognition and task autonomy.</p><p><b>1.6<br>SCOPE AND LIMITATION OF THE STUDY</b></p><p><b></b></p><b><p>The<br>scope of the study covers the impact of reward on organizational profitability<br>and employees performances. The researcher encounters some constrain which<br>limited the scope of the study;</p><p><b>a)<br>AVAILABILITY OF RESEARCH MATERIAL:</b><br>The research material available to the researcher is insufficient, thereby<br>limiting the study &nbsp; &nbsp; &nbsp; </p><p><b>b) TIME:</b><br>The time frame allocated to the study does not enhance wider coverage as the<br>researcher has to combine other academic activities and examinations with the<br>study.</p><p><b>c)<br>Organizational privacy</b>: Limited Access to the selected<br>auditing firm makes it difficult to get all the necessary and required<br>information concerning the activities.</p><p><b>1.7<br>DEFINITION OF TERMS &nbsp;</b></p><p><b></b></p><b><p><b>REWARD:</b>A thing given in recognition of service, effort, or<br>achievement.</p><p><b>ORGANIZATION:</b>An<br>organization or organization is an entity comprising multiple people, such as<br>an institution or an association that has a collective goal and is linked to an<br>external environment.</p><p><b>PROFITABILITY:</b><em>Profitability</em>&nbsp;ratios<br>are a class of financial metrics that are used to assess a business’s ability<br>to generate earnings compared to its expenses and other relevant costs incurred<br>during a specific period of time.</p><p><b>EMPLOYEE PERFORMANCE: </b>Employee performance is defined as<br>whether a person executes their job duties and responsibilities well. Many<br>companies assess their employee’s<br>performanceon an annual or quarterly basis in order to define certain<br>areas that need improvement. Performance is<br>a critical factor in organizational success.</p><p><b>1.8 ORGANIZATION OF THE STUDY</b></p><p><b></b></p><b><p>This<br>research work is organized in five chapters, for easy understanding, as follows</p><p>Chapter one is concern with the introduction, which<br>consist of the (overview, of the study), historical background, statement of<br>problem, objectives of the study, research hypotheses, significance of the<br>study, scope and limitation of the study, definition of terms and historical<br>background of the study. Chapter two highlights the theoretical framework on<br>which the study is based, thus the review of related literature. Chapter three<br>deals on the research design and methodology adopted in the study. Chapter four<br>concentrate on the data collection and analysis and presentation of<br>finding. Chapter five gives summary,<br>conclusion, and recommendations made of the study</p></b></b></b></b></b></b></b></b></b></b></b></b></b> <br><p></p>