Impact of Financial Incentives, Research Paper Example

Executive summary

The research in this field is vital in understanding human beings in the work place. We analyze things like how they behave, what motivates them and the challenges they face.  This research is meant to elaborate and show the relationship between;

1. Financial incentives impact on job performance
2. Employee and manager’s relationship and its impact on job performance.

The findings will help the organization be able to handle their employees so as to increase output. The output and job performance of each employee is vital since they all impact either positively or negatively to the employees and the organization. The organization will critical analyze the findings since they are in the same field as the companies which have been tested on. This makes the finds of this research very relevant to them.

The recommended practice will originate from the findings and understanding of what is required by the managers to fulfill. These recommendations will include motivational and management theories.  This recommendation will be implemented in phases with employee contribution to ensure the organization benefits through its employees . If this relationship is utilized fully then the success of the organization is ensured. The success of the organization is a sign that the employees are motivated to work.

Introduction

The predictors to be used in this research are:

The incentive method used

This is meant to show how each incentive has affect the output and performance of the organization. This will also judge how each has affected the employees to see the impact. This impact will be able to determine whether it is positive or negative to the organization. This has been used in various researches to understand motivation of employees. This has proved to be important and works wonders. The previous researches conducted have brought into light the aim of this research. The realistic view of this research shows how this is a very important thing that all organizations must look further. Motivation techniques differ with different employees and this is .what has been proved by most researchers. They provide a link that people though did not exist.

The advantage of this predictor is that it is the center point of this research is elucidated below;

1. It is the core of the study hence a perfect predictor to use in this study. This is easy to get in all organizations since they depicted easily the organizational information which is portrayed and highlighted.
2. This can be easy to show the relation that exists between the two aspects that are being researched on. The researcher is meant to prove the relationship exists and how it can be harnessed for the organization to succeed.
3. This is easy to provide for the organization and its analysis is also very easy. The practicality of it shows the organization.

The relationship and communication status between the managers and the employees

This is vital because it will provide a clear picture on the impact of relationship to productivity. The productivity of a person will be the measuring gauge to prove the basis of this research. This is aimed at looking at whether good relationships bring out good results or bad ones. The bad ones will be evident through poor performance output.  Communication channels used and leadership style will come into the limelight in the stage. They are directly intertwined and cannot be separated. This has been done by many researchers and they have shown how this affects performance of the organization greatly (Williams, 2005). The performance of the organization brings about a lot factors like did the employees underperform to drive a point to the leadership or not.

This predictor has the following advantage which can clearly show the aim and importance of this predictor.

1. It can be easily identified since it shows how each aspect can be used to aide in the performance of the organization
2. This is directly linked to the managers and employees. This link is vital since it shows their individual contribution to the organization. The link will show the practicality of the data being portrayed in the information that needs.
3. It is a subjective attribute hence the variability of it brings an aspect of diversity into the matter. The diversity shows a trickledown effect which when implement will bring out the best of the research. The trickledown effect can be used as the back bone of this predictor.

All the above predictors will be able to clearly show the conclusions we are looking for. Their common advantages are that;

1. They complement each other
2. They are easy to get analyze
3. They produce a sense of being complete
4. It show the diverseness of the research

The search process used was;

1. The type of organization. It is vital for the organizations to be all in the same field for this research to be relevant and applicable to them. The relevance is portrayed to ensure the research findings are realistic and accurate.
2. The employee number. The number of employees is a vital aspect that should be looked into in coming up an accurate report.
3. The motivation techniques were analyzed. The type of motivational technique used by the organization is critical I coming up with a success formulae.
4. The performance of the organization was then analyzed. The performance will be an indicator that success of the organization is evident and successful at all times.

The inclusion and exclusion criterion used  made critical sense of everything. The reliability and relativity of the matter makes the research accurate and true. This makes up the whole document that used in all the areas of study.

1. The applicability of the research material collected and how it has been used to come up with the required information. The relevance will make this research be up to date and more realistic.
2. The method of data collection matters because Meta analysis is a delicate and controversial method of data collection.
3. The data collected and software must be compatible to come up with data that is critical in drawing conclusions that make the data accurate and compatible.
4. The credibility of the source of the raw material matters. The more credible the source the higher the chances the research accepted socially.

