...Assignment 1 1 Assignment #1 – Total Rewards DeAnna Walker Strayer University HRM 533 Professor Jama Rand January, 2010 Describe each of the top five (5) advantages of a total rewards approach. Total Rewards are all of the tools available to the employer that may be used to attract, motivate and retain employees. As many organizations shift away from offering employees a “lifetime career” to a newer, less paternalistic deal, employers need to understand the rewards that employees value most in order to determine the best pay-benefits mix. Total rewards include everything the employee perceives to be of value resulting from the employment relationship. Firms that do not offer the right portfolio of rewards face the risk of reduced productivity and loss of their top talent. Despite this, most organizations’ reward programs have evolved without consideration of how the various parts fit together, or how they reinforce each other to create value for the organization. The top five advantages of a total rewards approach are as followed: 1. Increased Flexibility: The tendency to juggle many things in life: personal happiness and well being, family needs and our jobs, is a constant struggle for many workers. Flexibility is a way to define how and when work gets done and how careers are organized. It is a critical ingredient to overall workplace effectiveness. Companies...
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...The Effect of Reward to Employee’s Motivation towards Work Productivity Johnpaula Louise A. Sanchez COMARTS 2 Professor Chona Lajom October 4, 2012 A Review of the Literature Employee’s motivation is one of the most essential parts in a company’s development and success. In order to maximize the overall performance of the employee, the employer must know what is the most motivating for the employees and how to increase their job satisfaction. However, it may be challenging for the company to find out what motivates its employees especially because different people are motivated by different things. Motivation is the desire to achieve beyond expectations, being driven by internal rather than external factors, and to be involved in a continuous striving for improvement. In the context of work, motivation is a psychological process that results from the relationship between an employee and the work environment and it is characterized by a certain level of willingness. The employees are willing to increase their work effort in order to be rewarded and get a specific need or desire that they hold. According to Arnold (1991), motivation consists of three components. First is direction that tackles about what a person is trying to do. Second is effort, meaning, how hard a person is trying. And lastly, persistence, this means how long a person keeps on trying to get what he really wanted. Motivation theory tries to explain, why people at work, behave...
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...Abstract The purpose of this paper is to determine how innovations in employee benefits can improve the overall competitive compensation strategy of the organization. Then, it explains how innovative benefits could be tied to specific jobs. After that, it critiques the effectiveness of equity-based rewards systems versus those with more creative approaches and discusses the key elements of integrating innovation into a traditional total rewards program. And last, it recommends a process that optimizes an employee-based suggestion program to continually refresh the total rewards of the organization. 1. Determine how innovations in employee benefits can improve the overall competitive compensation strategy of the organization. In this century, every dimension of life changes so fast. In unison, the way of companies doing business, personal lives of employees and employers, and working environments change, too. To stay in the business, companies need to comply with these changes. Employees have changeable needs and companies need to make employees keep working with their comprehensive benefits. They must find innovative ways of engaging employees that encourage and support their commitment and improve their performance. Otherwise they will be out of the race. Also, in this century, in workplaces the diversity of workforce increases. Companies must understand and address the diverse needs of their workforce to survive, thrive, and stay competitive. For example...
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...Society for Human Resource Management, “The right total rewards system—a blend of monetary and nonmonetary rewards offered to employees—can generate valuable business results” (Heneman 1). This paper will explore how successful total rewards management systems and the correct implementation of it allowed two top companies achieve success. Total rewards management as we know it “encompasses not only compensation and benefits but also personal and professional growth opportunities and a motivating work environment” (Heneman 3). Hoovers.com states that internet search engine giant, Google, historically reports year-after-year revenue and net income growth. The total rewards management system is world renowned and the successful implementation of it is reflected in Google’s financial reports and consistent awards and recognition. The second company under the scope is US based retailer Costco which sells a variety of products from household appliances to bedding and groceries (Datamonitor.com). Costco Wholesale Corporation is often held up as a retailer that does it right, paying well and offering generous benefits according to Ann Zimmerman in her article Costco’s Dilemma: Is Treating Employees Well Unacceptable for a Public-Traded Corporation (Wall Street Journal). The conclusion will be drawn that both Google and Costco’s are leaders in both of their total reward management strategies and the implementation of it. But how? How did Google and Costco get to that point? People in...
