Reward Management In The Wider Context

Reward management is about the design, implementation, maintenance, communication and evolution of reward processes, which help organizations to improve performance and achieve their objectives. Reward processes are based on reward philosophies and strategies that shape policies, guiding principles, practices, structures and procedures which are devised and managed to provide and maintain appropriate types of pay, benefits and other forms of reward.

Reward management is not just about financial rewards but also includes non-financial rewards, which provide intrinsic and extrinsic motivation. Intrinsic motivation (from work itself) is achieved by satisfying the individual’s needs for achievement, responsibility, variety and influence. Extrinsic motivation (motivation through means other than pay) is provided by the organization through recognition, skills, development, learning and career development. The point to be made here is that non-financial rewards are just as important as financial rewards. Recognition and opportunities to develop are high priorities.

If you would like to know more, contact Murray Hall and Associates.