Determinants of Intrinsic and Extrinsic Rewards on Employee Performance in Kapsara Tea Factory Company Trans Nzoia County Kenya

Abstract

The purpose of the study was to analyse the determinants of extrinsic and intrinsic rewards on employee performance. The specific objectives were: To examine the effect of employee Motivation on organizational Performance; to evaluate the effect of Employee Commitment on Organizational Performance; to determine the effect of employee training on organizational performance in Kapsara Company Kitale, Trans Nzoia County. Literature was reviewed based on the study objectives. The study was conceptualized on two main theories which were incentive and process theories. It adopted a descriptive survey research design. It targeted a population of 60 employees from various departments including; the senior management, middle level managers, supervisors and the general workers. Census technique was used to select the sample of the study hence; all the population was targeted as a sample. Questionnaires were used as the primary tools for data collection. The instruments were tested for test reliability through a pilot study at Kiptagich tea factory which did not fall within the study area. Data was collected from the field, coded and cleaned of any missing variable and categorized manually according to the questionnaire items. It was then transferred into the computer sheet and processed using the statistical package for social sciences version 20.0. The data was analysed using a regression model and presented using frequency distribution tables and percentages.

The Relationship between Extrinsic Rewards and Employee Performance: A Mediating Role of Employee Job Satisfaction

“…In addition, the researcher added a few relevant models to draw the conceptual framework and development of hypotheses. Kilimo, Namusonge, and Makokha (2017) performed research on the relationship of extrinsic rewards on employee performance among 60 employees of Tea Factory Company Trans Nzoia County Kenya, the findings of the study concluded with clear proof that extrinsic rewards have a positive significant relationship with employee performance. Khan, Shahid, Nawab, and Wali (2013) conducted research about the impact of intrinsic rewards and extrinsic rewards on employee performance among 165 employees of the private bank sector of Pakistan, the result of the study found that extrinsic rewards positively influence employee performance.…”

Impact of Financial and Non-financial Rewards on Employee Motivation and Employee Commitment among SMEs textiles sector of Karachi Pakistan

“…Both financial and non-financial rewards promote employee commitment (Shalini, 2020). The existing literature suggests that non-financial rewards influence employees in developed countries, and financial rewards are more important in developing countries (Kilimo et al, 2016;Kokubun, 2017). The literature suggests that non-financial rewards have not the same impact on all employees (Lok & Crawford, 2004).…”

“…All three facets of commitment individually and collectively stimulate employee motivation. Most researchers suggest that affective commitment's impact on motivation is higher than normative and continuous commitment (Awino & Kipsang, 2020;Kilimo et al, 2016).…”

“…Financial incentives stimulate employee commitment and sustainable relationships (Kilimo et al, 2016). Thus, firms that offer market competitive financial rewards can enhance employees' commitment levels and organizational performance (Shalini, 2020).…”

Hubungan antara Ganjaran Kerja dan Penglibatan Kerja

“…Ganjaran ekstrinsik adalah perkara yang berkaitan dengan luar kepada pekerjaan itu sendiri. Ia terdiri daripada unsur-unsur seperti gaji, faedah sampingan, keselamatan pekerjaan, promosi, ruang pejabat yang privasi, dan iklim sosial (Kilimo et al, 2016). Contoh lain termasuklah persaingan gaji, kenaikan gaji, bonus yang tertentu dan pampasan.…”