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...Managers need to understand employees and what motivates them; this can prove to be a challenge because they are composed of a diverse group of people. Process theories of motivation can assist them in how to predict and influence behaviors. In this paper will cover three of the five process theories which are Vroom’s Expectancy Theory, Adams’ Equity Theory, and Locke’s Goal-Setting Theory. Theoretical Model: Vroom’s Expectancy Theory Description of Theoretical Model: This theory states that a person will choose to act or behave a certain way depending on if he or she perceives the reward as good or bad for that particular behavior. This theory explains that every individual has a different set of goals and can be motivated if there is a positive correlation between efforts and performance. This model is based on three beliefs valence, expectancy, and instrumentality. Valence is how an individual perceives or values the reward that is offered as good or bad. For example, some may value job promotion as a positive reward because of their need for achievement, although others may have a negative view of the advancement because it will require more time commitment. Expectancy believes that one’s hard work will result in a specific outcome. Instrumentality is the belief that if a person meets performance expectation he or she will receive a reward. Managers can use the expectancy theory to help them understand an employee’s behavior. If the employees lack motivation, the manager...
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...Total Rewards Systems Proposal Ivy Cuttino Strayer University Dr. Judie Bucholz Hrm533- Total Rewards February 10, 2012 Create a brief overview of the company requirements for a total rewards system. Build-A-House (Bah) is a home improvement company that provides products and services for all your home improvement needs. BAH provides a service that employs over 150,000 employees in four different countries including the United States, Australia, Canada and Mexico. The company is great at hiring diverse individual and also has a foreign language hotline for those who are shopping and do not speak the native language. This hotline will assist and interpret for the customers and associates in order to expedite their shopping and make it easy and less hassle. BAH believes in dedicated and loyal employees to make a difference in the service we provide to our customers. BAH believes that the employees are the heart of the company and to come up with a total rewards package that will not only help employees but will make money for the company. BAH will come up with a profitable total rewards strategy to ensure that the employees are being rewarded for all of their dedication and hard work. BAH will come up with a good recruitment strategy by obtaining the best of the best by being competitive and making sure there are standard practices. BAH will also make sure that there is a great coaching and mentoring program is in place to ensure personal growth and development for the...
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...Executive Summary With our organization reaching over 100 employees in many different salary levels we must evaluate the best possible compensation strategy for our organization. In this report, the various compensation strategies and recommendations for implementation will be displayed. The compensation strategy of an organization is one of the most important programs that is a necessity to retain and attract quality workers. There are many different ways to compensate workers but the focus of research has been on that of performance based, incentive based and total compensation strategies. These each have a different benefits for different organizations. The performance based compensation is one that rewards workers for completing projects by certain deadlines or with certain standards. This strategy is beneficial for an organization that has strict deadlines and wants to attract workers who think what they accomplish should speak for itself. This compensation rewards workers who achieve a certain task in a given amount of time and is rewarded by benefits or promotions. This strategy is beneficial for retaining skilled workers who are competitive and high performing. The incentive based compensation strategy is one that rewards workers who attain professional achievements. These achievements could be joining a professional organization or gaining a professional certification. This strategy is beneficial to the organization as it helps to demonstrate the credentials...
