Effect of team based payment system to organizational performance with special reference to MAS Active Asialine

Abstract

The challenge for companies now a day is to deliver quickly and flexibly new quality products and services, in order to be able to respond to greater and changing demands from clients. A teambased payment system is encouraged employees to work collaboratively, to achieve goals and to share resources and information rather than compete for them. Therefore complex organizations require employee collaboration to succeed. For the success of an organization, performance is a key factor. It provides a means to improve organizational performance by linking and aligning individual, team and organizational objectives and results. It also provides a means to recognize and reward good performance and to manage under-performance. So employee reward systems refer to programs set up by a company to reward performance and motivate employees on individual and/or group levels. This research was carried out as an empirical study to investigate the relationship between team based payment system and organizational performance with special reference to MAS Active Asialine Garment Manufacturing Organization in Sri Lanka. This is a mass garment manufacturing organization in Sri. Lanka. It has used so many strategies to improve employee performance. Team based payment system is one of newly implemented strategy in the organization. Therefore the research problem is highlighted as follow. What effect does the team based payment system to the organizational performance? While this research was based on qualitative and quantitative data, Used sample of employees in the organization to collect qualitative data and administered questionnaires among the employees to find their attitudes towards this new system. Further formal interviews were held with the managers and held some observations. Quantitative dates were collected from organizational sources to compare the existing performance levels of the organization. According to the research findings organizational team based payment system was favourably impacted to individual and group performance, employee satisfaction, employee motivation and organizational performance. Conclusion of the study mentions that the organization should maintain their team payment system furthermore within the organization to accomplish organizational goals.