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Scholars Journal of Economics, Business and Management | Volume-5 | Issue-07
Assessment of Reward Management Practices on Organizational Commitment: A Case of Mumias Sugar Company Limited
Wilbrodah Mutsoli Muchibi
Published: July 30, 2018 | 157 166
DOI: 10.36347/sjebm.2018.v05i07.019
Pages: 705-711
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Abstract
Assessment of reward management practices on organizational commitment is an area that has drawn researcher’s attention for years. However, most of the studies in this research area have been conducted in the developed countries, with fewer number of studies carried out in developing countries specifically in Kenya in the sugar industry. As a result this study sought to assess the influence of reward management practices on organizational commitment in sugar firms in Kenya: A case of Mumias Sugar Company Limited. Specifically the study sought to determine the influence of recognition on organizational commitment in sugar firms in Kenya and to determine the influence of merit pay on organizational commitment in sugar firms in Kenya. The study adopted descriptive survey research design. The target population of the study was 1689 respondents. The sample size was 313 respondents and consisted of two strata namely; 20 top level management and 293unionisable employees. Stratified random sampling technique was used to select the sample population. Questionnaires were the main data collection tool. Data analysis was done using both quantitative and qualitative methods. The study found out that reward management practices are positively correlated with normative commitment. The study concluded that if employee’s efforts are recognized by the management they are engaged and motivated to work harder. In addition, where appointments are based on merit, it contributes to employee’s being commitment to attaining the set criteria. The researcher recommends to managers to consider reward management practices as influencers of organizational normative commitment.