Reward Management Practices and Employee Performance in Stanbic Investment Banking & Trust Company Plc (IBTC) Bank in Oyo State
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Date
2025-12
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Lead City University, Ibadan
Abstract
In today’s competitive environment, an effective reward system is a strategic tool organizations can adopt to enhance employee performance and productivity. Many bank employees are dissatisfied with current reward systems, which fail to address evolving needs. This study investigated the impact of reward management practices on employee performance in Stanbic IBTC Bank, Oyo State, Nigeria. It drew on Vroom’s Expectancy Theory, Herzberg’s Two-Factor Theory, and Equity Theory of Motivation. A descriptive survey design was adopted, involving all 158 staff of Stanbic IBTC Bank branches in Oyo State. Multiple regression analysis using SPSS 23.0 and SmartPLS V4.0 tested the hypotheses and evaluated the effects of reward practices on various performance dimensions. The findings revealed that reward management practices significantly and positively influence employee efficiency, commitment, and creativity. Results showed that reward management had a positive impact on employee efficiency (R² = 0.534, p = 0.000), commitment (R² = 0.542, p = 0.000), and creativity (R² = 0.581, p = 0.000). However, despite the positive influence, the current reward structures appear inadequate to fully motivate employees for optimal performance. Based on these results, it is recommended that Stanbic IBTC Bank reevaluate its compensation policies. Introducing performance-based pay, competitive salaries, and tailored financial incentives aligned with employee efforts and organizational goals could enhance efficiency, commitment, creativity, and overall service delivery. These measures would help address employee dissatisfaction and support long-term
organizational success.
Keywords: Reward management, Employee Performance, Compensation, Benefit, Work-life balance
Word Count: 230
Description
Keywords
Reward management, Employee Performance, Compensation, Benefit, Work-life balance
Citation
Kate Turabian