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A salary is an external motivator which has a very short life cycle. However, involvement, empowerment, development are internal motivational factors which yields higher performance and a more loyal employee. If we can agree to that, the problem with pay for performance is evident, in that it really is does not a motivator as much as an "expectation" or perhaps even classified as an "entitlement." If this is case, how do we motivate an employee through compensatory means outside of pay for performance?

Operation Management, Management Studies

  • Category:- Operation Management
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