How effective are bonuses for bankers?

Section 1 - Secondary Research Log

Group members

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1.1Write the given research question here

How effective are bonuses for bankers?

1.2Expand on and define the terms in the research question. Identify the main topic in the question and the specific focus of that topic. Note down the conceptual area/s of the Dewey System you might expect to find the main topic in the research question

In the current era of drastic competition and extreme workloads, bonuses and compensatory rewards lie at the foundation of motivating the bankers to execute their multifaceted tasks in a committed manner. The major focus of this research paper is to analyze that to what extent bonuses are beneficial to serve the motivational attributes of bankers? The term bonus basically refers to any additional reward paid to the employees other than what is expected or due. While the term banker incorporates every person serving as an executive at bank and is an essential member of a bank's personnel.

1.3Make a bulleted list of keywords and search strings which you feel will generate results in the hunt for information. Add to this list as your search progresses and you identify other keywords.

Bankers

Bonuses

Banking Incentive

Banking reforms

Effective banking

1.4Include here any relevant research from monographs on the shelves of the RC library The monograph entitled as “the global banking crisis and the post-crisis banking and regulatory scenario” is an overview of the reasons of the current banking crisis in England and regulatory measures that can be devised to cope up with the prevalent banking crisis. This monograph reveals that several transformations would strike the banking spectrum of England as a result of crisis particularly in the area of the role of the banks and regulatory measures developed to overcome the potentials of banking failures. Talking about the weak banking strategies, author reveals that bonuses emerged as a means to increase the banking performance. The monograph concludes that the reward structure of banks can enhance the controversies surrounding excessive risk taking but extensive bonus structures are crucial to cope up with challenges posed to banking these days. But banking authorities have to keep a high hand that if the internal cost of banking capital is under-priced and bonuses structure is executed on surplus revenues, then it can enhance the excessive risk for banking instability.

Llewellyn, D. T. 2010, The global banking crisis and the post-crisis banking and regulatory scenario. Amsterdam: University of Amsterdam, pp.40-45.

1.4.1Insert here scanned copies of the relevant pages used to make the summaries in 1.4

See in appendix

1.5Include here relevant research from research papers in journals using the library databases

The research paper of Holland (2010) entitled as “Banks, knowledge and crisis: a case of knowledge and learning failure” aims to examine the banking regulators like turner that have marked elevated leverage, enormous market trading and an outburst of bonus culture as being the essential drivers of banking-oriented financial crisis in England extending over the period between 2007-2009. The article reveals that actually the major reason behind the banking crisis ...