Impact of Compensation and Benefits on Executives’ Performance: A Study in Malaysian Manufacturing Industry

Bokhori  Md Amin; Abdul Halim  Abdul Majid

Authors

Bokhori Md Amin School of Business Management, COB Universiti Utara Malaysia, 06010 UUM Sintok, MALAYSIA
Abdul Halim Abdul Majid School of Business Management, COB Universiti Utara Malaysia, 06010 UUM Sintok, MALAYSIA

Keywords:

Compensation and benefits, monetary rewards, non-monetary rewards, bonus and allowances, executive performance

Abstract

Compensation and benefits is very important to every executives to perform their job well. Organizations are therefore need to ensure their executives are satisfied particularly with issues related to compensation and benefits. This paper measures the impact of compensation and benefits on executives’ performance. A questionnaire was used to collect data on factors related to compensation and benefits such as monetary and non-monetary rewards that may affect executives’ performance within the Malaysian manufacturing industry in Penang Malaysia. The collected data was then analysed using SPSS version 20. Both descriptive and inferential techniques were conducted. Findings indicated that there is significant influence of compensation and benefits on executives’ performance. It is proved that from regression analyses, that all independent variables have positive and significant influence on employees’ performance.