Running Header: REMUNERATION AND REWARDS

Remuneration and Rewards

Executive Summary

In this assignment, remuneration and reward system at Nuplex is assessed with a view to identify areas of improvement. Different concepts of employee motivation such as content theories and how they are linked with remuneration and rewards has been discussed. Moreover, the link between work life balance and employee motivation is also discussed and how it can be used by HR people at Nuplex as part of their remuneration strategy to achieve improvement in employee's commitment to the company. The strong link between motivation and financial incentive at the workplace is also discussed. In the end, recommendations are made for HR people at Nuplex through which they can improve their rewards and remuneration system.

Remuneration and Rewards

Introduction

Human Resource Management is defined by Boxall et al (2007) as the management of people and work towards a desired outcome. The involved HR activities should be designed in such a way as to ensure effective and efficient use of human talent to accomplish organizational goals. Boselie et al (2005) also places emphasis on gaining 'added value' through the strategic development of its resources preferably its staff. Employees will be attracted to an organization if its compensation practices, remuneration and rewards are competitive and they will leave if they are not. However, compensation alone is not a critical issue for employees. In fact, equity compensation promotes employee satisfaction in this area. In short, the culture and values ??of the company and units of work related to compensation and incentives matter. Practices in this section may include: compensation (wages and salaries), benefits, incentives and rewards, performance appraisals, rewards and recognition of achievements, and equity compensation, rewards, which should not be overlooked by the company.

Discussion

Employee Motivation, Remuneration and Rewards

Content theories of motivation use individual needs to explain the behaviors and attitudes of people at work. The basic logic is straightforward. People have needs. They engage in behaviors to obtain extrinsic and intrinsic regards rewards to satisfy needs (Schermerhorn et al, 2011). According to Jenkins, Mitra, Gupta and Shaw (2001) employee motivation is an intrinsic drive and enthusiasm to successfully accomplish tasks related to work. Greene (2001) has defined it as an internal drive which causes individuals to take initiatives in the workplace. In their article, Rynes, Schwab and Heneman (2001) have noted that employees understand that they need to provide a work environment which creates consistent motivation. However, managers fail to understand the significance of the motivation in accomplishing organizational goals and objectives. Even when they understand the importance of motivation, they lack the necessary skills and knowledge to create an enabling environment, which fosters employee motivation and satisfaction (Borland & Tseng, 2004).

According to Greene (2001) besides the moral benefits of altruistic approach to treating employees as human beings and respecting their dignity in all forms, motivating employees makes them more productive, innovative and royal. Jenkins, Mitra, Gupta and Shaw (2001) have concurred with this argument and have explained that extrinsic forms of employee motivation such as good compensation ...