HRES 2203 - Analyzing Multi-Products Corporation: Reward and Strategy

This report provides an in-depth analysis of Multi-Products Corporation, focusing on its managerial and reward strategies. It begins by outlining the company's background, including its acquisition of a new type of golf club. The report then recommends a managerial strategy incorporating classical, human relations, and contextual approaches, emphasizing the importance of understanding employee needs and fostering collaboration. Structural variables, such as reward systems, job design, and communication structures, are discussed in detail, with recommendations for implementation to align with the chosen managerial strategy. The report also addresses employee behavior, the offering of base pay, organizational performance pay plans, loyalty and social rewards, and compensation strategies. It concludes with a discussion of indirect pay plans and the importance of social media marketing. The analysis draws upon various academic sources to support its recommendations for enhancing organizational performance and employee satisfaction within Multi-Products Corporation.

Running head: MANAGEMENT
Questions and answers on Multi Product Corporation
Name of the student:
Name of the university:
Author note:

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Table of contents
1. Background of Multinational Product Corporation...............................................................2
Managerial strategy................................................................................................................2
Recommended managerial strategy.......................................................................................3
2. Implementation of the structural variables.............................................................................3
3. Employee behaviour...............................................................................................................4
4. Offering of the base pay.........................................................................................................4
5. Organizational performance pay plan....................................................................................5
6. Loyalty and Social reward.....................................................................................................5
7. Compensation strategy...........................................................................................................5
8. Indirect pay plan.....................................................................................................................6
References..................................................................................................................................7

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1. Background of Multinational Product Corporation
 Last year, it acquired the ownership of new type of Golf Club, which was invented by
a retired machinist
 The machinist produced only few sets of the clubs, although his glory spread across
the globe
 The company has numerous divisions and departmental units, offering choice to the
clients and the customers to select their preferred brands
 The Corporation plans to set up new branches for making the customers acquainted
with the newly launched golf equipment
 The managers motivate and encourage the staffs, so that they can expose better
performance. This reflects collaborative approach towards enhancing the productivity
 At the initial stage, marketing mix is to be conducted, which would enhance the
awareness of the personnel about the target audience for the golf equipments (Noe et
al., 2017). For this, market research would be a beneficial step in terms of gaining an
insight into the prospective clients, who would contribute towards increasing the sales
revenue and profit margin.
Managerial strategy
The managerial strategy for the Corporation involves the components of classical,
human relations and contextual. Classical approach relates to the execution of the need
analysis on the employees for identifying their disliking towards the allocated roles and
responsibilities. Motivation is one of an effective aspects, which convinces the employees to
execute the allocated roles in spite of unwillingness. According to the arguments of Wright,
(2018), the strategy of human relations express the collaborative approach towards executing
the activities. Understanding and cooperative approach helps in maintaining the stability in
the parameter of public relations. On the contrary, high involvement strategy relates to the

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organizational structure, stressing on motivation, which helps in extracting the required
labour from the employees. Within this, the variables of environment, corporate strategy,
technology, organization size and nature of the workforce assume an important position.
Technologies assist in conducting the product lifecycle of the golf equipment. This activity
helps in predicting the shelf life of the equipment. According to Bratton and Gold, (2017), the
strategy of human relations aggravate the complexity towards executing the operations in an
efficient and effective manner.
The nature of workforce is crucial for the corporation in terms of determining the
dynamics of the operations. Kuvaas et al., (2016) is of the view that using the technology for
conducting the capability analysis and tests prove beneficial in terms of upgrading the
standards and quality of the operations. Along with this, technology also adds automation
into the operations.
Recommended managerial strategy
The strategy of human relations can be proposed as this would enhance the stability
in the relationship between the managers and the employees. For this, Fisch et al., (2018)
opines that divisional organizational structure is needed for exposing collaborative approach.
On the contrary, Laux, (2015) argues that infusion of modern software into the workplace
would be helpful in terms of digitalizing the business operations.
2. Implementation of the structural variables
Structural variables of an organization include reward systems, job design,
coordination and departmentation, decision-making and leadership structure,
communication and information structure and control structure. These variables possess
separate variations and dimensions, which is assistance towards producing the behaviour,
which is needed as per the organizational requirements. Assessing the organizational

