Successfully reported this slideshow.
We use your LinkedIn profile and activity data to personalize ads and to show you more relevant ads. You can change your ad preferences anytime.

Rewards & recognition

37,519 views

Published on

This study is analyzing about how; Rewards and recognition works as a powerful tools for employee motivation and performance improvement.

Published in: Leadership & Management
  • The "Magical" Transformation That Happens When Two Brain Technologies Combine! ▲▲▲ https://tinyurl.com/y6pnne55
       Reply 
    Are you sure you want to  Yes  No
    Your message goes here
  • Fact: Penis Enlargement CAN Work. Here's How.  http://t.cn/Ai88iYkP
       Reply 
    Are you sure you want to  Yes  No
    Your message goes here
  • Boost your brainpower with brain pill! find out more... ★★★ https://tinyurl.com/brainpill101
       Reply 
    Are you sure you want to  Yes  No
    Your message goes here
  • my assistant required New Jersey Quitclaim Deed from Husband and Wife to Husband and Wife earlier today and used an excellent service with an online forms database . If people have been needing New Jersey Quitclaim Deed from Husband and Wife to Husband and Wife as well , here's a http://pdf.ac/2qKe7w
       Reply 
    Are you sure you want to  Yes  No
    Your message goes here

Rewards & recognition

  1. 1. IMPLEMENTATION OF REWARDS & RECOGNITION SEHEME SUBMITTED BY: ANITA KUMARI 12MBA05568 MBA [2012-14 (4rd Sem.)] Jamshedpur Women’s College
  2. 2. II JAMSHEDPUR WOMEN’S COLLEGE A DISSERTATION REPORT ON “IMPLEMENTATION OF REWARD AND RECOGNITION SCHEME” UNDER THE GUIDANCE OF: SUBMITTED BY: MISS.CHYTALI GHOSH ANITA KUMARI Mr. UPENDRA DEEP (Faculty MBA)
  3. 3. III JAMSHEDPUR WOMEN’S COLLEGE CERTIFICATE This is to certify that Miss Anita Kumari, MBA (4th semester,) of Jamshedpur women‟s college, Jamshedpur has completed her project under supervision. She has taken proper care and show utmost sincerity in completion of the project. I certify that the project completed is as per the guidelines. Head Department of MBA
  4. 4. IV JAMSHEDPUR WOMEN’S COLLEGE DECLARATION I, ANITA KUMARI do hereby declare that the project report entitled "IMPLEMENTATION OF REWARD AND RECOGNITION SCHEME”, is submitted by me to the Jamshedpur Women‟s College, Jamshedpur in the partial fulfillment of the requirement for the degree of Master in Business Administration is an original piece of work and has not been submitted earlier to this college or to any other institute for fulfillment of the course of study. DATE: SIGNATURE: PLACE:
  5. 5. V JAMSHEDPUR WOMEN’S COLLEGE ACKNOWLEDEGEMENT Coming together is beginning, working together is success…. These words truly express all the joy and effectiveness of working together. Completing this project was an arduous task and required all sort of field and table work. This project could not have been a complete venture without the kind permission of companies who allowed me to perform analysis and subsequent interpretations which form the pillars of this project. I would also like to thank the unsung heroes of this project. They are my mentor, parents, friends, and siblings who took all pains and gave me all sorts of support for doing this project. Thanks to all and almighty. Signature:
  6. 6. VI JAMSHEDPUR WOMEN’S COLLEGE ABSTRACT “People may forget words; People may forget actions; but people will always remember Respect, Recognition & Appreciation given to them publically for their contributions....” In a world characterized by increased global competition, and a rapidly changing business environment, companies and organization are forced to continuously reevaluate how they work. Since the first systematic studies of manual labor began during the last century, the focus has changed from a strict control of employees increased globalization, and the emergence of Human Resource Management during the 80‟s. Research shows that employee compensation can account for as much as 70-80 percent of companies cost, but also show that the value of a company‟s human capital can significantly affect the market value of the company. Studies also show that managers see non - monetary reward and recognition systems as very effective in reaching eight out of ten organizational objectives. In order for an organization to meet its obligations to shareholders, employees and society, its top management must develop a relationship between the organization and employees that will fulfill the continually changing needs of both parties. At a minimum the organization expects employees to perform reliably the tasks assigned to them and at the standards set for them, and to follow the rules that have been established to govern the workplace. Management often expects more: that employees take initiative, supervise themselves, continue to learn new skills, and be responsive to business needs. At a minimum, employees expect their organization to provide fair pay, safe working conditions, and fair treatment. Traditionally most reward and recognition programs were vague and often given in response to a manager‟s perception of when an employee performed exceptionally well. There were usually no set standards by which exceptional performance could be measured, and it could have meant anything from having a good attitude, assisting another department, or being consistently punctual. In current organizational settings this is no longer the case, as organizations understand the great gains derived by linking rewards and recognition to their business strategy. Accordingly, this piece of work deals with all the relevant factors of rewards and recognition, as a motivational tool to attract and keep employees. This encompasses information regarding basic purpose of the program, methods and techniques used to perform these, its implementation in various organization and findings & drawbacks.