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...RESEARCH IN BUSINESS A STUDY ON THE IMPACT OF REWARDS ON EMPLOYEE MOTIVATION IN THE TELECOMMUNICATION SECTOR OF PAKISTAN Farheen B. Zaidi 1, Zahra Abbas 2 JULY 2011 VOL 3, NO 3 Abstract A good reward system is necessary to motivate the employees of an organization. This study was conducted in order to investigate the impact of rewards on the motivational level of employees of telecommunication sector of Pakistan. The impact of three independent variables rewards, monetary rewards and non-monetary rewards on the dependent variable motivation was studied. Four dimensions of motivation, focus, determination, effort and satisfaction were considered for the development of theoretical framework. A total of 292 questionnaires were returned fully complete. The research study showed that there exists a strong positive relationship in rewards and motivation among the employees. It was concluded that monetary rewards have greater impact on motivation of employees than the non-monetary rewards. Significant differences in rewards offered to employees and motivation level were found in the analysis of comparison of means with respect to gender, age group, marital status, working duration in the organization and salary. Keywords— Focus, Determination, Monetary Rewards, Non-Monetary Rewards, Motivation, Rewards . INTRODUCTION "Motivation is the art of getting people to do what you want them to do because they want to do it." (Eisenhower) Rewards whether monetary or non-monetary can be used...
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...INTRODUCTION Domino's Pizza is a international pizza chain with roughly 9000 locations worldwide who has been in the pizzeria business for nearly 50 years. Domino's Pizza has a combination of corporate owned and franchised locations. They are also a publicly traded and multinational organization. Domino's Pizza have set their goal in becoming the number one pizza delivery service ever. Domino's Pizza falls under the fast food industry, which has been characterized for high employee turnover. Domino's Pizza is no exception to the high employee turnover of this industry. Domino's Pizza has a trend of young and inexperienced employees that only stay with the company for a short while. With turnover rates high and new inexperienced employees filling job positions it seems that Domino's Pizza is in a vicious cycle of hiring and re-hiring. Employees do not see Domino's as a long term dream job, but a temporary job just to earn money. The costs of the hiring process is taking a continuous toll on this pizzeria company. In terms of my role with this company I have been asked to assume the role of a consultant. A manager has asked me for my expertise in handling the large employee turnover rate. In this industry the employee turnover rate can be as high as 200% to 300%. It can be quite a challenge to bring this rate down. However I am confident that with the right management strategies in place this employee turnover rate can decrease. It is all about getting...
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...Managers need to understand employees and what motivates them; this can prove to be a challenge because they are composed of a diverse group of people. Process theories of motivation can assist them in how to predict and influence behaviors. In this paper will cover three of the five process theories which are Vroom’s Expectancy Theory, Adams’ Equity Theory, and Locke’s Goal-Setting Theory. Theoretical Model: Vroom’s Expectancy Theory Description of Theoretical Model: This theory states that a person will choose to act or behave a certain way depending on if he or she perceives the reward as good or bad for that particular behavior. This theory explains that every individual has a different set of goals and can be motivated if there is a positive correlation between efforts and performance. This model is based on three beliefs valence, expectancy, and instrumentality. Valence is how an individual perceives or values the reward that is offered as good or bad. For example, some may value job promotion as a positive reward because of their need for achievement, although others may have a negative view of the advancement because it will require more time commitment. Expectancy believes that one’s hard work will result in a specific outcome. Instrumentality is the belief that if a person meets performance expectation he or she will receive a reward. Managers can use the expectancy theory to help them understand an employee’s behavior. If the employees lack motivation, the manager...
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...[pic] Master of Business Administration (MBA) An analysis of the Effects of Rewards and Compensation on Employees’ Motivation and Performance Dissertation submitted in fulfillment of the requirements to the University of Wales for the award of the Degree Of Master of Business Administration (MBA) April 2012 DECLARATION This work has not previously been accepted in substance for any degree and is not being concurrently submitted in candidature for any degree. |Signed | |(Candidate) | |Date | | | STATEMENT 1 This thesis is the result of my own investigations, except where otherwise stated. The correction services have been used, the extent and nature of the correction is clearly marked in a footnote(s). Other sources are acknowledged by footnotes giving explicit references. A bibliography is appended. |Signed | |(Candidate) | |Date | | | STATEMENT 2 I hereby give consent for my thesis, if accepted, to be available for photocopying and for inter-library loan, and for the title and summary to be made available to outside organizations...
