Purpose

The study of monetary and non-monetary rewards from the human resource management (HRM) perspective has rarely been analyzed so far. There has been extensive study on HRM, yet only a few studies explicitly discuss the correlation between the adoption of a total reward system (TRS) and employee-related outcomes. This paper aims to analyze this important issue to provide inputs for organizations to design compensation strategies that will impact on company’s financial performance with employee productivity and job satisfaction as mediating variables specifically for Generation Z.

Design/methodology/approach

A survey was conducted on 40 companies operating in the service sector in Indonesia. The authors captured the overall TRS result on three outcome variables (i.e. job satisfaction, employee productivity and financial performance). Furthermore, the authors examine the impact of TRS (base pay, training and development and positive work environment) on Generation Z workers. Structural equation modeling analysis was conducted on 40 Indonesian, service industry, listed firms with an average of 6 representatives per firm.

Findings

The results validate that the adoption of a TRS exerts a positive influence on the aforementioned outcomes. However, the interesting fact about the finding is that Generation Z cannot be easily satisfied with only monetary incentives; their preference has shifted from monetary concerns to self-capability.

Practical implications

The empirical result suggests that TRS serves as a tool in encouraging employees and boosting productivity. Accordingly, firms should incorporate TRS practices to enhance job satisfaction and productivity, as well as sustain the relationship with stakeholders. Subsequently, management should also be concerned with maintaining good employee productivity to improve a company’s financial performance by supervising and monitoring company operations, as well as ensuring the fulfillment of the stakeholder’s interests.

Originality/value

This paper provides original insights into the complex relationship between TRS and the aforementioned outcomes, such as job satisfaction, employee productivity and financial performance.

中文翻译：

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总体奖励制度、工作满意度和员工生产力对公司财务绩效的影响：来自印度尼西亚 Z 世代员工的证据

目的

从人力资源管理 (HRM) 的角度对货币和非货币奖励的研究迄今为止很少被分析。对人力资源管理进行了广泛的研究，但只有少数研究明确讨论了采用全面奖励制度 (TRS) 与员工相关结果之间的相关性。本文旨在分析这一重要问题，为组织设计薪酬策略提供输入，这些策略将影响公司的财务绩效，员工生产力和工作满意度作为专门针对 Z 世代的中介变量。

设计/方法/途径

对印度尼西亚服务业的 40 家公司进行了调查。作者在三个结果变量（即工作满意度、员工生产力和财务绩效）上获得了总体 TRS 结果。此外，作者研究了 TRS（基本工资、培训和发展以及积极的工作环境）对 Z 世代工人的影响。对 40 家印度尼西亚服务业上市公司进行了结构方程模型分析，每家公司平均有 6 名代表。

发现

结果证实，采用 TRS 对上述结果产生了积极影响。然而，关于这一发现的一个有趣事实是，Z 世代不能轻易满足于仅靠金钱激励；他们的偏好已经从对金钱的关注转向对自我能力的关注。

实际影响

实证结果表明，TRS 是一种鼓励员工和提高生产力的工具。因此，公司应该采用 TRS 实践来提高工作满意度和生产力，并维持与利益相关者的关系。随后，管理层还应关注保持良好的员工生产力，以通过监督和监控公司运营以及确保利益相关者利益的实现来改善公司的财务绩效。

原创性/价值

本文对 TRS 与上述结果（如工作满意度、员工生产力和财务绩效）之间的复杂关系提供了独到见解。