In an organization, there exists a incentives that critical in defining the relationship between the principal and agent. The employer cannot be certain that the employee will always perform his/ her obligations in the desired manner. This is because the employee and the employer have different desires, perspectives, goals and objectives. The incentives are costs that employer must meet in efforts to ensure that the employee actions are aligned towards the goals and objectives of an organization. It is worthy noting that some incentives such as self interest do not benefit an organization. From a psychological point of view, there exist intrinsic incentives and extrinsic incentives. Extrinsic incentives are incentives that originate from outside, while the intrinsic incentives originate from within an individuals. Extrinsic rewards include rewards, praise, and work related incentives, while some examples of intrinsic incentives include internal motivation to achieve a certain career growth (Reiss, 2004).
Education is an extrinsic incentive which is not tangible, but if a certificate is offered after completion of a course, it thus becomes a tangible incentive. Educational incentives may be costly or less costly. The education incentives are offered on temporary bases, and occasionally. Although education may be an incentive offered on short time basis, it implication may have long run effectives. Upon improving education and acquiring certain skills, the employee increases the scope of responsibilities, is effectively empowered to meet new challenges with ease. Such employees have increased chances of getting a promotion (Sansone & Harackiewicz, 2000). Through education incentives, the employee acquires new skills, improves his or her performance, and benefits the organization too. The education program may not directly be related to the organization operation; however, it may help the organization and the employee indirectly (Matsui, 2013). For example, education through a course of counseling can help the employee to counsel others in respect top how to relate within one another and thus enhance interpersonal skills.
Education incentives are mostly related to the goals and the mission of an organization. They main entail an employees being trained while working, or being offered a break to be taught about new operations in a learning institution. In most cases, the educated employee acquires some knowledge that is considered critical to the success of an organization. The criteria for selecting the employee to be offered the education incentive is mainly determined by the organization. When employee or a group of employees gets trained on a certain concept, there productivity gets improved; as a result, they may be rewarded monetary rewards through promotion. The impact of the education incentive on the performance of the individual and that of the performance is affected in the short run and long run (Bradley, Drapeau & Destefano, 2012).
There exist many organizations that offer education opportunities for employees from different organization. These organization have education programs that are structured to meet the education needs of the in service students. These students either learn online, part time or full time. Education incentives are very importance in an organization because through time, technological advancements are affecting the manner in which operations are being performed. Therefore, an organization needs to continuously educate its employees on the manner in which news approaches can be incorporated into the organization. Through education incentives and training, the employees and the organization gain a competitive advantage. Education incentives are critical factors that determine the success of an organization in present era where technologically enabled operations are getting innovated day and day.
Bradley S, Drapeau M, Destefano J. (2012). The relationship between continuing education and perceived competence, professional support, and professional value among clinical psychologists. J Contin Educ Health, 32(1), 31-8.
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Reiss, S. (2004). Multifacted nature of instrinsic motivation: The theory of 16 basic desites. Review of general psychology, 8(3), 179-193.