Revised Journal: Mitchell, “The Indian Experience Of Buddhism” Free Sample

I felt that this chapter is a recap of the first four chapters of this course because it illustrates the earliest experiences of Buddhism in India. An example of this is the Gautama Buddha, whose teachings and life experiences helped many Indians to understand how the Buddha expects us to live. Its teachings are based on the two apparent expressions of Theravada and Mahayana. In summary, this chapter introduces us to the development of Indian Buddhist schools of thought and how these have contributed to the spread of Buddhism.

Examples of the excerpts that I found interesting in the chapter are that a single mental moment comprises arising, stasis, and passing away in the chapter, the ideological differences between the Abhidharma and Mahayana philosophers, who are the two fundamental groups of the religion in the country. Despite the differences, I found common ground in the reality that both intend to spread Buddhism and encourage people to live in the ways of the Buddha.

This material is essential since it illustrates the many facets of the foundation of consciousness that we have learned in this course (Mitchell, 2001). For instance, Mitchell observes that a person’s experiences of both oneself and the world around them arises dependently from one or more fundamental process of consciousness. The scholars of this discipline traditionally hold this view as they deem it a form of idealism.

I feel that this chapter was all more about elaborating on the different philosophical ideals of Buddhism and how they inform our thought processes. We should train our consciousness to focus on doing the right things at any given time. Following the ways of the Buddha is the most critical aspect that our lives should focus on. Understanding the history and the various schools of thought presented in this chapter will only make us better contributors to the development of Buddhism.

The lessons from this material are relevant to the video presentations by Satya Narayana Goenka, who was a teacher who specialized in Vipassana Meditation. He was born in Burma and later moved to India, where he started training masses on the power of meditation. He insisted that the Buddha’s only path to liberation is not-sectarian, scientific, and universal in his teachings. He was a teacher whose influence played an important role in establishing Vipassana medication centers whose operations were non-profit. His impressive and inspirational exploits saw him awarded the Padma Bhutan to recognize his excellence.

In the videos from Week 9, Goenka’s teachings illustrate the elements he deems key to the art of living. His presentations are fascinating, given his composed and calm teaching congregations. Among the many observations he makes about Vipassana meditation, I found his observation about being in control of one’s mind very inspirational. For instance, he notes that being in control of one’s thought processes is not sectarian and is not restricted to any form of religion. Thus if one chooses to indulge in misconduct, it is their choice. His observations are relevant to Mitchell’s teachings on how Buddhists are expected to conduct themselves.

Through the art of living, we are encouraged to always be in control of our thought processes. If we command our minds, we will live peacefully and in line with the teachings of the Buddha.

The art of living entails understanding and mastering how to live peacefully and harmoniously with nature. Above all restrictions facilitated by the provisions of religion or dogma, we need to be in control of our minds which is in tandem with the provisions of the Gautama Buddha. Goenka observes that we indulge in bad behaviors because we ignore the right things. He gives examples of avoiding telling lies, abstaining from evil bodily desires, and living a pure life free from intoxicants. These are basic interpretations of the Dharma that can greatly help us achieve piousness.

Goenka insists on the importance of being in control of one’s mind as a way of keeping off misconduct. This aspect forms the universality of good morals and behaviors. This menace majorly characterizes our lives, and it is a challenge for most of us to keep off it. He recommends that we apply meditation as a key to mastering and controlling the mind regardless of the religious orientations that characterize people from different parts of the world.

However, apart from mastering the mind, we should ensure that it is pure to ensure that it can never be misused.

These primary materials are very important as they team on the various aspects of our lives that can help us live good and pure lives. I now understand the importance of meditation. It is one of the most effective approaches that can help individuals avoid committing evils resulting from temptation from earthy things. Some of these talks in the form of interviews by Mr. Goenka were done decades ago but are still relevant to our lives today. We should strive to live by them at all times.

We can overcome our biggest challenges by mastering our minds. Being in charge means that we are the ones deciding on what to do and what not. These two sources complement each other in every way possible. They help us understand what we should do every time we find ourselves in tempting situations that may lead us to indulge in any form of misconduct. Meditations and observing the Dharma are our only refuge.


Introduction to Vipassana Meditation by Mr. S.N. Goenka

Mitchell, D. W. (2001). The way of Buddhism: Introducing the Buddhist experience (p. 368). Oxford University Press.