  7. 7. VII JAMSHEDPUR WOMEN’S COLLEGE TABLE OF CONTENTS Pg. No. Declaration.................................................................................................... III Acknowledgement………………………………………………………………………………………… IV Abstract………………………………………………………………………………………………………… V SECTION-1 INTRODUCTION TO THE TOPIC ………………………………………………………. 1 - 2  Introduction  Objective SECTION-2 LITERATURE …………………………………………………………………………………….. 3 - 17  Employee Reward and Recognition Systems  Reward v/s Recognition  Important factors In a Recognition Program  Procedures of Reward and Recognition  Types of Reward & Recognition  Methods of Rewards  Guidelines for recognizing and rewarding employees  Tools for recognizing employee performance in India SECTION-3 GREAT PLACE TO WORK ………………………………………………………………….. 18 - 23  Great Place to Work  The GPTW framework  India's best companies in rewards and recognition, 2013 SECTION- 4 COMPANY IMPLEMENTATION OF REWARDS & RECOGNITION SCHEME ……………………………………………………………………………………. 24 - 36  Rewards & recognition @ TML Driveline of Tata Motors  Rewards & Recognition At A-F Blast Furnace Of Tata Steel
  8. 8. VIII JAMSHEDPUR WOMEN’S COLLEGE Pg. No. SECTION- 5 RESEARCH METHODOLOGY …………………………………………………………. 37- 43  Introduction  Sources of data collection  Findings and analysis through data and graph SECTION-6 FINDINGS & OBSERVATIONS ……………………………………………………… 44 - 46  Findings on rewards & recognition  Observations SECTION-7  Conclusion …………………………………………………………………………………….. 48  Limitations ……………………………………………………………………………......... 49  Suggestions …………………………………………………………….…………………… 50  Bibliography …………………………………………………………………………………. 51
  9. 9. IX JAMSHEDPUR WOMEN’S COLLEGE SECTION-1 INTRODUCTION TO THE TOPIC
  10. 10. X JAMSHEDPUR WOMEN’S COLLEGE INTRODUCTION The reason behind doing this project is to examine that, what is the role of rewards & recognition scheme in employee motivation, how different companies applies this scheme for the growth of its employees to achieve individual and collective goals and also to examine any drawbacks and hurdles in its way. The basic for the efficient functioning of a company is that its employees work hard and stay motivated no matter how tough is the client to deal with. This can only happen if the employees find a driving force towards working in a better way from within a company. And a company can reciprocate to its employees in no way better than rewards and recognition. It has been statistically proved that frequent indulgence of rewards and recognition along with constant appreciation and most importantly constructive criticism have been the reason for the employees of any company to work better than they used to. By implementing different rewards and recognition, firms show that the employee is not unnoticed and that their work is dearly valued. Organizational success is driven by satisfied and motivated employees. Satisfaction and motivation can be enhanced through rewards and recognition. Recognizes and rewards are achievements that have a notable impact on a program, to project an individual activity that contributes to the vision and to the pursuit of excellence. OBJECTIVES  To analyse Reward and recognition programs, its goals and objectives.  Approaches to successful reward and recognition program design.  Techniques to measuring employee satisfaction with reward and recognition programs.  Approaches to determining program success and performance.  Technologies that enhance the administration and communication of reward and recognition programs.  To know the employee‟s personal intention regarding rewards and recognition. To know the criteria to qualify the reward.
  11. 11. XI JAMSHEDPUR WOMEN’S COLLEGE SECTION-2 LITERATURE
  12. 12. XII JAMSHEDPUR WOMEN’S COLLEGE REWARDS AND RECOGNITION “Rewards and recognitions are fine; but they should be focused on showing people that we truly appreciate their efforts.” In a competitive market, more business owners are looking at development in quality while reducing costs. This system deals with the assessment of job values, the plan and management of pay arran gement, performance management; pay for performance, competence or skill, the provision of employee benefits and pensions. Importantly, reward and recognition system is also concerned with the development of appropriate managerial cultures, foundation core values and increasing the motivati on and commitment of employees. Reward system processes cover both financial and non-financial rewards. Employee Reward and Recognition Systems In a competitive business climate, more business owners are looking at improvements in quality while reducing costs. Meanwhile, a strong economy has resulted in a tight job market. So while l businesses need to get more from their employees, their employees are looking for more out of them. Employee reward and recognition programs are one method of motivating employees to change work habits and key behaviors to benefit a business.
  13. 13. XIII JAMSHEDPUR WOMEN’S COLLEGE Reward vs. Recognition Although these terms are often used interchangeably, reward and recognition systems should be considered separately. Employee reward systems refer to programs set up by a company to reward performance and motivate employees on individual and/or group stage. They are usually considered separate from salary but may be monetary in nature or otherwise have a cost to the business. While previously considered the area of big companies, small businesses have also begun employing them as a tool to lure top employees in a competitive job market as well as to increase employee performance. Employee recognition programs are often combined with reward programs they retain a different idea altogether. They are planned to provide a psychological rewards. Though many elements of scheming and maintainin g reward and recognition systems are the similar, it is helpful to keep this disparity in mind, particularly for business owners interested in motivating staffs while observance costs low. Rewards and recognition are powerful tools for employee motivation and performance improvement. A reward is something given to a person or a group of people to recognize their excellence in a certain field; a certificate of excellence. Awards are often signified by trophies, titles, certificates, commemorative plaques, medals, badges, pins, or ribbons. An award may carry a monetary prize given to the recipient. Recognition is public acknowledgement of person's status or merits (achievements, virtues, service, etc.).When some person is recognized, he or she is accorded some special status, such as a name, title, or classification. Important Factors in a Recognition Program 1. The recognition program does not exclude any employee. 2. The employees know exactly what should be accomplished in order to earn recognition and rewards. 3. The manager‟s success is tied to employee‟s success.
