The Study Of The Various Incentive Scheme That Increase Productivity And Project Delivery

Project and Seminar Material for Building Technology BT

The Study Of The Various Incentive Scheme That Increase Productivity And Project Delivery


The paper aims at determining the link of the study of various incentive schemes that increases productivity and project delivery and to provide useful information to managements on how best to design and administer incentive schemes. The purpose of incentive schemes is to motivate workers to achieve higher workplace performance. This study measured the extent to which incentive schemes used in the Enugu Electricity Distribution Company (EEDC) Imo State Owerri. The incentive schemes rated as high performing by project managers were say work schemes.

Table of Contents

  • Title Page
  • Approval Page
  • Dedication
  • Acknowledgement
  • Abstract
  • Table of Contents

Chapter One


  • 1.1 Background of the Study
  • 1.2 Statement of the Problem
  • 1.3 Aim and Objectives
  • 1.4 Research Questions
  • 1.5 Significant of the Study
  • 1.6 Scope of the Study
  • 1.7 Limitation of the Study
  • 1.8 Definition of Terms

Chapter Two

2.0 The Various Incentives on Employee’s Performance

  • 2.1 How the Incentive Scheme Are Determined
  • 2.2 Purpose of Incentives Scheme in the Organizations
  • 2.3 Scope of Study
  • 2.4 Research Questions
  • 2.5 Caveat for Administration of Incentive Scheme
  • 2.6 Purpose of Welfare Scheme and the Study of Various Incentive Scheme Motivation
  • 2.7 Recommendations

Chapter Three

3.0 Research Design and Methodology

  • 3.1 Research Design
  • 3.2 Area of Study
  • 3.3 Population of the Study
  • 3.4 Sample and Sampling Techniques
  • 3.5 Instruction of Data Collections
  • 3.6 Validation of the Instrument
  • 3.7 Reliability of the Instrument
  • 3.8 Method of Data Collection
  • 3.9 Method of Data Analysis

Chapter Four

4.0 Data Presentation, Analysis and Summary of Result

  • 4.1 Data Presentation
  • 4.2 Data Analysis
  • 4.3 Summary of Result

Chapter Five

5.0 Discussion, Conclusion, Implication of the Research Findings, Recommendations, Suggestion for Further Research

  • 5.1 Discussion of Findings
  • 5.2 Conclusion
  • 5.3 Implication of the Research Findings
  • 5.4 Recommendations
  • 5.5 Suggestion for Further Research
  • References
  • Appendix
  • Questionnaire

Chapter One


1.1 Background of the Study

In most establishments, the desire to achieve optimal level of productivity is very crucial to managerial objective in other to achieve this management of every organization needs to be boosted though a number of incentive scheme. Researchers over years have looked into how best workers can be motivated as well as how employees were expected to conduct themselves for the purpose of organizational effectiveness and high level of productivity. This scheme is very important to both the organization and the employees, it is anticipated that a good employee’s incentive scheme will induce the employee to work hard and improve their general attitude towards the organization. Numbers of research haven been conducted on this subjective matter.

According to the earliest economist, Adam (1994) he sees man as a rational animal motivated by the desire to maximize his economic gain and he has subsequently led management, to believe that workers can instantly be motivated to increase productivity by means of mere promise of more money. However, the psychological theory of motivation gives one an insight into factor which influence human behavior on the attitude disposition of the individual motivation is the sense of need, the desire that prompt an individual to act.

Abraham Maslow (1943) had developed the hierarchy of need concept to explain human behavior in terms of need fulfillment, as part of his theory of human motivation. Motivation is willingness to expand energy to achieve a goal or a reward. It is a process of stimulating people to action to accomplish desired goals. Hacket (1976) sees motivation as something which implies a person to act a reason for behavior. Employees occupy strategic role and position in any organization.

They are responsible for converting inputs to productive outputs, they ought to be effectively and adequately compensation for their labour. Taking cues first from the biblical expression that a labourers deserves his wages and secondly bearing in mind that the reward for labour, a factor of production is wages, it becomes logical that employees be adequately and fairly compensated if they are to be motivated to increase productivity in any organization be it the organized private sector or public sector.

