Intrinsic Reward and Organization Performance at Vihiga County Government, Kenya

Wilberforce Lumumba and Oluoch Mercy Florah
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Wilberforce Lumumba: University of Nairobi, Kenya
Oluoch Mercy Florah: University of Nairobi, Kenya

International Journal of Research and Scientific Innovation, 2019, vol. 3, issue 11, 510-524

Abstract: Due to the prevailing cut-throat competition in the global economy, organizations spend much of its resources to enhance their performance. To enhance employees’ performance, they need to be provided with both financial and non-financial reward. This study therefore looked at the effect of intrinsic reward on organization performance in Vihiga county government, Kenya. The study specific objectives were: To examine the effect of trust on organization performance in Vihiga county government, Kenya; To find out the effect of recognition on organization performance in Vihiga county government, Kenya; and To establish the effect of promotion on organization performance in Vihiga county government, Kenya. The researcher employed a descriptive survey research design. The population of the study consisted of nine departments in the county government. Specifically, the study targeted 2, 819 employees out of which 350 employees were sampled. The researcher collected data using questionnaires. The Pearson Product Moment Correlation Coefficient and simple linear regression were used to estimate the influence of intrinsic reward on organization performance of county government in Vihiga County. The study found out that promotion had the highest effect on organization performance followed by trust and recognition. The study also revealed that promotion, trust and recognition accounted for 29.8%, 22.2 and 18.2% respectively of the variability in organization performance. Intrinsic reward also had a positive and significant effect on organization performance and accounted for 28.7% of the variability in organization performance. The study therefore recommended that organization that wishes to register an increase in organization performance should provide their employees with intrinsic reward packages mainly promotion, trust and recognition.

Date: 2019
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