Business: Rewards Program

Rewards Program

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Rewards Program

The corporate world is one which has changed over the last few years. There has been an increased level of competition on all sides of the business world and only the smart enterprises are staying afloat and therefore surviving. In order to survive, there are a number of mechanisms that these enterprises have put in place and one of them is through making sure that their staff and employees are motivated to work even harder.

When employees are motivated to do their work, they put in a lot of effort. This is translated to better performances and with better performances, the enterprises are able to benefit, and there is an overall improvement in terms of performance. This therefore forms the topic and subject that this paper will aim to address and that is, how exactly are the employees or the staff of a given business or organization, motivated, and how is this entire act made a success? This paper will therefore aim to shed more light on the rewards program of an organization.

The organization to be used in this case is the Adidas Organization, which is a popular and household name. In this paper, it will be made clear on the model, Adidas as a company uses when rewarding its employees. While at it, it will also aim to make sure that it goes all the way to help in designing a total rewards program that incorporates monetary, nonmonetary, and environmental elements in order to ensure organizational success

Assignment Three

In this part of the paper, and with the help of the Adidas Organization, a rewards program will be designed. This design of the rewards program will encompass both the monetary, nonmonetary, and environmental elements that could be relevant in order to make sure that the organization in question ends up succeeding in its trade. By the end, of this section of the paper, it will be easier to understand the entire idea and concept and how it works in motivating the employees to work harder and consequently making the whole organization succeed.

Organization Profile

As mentioned in the introduction part of this paper, Adidas as an organization has been in existence for decades now. In the process, it has managed to garner a lot of popularity and influence, and while at it, it has attained very high levels of success in its line of trade and one which has been used as a benchmark in recent years.

This organization has however not had a smooth journey. This is justified by the fact that it has had to fight off steep competition and come up with mechanisms that can help it get the edge on its closest competitors. One of these mechanisms has been to reward its employees based on several criteria and all of which will be discussed in the later stages of this same paper.

Before jumping into how this works as a whole idea, it is important to mention a few elements about the organization in question, which is Adidas. The following are the basic biodata about this organization;

Organization Goals

• To be the leader in the sporting goods industry
• To inspire talents all over the world
• To be the top innovator in the industry
• To lead in relevant research
• To be among the top global companies generally.

Organization Objectives

• To lead in relevant research
• To be among the top global companies generally.
• To be the leader in the sporting goods industry
• To inspire talents all over the world
• To be the top innovator in the industry

Organization Challenges

Just like any organization in the world, Adidas organization, despite the fact that it has been in existence for decades now, and nonetheless, is a very influential figure in its industry, still faces challenges. This is therefore important to highlight, as it is a true reflection of the fact that there is no perfection in the corporate world. Contributing to this part is the fact that the corporate world has been witnessing a lot of competition and the dynamics are ever-changing due to a number of factors.

The following are therefore some of the challenges that are faced by the Adidas Organization as a whole;

• Stiff competition from related companies
• Excessive regulations in some countries on their products
• Problems in their distribution channels
• Increased individualization of demand
• Beurocratic Challenges in some quarters
• Challenges in the marketing departments

Organization Values

For an organization with the stature Adidas has, it is only obvious to underline the fact that it is built on strong values and beliefs. Being a multinational organization, Adidas has built its profile, success, and even its customer rapport on values such as integrity and transparency in how it goes about its work. To be in operation for all those years, it is also important to mention the fact that there as high levels of patience in the organization and hence another key value that is engraved in the DNA of this organization.

The Total Reward Model

Just as was clearly mentioned in the introduction, the corporate world has changed over the last few years. There has been an increased level of competition on all sides of the business world and only smart enterprises are staying afloat and therefore surviving. To survive, there are several mechanisms that these enterprises have put in place and one of them is through making sure that their staff and employees are motivated to work even harder.

