Report: Managing and Rewarding Performance at XYZ Limited

This report examines the reward management practices of XYZ Limited, an Australian Stock Exchange listed company. It provides an overview of the company's approach to reward systems, differentiating between financial and non-financial rewards. The report analyzes how these practices align with various theoretical models, including goal theory, control theory, expectancy theory, reinforcement theory, and social learning theory. It discusses the importance of performance-based pay, employee motivation, and the impact of both intrinsic and extrinsic rewards. The report highlights the company's focus on performance reviews, team-based operations, and variable rewards. Furthermore, the report offers recommendations for enhancing the current reward management system, such as increasing employee engagement in goal setting and emphasizing variable reward outcomes. Finally, the report concludes by synthesizing the key findings and insights regarding the effectiveness of XYZ Limited's reward management strategies.

Managing And Rewarding
Performance

Table of Contents
INTRODUCTION...........................................................................................................................1
MAIN BODY...................................................................................................................................1
Reward Management Practices..............................................................................................1
Analysis of fit with current theoretical models and systems for reward management...........3
Recommendations and Conclusion........................................................................................4
REFERENCES................................................................................................................................5

INTRODUCTION
In present time every organization present a high degree of commitment towards
reinforcement of reward practices which are allied with other HR practices due to achieve goals
and objectives of an organization (Williams, 2002). The Reward system motivate to staff
members to work efficiently and linked with the performance development system. There are
focusing on the performance based pay and provides ample learning opportunities with a healthy
work environment. For this report selected organization XYZ limited that was listed into
Australian stock exchange. The report provides an overview of the company's reward
management practices with current theoretical models and provides some recommendations to
intensify current practices.
MAIN BODY
Reward Management Practices
 The purpose of the reward management regarding to XYZ company provide different
types of techniques, guidelines as well as approaches in order to assure about the
importance of an individual and contribute to achieving goals are recognised and
rewarded.
 An employer and employee have different perception regarding to motivations and create
a remuneration strategy. This strategy has been developed to assist a company to
acquiring their strategic goals as well objectives. Even, when companies develop their
remuneration strategy without strategic objective so fail in this system. For instance:
XYZ Ltd set a strategic goal for their company to attract qualified employees and design
remuneration strategy that fails to pay above market rates won't help a company to
acquire their strategic results.
 As per the direct financial reward categorised into two parts such as basic pay and
performance based pay. Basic pay known as fixed pay and Total Employee
Compensation (TEC) is comprised of Total Remuneration Package (TRP) and in this
employer also contribute. Performance based reward related to incentives result that is
directly related to achievements of people and contribution. Financial rearwards of
encourage of staff members as well as boost their employees morale. Due to these
rewards increase the likelihood of personnel staying with the company and support for
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their experience and basic of knowledge. Disadvantage of financial rewards of may be
motivate workers who attempt hem but some times they demotivate could be much
higher than those who are encouraged (Cowling and Mailer, 2013).
 XYZ company can be encouraged to their employees after introducing suitable reward
and recognition programs and other benefits.
 Rewards can be categorised into extrinsic and intrinsics. External rewards can be
categorised into salary, incentive, bonuses, promotions etc. Into Intrinsic rewards consist
of intangible reward like meeting the new challenge, positive and caring attitude from
employer and provide rotation in the job after getting their goal. It has been analysed that
once pay amount on subsistence level that time intrinsic factors are become strong and
encourage to staff member in the sense of doing some thing. These are influencing the
reward strategy in positive manner due to increase morale as well as motivate for work.
 The Company XYZ mainly concentrated on review on performance that is rated and
operated by in teams and manager after that provide reward on yearly pay rise and
increase in variable reward as per the requirement.
 The indirect financial benefit consist of those financial reward that are not paid directly in
cash to the staff members. It is recognising the non cash requirement of staff members.
The purpose of selecting offer that preferred employer status, set legal responsibilities.
After that getting advantages such as work cover & superannuation, pay for time not
