reply to my classmates performance


**Note: each reply should be separated** 

** 100 words for each reply**

Reply to my first classmate: SHARAF ALNAJRANI 

In today’s turbulent economic times, many organizations in the world have modified their reward system and basic pay system in order to coup with these financial crises. Because of recent pandemic caused by Covid-19, organizations are struggling to make financial stability and they have cut based pay, reduced short-term incentives and removed long term incentives (Aguinis, 2019).

Saudi Gulf Airlines is one of the organizations located in Dammam, Saudi Arabia that has been affected badly due to Covid-19. Majority of the countries in the world have suspended international and even national flights in order to deal with the pandemic. Covid-19 disruption has causes Gulf Airlines up to $7bn causing them a huge blow financially. This has resulted in loss of jobs among individuals working at Gulf Airlines. They modified their reward system and cut off base pay rate to their employees in order to deal with financial crisis. Short term incentives have been reduced to minimum and long-term incentives have been eliminated. This has made employees resulting in frustration and dissatisfaction related to their jobs. Pay is the basic need of individuals and they are highly de motivated when organization attempt to reduce their pay and incentives (, 2021).

Reward can be both extrinsic and intrinsic. Extrinsic rewards are considered to be out of control of individuals such as basic pay, bonuses and incentives etc. Intangible returns need to be made to make up for financial cuts by Gulf Airlines. Employees should be motivated so they can feel a sense of recognition in doing the work after pay cuts in order to keep them motivated. Targets should be revised and relatively easy targets should be given to employees that can be easy to achieve to create a sense of achievement among employees in doing their work. Management should focus on achieving personal satisfaction of employees in current working conditions to keep the employees motivated to work (Barasha Medhi, 2020).



Aguinis, H. (2019). Performance management, 4e | Chicago Business Press.

Barasha Medhi. (2020, July 23). Types Of Rewards: A Quick Guide For HRs. Nurture an Engaged and Satisfied Workforce | Vantage Circle HR Blog. (2021h). SaudiGulf Airlines, Book your ticket now! | SaudiGulf Airlines.


Reply to my second classmate: MOHAMMED ALANAZI

Bin Dawood is the largest retail store of KSA with 72 stores operational in different regions of the Saudi Arab. The company is famous for the collaboration with world famous companies, suppliers and retailers, opened their stores in the Holy cities to attract a great ratio of pilgrims as well as local customers providing the effective services. The reward system of the company is based on the extrinsic and intrinsic rewards for its employees. There is various type of reward strategies they have been utilizing in their company which are helpful for the maintenance of brand identity among the international brands (BinDawood Holding, n.d.).

Bin Dawood stores have a system for Base Pay, in which employees specified at a certain job in the store will receive a basic pay for their working hours like 40 hours per week. Overtime from a worker will give them an opportunity to earn more at the hourly bases. The quarterly incentives are also given to the employees according to hierarchy of needs. Then performance related rewards are also initiated by them in which the individual performance is assessed and then bonus, incentives or commission will be provided to them (Aguinis, 2019). Similarly, for a group based project, group motivation can be given using extrinsic or intrinsic reward providing official lunch or dinners to them, giving credit to the group leader and team mates also. The pension schemes are also utilized by the strategic developers to manage the employee motivation and performance.

During Covid-19, the 20% cut down of needs can be done by controlling the bonus ratio of the employees at individual and group level to control the situation. The cutting of extrinsic rewards like incentives, fringe benefits and promotions should be reduced (Chareonsuk & Chansa‐ngavej, 2008). The managers can use intangible returns by using a method of appraisal, highlighting the best performer and using intrinsic rewards that includes self-motivation, individual and group identification and providing job role with autonomous decision making ability to influence the workers during pandemic (Beck-Krala et al., 2017). The balancing for the communication of the employees and work-life balance. The positive feedback, appreciation, appraisal and taking advice for the future decision making from the employees are also the means for the intangible returns as it helps to cut down costs and make a balance environment for the organization to attain its goals. 


Aguinis, H. (2019). PERFORMANCE MANAGEMENT, 4e | Chicago Business Press.

BinDawood Holding. (n.d.). Retrieved March 14, 2021, from

Beck-Krala, E., Tarczoń, E., & Masłyk, T. (2017). EMPLOYEE SATISFACTION WITH TANGIBLE AND INTANGIBLE REWARDS IN HEALTH CARE SECTOR. Polish Journal of Management Studies, 16(2), 17–27.

Chareonsuk, C., & Chansa‐ngavej, C. (2008). Intangible asset management framework for long‐term financial performance. Industrial Management & Data Systems, 108(6), 812–828.

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