  14. 14. XIV JAMSHEDPUR WOMEN’S COLLEGE Objectives Any organizational reward system has objectives: 1. To motivate employees to perform to the fullest extent of their capabilities. 2. To encourage employees to follow workplace rules and undertake special behaviors beneficial to the organizations. 3. To instantly and innovatively recognise and reward employees for exemplary individual and team behaviour. Program Purposes 1. Recognize individuals and teams in a timely and effective way. 2. Provide a continuum of opportunities to acknowledge and recognize members of the organization. 3. Recognize that each individual can make a difference. 4. Be a fair and flexible practice that is woven into the fabric of the org culture. Impact of Recognition Program TO SENIOR MANAGEMENT TO EMPLOYEES TO MANAGERS OF PROGRAM  Increase productivity  Improve attitudes  Build loyalty & commitment  Generates positive feedback  Empower workforce  Assures efficiency  Satisfies recognition needs  Creates positive recognition experience  Provides a wide selection of attractive, personalised awards  Builds belongingness and loyalty  Efficient administration  Employee excitement and relations  Involves all employees  Develops a partnership with the workforce
  15. 15. XV JAMSHEDPUR WOMEN’S COLLEGE PROCEDURES OF REWARD AND RECOGNITION This section provides step-by-step, a general procedure to assist managers in the development and assessment of recognition programs that are beneficial and meaningful to your employees. When managers and supervisors think about appreciation, they may repeatedly suppose that one plan fits all. Although each organization has tactical goals to achieve, each work component within the organization has distinct groups of employees who generally require different motivational plan. First, you require deciding which part of your work unit or agency that needs to be motivated by achieving goals within the work environment. Step 1. •TARGET YOUR AUDIENCE • Target Your Audience • Decide an appropriate name for the program • Build a Budget • Develop Criteria • Determination of appropriate reward • Communication of Program to employee • Present the Awards • Evaluate the Program
  16. 16. XVI JAMSHEDPUR WOMEN’S COLLEGE Choose a declaration regarding the purpose of the program that can b e clearly understood by employees. Decide an appropriate name for the program; it should be compatible with the work unit and/or agency culture. Budget includes, the costs of the promotional resources, the potential number of recipients, the costs of the awards, the presentation type (formal/informal; location), the number of citizens expected to attend the reward presentation, the expenses of foodstuff, facilities, streamer, equipment, etc. These are the standard, frequently written, that participants need to meet to succeed in the program. Be precise about the timeframe for which the target must be completed. Create a measurement system that is understood by employees, viewed as fair, and quantifiable. Consider how often progress is reported (daily, weekly, monthly, quarterly). Send reports on a regular basis to keep interest levels high. Choosing awards is one of the most important steps in the success of plan. If the reward selected does not motivate or inspire employees to achieve the affirmed goal, the agenda may have less contribution and not achieve the level of success expected. By intriguing into deliberation input from the supervisors, employees, and/or the besieged spectators, you should be able to decide the rewards that do or do not have connotation. Diversity is significant because beneficiary have varying tastes and interests. There are a broad Step 2. •DECIDE AN APPROPRIATE NAME FOR THE PROGRAM Step 3. •BUILD A BUDGET Step 4. •DEVELOP CRITERIA Step 5. •DETERMINATION OF APPROPRIATE REWARD
  17. 17. XVII JAMSHEDPUR WOMEN’S COLLEGE variety of awards that include financial awards, non-financial awards, and recognition leave. Program communication is necessary from the start up and should be continuing. By connecting employees and supervisors in the growth of the program, firm can be on the right way. Mystery is a huge way to attract the interest of employees. Throughout the plan, offer status updates via mail, E - mail or Intranet to the employees. It should be make sure that presentation matches the significance of the appreciation. One may prefer to use formal or informal means of appreciation. However, as a manager, a person needs to believe the additional financial impact of a formal presentation. Presentation should worthy of the reason that it is for recognizing the employee. It‟s important to measure the success of recognition program by considering both tangible and insubstantial results. Ask for comment from upper management, and supervisors and employees (participants and non - participants). Share out an employee appraisal survey prior to and during the program initiative also may be valuable. Also, appraisal income rates and attendance/delayed records should provide some indication of success of your agenda as well. Consider demeanor a survey of your customers that may indicate the success of your agenda. Official surveys or casual customer criticism can provide the basis for your evaluation. Step 6. •COMMUNICATION OF PROGRAM TO EMPLOYEE Step 7. •PRESENT THE AWARDS Step 8. •EVALUATE THE PROGRAM
  18. 18. XVIII JAMSHEDPUR WOMEN’S COLLEGE TYPES OF REWARD & RECOGNITION Types of Rewards Membership and seniority based rewards Job status based rewards Competency based rewards Performance based rewards Organisational rewards Stock option Profit sharing Team rewards Gain sharing Special bonuses Individual rewards Commission Merit pay bonuses Types of Recognition Recognition events such as banquets or breakfasts, Employee of the month or year recognition, An annual report or yearbook which features the accomplishments of employees, and Department or company recognition boards. Informal or spontaneous recognition additional support or empowering the employee Symbolic recognition Latter of expressions (thanks...)
  19. 19. XIX JAMSHEDPUR WOMEN’S COLLEGE METHODS OF REWARDS& RECOGNITION Following are the common methods of rewards and recognition that can be found in modern business organizations. Although not all these reward methods are used by the same company, the companies can adopt the best reward methods that suit the company culture and other company goals. As an example, some companies do like to give all the benefits to the employees as financials, while other companies like giving the employees the other benefits such as insurance, better working environment, etc. 1. Basic Pay Pay is an essential factor, which is closely related to job satisfaction and motivation. Although pay may not be a reward as this is a static amount, which an employee will be paid every month, it will be considered as a reward if similar work is paid less. 2. Additional Hour's Rewards This is similar to that of overtime. However, it is paid to employees if they put in an extra hour of work for working at unsocial hours or for working long hours on top of overtime hours. 3. Commission Many organizations pay commission to sales staff based on the sales that they have generated. The commission is based on the number of successful sales and the total business revenue that they have made. This is a popular method of incentive. 4. Bonuses Bonuses will be paid to employees, who meet their targets and objectives. This is aimed at employees to improve their performance and to work harder.
  20. 20. XX JAMSHEDPUR WOMEN’S COLLEGE 5. Performance Related Pay This is typically paid to employees, who have met or exceeded their targets and objectives. This method of reward can be measured at either team or department level. 6. Profits Related Pay Profits related pay is associated with if an organization is incurring a profit situation. If the organization is getting more than the expected profits, then employees receive an additional amount of money that has been defined as a variable component of the salary. 7. Payment by Results This is very similar to that of profit related pay. This reward is based on the number of sales and total revenue generated by the organization. 8. Piece Rate Reward Piece rate reward is directly related to output. The employees get paid on the number of 'pieces' that they have produced. These pieces will be closely inspected to make sure that quality standards are being met. 9. Recognition Employees will not always be motivated by monetary value alone. They do require recognition to be motivated and to perform well in their work. 10. Job Enrichment This is a common type of recognition that is aimed at employees to get motivated. Job enrichment allows more challenging tasks to be included in the day-to-day tasks performed by the employee. Working the same way every day may prove to be monotonous to the employees. Therefore, there will be a lack of interest and the performance drops.
  21. 21. XXI JAMSHEDPUR WOMEN’S COLLEGE 11. Job Rotation Unlike job enrichment, job rotation refers to shifting employees between different functions. This will give them more experience and a sense of achievement. 12. Teamwork Teamwork is also considered as recognition. Creating teamwork between team members will improve performance at work. Social relationships at work are essential for any organization. Healthy social relationships are considered as recognition to the employees. This improves their morale and performance. 13. Empowerment Empowerment refers to when employees are given authority to make certain decisions. This decision making authority is restricted only to the day -to-day tasks. Though, by giving employees authority and power can lead to wrong decisions to be made which will cost the company. So, Empowerment will not relate to day-to-day functioning authority. 14. Training Many organizations place a greater emphasis on training. This is considered as recognition for employees. Training could vary from on the job training to personal development training. Training workshops such as train the trainer or how to become a manager will give employees a chance to switch job roles and this will increase their motivation levels. 15. Awards This again is an important type of recognition that is given to employees, who perform better. Organizations have introduced award systems s uch as best performer of the month, etc., and all these will lead employees to perform better.
