Johnny Ch Lok

Introduction to Reward Management Strategy Johnny Ch Lok

HOW TO IMPLEMENT REWARD METHOD MORE EFFECTIVELY?In fact, traditionally companies have always adopted the base pay strategy. It pays the legal minimum wages and salaries. However, it does not adequate in new work cultures and in terms of attracting, retaining and motivating top performers for strategic purposes, but still very commonly for lower level employees. The new reward strategic options include as below:1. Knowledge and skills based strategy, because of the proven relation job performance, organizations have sought to encourage continuous skills development by trying it to rewards. A organization simply varies its pay structure according to one's level of knowledge and skill ( job evaluation systems. It can define which skills, it values and will pay for and must have a supportive training and development strategy. It is based pay with an equal base pay and a variation based on skills and knowledge. It may be costly in the short-term, but it is beneficial from a knowledge HR base through increased productivity and quality of product.2. Performance based ( varied pay based structure strategy), employees should be rewarded only for the value they create. A company will reward employee in the same grade variably depending on each employee's performance.3. Incentive based pay structure strategy, it measures but being different in that it focuses on group performance rather than individual performance. The starting point in strategy is to define group performance targets, such as productivity sale volumes or profitability.