Person Focused Pay Essay

463 Words1 Page
bulb-icon

Recommended: Benefits of person focused pay programs

According to our textbook rewarding an employee who has attained job related skill, competency, or knowledge and then using that acquired insight toward being successful in job performance is a what person-focused pay plans are designed for (Martocchio, 2013). So it pays for an employee to invest in themselves in return the skills they have invested in become what employer may be seeking. The text continues to describe two types of pay plan included in the person-focused pay systems. Skill-based pay and pay-for-knowledge, both plans reward employees for how their acquired skill helps them be more productive in their given jobs (Martocchio, 2013). So what would be some advantages Mitron could experience by having a person-focused pay system? Increased employee commitment, enhanced customer service and improved problem identification and resolution are considered to be benefits of implementing a skill-based bay model (Gustafson, 2000).
According to Arora, Yousaf and Gupta (2015), employee commitment to an organization has a strong influence on customer satisfaction and the quality of customer has improved service due to the multidimensional skills that are developed …show more content…

This could help the Mitron successful in the productivity. When individuals are skilled in a particular area they are willing to utilize those skills to their advantage if it will offer them an increase in pay. According to Cable and Judge (1994), people are willing to undertake activities they believe they are capable of successfully completing. Have a culture of employee that are willing to be productive due to the high level of self-efficacy they possess. It is possible to see how an organization such as Mitron would benefit from this type of job performance. This type of advantage of increasing productivity could help to boast motivation among employees to want to accomplish

Show More
Related

  • Powerful Teams: Miami Heat

    1954 Words  | 4 Pages

    ... Factors affecting employees’ organizational commitment–a study of banking staff in Ho Chi Minh city, Vietnam. Journal of Advanced Management Science 2(1), 7-11

    Read More

  • Steel Co Human Resource Report

    3651 Words  | 8 Pages

    The company Steel Co, which has been established for around 30 years, has been in a steady decline during the current recession and although a Divisional Director has been employed by the owner the fortunes of the company have not improved. The staff is unhappy, unproductive and unimpressed by the Human Resource system that currently exists in the company. The pay structure that currently exists within the organisation has been much debated among employees who feel it is unsatisfactory. The Business Adviser will research Performance and Reward management tools in order to help the company develop a more suitable Performance and Reward system to use. A variety of sources will be used in order to evaluate the system and tools against other organisational frameworks. The pay structure within the company will also be looked at in order to identify any possible changes that could be made.

    Read More

  • Job Satisfaction in Canada

    1745 Words  | 4 Pages

    Job satisfaction is an important issue to address within a work force because it ensures that the employees’ care and value is considered. If the company puts effort into making their employees happy with their work, then this will produce positive outcomes. This includes having more people wanting to work for the company, the employees will want to stay longer, increased productivity and the company will gain an exceptional reputation. When employee satisfaction is not addressed, the ...

    Read More

  • Compensation Essay

    1805 Words  | 4 Pages

    When the term “salary” comes to mind, people reference employee wages and the taxes paid by both the employee and the employer. However, the term has a slightly different meaning when it comes to payment of business owners. There are many options on how business owners are compensated, but the options are based on the business entity election. Business owners of sole proprietorships and partnerships are not entitled to a real salary; instead they receive profit distributions from business operations. Profits from a partnership are then divvied up based on the ownership percentage of each partner. They are not responsible for paying the FICA tax, but they do need to pay self-employment taxes and quarterly estimated taxes. Business owners of C and S corporations are waged in one of two ways: salaries if they are involved in daily activity or dividends as a shareholder. In addition to receiving a reasonable salary, payment of Social Security and Medicare taxes are anticipatory.

    Read More

  • Dilemma between Autonomy and Direct Control within Mangerial Control in Current Organisation

    2533 Words  | 6 Pages

    Allen,N.J. and Meyer, J.P. (1990) `The measurement and antecedents of affective, continuance and normative commitment to the organization' Journal of occupational Psychology in L. Fulop and S. Linstead, Management: A Critical Text, Macmillan, South Yarra, 1999, pp 259

    Read More

  • The Mayo Clinic: A Performance Management Assessment

    2102 Words  | 5 Pages

    ... Vandenberghe, C. (2004). Employee commitment and motivation: A conceptual analysis and integrative model. Journal of Applied Psychology, 89(6), 991-1007. doi:10.1037/0021-9010.89.6.991