Reward For Performance And Contribution Free Writing Sample

Rewards provided to employees act as motivators to either maintain or improve work productivity which will eventually lead to enhanced organizational performance. Additionally, they can be used as a strategy to recruit new employees and retain the current ones in a competitive industry, where there is a shortage of highly skilled staff. The two types of reward approaches that can be offered by an organization are extrinsic and intrinsic rewards. Extrinsic rewards are those offered to employees after they achieve a specific organizational goal and they are usually monetary (Makki and Abid, 2017p. 38) such as bonuses after increasing sales. Intrinsic rewards are those that are based on employees’ personal desires, thus, motivating them to perform better to achieve them (Makki and Abid, 2017 p. 38) such as learning a new skill. This paper will examine the impact of reward approaches to encourage Home International to apply them to reduce employee turnover and improve profits. Also, it will evaluate the role of people professionals in supporting line managers to make reward decisions.

Principles of Reward and its Importance to Organizational Culture and Performance Management

Organizational culture refers to the values, employee behavior, and beliefs of a company, rewards can influence as well as positively impact performance. For instance, an organization that offers extrinsic rewards to its employees such as pay rises annually based on work performance is likely to influence employees to put in increased effort to achieve higher wages. Behaviors such as punctuality and meeting set goals on time are likely to be adopted by employees to achieve the annual pay rise. According to Putra et al. (2017 p.11), extrinsic motivators including monetary rewards and bonuses will influence employees to perform duties that require mechanical skills that are usually repetitive. Therefore, for Home International, extrinsic rewards can be used to help reduce the turnover among its factory operatives, who utilize mechanical skills such as handling and fixing machinery.

On the other hand, intrinsic rewards mainly motivate white-collar staff such as the office employees at Home International (Putra et al. 2017, p. 3). Such employees use cognitive skills such as analysis of payroll data, to complete their duties. For them, their jobs may help perfect their skills or learn new ones, thus, they are motivated in achieving their own professional goals, which could explain, the high retention rate among Home International office employees and the organization’s culture.

Policy Incentives and Practices

To provide pay raises to its factory operatives, Home International needs to conduct an anonymous employee satisfaction survey to determine their grievances beyond just pay and how they can be managed through policy. The survey can contain questions such as: Do you feel valued for your contributions? Does the company offer adequate opportunities for pay rises and rewards? How happy are you at work? The anonymity of the survey encourages employees to answer truthfully without fear that they may get fired or ostracized because of their responses. Based on the information collected, Home International can implement a policy that ensures appropriate and fair compensation, thus, encouraging employee retention and motivating their work performance (Sila and Širok, 2018 p. 128).

After the survey, then the content of the policy can be written including guidelines on how pay raises will be calculated, the employees that qualify for them, and how often they should occur. For instance, the policy can state that employees that have worked in the organization for more than two years are entitled to a 20 percent pay rise if their work performance has been consistently good. Sila and Širok, (2018 p. 125) averred that it is important for an organization to establish a suitable reward system to motivate employees and ensure commitment as well as loyalty to the organization.

People and 0rganisation’s Performance Impact on the Approach to Reward

The pay rise will be determined by the work performance, the Home International human resources manager will conduct performance review meetings with both the line manager and the factory operatives to determine how each employee fared during the period. The objective of the performance review meeting is to promote communication and provide feedback to employees about their overall work to help them improve. For instance, an employee who arrives late on several occasions can be provided with evidence during the meeting that shows how their behavior negatively impacted the ability of the team to meet set goals on time, thereby encouraging them to embrace punctuality. In a Gallup survey, 14 percent of employees said that performance reviews motivated them to improve their work (Sutton and Ben Wigert, 2019).

During the process, the human resource manager can give the line manager advice on how to avoid bias within the team and encourage cohesion among the factory operatives to boost performance (Chartered Institute of Personnel and Development [CIPD], n.d). However, since the performance review is conducted annually, the feedback may have little to no impact since the issues highlighted are past and were already resolved. Therefore, an employee may not receive a pay rise, when they feel that they deserve to, thus, negatively impacting their work commitment as well as productivity and eventually the overall organization performance.

