Innovative Employee Rewards

Innovative Employee Rewards

Introduction

Reward systems are one of the key parts of any organizational design and therefore fundamental to the successful implementation of the quality system. It is a powerful HR policy when set to the institutional environment, the quality approach adopted, especially with the other dimensions of organizational design. The concept of rewards and incentives is different for different employees. For some employees, cash is a sufficient and adequate reward. However, according to others, material rewards are more importance. For some employees, intangible benefits are more important than tangible one. For instance, appreciation received from manager or supervisor also results in the enhancement of motivation level of employees (La Belle, 2005, pp. 38).

Compensation and rewards are important to bring job enrichment and to motivate the employees. An increasing number of organizations, in different sectors, have become concerned about employees' performance and satisfaction. Managers are directing their efforts towards the development of strategies which motivate employees to work hard. This is because the motivation of employees enables them to work hard which leads towards the superior performance of employees. The performance of employees is directly related to the performance and productivity of organizations. Rewards and compensation are important ways of enhancing employees' performance since these factors motivate employees to work hard. In this research, the researcher will analyze the importance of both variables in order to enhance the employee performance.

The aim of this paper is conclude that how new innovative reward system of employees can benefit and improve the overall performance of the organization. Then it discussed how innovative reward system benefits could be attached to a particular job. After that, it critiques effectiveness of equity-based rewards systems with those that have more innovative approaches and talks about the major elements of innovation that incorporate into a traditional total rewards program. And last, it suggest a method that access employee-based plan to repetitively restore the total rewards of the organization.

Discussion

In the current business environment, companies are facing stiff competition because of technological changes and innovation. There are a number of companies that are facing economic uncertainties. The other problems faced by current organizations include limited resources and complex management. As a result of different changes, the role of human resource management is also changing.

Human resource management has not become a strategic partner that helps a company achieve its objectives (Asad & Dainty, 2005). Today, it is important for organizations to enhance the performance of personnel in order to survive. The performance and satisfaction of employees is as important as cost cutting and quality enhancement. The current knowledge economy requires employees to develop and implement ideas that enhance the performance of an organization. Human resource has, therefore, become a strategic partner that identifies the skills of employees and provides them with training and structures that are important to deploy competencies (Ozutku, 2012).

The current environment that is characterized with downsizing, reward and compensation play a vital role in boosting the morale of employees and to enhance good will between managers ...