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environment, before the implementation of the variables, is helpful in terms of implementing
them in a proper manner. This assessment, in turn, is assistance towards preserving the
stability amidst the workplace conditions.
 In case of the reward system, mention can be made of the intrinsic and extrinsic
rewards. Intrinsic rewards relate to the recognition for morality of the employees
towards helping others. This recognition is beneficial in terms of increasing the
compatibility of the employees towards others. Along with this, this recognition is
also helpful in terms of enhancing the cultural diversity within the workplace. On the
other hand, careless approach from the managers can lead to conflicts and
misunderstanding between the employees. This approach leads to conflicts, stalling
the productivity. Moreover these conflicts also degrade the organizational culture of
the corporation. (Shoaib & Mujtaba, 2018). In case of the extrinsic rewards include
trophies and certificates for the exposure of better performance. These certificates
boosts up the morale of the employees, indicating productive output. This type of
output is beneficial at the time of completing the challenging and enduring projects
within the stipulated time. If the personnel does not consider the capability of the
employees, the individual sentiments of the employees can be affected. Sometimes,
monetary rewards like increments assures the employees regarding proper valuation
for the exposed efforts (Kuvaas et al., 2016).
 Job design- Creating job advertisements and evaluating it in the meetings would be
beneficial in terms of enhancing the awareness about the vacant posts. Uploading the
advertisements on the social networking sites and website would act assistance
towards reaching to large number of clients at the same time. Clarity and transparency
within the advertisements would address the doubts of the candidates regarding the
recruitment and selection procedures (Lahlou & Navatte, 2017). Social contracts or

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joint planning helps the personnel to expose collaborative approach for completing
the allocated tasks and the responsibilities. Subtasks prove beneficial for
Multinational Product Corporation employees to gain deeper understanding of the
benchmark levels, which they need to reach for exposing better performance.
 Coordination and departmentalization- Sending emails to the head of the
departmental units would be fruitful for the corporation towards strengthening the
stability. This cooperation acts assistance towards maintaining the balance between
the processes and operations (Zacher et al., 2015). These are the mechanisms, which
helps in assessing the individual efforts for judging the overall productivity. These
mechanisms vary according to vertical or horizontal coordination.
 Decision making and leadership- Involving the stakeholders and shareholders in the
decision making process would be beneficial for averting the misunderstanding and
misutilization of the provided power. Implementation of ethical code of conduct
would enhance the leadership skills, abilities and competencies of the managers. This
is in terms of gaining trust, loyalty and dependence from the clients and the customers
(Howard et al., 2016). Judgmental decision making is preferred in terms of delving
deeper into the mindset of the clients and the customers. In these components,
utilizing the mechanisms properly helps in comparing the efforts of the leaders in
terms of undertaking decisions for the betterment of the organizations like Multi-
Product Corporation.
 Communication and information structure- Timely communication between the
personnel of the corporation averts the delays within the supplies. Management of the
information through social media marketing is effective for controlling the third party
intervention into the business processes (Pepper & Gore, 2015). Informal approach in

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communication helps in gaining trust, loyalty and dependence from the clients and the
customers.
 Control structure- Personal visits by the managers would be effective for detecting
the drawbacks within the processes. Performance appraisals and reviews would be a
wise step in terms of ensuring whether the exposed performance aligns with the
identified and specified requirements. Conducting journey mapping would help in
assessing the feasibility of the exposed performance (Lahlou & Navatte, 2017).
Implementation of the Ethical Code of Conduct is assistance towards controlling the
performance of the personnel.
3. Employee behaviour
The managers of the corporation would need task performers. This is in terms of
executing the activities in an efficient and effective manner. Prior to this, need and capability
analysis can be conducted for estimating the capability of the employees. Holston and
Kleiner, (2017) is of the view that this would act assistance for assigning challenging and
enduring projects to the employees. Along with this, goals would be set for the employees,
which would align with the organizational goals and objectives. Apart from this, personality
tests would be conducted by the corporation managers for assessing whether the employees
are fit for carrying out the allocated roles and responsibilities (Kuvaas et al., 2016).
4. Offering of the base pay
In case of the production staffs, the base pay is high and the incentives vary according
to the nature of job. These employees are moderately paid, therefore, budget revision needs to
be conducted for providing the minimum wage. The performance needs to be scored, which
would enhance the awareness towards the capability of the employees. On the other hand,
Howard et al., (2016) argues that adherence to Minimum Wage Act would be helpful in terms

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of averting the discrepancies. In case of discrepancies, provision of compensation would be
beneficial in terms of averting turnover rates (Zacher et al., 2015).
5. Organizational performance pay plan
For preparing performance pay plan, the managers of the corporation needs to think
out of the box from the traditional entitlements. As per the arguments of Lahlou and Navatte,
(2017), taking into consideration, variable payments would help in gaining an insight into the
approaches of the employees. However, back up plans needs to be kept at hand for averting
the conflicts. Conducting incentive pay programs can be beneficial in terms of briefing the
employees about the pay packages. Hiring the experts and the governmental agencies would
be productive in terms of legalizing the matters (Shoaib & Mujtaba, 2018).
6. Loyalty and Social reward
The corporation can make plans for introducing loyalty bonuses for the employees,
who fulfil the targets every month. This would boost up his morale, indicative of productive
performance. According to the opinions of Laux, (2015), recognition of the performance
through media coverage would act as a wise step in terms of ensuring better placement for
the employee. This would enhance his professionalism as well as his personality (Fisch et al.,
2018). For this, financial flexibility needs to be assessed for averting inadequacies.
Assistance of the trade union can be beneficial in terms of averting the issues of inflation,
high exchange rates and tax obligations. Budgets would enhance the awareness about the
expenses behind each activity. This would be productive in terms of making plans for the
incentives without straining the prepared budgets (Kuvaas et al., 2016).
7. Compensation strategy
Compensation strategies involves the components of vision, mission, values, vertical