Comparison of Performance-Related Pay and Intrinsic Rewards

The suggested reward approach for Home International is pay rises for the factory operatives to influence them to stay at the organization. The extrinsic award is motivated by the current furniture market in the UK; there is a shortage of highly skilled employees, thus, companies have increased their wage rates to attract new ones and retain their current ones (British Furniture Manufacturers, 2018). Therefore, it is in the best interest of Home International to increase the factory operatives’ salaries or risk losing more of them to competitors, which could negatively impact their profits in the long run. According to Iqbal et al. (2017), the key motivators that lead to employee retention include offering competitive salaries and an attractive rewards approach leads to improved productivity and employee retention.

Home International’s competitor, IKEA, offers both extrinsic and intrinsic rewards to its employees to positively influence motivation and retention. Among its intrinsic rewards include providing educational assistance to employees that are seeking to advance their qualifications and it provides equal opportunities for career progression and promotions (Alzghool, 2021 p. 18). Such rewards motivate employees to perform at high levels since they will be influenced to attain their personal goals (Makki and Abid, 2017 p. 42). The extrinsic rewards offered by IKEA include a bonus package for every employee when they meet or surpass particular business goals and a 15 percent subsidized transport loan of employees’ annual transport fare (IKEA, n.d).

Benefits and Drawbacks of Extrinsic and Intrinsic Rewards

The major benefit of extrinsic and intrinsic rewards is that they influence employee retention and productivity, which in the long run leads to high organizational performance. Additionally, they could increase employee engagement making them more dedicated to their work and the organization, thus, positively impacting performance (Putra et al., 2017, p. 11). However, there are drawbacks to intrinsic and extrinsic rewards that could negatively impact the organization’s performance such as losing motivation in cases where rewards are not offered to employees leading to little to no productivity that eventually negatively affects the organizational performance (Taylor and Alla, 2019 p. 4). For instance, if Home International chooses not to give factory operatives a pay rise, they will not be motivated to continue working for the company leading to further turnover.

Another drawback of both extrinsic and intrinsic rewards is that they are high cost (Taylor and Alla, 2019 p. 4). Rewards such as pay rise increase the annual operating costs of a company, which may contradict the objectives of Home International as it is also seeking to reduce cut costs. Therefore, the organization will be forced to choose between two of its objectives; cut costs by failing to implement a rewards approach or reduce turnover by implementing a rewards approach to maintain competitiveness in the industry.

Support to the Line Manager, to Ensure Consistent and Appropriate Reward Judgments

A line manager is responsible for directly overseeing the employees in different departments in an organization, reporting on employee performance, providing feedback, and leading meetings with the team. As such, unlike the top management including the human resource manager, they are in a better position to understand the contributions of the employees. Therefore, it is expected that they can make fair judgments on which employees deserve a pay rise and by what percentage. Still, line managers could benefit from support from the human resource manager to ensure consistent and appropriate reward judgments. One way it can occur is by helping line managers develop policies that are relevant to the employees’ work to ensure compliance with people practice (CIPD, 2019, 28). Also, they can guide them in the creation of policies that guide them on how to evaluate the impact of each employee on the organization (CIPD, 2019, 42). Additionally, the human resource manager can conduct specialized training with all the line managers in Home International line managers on how to handle challenges that may occur including conflicts within the team that may cloud their judgments on certain employees. While conflicts are inevitable when people work together for long periods, it should not affect an employee’s appraisal especially if their performance is unchanged.

How Line Managers can Make Reward Judgments based on Organizational Approaches to Reward

Line managers usually propose to the human resource manager the employees that deserve to be rewarded and the type of rewards that they should receive such as a pay rise or a bonus for good annual performance (CIPD,2019 p. 3). Based on the suggestions of the line managers, the human resource manager then submits the proposal to the top managers, who either approve or reject the suggestion based on factors such as the company’s financial capability. To ensure that rewards approaches are fair, line managers need to be transparent with the employees, which includes informing them of the behaviors and performances that will be rewarded (CIPD, 2019 p. 7). For instance, they can issue a statement that states how pay levels and increases will be set to give employees a fair opportunity to try and attain them.

Additionally, the line managers need to liaise with the human resource manager before setting the pay rise goals for their department to ensure that they align with organizational objectives. For instance, line managers need to understand the top management’s strategic goals before determining the pay rise percentage. If the goal is to cut costs, then the percentage is likely to be lower but at the same time ensure employees receive fair compensation.


