How to use compensation to increase performance?

How to use compensation to increase performance?

How to use compensation to increase performance?

Here are 5 tips that will allow you to adjust your policy remuneration to the performance of your employees.

  1. 1) Clearly define the objectives of the company and its possibilities.
  2. 2) Set up individual and collective goals.
  3. 4) Reward quality
  4. 5) Establish a clear and fair policy.

What is the compensation objective?

This remuneration incentive paid to an employee by the company has two main purposes: to enhance the value of employees to better motivate them and to boost the company’s performance. The challenges of remuneration variable and its goals are therefore as important for the company as for the personnel.

Why is compensation a performance driver?

Motivation theories remind us that remuneration motivates only if: it is fair vis-à-vis colleagues and the market; it remunerates the employee’s contribution at fair value; she is linked to the performance individual.

What are the principles of remuneration?

The remuneration staff employed in the CCAS is subject to three principles : principle legality (article 20 of law n° 83-634 of July 13, 1983), principle identity or parity (article 88 of law n° 84-53 of January 26, 1984 and decree n° 85-730 of July 17, 1985), principle of equal treatment.

What are the objectives of the company’s remuneration policy?

All remuneration policy (worthy of the name) aims to: – ATTRACT – RETAIN – MOTIVATE The employees the Company needs to occupy the positions of its structure and to achieve the Goals that she settles down.

What are the different components of compensation?

The remuneration is made up of two parts: the basic salary and the salary supplements, in particular the benefits in cash or in kind. The salary forms the basis of the remunerationconsideration for work provided, it is a necessary element of the contract.

Why is compensation a source of motivation?

The pyramid of needs as defined by the theory of motivation of Maslow illustrates the interests in granting a remuneration motivating. The salary makes it possible to meet “physiological needs”: a remuneration enough allows the employee not to worry about paying his rent, for example.

What are the objectives and constraints of compensation policies?

A good remuneration policy is thus based on a balanced combination of these 4 constraints : compliance with the legal framework, external competitiveness, budgetary rationality as well as internal equity.

What are some examples of possible rewards?

This study also contains examples of the different possible rewards (methods, policies and ranking). B. Compensation: what scope? […] 4. Do you consider that this evolution reflects your capacities and your investment? 5. What does your work in the company consist of? 6.

How does compensation affect the amount of work?

Remuneration in kind also influences the amount of work, as can be understood when David Butet speaks, for example, of people having “open fees” with regard to their professional expenses.

How to interpret the retribution to the corporate world?

Let us transpose these different interpretations of remuneration to the business world. The man, employee of any company works and perceives a remuneration in exchange for his contribution. But, in a business dynamic, man no longer works alone, he is an integral part of the business.

What is the scope of compensation?

If the reward has a positive impact directly on the employee, it can also be beneficial at the level of the company compared to its competitors. D. Retribution: what scope?