The impact of reward system on retention in the Nigeria banking industry:

A case study of Fidelity Bank Plc [FID PLC]

by

ACKNOWLEDGEMENT

I would first like to express my gratitude for my research supervisor, colleagues, and peers and family whose immense and constant support has been a source of continuous guidance and inspiration.

DECLARATION

I hereby certify that the work described in this thesis is my own work, except where otherwise acknowledged, and has not been submitted previously for a degree at this or any other university.

Signature:

Dated:

ABSTRACT

In this study we try to provide an overview of reward system. This research will provide information about the various factors of increasing retention rate in the banking sector of Nigeria. The main focus of this study will be to investigate the importance of reward system in retaining the employees of the banks in Nigeria. The study will follow the qualitative research method and the data will be collected with the help of interviews.

TABLE OF CONTENTS

ACKNOWLEDGEMENTii

DECLARATIONiii

ABSTRACTiv

CHAPTER 1: INTRODUCTION1

Background of the Study1

Problem Statement1

Research Question2

Research Aim2

Research Objectives2

Outline of the study3

CHAPTER 2: LITERATURE REVIEW4

Rewards System4

Rewards and Job Satisfaction4

Extrinsic Rewards4

Intrinsic Rewards5

Incentive Systems, Innovative Capabilities, and Competitive Advantage5

Influence of Motives and Incentives on Innovative Effort and Performance7

CHAPTER 3: METHODOLOGY9

Research methodology9

Qualitative Research9

Assumptions of Qualitative Research10

Research Method10

Research Procedure- Exploratory Study11

Data Analysis Method11

Ethical Concerns12

Time Scale12

REFERENCES14

CHAPTER 1: INTRODUCTION

Background of the Study

Nigeria has the fastest growing banking system in Africa and one of the fastest growing banking systems in the world. As seasoned commentators observed, Nigeria took fewer than 3 years to achieve success in the area of banking, whereby, South Africa achieved success in 20 years. With the impetus of the reforms, a new banking system emerged and will benefit of the Nigerian economy (Soludo, 2007, pp. 7).

The Nigerian banking industry is competitive and dynamic, with high corporate mortality, amidst sporadic regulatory interventions and human resource skill deficiencies. For instance, a recent mixed method study conducted within the Nigerian banking industry and supported by the Nigerian Financial Institutions Training Centre (FITC, 2000, pp. 2) investigated issues of human resources practices in the Nigerian banking sector. The study traced the historical background of the Nigerian banking industry from 1892. Findings from the FITC study indicated that the poor quality of human resources processes in the Nigerian banking industry was the main cause of banking distress in recent years, because the quality of human resources in relation to banking activities and job demand in the industry was inadequate.

Problem Statement

The main problem at hand is to conduct an exploratory study on the retention of bank employees in India and to assess the impact of the reward system on the retention of employees in Nigerian Banking Industry. The entire study will be based on the analysis of the different factors that affect the turnover rate of the employees of the Banks of Nigeria and its effects and challenges posed by it to the banking administration of the country in particular and at the global level in general.

Research Question

The research question formulated for this study is:

What role does the reward system ...