Non financial rewards for HRM in tech companies

Purpose: This research study aims to determine the importance of non-financial rewards as an element of total compensation and its relationship to human resource management mediated by the relationship of strategic corporate governance in the technology sector. Design/methodology/approach: A quantit...

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Main Authors: Santiago Almadana-Abón, Jesús Molina-Gómez, Pere Mercadé-Melé, José Manuel Núñez-Sánchez
Format: Article
Language:Catalan
Published: OmniaScience 2024-10-01
Series:Intangible Capital
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Online Access:https://www.intangiblecapital.org/index.php/ic/article/view/2737
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Summary:Purpose: This research study aims to determine the importance of non-financial rewards as an element of total compensation and its relationship to human resource management mediated by the relationship of strategic corporate governance in the technology sector. Design/methodology/approach: A quantitative approach of extrinsic and intrinsic non-financial rewards, human resource management and strategic management of the company has been carried out. To obtain the necessary data, self-administered questionnaire were used. The results obtained from a sample of 97 human resource managers in the technology sector proves the causal relationship between each type of non-financial reward and human resource management, as well as its link to the strategic management. Findings: Using Partial Least Squares Structural Equation Model (PLS-SEM),  significant relationships occur between human resource management and strategic management, followed by the relationship between human resource management and intrinsic rewards. A significant relationship exists between human resource management and direct and indirect intrinsic rewards through strategic management. In turn, only an indirect relationship exists between human resource management and extrinsic non-financial rewards through strategic management, but there is no direct relationship. Originality/value: These findings are highly important for human resource management, since it could allow the development of new compensation strategies with non-financial rewards under strategic management helping technology companies to generate competitive advantage by means of the same.
ISSN:1697-9818