Organization Reward System as an incentive plan

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Define the organizational reward system and distinguish between intrinsic and extrinsic rewards. What is more important to you and why?

student response


Organization Reward System is an incentive plan to reinforce  and motivate desirable behavior of employees with the purpose  of reinforce the image of the organization to competitors, attract new employees, as well as retain key employees and reduce turn overs. There is two types of rewards to observe: Intrinsic reward and extrinsic rewards. Intrinsic reward come from within the employee: personal satisfaction, self accomplishment related to personal or business goals, this employees perceives to be meaningful to the organization and they welcome challenges. Extrinsic rewards in the other hand is provided by the organization is tangible and is given to the employee it usually have monetary value, some examples are: bonus, awards, Incentive payments, promotions, fringe benefits. 

 I personally prefer intrinsic rewards, the feeling of working with a purpose, the implied understanding that my work is valued, and no matter what comes the work will be handle with excellency, because every day I feel accomplished, and I like everyone that work for/with me to feel the same way, my priority at any giving moment is to have a safe space to work, leading with transparency and openly appreciate when others done well even when done well reflect the efforts of doing better. My goal in life is that no matter were I go in my profession I will find a work place were I can trust and rely in others yet I can understand some of my believes can be idealistic, and creating the perfect work place takes time, planning, effort and cost money. I realized by reading the lectures that I never realized that health benefits, pension plans, paid vacation are rewards provided by the organizations and not all organizations offer them. I can easily see my self choosing extrinsic rewards if the organization I work-for limits rewards benefits

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