Drucker (1980:230) believes that the work of management: the financial (material) and then non-financial (non-material) components. According to Milkorich and Newman (2008) incentive schemes (short term and long term) constitute part of the financial components of employee compensation. Incentive schemes tie pay increase to performance and have been used by organizations worldwide with remarkable success i.e. Nigeria frontier Transit metro system, Inc. New York uses the safe driver awards for bus operators who have experienced accident free driving during the previous year. Recipients are awarded incentive ranging from pins through watches to bonds.

Extra weeks vacation and certificates. The incentives are given at individuals. Performance evaluation and extra ordinary service in line with the mission statement of Montgomery country division of transportation services Rockville, Maryland, USA in Thailand the government offered public doctors incentives to work in rural and remote areas. It is believed that if Nigerian organizations too offer effective incentive schemes to their employees, they employees they will be motivated hence increase in productivity.

1.2 Statement of the Problem

Often time, workers or employees are attracted to certain organization not only because of the benefit attached to them.

  1. Those benefits include housing, transport, medical allowance together with pension.
  2. Organization needs a system that would ensure work accomplishment through thoughtful attention to the need of work who will in turn be a development in the objective of the organization in which they work.
  3. The extent of which the management of these organizations have been paying attention to the purpose implementation formulated incentive plan in one major gap that this study is designed to fill.
  4. The study is billed to evaluate how various incentives as may be designed by management affects employees productivity of Enugu Electricity Distribution Company (EEDC) Owerri, Imo State.

1.3 Aim and Objectives

To appraise the study of the various incentive scheme that increases productivity and project in Nigeria (using Imo State as a case of study).


  1. To identify the various incentive on employees performance
  2. To ascertain how the incentive scheme are determined and how they are administered the impact of employee productivity in production.
  3. To illustrate the purpose of incentive schemes in organizations.
  4. Considering caveats for administration of incentive schemes
  5. To recommend incentive programs and purpose of welfare scheme and the study of various incentives.

1.4 Research Questions

  1. Do employees consider incentive of their organization adequate for their increase productivity?
  2. Does lack of incentive scheme bring about low productivity by employees in the organization, whereby performance cannot meet up set standard?
  3. To what extent does management of these organization pay attention to the proper implementation of formulated incentive plan?
  4. Does the adoption of incentive scheme impact positively to the labour turnover rate of the organization?
  5. What are the factors militating against effective implementation of incentive polices in the organization.

1.5 Significant of the Study

The significant of this research work is aimed at getting the relevant information motivating employees in other to achieve organizational goals.

  1. It is hoped that the findings and recommendation of the will go a long way in providing tools as guide to the related organization that are responsible to formulate incentive policies in the organization.
  2. The basic need of this research is for management to maximize resource of an organization.
  3. The findings of this study will also benefit various organ of the economy.

1.6 Scope of the Study

The study is aimed to cover Imo State, Owerri. The coverage of the study is limited to the workers in Enugu Electricity Distribution Company in Owerri.

1.7 Limitation of the Study

Generally, all aspect of human endeavor are characterized some limiting factor and the researcher is faced with some of the follow:

a. Time Constrain:

As a student, the research has little time to get all the data’s needed for the study.

b. Secrecy:

This limitation affect the researcher during the cause of doing the research work in such a way that the organization in which the research was to conduct find it difficult to release file that the researcher can extract relevant information.

c. Financial:

Lack of fund is a major problem due to little cash available, researcher could not go about different place to source for data.

1.8 Definition of Terms

To enable a better understanding of this research work, some of the terms used is further explained.


It is the payment added to what is usually given to employee.


This is the extent to which time and resource is well used for the indented task.


An individual who provides labour to a company or another person in return for wages or salary.

Fringe Benefit:

This is refers to something of value apart agreed regular monetary payment of salary given by employee to an employer.


It is a major instrument through which an individual can be motivated. It can be reward recognition of work or money that is most commonly used form of incentive.


This is a way of evaluating change from an intervention or development programme.


According to Peter ducker (1999), management is that organ of the society specially charged with making resource productive for organized advancement.


This refers to the way in which urges, desire, aspiration, striving, needs, direct, control or explains the behavior of human beings.


It is efficiency in an industry by comparing the amount produced with the time taken or the used to produce it.


It is a fixed regular payment made to employee every month for doing a job.

