Abstract
Companies must grow to be more strategic if they are to carry on and do well in the current business situation. Functional and unit strategies must be aligned with overall company strategy to enhance organizational effectiveness. In this respect, strategic reward systems are vital to ensuring desired employee behaviours and enhanced company performance. This project reviews strategic reward systems and examines rewards. It outlines the employee’s strategic compensation and recognition programs and discusses implications for management. Companies for reaching higher goals and development use motivation. Motivation is a complex phenomenon which is influenced by individual, cultural, ethnic and historical factors. Some methods are suggested to increase employee performance. Rewards and incentives are probably among the most popular ones. So, organizations use reward systems and strategies to motivate their employees and to increase their performance. The aim of this study is to investigate how reward systems and organizational incentives influence employees.
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