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Studying Food Reward and Motivation in Humans
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Total reward satisfaction profiles and work performance: A person-centered approach.

Chunling Li1, Xueyun Duan1, Xiangling Chu1

  • 1Business School, Beijing Technology and Business University, Beijing, 100048, China.

Heliyon
|March 14, 2023
PubMed
Summary

Organizations can boost work performance by tailoring total reward systems (TRS) to distinct employee profiles. Identifying profiles like work-life balance satisfied-dominant (WLS-dominant) and development and career opportunities satisfied-dominant (DOS-dominant) is key.

Keywords:
A person-centered approachLatent profile analysis (LPA)Total reward satisfaction (TRS)Work performance

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Area of Science:

  • Organizational Behavior
  • Human Resource Management
  • Psychology

Background:

  • Implementing effective total reward systems (TRS) presents an ongoing incentive management challenge.
  • Previous research has primarily used variable-centered approaches, overlooking individual differences in TRS impact.
  • A gap exists in understanding how diverse employee profiles relate to work performance outcomes.

Purpose of the Study:

  • To identify distinct profiles of total reward satisfaction (TRS) among employees.
  • To examine the influence of these TRS profiles on various aspects of work performance.
  • To investigate the relationship between demographic variables and membership in different TRS profiles.

Main Methods:

  • A person-centered approach was employed across two studies involving retail industry employees in China.
  • Latent profile analysis (LPA) was used in Study 1 to identify TRS profiles.
  • Study 2 replicated the profiles and analyzed their links with demographics and work performance using a larger sample.

Main Results:

  • Four distinct TRS profiles were identified: dissatisfied (DS), development and career opportunities satisfied-dominant (DOS-dominant), work-life balance satisfied-dominant (WLS-dominant), and compensation satisfied-dominant (CS-dominant).
  • Demographic factors (gender, age, education, position level) significantly influenced an employee's likelihood of belonging to a specific TRS profile.
  • The identified TRS profiles demonstrated varying impacts on both task and contextual work performance, with WLS-dominant and DOS-dominant profiles showing the highest performance.

Conclusions:

  • Organizations should move beyond one-size-fits-all reward strategies.
  • Customizing total reward systems based on identified employee subpopulations (TRS profiles) can significantly enhance work performance.
  • Recognizing and catering to individual differences in reward satisfaction is crucial for effective incentive management.