Rewards and Organizational Goal Achievement: A Case Study of Toyota Motor Manufacturing In Kentucky

Abstract

ABSTRACT This research elaborates a theory which explains how Japanese‐managed organizations use rewards to encourage individuals to co‐operate in organizational goal achievement. I contend that in Japanese organizations the small work group and the community of fate ideology are important intermediary social constructs between individuals and rewards. I illustrate this model by showing that at Toyota Motor Manufacturing in Kentucky, rewards are not tied directly to individual performance, but instead are used to nurture the bonds within the work team and to reinforce belief in the community of fate ideology. the work team and belief in the community of fate ideology in turn, positively impact individual co‐operation in organizational goal achievement thereby enhancing the influence of the rewards on individuals.

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