Remuneration and Performance Management Models

This portfolio assignment explores the remuneration and performance management models. It covers topics such as market research, company financial condition, job description, transparency, employee engagement, and implementation.

Running Head:PORTFOLIO ASSIGNMENT
PORTFOLIO ASSIGNMENT
Name of the Student:
Name of University:
Author Note:

1PORTFOLIO ASSIGNMENT
Table of Contents
Portfolio A: Remuneration model...................................................................................................2
Market research...........................................................................................................................3
Company financial condition.......................................................................................................3
Job description.............................................................................................................................3
Transparency................................................................................................................................3
Employee engagement.................................................................................................................4
Implementation............................................................................................................................4
Portfolio B: Performance management model................................................................................5
Company goals and objectives....................................................................................................6
Performance development agreement..........................................................................................6
Action..........................................................................................................................................7
Monitoring...................................................................................................................................7
Feedback and rating.....................................................................................................................7
Reference.........................................................................................................................................8

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Culture Remuneration system
Market research
Company financial condition
Transparency
Evaluation of job description
Employee engagement
Implementation
Portfolio A: Remuneration model
Figure 1: Remuneration model
(Created by the author)
The organisational culture is a pertinent aspect that puts emphasis on the process of
delivering better remuneration model. From the research of Taufek, Zulkifle and Sharif (2016) it
can be stated that the culture of the organisation is the key factor that shapes the remuneration
system of accompany. Therefore, there are six components that helps the O’Meara Electronics
to facilitate a better remuneration system.

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Market research
According to Akhteret al. (2016) the remuneration system is primarily based on the
market research. It is important for O’Meara Electronics to evaluate the existing employee
relation within the sector so that it will bring more efficacy in fixing the remuneration for the
employees.
Company financial condition
Apart from the market research, it is essential for the organisation to evaluate its financial
condition so that the company can manage the remuneration structure for existing employees
(Kalsoomet al. 2017). Moreover, the financial condition also helps the HR department to assess
the ability of the company to consider the reward system also that will make a balance between
the expenditure and the profit percentage.
Job description
The remuneration structure within an organisation is not equal for the employees. It is
basically installed on the basis of the job responsibility and position in the organisational
structure. Baskaranet al. (2018) opined that it is important to know the vitality of different
workforce and evaluate their job details. After that comparing it with the market valuation the
management must fix the remuneration on the basis of the job description of the employees.
Transparency
Transparency is also a pivotal aspect that the management must focus on. It is resembled
with the satisfaction quotient of the employees. A transparent remuneration system provides the
employees satisfaction that they can get clear perception regarding the payments and deduction

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of their remuneration. However, an ethical practice has to be maintained by the HR department
in terms of maintaining secrecy of individual salary to others (Bikard, Murray and Gans 2015).
Employee engagement
As per the research of Diaset al. (2015) it can be argued that the role of remuneration
model is to deliver a better strategy for the employees so that it will help them and the
organisation as well to make a fair salary structure. As a matter of fact, incorporation of the
employees in the process also paves the way for the organisation to facilitate effective workplace
culture.
Implementation
All these efforts will lead the organisation to procure a remuneration strategy that will be
beneficial for both the organisation and the employees. In result the sustainability of the
company can be achieved in association with better remuneration practice. The implementation
part is highly crucial and relies on the efficacy of the organisation to implement the remuneration
plan on the basis of proper understanding of the efficacy and practice of the employees.

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Corporate mission & vision
Departmental goals
Performance development agreement
Performance standard
Performance measurement
Competence requirements
Competence evidence
Action
Continuous monitoring and evaluation
Feedback
RatingReward
Portfolio B: Performance management model
Figure 2: Performance management model
(Created by the author)
According to Tomaževič, Tekavčič and Peljhan (2017) the performance management is
highly required for the company to evaluate the performance of the employees in accordance
with the objectives of the organisation. Performance management guides the employees to shape
the organisational structure in such a manner that procures a discrimination free set up in the