  22. 22. XXII JAMSHEDPUR WOMEN’S COLLEGE GUIDELINES FOR RECOGNIZING AND REWARDING EMPLOYEES A good recognition and reward system provides employees with three things: A fair return for their efforts Motivation to maintain and improve their performance A clarification of what behaviors and outcomes the organization values Here are 10 guidelines for recognizing and rewarding employees that companies can use to help develop a successful program: 1. Involve employees in designing recognition program There is no need of a lot of money to implement a meaningful recognition program. Employees will take pride in a token award when it acknowledges they did a good job that impressed their boss and peers. One way to give your recognition program that kind of credibility is to involve employees in creating and administering it. If they design it, they will know exactly what they have to do to earn rewards. They will know what their peers have to do also, so they will respect other winners. They can also ensure that the program provides everyone in the department with an opportunity to earn a reward. 2. Specify reward criteria Too often, awards for things like "innovation," "showing initiative," and "quality improvement" don't define what employees need to do to win. Without that information, some employees will be stymied before they begin. When a winner is announced, employees may attribute a co-worker's success to favoritism or luck. Or, if offer an award on an ongoing basis, such as "employee of the month," they may begin to think everyone's turn comes up eventually. 3. Reward everyone who meets the criteria Firm could announce a contest, urge everyone to participate, provide plenty of reminders during the contest period, and announce the winner with a flourish. For a longer-term impact, determine specific criteria, individual goals, and reward everyone who meets them. Publicize each accomplishment and
  23. 23. XXIII JAMSHEDPUR WOMEN’S COLLEGE acknowledge each achiever. As long as the criteria are meaningful - the more winners the better. 4. Recognize behaviors as well as outcomes In most organizations, results earn rewards. That's appropriate, but it lessens the opportunity to use recognition as a way to encourage poor performers to improve. Since they don't produce many worthwhile results, they seldom get rewarded. By recognizing small behavior shifts, arriving on tim e, correcting mistakes, helping another person, firm can reinforce incremental improvements. This doesn't mean firm should arrange a parade in someone's honor just because the person finally did what was expected. A sincere thank you or some specific positive feedback is an appropriate response. 5. Individualize rewards Give people what they want. Before giving a workaholic a week off, make sure it won't feel like exile to that person. On the other hand, before reward someone with an exciting new project, find out if the recipient will be thrilled or feel burdened. 6. Say "thank you" frequently "Thank you" is always timely. It is as useful to acknowledge small successes, as it is to recognize major achievements. It validates the importance of work people do. And it starts a chain reaction: Pretty soon more people start saying it to more people, boosting morale and improving relationsh ips as well as motivating people to work well. 7. Nurture self-esteem When organisations give people positive, specific, and realistic feedback about their potential, their efforts, and their accomplishments, their self - esteem goes up. They develop into employees with confidence to set and meet challenging goals, overcome setbacks, and self-manage their work.
  24. 24. XXIV JAMSHEDPUR WOMEN’S COLLEGE 8. Foster intrinsic rewards Intrinsic rewards are the good feelings people get from doing their work; enjoyment of the task, excitement about the opportunities, and pride in doing a good job. Firms can't hand someone an intrinsic reward, but can create an environment that encourages these feelings. Make sure people know their work is worthwhile, treat problems as opportunities for innovation, encourag e people to try new ways of doing things, and let them know when they have done a good job. 9. Reward the whole team For team accomplishments, it's important to reward the whole team, or it can foster competition, not cooperation, among team members. Still, there are always some team members who give more effort, and sometimes there are members who coast along on the efforts of others. When the coasters get the same reward as the doers, resentment occurs. Some companies are meeting this challenge with a double-tiered system of team and individual rewards. What ties it together is that for individual rewards, the assessors are fellow team members. 10. Be careful An organization publishes its values, and then rewards people for behaving quite differently. Since one of the things rewards do is clarify for employees what the organization really wants. If firm are looking for teamwork, they must be sure that they aren't rewarding competition.
  25. 25. XXV JAMSHEDPUR WOMEN’S COLLEGE TOOLS FOR RECOGNIZING EMPLOYEE PERFORMANCE IN INDIA TOOLS FOR RECOGNIZING EMPLOYEE PERFORMANCE Methods Percentage Certificates 68% Cash awards 56% Mailers to all employee 61% Plaques 44% Mention on newsletter/Internet 49% Gifts 39% Gift certificates 37% Team outing to celebrate achievements 46% Leadership roles 34% 0% 10% 20% 30% 40% 50% 60% 70% 68% 56% 61% 44% 49% 39% 37% 46% 34% TOOLS FOR RECOGNIZING EMPLOYEE PERFORMANCE
  26. 26. XXVI JAMSHEDPUR WOMEN’S COLLEGE SECTION-3 GREAT PLACE TO WORK
  27. 27. XXVII JAMSHEDPUR WOMEN’S COLLEGE GREAT PLACE TO WORK® Great Place to Work® Institute is known globally as one of the pioneers in the practice of studying and recognizing the best workplaces. Over 2.5 million employees from over 7000 organizations in over 40 countries participate in the Best Workplace study each year- making this the largest global study of its kind in the world. The mission of the Institute is to build a better society by helping companies to transform their workplaces. The Best Workplaces Study in India is inspired by the vision of „Making India a Great Place to Work‟. The institute has been conducting workplace studies and has been recognizing the best companies in India for the past 9 years now. Along with studies the Institute provides advisory and consulting support for companies that wish to enhance their workplace experience. “India‟s Best Companies to Work For”, conducted by Great Place to Work® Institute India and The Economic Times, is the largest study of its kind in India. The GPTW Framework Globally, Great Place to Work® Institute has developed research in the field of employee trust & engagement over the past 20 years. This experience and learning has led to the definition of a great workplace. Research has shown that the key to creating great workplaces was not present in any prescribed or predetermined set of employee benefits, programs and practices, but in the building of high quality relationships. Great Place to Work® Institute defines a Great Workplace as one where employees trust the people they work for, take pride in what they do and enjoy the people they work with. Thus, the fundamentals of building a great workplace rely on three, core elements Trust, Pride and Camaraderie.