Adidas has a model in place that helps it in making sure that it rewards its employees on the best criteria available and it will be discussed in the next part of this paper. While at it, the elements and the roles they play will also be elaborated upon and through this, the enormous amount of success Adidas has amassed in recent years will be justified from a different front, and that is through rewarding and motivating.    

Rewards from a Monetary Perspective

One of the best forms of rewards that any individual would want in the contemporary world is in terms of money. This is because of just how extensive money is, in terms of its usage both actively and passively. Adidas as an organization has taken note of this and is hence one of the reasons why it offers monetary rewards to its employees.

How It Works

Adidas has a model in place that works in a rather unique manner. Whenever an employee is due for any form of reward, it is calculated as per the rewards policy. A good example is in the case of commissions. In Adidas’ sales department, every employee knows exactly what percentage of commission they are entitled to if they make a particular degree of sales and hence, they can work knowing exactly what they are after.

            This therefore means that in all the monetary rewards that Adidas an organization dispenses to its employees, there is a clear structure on how it works rather than having a randomized way of rewarding employees. This therefore goes a very long way to making sure that there are no forms of malice and complaints from employees on favoritism in rewards and compensations (Dewett, 2014).

While at it, it is also very important to mention the fact that the monetary rewards given by Adidas organization to its dear employees are recorded and once in a while made public to each employee. What this does is it simply motivates them to work harder to achieve even better results and at the end of the day, this helps the organization in performing better and staying alive and around for the competition (Bruce, 2012).

Another interesting bit about the Adidas monetary reward is that it is the most dominant form of reward that the organization entitles its staff to and it is because of how effective it is, as a method of motivating and pushing the staff to work even harder. In the next part of this paper, the benefits are brought to the table by using the monetary forms of rewarding these employees.

Benefits of this Reward to the Adidas Organization

• Increased performance in the organization
• Increased motivation leads to good workmanship
• It makes the organization grow even further

Rewards from a Non-monetary Perspective

In as much as most rewards entitled to employees in Adidas are in monetary form, some rewards are given to these employees that are not in monetary form but in other forms. In these rewards, the employees receive incentives that motivate them to work even harder (Cornel, 2017). This could be in the form of paid seminars, types, and many more related rewards, and just like the monetary rewards, it has its benefits too.

Segmentation of the Workforce

Workforce segmentation is a crucial step in ensuring that the workers are put in positions in which they can perform better for the benefit of an organization. Also, segmenting the workers in an organization acts as a step in ensuring that the workers can give their best in the job. For these reasons, the Adidas company segments its workers to ensure a smooth running of the market share (Rye, 2017).

 In so doing the company is grouping its workers into different groups based on such factors as, skills, technical knowledge, level of expertise, and personal capabilities. It is an aspect that helps in ensuring that all the works of this company are well run and production is in line with the customer desires.

            On the other hand, the company ensures that it reaches different levels which its competitors cannot achieve to ensure competence. It is through this that the company guarantees it is different from the rest through the production of a wide range of products and services. These include reaching more clients all over the world.

Achieving this is done through the introduction of extra services such as the miCauch which is a self-training procedure helping one develop some running skills. The company also is making sure that it is vertically integrated through the ownership of all of its sales lines. For an organization as big as Adidas organization, the workforce is expected to be very huge, and managing it could become very complicated. It is for this kind of operation reasons that the workforce at Adidas is segmented and divided into relevant portions. In order to make sure that the segmentation is working and hence worth the effort, it has to be done based on several factors and they are as follows;

Segmentation based on Drivers- Different employees have different forms of drive. It is therefore important to make sure that employees with the same drive and motivational factors are segmented together, and this is one area that Adidas as an organization has always considered when segmenting its workforce.

Segmentation based on growth potential- Just like in the case of the drive, employees have different growth potential and it is very important to make sure that those employees that have a related growth pattern and therefore potential, are segmented together. This is therefore another segmentation of the workforce that Adidas makes good use of as an organization and hence its success over the years.

