Reward management is all about the strategic design, implementation, maintenance, communication, and management of the reward process; which helps and assists an organization to improve and achieve their pinpointed objectives. Reward management is related to the formulation and implementation of core strategies and policies which aim to reward and honor resources within an organization fairly, and consistently according to their value to the organization.
The core aim reward management sets is to devise a far
Sighted, holistic and logical structure based on which consistent rewards can be offered. Companies – irrespective of geographical boundaries – and verticals – are readily opting for newer methods to strategically channelize and integrate reward management practices within their existing process; but the fact is despite attempts; rewards management programs either fail to survive or live up to the desired expectations of companies. A number of reasons collectively play a crucial role and act as reasons why reward management practices usually face challenges . This article covers some of them.
Rewards are not usually understood by resources
A reward is usually given in a variety of ways; using sophisticated forms. However, the lack of articulated measures to inform the resources about the rewards and lack of understanding from the part of resources in understanding the reward often pose a major risk and work as a challenge in helping the rewards programs to shine.
Rewards not linked with company’s business
While planning, and designing a reward system , it has often been noted that HRs work in isolation; and they might not necessarily convey the reward program of an employee with all stakeholder but with only selective few with whom they are comfortable with. So, the lack of board alignment between employee demands and employer expectations often pose major challenge of the reward management system.
Rewards not aligned with the job
Quite often; the reward is not matched with the job. An HR might be calculating the resources wrongly and aligning the reward with a different job. This actually creates confusions and the employee or the resource does not feel motivated.
Rewards not linked with a resource’s individual needs
An employee expects a reward, which is aligned with his or her needs; and not necessarily always according to the speculation set by a company. The gap between expectation and reality and heavy over dependence of reward programming on data gathered from record is another reason employee rewards program often fail to achieve desired goal.
These are some of the most common challenges of employee reward program. Would you like to learn more about how to contain any reward challenges and devise far-sighted employee reward system? If yes, we recommend you visit Website NOW!