Abstract
Background: One of the main determinants of a company’s business performance is the complete mobility and orientation of its employees towards realising the goals of the company. No single aspect of the company has such a powerful, and simultaneously, invisible influence on the behaviour and feelings of its employees as the organisational climate. Organisational learning creates a climate that encourages employees to learn and to develop their potential.Objectives: The aim of this study is to investigate the incentives and the factors of an organisational climate required to develop a model of an incentive system to motivate employees to work better.Method: A quantitative research methodology was used and data was collected by using a closed-ended type of questionnaire. Data was analysed using descriptive and inferential statistics.Results: The results show that the employees would prefer more incentives, and the factors of a positive organisational climate were far lower than expected by its employees and even lower than what they considered to be essential in order to perform their jobs effectively and to contribute to achieving company objectives.Conclusion: Incentive systems are crucial to employees and the organisational climate and employee satisfaction should be constantly monitored and empowered through an integrated model of incentive system.
Highlights
To a large extent, the debate on the importance of monetary incentives and other, non-monetary tools of management in motivating workers continues (Dur, Non & Roelfsema 2010)
The theoretical framework for incentive systems comprises a variety of issues that were discussed earlier on in this article and the MIS model was derived
The subjects of our research offered organisational climate factors, of which the most important were quickly noticing and rewarding good business results and appreciating a job well done
Summary
The debate on the importance of monetary incentives and other, non-monetary tools of management in motivating workers continues (Dur, Non & Roelfsema 2010). Monetary incentives are often not considered the most important motivator, neither by workers nor managers (Dur et al 2010). Many workers consider task enjoyment and moral concerns to be stronger motivators than monetary incentives (Dur et al 2010). Insufficient research has been conducted on the influence of incentives and the factors of organisational climate on the productivity of employees in Croatia. The consequence of this is that there is a lack of knowledge about the effect of incentives and corporate climate on the motivation of employees. Organisational learning creates a climate that encourages employees to learn and to develop their potential
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