Segmentation based on income-Just like many organizations, Adidas has managed to have a segmentation of its workforce and this is based on how the income is flowing throughout the organization.

 The segmentation is based on the following types of income sub-divisions; low obligation and easy income, or high obligation and high income. Through this segmentation, the organization can have a better understanding of its workforce and hence better performance in terms of how it is going to reward them and what it would mean to them when the rewards arrive.

Requisite Capabilities of the Organization and the Competencies

One of the reasons why Adidas as an organization has managed to gain so much success and influence over the recent years is because it has very high levels of competence among its management chain and even its stakeholders.

Adidas is therefore an organization that has a lot of capabilities to expand and become a bigger company than it already is as at now. The organization has also managed to away from toxic controversies, and this is also another reason that has amounted to it being very competent and successful in its line of trade.

Recommendations

            Adidas as an organization as mentioned earlier in this paper, Adidas as an organization has been in existence for decades now. In the process, it has managed to garner a lot of popularity and influence, and while at it, it has attained very high levels of success in its line of trade and one which has been used as a benchmark in recent years.  It is also important to underline the fact that this organization, has however not had a smooth journey. This is justified by the fact that it has had to fight off steep competition and come up with mechanisms that can help it get the edge on its closest competitors. One of these mechanisms has been to reward its employees based on several criteria.

To become even better at what it does and based on its rewarding model, it is important that the organization makes a few changes that are relevant for the organization and it is these same recommendations that will make it even more successful. The following are the recommendations on what the organization needs to be doing in terms of rewarding its employees to get the best out of them;

Increase the monetary rewards that these employees are entitled to so doing, they will have a reason to put in the extra energy and effort at work. With this, their performance will increase, and in the long run, the organization stands to benefit a lot from this as its overall performance will also increase by a great deal.

Increasing their non-monetary benefits and rewards- Just like in the case of monetary rewards, they will have a reason to put in the extra energy and effort at work. With this, their performance will increase, and in the long run, the organization stands to benefit a lot from this as its overall performance will also increase by a great deal and hence a mutual benefit for both parties. By following up on the above-mentioned recommendations, the organization stands a very good chance of increasing both its sales and influence as its performance will have been boosted by better individual performance from the staff.

Assignment Four

As per the recommendations in the former parts of this paper, some work needs to be done in order to make sure that the rewards program works best for all the parties and therefore makes a huge difference than it is already doing at the moment. This part of the paper will aim to design and formulate the best plan for implementing a total rewards program to ensure the success of the program.

The following is therefore the action plan that will prove to be very instrumental in making sure that the recommendations mentioned above are realized. This also means that this is the part of the paper where a blueprint of the alternative plan is drafted and hence the reflection of how the recommendations are to be realized.

Specific and Quantifiable Steps

 For the above recommendations to be realized, it is important and a requirement to make sure that there is a clearly mapped out plan to help in the same. This plan will be designed in quantifiable steps. In these steps, the methodology within which everything is bound to happen will be discussed (Risher, 2018).

It is also important to mention the fact that with these steps clearly demarcated and laid out for all the relevant parties to see, the entire recommendation will stand a great chance of succeeding and this is because there is a common way within which everything is supposed to happen. By also making sure that these steps are quantifiable, the recommendations will easily be measured and their quantities in terms of the impacts that bring will also be narrowed down at the end of the day. This is the cornerstone of making sure that the recommendations on making sure the rewards program for Adidas to its employees is a working plan and one that could end up being a game-changer.

Order within which the Steps are to be Taken

Just as mentioned in the previous section, there needs to be a clear mapping on what is to be done in order for the recommendation to become a reality and hence be into action to create the much-needed differences. This will mean that there is a clear procedure with which steps will be conducted and they are as follows;

Conception of the recommendation-This is the first bit of the entire process and here, the idea or recommendation is conceived and given a structure and a face.

