What are reward strategies?
Reward strategy involves designing and implementing reward policies and practices support your organisation’s objectives, delivering a motivated and effective workforce. Often an organisation’s pay and reward structure has evolved without any overall goal, sometimes allowing bias and unequal pay issues to creep in.
What are the components of reward strategy?
The team should consider the full range of reward strategies, including compensation, benefits, personal and professional development, and work environment. Compensation comprises three major components: pay level (base wage or salary), pay increases, and incentives (cash bonuses) (Gerhart & Rynes, 2003).
What are the goals of a reward strategy?
The aim of the reward system is to motivate staff to achieve higher productivity yield. In the other hand, most of the design companies focus more on the innovation and creativity of the staff. Instead of time spend in the office, the firm will reward employees who have more creative ideas.
What are the classification of rewards?
There are two types of rewards—tangible and intangible. Tangible rewards are money, vacations, and material objects. The best way to use money as a reward is to give a specific amount as a bonus directly related to the performance of a task or the achievement of a goal.