The impact of reward frequency on employee motivation: A comparison ofcash vs. tangible rewards

Resumo

Rewards management is crucial in human resource management to enhance employee motivation and performance. Recently, organizations have shifted their reward strategies, focusing on tangible rewards and varying reward frequencies. Cash rewards, monetary payments for task completion, and outstanding performance are contrasted with tangible
rewards and non-monetary incentives like gift cards and travel vouchers. This study explores the impact of reward frequency on employee  motivation, comparing the effects of cash rewards versus tangible rewards. Tangible rewards often increase motivation more effectively than cash
rewards due to their hedonic nature, as opposed to the utilitarian nature of cash. According to mental accounting theory, individuals treat cash rewards similarly to their salary, while tangible rewards are perceived separately, offering more enjoyment. This research aims to provide insights into the effectiveness of reward types and frequencies, contributing to the understanding of optimal reward strategies for enhancing employee motivation and performance. The study proposes using an experimental survey design to test the relationships between variables.

This article was originally deposited in Zenodo as part of the ALBUS Conference open-access archive.
Citation:
Sookhai, S. (2024). The impact of reward frequency on employee motivation: A comparison of cash vs. tangible rewards. Proceedings of the 2024 Academy of Latin American Business and Sustainability Studies (ALBUS), Puebla, México. https://doi.org/10.5281/zenodo.13995493

This version has been included in the official ALBUS Proceedings with permission and remains unchanged in content.