The succeeding paragraphs will explain how innovations in employee benefits can improve the overall competitive compensation strategy of the organization. In order to maintain their competitive edge, companies need to fully understand that as the needs of their employee’s change, so does their benefit plans. Companies need to find innovative ways of engaging employees that encourage and support their commitment and improve their performance.
The first way is by helping the company to attract and retain talent. A company is only as good as its workforce so having an innovative benefit plan will help to attract high potential candidates and also retain them within the organization. McKeown, J. (2002) states that, “Effective retention begins before the hire- in tour recruitment literature, of course, but also in corporate and product literature, advertisements (for recruitment and for sales), press releases, product branding, company image, management reputation, and a myriad of other messages that your organization puts out into the marketplace about what it is, what it does, and how it does it.” (p.20). It is well known that in order for companies to gain that competitive edge thy need to offer something that the other companies in their market are not offering in order to attract and retain top talent.
The second way is by helping the company to raise morale and job satisfaction. WorldatWork (2007) notes that according to a 2004 Overworked in America Study, that employees were less likely to feel overwhelmed if they had jobs that afforded them the chance to continue their education. A management team that supported them in succeeding in their careers, the flexibility they need to manage their job and personal/family life, and ...
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... of the changes because it will not require going through the entire upper management team for approval as they are already the ones on the review teams.
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Many employees when looking for a job or deciding whether to stay with their current employment often considers the employee benefits the company offers.
Determine how innovations in employee benefits can improve the overall competitive compensation strategy of the organization.
In a business or a workplace, it is essential for the organization, which consists of the employers, the managers, and their employees, to work towards reward programs within the human resources in order to create a healthy and cordial work environment and most importantly, to efficiently achieve business’ goals. In Carol Patton’s (2013) article, Rewarding Best Behaviors, she explains the importance of several companies that are beginning to recognize their employees, not just for the end-results, but for reflecting good behaviors towards the business’ values, such as demonstrating creativity on certain projects, problem solving towards certain issues, and also collaborating with fellow co-workers. Patton stresses that these reward programs could help suffice the overall being of a company as long as the rewarded behaviors correlate with the corporate strategy. Patton expresses that some things human resources must comprehend include “how its company creates success, what drives its business strategy and what behaviors are needed from employees to achieve that success” (Patton, 2013 para. 15). Moreover, the employee would be reflected as a role model for others and perhaps influence them to demonstrate comparable behaviors.
Companies are increasingly thinking about getting rid of annual pay raises. The positive side of this could redefine reward systems which motivates employees and attract high quality workers. Being that it could also have a negative side, it could prove to be a demoralizing switch that leaves many workers not able to provide for their cost of living. There is a decision to be made throughout companies which will have an effect not only on the company, but on the employees as well.
Winn could nothing or implement a rewards program that rewards the employee with more than cash rewards; employee recognition program namely employee of the month with a paid day off or a gift card. As part of the employee focused plan, the company should allow employees’ input on how to become more customer focused, efficient, and effective organization. This would greatly improve employees’ satisfaction and help the company achieve its overall goal of providing quality customer service.
Holland Enterprises is one of the largest companies in Milwaukee, WI that employs about 3,500 employees. Holland Enterprises is a family owned trucking business that is contracted in 48 contiguous states. Since 2010, the company has lost 25 percent of their staff. During the exit interviews of the employees, it was determined the compensation and benefit system was not fair to the staff and uncompetitive with the current market. Due to the downsize, Holland Enterprises hired a consulting firm to review, analyze, and revise the compensation and benefit system. In the following proposal, I will present a revision to the current compensation and benefit strategies that will have a fair and competitive edge within the marketplace by analyzing the compensation and benefit philosophy, pay structure, ratio of base pay to incentives, external and or internal equity and the principle benefits.
