Impact of Reward Systems on Organizational Performance (MS-2)






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Impact of Reward Systems on Organizational Performance (MS-2)

Tatipelly Harshini

ABSTRACT: Reward systems are pivotal components in an Organization’s. This is a tool to drive employee motivation, commitment, and performance. These systems, encompassing both intrinsic and extrinsic rewards, play a significant role in influencing employee behavior and aligning individual goals with organizational objectives.

Extrinsic rewards like salary hikes, promotions, bonuses, it provides tangible benefits, while intrinsic personal growth. A Well-Structured reward system can enhance organizational performance by improving employee morale, reducing turnover. Contrarily poor designed systems can lead to reduced engagement, competitiveness. Consequently, organizations must carefully design and adapt their reward strategies to elevate overall performance.

KEYWORDS: Motivation, Commitment, Bonuses, Organization performance, Employee, Competitiveness.

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