1. What performance /reward management issues are there in the company or regional office?

Ans. in the company there are many reward or performance management issues that are arise during the years and the senior management of the company also face these issues related to working of their employees. They want to promote the performance culture in the firm that are very much supportive for the key HR processes formalization and standardization. In the regional office, different type of performance management policies are going to used for the employees according to decision of the management. Basically the main problem is that HR management of the company has not working with accurate performance policies and the employee’s performance not determines properly or the employees didn’t receive reward according to their efforts. Because the company is earning profit in consecutive three years so employees have complete right to take part in the profit ratio and get their reward according to their hard work. But the policies of HR in the company are not very effective and they only give the basic pay to all its employees and only few received the reward as per the decision of the management at upper level. So it is very important to maintain its profitability condition that they must give honor and reward to all its employees so they become loyal and show their complete consistency with the company and they work in most effective manner to earn more and more profit because they know that in the profit also there share is present and they can more and more earnings when the overall profit of the company going to increase. The main responsible of the reward or performance management is the human resource department of the company because it is the responsibility of this department to select the employee according to need and requirement of the company and also follow the qualification and experience of the employees so they have all the information about the employees and this will help in determining their performance according to their current working state and efforts.

How will the performance defined and measured? What type of reward would be suitable in the organization/region? How could performance could be incentivized?

Ans. performance means the task is going to be accomplished and measured according to given standards  that are related to speed, cost, completeness and accuracy. Performance is considered as the fulfillments of the obligation that show that performer follow all its liabilities according to set rules and regulations. Performance measurement explains that all the outcomes and results measurements that are going to be generated with reliable data on the program efficiency and effectiveness. In other words, performance measure means the indicators of quantifiable that help to determine the achievement of desired objectives related to any organization. There are many measurements that the manager of the organizations also considers on regular internals to obtain its results like operating efficiency, demand and production and also determine what improvement is required more in the organization and what the current situation of working within the organization is. Reward system of every organization is completely different from the salary system. Reward system is depend on the management of the organization so they determine the performance of the employees according to any specified rule and they give him some reward according to its performance. There are many key areas determine by the management while determine the reward system that are; communication of program to employees, determinitation of appropriate rewards, determinitation of key measurement of the performance or behavior depend on the individual or group achievement, identification of desired employee performance that reinforce the goal of the company and identification of goal of company that support the reward program. There is much type of rewards going to used in reward system like profit sharing, variable pay, bonuses, and stock option. These are very much useful and supportive for the organizations. Most common way in the organizations to put motivation theories by using incentive systems. There are reward systems that depend on the performance of the employees. Some company uses this system and determines the individual performance and some are determine of the performance of the company. Pay-for-performance techniques are common in the organizations and they are relay on the performance f the organizations and this will also support the performance of the organization in the positive manner.

 What potential problems might be caused by the relationship between the two regional offices due to differences in their HR practice?

Ans. when the company is working in more than one place then its regional offices are located on different places and due to different places their environment is completely different from each other. The human resource management of these offices is normally depending on the environment of the organization. There are also many problems arise due to different HR management in the organization and that are retention of employees, productivity, recruitment, health and safety, training and compliance, discipline, discrimination and diversity, payroll, employee queries and outsourcing. The retention of employees is the major problem because employees are like blood in the organization and without them no any organization can run. So the issue arise when the two offices of the same organization follow different rules of retention and the policies of the HR for these two offices are not same that create problem for the employees. Due to different HR policies the productivity of different offices are different which may affect the overall profit of the organization because one may work in comfort zone but other may work in tough conditions.  Recruitment is also major issue because the selection of staff according to required capabilities is not an easy task for the company and if the competent staff not hire in all offices then the productivity and performance of the organization may going down due to any one office because they hire not capable staff according to need. The health and safety policies also create problem in the two offices of the same company as one give proper medical facilities to its employees and one give no facility this will create problem between employees and they consider that they are not loyal their employees. Discipline also matter in different offices as restrict environment will bound the employees and they only follow given rules and other side the for environment give opportunities to share their ideas and thoughts to make the working techniques more effective and beneficial for the company.  Payroll is also a major issue as one give high rates to employees that stuck the employees with the organization and other not give the proper remuneration so their employee’s performance never up to mark. One may give training to its all employees and one not gives this so this will affect the performance of employees and overall performance of the organization also affected

What do you think is significant about how these employees are managed that might influence your recommendation of performance management/reward management?