Rewards motivate employees to either maintain or improve their performance, which in turn has a positive impact on an organization’s profits. This paper has examined the case of Home International which is seeking to cut costs, reduce turnover and improve profits. The suggested reward approach for the organization is extrinsic, pay rise for the factory operatives, who have the highest turnover compared to the office employees. The extrinsic award is motivated by the current furniture market in the UK; there is a shortage of highly skilled employees, thus, companies have increased their wage rates to attract new ones and retain their current ones. Home International’s competitor, IKEA, offers both extrinsic and intrinsic rewards to its employees to positively influence motivation and retention. However, a drawback of the reward is that is a high cost and will require an increase in the company’s operational costs, which contradicts its other objective of cutting costs. Line managers usually propose to the human resource manager the employees that deserve to be rewarded and the type of rewards that they should receive such as a pay rise or a bonus for good annual performance. To ensure that rewards approaches are fair, line managers need to be transparent with the employees, which includes informing them of the behaviors and performances that will be rewarded. Additionally, they need to ensure that the suggested pay rise aligns with the company’s strategic goals.


Alzghool, M. (2021). Case study: IKEA’s organizational culture and rewards management.

CIPD (2019). Reward management: Focus on pay 

Diraksa, E., Cho, S. and Liu, J. (2017). ‘Extrinsic and intrinsic motivation on work engagement in the hospitality industry: Test of motivation crowding theory.’ Tourism and Hospitality Research. pp. 1-14 DOI: 10.1177/1467358415613393

Iqbal, S., Guohao, L. and Akhtar, S. (2017) ‘Effects of job organizational culture, benefits, salary on job satisfaction ultimately affecting employee retention’. Review Pub Administration Manag; 5 (229): pp. 1-7 DOI:10.4172/2315-7844.1000229

IKEA (n.d). Why work with us? Because a job with us is so much more than a job.

Makki, A. and Abid, M. (2017). ‘Influence of intrinsic and extrinsic motivation on employee’s task performance’. Studies in Asian Social Science. 4(1): pp. 38-43. DOI:10.5430/sass.v4n1p38

Sila, E. and Širok (2018). ‘The importance of employee satisfaction: A case study of a transportation and logistics service company’. Management; 13 (2): pp. 111–136

Sutton, R. and Wigert, B. (2019). More harm than good: The truth about performance reviews. Gallup.

Taylor, K. A. and Alla, S. (2019). ‘Influence of reward systems on motivation-pros and cons based on current literature’. Proceedings of the American Society for Engineering Management 2018 International Annual Conference E-H. Ng, B. Nepal, E. Schott, and H.Keathley eds.

Reward Management In Human Resource Management Writing Sample


Reward management creates policies and procedures that ensure that every person in the organization is treated fairly and consistently. Employees who are rewarded for exceptional performance feel valued, which can be a powerful motivator for increased productivity. Rewards can take many forms, but those that support your company’s overall strategy, purpose, culture, and performance, as well as its personnel needs, are the most effective. An important aspect of reward management is determining who should be recognized and how to go about selecting people who have contributed to a successful project or shared goal. Reward management is a strategy for motivating employees to improve their productivity, engagement, and morale. Employees are compensated for the value they add to the company and for contributing to their own well-being. Things that send the proper message about critical business behaviors and outcomes are prepared or can pay for and are rewarded according to a corporation’s principles (Morris, 2021). It also aids in the development of a strong, positive company culture, enhancing employee value proposition, motivating and confirming employees’ dedication and engagement within it, retaining top talent, improving efficiency, and establishing a solid reputation, which can be a critical way to engage employees, contribute to a positive reputation, and have a significant influence on clients (Rai, 2018). As a result, the focus of this research will be on HRM reward management, with a focus on intrinsic and extrinsic motivation concepts.

Intrinsic and Extrinsic motivation theories of reward management

Employee motivation has always been a matter of interest to business executives and managers (Amabile, 1993). Reason has been described in a variety of ways over the years, and many different interpretations have emerged (George & Jones, 2012). Finally, motivation refers to when someone is inspired to do something (Ryan & Deci, 2000). A person is motivated if they feel exhilarated and activated towards something, according to Ryan and Deci (2000), whereas an unmotivated person lacks inspiration and impetus.

