Researched in this thesis is the financial impact of employee involvement and performance- related pay systems in UK manufacturing and retail settings. The test questions are introduced in Chapter 1 along with some micro- and macro-level factors which may make it efficient to involve employees in decision-making and to pay basis performance. Chapter 2 discusses theoretical issues associated with involving employees in decision-making and using group-based incentives. There is support from both the theoretical and empirical literature that employee involvement and performance-related pay are more efficient when used in combination. Chapter 3 evaluates methodological issues associated with the examination of these questions, including methods used to attribute for unobserved heterogeneity and endogeneity in the econometric analysis. In Chapter 4 case study evidence is gathered from the retail sector on the adoption of, and associated performance trends with the use of, an All Employee Stock Option Programme (AESOP) and extensive employee communication programmes. Sources at the company indicate that the use of these practices are thought to result in greater employee effort and efficient information sharing. Performance trends, since the adoption of these programmes, indicate improved performance within the company and relative to competitors which do not offer an AESOP. Econometric analysis is used in Chapter 5 to examine the financial impact of individual, team and group pay systems in UK manufacturing establishments where there is work task 'interdependence'. Evidence is found that in team production settings group payments systems are the most efficient pay system. Chapter 6 examines the impact of two forms of employee involvement, decentralized decision-making and two-way information sharing, on establishment performance. These practices are examined both including and excluding incentives. A statistically significant impact on establishment performance is found when performance-based incentives are included: this result disappears when the incentives are excluded. A second econometric analysis is conducted in Chapter 6, evaluating the independent and interactive effects of decentralized decision-making and group incentives in team production settings. Evidence is found that sub-optimal performance results in establishments which use only decentralized decision-making or only group incentives. Establishments that use the practices in combination have the best performance. Chapter 7 is the summary and conclusion.

No / This paper aims to evaluate the aims and methods of appraisal, and the difficulties encountered in the appraisal process. The paper uses a review of the literature to evaluate the development of appraisals and argues that the critical area of line management development that was identified as a critical success factor in appraisals has been ignored in the later literature evaluating the effectiveness of performance appraisals. The review identifies the lack of theoretical development in appraisal and argues the psychological approach of analysis and a more critical realisation of appraisal, re‐evaluating the challenge to remove subjectivity and bias in judgement of appraisal. Further evaluation of key interpersonal skills is required for appraisal systems to develop performance. The use and design of performance pay in public and private services linked to appraisal have not always improved organisational performance and can contribute to reduced motivation. Little research has evaluated the current increases in using appraisals and the changes in focus from appraisal to performance management. The paper adds value to the existing body of knowledge and offers insights for practitioners and researchers.

Performance pay has been identified as a key element of modem human resource strategy but published field research has been limited. This thesis investigated the objectives, methods of operation and outcomes of several performance pay schemes through the creation and testing of several hypotheses. Evidence was gathered through a longitudinal study in one organisation augmented by case studies in two further organisations. The findings showed that organisations demonstrated a mix ofoperational and cultural objectives for introducing performance pay while the desired outcomes were to promote cultural change, internal equity and increased motivation. However, the findings from the longitudinal survey showed that the desired outcomes were not met, as viewed by the employees. Motivation was not increased, nor did the scheme help to change culture while pay satisfaction remained at a low level, although the employee response to the scheme showed a limited improvement after operating for one year. Positive employee viewpoints were highly correlated to the level of communication and satisfaction with pay. In terms of the influence of employee characteristics, women and non-union members were significantly more positive than men and union members. A cluster analysis showed that negative views were more strongly held than positive views which statistically influenced the outcomes and employees with such negative views had a 'bundle' of characteristics, namely middle grade males with long service and union membership. This research has made a number of contributions. It has added to the limited number of UK field studies and its longitudinal nature provides unique fmdings. It has provided data on the launch and initial period of operation ofa perfonnance pay scheme, as perceived by the employees. It has shown further evidence of strategic use of performance pay schemes with a newly constructed model. The findings have important implications for management, especially in relation to the identification of key supporter groups and opponents to the scheme and the issues that employees regard as key to the success of the scheme.