The software used for the coming up with the findings was Microsoft excel and SPSS to come with data that is more reliable and accurate. This was meant to provide adequate and truthful information about the data gotten. The use of two sources was meant to provide relevance of the data gotten at all times. The relevance creates the feeling of trustworthy of the results. Each of the software has its own advantages and disadvantages which must be analyzed. The advantages of each of the software are meant to compliment the demerits that they have over each other. This is a realist way of looking at ways of ensure the accuracy of the research. The accuracy of this research shows how things end up in a holistic and positive manner (Thomas, 2004).

The results show a high co-relation with the predictors. The correlation value was at 0.8545 which shoes the relationship to be a strong one. The predictors both have an impact on the performance of the employee and overall the output of the organization. This depicts how things must be done. The correlation of both predictors was 0.085463 and 0.08425 respectively .  This is a vital thing because  it assists us in coming up with the link between the two predictors and the backbone of this research. The productivity of the organization has been seen to be affected by the work done by the employees. The employees state of mind matters a lot hence thing like motivation and relationships matter a lot. The relationships bring out an effect by the high numbers. This shows how the people can be able to bring success to the organization.

The organization with bad communication channels and poorly motivated staff displayed poor performance in their end year number and correlation figures. The correlation figures also brought up the fact that not all employees are motivated to achieve their results. This based on the results gotten by Meta analysis done using the software’s.

These software produced results which were nearly the same and the difference was minimal. The minimal difference shows the accuracy of the results.

Discussion

In conclusion the link between financial incentive and performance is evident. This portrays the inter-relationship that is evident and must be addressed in relation to the character of the employee. Different employees have different motivational factors that should be looked further. The aspect of relationship is also very important it is the organization prerogative to ensure communication channels are working well. This is aimed a good relationship between both parties at any one time. These parties become the success of the organization and the organization succeeds. The organization should use the motivational theories and organizational management theories by Mc Gregory and democratic leadership to ensure success and growth of the organization (Sherris, 1998).

Mc Gregor came up with two theories of motivating employees. Theory x depicts the character of an employee who is motivated by non-monetary incentives. Theory y depicts the character of a person who is motivated by monetary incentives. This is a balance that must be maintained to ensure it brings out the best performance in the organization.

Democratic leadership is where the employees have a saying the leadership of the organization and maintaining balance at all times. This will create a positive and conducive environment for the organization to grow (Becker, 2010).

Human behaviour is how people act and relate with each other. This has various dimensions, which have to be looked into since there is the aspect of character and personality. The character and personality of a person is the distinguishing features that make him stand out. This is a vital aspect when it comes to understanding human behaviour.

The work environment is where people come with different traits with the goal of organizational growth and success. They find a way of working together and mutually benefiting each other with minimal conflict. The organization has objectives and goals which need human input. The human aspect brings about interactions which are bound to have effects both positive and negative. The management should be able to pre-empt how to tackle this issue to ensure its objectives are exceeded.

Human resource

The implication of human behaviour brings the aspect of human resource management in the organization (Deckop 2006). This is a vital part of the organization that primarily concentrates on relations of employees within and how best it can be harnessed. The working environment should be conducive and acceptable according to the code of regulations. The human resource department comes into play ensuring that people relate well as per the code of regulation. The staff hired will meet the criteria set by the organization (Andrews, 2008).

The human resource department analyses each position and the requirements of the perfect person to fill each position. This analysis is called job recruitment and selection process. This is vital because it ensures the organization gets a person who will meet the needs and targets of the organization.

Human personality and character traits can be broken down into different categories such as:

1. Introverts – These are people do not talk much and like seclusion a lot. The organization should ensure it caters for this group of staff.  Staff who have their needs catered   for meet their target
2. Extroverts – These are people who like talking much and interacting with others. The organization should ensure such people are given positions that maximize this strength. They can be advantageous sales people and customer care representatives.

