Financial and non- financial incentives best practices in work organisations: a critical review of literature

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Date

2021-11

Journal Title

Journal ISSN

Volume Title

Publisher

ResearchGate

Abstract

Motivation has effects on employee performance in numerous ways. Cognizant of this, companies have established various incentives/motivational packages to enhance employees’ morale and hence improve performance. Obviously, workers are motivated by both financial and non-financial rewards. The literature on employee motivation focusing on financial and non-financial incentives is reviewed in this article. The intention is to identify the best practices in connection with these incentives. Using a documentary analysis research process, information was collected from peer-reviewed journal articles, books, and conference proceedings, employing various search engines. Keywords including "motivation," "incentive," "financial rewards," “motivation,” “incentive,” “reward” “financial incentives,” and "non-financial incentives" were used during the search. Publications in English language were the only ones reviewed. The articles which met those criteria were selected and underwent the quality assessment and data extraction. The search identified 1497 publications, abstract screening was done from 1091 qualified publications, and 440 full-texts were screened for eligibility. Only 85 articles reflected the theme of this review. Both financial and non-financial incentives have been found to be crucial in this review, despite the fact that most of people are working hard to retain their economic and social status. Numerous types of financial and non-financial incentives were identified through the review. Managers must ensure that their workers operate in friendly and attractive conditions, according to the findings. This study suggests that managers and other interested parties use the findings as a starting point for identifying and understanding factors motivating workers in their organisations in order to create an atmosphere that supports, promotes, and fosters such factors. It is recommended that the best ways to inspire employees are to build a supportive and exciting working atmosphere, effective communications and strong association, morale-boosting events and commitment to off-the-job life.

Description

Journal of Co-operative and Business Studies (JCBS) Vol. 6, Issue 2,

Keywords

Financial incentives, Non-financial incentives, Financial/monetary reward, Non-financial reward, Motivation

Citation

https://www.researchgate.net/publication/356998268