Purpose: To critically investigate the effect/impact the implementation of both team and individual based pay has when responses are measured in terms of teamworking, job satisfaction, culture and commitment in 2 Nigerian financial institutions. Design/methodology/approach: The study presents the first empirical case-study research carried out in Nigeria. The data are based on 2 Nigerian financial institutions surveys from 2002 to 2006. The analysis addresses the impact of the introduction of PRP within these institutions. Questionnaires were sent out to the 226 employees. Interviews and focus groups were also carried out with both managers and employees across both organisations. Findings: The findings indicate the importance of valence for monetary incentives, the instrumentality of performance for the monetary incentives and clear individual and group objectives for improving performance. On the basis of the analysis of the data from employees covered by the scheme, the results suggests that there are clear indications that it has raised motivational levels, though employees prefer working with individual performance related pay than in teams, but would not mind working in teams if it is linked to a reward, but the responses indicate that individual performance related pay has damaged the concept of team working. The results indicated a positive link of PRP having a positive effect with employees on higher grade levels; this result support other results from a number of earlier UK studies. The results also indicate that the introduction of PRP can enhance culture change and enhanced performance but may not ultimately lead to commitment from employees. The findings also indicate a positive link between PRP, improved individual and organisational performance, change in culture and job satisfaction. Though the research indicates positive outcomes from one organisation it also indicates negative outcomes from the other organisation. Why would that occur, as both organisations operate the same form of individual PRP? It leads the researcher to conclude that PRP must be modified to take into account the cultural (national & organisational) implications of the transference western management practices into non-western organisations. The research finishes by listing out implications for management and recommendations. Research limitations: As this study utilises data from Nigerian financial institutions only, its results cannot be generalised to other sectors and countries characterised by different cultures and contexts. However, what is critical though is that the approach used to finding these results can be applied in a wide variety of situations, thus enabling the examination of external validity. ORIGINALITY/VALUE – This study is one of the first to explore the effect/impact of the introduction of performance related pay in Nigerian financial institutions and reflecting on the historic cultural context of gift giving and culture within organisations and the impact this has on the success or failure of PRP schemes. It also provides a new empirical evidence on the use of performance related pay. The results also show a link between the introduction of performance related pay and a change in the psychological contract from a relational contract to a transactional psychological contract, where commitment (bought) and loyalty is based on the monetary aspects of the relationship. The results supports an interpretation of incentive pay as motivated by expectancy theory and provides new evidence on the relationship between the success of performance related and its use by employees as a bargaining tool for salary increases and new job roles. Its implications should be of interest to human resource managers when designing reward strategies for their organisations.

M. Tech. (Business Administration, Faculty of Management Sciences), Vaal University of Technology / Organisations need employees who are willing to go beyond the requirements of the job to contribute to the organisation’s effectiveness. An evolving trend in the organisational behaviour literature indicates that job satisfaction (JS) and organisational commitment (OC) are attitudes that have a major impact on organisational outcomes such as productivity, job performance, turnover intentions and organisational citizenship behaviour (OCB). Although the relationship between the aforementioned constructs is considered important, there is a paucity of research about the relationship between these constructs in the context of the water utility company. The primary objective of this study was to investigate the impact of organisational commitment and job satisfaction on organisational citizenship behaviour at the water utility company in Gauteng. A quantitative research approach and a survey-based descriptive research method were used to achieve the primary objective. A structured questionnaire was issued to 400 randomly sampled respondents. Furthermore, means and factor analysis were performed to determine the level of job satisfaction, organisational commitment and organisational citizenship behaviour of employees and to establish the underlying factors of the constructs respectively. Additionally, a correlation analysis was conducted to establish the strength and direction of the relationship between the factors. Finally, a regression analysis was performed to confirm the predictive relationship between factors. The findings of this study showed a positive correlation between affective commitment, indebted obligation and moral imperative; JS and OCB; and no predictive relationship was observed between continuance commitment and OCB. Based on the findings, it was recommended that JS should be improved through mechanisms such as job-fit, job enrichment and career advancement. Furthermore, performance-related pay and mentorship programmes should be introduced to improve employees’ organisational commitment. Finally, recognition should be given to employees to encourage them to maintain their willingness to display citizenship behaviours.

