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1、 Chris Jarvis1Remuneration SystemsHRM and Remuneration SystemsChris Jarvis2Remuneration SystemsRewards & methods of rewardnThe wage-work bargain. nCentral to employment relationship & regulationnOffer Acceptance - Consideration (incentive package)nunilateral or bargained? Buyer-seller power?nTailore
2、d or standardised? Individual or collective?nThe Cash Nexus nEnid Mumfords contractsnRewards systems vs. Payroll admin.Chris Jarvis3Remuneration SystemsPay-offs in the Employer-Employee Relationship nKnowledge & skill Er wants know-how, competence, experience. Ee wants to be put to good use & be dev
3、elopednEfficiency/rewards Er wants performance & quality output. Ee wants equity, felt- fair rewards & opportunitynEthical - values & commitments in right/wrong behaviournPsychological Mgt & co-workers want committed, loyal, motivated people. Individual wants satisfactionnTask structure - work withi
4、n policy, procedure & technical constraints. Jobs, work arrangements(Mumford 1972)Keep-TChris Jarvis4Remuneration SystemsIssues in pay policy, package & administrationnIntegrate Ee. performance with competitive advantage?nSmooth, reliable, low risk, transactions. Handing over the cash: personal or s
5、eparated?nTraditional methods prevail. Where are the innovations?nPay policy - closet management?nHRM policy-maker, practitioner & academic interests?nRewards central to HRM models? nTheory & practice. Partial? Coherent? robust?nThin, incomplete picture and treatment? Chris Jarvis5Remuneration Syste
6、msTixylix Prescription (read the label)nProposition: Reward system X will benefit organisational efficiency & effectiveness nEmployer Our policy should properly reward & motivate staff to contribute effort, expertise & commitment in line with organisational objectives. Our reward system must be righ
7、t for the firm (pay bill & administration) & employees (attracting, motivating, retaining the right staff). nEmployee (felt-fair, equity, expectancy theory) “the reward system should reflect my work & its demands on me, my value (for my kind of work) within labour market (internal/xternal). It shoul
8、d satisfy me when comparing my rewards with what others get for the same kind of work”. Chris Jarvis6Remuneration SystemsContext and Pressures nPorter - product innovation + cost leadershipnlow labour costs vs. recruitment, retention & motivationn“Rate for the job“ job class & work technologynLocati
9、on in low wage economiesncommitment & flexibilitynConvergence: white/blue, office/factory competenciesnTeam-working, flexibility, harmonisationnRegional market forces (the City, Leeds, Delhi). nLabour mobility (between occupations + Europe)nSalary leagues (MNCs & Euro/global manager)Chris Jarvis7Rem
10、uneration SystemsExamining Reward System Concepts and PracticesnPatterns and trends in policy & practice?nPropositions and Assumptions? nTests for the propositions/hypotheses?nCompeting concepts and perceptions?nVeracity of the imperatives? Chris Jarvis8Remuneration SystemsDeterminism, Rhetoric and
11、VerificationDebate:determinism: nindividual performance paynPay individual/group performance PRP paradigm shift rhetoric vs. practice nsea change or traditional ad hocerynextent of change (coverage & operation)ninnovation - for the few or the many?nnormative assumptions in the use of reward systemsn
12、central to or marginal in SHRM?Under utilised & sophisticated mechanisms or crude, problematic tools to drive performance? Chris Jarvis9Remuneration SystemsEvidence fornreward system developments reinforcing organisational transformationsnSome new, distinctive features in policy & practice.nDo the “
13、claims” - deliver?nAre our concepts of appropriate or viable pay rigorous enough?nWhat are these perceptions and what “hold“ do they have? Chris Jarvis10Remuneration SystemsPayment Systems 1945 2000nDistinctive features?nHow have systems changed over the years?nCurrent trends?nA Holy Grail quest for
14、 a perfect pay system?nFads, fashions & cycles. nSince 1945nTraditional systems have evolved slowlynSome innovative and marginal changesnNew solutions associated with STEEPLE.Chris Jarvis11Remuneration SystemsDesign Features of Pay systems nMonetarynnot related to performance - timenperformance-link
15、ednOutput, %, PRP, merit pay, commission, skill- basedncollective-output schemes nCorporate performance related bonuses + profit participationnMonetary-equivalentnCar, phone, holidays, loans, accommodation, fees, vouchersnDeferred (promotion, pension)nNon-monetary - status, recognition, plaques, emp
16、owermentnIntrinsic benefitsnNegatives pressure, penalties, harassment side-lining, dismissal Chris Jarvis12Remuneration SystemsSam Eilon on Reward SchemesEilon, S, 1992, Management practice & mispractice, Routledge. http:/sol.brunel.ac.uk/jarvis/bola/rewards/rewards.html nintegral to managerial planning and control processes.nshould not be considered in isolation. nRules guide, but note the contradictions & dilemmas .nR