Communication

Communication in the organization is the backbone of all the operations. Communication is the flow of information within and without the organization.  Communication requires human input to ensure it is successful.  The medium of communication is the way in which the message is passed and should be a one which both the sender and receiver can be able to use. This is another aspect that can be affected by human character and personality in the communication process.

Communication in the organization is categorized into the following:

1. Upward communication – This is where subordinate employees pass information to the top management.
2. Downward communication – This is where management passes information to those below them using the chain of command.
3. Horizontal communication – This is where staff in the same Job group passes information with each other.

The above channels of communication are affected by human input since it is all controlled by human beings. The communication channel and medium should be the one which complements the behaviour, character and personality of an individual. This ensures effective communication takes place.

The mission of the organization is providing superior tyre solutions through the best range of innovative quality products and efficient responsive processes to the satisfaction of its customers and other stakeholders.  Core values include customer focus meets and exceed internal and external customer expectations.  Quality through innovation, continuous development of new processes, product and technology to deliver superior customer satisfaction, trust, integrity and team work.  Delivering results as a team through honest efforts, open communication and mutual respect, investment in people commitment to realize employee’s potential through empowerment, good corporate citizenship, doing business in compliance with the law and ethical business practices and environment protection ensuring sustainable and environmental friendly operations.

Ethics

These are values, principles and code of conduct which are acceptable to provide a productive working environment. Positive human interaction is the objective of the organization. Human behaviour differs from one person to another. This is called character and personality. Organizational ethics ensure that the relationship between employees is acceptable and positive to the external and internal stakeholders (Mathews, 2009).

The code of conduct and code of regulations for organizations main aim is to ensure human behaviour and interaction is well maintained by all. This code originates from analyzing human behaviour and selecting the acceptable one which will ensure a conducive and peaceful working environment is present. The peaceful and pleasant working environment ensures success of the organization.

Social responsibility

This applies to organizations under the name corporate social responsibility. This is how the organizations consider and meets the needs of the external stakeholders apart from the needs of internal stakeholders. This was brought about by the underlying aspect of “Treat your neighbour as you would like to be treated”. This can be elaborated as the needs of the internal and external stakeholders needs are being met (Mathews 2009).

The organization has an obligation to look into this, since its success is pegged also on the input of external stakeholders. The Human behaviour aspect comes into play since it is all about understanding the character and personality of the external stakeholders to ensure their needs are met. Once the organization understands this, it will be in a position to relate and deliver what they want (Andrews, 2008).

Human behaviour and its implication to the organization is something that is evident and must be addressed to ensure the growth and success of the organization. Understanding the human behaviour is the start of being able to deal with employees, consumers and the community at large positively. Ignoring this can lead to a lot of problems in the organization.

This critical analysis will help in coming up with the best incentives and conducive environment for the organization to succeed.

References

Andrews, P. J., (2008). Human Resource Management Strategies. London: Spince field Pub. Inc. Print.

Mathews, R., (2009). Corporate Social Responsibility Strategies. Kentucky: Smith & Parker Pub. Inc.. Print.

Becker, W. S.  (2010). “Ethics in Human Resources: An exercise involving new employees.” Journal of Human Resources Education. 4.4 (2010): 26-34.

Deckop, J. R. 2006  Human Resource Management Ethics. Greenwich, CT: Information Age Pub. Inc. Print.

Fielding, Michael & Fielding, Michael 2006. Effective Communication in Organisations: [preparing Messages That Communicate]. Lansdowne, Cape Town: Juta Academic, Print.

Sherris, M., (1998).Capital gains tax. Foster City, CA: Centre for Studies in Money, Banking & Finance.

Thomas, A.K., (2004). Capital Gains, Minimal Taxes: The Essential Guide for Investors and Traders. Kentucky: Fairmark Press Inc.

Williams, R.C., (2005). Capital Gains Tax: A Practitioner’s Manual. C.A.: Juta.

Bowhill, B (2008). Business Planning and Control: Integrating Accounting, Strategy and People. West Sussex: John Wiley & Sons Ltd. Smit, P. (2000).