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Assignment #1 – Total Rewards

HRM533 Total Rewards

Describe each of the top five (5) advantages of a total rewards approach.

1. Self fulfillment that people are recognized for what they do and encouraged to reach their potential through effective learning and development processes and given feedback on their performance 2. Organization culture roles are clear and organizational and personal values are in alignment so that employees engage and enjoy work (as much as is possible) 3. Another way to consider the necessary components of rewarding people is to view them as individuals, within their team, in the organization and generally in the workplace:- 4. Recognition being appreciated, not taken for granted, having a voice 5. Organizational culture being able to engage and fit with the organization in terms of its values and how things are done

Describe five (5) common ways a total rewards strategy can go astray. 1. Simply copying another organization’s reward practices can lead to disaster, 2. It would be harmful for either firm to adopt the reward practices of the other. 3. Not implanting an effective award strategy 4. No considering the employees communication strategy 5. Not following the strategy the way is was implemented

Describe the six (6) steps in designing a total rewards program.

1. Set the total reward strategy. With the business context in mind, an organization can develop guiding principles for its total reward programs, which will provide the overarching framework for future reward program decisions, as well as form the basis for a strategic change agenda around reward priorities. Guiding principles should include degree of emphasis, competitive positioning, cost effectiveness, flexibility/uniformity, risk-sharing and performance link. 2. Define the context and issues. The

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