Handbook of Management Scales/Reward system

Reward system (composite reliability = 0.87) Description The authors follow a two-phased approach to develop multi-item scales that measure dimensions of service orientation in the context of business-to-business e-commerce. Service orientation was conceptualized as a third-order construct comprised of five combinative service competency bundles: service climate; market focus; process management; human resource policy; and metrics and standards. One of these five second-order dimensions, human resource policy, consists of two first-order dimensions: human capital and reward system. Definition The extent to which a company has a reward system in place to reward employees on the basis of their performance. Items Our employees are rewarded on the basis of how well they perform on non-financial measures (e.g. customer satisfaction) as well as financial measures. (0.76) We reward our employees based on customer loyalty metrics. (0.75) For our employees, recognition is based on exceeding both internal and external service expectations. (0.80) Evaluation and reward of most managers is linked to service performance. (0.85) Source Oliveira/Roth (2012): Service orientation: The derivation of underlying constructs and measures. International Journal of Operations & Production Management, Vol. 32, No. 2, pp. 156-190. Comments The first and second items were dropped due to low regression weight (or lower than remaining items). Related Scales Human capital