Ans. in the organization the reward management is the way to implement the strategies and policies of the organization in such a manner that provide reward to employees on the fair standards and how the organization give them value related to their work. Business analysis and employee remuneration controlling related to benefit of the employees all include in the reward system of the organization. The basic reason for the reward system to provide better opportunities to all employees for their excellent working and they feel that company consider their hard work and give them some reward against their efforts. It also helps to motivate the employees that they work harder and try their best to achieve the goals that are determined for the organization. Many type of rewards are going to included in the reward systems of the organization and they are provided to employees according to their effective performance. In the organizations, reward management handles the maintenance of reward, implementation and design that also bring great improvement in the performance of the organization and also give benefit to employees. There are many type of reward systems used in different organizations like performance based reward or membership based reward, financial or non financial reward and intrinsic and extrinsic reward. Employees are very much concern related to reward system within the organization because every employee want to earn money more than its basic salary and these type of rearwardsystems make a better opportunity for all the employees that they work more and give their best and can earn the rewards with their salary. These types of systems give motivation to employees and with this they support their efforts and working. The overall performance of the organization also going to increase when the individual level performance is going to upgraded and employees are work with more efforts and efficiently.

5.      How might variable pay be an effective way of improving performance in relation to individual performance?

Ans. based on the performance of the employees, the variable pay is a method of paying the employees. It is consider as an additional pay more than their basic salary and consider as total compensation. variable pay is consider as incentive for the employee to perform more better way and give major role in the achievement of the objective of the organization. For profitability and productivity that is the main goal of your organization, variable pay impact very positively on it and it also improves employee motivation along with its performance as well. The focus of variable pay fundamentals is on compensation strategy that the more you compensate to employees do not exceeding the limit. Variable pay are the extra bonuses and extra leverages that you give to them on their extra work and hence they can do more work with more passion and more excitement. This thing makes them more stick towards organization. There are many type of reward systems used in different organizations like performance based reward or membership based reward, financial or non-financial reward and intrinsic and extrinsic reward. Employees are very much concern related to reward system within the organization because every employee want to earn money more than its basic salary and these type of rearward systems make a better opportunity for all the employees that they work more and give their best and can earn the rewards with their salary. These types of systems give motivation to employees and with this they support their efforts and working. The overall performance of the organization also going to increase when the individual level performance is going to upgraded and employees are work with more efforts and efficiently.

6.      Consider the following from of variable pay and consider their applicability to the different group of worker. What are the benefits and weaknesses associated with these forms of contingent pay?

Skilled based pay:

This skill set is maintained because of having a unique skill in any of the employee that makes the organization more successful and more efficient.

Individual or team based performance related pay:

Some people use to pay their employees on the basis of performing of team based work in an organization. As team performance makes many of the solutions easy and accurate.

Incentive bonuses:

Some employees are given the incentives on the basis of their extraordinary performance and on any exceptional skills they have. Recruitment is also major issue because the selection of staff according to required capabilities is not an easy task for the company.

Profit sharing:

The retention of employees is the major problem because employees are like blood in the organization and without them no any organization can run. So the issue arise when the two offices of the same organization follow different rules of retention and the policies of the HR for these two offices are not same that create problem for the employees. Due to different HR policies the productivity of different offices are different which may affect the overall profit of the organization because one may work in comfort zone but other may work in tough conditions.