  28. 28. XXVIII JAMSHEDPUR WOMEN’S COLLEGE INDIA'S BEST COMPANIES IN REWARDS AND RECOGNITION, 2013 (In rank order) The Economic Times, along with Great Place To Work® Institute, celebrated the achievements of India‟s top 15 companies in the rewards and recognition space, at an exclusive awards ceremony held on 26thApril, 2013 in Mumbai. Mr. Harsh Mariwala, MD & Chairman, Marico Industries Limited, felicitated the winners of India‟s Best Companies for Rewards and Recognition 2013. Google India Pvt. Ltd Intel Technology India Private Limited. American Express India NIIT Ltd. Forbes Marshall Pvt. Ltd. NTPC Ltd. Ujjivan Financial Services Private Limited. Marriott Hotels India Pvt. Ltd Blue Dart Express Ltd Godrej Consumer Products Ltd InterGlobe Enterprises Ltd. The Oberoi Group Taj Hotels Resorts & Palaces Philips Electronics India Limited United Colors of Benetton India „TRUE BLUE Partner Award‟ for “Being a solid partner to the business.” “360 Degree Award” is something given out to individuals for effective stakeholder management. Rolling Bat/Rotating Flag to commend employees who have added value to the business and this bat/flag is rotated on a quarterly basis. Environmental Excellence Awards These are awards which are given annually for outstanding employee achievements in environmental, energy conservation and pollution prevention programs and performance. Intel won the #1 place in Green500 and the CEO Justin Rattner came to India especially to reward the Intel Labs team which contributed to this award. INTEL TECHNOLOGY INDIA PRIVATE LIMITED
  29. 29. XXIX JAMSHEDPUR WOMEN’S COLLEGE Volunteering Road Shows Winners of the Social Initiatives Drive get to showcase their work to other employees through road shows and this helps them form larger teams of other interested collaborators, often with complementary skill sets to work on their projects. Blue Box Values Award This “Peer recognition” can be used by any employee to recognize their colleague for extraordinary display of any of the eight Blue Box values. Safety Awards During the safety Week celebration i.e. from 4th March to 11th March every year the organizations holds Poster and Slogan competitions, which are open to members‟ and their children. Besides, there is also competition of innovations and improvements done related to the safety in the organization. The Best Slogan, Best Poster and best innovation are awarded on the last day of the Celebration i.e. on 11th March. Rewards for Internal Trainers Many of the technical trainings are given to the members by the Inte rnal Trainers. These trainers are doing something other than their role for the betterment of the members and developing talent in the organization. Thus every year these trainers are rewarded by gift coupons of varying amounts depending on the number of trainings they have delivered. Rewarding these trainers is a kind of motivation for them to continue the best that they are giving to the company. Manveeyata Puraskar It is given to employees who have exhibited random acts of humanity and kindness at their unit and surrounding areas. An Appreciation Letter and a gift of up to Rs 1,000/- are given. AMERICAN EXPRESS INDIA PRIVATE LIMITED FORBES MARSHALL PVT.LTD. NTPC INDIA
  30. 30. XXX JAMSHEDPUR WOMEN’S COLLEGE External Parity Compensation surveys are conducted from time to time to benchmark against the industry compensation trends. Ujjivan undertook a compensation survey at the Industry level with MFIN (Micro Finance Institutions Network – the Industry body similar to NASSCOM, CII), this year for compensation benchmarking. Special Thanks and Recognition System (STARS) The Taj Group created a Special Thanks and Recognition System (STARS) that links customer delight to employee rewards. Employees accumulate points throughout the year in three domains: compliments from guests, compliments from colleagues, and their own suggestions. Indeed, appreciation from one‟s peers can be more powerful, and should also be considered in a broader performance appraisal system. “Crucially, at the end of each day, a STARS committee reviews all the nominations and suggestions. Dronacharya Award for the Best Mentor To recognize the mentor who has shown dedication & commitment to mentor the early career potentials of PIC. The mentees and mentee‟s managers are asked for feedback about the mentors. The weighted average of the feedback is taken and the mentor whose rating is the highest is declared the winner. This award is also announced during the Grand – town hall which happens in the end of the year. It consists of a Certificate, memento & Cash award. Communication and branding SMILE UNLIMITED - It signifies Benetton India‟s commitment to recognize, acknowledge and appreciate Benettonians. Some current and past initiatives under „Smile Unlimited‟ include wall of Fame, Pat on the Back, Core Value PHILIPS ELECTRONICS INDIA LIMITED UNITED COLORS OF BENETTON UJJIVAN FINANCIAL SERVICES TAJ HOTELS RESORTS & PALACES
  31. 31. XXXI JAMSHEDPUR WOMEN’S COLLEGE Champion Awards, and Spot Awards, Outstanding Awards, Biz Master, idea Champions etc. BENETTON UNLIMITED –This campaign was launched as a part of their internal branding exercise and formulate defined platforms to various HR initiatives. Hence all the Rewards & Recognition communication is driven through the concept of SMILE UNLIMITED. Apart from recognizing the top performers in public, there are communications send across the organiz ation highlighting the winners and top performers who have been awarded.