Work motivation, according to George and Jones (2012), is the psychological force that directs a person’s behavior in an organization, their amount of effort, and their tenacity in the face of obstacles. Unmotivated people, according to Amabile (1993), are more likely to put forth minimum effort at work, create lower-quality work, avoid the workplace, and even quit if given the option. Motivated employees, on the other hand, are more likely to take on duties willingly, produce high-quality work, and be inventive, tenacious, and productive. While motivation is sometimes reduced and described to as a single case with just tiny differences in amounts or levels, it is obvious that employees are driven in a number of ways (Riasat et al., 2016). (Riasat et al., 2016). Since it describes why people function or act in a specific way, motivation is among the most crucial components of understanding and controlling organization performance.

Intrinsic motivation is described as doing something for the sake of doing it rather than for a subsequent advantage. When someone is intrinsically driven, they are motivated to perform because they love or are challenged by the activity at hand, rather than by external products, pressures, or incentives (Ryan and Deci, 2000). (Ryan and Deci, 2000). Extrinsic motivation, however, refers to when someone conducts a given activity in order to reach a specific goal. Extrinsic motivation is distinct from intrinsic motivation, which explains to doing something for the sake of doing it rather than for the benefit of doing it. The primary distinction among intrinsic and extrinsic motivation is now that intrinsic motivation comes from inside, but extrinsic motivation is impacted by external circumstances (Nickerson, 2021). (Nickerson, 2021).

Intrinsic and extrinsic motivations can be blended in many situations, such as when a promotion comes with a wage boost and additional duties. As a result, managers must be aware of both internal and extrinsic motivators in order to motivate employees (Root, 2022). Another example is people working on completing a task to meet a coworker’s deadline while having fun and producing excellent results (Sennett, 2021). As a result, the simplest method to classify rewards is to divide them into two categories: intrinsic and extrinsic. Awards, acclaim, and public acknowledgment that convey a sense of success but aren’t monetary are examples of intrinsic awards. Extrinsic benefits, on the other hand, are tangible and can include monetary value, such as a bonus or paid vacation (Morris, 2021).

Conflicting views on extrinsic and intrinsic theories of motivation

Although the two ideas can coexist, several studies have shown that if extrinsic rewards are offered for actions that an individual already finds inspiring, intrinsic motivation would drop over time (Lumen learning, n.d). As a result, there is disagreement about how and for how long motivators influence behavior. Some evidence suggests that providing extrinsic motivation reduces internal motivation, a phenomenon known as the overjustification effect. If extrinsic incentives are utilized to encourage activities that an individual already finds desirable, intrinsic motivation for that activity may fade with time, even if external reinforcement is not used.Extrinsic motivators can backfire in some cases, undermining a previously held intrinsic motive instead of serving as an incentive for the desired activity. This can deplete intrinsic drive and lead to a reliance on extrinsic rewards for long-term success (Deci & Ryan, 2000).

According to other study, intrinsic motivation may not be as susceptible to extrinsic reinforcements as previously thought, and that external reinforcements such as verbal praise may potentially improve intrinsic motivation (Arnold, 2002). Physical rewards, such as money, have been demonstrated to reduce intrinsic motivation, but verbal rewards, such as praise, increase it. Furthermore, an individual’s expectation of the extrinsic motivator is critical: if an extrinsic reward is expected, intrinsic motivation for the job is diminished. If there is no such expectation and extrinsic motivation comes as a surprise, intrinsic motivation for the job is more likely to last (Deci & Ryan, 2008).

Extrinsic motivators’ effectiveness varies depending on various factors like self-esteem, perceived control (the degree which someone thinks they have control over the events that impact them), self-efficacy (how somebody evaluates their ability to solve complex problems and achieve goals), and neuroticism, according to other studies (a trait marked by moodiness, anxiety, worry, jealousy, and envy). People with strong self-esteem may have less of an impact on behavior since they don’t have the same drive for approval that makes external praise appealing. Someone who lacks confidence, on the other hand, may strive for attention incessantly.

Application of Extrinsic and Intrinsic theories of motivation in reward management

A reward is a form of recognition granted by an employer to an employee in exchange for their contribution to the company. Employees are motivated by a well-designed reward system, which aids in the development of a positive emotional response to their work. It also leads to better and higher employee productivity that directly affects the company’s performance (Bajrachayra, 2018). Organizations have various options for rewarding and recognizing their employees’ contributions, each with benefits and risks. The most effective incentive packages are aligned with business needs, employee desires and reflect the organization’s mission and performance. As a result, extrinsic motivation encompasses all financial provisions made to employees, including cash pay and a broader benefits package that includes paid leave and pensions. It can also have more comprehensive benefits for employees. The term ‘total reward’ refers to non-monetary benefits such as praise, classified as intrinsic motivation.

