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Author:Elg, Christian
Title:Utvecklingen av ett medelstort ICT-företags belöningssystem i ljuset av kontingensteorin
Developing the reward system of a mid-sized ICT-company in the light of the contingency theory
Publication type:Master's thesis
Publication year:2008
Pages:vii + 102 + liitt. (+19)      Language:   swe
Department/School:Informaatio- ja luonnontieteiden tiedekunta
Main subject:Työpsykologia ja johtaminen   (TU-53)
Supervisor:Vartiainen, Matti
Instructor:Moisio, Elina ; Lönnquist, Thomas
Digitized copy: https://aaltodoc.aalto.fi/handle/123456789/96012
OEVS:
Digitized archive copy is available in Aaltodoc
Location:P1 Ark Aalto  8083   | Archive
Keywords:contingency theory
fit
mid-sized ICT-company
reward system
intrinsic rewards
material rewards
competency rewards
justice
participation
kontingensteorin
medelstort ICT-företag
belöningssystem
immateriella belöningsformer
materiella belöningsformer
belöning av kunskap
rättvisa
medverkande i beslutsfattandet
Abstract (eng): The aim of this work is to help a mid-sized ICT-company, "Alfa", reach its goals by finding solutions and recommendations for the implementation of a reward system, using modem theories regarding reward systems.
The study is done as a case study.

The research problems are: What kind of reward systems could be used to best suit a mid-sized ICT-company like Alfa?
What aspects need to be considered in order to implement the most working solution possible for Alfa?
The research problems are answered using literature review and two qualitative studies at the case company.
The qualitative studies were executed as interviews of the personnel as well as participating observation and reading the company's documentation.
The focus of the observation and interviews were how the case company is functioning in the light of Lawler's contingency theory and how the reward system is perceived to work by the personnel as well as the personnel's expectations of a new reward system.

The literature review consists of depicting characters of expert- and project organizations, different forms of reward systems and theories about contingency with a focus on expert- and project organizations, as well as justice in reward systems and examples on reward systems in use and why it is so difficult to implement reward systems for ICT-companies.

The objectives of this work were met.
It is important that the reward system is compatible with other aspects of the organization such as the strategy and goals.
Alfa must first and foremost clarify its strategy.
On Alfa effort should be put on developing intrinsic rewards as they best influence the internal motivation in this expert organization but also performance pay is needed to boost productivity.
The reward system should support cooperation and meet the criteria of perceived justice.
Special rewards and "smorgasbords" can be implemented to better reward individual performance.
For best results and perceived functionality the personnel should participate in the implementation of the reward system.
ED:2008-12-16
INSSI record number: 36616
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