Does pay for performance motivate and create competitive environment: An exploratory case study

Abstract

In consideration of the fact that Østfold Distribusjon AS previously had a pay for performance structure, the main purpose of this research study is to determine whether pay for performance motivate distributors at Østfold Distribusjon AS to work harder in order to deliver a good job performance. This process was done by, directly asking the participants if variable pay such as performance pay, bonus, gift card and et cetera motivate them to work harder in order to deliver a good job performance. Furthermore, the sub - purpose of this research study is to identify if some factors that may arise from the theories applied in the research study motivate Østfold Distribusjon AS distributors at work. This process was done by directly asking the participants why they work and what motivate them at work. A qualitative method approach is used to gather data or information from ten employees who work as a newspaper distributor at the Østfold Distribusjon AS. This research study is an exploratory case study. Intensive design approach is used in order to provide an entirety in-depth analysis. In order to achieve this, a semi - standard individual interview approach is used in gathering data. Further, an opportunity sampling approach is used to select participants for the research study. These methods approaches are used in order to achieve sufficient results. Four motivational theories is applied in this research study in order to identify and organised what motivate distributors at Østfold Distribusjon AS. Further, due to the findings, external generalisation is not made. However, an internal generalisation is made due to the responses of the participants. Furthermore, in order to increase the possibilities of generalisations, a quantitative method approach and a different research design approach should be considered. Nonetheless, a combination of a qualitative and quantitative method can be done in order to increase the demands of reliability and validity

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