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Some companies reward employees for exceptional work by giving them extra money. Is this a good way of encouraging employees to work hard? Give reasons for your answer and include any relevant examples from your own knowledge or experience. Nowadays in many workplaces managers pay some employees extra money to do some additional tasks. That monetary incentives make employees work harder and do extra work is undeniable, and many strongly hold the idea that this is an effective way to increase employees' performance. Although this method has its own critics, it is still widely used in many famous companies around the globe. Monetary incentives as a positively money-based reward not only meet employees' financial needs but it they also make them think about innovations. It this is practiced in many successful companies and both employers and employees benefit from financial results. Paying employees extra money will definitely provoke their motivation to work harder, and thiswhich results in more products or services by his their company. While managers are always thinking about practical ways of cost saving methods, professional consultants most often provide them with exciting plans to reward their employees to improve their productivity. Having saved the lives of many people worldwide, air bags are is the result of a competition between engineers of BMW for just 500 Euro. On the other hand, we have to keep in mind that rewarding employees monetarily is not the only way to make them work harder than usual. Promoting employees' position, a friendly workplace or even asking newly constructive tasks sometimes makes people work more enthusiastically. Some consultants suggest team activities such as team building or extra activities such as on the job training for a group working together as a positively new methods of encouraging staffs work more. In conclusion, I think monetary incentives serve as a double edged sword and managers have to be aware of its their drawbacks. Knowing how to spend this powerful reward, managers can boost their team's performance. Specialists in human resource are still spending time, analyzing statistics to suggest a better way of managing resources but for sure currently no one can claim that rewarding people financially is the most efficient way to encourage them to work harder or do the extra tasks.