International Journal of Academic Research in Business and Social Sciences

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Analyzing the Effectiveness of Reward Management System on Employee Performance through the Mediating Role of Employee Motivation Case Study: Isfahan Regional Electric Company

Open access
Purpose: Analyzing the effectiveness of reward management system on employee performance through the mediating role of employee motivation was the purpose of the present survey.
Method and tools: Given that staff department of Isfahan Regional Electric Company was the statistical population under study simple random sampling was used in this survey. Sample size was determined by means of Cochran formula (140 persons). Historical study and field study methods were the most important methods of data collection and data analysis was performed by means of Amos and Pls software.
Findings: Reward management system has a positive and significant effect on employee motivation. Employee motivation does not have a positive and significant effect on employee performance. Reward management system has a positive and significant effect on employee performance (by the presence of motivation as the mediating variable).
Conclusion: The findings of this survey in the above company show that there is a positive and significant relation among elements of reward management system and motivation and performance. Such positive and significant relation was found among the elements of reward management system with performance too. This is while there was no positive and significant relation among the elements of reward management system, employee motivation and performance. It is notable that the above relations were presented in the framework of a model using structural equations modeling.