Chapter Five

5.0 Discussion, Recommendations and Conclusion

This chapter contains the summary of the various findings that from the data generated in this study and which has been analyzed in the proceeding chapter also in the chapter are discussion by the researcher based on the recommendations and the last is conclusion.

5.1 Discussion of Findings

Welfare scheme is concurrent and also what is rapidly growing in the industrial sphere of the world currently, for the above reason, there has been an increase which they get from their organization thus employees have taken the benefits provided by their organization as a right by virtues of their membership in Nigeria Enugu Electricity Distribution Company (EEDC) workers now discuss and bargain with management over the issue of fringe benefits.

This was applied by Arinze (1993)when he asserted that more people seem to be allergic to work while they aim fanatic better condition or service often with emphasis or condition rather than on service, and this is so because the average Nigeria sport about 35% of compensation packages of fringe benefits owing to the fact that Nigeria government have not been able to undertake their duty towards the welfare of her citizen, unlike advanced countries where these are provided from the charge or at highly subsidized rate.

State broadcasting service, management should provide with workers certain inducement geared towards enhancing productivity and project delivery. Although much work has not been done in this area hence the researcher interest on the study is to broader our knowledge on the relationship between the welfare scheme and the organization and the productivity and project delivery of workers. A lot of scholars have made studies on the attitude change and formation towards some subject in the area of fringe benefits and motivation, most of these studies conclude that low productive / productivity and project delivery occurs where there are no satisfiers. Motivators and communication between the workers and management. This study therefore provides that workers in Enugu Electricity Distribution Company are residential accommodation, the administration of the policy, communication process, condition of service and many other variables.

5.2 Conclusion

Productivity and project delivery of workers have been known to be vital in every organization, majority of the respondents believed that the welfare programmes provided by the productivity and project delivery has gone a long way to improve productivity in the organization.
This study also show that the joy of most workers in Enugu State Broadcasting service is not as a result of fringe benefits they received from the organization but things like, working without close supervision and the environment and making workers and staff.

In planning for effective method of motivating employees, it becomes pertinent to identify the individual and group needs. This will also help in understanding why people behave the way they do.

In view of the above, it is necessary for the management to understand this to increase the study of various incentives scheme of the workers in Nigeria Enugu Electricity Distribution Company (EEDC).

5.3 Implication of the Research Findings

The trusts of our findings from this exercise were as follows;

-That there is need for employer of any business to enlarge workers through regular promotion, training and development of adequate provision of working facilities welfare structure of the Nigeria Enugu Electricity Distribution Company (EEDC) should be restructured as easily as possible, as presently, constitute it as both in operable of motivation of staff.

-That division/development meetings should be made inclusive of all categories of staff to encourage management by objective (MBO0 at that way better result would be attainted also find out that housing and transport were obviously doing else to meet up this aspect. They were either indulging in some fraudulent activities or that they were taking bribes to certain job or fearing the official duties to other illegitimate ones and the transportation in order to generate enough income that would enable them campout most of their responsibilities as they could not solely rely on the meagerly salary they are being paid.

5.4 Recommendations

Based on the findings made in this study as noted and presented above, the following recommendations are made;

-That management should provide the workers things like residential accommodation, the administration of policy and communication process in a way that will satisfy the workers. The condition of environment should be improved so that the workers should feel or stay conductively when they are at work.

It is seen that, it is labour that is actually generating the revenue of any organization they do this by putting together other factors (factor combination) to produce or achieve desired output they should be well motivated. Productivity and project delivery of workers does not necessarily mean adequate payment of salary or wages or increment of salary workers should be allowed to participate in decision making of the motive for joining any organization also the employers have their purpose of employment labour, the purpose of labour and that of employers should adored e.g. before the objective of the organization can be actualized that is to say that the employer should considering workers welfare if she want good results or high productivity from the workers, which means that profit sharing should be introduced in the organization.

5.5 Suggestion for Further Research

In view of time limitation, financial constraint and other problem faced by the researcher, certain aspect and areas were not giving attention. As researcher narrowed his study to Enugu Electricity Distribution Company (EEDC). Therefore, it is suggested that, let the study be board and repeatedly done on a different setting.

This can be done in another state or organization both the manufacturing and service organization or as the case may be with similar or different industry.

This will go a long way to ascertain the problem and prospect facing organization or the area of welfare administration policy and the effect of such on the overall workers’ productivity.

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