Organisational Talent Management
Strategic Reward Management
How do you make sure that your Reward policy supports your strategy and organizational goals?
Does your organization take the Total Reward Approach?
Nowadays, employees do not only expect competitive salary…new important drivers such as variable pay and benefits as well as non-financial rewards are taking more and more place. Next to pay and benefits, different aspects such as personal development and work-life balance need also to be looked at. The complexity lies also in the fact that there is never been as much people generations currently working in the organizations as today, with different expectations when it comes to Reward.
Therefore, your Reward Package should be more than just pay and benefits. In order to be competitive, companies should adopt a Total Reward Approach that is embedded in their corporate and HR strategy for their employees.
Hudson Reward Management specialists design individual salary positionings for employees and top executives and advice you on the conception of your compensation & benefits policy.
The Hudson Reward Model starts from the principle that every adequate reward policy operates with four indispensable dimensions:
- Strategy
- Structures
- Systems
- Implementation
Logically there is a chronology while going through these dimensions, even though interference between the different dimensions is possible. The presence of all four dimensions is crucial in order to come to an efficient and successful reward policy that leads to the desired results.
Therefore, Hudson recommends leading a Strategic Reward Workshop which helps to create a reward vision. Accompanying the Compensation & Benefits model is more than a technical-specialist problem. The performance and reward strategy and its further translation into structures and systems needs to be based on the organisation’s present position and needs to be attuned towards the organisation’s desired direction.
A good performance and reward strategy is built up in such a way that it becomes steering in the achievement of the organisation’s objectives, taking into account both the culture and the vision of the organisation, as well as internal and external factors / constraints that play a role in the coordinating HR policy.
Over the past few years Hudson has developed a strategic exercise for the development of reward strategies and for the optimisation of existing strategies.
By means of a workshop four central questions will be answered:
- What does YOUR COMPANY want to reward its employees for?
- How much does YOUR COMPANY want to reward its employees? (positioning and reference market)
- How does YOUR COMPANY want to reward its employees? (reward instruments)
- Who decides on the reward for the employees? What are the necessary processes, roles and responsibilities?
Major deliverable of the Strategic Reward Workshop:
A description of the reward strategy which describes in detail the choices made during the Workshop by YOUR COMPANY about salary components, positioning, progression system, procedures, etc. in line with your global & people strategy. This becomes then the basis to adopt the right job design approach, grading structure and performance & competency management systems & culture.
Do you want to know more? Please Contact us.