Awards and Recognition

3333 Words Nov 30th, 2006 14 Pages
Abstract
Rewards motivate employees by increasing job satisfaction, commitment, and productivity in the organization. Rewards have been shown to increase productivity by 20 to 30 percent. Award distributions should be situation-dependent, equitable, immediate, and should be targeted toward teams. A variety of reward types should be used because different people have a different value system. One study showed that when firms offered monetary and non-monetary rewards they had productivity increase 17 percent. A large study on management also found that 50 percent of middle managers do not believe pay is tied to performance. Healthcare leaders should be aware of the appropriate method of award distribution; healthcare is being run more
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Rewards motivate employees by increasing job satisfaction, commitment, and productivity in the organization. Job satisfaction is defined as the feelings an employee has about the job. It encompasses pay, work, supervision, opportunities, conditions, and organizational practices. The majority of studies show that employees who are experiencing job satisfaction are more likely to be productive employees (McNeese-Smith, 1999). In contrast, disgruntled employees may vent their frustrations by being rude to patients, performing poorly, quitting, or complaining to upper management. In extreme situations some supervisors may even face lawsuits for treating these subordinates unfairly. Since job satisfaction is positively correlated with pay and benefits, a leader can use these to motivate and reward subordinates. Rewards not only motivate through improved job satisfaction, but through stronger commitment to the organization. Employee commitment measures the willingness of an employee to remain invested in, and continue to work for, an employer. It is the strength of an individual 's identification with and involvement in a particular organization, and is characterized by a strong belief in the values and goals of the organization. It has been shown to be positively correlated with both productivity and job satisfaction
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