Reward 101: What every company should know about reward
Reward is a key tool available to an organisation used to attract, retain and motivate employees. If the total reward offering is not designed and implemented correctly, it will have a negative effect on an organisation and impact on the motivation of employees. As the diagram shows, total reward includes many components. A good understanding of the components, how they relate to each other and the purpose of each component is critical when developing a solid reward strategy for a company.
Probably the most important component of a total reward strategy is the remuneration. Remuneration is payment or compensation received for work or services performed. This includes the salary, bonuses and other benefits received.