The primary goal of delivering compensation and benefits is to influence employee behavior so that they want to join and stay with a company and strive to achieve their best. The salary was traditionally used to recruit individuals to an organization, while benefits helped them survive, and bonus and incentive plans encouraged them to work harder. However, there has been a shift in understanding regarding which aspects of reward are best suited for recruitment, retention, and motivation. Varieties of financial and non-financial benefits attract, keep, and engage people, which might change over time based on personal circumstances. Individuals may not perceive the financial aspects to be very relevant in some instances. For example, people who are just starting their careers may be more interested in getting access to training and development.

Individuals may also be willing to labor for less salary or even volunteer if they are passionate about its objective. Employers should learn what motivates, retains, and inspires their employees and then figure out how to best address those needs while still meeting the business’s needs in a legal and regulatory context. It’s also critical for companies to integrate the various aspects of an incentive package to complement rather than contradict one another.

Intrinsic rewards

Creating a positive work environment, great acknowledgment, and praise, offering people autonomy and trust, and mastery of new skills and information are all examples of intrinsic rewards.

Positive work environment

A significant emotion associated with inclusive and supportive workplace cultures is a sense of belonging. Employees are more intrinsically motivated to achieve at their employment and reciprocate when they feel valued and celebrated by their peers. According to one study, organizations with good cultures can increase income by attracting top personnel and observing enhanced job performance (DCR strategies, n.d). Employees’ attitudes toward corporate culture are influenced by how their beliefs fit with the company’s. Workers who feel meaning or purpose in their jobs put in more significant effort to help customers and coworkers succeed. However, because culture begins at the top, managers must first exemplify their company’s principles to provide a supportive environment for their staff.

Acknowledgment and praise

Employees who receive words of praise from their managers or coworkers are more engaged than those who do not. Most employees believe that receiving recognition would motivate them to work more at their jobs (DCR strategies, n.d). Despite this, most businesses lack an employee recognition or feedback program. Feedback can be given in formal and casual situations, such as team meetings or coworkers passing each other in the hall. Employers, for example, can use 360-degree feedback.

Trust and autonomy

Employees need to know that their boss believes in their ability to handle their job obligations and that they have the potential to advance in the role. Because we perform better and feel accomplished when we have control over our tasks, autonomy is one of the four universal intrinsic sources of motivation (DCR strategies, n.d). Delegating and enabling your employees to take ownership of their job allows them to make decisions and be recognized, boosting morale.

Mastery of new skills and information

Employees who produce high-quality work and make progress add tremendous value to their teams and are proud of their jobs. Providing training and development to encourage mastery is a good strategy because it helps them gain more knowledge and skills (DCR strategies, n.d). Since most workers want more career growth opportunities and offering training can increase profits, providing training and development to encourage mastery is a good strategy because it helps them gain more knowledge and skills.

Extrinsic rewards

Extrinsic rewards include job perks, giveaways, bonus payments, pay rises or promotions, and profit-sharing programs.

Job perks

Perks are typically thought of as tiny “extras” that might make working life more enjoyable. From donut and coffee hump days to dress-down Fridays, there’s something for everyone. Previously considered “fringe” benefits, these are increasingly gaining popularity in companies and becoming more important to employees. Many employees desire to improve their lives, and companies who are aware of this are beginning to understand it (Morris, 2021). Time allowances for learning new languages, taking fitness classes, or engaging in cycle-to-work programs are now commonplace in forward-thinking firms. It’s unlikely that you’ve forgotten how beneficial these benefits are to both you and your employees. Employees who are happier and healthier are more likely to contribute to the culture of an organization by living better lives both at work and at home.

Giveaways/corporate gifts

A gift is a short-term award provided to the entire workforce as a token of employee performance or appreciation. You’ve previously gotten branded pens or notebooks, packaged foods, or gift vouchers as a business presentation. Digital rewards, such as virtual gift cards for online purchasing, can also be issued. Gifts are best used to commemorate minor milestones or seasonal festivities.


A bonus is a small, short-term monetary reward usually given once a year. The assessment process varies by company, with some offering predetermined bonuses after employees have worked for the company for a particular time. Others may decide on a reward based on job performance, a more subjective metric.