  32. 32. XXXII JAMSHEDPUR WOMEN’S COLLEGE SECTION-4 COMPANY IMPLEMENTATION OF REWARDS & RECOGNITION SCHEME
  33. 33. XXXIII JAMSHEDPUR WOMEN’S COLLEGE REWARDS & RECOGNITION At TML Driveline of Tata Motors
  34. 34. XXXIV JAMSHEDPUR WOMEN’S COLLEGE TML DRIVELINE Organizational Description TML Drivelines Ltd. is a wholly owned subsidiary of Tata Motors engaged in the manufacture of gear boxes and axles for heavy and medium commercial vehicles. It has production facilities at Jamshedpur and Lucknow. TML Forge division is also a recent acquisition of TML Drivelines. TML Drivelines was formed through the merger of HV Transmission (HVTL) and HV Axles (HVAL). Rewards and Recognition Scheme The company organizes rewards & recognition program, so that there is something for the employees to look forward too. Also, if brought under regular circulation, it will create integrity amongst the employees for the company and for each other. In better words, promoting rewards and recognition programs within a company for the employees helps foster a healthy workmanship and promotes a better work environment. TYPES OF REWARDS & RECOGNITION (For Non-management group) Employee of the Month Employees are nominated from their department on the basis of skills, 5s knowledge, suggestions, CSR involvement, safety involvement and attendance. Among them three employees are awarded every month with cash prize or, equivalent coupons. 1st Award – Rs. 1000 /- 2nd Award – Rs. 750/- 3rd Award – Rs. 500 /-
  35. 35. XXXV JAMSHEDPUR WOMEN’S COLLEGE Employee of the Year Among all 12 employees of each month, three employees are awarded as employee of the year. They get selected on the basis of interview by related panel. 1st Award – Rs. 10000 /- 2nd Award – Rs. 7500/- 3rd Award – Rs. 5000 /- Multi Skill Benefit In this scheme 1 extra increment in monitory is given to the employee, on the basis of non-disciplinary action and non-suspension. Pat on the Back This is a certificate program given to the employee for any commendable work, by the line managers. Photo Recognition In this recognition scheme employee‟s photo is pined on departmental notice board, for a best suggestion. Birthday Celebration It‟s a kind of excitement program. On birthday of an employee, a Birthday card is sent to him/her signed by the CEO.
  36. 36. XXXVI JAMSHEDPUR WOMEN’S COLLEGE REWARDS & RECOGNITION At A-F Blast furnace of Tata steel
  37. 37. XXXVII JAMSHEDPUR WOMEN’S COLLEGE A-F BLAST FURNACES Organizational Description 'A-F‟ BLAST FURNACE department is part of Coke, Sinter& Iron Division. It is located within the works area of the Tata Iron & Steel Co. Ltd., Jamshedpur. The A-F Blast Furnace came into operation in 1911. Rewards and Recognition Scheme Rewards and recognition are powerful tools for employee motivation and performance improvement. It has been proved that frequent indulgence of rewards and recognition along with constant appreciation and most importantly constructive criticism have been the reason for the employees of any company to work better than they used to. By implementing different rewards and recognition, company show that the employee is not unnoticed and that their work is dearly valued. It is a general verity that people tend to progress and improvise when they are motivated. And a healthy and the right amount of motivation can come only if the person is rewarded with some kind amidst his or her fellow colleagues. Moreover, when people are motivated they develop a greater potential towards being successful which in collective terms is very good and beneficial for the company‟s growth.
  38. 38. XXXVIII JAMSHEDPUR WOMEN’S COLLEGE THE REWARD PROCESS Identify behavior worth rewarding Present Instant SHABASHI Nominate for Shabashi Diwas Review by Recognition Team Presentation on SHABASHI DIWAS (1st Wednesday of the month)
  39. 39. XXXIX JAMSHEDPUR WOMEN’S COLLEGE REWARD PROCESS The Chief/ Head/ Unit leader identifies the behavior worth rewarding. The Chief/ Head/ Unit leader recognises the employee by presenting him the "Instant SHABASHI" voucher on the shop floor/ work place itself. The Chief/ Head/ Unit leader may nominate the employee/ team to the Recognition Team for Shabashi Diwas reward in the prescribed format. The Recognition Team comprising Chief/Head of the department, Manager HR/IR and one line executive (by rotation) will review the nomination and shortlist the employee/ team for the Shabashi Diwas reward. Rewards, based on the decision of the Recognition Team, will be presented by the Chief/Heads of the department on the Shabashi Diwas, the 1st Wednesday of the month. The recognition function must be held at 3.00 PM on Shabashi Diwas. • Identify behavior worth rewardingStep 1. • Present instant SHABASHIStep 2. • Nominate for Shabashi DiwasStep 3. • Review by Recognition TeamStep 4. • Presenting reward on Shabashi DiwasStep 5.
  40. 40. XL JAMSHEDPUR WOMEN’S COLLEGE TYPES OF REWARD 1. Instant Shabashi Gift voucher worth Rs. 200/- Can be redeemed at shops/ outlets as listed on the voucher. The department may procure a gift by redeeming the voucher and present the gift instead to the employee 2. Shabashi Diwas reward Specially designed Certificate of Recognition; Shabashi Diwas voucher(s). Maximum reward Rs 2500/- Gift vouchers in denomination of Rs 250/-, so that one can take a pick at one or more of the following: o Household articles/ gifts o Dinner/lunch in restaurants o Personal items 3. A Bonanza A consistent performer may win “SPECIAL SHABASHI” A Holiday Package for 3 days/ 2 nights at selected locations.
  41. 41. XLI JAMSHEDPUR WOMEN’S COLLEGE S H A B A S H Nomination Form for Shabashi Diwas Reward To Chief/ Head of Department & Head of the Recognition team Mr. (Name), (P.No.), (Designation) of (name of the section) has shown exemplary behaviour in the area _____________________ ___________________________________________________ . The brief description of his work/ contribution is as follows: ___________________________________________________ ___________________________________________________ ___________________________________________________ _______________________________________________ He is nominated for the The Shabashi Diwas reward. Name & Signature Unit Leader/ Section Head
  42. 42. XLII JAMSHEDPUR WOMEN’S COLLEGE THE SPECIAL SHABASHI PROCESS Consistent Performance Nomination by Department Review by Special Shabashi Team Presentation of Special Shabashi
  43. 43. XLIII JAMSHEDPUR WOMEN’S COLLEGE The Special Shabashi Process Each department may nominate one such consistent performer per year. Nomination for Special Shabashi, along with one-page write-up giving the details of the contribution of the employee, may be sent to the office of VP (HRM). A team comprising the Dy MDs, VP (HRM) and PEO will scrutinise and shortlist individuals for Special Shabashi. Budget Each department will be allocated a budget based on the employee strength. About, 25% of the allocated budget may be utilised for Instant Shabashi and the balance for the Shabashi Diwas reward. Procurement of Gift Vouchers & Certificate of Recognition Department should procure Instant Shabashi vouchers and Shabashi Diwas vouchers corresponding to the budget allocation made and Certificate of Recognition from Steel Workers Welfare society (SWWS) by raising delivery order. SWWS will supply the two types of vouchers with serial no. printed on them and the Certificate of Recognition to the department. Department will verify the invoices and pass the bill for payment against the allocated budget through SAP giving the cost element and departmental cost centre. Facilitation by HR/IR Executives Awareness Presentation to all executives, JDC, any other forum Publicity By Corporate Communication – hoardings, intranet, house journals, MD on-line By department -Poster- Notice Board, Canteen, Shop-floor
  44. 44. XLIV JAMSHEDPUR WOMEN’S COLLEGE Facilitation Adherence to the guidelines (must not become a ritual, no quota system) Transparency/ fairness in administering the program. Procurement of Gift Vouchers & Certificate from SWWS Organising Shabashi Diwas function – presence of other employees, officers JDC members etc. Tracking budget.