worked, corporate mobile phone plans, provide loan at cheap rate, gym membership,
child care and health insurance. It is available to every staff member because provide
value of every staff members.
 According to Latham and Locke (1979) is is understand that money is described as
primary incentive but it is also saying that to increase performance of employee only
money is not properly working. As a staff member it is defining that working at XYZ
encourage by providing non financial (intrinsic) advantageous like work from home
option, flexibility in working hours and learning new things from different learning
methods. The team has been encouraged to provide more responsibility like facilitating
morning buzz provide help to manager to planning in the week. Being more
responsibility can satisfy needs for accomplishment and develop self esteem.
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 There face of issues related to ethics and it is challenging of XYZ company in direct
manner.
 The internal and external environmental factors impact on the organisation such as
internal environment define strategy – it is valuable for the encourage of people to
acquire corporate strategy so it influence on culture stone advise strategic compensation
is a critical communication for culture of XYZ organisation to assure about expectations
of staff members. External environment impact on the pay survey – analysis of market
rate that related jobs in other company. The condition of labour market and taxation
issues impact in negative way (Thompson and Gregory, 2012).
 The approach of XYZ company to pay and rewards to motivate, identify and rewards
performance excellence.
Analysis of fit with current theoretical models and systems for reward management
As per the reward management practices of a company match with different of
underlying theories of reward management. According to goal theory there are related with
reward results. In the starting company concentrate on the performance of company to set and
agree goals that are measurable and connected to strategic business objective. The procedure to
set goals assure about staff members who challenged and able for the priorities tasks. It would be
made difficult for staff members to understand the results on measurement basis ad goals are
connected to XYZ company.
The control theory provide a way to influencing behaviour with the help of performance
year. It can help a company to identify possibility to modify and priorities any areas that
necessitate for increment to direct staff members to attain their goals and objectives. After
analysing the performance of the staff members provide reward them.
Expectancy theory states that individual encourage by the reward they will receive
according to their effort. Due to transparent reward system at the place where staff members are
conscious for the stages of variable rewards that connected to every ranking, Makes it obvious
where staff should concentrate their attempts to earn the pay off they anticipate. In this respect,
the reward management system of the organization contrasts with the theory of expectations.
Reinforcement theory is defined as an idea where individual behave in a manner to
present and provide certain results in the past. XYZ company assure about the daily routine
feedback that is integral part of their reward management procedure. After positive feedback
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employees encourage with their efforts to assure to attain their goals. The result from the variable
performance help in the reward management procedure in order to connect with the theory. Staff
members accepted performance based reward to encourage the behaviour of employees. The
negative feedback change the perception of worker through encourage to increase their effort
regarding to behaviour in reference to attain their gaols.
The social learning theory is presented as strongest alignment regarding the reward
management model. This theory advise that individual learn different types of behaviours from
those around them. This theory has been characterised that both reinforcement as well as
expectancy theories can be connected in strong way with the XYZ reward and reward
management. When provision of feedback received in ranking system that time allotment of
variable rewards are all characteristics of the reward management system (Simmons, 2004).
Recommendations and Conclusion
As per the above report it has been analysed that reward management has been developed
with underlying academic theories. There are setting goals and measured with the help of
performance of the year that following for a procedure that is flexible and ongoing. There are
providing two recommendations for change in the context of current reward management
system. In the first level increase connection with staff members to increase goal setting.
Secondly there should be more focus on the variable reward outcome to focus on the
development engagement in heightened.
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REFERENCES
Books and Journal
Williams, R. S., 2002. Managing employee performance: Design and implementation in
organizations. Cengage Learning EMEA.
Cowling, A. and Mailer, C., 2013. Managing human resources. Routledge.
Thompson, C. and Gregory, J. B., 2012. Managing millennials: A framework for improving
attraction, motivation, and retention. The Psychologist-Manager Journal. 15(4). pp.237-
246.
Simmons, J., 2004. Managing in the post-managerialist era: Towards socially responsible
corporate governance. Management Decision. 42(3/4). pp.601-611.
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