Factor of reward system affect employee performance: case of Celcom Berhad branches in Malaysia/ Nik Fatin Aina Noon Nasran

In a competitive business environment, the concept of reward system and employee performance has become a popular point of discussion in many successful organization. Companies need to review their reward system in order to improve employee performance, increase productivity and to stay competitive. Celcom Berhad had faced with employee turnover problem since 2010 until now due to variety of reasons and mostly related to reward system. The target set by the management is said to be ridiculous and unachievable. Employee feels like what they get is really not worth with their hard work. Since telecommunication industry is very competitive nowadays with technology advancement with stronger competitors like Maxis and UMobile, there were also talented and experienced employees were approached by other telecommunication company to work with them with higher basic salary and other benefits and incentives. The main purpose of this research is to find out the elements of reward system that influence employee performance. This study in assessment of this problem adopted descriptive research design using quantitative methodology and a survey strategy carried out among employees at Celcom Berhad in order to assess these. The factors involved in this study are job promotion, monetary reward and incentives. 127 sets of questionnaire were distributed and collected back from respondents in order to explore and analyse their opinions on these topics. Overall, at the end of this study, the result has shown all the independent variables are significant with the dependent variable that is job promotion, monetary reward and incentives.