  45. 45. XLV JAMSHEDPUR WOMEN’S COLLEGE SECTION-5 RESEARCH METHODOLOGY
  46. 46. XLVI JAMSHEDPUR WOMEN’S COLLEGE RESEARCH METHODOLOGY Introduction Research means scientific and systematic search for pertinent information on a specific topic. According to CLIFFORD WOODY research comprises defining and redefining problem, formulation hypothesis or suggest solution, collecting, organizing and evaluation data-making deductions and reaching conclusion; and at last carefully testing the conclusions to determine whether they fit the formulation of hypothesis. Objectives of Research 1. To portray accurately the characteristics of a particular individual, situation or group. 2. To test a hypothesis of a casual relationship between variables. 3. Research Methodology is a way to systematically solve the research problem. It may be understood as a science of studying how research is done scientifically. In it we study the various steps that are generally adopted by researcher in studying his is research problem along with the logic behind them. It is necessary for the researcher to know not only the research methods. Research Design A research design serves as a bridge between what has been established (research objectives) and what is to be done while conducting the study to realize those objectives. It anticipates what a company wants in terms of results and the analytical work on the gathered data that will convert into useful findings. This research is a descriptive research and, by and large, a field and desk research which involved the following procedures: 1. Collection of data regarding rewards & recognition of workers. 2. Analysis of the data collected and illustrating it through graph s and thereby, interpreting the results. 3. Finally, forwarding certain recommendations and conclusions to the company.
  47. 47. XLVII JAMSHEDPUR WOMEN’S COLLEGE Sources of Data Collection The data collected for this research has provided the base for its analysis and interpretation. The data collected was used to draft charts, illustrate through graphs and thus provide for its adequate interpretation. In this research, Primary data as well as Secondary data has been used. Methods of Data Collection Primary data was collected through personal survey method, and secondary was collected through reports, magazines, Internet etc. Methodological Assumptions The data provided are assumed to be true and unbiased. Plan of Analysis For the purpose of analysis the data collection from question has been classified and tabulated. Percentages have been taken to get a better picture of the analysis. The set of the analysis have been formed on the basis to draw Conclusion and suggestions have been made on the inference and analysis drawn. Sample Design Sample Size The sample size of this survey is the working employees of A -F Blast furnaces. Primary Sources of Data  Analysis of all reward certification  Physical verification of related data. Secondary Sources of Data  Company profiles.  Previous year report.  Literatures.  Journals.  Internet.  Intranet.
  48. 48. XLVIII JAMSHEDPUR WOMEN’S COLLEGE FINDINGS AND ANALYSIS THROUGH DATA AND GRAPH  Analysis of data for employee reward at A-F Blast furnaces Year No. of Employee get reward 2010 24 2011 13 2012 147 2013 72 SECTION no. of employee get reward Cast House 18 HML 10 C BLST FURNCE 2 CANTEEN 3 ELECTRONICS(MEDE) 1 FIRE BRIGADE 3 HR/IR TRAFFIC 1 LABOUR GANG 1 MECH 6 OFFICE 1 OPERATION 3 LOCO CRANE 1 SGP 1 SPARES MNFRNG 1 TLRH 2 TRAFFIC 18 TOTAL 72 18 10 2 3 1 3 1 1 6 1 3 1 1 1 2 18 0 5 10 15 20 CastHouse HML CBLST… CANTEEN ELECTRONIC… FIREBRIGADE HR/IR… LABOUR… MECH OFFICE OPERATION LOCOCRANE SGP SPARES… TLRH TRAFFIC No. of employee get reward (in year 2013) no. of employee get reward
  49. 49. XLIX JAMSHEDPUR WOMEN’S COLLEGE FINDINGS AND ANALYSIS THROUGH DATA AND GRAPH  Beneficiary of scheme managerial non-managerial Beneficiary 0 30  Level of Satisfaction with reward & recognition scheme very satisfied neither satisfied nor dissatisfied not satisfied Satisfaction with reward & recognition 27 0 3 90% 0% 10% Satisfaction with reward & recognition very satisfied neither satisfied nor dissatisfied not satisfied 0% 100% Beneficiary of scheme managerial non-managerial
  50. 50. L JAMSHEDPUR WOMEN’S COLLEGE  Important issues How these are important extremely important average important not at all important a. Receiving formal recognition for your effort? 15 12 3 b. Being recognised by management for your effort? 20 10 0 c. Being recognised by peers and co-workers for your effort? 20 10 0 d. Feeling that your work is valued and appreciated? 30 0 0 e. Bonus and other financial incentives? 17 13 0 f. Possibility to achieve promotion? 12 18 0 g. Challenging work task? 15 10 5 0 5 10 15 20 25 30 Important issues extremely important average important not at all important 12% 15% 16% 23% 13% 9% 12% Important issues receiving formal recognition for your effort ? being recognised by management for your effort ? being recognised by peers and co-workers for your effort ? feeling that your work is valued and appreciated? Bonus and other financial incentives?
