Adaptability of reward system for knowledge-based competition

Traditional organizations were not structured to knowledge management. The reward systems in these organizations were not designed to support organizational behavior which knowledge-based approaches to competitive advantage required. Analyzing the job-based pay, skill-based pay and performance-based pay, this paper discussed the advantages, disadvantages and the adaptability of them in knowledge-based organizations. Several kinds of pay systems that will have positive impact on in knowledge-based organizations were pointed out.