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workplace culture. Moreover, the performance management system is responsible to procure
high productivity that is a significant aspect for the development of the organisation. Based on
this understanding, a performance management model has been designed that is helpful to
reward the employees of O’Meara Electronics on the basis of their performance.
Company goals and objectives
It is pertinent for O’Meara Electronics to design the performance management model in
association with the organisational objectives. Nicholson‐Crotty, Nicholson‐Crotty and
Fernandez (2017) argued that the performance of the employees is resembled with the benefit of
the organisation. As a result of that it will be helpful for the business organisations to ensure the
performance of the employees will formulate an advantage for the progress of the organisation
by coping with the organisational and departmental objectives.
Performance development agreement
The performance development agreement connotes the standard of performance and the
competence requirement. In can be argued that the performance development agreement creates
a harness between the standards of the performance that the employees will provide and the
competence requirement that the organisation will underline in relevance to the organisational
objectives (Melián-González and Bulchand-Gidumal 2016). Based on this, a performance
measurement is required that will foster clear image of the abilities and skills of the employees.
In addition to this, the competence evidence will prove the expectation that O’Meara
Electronics requires from its employees.

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Action
The action is focused on the performance of the employees. It is important for O’Meara
Electronics to monitor and evaluate the performance of the employees so that a difference in
performance can be generated in individual action and it will help the organisation to evaluate
the performance of the employees on the basis of their professional efforts towards the
organisation.
Monitoring
Based on this action, it is important for the management to monitor and evaluate the
actions so that it will record the entire performance details in accordance with the monitoring and
controlling system of the organisation. The monitoring and controlling practice will be
conducted by the departmental heads and produce to the chief operation management for a half
yearly basis.
Feedback and rating
This monitoring and evaluation process leads to provide feedback for the performances of
each employees and based on the feedbacks each of them will get a rating that decides their
reward percentage. The purpose of the organisation is to reward the employees through
incentives or compensate with expensive gifts (Gerrish 2016). As a result of that the feedback
and rating process will be conducted through an appraisal system.

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Reference
Akhter, N., Raza, H., Ashraf, A., Ahmad, A. and Aslam, N., 2016. Impact of Training and
Deveolpment, Performance Appraisal and Reward System on Job Satisfaction. International
Review of Management and Business Research, 5(2), p.561.
Baskaran, S., Mahadi, N., Rasid, S.Z.A. and Zamil, N.A.M., 2018. Continuous creation of
entrepreneurial orientation: a reward and reinforcement perspective. Journal of Technology
Management and Business, 5(2).
Bikard, M., Murray, F. and Gans, J.S., 2015. Exploring trade-offs in the organization of scientific
work: Collaboration and scientific reward. Management science, 61(7), pp.1473-1495.
Dias, T.G.C., Iyer, S.P., Carpenter, S.D., Cary, R.P., Wilson, V.B., Mitchell, S.H., Nigg, J.T. and
Fair, D.A., 2015. Characterizing heterogeneity in children with and without ADHD based on
reward system connectivity. Developmental cognitive neuroscience, 11, pp.155-174.
Gerrish, E., 2016. The impact of performance management on performance in public
organizations: A meta‐analysis. Public Administration Review, 76(1), pp.48-66.
Kalsoom, T., Akhter, M., Mujahid, A.H., Saeed, A. and Kausar, M., 2017. Teachers’ Perception
regarding Effect of Reward System on Teachers’ Performance at Elementary Level. Bulletin of
Education and Research, 39(2), pp.107-118.
Melián-González, S. and Bulchand-Gidumal, J., 2016. A model that connects information
technology and hotel performance. Tourism Management, 53, pp.30-37.

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Nicholson‐Crotty, S., Nicholson‐Crotty, J. and Fernandez, S., 2017. Performance and
management in the public sector: Testing a model of relative risk aversion. Public
Administration Review, 77(4), pp.603-614.
Taufek, F.H.B.M., Zulkifle, Z.B. and Sharif, M.Z.B.M., 2016. Sustainability in Employment:
Reward System and Work Engagement. Procedia Economics and Finance, 35, pp.699-704.
Tomaževič, N., Tekavčič, M. and Peljhan, D., 2017. Towards excellence in public
administration: Organisation theory-based performance management model. Total Quality
Management & Business Excellence, 28(5-6), pp.578-599.