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Undergraduate Research Day UMT 2018<br />

Work Incentives and Operations Achievements<br />

Nurul Suhana binti Khalid<br />

Supervisor: Dr Zairihan Binti Abdul Halim<br />

Bachelor of Economics (Natural Resources)<br />

School Of Social and Economic Development<br />

Firms in Malaysia have a distinctive reference in which they will choose firm setting styles<br />

based on some incentives that can provide an overview of the overall style within the<br />

firm. Firm’s productivity the focus of this study. Specifically, this study examines whether<br />

incentives garneted to employees influences the firm’s overall revenue. One of the criteria<br />

observed by the stakeholders in the Malaysian private sectors is Shariah-compliance<br />

status of the firm. This study shows that incentives such as bonuses, salaries,<br />

remuneration and return on investment vary according to the status of firms in Shariah<br />

compliance. Results for the subsample of Shariah-compliant firms show that incentives<br />

for employees influence the firm’s productivity positively.

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