Is the Most Important Asset of an Organization

localize Human choice (employees) is the most signifi erectt addition of an organization. Introduction Traditionally, benevolent preference focused mainly on administrative functions and process personnel focussing. However, due to engineering science approach, administrative tasks harbor reduced. The theatrical role of sympathetic pick has shifted and seems to be taking up to a greater extent responsibility in community strategic mean and outgrowth. This surmisal has been support in the educate of Noe et al (2010, p. 719) Durai (2010, p. 109) stated, Employees ar the precious plus of an organization.In trip up of this statement, human re rise homework plays an pregnant role to optimize the utilization of its asset in term of cost and productivity. amour with companys strategic planning leave alone allow human resource de fragmentizement to have a broader entrance of employees scientific discipline requirement and deployment. In rearive planning exit c ause a chip to employee satisfactory and organization success. In this paper, we exit study how the theory of breakment worry, problem rotation, recognition and training go away activate employees.Correspondence to these theories, organization go out actualise in productivity and profit once the employees be appeased with the working environment. Employee engagement with the organization Employees endowment and efforts have tangible effects on an organizations productivity and stability. And such(prenominal) efforts are often been neglected and rat to satisfy employees inevitably. When employees efforts are not recognized, on that point go out be a need of commitment to the organization. Thus, employees exit not be actuate and impart be less(prenominal) creative. effectiveness of Compensation forethoughtIn govern to palliate the achievement of an organizations goals and severalise values, recompense management plays an important role in human resource manag ement function. Employees should be managed properly and incited by providing the best requital system base on the job done and its result. A good compensation system will attract and protect ingenious and arable employees. (Pattanayak B, p. 284) According to Armstrong (2002, p. 8), the compensation system consists of a total remuneration of direct monetary rewards (fixed wage and variable pay) and employee benefits (annual leave and put leave).And, non-fiscal rewards such is job recognition, opportunities for career advancement and personal growth are in addition part of the compensation system. Diagram 2 shows the list of financial and non-financial rewards that an organization can apply under the compensation system. pic Noe et al. (2010, p. 547) mentioned that employees feeling and function towards the organization is mainly entice by the compensation payout. Difference in single(a) personal characteristic will draw people to different compensation systems.A great so lution to compensate employees in the organization is to adapt combination class rather that one program everyplace another. List of compensation programs are moral excellence pay, incentive pay, profit sharing, ownership, gain sharing, and skill-based pay. merit pay is one of the best honour compensation programs. Employees are mensural and payout p.a. based on the individuals mathematical process judgment rated by employees supervisor. Many companies in capital of Singapore are adapting this compensation program for their durable staffs. Employees will be more touch offd when their performances are recognized and their basic pay is increased.Another example of compensation program is incentive pay. Incentive pay is usually seen in organization with sales team that brings in revenue and profit that will gain market share for the company. Employees with higher performance will gain in such compensation program as they measured based on the amount of products or services s old and the payout is not part on the employees basic pay. requital will be earned on a weekly or periodic basis depending on the organizations policy. once an individual is motivated by such monetary rewards, he will sell more products and services for the rganization. However, if the compensation program is not well planned, it will have a negative effect to the organization to support its business accusatorys. As mentioned in the article by Daly D (2009), skilled-based pay is the remuneration to payout employees with a break off skilled experience that related to the job. Employees who have attained modern skill and cognition will be compensated more comparing to their co-colleagues. Taking an example of a technician in a manufacturing organization, he will be rewarded once he has realized the machine repair and maintenance program.In order for him to continue to be compensated with part(p) basic pay, he has to continue to rear his skillsets. Once the employees market value has increased, he will be motivated to turn over more to the organization and improve productivity. Effectiveness of ruminate Rotation & actualisation aside from monetary rewards, job rotation has a function to motivate employees to enhance their skill knowledge and contribute more to the organization. Job rotation is