Total Reward Systems and Performance of Employees in Public Hospitals in Nyeri County, Kenya.

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dc.contributor.advisorDavid Kiiruen_US
dc.contributor.authorKariuki, Caroline Wangui
dc.date.accessioned2022-04-08T09:16:20Z
dc.date.available2022-04-08T09:16:20Z
dc.date.issued2021
dc.descriptionA Research Project Submitted to the School of Business in Partial Fulfilment of the Requirements for the Award of the Degree of Master of Business Administration (Human Resource Management: of Kenyatta University, November, 2021en_US
dc.description.abstractPublic hospitals have been grappling with challenges of low employee productivity and general performance. Reports have indicated that the reward system implemented by some county health facilities falls short of the principles of equity and fairness. There have been concerns on disparities in salaries and remuneration among staff working at public health facilities which could explain the poor condition of employee performance and constant labour conflicts. While theoretical perspectives have outlined that the structure of employee reward systems (hygiene and motivator factors) have different ramifications on employees’ individual and collective performance, empirical literature is full of controversial findings. The current study therefore sought to determine the effect of total reward system on employee performance. Specifically, the study sought to establish the effect of salary, incentives, career advancement, and employee recognition on employee performance. The study was anchored on Herzberg’s Two Factor, Equity, Vroom’s Expectancy and Hierarchy of Needs Theories. A descriptive survey research design was applied on a target population of 1005 staff working in the 5 public health facilities in the county as gathered county government of Nyeri (2019). Proportionate stratified random sampling techniques were applied for sample selection. The research relied on primary data which was collected through questionnaires. The sample was made up of 151 respondents and comprised of different classes of workforce including top management, middle management, supervisors and regular staff working in the five public facilities. The drop and pick method was used in administering the questionnaire. The study evaluated validity of the instrument through expert opinion and pre-testing. Reliability was tested through Cronbach’s alpha reliability analysis. Descriptive statistics including means and standard deviation together with inferential statistics of regression analysis, correlation analysis and analysis of variance were included in the analysis. With R squared of 64.80% it means that this proportion of variation in employee performance is explained by variation in total reward system in terms of salary, incentives, career advancement and employee recognition. To that end, only 35.20% of variation in the employee performance was explained by other predictors not included in the model. The regression analysis results provided evidence that total reward system components; salary, incentives, career advancement, employee recognition have a positive and statistically significant effect on employee performance. The coefficient for salary (β=0.345, p=0.001) shows that salary has a statistically significant effect on employee performance. The coefficient for incentives (β=0.563, p=0.013) indicated that incentives has a statistically significant effect on employee performance. The coefficient for career advancement (β=1.088, p=0.030) indicates that career advancement has a statistically significant effect on employee performance. The coefficient for employee recognition (β=0.767, p=0.022) shows that employee recognition has a statistically significant effect on employee performance. The results of Pearson correlation analysis indicated that salary (r=0.596, p=0.018), incentives (r=0.615, p=0.031), career advancement (r=0.864, p=0.001) and employee recognition (r=0.794, p=0.011) have a strong positive and statistically significant relationship with employee performance. The study recommends further review of the remuneration schemes to ensure they are viewed as fair and equitable by employees. The hospitals should also work towards ensuring timely and efficient remittance of staff remunerations which was poorly implemented. Measures such as team building exercises are encouraged to promote team work in the workforce.en_US
dc.description.sponsorshipKenyatta Universityen_US
dc.identifier.urihttp://ir-library.ku.ac.ke/handle/123456789/23534
dc.language.isoenen_US
dc.publisherKenyatta Universityen_US
dc.subjectTotal Reward Systemsen_US
dc.subjectPerformanceen_US
dc.subjectEmployeesen_US
dc.subjectPublic Hospitalsen_US
dc.subjectNyeri Countyen_US
dc.subjectKenyaen_US
dc.titleTotal Reward Systems and Performance of Employees in Public Hospitals in Nyeri County, Kenya.en_US
dc.typeThesisen_US
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