<p>The purpose of this study was to examine the routines of performance related pay systems in two Swedish municipal upper secondary schools. A second purpose was to examine what data was included for evaluation of a co-worker’s performance and how a principal collects data. The purpose was also to examine a principal and teachers´ view of performance related pay systems and if it was possible to note an agreement. Principals have been interviewed and teachers have answered a questionnaire to fulfil the purposes of this study.</p><p>The study shows that the municipality had a good routine that included individual discussions with co-workers about their salary and had fixed municipal criteria. Data for evaluation were these fixed criteria together with unspoken criteria. Principals collected data verbally. It in-creases the risk of subjective evaluation, which increases insecurity and inefficiency of per-formance related pay systems. The teachers gave an insecure and divided image of perform-ance related pay systems. Increased dialogue and defined criteria for the teachers’ salary are needed to improve the image.</p>

Mit dem in §18 des Tarifvertrags für den öffentlichen Dienst (TVöD) festgeschriebenen Leistungsentgelt soll u.a. die Motivation der Mitarbeiterinnen und Mitarbeiter im öffentlichen Dienst gesteigert werden. Eine motivationssteigernde Wirkung wird jedoch von Seiten der Motivationsforschung bestritten. Sie geht im Gegenteil davon aus, dass eine leistungsorientierte Bezahlung (LOB) zu einer Verdrängung der intrinsischen Motivation (Crowding-Out Effekt) führen kann. Mithilfe eines empirischen Tests der Motivation Crowding Theorie gelangt diese Arbeit zu einem differenzierteren Urteil. Es wird gezeigt, dass im Beispiel der Kreisverwaltung Potsdam Mittelmark die subjektive Wahrnehmung der LOB durch den einzelnen Beschäftigten darüber entscheidet, ob dessen Motivation verstärkt oder verdrängt wird. Jene Beschäftigten, die sich durch die LOB kontrolliert fühlen, weisen eine signifikant geringere PSM und intrinsische Motivation als diejenigen auf, die die LOB als fördernd wahrnehmen. Als zentraler Faktor für das Urteil der Beschäftigten wird die wahrgenommene Fairness des Systems identifiziert. / By means of performance-related pay (PRP), which is laid down in §18 of the “Public Sector Collective Agreement” (TVöD), the motivation of public employees should be increased. However, motivational research contests the motivation-increasing effect. In contrast, it is assumed that performance-related pay may crowd-out the intrinsic motivation (Crowding-Out Effect). While conducting an empirical test of the Motivation Crowding Theory, this paper offers a more differentiated view. It is shown that, in the case of the local administration of Potsdam-Mittelmark, the subjective perception by the individual worker will decide on whether his or her motivation is crowded-in or crowded-out. Those who feel controlled by the PRP-system show a significant lower PSM and intrinsic motivation than those who perceive it as supportive. The fairness of the system is discovered as being the central factor affecting the judgement by the workers.

The purpose of this study was to examine the routines of performance related pay systems in two Swedish municipal upper secondary schools. A second purpose was to examine what data was included for evaluation of a co-worker’s performance and how a principal collects data. The purpose was also to examine a principal and teachers´ view of performance related pay systems and if it was possible to note an agreement. Principals have been interviewed and teachers have answered a questionnaire to fulfil the purposes of this study. The study shows that the municipality had a good routine that included individual discussions with co-workers about their salary and had fixed municipal criteria. Data for evaluation were these fixed criteria together with unspoken criteria. Principals collected data verbally. It in-creases the risk of subjective evaluation, which increases insecurity and inefficiency of per-formance related pay systems. The teachers gave an insecure and divided image of perform-ance related pay systems. Increased dialogue and defined criteria for the teachers’ salary are needed to improve the image.