Pay rise and promotions

Although pay hikes and promotions are frequently offered together, not all wage increases are accompanied by a promotion. Wage raises, like bonuses, are given out after a specified amount of time for a significant shift in performance or a set of new talents. Workers must obtain their bosses’ favor and trust to be promoted to greater responsibility and seniority. To feel positive and put forth extra work, employees must know that promotion prospects are within grasp.

Profit-sharing programs

Employee profit-sharing schemes are effective incentives because they directly link employees to the company’s profitability. Each employee receives a portion of the company’s quarterly or annual earnings based on 2.5 percent to 7.5 percent (DCR strategies, n.d). Profit-sharing encourages employees to adopt a collectivist mindset and strive toward the company’s overall success rather than focusing just on their own immediate goals.

Importance of reward management to Human Resource Managers

Human resources managers are in charge of planning, coordinating, and directing the administrative operations of a company. They are responsible for recruiting, interviewing, and hiring new employees, as well as consulting with top executives on strategic planning and serving as a liaison between management and staff. As a result, employee productivity has a direct bearing on them (Bureau of Labor Statistics, n.d). Keeping this in mind, we can demonstrate how paying employees benefits people managers.

Assuming that managers care about their company’s success, they will act in accordance with how they believe this aim can be achieved. Many surveys (Robinson et al., 2004; Scott & McMullen, 2010; Towers Perrin, 2008) were conducted to indicate that managers had a major impact on employee engagement. Managers usually provide formal rewards, such as pay raises and performance assessments, but they also provide internal motivation, such as varied and demanding work assignments.

Typically, when it comes to legislation relating poor performance or failure to fulfill targets by employees, corporations are constantly on. A reward management program can help to balance this and prevent a gloomy mood from forming, which can result in lower productivity and higher worker turnover.

To begin with, reward management can assist HR managers in attracting top talent to the company. People are drawn to organizations that treat their employees properly and appreciate them while they are looking for work. Second, incentive management aids human resource managers in retaining the company’s best employees. Increased staff retention is one of the goals of implementing incentive management. It’s difficult to overstate the significance of employee retention. Keeping the best employees on board is crucial for business success, and if they do not feel valued, they may leave to work for a competitor (Grewar, 2021).

Furthermore, HR managers may find that replacing them is time and money demanding. There are a variety of ways to keep them, and efficient reward management is critical. Lower employee turnover and lower costs associated with hiring new personnel have been linked to reward management. If an incentive system is introduced, employees will be more loyal to the organization. Employees will feel valued and their thoughts will be heard if there is an incentive structure in place. Employees who are happy with their pay structure are more likely to love their jobs and stay loyal to the company.

Implementing an incentive system in the workplace will reduce absenteeism. Employees appreciate being recognized for their hard work, and if a system is in place, they are less likely to call in sick or fail to show up for work (UKessays, 2021). If a reward system is in place, employees will be more aware of the organization’s aims and goals since they will be reimbursed when particular milestones are fulfilled. As a result, utilizing a reward system as an incentive will cause HR managers to be less worried about job productivity.


Reward management establishes policies and procedures to ensure that every employee in the organization is treated fairly and consistently. Reward management can be studied using both intrinsic and extrinsic motivational theories. Intrinsic motivation is defined as doing something for the purpose of doing it rather than for a subsequent reward. Extrinsic motivation, on the other hand, is a concept that applies whenever someone engages in an activity in order to achieve a certain goal. There is disagreement over how and for how long motivators alter behavior. Extrinsic rewards for an activity that an individual already finds inspiring may cause intrinsic drive to wane over time, according to several studies. Others have found that verbal rewards like praise can boost intrinsic motivation. An appealing work environment, gratitude and reward, trust and autonomy, and mastery of new skills and information are all examples of innate motivations. Job perks, freebies, bonuses, pay hikes and promotions, and profit-sharing programs are examples of extrinsic benefits.

Managers have a significant impact on staff engagement and productivity. Like pay hikes and performance reviews, managers commonly use formal rewards. Managers also offer intriguing assignments and demanding and varied work assignments to motivate personnel. A reward management program can aid in balancing this and avert a poor atmosphere from developing. Incentive management has been connected to decreased worker turnover and cheaper expenses associated with engaging new workers. An incentive system guarantees that employees feel valued by the firm. If an incentive system exists, employees will also be more aware of the organization’s ambitions and goals.


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