The Design and Effect of Short-Term Incentive Schemes on Employee Motivation

Abstract

Purpose: The aim of this research paper is to study market trends in the design of short-term incentive programs in the business process operations side of the Indian IT/ITes companies and determining its effect on the motivation level and productivity of the workforce. Design/Methodology/Approach: In this research, qualitative data is collected to take the variables as input. The mode of data collection is Purveying the target group by questionnaires via mail panels/forms. The survey enquires the respondents about the perceived impact of the existing short-term incentive plans on their overall productivity. Findings: The study shows that effective implementation of short-term incentive programs positively impacts employee motivation and hence enhances the overall productivity of the organization. Practical Implications/Limitations: This study will help organizations in designing/revising their short-term incentive programs to increase their effectiveness. The study is focused on the business process operations side of the Indian IT/ITes industry. Originality/Value: The research is relevant as limited research has currently been done on this topic.