Assignment 1: Case Study: Geico

Assignment 1: Case Study: Geico

Introduction

The following paper is based on Total reward system and to give readers a proper understanding of the system, a firm by the name of Geico is selected to study the total reward system. The paper is based on different questions ensuring all the different aspects covered.

Total Reward System aligning with Advantages

As per the literature, the different advantages of total reward system are linked with the performance. For instance, the total rewards actually meeting the evolving needs of the modern's employees. The reason behind, in the modern world workforce continued to diversify and due to that the expectations from the job also changed. Considering a point that employees and the firms now more focusing on job enrichment with flexible working schedules and altering the overall work environment. Therefore, the main purpose of total reward approach is to address better many different and varying employee needs.

Considering the example of Geico as it offering different benefits to their employees, for instance, health and well being is really attracting employees. Similarly, by offering different flexibilities in health and well being based on a point that the employees should make and design reward in their own way. The reason behind, companies are now involved in creating and formulating different niche products and services to cater small consumer segments, this is the reason that companies like Geico started blending and creating different blends of rewards packages for diversified work force. Therefore, in the case of Geico the total reward approach is basically the blend of transactional and relational rewards, the reason behind is the different tremendous flexibilities offered by Geico to its associates because it allowed associates to enjoy mix and remix rewards based on the different motivational and emotional needs of the associates.

Secondly, the finance and retirement plan offered to associates to ensure their bright future is also inclined with the advantages of total reward approach (Tenhiala & Lount, 2013). By studying literature, one thing that need to be highlighted that modern day organizations are currently facing significant shortages in terms of best in class employees. However, in the initial stages, the best solution for recruiting and retaining employees were to throw money at the problem, but the approach was so much used by the firms that it lost the competitive advantage and secondly the management's expense was raised.

Therefore, Geico understanding the issue derived a plan that assisted the management in creating such a plan that encourage the associates to put extra efforts because as per the company's benefits plan a lot dollars have been assigned only for the employees and their shifting values. Secondly, the associates that working with Geico are basically looking beyond the big picture in terms of their job, what benefits they could get from job, what benefits I will take after the retirement (Hwang & Wang, 2013). These are the questions that modern day employees more focusing and thus the advantage of having improved finance and retirement plan ...