Incentive is a bonus or reward which can be monetary or otherwise to encourage hard work or dedication. Every worker deserves their wages, and exceptional employees deserve some bonuses for their hard work. By doing this, it promotes high productivity, healthy competition, and motivation for hard work. But then incentives differ, incentives can come as a promotion, a gift, an award, or a treat. It all depends on the strategy the organization adopts for encouraging their workers.
However, workers may not be satisfied with the type of bonuses an organization gives especially if it's common. The kind of incentive given to workers is what determines how motivated they will be, and not all incentives give maximum motivation, some incentives make an impact for a short time while others for a long time. If there's any incentive that may impact/motivate me, such incentive should be able to hold a lasting impact, rare, and has the ability to change one's status. The perfect incentive for me to do anything, especially in an organization is promotion.
Promotion has the following advantages
. It remains for a longtime
. It comes with increment in salary and ranking
. It's everyone's dream to grow, it's blissful when this growth happens early.
And the perfect punishment for an employee who refuses to do their task is a reduction in salary. The idea of a reduction is scary, especially when the amount earned by a worker is not even enough to pay for bills and still have some penny left for his own luxuries. An enticing reward to do something is a raise in rank/salary and a punishment for not doing a task is reduction in the salary for that month. A two-way system and this may work perfectly in an organization.