Presentation of the recommendations-The following step is about making sure that the recommendation meets those who it is intended for. In this case, it is presented to the relevant department within the Adidas organization. In this stage, the recommendation is explained to the relevant department while at the same time making them understand the amount of difference it is bound to bring if it were taken into account or as a matter of fact if it gets to be implemented by the organization (Hiam, 2016).

Evaluation of the idea step that follows is where the organization, through its relevant departments evaluates the solidity of the idea. It is during this stage that Adidas as an organization in its entirety decides on the viability of the idea and hence analysis on what it stands to bring to the table in terms of benefits.

Decision-making This is the most important stage of all of them, and this is because it is here that the idea is either born or dies on the spot. Adidas as an organization will have to decide on whether to adopt the idea or abort it, and the decision here has a lot of say on the existence of the next stage or not.

Implementation-In the event that the idea or recommendation is adopted, the step that follows is the implementation stage. Here, the idea is implemented and hence becomes a reality, and it can go all the way to fulfilling its purposes which in this case is to improve on the rewarding process and design that is used by Adidas as an organization while trying to make as much profit as possible under the given circumstances (Williams, 2018).

Individuals responsible for each Step

For the above steps to be successful, it is important to make sure that there is an individual in place to not only monitor what is going on but also to be the one who runs everything and hence the controlling authority for that matter;

Individuals Responsible for Overall Segments

In as much as there are key individuals who are responsible for each step of the way, there are those whose presence is paramount, and they are therefore responsible for overall segments of the entire process. They include the management body as they are charged with making sure that each and every bit of development in the Adidas organization as a whole, is in their knowledge.

Funding for the Above Recommendations and Relevant Resources

The next auxiliary stage that follows all these is the mobilization of funds to come into play. It is always important to know the ways and methods within which the organization will source its funds. For an organization like Adidas, this should not be a problem, and the following are some of the ways that the company can help itself assemble the best capital in the form of money to fulfill the above recommendations.

The organization will mainly source its funds from its profits. This is because this is an organization that posts a lot of profits every financial year and it would only be obvious to state that this would be the main source of funds for a project of this nature. There are however many other sources of funds that this organization can make use and this is through endorsements, through donors among many others.

Conclusion

In summary, it is important to acknowledge the fact that the corporate world has changed over the last few years. There has been an increased level of competition on all sides of the business world and only smart enterprises are staying afloat and therefore surviving. In the process, rewarding employees becomes a very key act in making sure that there is success at the end of the toil.

It is also important to underline the fact that in order to become even better at what it does and based on its rewarding model, it is important that the organization makes a few changes that are relevant for the organization and it is these same recommendations that will make it even more successful. All these have been discussed in this paper, and they have been made even easier to understand.

References

Bruce, A., & Pepitone, J. S. (2012). Motivating employees. Maidenhead: McGraw-Hill Professional.

Conference Board of Canada. (2016). Making It Meaningful: Recognizing and Rewarding Employees in Canadian Organizations. Ottawa: The Conference Board of Canada.

Cornel, F. (2017) Motivation through Challenges in the modern business world while staying relevant to Competition

Dewett, T., & Lynda.com (Firm). (2014). Rewarding Employees.

Hiam, A. (2016). Streetwise motivating & rewarding employees: New and better ways to inspire your people. Holbrook, Mass: Adams Media Corp.

Lauby, S. J. (2005). Rewarding employees. Alexandria, Va: ASTD Press.

Liff, S. (2015). Improving the performance of government employees: A manager's guide. New York: American Management Association.

Risher, H. W., American Management Association., & American Compensation Association. (2018 Aligning pay and results: Compensation strategies that work from the boardroom to the shop floor. New York: American Management.

Rye, D. E. (2017). Attracting & rewarding outstanding employees. Irvine, CA: Entrepreneur Press.

Williams, L. R. (2018). Keep 'Em Motivated: A Practical Guide to Motivating Employees. Singapore: Marshall Cavendish International (Asia) Ptd Ltd.