Illustration of extrinsic reward, Strategic Management

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Q. Illustration of extrinsic reward?

Monetary reward is an illustration of extrinsic reward and considered as the most important of all 'hygiene factors' according to Frederick Hertzberg.  Payments and benefits in kind ('perks') provided can motivate staff, financial incentive schemes linked directly to performance can enforce greater goal congruence to achieve corporate aims and objectives e.g. lower cost, better quality or higher productivity and efficiency.


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