Armstrong's Handbook of Reward Management Practice: by Michael Armstrong

By Michael Armstrong

This booklet, the definitive consultant to knowing, constructing, and enforcing powerful present, is geared toward either HR practitioners interested in employee compensation and scholars who have to understand performance incentives and how they could be effectively utilized throughout organizations.  The booklet is supported through on-line assets for either teachers and students. This re-creation comprises new examine performed via E-Reward, in addition to new case reports of overseas businesses who're successfully utilizing gift to enhance functionality.  It contains functional information on designing gift for all degrees of worker in addition to for groups and the association.

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Additional info for Armstrong's Handbook of Reward Management Practice: Improving Performance through Reward, Third Edition

Sample text

An incentive scheme enables line managers to recognize and reward outstanding contribution by individuals or teams outside of the annual pay cycle. •• A variety of financial and non-financial awards are available to recognize personal development and ongoing contributions that employees make towards the overall effectiveness and efficiency of the company. B&Q •• The 20,000 customer advisors are paid on one of six different spot rates in the upper quartile of similar jobs. •• Pay progression is based on the acquisition – and application on the shopfloor – of skills and knowledge.

These could all be defined and programmes produced for their development. Add recognition or another element to pay and benefits as a starting point, and bring in other elements as part of a longer-term strategic HR plan. There is plenty of choice, and decisions on what elements should be included should be based on an assessment by all the stakeholders of the context and the requirements of the organization and its employees. Current arrangements should be analysed to determine the extent to which any element can be included or the amount of work required to introduce it as part of the model.

Reward policy Reward policy will cover such matters as: •• The level of rewards: this will be related to a view on how internal rates should compare with market rates, in other words, the organization’s ‘market stance’. •• External competitiveness versus internal equity: the balance between being ‘market driven’, whereby pay levels are governed by market rates, and being more concerned with the extent to which equal pay is provided for work of equal value. •• Transparency: how much information will be released about pay policies and levels.

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