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The rewarding experience gets
recognized
by Toronto Training and HR
June 2013
CONTENTS
5-6 Definitions
7-8 Base pay
9-10 Total rewards and compensation
11-12 Expectancy theory and reward
13-14 The wage mix
15-18 Wage curves
19-20 Job evaluation
21-22 Managerial reward in Fiji
23-24 Reward risk
25-26 Performance-related reward plans
27-28 Relationship between pay equity and motivation
29-30 What should recognition be like?
31-37 A recognition strategy
38-39 Effective recognition programs
40-41 Peer recognition
42-43 Characteristics of successful programs
44-46 How to reward and recognize employees
47-49 Pay trends in a difficult economy
Page 2
Page 3
Introduction
Page 4
Introduction to Toronto Training
and HR
Toronto Training and HR is a specialist training and
human resources consultancy headed by Timothy Holden
10 years in banking
10 years in training and human resources
Freelance practitioner since 2006
The core services provided by Toronto Training and HR
are:
Training event design
Training event delivery
Reducing costs, saving time plus improving
employee engagement and morale
Services for job seekers
Page 5
Definitions
Definitions
• Pay
• Why are rewards given?
• Primary objectives of reward
systems
• Extrinsic and intrinsic rewards
• Typical reward categories
• Earnings management
• Recognition
• Types of recognition
• Formal and informal
recognition
Page 6
Page 7
Base pay
Base pay
• Job-based pay
• Person-based pay
Page 8
Page 9
Total rewards and
compensation
Total rewards and compensation
• Direct and indirect
• Objectives
• Links with other HR functions
• Designing a pay-for-
performance system
Page 10
Page 11
Expectancy theory and
reward
Expectancy theory and reward
Page 12
Page 13
The wage mix
The wage mix
• Internal factors
• External factors
Page 14
Page 15
Wage curves
Wage curves 1 of 3
Wage curves 2 of 3
Wage curves 3 of 3
Page 19
Job evaluation
Job evaluation
Page 20
Non
quantitative/
job versus job
Quantitative/
job versus job
Non quantitative/
job versus scale
Quantitative/
job versus scale
Page 21
Managerial reward in Fiji
Managerial reward in Fiji
• Who sets the criteria for
rewards?
• Factors likely to have an
impact on the achievement of
rewards
• Criteria used for monitoring
management performance
• Consequences for unfavourable
performance
• Meet/Beat targets and
incentives
Page 22
Page 23
Reward risk
Reward risk
• Types of reward risk
• Rankings of reward risk faced
• Perception of reward risk
• Reward risks by sector
• Changes in the reward risk
strategy
• Reward risk management
• Future risks
Page 24
Page 25
Performance-related
reward plans
Performance-related reward plans
• Individual performance reward
plans
• Collective/group short-term
incentives
• Organization-wide long-term
incentives
• Criticisms of performance-
related reward plans
• Importance of contextual
factors
• International considerations
Page 26
Page 27
Relationship between pay
equity and motivation
Relationship between pay equity
and motivation
Page 28
Page 29
What should recognition
be like?
What should recognition be like?
• Immediate
• Simple
• Timed well
• Public
• Personal
• Celebratory
• Sincere
Page 30
Page 31
A recognition strategy
A recognition strategy 1 of 6
Page 32
A recognition strategy 2 of 6
COMPONENTS
• Linkage to business strategy
• Three-dimensional
• Procedures
• Objectives
• Continuous improvement
Page 33
A recognition strategy 3 of 6
PROCEDURES
• Recognizing day-to-day
behaviours
• Nominations
• Selection criteria
• Notification
• Selection
• Procedure for taxes
Page 34
A recognition strategy 4 of 6
PROCEDURES (CONTINUED)
• Event planning guidelines
• Process improvement
procedures
• Process for committees and
adding members
• Budgeting
• Tracking
Page 35
A recognition strategy 5 of 6
MANAGEMENT RESPONSIBILITY
• Strategy
• Involvement
• Resources
• Accountability
• Review
Page 36
A recognition strategy 6 of 6
OTHER CONSIDERATIONS
• Measurement
• Communication
• Training
• Events and celebrations
• Change and flexibility
Page 37
Page 38
Effective recognition
programs
Effective recognition programs
• Objectives
• Assessing impact
• Manager
• Team member
• Why bother with recognition?
• How to go about it
• Avoiding recognition traps
• Praise
• Reprimands
Page 6
Page 40
Peer recognition
Peer recognition
• Definition
• What should an effective
program do?
• What does it require?
• Examples
Page 41
Page 42
Characteristics of
successful programs
Characteristics of successful
programs
• Immediate
• Simple
• Timed well
• Public
• Personal
• Celebratory
• Sincere
Page 43
Page 44
How to reward and
recognize employees
How to reward and recognize
employees 1 of 2
• Link rewards to organizational
goals
• Involve employee preferences
• Communicate the program
• Recognize relevant actions
• Reward in a timely manner
Page 45
How to reward and recognize
employees 2 of 2
TYPES OF INITIATIVE
• Public acknowledgement
• Token of appreciation
• Development opportunities
• Low-cost perks
Page 46
Page 47
Pay trends in a difficult
economy
Pay trends in a difficult economy
1 of 2
• Increasing focus on pay for
performance
• Alignment of compensation
with business objectives
• Bigger raises-for those who
earn them
• Smaller merit pay, larger
variable pay budgets
• Creative budgeting breakouts
• Broader compensation
benchmarking
Page 48
Pay trends in a difficult economy
2 of 2
• More non-monetary rewards
• Recalculation of replacement
costs
• Huge focus on retention
• Restrictions of extra pay
• Better communication with
employees
• Updated compensation policies
Page 49
Page 50
Conclusion and questions
Page 51
Conclusion and questions
Summary
Videos
Questions

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