Examining Compensation Management's Impact on Employee Performance: A Case Study of UNICOOPAGI, Rwanda (2019-2022)

Noel Baranyeretse; Ephrard Rulinda

doi:10.37284/eajbe.8.1.2571

Noel Baranyeretse University of Lay Adventists of Kigali
Ephrard Rulinda University of Lay Adventists of Kigali

DOI: https://doi.org/10.37284/eajbe.8.1.2571

Keywords: Compensation, Employees, Performance, Rwanda

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Abstract

This study investigates the impact of compensation management on employee performance at the Union des Cooperatives Agricoles Intégrées (UNICOOPAGI). By analyzing employee perceptions, service quality delivery, job satisfaction, and statistical data, the study evaluates the effectiveness of current compensation practices and identifies areas for improvement. A quantitative descriptive research design was employed, with data collected from 55 employees using universal and purposive sampling techniques. The data were gathered through questionnaires. The findings reveal generally positive employee perceptions regarding key compensation components such as incentives, salary, fringe benefits, and recognition, suggesting that compensation management is largely effective. However, statistical analyses also indicate areas needing improvement, including the diversification of incentive structures, enhancing service quality training, strengthening communication and feedback mechanisms, and revising compensation benchmarking. Furthermore, promoting work-life balance, improving performance measurement systems, and fostering a culture of innovation were identified as essential for optimizing employee performance. Based on these insights, the study recommends refining compensation management practices to create a more supportive work environment that enhances employee engagement, satisfaction, and productivity. By implementing these recommendations, UNICOOPAGI can improve its competitive edge and position itself for long-term success in the agricultural cooperative sector

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