    Read More

  • The Customer Service of McDonald´s

    1009 Words  | 3 Pages

    For many important and well known companies its people are most important asset. For McDonald’s this applies as well. Employees who demonstrate positive attitudes and ability of commitment strive to be number one in customer satisfaction. For this same reason, McDonalds’s restaurants focus on attracting and hiring the best and at the same time provide the best place to work. Unfortunately McDonald’as well as other companies have to experience staff turnover. Many of these reasons consist of changing careers, going back to school, leaving the area, and even new opportunities they are offered. Although, it can be very expensive to recruit and train staff to reduce turnover, McDonald’ reinforces these steps and makes sure they choose wisely and also treat their staff well. McDonald’ needs and looks for people who want to exceed and deliver great customer satisfaction service. In order for them to make sure they select the best, they must identify quality skills, and or behaviors that applicants must demonstrate in order to be hired and be part of McDonald’s family. Every position or job description has an outline of the regular duties and or responsibilities McDonald’ want their employees to follow. McDonald’ also has a person specification where personal skills and competences can be defined of each applicant.

    Read More

  • Advantages of Maintaining Employees' Loyalty

    1501 Words  | 4 Pages

    Duboff, R. (1999). Loyal Employees Are a Key Link to a Firm's Value. Journal of Management in Engineering, 9.

    Read More

  • Core Values Of An Organization Case Study

    824 Words  | 2 Pages

    We can build customer loyalty by revealing the values to the customer. Customers will often go out of their way to support companies that share their values. We can build employee allegiance by revealing the values to the employees.

    Read More

  • Well Paid Jobs Essay

    263 Words  | 1 Pages

    It is true that payment is a necessary. However, I think that a well-paid job isn’t the most important motivating factor for one to get a job. That's real to say that we work to earn money. So the must choose the environments that be allowed freedom people to think and Creative new ideas, develop the workplace and express themselves? It should be a place where they can feel truly worthwhile.

    Read More

  • Personal Finance In High School Essay

    599 Words  | 2 Pages

    In today’s world we are living in a generation where students are bound to face challenging times financially. Many students graduate without learning how to manage the basics without solid financial skills. They enter college and the real world, a stressful time already faced with a new harsh reality managing their finances. As a result, schools should be responsible for instructing students to be well-informed of money management before graduating high school. Every high school student should take a personal finance class as part of the requirements for a high school diploma.

    Read More

  • Essay On Impact Of Motivation On Employee Performance

    1385 Words  | 3 Pages

    “Business productivity is dependent on employee job satisfaction”. When an employee feels satisfied, secure and trust the employer, they work harder which will enhance the business productivity (Philip, 1958). Moreover, when the employee feels respected, admired, and appreciated by their employers, they will produce productive work which will generate high profit and revenue and hence less turnover (Kalim, Syed & Muahmmad,

    Read More

  • Performance-based Compensation - Pay for Performance

    2553 Words  | 6 Pages

    Most will agree that knowledge is the ‘key’ resource in this post-industrial economy. The challenge for many companies is developing an organization that creates and cultivates knowledge and learning. Pay plays a significant role in shaping workplace behavior. Most of the traditional pay systems reward the job the individual performs rather than the skills he/she brings to the job. The system is not being able to reward the things the company needs and this presents a barrier. The trend has moved away from pay for the value of the job, service and seniority. It is being replaced with paying for skills, knowledge, competency, performance and productivity, all which can be delivered through different invitations, from changes to base pay to introducing gainsharing.

    Read More

  • Industrial Psychology

    8412 Words  | 17 Pages

    ...s in the corporate world by setting new standards to promote and better satisfy their employees. We chose four leading companies in four different industries. The above analysis definitely reveals that perhaps one of the reasons why these companies are the leaders in their industry is because they are well aware of the importance of the work force. They mention in their mission statements as well that yes in deed customers are important but in order to make the customer happy they first need to motivate and satisfy the employee as well. According to Citibank, the general belief is that a happy worker is a motivated and loyal one. So keeping employees' spirits high is a sure-fire way of maintaining a productive workforce. A productive work force would ultimately lead to a healthy organization which would not only promote the society its working for but also itself.

    Read More

  • Key Theories Of Customer Loyalty

    1178 Words  | 3 Pages

    When organization always provide high-quality products and good services, customer will create their satisfaction and increased customer loyalty.

    Read More

More about Person Focused Pay Essay

Open Document