Employees Perceptions on Reward Practice at Toyota 3S Centre: A Case Study in Malaysia

Reward practice is the term which referring to the rewarding approaches which includes several rewarding programs as applied in many organizations today in both public and private sectors. Employees today are more concerning on the rewarding approaches in which they seek for the ground elements that should be demonstrated in accordance to ensure that one’s organizational reward practice will be effective as possible. Thus, the study is to investigate the relationship between employees’ perception on transparency, fairness, controllability and the reward values of reward practice and employees’ performances at TOYOTA 3S Centre SP Selatan Otomobil Sdn Bhd, Kedah in 2009. By using the convenience sampling technique, the employees were given questionnaires regarding the reward practice in the organization to be answered. Due to the small populations in the company are 82 persons comprises of the employer and the employees. As a result of findings, the study shows that all factors were not significant to contribute employees’ performances. Moreover, even the transparency factor which gives the highest degree of contribution still not significant. As recommendation, the study suggest that organization should be aware on the rights of the other potential employees to be listed in the reward programme. Thus, the top management need to assign the specific resource person to run the performance appraisals because the level of commitment to work were not only on the basis of how many cars were repaired; or how many car being sold; but it also involves with the quality of work, the punctuality of finishing job, the discipline and ethics manner and also the employee efforts towards knowledge sharing. In future research, the organization should have to encounter this problem by allocating the most valued reward only for the high achievers in the organization. The reward values may not only necessary to be in the monetary form, but should also alternatively being provided in other form such as the employer’s appraise in the employee recognition.