Companies that have systems that reward employees for their hard work and dedication are far more likely to keep those employees performing at levels that are greater than employers who use a punitive system approach Kettner (2002). Lawler (2000) argues “strategic success is heavily dependent on the ability of an organization’s reward system to support the strategic goals."
As the director of an established not-for-profit, community based organizational provider that offers high quality educational, vocational, and training services to various segments of the local population, one would design a reward system that would work to keep employees motivated and eager to function at high levels, especially since the population that is being dealt with is high school juniors, seniors, and drop-outs.
Kettner (2002) lists nine of the top 25 motivational factors as “1.Respect for me as a person, 2. Good pay, 3. Chance to turn out quality work, 4. Chance for promotion, 5. Opportunity to do interesting work, 6. Feeling my job is important, 7. Being told by my boss when I do a good job, 8. Opportunity for self-development and improvement, and 9. Large amount of freedom on the job.”
To address number one, respect for the individual, there would be a rule in place that would not allow anyone, from board members to the general workers, to talk down to, threaten or bully anyone at any time. Respect for each other is vital, and disrespect on any level will not be tolerated.
The second factor, good pay, is a bit more difficult considering the current economy, but pay will be competitive. The company will stay away from merit raises as it does little to motivate employees to work harder since these raises based on performance are usually small. According to Lawler (2006), “individual performance often varies considerably over a person’s working life. As a result of performance changes, poor performers can end up with very high pay and outstanding performers with very low pay.” Instead, the company will use a bonus pay system which can provide “powerful incentive for individuals to perform well and to change their behavior when a new strategic intent calls for it” Lawler (2006).
Number three is the chance to turn out quality work. It will be the intent of the company to always inspire the employee to do their best to put out work for which they will feel good about. It is the belief of this executive director that putting out work that one is proud of will also produce feelings of proudness in oneself. It is true concerning poor work, as well, one is not going to feel the pride and accomplishment for producing shoddy work.
A chance for promotion is number four. When a company cares about the employees enough to want to make them a bigger, more important part of the family, it shows the employee that they are valued and that the work that they are doing is getting noticed. The word family is used here because, as the executive director of a human services company, this is part of the goal. It brings with it values and a level of caring that goes beyond just workers. This company will care about its employees and want and work to get the very best for them.
Number five is the opportunity to do interesting work. One of the best things about offering educational, vocational, and training is that there is a wide variety of possibilities. The student can choose a field that interests them instead of just being stuck in a position that they are not interested in. Whether it is welding, beauty school, IT, or mechanics, they are able to follow a path that works for them.
The sixth factor goes hand-in-hand with doing something that interests them, and that is feeling that their job is important. Just as in number five, the students are able to choose from a plethora of opportunities that they feel are important. Nursing, one of the vocational training services offered in the company, is one where the student is bound to feel like they are doing an important job. Doing something that makes a difference causes one to take pride in themselves and the job they are doing.
Being told that one is doing a good job by management is the seventh most important factor. Everyone likes to be congratulated on a job well done, and it is something that often goes without being done. Management can get used to what employees do as just part of their job so a ‘good job’ or ‘pat on the back’ sometimes gets overlooked. It will be the pleasure of the management team within this company to make sure that every employee gets told when they are doing a good job.
Also, one may show an employee that they are doing a good job be rewarding them. According to Heneman (2001), "Rewards can encourage employees to carry out a business strategy. By providing rewards for producing results consistent with the business strategy, organizations can use new forms of rewards such as competency or skill-based pay to motivate employees to learn new behaviors."
Number eight is the opportunity for self-development and improvement. This is what this organization is all about. It is vital for young people to do things that are going to cause them to grow and learn in many different ways. A community-based program that educates and trains the high school aged population will make them stronger and more individualized and will make the community stronger as a whole.
Finally, number nine is having a large amount of freedom on the job. Even though this company will be using project teams, there will be freedom to operate without being under the strict oversight of an immediate supervisor. This will teach them independence, as well as how to work as a team, all the while having the freedom to express their own unique talents. This also teaches responsibility and how to delegate and share the load.
As was said before, this company will be run like a functional family. Being that the population of workers is high school age and not adults, there will be case managers that will make sure that every need is taken care of when it comes to the employees. Management is aware that quite a few of the employees will be coming from a family dynamic where abuse and neglect are present. Case managers will make sure that arrangements are made to keep the employees safe. Counseling centers in the area have been contacted and are willing to counsel families that need it. No one will be turned away because of an inability to pay, the Texas Department of State Health services will cover the cost, if need be.