Rewards and Incentives...

Rewards and Incentives One effective way of motivating employees is to provide rewards and incentives for their excellent performance and also for recognition of a job well done. Sometimes management in several organizations forgets these tools since it is felt by them that employees are paid the wages to do a good job. Management of these organizations should keep in mind that employees respond to recognition for good performance. This recognition can be given in the form of either rewards or incentives or both. These recognitions can be given in monetary as well as in non monetary form. The tools of rewards and incentives are used by the management of several organizations to motivate employees for carrying out of a task, for learning of new skills and for changing of behaviour patterns. Though the terms ‘rewards’ and ‘incentives’ are used for the purpose of motivating employees, yet both the terms are distinct terms. The distinction between rewards and incentives is sometimes get blurred and people generally can think that the two terms are one and the same. However this is not the case – far from it in fact. A reward is something that celebrates success once an action has been tried or completed. It is a thing that is given to an employee in recognition of service, effort, good behaviour, and/or achievement. It is something which is actually given to an employee after his effort or achievement. On the other hand an incentive is something that motivates an employee to perform an action. It is a thing that encourages the employee to do something. In fact incentive is a motivating factor for an employee to exceed expectations. Employee rewards and incentives can both be very effective motivators when used appropriately. In case they...