טכניון מכון טכנולוגי לישראל
הטכניון מכון טכנולוגי לישראל - בית הספר ללימודי מוסמכים  
M.Sc Thesis
M.Sc StudentOstrov Shlomit
SubjectThe Influence of Employee Perceptions and Rewards on
Future Career Paths
DepartmentDepartment of Industrial Engineering and Management
Supervisor Professor Albert Goldberg


Abstract

This study discusses the impact of employee perceptions and reward strategy on career paths intentions of the employees. Career paths can move in different directions: 1) external mobility - leave the organization, 2) internal mobility - stay in the organization and be promoted either vertically or horizontally, and 3) move up to expert status in the professional community. It is important to know the drivers of mobility, since it has profound implications (economic and social). The objective of this research was to contribute to the literature of human resource mobility by concentrating on the importance of organizational rewards, both on the micro and macro levels, after controlling for other variables commonly known to influence mobility, including demographic characteristics, organizational commitment and job satisfaction, organizational conditions, and the nature of the work such as skill variety and autonomy, influence mobility. As part of this research, a model was tested on the antecedents of career intentions (leave, stay, establish a name as an expert) of 580 employees in various companies (production, service, R&D). 


Our main claim was that the antecedents of career paths intentions vary from one another. The results support this claim as it was found that different determinants play a role in predicting each career path. For example, perception of appreciation and monetary rewards had a significant impact on intent to stay, while lack of supervisor support, negative organizational image, positive knowledge collaboration with peers and feeling of recognition and status, had an impact on intent to leave. However, more similarities were found between the antecedents of intent to leave and intent to become known as an expert.


Employee type also fulfills an important part in career path intentions and the result demonstrate the existence of profound differences between employees who perform a more standardized task and those who are employed in a more complex line of work.  However, while some of the antecedents influence in the same manner (e.g. monetary rewards and higher likelihood to stay), other act in an opposite direction (e.g. knowledge sharing increases likelihood to stay for employee in a more sophisticated task, but reduces the likelihood for the other).


On the organizational level, it was revealed that while organizations may be classified as belonging to the same industry, their reward strategy does not always correspond accordingly and a relationship between rewards and intent was found.