Team-based rewards

Abstract

The pressures of the competitive environment have forced organisations to change their structure to focus more on teams, which is helping organisations become more flexible. Agility allows an organisation to be proactive in response to the incessantly changing demands of the economy In a highly competitive environment, organisations will increasingly turn to teams as a means of ensuring success. Creating teams that function at their highest potential is paramount in remaining competitive as future generations of organisations will increasingly depend on teamwork for project completion. If creating teams that operate efficiently is important, keeping team members motivated is equally vital to success. One of the methods for ensuring continual improvement involves creating a system of rewards. Teams that are acknowledged for their efforts are more likely to be motivated and therefore rewarding teams is becoming a critical issue for both managers and executives. This article investigates the current research on rewarding teams, examines the problems and pitfalls of team-based rewards, and presents ideas for the future of team-based rewards.