Methods Of An Hr Professional

Merit pay is a short-term, pay-for-performance plan, with a typical life span of three to four years, in which employers provide rewards, usually in terms of a raise for past performance, for employees who perform their jobs effectively, which will lead to higher performing employees which will in turn lead to a better work environment and higher overall productivity. The concept of merit pay is most often mentioned in the context of educational and/or government civil service reform. With a merit-based pay system, the employer pays, with the idea that the employer will reward more productive employees with merit increases. This concept came about in an attempt to sustain high performance levels in the workplace linking merit increases, or increases in base pay, to employee performance ratings, which are taken at the end of a performance year, usually by a direct supervisor. Due to the ever increasing changes of supply and demand in business, in order to remain feasible, the merit pay system is expected to change consistently with the needs presented to the companies, whether it be foreign competition, consumer demands, producer limitations, etc.

A Performance-Based Pay system is an increasingly popular compensation method used by organizations to increase productivity. A goal for all companies is to try and remain competitive and control costs, this is a reason for performance-based pay systems becoming more popular. This type of system attempts to link compensation to performance. (Gena Richter, 2002) These systems are directly tied to organization or individual performance and are most effective when based on objective measures of quantity or quality of performance. If we wish to have a direct impact on work motivation, it must be linked directly to the performance of desired behaviors. In order for to put this type of system into place, performance evaluations must be conducted regularly , as well as training and development for those with performance that isn't quite up to par. These additional resources will be necessary for our organization if we implement a performance based pay system. (William B. Bernathy, Ph. D., 2004)

The right compensation program will depend on the organization’s business strategy and goals. To achieve these, an organization must recruit and select the best possible employees. To attract such employees, there must be an attractive compensation plan. Competitors will be offering different payment options, this may be based on pay rate or special perks, and a company’s stock options. Organizations must be aggressive yet reasonable to compete with competitors. Retaining and encouraging employees to perform at their best may be achieved through an immediate incentive award

Merit pay is a term describing performance related pay. Its primary focus is used for helping teachers improve their performance by learning from each other. Merit Pay can take the form of a bonus or a permanent teacher salary increased. This motivates many teachers because they believe they are being evaluated more fairly than traditional evaluation. Merit pay is important to study because it’s a one of the most controversial issue in the field of education and it does have an effect on school finance in the future. We should be concerned about using merit pay in our school system because most professions offer bonuses and salary increases for their exemplary employees why should the education profession be any different? Shouldn’t we try and use incentives as we do with our students to motivate teachers to give their very best in educating our future leaders of tomorrow. Merit pay will recruit and retain some of the nation’s brightest mind. Many people who have the capability to teach our students refused to do so due to teacher pay but with merit pay many of these individuals may consider working in the education profession.

The company uses a merit based pay structure to recognize employee performance. Yearly evaluations of performance are conducted to rate employee’s results of the year compared to previously set goals. Kraft Heinz recognizes employees at every level for outstanding performance. In 2014, over a thousand employees were promoted because of their high performance and the value they added to the organization (Kraft Heinz, "Careers", 2015). Merit-based pay is based on individual performance. This method of pay and raises creates a link between rewards and the employee’s performance throughout the year. A danger of merit based pay, in organizations like Kraft Heinz Co., is that management might give merit based raises/promotions on how they perceive the employee will perform, so they may over or under estimate pay decisions (Judge & Robbins, 2016, pp. 137). However, the end of the year assessments the company conducts to review performance and set goals for the next year would help to reduce this

The CIPD Human Resources Profession Map (HRPM) consists of two core professional areas, eight behaviours and ten professional areas.

I work closely with recruiting managers to attract key people in to our work force. I have built relationships with local colleges to entice students who are studying towards relevant qualifications in health and social care to work for us, holding open days specifically to attract this market of potential candidates.

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:

3-4: This chapter indicates that merit pay plans appear to be the most common form of compensation in the United States. Although widely used, these systems ae not suitable for all kinds of jobs. Based on your knowledge of merit pay systems, identify at least three jobs from which merit pay is inappropriate. Be sure to provide your rational given the information on this chapter.

Pay for performance systems have further been proven to have two advantages for organizations: attracting more high-quality employees and motivating employees to exert more effort at their jobs. (Gordon, Kaswin) This paper will show the positive benefits of performance pay as

I prioritise these by consulting with my manager and shop floor staff so that I am able to decide what to deal with first. For example, I would deal with a conflict between two or more employees by speaking to them separately away from their normal work environment and if appropriate, I would get them together to talk about the problem. This would take priority over an appraisal

Reward Management (RM) has been defined as the distribution of monetary and non-monetary rewards to employees in an effort to align the interests of the employees, the organisation, and its shareholders (O’Neil, 1998). In addition O’Neil (1998) also suggests that a RM system can serve the purpose of attracting prospective job applicants, retaining valuable employees, motivating employees, ensuring legal requirements relating to direct and indirect rewards are not violated, assisting the company in achieving human resource and business objectives, and ultimately assisting the organisation in obtaining a competitive advantage.

Recognizing and rewarding high-performance is a key recommendation for any approach when managing any merit pay program (HRIS 2012). Merit pay is a compensation system where base pay increases and is determined by an individual’s performance. Using a merit pay plan is a good way for an organization to reward high performance is one benefit when using merit pay programs. The first step in implementing or improving a merit pay program is to have a solid performance management program, and this is another way a merit pay program is beneficial. Merit pay is a way to be successful and effectively implement merit pay with a uplift in salaries, and this is a third way using a merit pay program is beneficial to an organization. There are some drawbacks when using merit pay programs, such as paying some employees more than others. If you pay high-performing workers more than low- performing employees, the high- performers may stay, causing the low- performers to complain or leave the organization. A second drawback in using merit pay program is that employees become less motivated if not paid to their satisfaction. For example, if employees feel they should be making more money for their performance, this causes them to have low self esteem, and want to find employment at other organization. The last drawback associated with

1. Incentive compensation is a major practice that has continually been adopted by healthcare organizations, especially for managers. Most of these organizations use this tool as a means of rewarding employees financial for outstanding performance. Generally, incentive compensation involves the use of monetary reward for managers to attain specific established goals. Therefore, incentive compensation can be a motivational tool that benefits health care managers and the entire organization because it enables managers to achieve greater compensation while promoting organizational productivity. As the Chief Executive Officer of a hospital, I would design an incentive compensation program for my management team by aligning the financial rewards with business objectives and people costs. This will involve the use of a comprehensive approach that examines basic pay, health benefits, incentive opportunities, and retirement programs. The alignment of the compensation program is geared towards promoting organizational productivity and employee motivation.

An incentive pay program can reward employees who continue to produce superior work or encourage employees who already produce good work to best. Sometimes, use an incentive system when employees are lack of enthusiasm of getting down to work and improving things. If everyone in the same job classification gets the same pay, there is no real incentive to do an outstanding job (French, 1990). Various incentive plans used to motivate all employees such as production staff, sales staff, administrative staff and managerial and professional staff on an individual basis. To be improved employee work performance, the incentive pay programs need to be fairly matched with the employees’ expectation. Properly designed and maintained incentive pay program has the potential to increase employees’ productivity and work performance.