Employees'reactions due to a reward system : a study in a sale organisation

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Background: Reward systems may be used in order to encourage different behaviors and to motivate employees in accordance with a company’s intended goals and results. To be able to design a reward system that leads to desirable performances, it is of great importance to be aware of the reactions that a reward system can emanate among employees. Purpose Statement: The purpose is to analyze and explain the reactions of employees due to a reward system that has been designed and implemented by the management. Research Method: We have carried out interviews with 2 middle-managers, 7 employees as well as the responsible of the reward system at Telia Kundtjänst AB in Norrköping. Result: According to our study, reactions emanating from the implementation of a reward system appear as improvements as well as deterioration of performance. Further, our study indicates that the reactions can be expl...