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and horizontal fit (Kuvaas et al., 2016).
Figure 1: Components of compensation strategy
(Source: )
In case of Multi Product Corporation, the vision would be expanding the profit margin
by 10%. This would be done through expanding into the foreign market through marketing
mix and product differentiation. This approach would be crucial in terms of identifying the
required behaviour. The mission would be to achieve large scale customer satisfaction by
emerging as one of the largest manufacturer of golf equipment. Mapping these areas would
enhance the awareness towards the scope and arena of the compensation. This mapping, is in
turn assistance for determination of compensation mix. In this process, the personnel would
adhere to the core values of honesty, integrity and transparency for attaining trust, loyalty and
dependence of the customers. The vertical and horizontal organizational structure would be
effective in terms of exposing collaborative approach towards enhancing the productivity.
Insight into this structure is assistance towards determining the compensation level, which is
needed by Multi-Product Corporation for reaching to the benchmark level of performance. As
Identification of
the required
behavior
Defining the
scope and
arenas of
compensation
Determination
of the
compensation
mix
Gaining an
insight into the
compensation
level
Evaluation of the
proposed
strategy

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a final touch, evaluation is necessary for assessing the effectiveness, appropriateness and
feasibility of the proposed strategies.
8. Indirect pay plan
Social media marketing can be beneficial in terms of reaching to the large number of
audience. As per the assumptions of Bratton and Gold, (2017), uploading the incentive pay
schemes on the social networking sites would enhance the opinions regarding the plans and
schemes. Along with this, notifying the employees about the schemes on the websites would
be beneficial in terms of averting the mistakes and errors in the payments. Apart from this,
conducting lecture sessions on the pay plans and schemes would help in clarifying the doubts
regarding the payments (Wright, 2018). Maintaining frequency in these lectures would help
in reducing the error rates. Setting targets would seem a wise step in terms of reaching to the
benchmark level of performance. Evaluation of the performance would act assistance in
terms of bringing the drawbacks into the limelight (Noe et al., 2017). Moreover, if the
employees are provided with health insurances, absenteeism rates would be reduced. Annual
leaves revision and intimating the employees about its benefits in the social networking sites
and the websites would be crucial in terms of maintaining the competitive pace with the
contemporary brands.

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References
Bratton, J., & Gold, J. (2017). Human resource management: theory and practice. Palgrave.
Fisch, J., Palia, D., & Solomon, S. D. (2018). Is Say on Pay All about Pay: The Impact of
Firm Performance. Harv. Bus. L. Rev., 8, 101.
Holston, C., & Kleiner, B. (2017). Excellence In Reward Systems. Global Education
Journal, 2017(1).
Howard, L. W., Turban, D. B., & Hurley, S. K. (2016). Cooperating teams and competing
reward strategies: Incentives for team performance and firm productivity. Journal of
Behavioral and Applied Management, 3(3), 1054.
Kuvaas, B., Buch, R., Gagné, M., Dysvik, A., & Forest, J. (2016). Do you get what you pay
for? Sales incentives and implications for motivation and changes in turnover
intention and work effort. Motivation and Emotion, 40(5), 667-680.
Lahlou, I., & Navatte, P. (2017). Director compensation incentives and acquisition
performance. International Review of Financial Analysis, 53, 1-11.
Laux, V. (2015). Executive Pay, Innovation, and Risk‐Taking. Journal of Economics &
Management Strategy, 24(2), 275-305.
Noe, R. A., Hollenbeck, J. R., Gerhart, B., & Wright, P. M. (2017). Human resource
management: Gaining a competitive advantage. New York, NY: McGraw-Hill
Education.
Pepper, A., & Gore, J. (2015). Behavioral agency theory: New foundations for theorizing
about executive compensation. Journal of management, 41(4), 1045-1068.

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Shoaib, S., & Mujtaba, B. G. (2018). Perverse Incentives and Peccable Behavior in
Professionals-A Qualitative Study of the Faculty. Public Organization Review, 18(4),
441-459.
Wright, P. (2018). Fundamentals of human resource management. Management, 5, 27.
Zacher, H., Chan, F., Bakker, A. B., & Demerouti, E. (2015). Selection, optimization, and
compensation strategies: Interactive effects on daily work engagement. Journal of
Vocational Behavior, 87, 101-107.