‘Greed Is Good’ – Remuneration, Motivation And Organisation

The 1980's business culture in the USA and internationally put a considerable emphasis on personal reward on the basis that highly motivated individuals could transform organizations and societies. The extreme example in the film was Gordon Gekko in Wall Street stating that greed was good. The 90's, however, have seen companies traumatized and bankrupted by the inappropriate use of remuneration as a motivator. Yet major corporate successes have been built on reward-based remunera...

Business culture in the United States and internationally in the 1980s placed considerable emphasis on personal rewards because highly motivated individuals can transform organizations and society. The extreme example of the film is Gordon Gecko of Wall Street, who says greed is good. However, companies in the 90s were shocked and bankrupt due to improper use of wages as a motivation. But major corporate successes are built on reward-based wage systems. Phone 4U recently and Allied Dunbar in the financial services market is an example before.

Although Barring Bank has millions of individual merchants for bonuses, in the long run, these aspirants do not achieve the goals of the company. Furthermore, even if an individual's reward system is based entirely on appropriate performance indicators, the success of the organization and its benefits, as a result, may still be problematic due to the large difference between the salaries of senior individuals and the salaries of the middle management. A payment system that depresses or cancels 10 people is not the best for the organization for everyone who encourages it.

Therefore, intelligent organizations strive to provide benefits and motivation to all staff, thereby empowering staff to advance the needs of the Corporation in the short and long term and to treat them fairly. However, there must be a proper connection between the items that benefit them and the actions they can take to influence the desired effect.

An intelligent organization accepts:

Manager It is fair for the sole manager to act at his or her own discretion.

Ers managers work not for organizations but for people who want to please those closest to them or their peer's team fail.

Achieve managers want to achieve, and they will be attracted to those tasks that they know can be successful, usually approving it in the short term at a long-term cost.

The obvious implication is that an organization must lay some foundation before relying on a wage structure to change performance and behavior. In other words, the management and organization system must be balanced with the wage system.

There are five main preconditions for establishing a reward structure.

1. Measurements: "If you do not measure it, you will not receive it". There are different measurement systems and the balanced scoreboard used by different purpose setters and Tesco is probably the most popular.

2. Monitoring: If performance measures are not properly monitored or only reviewed at the end of the year, it may give the manager a signal that they are not really important, or worse, that failure is acceptable to all managers. Failed together.

3. Controlling tools for the task: To achieve the performance measures specified, the organization must ensure that the individual does not rely too much on factors outside their control (this is the part of the equation).

4. Compliance: Ensuring that short-term organizational factors do not overwhelm managers or push them away from their true purpose. The organization must ensure that its own plan (whether bureaucratic or loose) fits what managers are asked to do.

5. In terms of benefits and strategies: Achieving an organization with a clear strategy is not something that will happen in the future; It is a journey. Organizational and managerial disputes are resolved by a strategy and a "balanced scorecard." Only then will it influence the refinement of the organization's strategy, structure, and payroll.

Based on these 5 prerequisites, there is a checklist of 10 factors that must be met in the 10 Wage and Benefits Structure:

1. Support business strategy

2. Encourage desired behavior

3. Reward relevant performance

4. Be fair

5. Be considerate

6. Be Tax Effective

7. Be timely (the reward should be close to victory)

8. Inclusion of non-financial prizes (acceptance can be as important as cash)

9. Be firm (a lost bonus cannot be recovered over a lost target and a pay increase should            only be delayed until the target is reached)

10. Be clear