Essays on Critical Elements and Objectives of a Reward System Literature review

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The paper “ Critical Elements and Objectives of a Reward System” is a perfect example of the literature review on human resources. In recent years, the aspect of human resource management has become so familiar and widely used given the invaluable role executed by this department in every organizational setting. This is driven inter alia by the fact that organizations have realized that human beings who offer workforce are their key assets or resources (Boxall & Purcell, 2010). As a result; this has precipitated the need for adopting a strategic approach to obtaining, developing, administering, motivating, and acquiring the commitment of these key resources.

Among the many functions of human resource managers is concerned about the rewards to the employees of the company (Boselie et al, 2005). Initially, the reward was seen to incorporate benefits and compensation but there has been radical change as a way of repositioning whereby, a term total rewards strategies is being used as it encompasses compensation, personal and professional growth opportunities, a motivating work environment, benefits and other forms of superannuation’ s (Armstrong, et al, 2011 ). Reward Systems have hence become a critical part of the organization's design.

According to Brown (2008), these systems should be congruent with other organization’ s systems for the effectiveness of the organization and high-quality life experienced by people in the organization. The overriding and principal guiding factor in designing a reward system is the management style and organizational being guided by the organization's strategy ensuring that this strategy is realized in terms of organizational and individual behavior. Critical elements of a reward systemAs noted by Cox et al (2010) to achieve this, the reward systems must address these three critical elements: First, the core principles of an organization which states how the organization operates such as belief in pay for work done, secrecy concerning pay and long-term commitments in areas of reward systems contracted by the organization.

Secondly, structural feature and process features such as decision making practices and communication policies are paramount as they reflect the overall organization’ s management style and influence the manner in which reward system practices are accepted, understood and how much of commitment to them.


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