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...potential candidate. Compensation is a complicate system because companies have to retain their employees once they are through the door. Compensation varies among employees due to their level of education, experience and their skills; compensations includes hourly, salaried, and bonuses and many different occasions overtime. However, things are about to change due to the Obamacare, and some companies may have tough decisions to make, in regards, to their employee’s benefits and payroll. This paper will discuss the challenges that one company faces when Obamacare takes into effect. Bags Inc. was founded in 1990, on Church Street in Orlando, FL. In the beginning, they were a Valet company assisting the residents and tourists, however, the business became well known and by 2003 they entered into the luggage business, allowing them to franchise in Valet and Baggage. Furthermore, they partnered with Disney in the Valet and luggage services assisting guests in the resorts. Throughout, the years they have grown tremendously, they are a nationwide provider of travel and hospitality services, with operations in more than 250 U.S. cities. Many companies are cutting back to maintain the constant changes in the economy; others must make drastic changes to maintain their business; however, with the changes that are coming in the coming months will force them to reevaluate their financials and employees to meet the...
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... Human capital is by far an organization’s most valuable asset and at that a huge expense. In an attempt to keep cost low, to remain competitive, many organizations are forced to either reduce or completely disregard certain elements of their total rewards programs. This has not always been an easy decision, because on the flip side of the coin, the availability and quality of a company's benefits remains one of the major factors affecting an employee's morale, influences their decision to remain in the business and more so can determine whether or not a qualified employee accepts a job in the first place. What if a certain organization offered rewards that incurs next to nothing or absolutely no costs at all for the employees, and allows them to receive a benefit which cost couple of hundreds of dollars a year? At Aflac insurance company, the reality of this is attainable. Aflac has long understood the importance of rewarding employees with meaningful benefits, handsomely pays off. Not only does this strategy drive company success, it helps the company ascertain and achieve its goals. In her case study, author Sandra Reed outlines that Aflac believes that an organization can create a competitive advantage by including employees as central issues when determining strategic business plans. The result will be...
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...Total Rewards Program Francena Hicks Dr. David Fountaine,SPHR Talent Management HRM53201016 10/27/13 Introduction The purpose of this paper is to discuss the Geico employees’ Total Rewards Program and its alignment to the advantages of total rewards programs in general that are noted in the literature. According to the Geico website, there are five benefits to their Total Rewards Program: Health & Well-Being, Education & Training, Finance & Retirement, Time off & Leave, and Family & Life. The first part of this paper will look at these five programs in-depth and explain how Geico intends to benefit its employees. This analysis will include an evaluation of the effectiveness of the communication of Geico’s total rewards program based on the website’s descriptions of the benefits and include two recommendations for improvement to the program and/or its communication practices. By assuming that there are two weaknesses to the current plan, this paper will provide two improvements for these weaknesses to make employees happier. The final half of the paper will match Geico’s program with data from the literature on the effectiveness and benefits of these types of programs and discuss any implications there may be for the Geico program. Determine which facets of the Geico total rewards program align with the five (5) top advantages of a total rewards program outlined in Chapter 2 of the textbook and discuss your reasoning. Geico’s total rewards program...
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...Fairness in Reward Allocation Name of the student: Name of the University: Course ID: Author’s note: Introduction The discussion of the essay is associated with the fairness in reward allocation that depends on various processes. Most of the organizations are facing the problem to implement the transparent process during the reward allocation because of the individual perception. The theory regarding the fairness also suggest to implement a structured way that will adhere to the policy of the organization so that no employees remain with the dilemma that justice is coming in the proper way. The theory is used to understand the behavioral aspect of the employees and their superior where researchers have given several feedbacks that influence the process (Lund, Scheer and Kozlenkova 2013). The argument is structured in such a way that helps to understand the several aspects of the importance of the organizational fairness in the compensation management, role of organizational fairness in reward allocation, factors that are influencing fairness in reward allocation, impact of reward distribution on employees and how fairness can be achieved within the process. All the processes are discussed with the view of several researches that establish the fact of issues and solutions of the reward allocation. At the end of the essay, every topic is summarized with the findings that could help to enhance the reward allocation. Discussion Operating an organization always needs fairness...
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