Compensation Management and Organizational Performance in Pz Cussions Nigeria Plc
CHAPTER ONE
OBJECTIVES OF THE STUDY
The study can be viewed as a contribution to greater understanding of compensation as an instrument that can be employed to increase efficiency and productivity and the value to secure and retain labour service. Other objectives include: –
- To find the different compensation packages that exists in Pz Cussons Nigeria plc.
- To find out from different employee’s view type of reward those reimburse their morale for highest degree of performance, either monetary or non-monetary reward.
- To identify the particular compensation package that motivates employee to higher productivity
- The study also seeks to find out different view of the employees in the organization concerning compensation packages operating in the company.
- To identify the Strategic Business Unit (SBU) structure adopt by the company for its efficiency and performance.
CHAPTER TWO
LITERATURE REVIEW
INTRODUCTION
The growing emphasis on employee engagement as critical to organizational performances means that the concept of total reward is exerting more and influence on reward strategy. Pressures have identified for organizations to recruit and retain talent in an environment where diverse and mobile employee are often more demanding and assertive about what they want from an employer will increase this influence.
Employees and potential employees have become much more sophisticated “customers” of total reward offerings and more questioning of what they contain. As the rising tide of literature on both sides of the Atlantic makes clear, they want options and a measure of customization to their life and work style decisions.
One important factor crucial in the effective performance of any organization is that of compensating and motivating employees. A motivated individual therefore is the one is one who perceives a correlation between achievement of his goals and his performance. The challenge of the manager invariably is to establish congruence between personal and organizational goals. For an employee to feel motivated, such worker source of satisfaction should commensurate with organization’s offer and demands.
CHAPTER THREE
RESEARCH METHOLOGY
SECTION A
INTRODUCTION
The Methodology of the research study is a crucial as it exhibits the very details of the exercise (i.e research work) was to be conducted and analyzed, which in turn gives credence to the whole study it entails a comprehensive and objective description of the methods employed in carrying out the research and thereby enhancing its acceptability . Moreover, brief discussion on the historical background of the organization used to collect and administer data and research instrument i.e. Pz Cussons Nig. Plc.
CHAPTER FOUR
DATA PRESENTATION, ANALYSIS AND INTERPRETATION OF RESULTS
INTRODUCTION
This section deals with presentation and analysis of data collected from the respondents in the course of the study.Data are organized into table and presented in simple percentage to find answers to research questions. The statistical test used for testing the hypothesis for the study is the chi – square (X2).The chi – square statistical method was adopted for the study in order to establish the significant relationship between the variables.
CHAPTER FIVE
SUMMARY OF FINDINGS, CONCLUSION AND RECOMMENDATIONS
INTRODUCTION
Apparently, the research work was an attempt at determining the level of influence that compensation management and reward system has on the performance of the employees and the resultant effect on the organization. Consequently, factors that are associated with employee’s performance were identified and related with compensation management. Moreover, statistical relationships were created among the variables in such that it was made to understand how “adequate welfare package re – imburse employees morale for high level of performance”.
Obviously, the researcher discovered that organizational performance is a resultant effect of employee’s effectiveness and efficiency.
SUMMARY OF FINDINGS
In the previous chapter (i.e. chapter 4) data collected during the study were presented and analyzed using descriptive statistics and inferential statistics for hypothesis testing.
It was discovered that poor compensation packaging will not reduce workers morale and will affect their productivity adversely.
It was also discovered that “effective renumaration structure will aid organization in achieving high level of performance.
Finally, it was revealed that there is a positive relationship between workers reward and their level of performance.
CONCLUSION
Although, the study is an in – depth investigation of how compensation management brings about organizational performance through employees efficiency. However, the resultant effect is that management should note that employees understand how the financial reward system operates, how they benefit from it and how the organization will help them to develop their skills and competences, therefore they need to receive the maximum benefit, through which organization will also attain or achieve its goals and objectives through high level of employees performances.
RECOMMENDATIONS
In view of the observation and findings achieved from the research study, the research wishes to proffer the following recommendations.
- Financial Reward should be goal driven, e.g. incentives, bonus, profit Sharing, stock options e.t.c. will boost workers performance towards the attainment of organizational goals and objectives.
- Since commitment or employees commitment goes beyond just employees’ productivity, but also includes their loyalty and patriotism to the organization. It is necessary for management to make the design and implementation of effective compensation a pivot of the organization to attract and retain qualified human resources.
- In view of the competitive and dynamic nature of business environment –Where monetary reward encourages the employees, the need for adequate incentives cannot be over emphasized. In terms of job performance, Pz Cussons Nigeria Plc should formulate aggressive strategy and blend the various different reward systems.
SUGGESTION FOR FURTHER STUDIES
The solving of one problem normally gives rise to another. This research work carried out proper investigation on compensation management as a tool for influencing employees to contribute efficiently into the organization, and to put on high performance.
The research work strived to expose much of the intricate areas on compensation as it relates to employees performance and therefore suggests that further studies should concentrate on the following areas:
- A compensation study should be carried out on organizations that have a well compensation programme and to show this effect on the organization productivity and profitability.
- Reward strategy as a tool for achieving competitive advantage in the industry.
REFERENCE
- Brown, D (2001) Reward Strategies: from intent to impact, (IPD, London)
- Flannery, TP, Hofrichter, DA and Platten, PE (1996). People performance, and pay, free press, New York
- Lawler, E.E (1995) The new pay: a strategic approach, compensation & benefits review, November
- Purcell, Jetal (2003) people management impacts on orgabnisational performance. (CIPD), London
- Lawler, E (2003) Treat people right: how organizations and individuals can propel each other into a virtuous spiral of success, Jossey – Bass, San Francissco. Armstrong, M and Baron, A. (2004) performance management: action and impact (IPI)b London
