For a business that struggles with collaboration morale, it can help incentivize group work. For a company that strives to combat an individualistic workforce, it can aid in cooperation. Employing a team-based compensation strategy in a company will encourage employees to engage with each other, collaborate and strive towards a common goal together, which creates major business benefits. Also, team-based compensation can help a firm stay competitive within its market. Companies that outline their people as their competitive advantage need a strong compensation system to attract and retain their workforce, and employing a team-based compensation strategy will aid in this.
Scholars and practitioners have increasingly acknowledged the gap of trust between leaders and followers, which undermine employees’ commitment, impair wealth creation, and create increased transaction costs in organizations throughout the world (Caldwell et al., 2010). This indicates that leadership of a company needs to ensure that they develop an organizational culture that uses ethical stewardship to develop a sense of corporate trustworthiness among its various stakeholders so that it can enhance its sustainability in a highly competitive market. Leadership Behavior According to Gini (1998), ethical leaders are leaders who use their social power in their decisions, their own actions, and their influence on others in such a way that they act in the best interest of followers and not enact harm upon them by respecting the rights of all parties. Rather than focusing on the intent or motivation of ethical
Managers and team leaders have a responsibility to be able to recognize the individual characteristics of their employees so that they are able to get the most out of their employees. Managers also need to recognize that differences among people can lead to miscommunication, misunderstanding, and conflict (Robbins & Judge, 2011). An effective manager is a manager that can recognize the individual characteristics of his or her employees and manage a diverse workforce effectively. Many companies have developed diversity programs where their main goal is to increase their competitive advantage and that is by having a diverse employee staff to increase their access to the widest range of ides, skills, and abilities. 1.2 Analyze the impact of individual employee characteristics on organizational performance.
Bobby Jones believes that by making the managers part owners of the company, they will be motivated to provided better service. Incentive problems exist because of conflicts of interest between employers and employees (Brickley, Smith, & Zimmerman, 2009). Incentive problems occur because the costs of exerting effort are borne by employees, whereas the gains go to the employer. To resolve discontent between employees and employers, employers can sell each employee the rights to his or her total output. When employees own their output, both the benefits and costs of exerting effort are internalized by employees and will result in better productive choices by the employees.
With that being said it becomes important to set values that everyone will work by. This will help when new employees are added to the team and will also help ensure that the behaviors within the organization are acceptable and beneficial to the overall outcome of the business. The culture should be determined right from the start so the right employees are hired. It becomes important to make sure there is a way of identifying the people that truly allow the company to be successful and not just hire the superstar, not everyone will fit in to all of the different type of organizational cultures. Determining which type of culture to work in will help tremendously when trying to find an ideal business to work for.
Do companies feel ethically responsible to treat all their employees with integrity or are they more concerned with preventing government legislation in the area. I will therefore discuss each approach along with their advantages and disadvantages and address the issue of whether organizations have a genuine interest in providing the minority with rectitude. ‘‘For successful businesses, diversity is much more than a buzzword or the ‘right thing to do. In thriving companies throughout the world, diversity is an essential tool that creates a competitive edge in today’s marketplace.’’(2) The business case rests
Running Head: CASE STUDY The Coors Case: Balanced Scorecard Objective of Implementing Balanced Scorecard The main objective of implementing the balanced scorecard (BSC) in the Coors is to implement an effective performance measurement process as traditional process is not quite effective to measure the performance of the corporate and business units. The main objective to implement BSC in the organization is to increase the focus on continuous improvement. The other objective of the business is to reward the employees on their performance and also for their risk taking ability and learning to improve performance. The BSC will also be effective to state the employees about the opportunity and reward for their working clearly. The gap between the vision statement and sic planks of the Coors also supports the implementation of BSC within the organization as it would be effective to bridge the gap and to increase the business profitability.
Each having its function and characteristic activities. Both traits are necessary for success in an increasingly complex and volatile business environment." It shows that for corporations, companies and firms to succeed must transformational leadership and management to be implemented hand in hand. Thus, understanding the difference between management and leadership may help companies groom their people to be able to provide both while at the same time shun away the myth that one cannot "manage and lead" (Hawkins). Transformational Leadership and Management Transformational leadership involves the following factors that would complement managers to use in the workplace (Lang) * Idealized Influence; managers need to be exemplary role models.
Therefore, any organization should be taken care if hiring the consultants. Introducing the Balanced Scorecard for compensation only. Obviously, linking strategy to compensation is a powerful lever to gain the attention and commitment of individuals to strategy. Some companies, however, forget that they must translate the strategy into terms each of their employees can understand and use in their everyday activities a key component of implementation
Employees are the workforce of a company and they expect the organisation to provide them with security, safe working conditions, rewarding work, and fairness. If the employees are happy with their job they will work harder in the organisation. Also suppliers are part of the environment of an organisation and they expect to be paid in full by the agreed date. When the organisation doesn’t pay the suppliers by the agreed date, the suppliers will probably prefer to work with other organisations in the future. Managers should pay attention also to the communities where the customers and workers live; this is important for the reputation of the company.