Impact of Reward Management on Employee Retention: Sainsbury

Impact of Reward
Management on
Employee Retention:
Sainsbury

ABSTRACT
Retention of any employee would be meaning that what and how company is putting the
efforts in order to regain or make all employees stay within company for longer duration of time.
This is very much important in all the sense in respect of employee been able to work well, in
order to their productivity, their performance, profitability of company and ultimately
sustainability of company within market. All the above mentioned things are very much
significance in way firm is working with good and efficient people. Sainsbury is regarded as the
2nd largest supermarket brand in UK having about 16.9% shares in this sector which is owned by
Qatar investment with about 21.99% of shares of profit. The whole group is having 3 sub-
divisions which are bank, supermarket and Argos (which is providing utilities like that of gas and
energy service within whole market of UK). So in total company is having about 1.81 million
employees as on 2017 it becomes necessary for company to look forward about the retention
policy of Human Resource department of group. Reward system ensure that monitory and non-
monitory needs of the people can be fulfilled so that they feel happy in the organization and
perform their work effectively. Workers are the life blood of company as they directly interact
with customers. They are the one who present the products and services to people. In such
condition if they feel unhappy in the workplace then they do not deal with the consumers well.
This affects revenues of the entity and create difficulty for the firm to sustain in the market for
longer duration. Brand image is considered as essential and useful tool that assists in garbing the
attention of customers in market and helping them all to choose the best one from various others
in same market. With the help of good brand image of company they could easily be making
their customers retained within same firm which is termed to as brand loyalty.

ACKNOWLEDGEMENTS
I'm expressing my gratitude with love and sincerity to them who were associated with me to
accomplish this project work. All the hard work, devotion towards duty and the love or tolerance
which my supervisor has shown I'm grateful to. At the end I want to thank my family and friends
for their involvement and cooperation in my data collection on conducting my research work on
the To evaluate the effect of reward management on employees retention: A case study on
Sainsbury.

TABLE OF CONTENTS
CHAPTER 1: INTRODUCTION....................................................................................................1
1.1 Research Aim:..................................................................................................................1
1.2 Research objectives:.........................................................................................................2
1.3 Research background........................................................................................................2
1.4 Research problem.............................................................................................................2
1.5 Research purpose..............................................................................................................3
1.6 Research Questions..........................................................................................................3
1.7 Significance of the study:.................................................................................................3
1.8 Structure of dissertation....................................................................................................4
1.9 Time scale:........................................................................................................................4
CHAPTER 2: LITERATURE REVIEW.........................................................................................1
2.1 Introduction......................................................................................................................1
2.2 Concept of employee retention and reward management................................................1
2.3 The process of innovation for effective reward management so that operations of firm is
raised.......................................................................................................................................3
2.4 Maintaining brand image of company so that customers is getting the best form of service
delivery...................................................................................................................................4
2.5 Business activities which are implemented within Sainsbury to retain employees.........5
CHAPTER 3: RESEARCH METHODOLOGY.............................................................................8
3.1 Introduction:.....................................................................................................................8
3.2 Research philosophy:........................................................................................................8
3.3 Research design:...............................................................................................................9
3.4 Research approach:...........................................................................................................9
3.5 Data collection:...............................................................................................................10
3.6 Data Analysis:................................................................................................................10
3.7 Sampling:........................................................................................................................11
3.8 Reliability and Validity:.................................................................................................11
3.9 Ethical consideration:.....................................................................................................11
3.10 Limitation:....................................................................................................................12
CHAPTER 4: RESULTS and DISCUSSION...............................................................................13

4.1 Introduction:...................................................................................................................13
4.2 Data collection and interpretation:.................................................................................13
CHAPTER 5: CONCLUSION and RECOMMENDATIONS......................................................31
5.1 Conclusion:.....................................................................................................................31
5.2 Recommendations:.........................................................................................................32
REFERENCES..............................................................................................................................35
APPENDIX....................................................................................................................................39

