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The impact of reward system on talented employees’ performance in Vietnamese commercial banks: mediating role of job satisfaction

Author

Listed:
  • Hung Manh Pham

    (Banking Academy of Vietnam)

  • Tra Thi Huong Le

    (Banking Academy of Vietnam)

  • Linh Hoai Dang

    (Joint Stock Commercial Bank for Foreign Trade of Vietnam
    Banking Academy of Vietnam)

  • Linh Thuy Nguyen

    (Banking Academy of Vietnam, 12 Chua Boc Street, Dong Da district)

Abstract

This study examines the impact of the reward system on the performance of talented staff in Vietnamese commercial banks. We obtained data from a structured questionnaire distributed to 330 Vietnamese bankers. The partial least square structural equation model, which includes employee recognition programs, performance incentives, promotion opportunities, employee performance, and work satisfaction variables, is used to analyze these data. According to the findings, although performance incentives and recognition programs have no impact on an employee's performance, promotion opportunities may assist bright workers in improving their output. These elements do, however, indirectly influence the performance of talented employees via job satisfaction. This study contributes to the previous literature by concentrating on the aspect of talent management in commercial banks, instead of researching all of the employees in companies. The results offer commercial banks vital approaches for managing their brilliant personnel in today's dynamic business environment, therefore enhancing their competitiveness and productivity.

Suggested Citation

  • Hung Manh Pham & Tra Thi Huong Le & Linh Hoai Dang & Linh Thuy Nguyen, 2024. "The impact of reward system on talented employees’ performance in Vietnamese commercial banks: mediating role of job satisfaction," Journal of Financial Services Marketing, Palgrave Macmillan, vol. 29(3), pages 1099-1114, September.
    • Handle: RePEc:pal:jofsma:v:29:y:2024:i:3:d:10.1057_s41264-023-00261-5
    DOI: 10.1057/s41264-023-00261-5
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