systematic procedure whereby individual employee is shifted from current position or incision to another in a disposed(p) period of time.Employees will be multi skilled and able to support the organization when skillsets are required. When a job is less exanimate or monotonous, employees will perform pause and improve productivity. Hence, employees will gain a promotion and increase their income. (Noe et al, p. 430) Effectiveness of cite Recognize and reward are simply what the employees in the organization looking forward for a better growth in their career. The right motivation will function the employees behavior and in return employees will achieve the organizations goals and objective and strive for higher productivity.Once the employees are fit and feel rewarded, it is unlikely for them to leave the organization. Employees will dedicated their skill and time for the organization. Therefore, the management should always be enthusiastically recognizing the dexterous and hardworking individuals to create a better working environment for the employees to come to work happily every day. Effectiveness of prepare and Development Engaging employees with training and development are the two fundamental components in an organization.Both training and development do co-exist, as training will provide the skillsets and knowledge for the employees needs in the job. Whereas, development is a process to prepare employees in gaining young skills and knowledge for forthcoming demand in the current job or a job that do not exist. When employees obtained new skills and knowledge, it will improve the quality of the work. system of rules will take the opportunities to attract and retain talented employees to gain profits and productivity. This theory is support by Noe et al. (2010, p. 87) ConclusionEmployees are sedate an integral part of a company, creation important assets. They must be forever motivated and rewarded financial or non-financial on effort done on the job. Thus, human resource management has to balance the needs and achieve the goals and objective of both employees and the organization. Once the employees gained the recognition from the organization, they will produce better results and profits. Reference Armstrong M, 2002 Employees Rewards, London CIPD Publishing. Durai P, 2010 Human election counselling, New Delhi Dorling Kindersley (India) Pvt Ltd.Noe, Hollenbeck, Gerhart, Wright, 2010 Human Resource Management Gaining A Competitive Advantage, 7th pas seul New York, McGraw-Hill. Pattanayak B, 2006 Human Resource Management, third Edition New Delhi, Prentice dormitory room of India Private L imited. Daly D, 2009. Employee Relations, Motivation, Performance Management, DeGarmo Group. Available http//www. degarmogroup. com/index. php/2009/03/the-effectiveness-of-skill-based-pay-systems/ 1 fall 2010 Own Referencing Employee reward Michael Armstrong CIPD Publishing, 2002 573 pages http//books. google. com/books? d=keiVwGxm3i0C&pg=PA363&dq=financial+and+non+financial+rewards&hl=en&ei=lELSTtXwHYLorQeht-XnDA&sa=X&oi=book_result&ct=result&resnum=1&ved=0CDcQ6AEwAAv=snippet&q=total%20remuneration&f= chimerical Durai P, Human Resource Management, Pearson Education India Page109 http//books. google. com. sg/books? id=cRAvCCsN2e0C&pg=PA109&dq=what+the+point+on+human+resource+is+an+asset+to+organisation&hl=en&ei=58zRTti1K9HnrAeGjOnGDA&sa=X&oi=book_result&ct=result&resnum=3&ved=0CEIQ6AEwAgv=onepage&q=what%20the%20point%20on%20human%20resource%20is%20an%20asset%20to%20organisation&f=false pic Ronel Kleynhans, Human Resource Management 2006 Page 6 Pearson southwesterly Africa, 1 Mar, 2006 championship & economic science 310 pages http//books. google. com. sg/books? id=8_acBYy_77oC&pg=PA6&dq=HRM+-+employee+is+an+asset&hl=en&ei=bbHRTsf8LYHTrQf1pakw&sa=X&oi=book_result&ct=result&resnum=4&ved=0CEAQ6AEwAwv=onepage&q=HRM%20-%20employee%20is%20an%20asset&f=false Human Resource Management 3Rd Ed. Biswajeet Pattanayak PHI Learning Pvt. Ltd. , 1 Mar, 2005 504 pages http//books. google. com/books? id=dF7G0yZ51GgC&dq=compensation+management&a mpsource=gbs_navlinks_s picUltimate Small Business Marketing go by James Stephenson, Courtney Thurman Entrepreneur Press, 4 Jan, 2007 Business & Economics 478 pages http//books. google. com/books? id=algx60Sbqo0C&dq=training+program+to+motivate&source=gbs_navlinks_s Industrial/ arrangemental psychological science An Applied Approach Michael G. Aamodt Striking a balance between research, theory, and application, the sixth variate of INDUSTRIAL/ORGANIZATIONAL PSYCHOLOGY AN use APPROACH http//books. google. com/books? id=TgE7zkl RjHgC&dq=training+program+to+motivate&source=gbs_navlinks_s David Daly http//www. egarmogroup. com/index. php/2009/03/the-effectiveness-of-skill-based-pay-systems/ Encyclopaedic Dictionary of Organization Behaviour Rahul Arora 2000 573 pages Full viewSarup & Sons, 1 Jan, 2000 573 pages knowledge & Reward Program Best Practices By Derek Irvine, Globoforce April 15, 2011 http//www. hrmtoday. com/talent/human-resources-management/recognition-reward-program-best-practices/ Make Their Day Employee Recognition That Works Proven Ways to get along Morale, Productivity, and Profits Cindy Ventrice ReadHowYouWant. com, 6 Aug, 2010 Business & Economics 336 pages