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Critical Analysis of Organization Performance and Employee Reward


Employees are the heart of a successful business. They are hired to help the organization gain and maintain success, and they are often times, inspired to perform the work necessary to achieve your set goals, at least initially. Rewarding staffs when they effectively fulfill directives is an often overlooked yet critical management tool in organisational performance. When properly managed and communicated, reward programs can create and maintain a highly motivated employee force working for the progress of the business or organization.

Measurable Business Strategy

Reward program can promote optimal fulfillment in a business if it is designed as such. In order to increase your employees’ job performance in line with the business objectives, Start by listing a chief goal; then list the specific steps required to achieve it. For instance, if a chief goal is to increase widget sales by 20 percent for all successive years, you basically need to effectively direct your employees to complete specific duties to make that goal a reality. One of such duty might be to inform every customer who visits your store about the benefits and usefulness of your widgets. You certainly can measure the increase in widget sales based on this strategy and reward your employees accordingly. Employee rewards can provide compelling motivation to continue fruitful behavior on your behalf.

Types of Rewards

The system of monetary rewards, such as bonuses, should not be considered as part of regular pay. Always equate financial rewards with specific achievements. Your reward system may apply to individuals or groups of people. For instance, for hitting an annual profit goal, the profit could be shared among the employees who made it possible.

Intrinsic or Extrinsic

Intrinsic rewards are considered as those rewards that provide employees with a sense of accomplishment; it is given to those who contributed the most to your success or to an entire team. Employee rewards may include giving your employees autonomy or providing opportunities for growth. Extrinsic rewards on the other hand are tangible rewards, such as offering stock options or demonstrating employee recognition by acknowledging them with plaques or certificates before an audience of their colleagues.

Timing and Method

In order to be effective, employee rewards should be presented or awarded regularly. However, try to guard against rewards becoming automatic and expected, as it could decrease employee motivation. You could present rewards privately, or you might organize an annual awards ceremony. When making rewards annually, ensure the employee is acknowledged as at the time he accomplishes the task and indicate that he will be a reward recipient. The method of bestowing rewards should reflect the employees’ level of productivity, ensuring the highest rewards goes to the most productive people. Another level of employee motivation can be created by publicly announcing the reward, such as in a news release.


An employee reward program can be most effective if the communication is done properly. Well timed communication of reward program at the time of initiation and also at subsequent opportunities throughout year keeps the employees thoroughly motivated. Communicating the symbiotic nature of the program keeps it in the forefront of their workdays and enables the entire staff function at higher levels toward achieving the stated business goals.Motivation is intricately tied to performance. And to get the workforce of any organization motivated, they need to be rewarded and reminded that their contribution to the development of the company is much valued. The only way to achieve that is to introduce a well manage reward and recognition program into the activities of the company.

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