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For the employer a workplace reward system is designed to encourage productivity and create an environment of fairness and increased morale. This exchange equation is key in justifying the need by each of the parties.
Although too little money can demotivate, this does not mean that more and more money will bring about increased satisfaction, much less increased motivation and performance.
There are people that are very highly rewarded, yet do not put in more effort in their work than is necessary.
As an organisation, you may choose to reward your employees based on entitlement.
Some may choose the route basing on each individual’s performance. If you choose to adopt an entitlement-oriented way of operating, your employees will expect an increment every year despite the levels of productivity raised within that year.
Most organisations are slowly moving from this type and opting for performance- related systems.
These believe that adding more years to your job does not necessarily add up to productivity and bonus entitlement.
More and more organisations are moving towards the realisation of performance results.
However, it must be noted that not many organisations have adequately and completely moved over to a performance orientation.
At one point I worked for an organisation that offered a competency-based pay system.
It was hard for me as I was still coming from university and had very little experience.
A competency-based pay system rewards the employees that largely exhibit more experience and demonstrate versatility.
In such instances an employee who has a diploma then acquires an undergraduate degree and a postgraduate qualification, would be in a much better position than an employee with 10 years’ experience working in the company but has not bothered to advance themselves academically.
You are paid more for gaining skills, which are more valuable to the employer.
If, for instance, you are employed in a manufacturing firm with two-, four- or six-drive machines, the higher the drive machine you are given, the more skill is needed to operate it.
You are more likely to be paid more for being competent in operating six-drive machines compared to two drive machines.
There are other workable ways of remaining valuable and relevant to the employer.
Peter Drucker and other leadership thinkers have long argued that leaders should focus on strengthening their strengths.
It is believed that doing more normally yields what is termed “incremental improvements”.
If, for instance, you are good at singing, more singing does not mean you are now a singing expert, it also does not necessarily mean you are a good leader.
Your singing expertise will only be more powerful if you for instance build on your communication skills to assist you explain what you are singing about.
You need to identify complementary skills that support your abilities. A gift in singing means you also have to improve your etiquette and public relations skills.
Since you will now be a public figure it is important to up and work on your confidence skills. All these contribute to the total person on being a singing expert.
If you feel you have the much needed skills at your workplace, go on and negotiate for a salary increment.
Be sure to have realistic expectations. Employers base their remuneration on what others are paying for a similar role.
Do not be over-ambitious, find out what other people are being paid for a similar job.
Till next week, may God richly bless you.
Shelter Chieza is an adviser in management issues. She can be contacted at [email protected]
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