The influence of non-monetary rewards on employee performance in Muranga water and sanitation company, Murang’a county

Abstract

Employee performance is fundamental component that facilitates organizational growth and sustainability. This study was done objectively by assessing the influence of recognition, career development, employee independence and flexible schedules on employee performance in Muranga water and sanitation company, Murang’a County. The study used descriptive survey research design by using quantitative as well as qualitative research methods. The target population of this study was all the 87 employees working at Murang’a Water and Sanitation Company, comprising of 3 top managers, 21 middle level employees and 63 lower level employees from Murang’a Water and Sanitation Company. This study used a census survey method of selecting the sample size, a sampling method that targets all the respondents indicated in the study population for effective information, and also because the number of respondents is small. Therefore, the sample size for this study was 87 respondents. Data was collected using a questionnaire as the primary data collection instrument, which was administered by the researcher so as to achieve a higher feedback rate. Analysis of the collected data was done via qualitative content analysis for open-ended questions, and quantitative data analyzed by the use of SPSS (statistical package for social sciences), and frequency tables, charts and percentages will be used to present and interpret the data. This study was expected to establish how non-monetary rewards can be used to improve employee performance. This study found out that there is a strong relationship between employee independence and performance. Also, the study found out that recognition has a significant impact on employee’s satisfaction and productivity, and that employees attach great value to recognition as part of rewards. In addition, the study foundout that a high level of level of organizational effectiveness is achieved when organizations adopt career development as a way of boosting employee performance to a great extent. Finally, the study found out that flexible working schedules render employees great flexibility in how their jobs are done, creating good morale can help in keeping stress at low levels, and so employees are not only happier but healthier, lead to improved productivity. This study concluded that recognition has a significant impact on employee’s satisfaction and productivity, a high level of level of organizational effectiveness is achieved when organizations adopt career development as a way of boosting employee performance to a great extent, and that flexible working schedules render employees great flexibility in how their jobs are done, creating good morale can help in keeping stress at low levels, and so employees are not only happier but healthier, lead to improved productivity. This study recommends that the management in organizations minimizes its emphasis on monetary rewards like bonuses, to capitalize on non-monetary rewards, majorly by recognizing, allowing independence, offering flexible working hours as well as promoting career development for their employees, because these forms of rewards are likely to boost employee performance to a great extent, and in turn enhance organizational performance.