Effective Performance Management and Reward Strategies for Home International

5HR03 Unoffic ial Useful hints and tips 5HR03 – Reward for performance and contribution Task One: Presentation to key stakeholders Your presentation notes pages must include: Your evidence must consist of: A presentation w ith supporting notes of approximately 2000 w ords (+ or – 10%) Task One: Presentation to key stakeholders An evaluation of two of the principles of reward (intrinsic and extrinsic reward and integrating reward with business objectives) (1.1). Confident evaluation of two principles of rewards, for example, transparency, fairness, consistency, a balance of both intrinsic and extrinsic. Another principle could be to link the rew ards to the organisational objectives. This is an ev aluation question, therefore must prov ide strengths and w eaknesses as part of your feedback. Examples could link business objectives by the following: - Strategic narrative - Brand and image of the organisation Also explain how culture links to performance management and how re w ards shape a culture . (consider fairness and equality) An evaluation as to why organisational culture and performance management are important to the principles of reward (1.1). Confident evaluation of why culture and performance management are important to rew ard, (e.g., linking w ith organisational mission and v alues, impact of becoming an employer of choice, benefits and impact of a rew ard system or linking to strategic narrative). Confi dent links to w ider reading and w orking examples used to support ideas and in line w ith the assessment brief. An explanation of how Home International can implement new policy initiatives and practices in relation to rewards across the organisation (1.2) . Confident explanation of how a policy w ould be implemented w hich w ould include the v arious stages. Confident explanation of the best practice of managing the process and the benefit to Home I nternational. A focus sh ould be considered on the different demographics. A review of the different stages of how to create a policy and links to overall best practice in terms of areas to consider, such as fairness and equity. To help you with this there is support from the campus and the following: Step by Step process, p 11 & 12: https://policy.ucsc.edu/resources/images/GuidetoW ritingPolicy.pdf CIPD Overview and Best Practice: https://www.cipd.co.uk/knowledge/fundamentals/people/hr/policies - factsheet#gref Confident response with evidence of application of the process linked to a w orking example, supported by strong aca demic referencing where appropriate. An explanation of how both people and organisational performance within Home International can impact its approach to rewards both positively and negatively (1.3). Confident explanation of how both people and organisational performance w ithin Home I nternational can impact its approach to rew ards both positively and negativ ely. Provide two examples of each. Confident response with evidence of application of the process linked to a w orking example, and depth around external pressures supported by strong academic referencing where appropriate. Define performance and explain ways to measure it: • W hat tools can you identify to measuring performance? • You could draw from your own organisation or include reference on how Covid has transformed the approach to reward. • Two examples of positive impacts to be provided. • Two examples of negative impacts to be provided. • Examples could link to PESTELS factors. People = Motivati on, incentives, retention...one size does not fit all. Org = Budget, engagement, equity... Using Home International and a second business example, produce a comparison of performance -related pay and intrinsic rewards as examples of benefits offered by each different organisation (1.4). Confident comparison of the benefits offered by organisations. Provide two examples of benefits, you could consider: performance -related pay, profit sharing, gain sharing, share ow nership, and payments by results. You need to include merits of the rew ards you have chosen Confident response with evidence of application and strong academic referencing w here appropriate. Using Home International and a second business example, produce a comparison of performance -rela ted pay and intrinsic rewards as examples of benefits offered by each different organisation. You are proving a comparison of different types of benefits organisations can offer (Performance related pay, profit sharing, gain sharing, share ownership, and payments by results) and their own merits. An assessment of the benefits and drawbacks of how extrinsic and intrinsic rewards contribute to improved employee contribution and sustained organisational performance (1.5). Confident assessment of how the contribution of extrinsic and intrinsic rewards are being used to improv e employee contribution in terms of employee performance and output. Prov ide two benefits and two draw backs for each. Confident links to w ider reading to support ideas and examples. This question will link to your answer from 1.1 as you will be assessing how the various examples will improve the performance of the employee and overall performance of the organisation. • Provide benefits and drawbacks with the e xamples. E.g, bonus scheme & recognition. An assessment of the effectiveness of performance review meetings and 360 degree feedback as approaches to performance management, including a rev iew of the role that the people practice professionals w ithin Home I nternational can take to support you as a line manager, to ensure consistent and appropriate reward judgements are made (3.1). A confident assessment of two different approaches to performance management, (e.g., performance management meetings, 360 feedback, coaching and mentoring, critical incidents, ranking appraisals). The response must include two benefits and two draw backs. Confident links to w ider readi ng to support ideas and examples. 2 approaches 2 benefits 2 drawbacks E.g., 360, meetings, KPIs An explanation as to how line managers can make rew ard judgements based on organisational approaches to rew ard (3.3). Follow ing on from 3.1and 3.2, a confident explanation must focus on professionalism and good practice on making judgements around rew ard. A confident explanation must link betw een the v alues and mission of the organisation and different w ays and the steps managers w ill make judgement on rew ard. Building on from 3.1/3.2, you could explain some of the following ideas: • Consider the importance of lawful, ethical, and inclusive management, the use of reward systems and policies • Driving organisation values and beliefs/ethics forward • P erformance data; decisions about financial rewards • Exploring another non -financial reward • You could consider examples of rewards around well -being • Variety of rewards to employees including job enrichment, development . A rev iew of how people practice professionals can support line managers to make consistent and appropriate rew ard judgements. The CI PD hav e provided a document called ‘The People Profession: now and for the