A Study of Performance-Based Incentive Systems on Employee Engagement in Pharmaceutical Companies in Bhopal

Swati Mathur; Priyanka Gupta

doi:10.69968/ijisem.2025v4i1155-162

Authors

Swati Mathur Professor, Anand Institute of Management
Priyanka Gupta Assistant Professor, Technocrats Institute of Technology, Bhopal

DOI:

https://doi.org/10.69968/ijisem.2025v4i1155-162

Keywords:

Incentive Systems, Employee Engagement in Pharmaceutical, Pharmaceutical Sector Businesses, Organizational Regulation

Abstract

The study identified employee motivation along with performance levels and organizational culture and employee turnover and market competition as major contributors to declining employee engagement within Bhopal's pharmaceutical industries. The research investigated the relationship between work engagement and performance dynamics in pharmaceutical organizations operating in Bhopal through this study. Researchers built their investigation on the Two Factor Theory which Frederick Herzberg introduced in 1959. A survey research methodology allowed the study to analyze senior personnel working at 136 pharmaceutical production businesses operating within Bhopal. The analysis utilized Percentage method and Chi square method to validate the created hypotheses. Employee work engagement demonstrated a powerful positive association with performance-based incentive systems across Bhopal's pharmaceutical sector businesses. Workers exhibited higher engagement levels whenever receiving performance-based incentives and complementary benefits according to study results. Organizational regulation consistency depends on including performance-based incentives according to the research findings. A definition of performance-based evaluation standards needs to be established to determine employee qualification for incentives.

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