Exploring the importance of employee incentives and their effectiveness in improving quality performance in a Cambodian public organization

The main purpose of this study is to identify the importance of incentives and their effectiveness in employee performance. The detail of this research will be conducted in an attempt to demonstrate whether incentives have a great potential to increase public employees’ motivation and work performance. The purpose of the research is also to illustrate to what extent incentives are used in the Cambodian public service sector. To fulfill the objective of the research as well as to obtain real and reliable data, a research study was conducted at the Cambodian Investment Board – CIB under the Council for the Development of Cambodia – CDC.  The method of this research study was implemented with a qualitative analysis to investigate the work characteristic of Cambodian public employees, and to identify the correlation between the rewarding, recognition and employee work performance. In addition to the research method, the analysis of the qualitative interview data was to be done through the use of thematic analysis. After the qualitative research method was completely finished, the findings of the research study were much the same as those mentioned in the literature review. The data analysis proved a significant correlation between incentives in the form of rewards and recognition, and better work performance.  Based on the findings of this research study, most of the public employees in the above mentioned organization commented that both financial and non-financial incentives are significantly important to encourage and motivate them for greater work performance. It also indicated that there was an absence of employee incentive particularly financial incentive. Meanwhile, the level of utilization of non-financial incentives is extremely poor. Therefore, within the limitations of the research study, it could be concluded that both financial and non-financial incentives have a potential effect on employee motivation and work performance in the public service organization of Cambodia.