The Influence of Reward Systems on Employee Performance among Corporate Organizations in Kuching, Sarawak: Mediating Role of Job Satisfaction.
Loading...
Date
Journal Title
Journal ISSN
Volume Title
Publisher
Universiti Malaysia Sarawak (UNIMAS)
Abstract
Description
Employee performance is a critical determinant that drives organizational success. Reward systems have been a conventional method implemented by organizations to reward employees for their efforts, contributions, and performance in the organization. However, limited research has been conducted to investigate employee performance among workers in corporate organizations. Hence, this research aims to investigate the effect of extrinsic rewards and intrinsic rewards on employee performance with a mediating effect of job satisfaction. This research will employ a quantitative method with the collection of respondent data using questionnaires. The population for this study is employees working in corporate organizations in Kuching, Sarawak. The sampling technique is stratified sampling, and the sample size will be from the Sarawak Economic Development Corporation, Sarawak Forestry Corporation, and Sarawak Digital Economy Corporation. The respondents' data will be analyzed using SPSS and PLS-SEM. The findings reveal that both extrinsic and intrinsic rewards significantly enhance employee performance, with intrinsic rewards showing a more potent effect. Additionally, job satisfaction has a positive influence on performance and mediates the relationship between extrinsic rewards and performance. However, job satisfaction does not mediate the relationship between intrinsic rewards and performance, indicating that extrinsic rewards play a more dominant role in motivating employees. The study highlights several limitations, including its narrow geographical focus and potential response biases. Future research should expand to include subsidiaries, other corporations, and sectors such as manufacturing, while also exploring additional mediators, including organizational culture and leadership styles.