The OPERATING GUIDE FOR THE DEFINITION AND MANAGEMENT OF THE COMPANY REWARD SYSTEM belongs to the series of ODM operating manuals dedicated to HR professionals and is focused on the management of the company reward system (i.e. reward levers).
The goal of this operating manual is to illustrate the procedures and steps necessary to develop reward methods and practices, which enable companies to support the implementation of a business strategy through people. The practical suggestions contained in it will be backed, when necessary, by methodological references and specific literature in the matter.
The two assumptions are:
- The company-specific context is key to making the right reward decisions. The simple repetition of practices adopted by other companies, even if considered “best practices”, and the lack of an in-depth analysis of the problems regarding the organization in question, jeopardize the efficacy of any reward system.
- There is a strong relationship between company result and the reward policy adopted by the same company. While the impact on labour cost is immediately visible, it is also possible to observe an impact on the company’s financial results when a correct reward management is implemented, because “the implementation of a correct reward system helps people make the right decisions to ensure the attainment of the company’s strategic objectives” (Michael Porter).
The structure of the Guide
This Guide starts from the strategic concept of reward, analyses how to develop a reward structure and ends up with the definition of reward policy rules and choices.
THE OPERATING GUIDE FOR THE DEFINITION AND MANAGEMENT OF THE COMPANY REWARD SYSTEM is the english translation of the Guida Operativa alla Definizione e Gestione del Sistema Retributivo Aziendale and is distributed on pendrive for easier use and to allow you to save and print its contents directly on your computer.