Module 8: Portfolio Project

Running head: MOD3PMOP1: IMPLEMENTING TOTAL REWARDS PROGRAMS 1

Mod3PMOP1: Implementing Total Rewards Programs

Sean Bender

HRM570 – Global Human Resource Leadership

Colorado State University – Global Campus

Dr. Tiffanie Deloach

February 29, 2020

MOD3PMOP1: IMPLEMENTING TOTAL REWARDS PROGRAMS 2

Implementing Total Rewards Programs

Rewards Programs

Rewards programs can exist as both monetary and non-monetary rewards and recognition

presented to workers with the ultimate goal of spawning cherished business results. The method

of total rewards concentrates a few benefits, typically to the firm, where officers must nurture

relationships, developing an excellent personal rapport with subordinates positively. Some

examples of the advantages of implementing rewards systems include a higher degree of worker

retention, more controllable expenses, as well as an enhanced degree of performance from

workers and program administrative personnel. The transparency affected by the total reward

memoranda guarantees good working statuses between managers and workers, and as such, the

firm experiences a high retention rate.

The main objectives of driving the structural elements for the total reward program are

awareness, full comprehension, affection, duty, and retaining workers. Employees must be fully

conscious of their actions and will receive a reward so that they recognize the nature of the firm's

reward method. These goals and objectives can further help in refining the approach of the firm

as well as its total reward program, Its communication tactics, and how the cradle of its

mechanisms, such as salary, benefits, work-life balance, and acknowledgment, recognition, and

gratitude of their performance, as well as helping further to develop their careers (Employee-

benefit.blogspot.com, 2019).

Critical constituents of total rewards programs that firms must employ in attempting to

gain results hope fir increases and enhancement of production from workers receiving public

thanks to workers for their accomplishments. By providing workers with remunerations, a

MOD3PMOP1: IMPLEMENTING TOTAL REWARDS PROGRAMS 3

healthier work-life balance, career development and advancement opportunities, and public

recognition of performance, workers will be happier. The advantage is a critically vital

component of a rewards program and ranges from health incentive programs to insurance plans.

It is critical to contemplate offering a variety of benefits from simple retirement accounts to well-

thought retirement benefits plans and 401k programs. Compensation is another prominent

component of a reward program, with the primary aim of motivating workers to work harder.

These and other methods of payment include short-term incentives, including compensation for

less than a full year of high performance as well as long-term incentives for workers remaining

with the firm for more extended periods, typically longer than one year.

Additionally, a healthy work-life balance is an essential component that signifies the

promotion of a healthy balance between personal time and work, which done by creating a work

atmosphere ensuring workers have enough time to rest through a flexible schedule. Promoting

wellness in the workplace can be improved through different methods like providing health

screening, stress-reduction workshops, and nutritional counseling, which are all part of work-life

balance. Career development and performance recognition help to foster workers' loyalty as well

as give boosting worker morale. Firms can strengthen workers' careers through various means

like training, outside teachings, and technological training (Johnston, n.d).

Reward Systems Linked to Innovation of Products

A worker reward system refers to the rules, procedures, and standards followed when

allocating benefits and compensation to workers. Rewards are separate from salary but can be

monetary in nature, vacations, product discounts, or bonuses. The purpose of reward systems is

to show appreciation for efforts made by individual workers, units, or teams. Reward systems are

based mostly on the performance of job duties, and results yielded along with determining other

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factors like superiority and seniority in the firm or the duration of their employment. However,

rank is increasingly becoming less relevant. Efficient reward methods assist in attracting,

motivating, and retaining workers while promoting collaboration and competence among the

workers in the business. Fulfilling reward arrangements increases effectiveness since rewards for

personnel achieving the firm's objectives and mission.

Clear and concise tactics are necessities when operating compensation programs,

especially those based on innovation, and launching new products. Innovation and change are

crucial to organizations as it helps to grow and sustain the company while increasing its

competitive edge. A firm can be innovative by using new production methods, manufacture of

new goods, development of new supply, or sales market, or restructuring. The process also

involves determining the measures on which the firm bases its allocation of rewards and

rendering the appropriate prizes and awards. The supervisors should also consider individual, in

addition to team-based rewards, whether they implement variable pay, profit- sharing, stock

options, or bonuses. The director should effectively communicate the details of the program,

ensuring every worker understands what the firm expects of them to receive rewards ("Employee

Reward and Recognition Systems," 2019).

Linking the reward system to product innovation means that workers who launch new

products get various incentives. There should be an emphasis on innovation, and the business can

include innovative ideas as a part of the evaluation by executives. Hence, they motivate co-

workers to come up with new ideas. The compensation program undertaken must consider the

different processes of innovation and provide adequate and fair compensation for each

participant. Launching and marketing of the product is an equally important task that should be

acknowledged and incentives given for successful efforts.

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Human resource management function plays a significant role in ensuring that the reward

system gets put in place domestically and internationally successfully. The part of the human

resource function is to ensure that the reward arrangement meets its goals through constant

communication with personnel to obtain feedback and clarify anything elusive about the process.

Managers should promote a workplace environment in which there is acceptance of failure and

risk tasking to cultivate an innovation culture in the company. Cohesive teamwork and individual

career development are fostered through such incentives as various groups are determined to get

the benefits. If one considers the provided information, a recommendation is linking an effective

reward system for product innovation and product launches (Reguia, 2014).

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References

Bender, S. (2020). Unpublished manuscript. In HRM-570 - Global Human Resource Leadership,

Reguia, C. (2014). Product innovation and the competitive advantage. European Scientific

Journal: Retrieved from

https://pdfs.semanticscholar.org/cd0e/15435f3e8b04804f56f3be91883fd4a84d68.pdf