By Andrew Walker, Reward Expert at Croner
This article covers recruitment, objectives, best practice advice as well as reward. One term to use is The Reward Circle — the role that reward plays in attracting, motivating and retaining the right staff.
First, recruit the right person with the right mix of skills for the position. That means analysing the skills, qualifications and experience required, then recruiting against that model. Bear in mind the way the job might change over time. Most managers would admit to recruiting someone just because they like them, or someone in their own image, but that’s a mistake. If you were a goalkeeper recruiting a football team, you would not want a team of goalkeepers. It’s the same in business; you need a mix of skills and strengths in your team, everyone competent to fulfil their own role. There are plenty of tools and techniques to ensure businesses recruit people with exactly the right mix of skills they need now, and then motivate and keep them. If you happen to like the person who most closely fits the bill, that’s a bonus.
Once you have the right person invest in them — and not just financially. Failure to invest in training and development leads to demotivation and means staff are not prepared for the way the job and the business might change in the future.
Next be clear about the objectives of the role and agree them with the member of staff. Many companies recruit the right people and train them, but then expect them to do the wrong things.
For example, let’s imagine you are the MD of a property company with a strong service ethic. You may agree an objective with your maintenance manager to respond to any requests from residents to carry out repairs within 24 hours. That may mean that your maintenance team are chasing around in a fleet of vehicles fixing one thing after another in a fairly unstructured way. From the manager’s point of view, the team are doing exactly what has been asked.
At the same time in your role as MD, you have been tasked by the board to deliver improved margins. Well, one of the ways you might do that is to manage the costs of maintenance better. That doesn’t mean you have to reduce the service; it’s just a question of having a proper set of measures and priorities with the maintenance manager. So maybe the objective could be built around some differentiation between urgency or seriousness of the request and perhaps some element of cost control should also form part of the manager’s objectives.
Here we have a great (if somewhat contrived) example of how clearer and better defined objectives, correctly aligned to the ‘bigger picture’ within an organisation can be so powerful.
Businesses must also set the new person standards and examples. Staff must be shown how the company does things and given good examples of how it’s done — examples from within the company, from the internet, books or even other companies.
The final step is to reward the new employee’s contribution. If employees fulfil their goals but the company fails to reward them, you cannot expect their loyalty. Commitment is a two way street and if you say you are going to reward an employee in a certain way for meeting a target or objective, and they work hard to meet that objective, you have to deliver on your commitment.
This might all sound like common sense, but it’s harder to put into practice than it looks. Tools and techniques can help. When it comes to recruiting the right person, you may know what skills are required but not what reward package will attract or motivate them. Croner conduct hundreds of pieces of benchmarking research every year and we can tell you what companies in your market are typically offering for the kind of talent you want. They can act as a sounding board and give advice about the total packages you are considering as their benchmark data covers not only base pay, but variable pay and benefits. They can also help you build a performance management and reward package that is aligned with the company’s goals, to get the best out of your talent and insure that talent is fairly rewarded. The ultimate aim is to help you build a package that ensures your company is the employer of choice.
For further advice please contact Croner Reward on 01785 813566.
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