According to a survey conducted by U.S. research firm Aberdeen, only two-thirds of companies have some rewards strategy and incentives for retaining employees. That is, only about a third of organizations conduct the issue of employee rewards based on gut feelings, ad hoc decisions, and experimentation and error. The thing is, to preserve and recruit the best employees, you have to have a competitive remuneration strategy tool for rewards api. Technological systems can help identify employees who make the highest contribution to achieving the organization’s goals. They will also recommend employee remuneration following their contribution and the organization’s policies.The organizations should know and see before their eyes the importance of keeping the best employees and understanding and intelligently planning a rewards strategy for this purpose.
Here’s how the software will build an infrastructure for a healthy rewards program in your organization:
- Measure: A good reward plan for the world will be based on measurable results. After identifying the target, decide how to measure it. Today, alongside classic models such as KPI, smart, and the like. There are unique technologies like rewards api that can help organizations maintain a lasting relationship between goals, results, and performance.
- Map the reward groups and mix them:
Distinguish between monetary reward and non-monetary reward. The financial remuneration group will include the total funds given to the employee for his short- and long-term work, including salary, grants, incentives, additional cost, added role, pension contributions, medical insurance, and more. The non-monetary remuneration group includes benefits worth money in connection with their importance: recognition and personal recognition, professional development, challenge, and status.
- Build a remuneration strategy that coordinates the organization:
The type of remuneration is not determined randomly but in the framework of strategic planning that corresponds with the organizational agenda: economic and business goals, organizational climate, management patterns, and work processes. For example, an organization that promotes unique technology will build a rewards program that will encourage meeting goals such as innovation and creativity.
- Create goal-based rewards: Rewards, bonuses, and incentives should encourage specific results, so a good rewards program will be related to business goals. Therefore, it is important to understand the type of target you want to reward: revenue, service, production, operations, sales, and more.
- Keep it simple: Albert Einstein said that “if you can’t explain it simply, then you don’t understand it well enough.” therefore, alongside preconditions of legality and transparency, the rewards model you have built must be simple. You must be able to calculate it quickly and communicate it to employees. So that they will easily understand it and be able to implement it in practice.