Hrm 533 Total Rewards Strategy Proposal

1826 Words Feb 1st, 2012 8 Pages
Abstract
This paper is provided to create, organize, and manage a total rewards program for an insurance company. First, it indicates the requirement of a total rewards system for the company. Then, it formulates a competitive strategy and explains it. Since the communication of a strategy is as important as the strategy itself, the paper includes a communication plan of the strategy. And last but not least it studies devising a competitive pay structure.

1. Create a brief overview of the company requirements for a total rewards system.
Company A is a holding company that provides financial protection, insurance and asset management services that employs 20,000 employees in 17 different countries in Europe, North America and
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* have employees who value individuals and their diversity, respect others and openly share information, knowledge and views to help colleagues succeed. * act in line with its values of professionalism, innovation, pragmatism, team spirit and integrity.
2. Formulate a total rewards strategy to encompass the fundamentals of compensation and the regulatory environments.
A well-articulated compensation philosophy drives organizational success by aligning pay and other rewards with business strategy. It provides the foundation for plan design and administration and anchors current and future plans to the company's culture and values (Kaplan, 2006, p.32). Recognizing and rewarding achievement is the cornerstone of the company A’s compensation philosophy. The mission of the company is to attract, select, place and promote all individuals based on their qualifications. The company believes that performance-based compensation helps attract, develop and retain talented professionals. In addition to base pay which based upon local market conditions and targeted to be above market, the company provides the following types of potential compensation to reward performance: * Annual Merit Increases (all exempt and nonexempt salaried employees are eligible) * Annual Promotions (all exempt and nonexempt salaried employees are eligible) * Annual Spot Bonuses (all exempt and nonexempt salaried employees are eligible) * Short-Term Incentive

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