future’ , w hich can help you w ith this. (3.2) Confident review of people practice w ho play the role of H.R in deliv ering support for line managers. The response must contain a focus on supporting and maintaining equity, fairness, consistency, and transparency. Confident links to w ider reading to support ideas and examples. An assessm ent of the effectiveness of perform ance review m eetings and 360 - degree feedback as approaches to perform ance m anagement, including a review of the role that the people practice professionals within Hom e International can take to s upport you as a line m anager, to ensure consistent and appropriate reward judgem ents are m ade. T he CIPD have provided a docum ent called ‘T he People Profession: now and for the future’, which can help you with this (3.1 & 3.2). Further Direction: Explain characteristics, aims and importance of review meetings and 360 -degree feedback as approaches to performance management, you could consider: • Coaching and mentoring • Objective -setting, appraisal process • 360 -degree feedback • Relationship betw een performance management and reward • Discuss at least two Advantages and two disadvantages of the two performance management approaches chosen. Discuss the role of the concept of “People Professional” in supporting line managers in reward decisions an d in maintaining equity, fairness, consistency, and transparency. People Practice Professional is a “Core Knowledge” and key information about this is found from this CIPD link : https://peopleprofession.cipd.org/profession - map/core -knowledge/people -practice#gref An assessment of the role of the line manager needs to be provided in line with the “Core Knowledge” A review of the area of reward judg ments which could include conversations about professionalism, this could be found on this CIPD Link: https://peopleprofession.cipd.org/insights/articles/wh y-people -profession#gref A review of ethical practice linked to decision making around reward could include links to this CIPD link: https://www.cipd.co.uk/knowle dge/culture/ethics/role -hr-factsheet#gref Task Two: Briefing paper to inform future reward approaches at home international Your briefing paper must include: Your evidence must consist of: A briefing paper of approximately 1600 w ords (+ or – 10%) An assessment of industrial trends and sector profiles linked to common rew ard packages and Confident assessment of the business context of the re ward environment. This must include research material relevant to the case organisation. Confident benchmarking must be dev eloped on areas such as: salary and benefits. lev els of business activity relating to the context of reward env ironment w ithin Home I nternational (2.1). This response must include links to external factors. I t needs to be assessed in the context of how they influence reward decisions and the dev elopment of rew ard packages. Confident links to w ider reading to support ideas and examples. This answer will include research material on the manufacturing industry which will link to the concept of a sector profile. The roles that need to be focused on for this part of the submission are the following: Role 1: Manufacturing Operative Role 2: HR Administrator Areas that could be benchmarked are: • Salary – links to Payroll data (this will link to 2.2) • Benefits • Labour markets – tight or loose links to Unemployment data (this will link to 2.2) This information could be found on job adverts or company websites. You will need to explore th e importance of external factors and how they impact the development of reward packages. Think about PESTEL Factors and then link the impact of these points to your discussions. It is recommended two examples could be discussed. An ev aluation of how unemployment and payroll data can be used by Home I nternational to dev elop insight into benchmarking rew ard data (2.2). Confident evaluation of unemployment data and payroll data in terms of how they dev elop the direction of the rewards package. The response must prov ide links which show the importance of understanding external trends. Confident links to w ider reading to support ide as and examples. Focus on unemployment and payroll data. This answer will build on 2.1 in terms of the research that has been explored and why these types of data are important. This is an evaluation question, therefore remember to be thinking about t he strengths and weaknesses of these types of data. Your discussions could pull in the following: • How does this data impact the direction of the rewards package? • W hy is it important to find out about current market rates and current labour market t rends? Unemployment data could come from ONS, Government stats and news articles. An example of a reward package that you have created for Home I nternational. This should include: -An appropriate reward package supported w ith benchmarking data -A job ev aluation scheme -The market rates relevant to the roles w ithin Home I nternational (2.3). Confident response to the dev elopment of the steps in the process of job ev aluation. This response should contain a confident development of an appropriate rew ar d package which includes information around salary and a range of benefits w hich is supported by benchmarking data. The focus on this package must be dev eloped for two roles relevant to the case organisation, for example: Role 1: M anufacturing operative Role 2: HR Administrator Confident links to w ider reading to support ideas and examples. This answer will build on 2.2/2.1. You should provide the steps in evaluation and overall development of a reward package. To help you with this, you could use information from the campus or have a look at the website HR Soft. (2021) htt ps://hrsoft.com/5 -essential -steps/ At this point you will need to create a reward package for the following: Role 1: Manufacturing operative Role 2: HR Administrator A rate of pay will need to be provided for both roles, which you will have resear ched in the first part of the task. A basic package will need to be created which will be provided in the main body. A basic overview of the stages in a job evaluation scheme. An explanation as to the legal requirements in relation to minimum pay and w orking hours that might impact Home I nternational’s rew ard practice (2.4). Confident explanation has been prov ided on current rate of pay and w orking time. This response must cov er the current legislation in these areas and the impact of these on rew ard strategies and practice. Two examples of legislation to support this answ er must be pro v ided. Examples that could be included: Equality Act, (2010), The Employment Rights Act (1996), current M inimum Wage rates, current Living Wage rates. Confident links to w ider reading to support ideas and examples. You will need to provide information o n current rate of pay and working time. Information needs to be provided on 1 example for Pay and 1 example for W orking Time. • Minimum W age or Living W age • W orking Time Directive • Employment Rights Act – working hours. A discussion on the need to f ollow and act in accordance with this legislation must be provided.