Wednesday, June 5, 2019

Incentive systems lead to cost savings

I strongly agree that these companies went above and beyond for their employees and they looked at the whole picture, rather than just incentives and monetary rewards. According to Robbins and Judge (2019), a research study found that “incentives may be more motivating in the short term, but in the long run nonfinancial incentives work best”, thus SAS Software Developer is doing a great job by providing a program that looks into the well-being of an employee’s physical and mental needs, this will go a long way in motivating employees, as well as keeping them emotionally and physically well which in turns helps the company reach its goals as their employees are happy and healthy.

Moreover, it is important that organizations go a step further and not only recognize individuals for their good work, but that they also incorporate those recognitions and awards to positive team performances and outcomes, in doing so they can reinforce team effort and commitment which will serve the company well in the long run, and will encourage employees to work together as a team to achieve positive results for the organization strategic goals (Robbins and Judge, 2019).

Finally, as we learned from Thompson, Peteraf, Gamble, and Strickland, a company’s “incentive system can encourage not only greater work productivity but also cost-savings innovations” as a result of employee’s contributions due to job satisfaction (pg. 125, 2018). Not only do incentives allow employees to be satisfied, but it also allows them to take pride in their job, as well as aids in increasing productivity in the workplace.


Robbins, S. P. & Judge, T. A. (2019). Organizational behavior (18th ed.). New York, NY: Pearson. Retrieved from

Thompson, A., Peteraf, M., Gamble, J., and Strickland, A. J. (2018). Crafting & executing strategy: The quest for competitive advantage, concepts and cases (21st ed.). New York, NY: McGraw Hill Education. Retrieved from:

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