INCENTIVES AND EMPLOYEE PERFORMANCE IN WESTERN WATER AND SANITATION FORUM, KAKAMEGA COUNTY, KENYA
Abstract
Purpose of Study: The purpose of the study was to examine the effect of different forms of incentives on employee performance within non-governmental organizations with specific reference to WEWASAFO.
Problem Statement: NGOs in Kenya, including WEWASAFO are faced with serious operational challenges due to lack of institutional continuity brought about by high employee turnover. The National Council of NGOs estimates the turnover rate in this sector at 26% per year. WEWASAFO has had a turnover rate of between 15-20% per year in the last 5 years, leading to knowledge gaps, workflow interruptions and this affects the ability of the organization to achieve their objectives.
Methodology: This study adopted a descriptive design to provide a clear picture of the variables involved and census approach was adopted. Primary data was collected using close-ended questionnaires. The statistical analysis of the data was performed with the help of the SPSS software package.
Result: Regression findings indicated that employee performance was strongly positively influenced by compensation and reward systems. Recognition practices should be institutionalized in order to enhance motivation.
Recommendation: Future research should compare results in the public, private, and NGO sectors, investigate the moderating effect of leadership style and organizational culture, and use longitudinal designs to measure long-term impacts.
Keywords: Incentives, Compensation, Rewards, Recognition, Employee Performance
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