BUSINESS

Company Loyalty, Customer Loyalty, Employee Loyalty

Company Loyalty, Customer Loyalty, Employee Loyalty

Introduction

Overview

Loyalty is a prized possession of corporate entities, one for which they strive through the lifecycle of the corporation. Loyalty is translated in terms of loyalty to of the company towards its employees, employee's loyalty to the company, and customers' loyalty to the company. These three forms of loyalty hold great significance in the corporate world, one on which the entire company depends. Every single mission and policy of the organization is based on creating harmonization of these three loyalties, by which we mean an integrated system where the company, its employees and customers are all loyal to the core values of the organization. While customer loyalty lies at the heart of marketing science, it is the human resources department of the company that deals with enhancing and promoting employees' loyalty within the company (Guest, Michie, Sheehan, Conway, 2000).

A company needs to be diligent towards its status of loyalty within the industry. In this case, each of the three forms of loyalty need to be analyzed separately in order to assess its significance and value to the company itself.

Thematic Introduction

With the advent of time, the relationship between companies, its employees and customers have undergone a paradigm shift. New changes introduced in the industry have determined new ways to deal with the employees of an organization and to enhance the loyalty of the customers towards the organization's products (Dick, Kunal, 2002). A company needs to come up with new ideas that encourage a uniform level of loyalty throughout the organization, including the employees' commitment towards achieving organizational objectives and the attainment of the company goals. Loyalty is viewed in terms of mutual benefits for all parties.

Company loyalty to employees

Company's loyalty to its employees is the primary requirement of a progressive organization. Companies strive to enhance the job satisfaction of their employees, while being concerned about their needs and requirements (Pil, MacDuffie, 1996). Job satisfaction translates into greater levels of employee commitment towards the organization, where each employee feels himself to be an irreplaceable part of the entity. But this achievement of employee commitment is not an easy task. Companies, especially the Human Resources Management need to strive for maintaining a reasonable commitment of the employee towards the company and vice versa.

Innovative plans to improve loyalty with employees?

Companies create many innovative plans to improve their loyalty with the employees. In this context, the foremost step is to focus on the compensation packages offered to employees through which they are rewarded and accommodated for their positive contributions to the organization. Innovative plans for the loyalty of the employees include coming up with new and modified plans to compensate the workforce of the organization (Norton, 2001).

What kind of strategy is used to increase employee's loyalty to company?

The kinds of strategies needed to motivate the employees depend upon the structure and the type of company. When working in an enterprise there is always a “psychological contract” between the ...