Abstract

Employee performance is measured by the quality of work, productivity, ability to work independently with little or no direction or follow-up to complete tasks, job knowledge, employees’ interpersonal relationships and so on. Reward systems have long been used as a strategy to motivate employees and increase their performance. Several studies have also suggested that knowledge sharing increases learning which improves employees’ job performance. Yet, in Ethiopia, several organizations haven’t done a comprehensive study on which type of reward system or knowledge sharing practice best fit them. The purpose of this study is to examine the reward system and knowledge sharing practices of two banks, Awash and Dashen, in Adama Ethiopia, and analyze the differences in their employee performance. To achieve this objective this study uses instruments based on intrinsic and extrinsic reward system and tacit and explicit knowledge sharing and their impact on employee performance. The target population are employees of Awash and Dashen bank in Adama, Ethiopia. An empirical study using qualitative data and survey method is employed to conduct this study. A convenient sample is collected from 120 employees in each bank. The theoretical and practical implications of the study are also discussed.

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