本論文旨在以策略性待遇觀點有系統地研究政府待遇政策，然而，這方面的的論述，並不多見。因此，政府部門在從事策略性待遇政策決定時，一方面必須借用私部門在策略性待遇的研究成果，一方面也必須衡酌政府部門策略性待遇政策所具之多元政治本質。本研究將府部門策略性待遇的界定為：「政府部門在因應其特有內外在環境及其變動下，為尋求與國家發展策略及其它人力資源管理政策之間的最佳匹配程度，所採取各種關鍵性地待遇政策或決定。」。在這個操作性定義之下，政府部門策略性待遇具有以下三個意涵：(1)策略待遇係專指與提升政府施政績效及競爭力有關的關鍵性待遇抉擇。(2)策略待遇是指各種待遇策略間會隨著環境系絡變化，相互推移所形成的一種適切而平衡的待遇政策組合。(3)策略待遇是強調待遇策略與組織策略、其它人力資源管理策略間的匹配性。 本研究在第二章針對策略待遇學術領域的研究，依研究焦點的不同，大致歸納可分為三個派別，代表論述包含Lalwer的「策略性待遇」理論；Gomez-Mejia 和 Balkin等的「待遇策略」研究，以及Milkovich和 Newman的「待遇的策略觀點」。本章將綜合這些派別的重要論述，用以發展出論述政府部門策略性待遇政策的分析模式，作為本研究的分析架構。 第三章依據Milkovich和 Newman的策略待遇模式，在第二章建構了可用於政府部門的策略待遇分析模式。依據該模式，政府部門整體的待遇政策可歸納為四大待遇政策面向。每一待遇政策面向又是由一些策略性(關鍵性)待遇決定構成。本章主要目的就是在論述各個待遇政策面向內的各策略性決定的理論意涵，以作為爾後章節分析的基本架構。 第四章的第一節探討型塑我國現行待遇制度的若干歷史因素的演進情形，及影響現行待遇制度的若干國家重要政策及其他人事政策等水平系絡環境因素。第二節析述政府機關、公務人員、政府部門待遇改進方案(待遇主管部門、主要決策人員)、學者專家及等利害關係人的論述及其對現行制度的影響。最後，將在第三節則將呈現歷史因素、內外在環境及利害關係人等三個層面交光互影後，所型塑的行政機關現行待遇政策或制度產出。 第五章依據Milkovich和 Newman的策略待遇模式，論述我國政府部門各項待遇政策面內策略性決定的實然面，至待遇政策四大面向內所指涉的各個策略性決定列表如第三章(見頁60 )。 第六章專章探討政務人員給與的如何決定？有關政務人員給與的決定具有多元解釋觀點。亦即，政務人員待遇有從待遇管理中比較原則解釋之，有由政治決定解釋之，有由公共選擇理論的官員自肥說解釋之等，各種解釋觀點固有其部分解釋力及當然亦有其侷限性，都將在本章在深入析述。 第七章將結合學界對政府部門待遇政策發展趨勢的論述，以及OECD會員國政府部門待遇改造的趨勢，依據四大待遇政策之策略性決定所對應的我國政府部門待遇政策的實有面，論述我國政府部門待遇政策四大面向內所指涉的各個策略性決定的可能趨勢。 綜觀本研究係以依據Milkovich及 Newman的策略待遇模式微基本分析架構。在第二、三章建構了理論面的行政部門的策略待遇分析模式，政府部門整體的待遇政策可分為內在一致面、外在一致面、員工貢獻面及機關管理面等四大待遇政策面向。並據以於第四、五、六及七章分析、發現並討論行政部門待遇政策的實然面所面臨的問題。最後，將在本章作個總結，並提出我國行政部門待遇政策走向的策略性建議。

The objective of this diploma thesis is to examine the relationship between executive compensation and bank performance. We study the executive pay structure of the U.S. largest 100 bank holding companies during period 2002-2009. Our data analysis describes differences between behaviour of TARP recipients and the banks that did not receive state financial help with consideration of financial crisis effect. We use econometric model to test the dependence of bank performance measures and particular elements of executive remuneration - total sum, bonus, stock award and option award. The relationship is generally considered as weak, but we also find linkage between TARP recipients' compensation and Market Capitalisation and on the other hand non-TARP bank appeared to define compensation according to earning per share. A special attention is devoted to executive remuneration structures of TARP recipients with weakest results and their comparison with Dodd-Frank Financial Reform Act and TARP standards. JEL Classification: G21, G35, G38, K23 Keywords: Executive compensation, bank performance, Troubled Asset Relief Program, performance-related pay, corporate governance, financial crisis, executives