REWARD DISTRIBUTION STRATEGIES TOWARDS ENSURING INDUSTRY 4.0 PERFORMANCE IN BANKING INDUSTRY: A CORRELATE AND EFFECT

Abstract

Objective: This study examines reward distribution strategies and industry 4.0 performance in Nigeria banking industry. Research Design & Methods: The study used survey research design with a population of 157 staffs of Access Bank PLC branches in Ilorin metropolis of which 113 samples were drawn, administered structured questionnaires, and analysed using correlation and regression through SPSS v23. Findings: The result indicated that there is a strong positive relationship between reward distribution strategies and industry 4.0 performance through performance-based reward, skill-based reward, merit-based reward, and team-based reward on industry 4.0 performance, and reward distribution strategies has significant effect on industry 4.0 performance of banks. Theoretical Implication: The agency theory helps to prove that aligning the interests of managers with the goals of embracing technological advancements can help banks to encourage managers to invest time, effort, and resources into exploring and implementing innovative solutions. Implications & Recommendations: The study concluded that reward distribution strategies have significant effect on industry 4.0 performance of Access Bank. It thus recommended that Access Bank in Ilorin metropolis focus on implementing effective reward distribution strategies to improve their industry 4.0 performance. More importantly, the bank should give attention to Merit-Based Reward and Skill-Based Reward as they have a stronger relationship with Industry 4.0 Performance. Contribution & Value Added: Aligning rewards with emerging trends in Industry 4.0 has been a huge challenge for organizations. Thus, this study advances understand on how organisations can effectively align their reward system to stimulate performance in the organisation