Effect of Reward Management on Employee Performance in Selected Food Companies in Ibadan, Oyo State, Nigeria.

Chapter One of Effect of Reward Management on Employee Performance in Selected Food Companies in Ibadan, Oyo State, Nigeria.

 

Abstract of  Effect of Reward Management on Employee Performance in Selected Food Companies in Ibadan, Oyo State, Nigeria.

Seeing how important and necessary rewards management strategies are in the determination of employees’ job performance through past body of research. This has encouraged companies in the food industries to improve their rewards strategies in order to get the maximum performance ability of their employees. Management teams must ensure that the right reward management strategies (financial and non-financial) such as; pay, fringe benefits, recognition, and promotion are put in place within the organizations to ensure efficiency and effectiveness is achieved using the appropriate rewards management strategies for appropriate situations.

The study examines the effect of rewards management on employees’ performance of selected food industries using the staff population of 3,556 of four selected food processing industries. The study adopted Taro Yamane sampling formula to arrive at the sample size from the employees total population. The data for study were collected through the use of questionnaires. The coefficient of Cronbach Alpha reliability test ranges from 0.00 to 1.00 with any value above 0.5 indicating that the research instrument is reliable. The response rate was 100%,. The data collected were analyzed using linear regression Analysis.

All the analyses were carried out using SPSS. The results of the analysis revealed that, pay had positive and significant effect on employees’ job performance (β = 0.764, R= 0.359, R² = 0.129, p = 0.000<0.05), fringe benefits had positive and significant effect on employees’ job performance ( R = 0.388, R² = 0.150 , <0.05), recognition had a positive and  significant effect on employees’ job performance ( R= 0.355, R² = 0.126 , <0.05), promotion had a positive and significant effect on employees’ job performance ( R = 0.496, R² = 0.246 , <0.05)

The study concluded that reward management has a significant effect on employees’ job performance in selected food industries. The recommendation is that Employers of labour should do a thorough review of the reward packages of their employees and ensure that it meets the current trends in terms standard of living or costs of living. Other researchers should carry out the study using larger geographical location(s).