Impact of Rewards System on Employee Performance in Delivery Industry

Dissertation

Contents
Chapter 1- Introduction....................................................................................................................4
Background of study............................................................................................................5
Problem statement................................................................................................................5
Research aims & objectives.................................................................................................5
Rationale of study.................................................................................................................6
Research Question................................................................................................................6
Research methodology.........................................................................................................6
Research structure................................................................................................................7
Chapter- 2.........................................................................................................................................7
Introduction............................................................................................................................7
To ascertain the concept of reward system.............................................................................7
To analyse the impact of reward system on employee performance......................................9
To determine the challenges in managing the reward system to improve the employee
performance and organizational productivity.......................................................................10
Conclusion............................................................................................................................12
Chapter 3- Research methodology.................................................................................................13
Chapter 4- Data analysis and discussion........................................................................................17
Theme 1: To ascertain the concept of reward system..........................................................17
Theme 2: To analyse the impact of reward system on employee performance...................19
Theme 3: To determine the challenges in managing the reward system to improve the
employee performance and organizational productivity......................................................20
Reflection.......................................................................................................................................21
CONCLUSION..............................................................................................................................23
References:.....................................................................................................................................25
Online-...........................................................................................................................................26

Chapter 1- Introduction
The reward system defines to all monetary, non-monetary payments which an
organisation provides to its employees in the exchange of the work which is performed by them.
This involves the rewards of intrinsic and extrinsic. The extrinsic rewards are the financial
payments and working conditions which is received by employees as part of job. Whereas
intrinsic rewards are related to satisfaction which is derived from actual performing of job like
personal fulfilment. The reward system helps in attaining the organisation goals through aligning
the employee goals and ensures that sufficient number of employees are recruit and retain with
right skills. The reward system is used as crucial tool as to drive business growth and boosting
staff morale. It is directly link to the effective performance and staffs are rewarded as per their
needs. It can be said that reward system helps in influencing the employee performance through
enhancement of employee’s skills, knowledge and abilities as to attain organisation objectives
(Alhassan, and Greene, 2020). The employees are feels motivated as there exist powerful
relationship between rewards & employee performance. The research report is based on
evaluating the impact of reward system which affects employee performance covering the
background of study, problem statement. Further research aim & objectives is considered with

rational of study and research methodology which researcher will use to conduct research on the
topic.
Background of study
The current study demonstrates the concept of the reward system, which must be
understood and implemented precisely. The delivery company must create a good and defined
reward system activity from which the company's employees can perform well in order to have a
positive working environment and produce an acceptable number of results and outcomes. A
reward system is a method of increasing an organization's efficiency while also monitoring
employee performance, thus keeping qualified staff and attracting fresh talent. Thus, it is evident
that an effective reward system should include both monetary and non-monetary awards and
incentives in order to meet employees' requirements and expectations of management and the
reward system (Armstrong, and Taylor, 2020). A strong combination of extrinsic and intrinsic
rewards allows the organisation to maximise employee commitment, motivation, and job
satisfaction, which in turn maximises employee performance, especially in terms of productivity.
Problem statement
Retaining a skilled and high-quality employee has been seen to be one of the most long-
term sustainable competitive advantages, but in today's business environment, it has become a
struggle for businesses. The productivity and company success depends on the employee
performance & motivation in which reward system is considered as effective management to
motivate employees particular to low performers. The employees will feel demotivated when
there will be no recognition of the employee hard work it will affect performance negatively
(Chaudhary, 2020). The problem can be seen as not well design of reward system without
consulting with employees which is not capable to satisfy employees needs and expectations. To
overcome this problem the research is been conducted in order to determine reward system &
employee performance.
Research aims & objectives
Research aim
“To understand the effect of reward system which puts the effect on employee performance”.
Research objectives
 To ascertain the concept of reward system

 To analyse the impact of reward system on employee performance
 To determine the challenges in managing the reward system to improve the employee
performance and organizational productivity
Rationale of study
The purpose of this study is to comprehend the concept and role of the reward system,
which has a significant impact on employee performance while also providing an effective
outcome for the firm. This research study was carried out in order to provide a beneficial
opportunity to the business sector in which they can easily comprehend the relevance of the
reward system and may implement it effectively at the workplace in order to deliver a specific
number of results (Pareek, Mohanty, and Mangaraj, 2019). The study helps in increasing the
knowledge and understanding of the research topic in respect to reward system for enhancing
employee performance.
Research Question
 What do you understand by reward system?
 Why reward system is significant for employee performance?
 What are the challenges the organization faces to provide effective reward system
management to improve the employee performance?
Research methodology
The researcher in the current research uses several research methodologies as to conduct
the research in efficient way so that there can be collection of data & information in reliable &
accurate manner. The work of this present research is dependent on Qualitative methodology in
the aim of collecting, comparing & interpreting of information. In the research interpretivism
philosophy is used as to interpret and connect interest of human into study. With this researcher
uses inductive approach as to collect data involving observation and theories for particular patter
with help of hypothesis. The research has considered primary data which is gathered from the
source of interview, experiment etc. and secondary data is which is collected already that helps
in attaining aims & objectives of the research topic. The theoretical framework provides the in-
depth understanding of the topic and challenges according to accomplish research goal (Singh,
Bamel, and Vohra, 2020).