  51. 51. LI JAMSHEDPUR WOMEN’S COLLEGE  Rate of criteria as qualification for an award Rate of criteria as qualification for an award Extremely important Average important Not at all important a. Outstanding performance 5 20 5 b. Focus on innovation 3 15 12 c. Safety involvement 30 0 0 d. CSR involvement 22 8 0 e. Skills 18 12 0 f. Commendable work 15 10 5 6% 3% 32% 24% 19% 16% Rate of criteria as qualification for an award outstanding performance focous on innovation saftey involvement csr involvement skills commendable work 0 5 10 15 20 25 30 Rate of criteria as qualification for an award extremely important average important not at all important
  52. 52. LII JAMSHEDPUR WOMEN’S COLLEGE SECTION-6 FINDINGS & OBSERVATIONS
  53. 53. LIII JAMSHEDPUR WOMEN’S COLLEGE FINDINGS ONREWARDS & RECOGNITION Findings on Rewards The following factors have been measured to infer about an organization‟s internal equity and transparency of its rewards programs: The parameters of rewards especially for incentives/performance bonus and the amount of increments Wealth creation/wealth sharing opportunities such as Stock Options/Restricted Stock Units/Stock Purchase Plans, etc., made available to the largest number and percentage of employees regardless of their level, function and tenure. Grievance redressal /appeals that specifically deals with matters relating to compensation, grade & salary fitment, performance rating and increment/incentive/performance bonus and promotions. Non-discrimination in compensation, benefits and rewards on the basis of gender, caste, race, language and religion. Incentives and performance bonus availability across all levels, roles and functions. Findings on Recognition Recognition practices are more effective when they are frequent, targeted at all employees and demonstrate a true sense of gratitude. This study measured effectiveness of recognition practices defined as follows: Variety of programmes to recognize and appreciate different category of employees for different types of tasks, behaviours, efforts, achievements for which they are recognized. Frequency of programs represented by how often employees are recognized. Recognition provided to employees across levels, roles, functions and locations. This includes employees in revenue earning & customer/client impacting as well as enabling support functions. Employees are recognized and appreciated for their loyalty. Inclusiveness of recognition defined by the fact that it flows from and in all directions – not only from seniors to juniors, but between peers, from juniors to seniors, across functions, business units & locations.
  54. 54. LIV JAMSHEDPUR WOMEN’S COLLEGE Recognition and celebrations are done for not only work related efforts and achievements/results, but for achievements which are beyond work as well. Achievements of family members are also recognized, appreciated and rewarded publicly within the organization. Family members are informed and thanked and/or invited to participate in events and functions where employees are being recognized and felicitated. Personalization of gifts and forms of recognition is given to what the recipient of recognition really likes. Extent of feedback and inputs sought from supervisors, managers and employees on what should be recognized and appreciated. Observations The strength of a rewards system depends on the relevance/appropriateness of the metrics (how well you have defined them) and how accurately and transparently they are measured and shared. Weight of the reward is equally important. If it is meager or unattractive employees tend to lose interest; on the other hand if they are unrelated to performance, employees do not believe in the fairness of the evaluation. The more attractive a reward, the more robust the metrics should be to be able to drive the right behaviours and follow more robust and transparent evaluation; otherwise it can have more negative outcomes than positive. All the standards and instructions for their rewards program are lucidly documented with clearly defined objectives and evaluation parameters and published through intranet, dashboard newsletters, etc. Goals set, even if stretch goals, are realistic to motivate people to perform. Creating a Balancing Act - Rewards are neither too few that employees find it difficult to get them, and hence, are not motivated aspire for it, nor too many that they become commonplace and stop to excite people anymore. Deploy risk and reward compensation systems to drive employee development, team sharing, and teamwork excellence. Develop standardized quality tools to measure cross-functional team and manager performance.
  55. 55. LV JAMSHEDPUR WOMEN’S COLLEGE SECTION-7 CONCLUSION
  56. 56. LVI JAMSHEDPUR WOMEN’S COLLEGE CONCLUSION Rewards and recognitions are equally important when trying to promote performance and morale amongst employees. The above methods can be used to motivate employees. Since all the methods may not be applicable to the same organization, the organizations should make sure that they choose the best rewards that suit the organization. The most effective ways to motivate employees to achieve the desired goals of the organization include creating an environment with strong, respectful and supportive relationships between the organization‟s managers/supervisors and employees and a focus on genuine expressions of appreciation for specific employee achievements, service milestones and a day-to-day acknowledgement of performance excellence. In a nutshell, a positive employee re ward and recognition strategy can be summed up by the following: nothing is better than a sincere “thank you for a job well done.”
  57. 57. LVII JAMSHEDPUR WOMEN’S COLLEGE LIMITATIONS  Time was the most important constraint in carrying out this project.  During the research methodology process/time, it was difficult to collect information because of the busy schedule for their work.  Due to heavy workforce, it was really difficult for me to collect information from each and every worker.  There was scope of biased response. Employees could be biased regarding opinions towards certain factors while answering the questionnaire.  The data used for the study relies on what organizations have shared. It is assumed that companies have provided accurate data for the purpose of the study.  Data & inferences are based only on the information collected from the companies that have participated.
  58. 58. LVIII JAMSHEDPUR WOMEN’S COLLEGE SUGGESTIONS For effective implementation of rewards system organisations should:  Determine who will be eligible for each type of reward  Ensure that the new system has the support and ownership at all relevant levels, particularly among people managers who have to spearhead the implementation  Establish the reliability and the validity of the performance data that is gathered to determine who gets rewarded and how much.  All the standards and instructions for their rewards program are lucidly documented with clearly defined objectives and evaluation parameters and published through intranet, dashboard newsletters, etc.  Develop standardized quality tools to measure cross-functional team and manager performance.  Organisations must understand that recognition should not be limited to achievements only. Thus, they have devised mechanisms and provided employees with a platform to praise efforts.  In addition to rewarding the permanent employees, organisations also reward its contractors and vendors.  Organisations must ensure that the rewards are individualized. They understand that these rewards will be valued by the employees most when they cater to their personal needs/styles.  Organisations also involve family members and significant others at the time of recognition to add personal touch and provide the family or partners a sense of belongingness.
  59. 59. LIX JAMSHEDPUR WOMEN’S COLLEGE BIBLIOGRAPHY http://www.luc.edu/hr/pdfs/eregSHRM.pdf http://finmin.nic.in/index.asp http://www.greatplacetowork.in/ http://www.24framesdigital.com/bestcompaniesinrnr/ http://www.greatplacetowork.in/publications/706-indias-best-companies-for-rewards-and- recognition-2013 http://www.inc.com/encyclopedia/employee-reward-and-recognition-systems.html http://www.haygroup.com/downloads/ww/misc/cfr_global_report.pdf K.Aswathappa “OrganisationalBehaviour” pg.no, 291-294. Azhar kazmi “ Strategic management and business policy” pg.no. 375-377.

×