Offering employee benefits is one way a company must competes in today’s marketplace to retain old employees and attracts new ones. These benefit packages may range from offering basic health insurance to additional discretionary and perk benefits such as vacation and retirement packages. Benefit packages are often a large portion of employee costs and Federal mandates require an employer to carry and offer certain benefits even if they offer nothing else. Federally required employee benefits make up approximately a quarter of the costs associated with employer offered benefit packages. Some of these mandated benefits include Social Security, Worker’s Compensation Insurance, and the Family Medical Leave Act.
The separation of employees' work life and personal life is no longer clearly defined by a 9-5 schedule, time spent in the office or proximity to coworkers. The advancement of technology has blurred the line between work life and personal time. This blurring and overlapping of work and personal time has created a new environment to which company provided benefits much adapt. The evolution of benefit programs must support employees combined work/life overlap and must encompass both areas. There are no longer benefit programs defined by the traditional package of health coverage, dental, vision, vacation, life insurance and 401K program. Employees want and need more from their benefits programs including incentives to attract them to programs, motivate them to use the benefits and ensure healthy choices are adopted in their households. As Dave Rahill, President of Mercer's Health & Benefits business, states in the February addition of On the Clock, "This challenge puts even more pressure on employers to deeply understand and communicate the value of various benefits to their employees so they can make smart choices" (Guillaume, 2013). Employers must broaden their focus beyond just the employee to include the entire family to ensure improvement of employees lifestyles. This paper will discuss the evolution of employer benefits toward a focus in healthy living via incentives provided to employees to ensure their utilization beyond the work environment. Through analysis of employee utilization of both traditional and wellness benefit programs at Conversant the current incentives leading that utilization are evaluated and recommendations for improvement. Evaluation of Conversant’s incentive program designed to drive employee be...
I firmily beleave that you should be able to bring your dogs to work. (In Support of Bringing Dogs To Work) states "Researchers have found that when pet owners interact with there dogs,they expirence a sense of well being and feel less stress and anxiety." I personally feel less stressed when i am around my pets.It also helps productivity.(In Support of Bring Dogs To Work) states "Many studies show that employees get more work accomplished in less time when their workplaces allow them to bring there dogs." I personally got more
I believe that allowing dogs to be taken to the workplace by their owners could be a very good way to boost productivity. The owners would be less stressed because they wouldn't have to worry about their dogs at home. Also, they could want to stay later and get more work done; because, they don't have to go home to walk the dog.
Henderson, R. I. (2006). Compensation Management in a Knowledge-Based World, 10th Edition. Pearson Learning Solutions). . Retrieved from http://online.vitalsource.com/#/books/0558582451/
Meyer, H. H. (1975). The Pay-for-Performance Dilemma. Organizational Dynamics, 3, 39-50. Print. 8 Feb. 2014.
Employee compensation and reward systems have undergone a couple of paradigm shifts since inception. Reward systems were traditionally compensation based and focused on the individual or the position (Beam 1995). After a recession in the early 1980's, employers turned to performance based models in an attempt to save money while still rewarding top performers (Applebaum & Shapiro, 1992). Today, the most successful organizations are using a total reward model, a hybrid of the performance based model combined with strategic human resource management planning to create reward systems that both benefit the employee and help organizations realize their operational goals (Chen & Hsieh, 2006).
Organizations are working hard in today’s world of business, not only to remain competitive, but also to focus on stability and structure. Employees are the backbone of an organization. It is becoming more important to offer quality HRM programs to staff, in order to support the retention of trained and experienced staff. Employees have always been concerned with salary however, there is a new focus emerging that looks at compensation as a whole entity. Monetary wages are now just as important as other benefits such as paid time off, medical and dental offerings and retirement. This paper will discuss the importance of the total compensation program which includes many aspects, not just salary. Attention must be paid to equal pay, pay
Formalized compensation goals serve as guidelines for managers to ensure that wage and benefit policies achieve their intended pur¬pose. The more common goals of compensation policy include to reward employees’ past performance, to remain competitive in the labor market, to maintain salary equity among employees, to motivate employees’ future performance, to maintain the budget, to attract new employees, and to reduce unnecessary turnover. It is important for the organ...