Recognition is More Important than Pay, New ACCA Report Finds

A new report, Culture and channelling corporate behaviour: ACCA member survey, published by ACCA (the Association of Chartered Certified Accountants) has found that recognition at work is the highest motivator,regardless of age, industry or location – even outstripping monetary reward.

The survey harnessed the views of almost 2,000 ACCA finance professionals from across the globe. The highest motivators for respondents that included the Middle East region, after recognition was getting to a more senior position followed by having more challenging work.

Jo Iwasaki, ACCA Head of Corporate Governance, said:

“To promote ethical behaviour at work, the creation of an environment where people could comfortably discuss any concerns was rated highest among respondents. On the other hand, less people were convinced of the effectiveness of having a code of ethics in isolation or rewarding/punishing certain behaviour.

“The survey highlighted some clear distinctions between employee views in Europe and America and Africa and Asia. For example in Africa and Asia rules and procedures play a larger role than for respondents in Europe. However, the tone of corporate leadership is vitally important in channelling the overall culture of an organisation in any region.”

“In all Asia and Africa 2/3 of respondents felt that performance related pay could lead to employees falsifying or exaggerating results, respondents from the Rest of Asia category – which includes the Middle East – were slightly less supportive of this.This shows the fine line employers need to tread when putting in place performance related targets and the need for careful consideration when linking them to pay.”

Konstantinos Stathopoulos, Professor of Accounting and Finance at Manchester Business School and co-author of the report, said:

“The survey results reveal there is no “one size fits all” strategy when it comes to building corporate culture and behaviour. Even though the role of leadership in setting the tone is highlighted in most responses, the survey uncovers significant differences in attitudes and perceptions regarding effective channels of corporate behaviour. These disparities are also intensified by differences in respondents’ geographic location, industry and characteristics.”

Middle East respondents were drawn from across the region including Qatar, Saudi Arabia and the UAE. This is the final part in a series of four reports designed to help boards understand what constitutes corporate culture and how functional behaviours at work can better be promoted.

The report was co-funded by the ESRC (Economic and Social Research Council). A full copy of the report is available here: http://www.accaglobal.com/content/dam/ACCA_Global/Technical/hc/caccb-member-survey-results.pdf