TABLE OF FIGURES
Figure 1: Length of working into the company with current employer........................................15
Figure 2: Non-financial rewards into the job.................................................................................16
Figure 3: Desiring to get the non-financial reward at work...........................................................17
Figure 4: Salary and rise in the pay after good performance.........................................................19
Figure 5: Satisfaction with current financial policy of rewarding into company..........................20
Figure 6: Satisfaction with the promotional opportunities in company........................................21
Figure 7: Supervisor is encouraging on good performance...........................................................22
Figure 8: They are informing about the changes in organisation..................................................23
Figure 9: They are giving positive feedback on employee without any biasness.........................24
Figure 10: They are supportive in work done................................................................................24
Figure 11: Sense of fulfilment after completion of work..............................................................26
Figure 12: Acceptance of all challenges at work...........................................................................27
Figure 13: Sense of belongingness with the company...................................................................27
Figure 14: Service delivery is as per customer expectation..........................................................29
Figure 15: Quality of service keeps customers loyal and hence repeated visits take place...........30
Figure 16: Employees are trained in their respective functional areas..........................................31
Figure 17: Learning and development...........................................................................................32
Figure 18: Job security...................................................................................................................33
Figure 19: Often think about quitting current job as soon as possible..........................................33

To evaluate the effect of reward management on employees’ retention: A case study on
Sainsbury.
CHAPTER 1: INTRODUCTION
Retention of any employee would be meaning that what and how company is putting the
efforts in order to regain or make all employees stay within company for longer duration of time.
This is very much important in all the sense in respect of employee been able to work well, in
order to their productivity, their performance, profitability of company and ultimately
sustainability of company within market. All the above mentioned things are very much
significance in way firm is working with good and efficient people. As it takes lot of time, efforts
and cost to any company when they are hiring professionals within their organisation for the
right type of vacancy which is there (Akhtar, AhmedKhurro and Mehmood, 2018). If company
are recruiting people and making their attempt in order to gain right person for the right kind of
job then they should also be putting their efforts to retain and regain the employees especially
who are good for the company and its profitability. Mere, recruiting or selecting people would
not be enough for any firm they also need to identify need, want and problems of employees who
are working within which would be helpful for company to make them all stay in company that
too for longer duration.
Sainsbury is regarded as the 2nd largest supermarket brand in UK having about 16.9%
shares in this sector which is owned by Qatar investment with about 21.99% of shares of profit.
The whole group is having 3 sub-divisions which are bank, supermarket and Argos (which is
providing utilities like that of gas and energy service within whole market of UK). So in total
company is having about 1.81 million employees as on 2017 it becomes necessary for company
to look forward about the retention policy of Human Resource department of group (Wilke,
Rakes and Nolan, 2018). In this present dissertation we would be analysing the effect and cause
of reward management on its retention of employees within company. The second aspect of the
theory would be gaining knowledge about what is reward management and how would this be
affecting the employee retention policy of company which is Sainsbury.
1.1 Research Aim:
To evaluate the effect of reward management on employees retention: A case study on
Sainsbury.

1.2 Research objectives:
 To understand the concept of employee retention and reward management.
 To understand the process of innovation for effective reward management so that firm
will be able to raise performance of operation.
 To maintain the brand image of business enterprise so that customers will be able to
deliver effective services
 To study the business activities for retaining employees at Sainsbury
1.3 Research background
The whole research would based on how reward management would be helping the
company in retention of their employees so this is required for us to analysis the meaning and
importance of all terms. Employees of any company are looked up to as assets for that company
who are ensuring profits and sustainability of company in all its terms (Ghani, Hashim and
Rahman, 2018). They are helping their organisation in its growth and development phrase which
then in tern is liable to give reward to those employees who are regarded to as the best for
company. This would be dealing with greater impact on reward and recognitions factors of firm
that is getting or engaging employees to work in more better than before and also from others. It
was also seen that employee turnover is quite a common issue within companies as if workers
are not able to perform in set or desired way or they are not satisfied with firm or its policy then
they attempt to leave their job. This would be termed to as employee turnover or searching for
better and new options in way to leave particular job.
1.4 Research problem
The main research problem is quite clear in this term which is how would reward and
recognitions in company is allowing the employees to get themselves retained within same
company for longer duration of time. As in current scenario it is seen in many firms that
employees are been on very frequent bases leaving and switching on to their jobs with the other
or better one (Wright, Di Lorenzo and Bercovitz, 2018). This is ultimately hampering the
customers of firm and this in tern is effecting many other parts of company like that of its
profitability, goodwill, brand value, sustainability and market sharing as well. So company
should be taking care of all these things which are directly linked and associated with retention
of employee. If employees are been retained and they are working within company for longer