Rewards and Motivation
U.S. companies face greater pressures today than ever before to improve cost efficiency and in the same breathe taking their products to market faster, cheaper and with stronger innovation, regulatory compliance, responding to ever increasing regulations around the world that often conflict with each other. A company must also be nimble enough to change direction quickly and cost-effectively when market conditions shift. At the same time, they still must provide an environment in which people want to be employed and want to excel. This is where old models for rewards management fall flat and new rewards approaches must be implemented to make a more efficient and productive organization. (Chang) The company that will be referred to throughout this paper is the author's current employer, Walgreens Corporation. In today's business environment, attracting, retaining and motivating the kind of people who can sustain a fast-growing organization requires most companies to think differently about how they pay their employees and this is true for Walgreens. The thought process to reflect this change is concerns the shift from compensation to rewards or the merger of both. When speaking to an HR representative within the department, it was made clear that the company objectives are results-focused and the weight of reward programs have increased to compensate.
Walgreens views base pay as the price pay for membership to the company. Base pay ensures the company that the employee will show up at work, that they may call employee's night or weekends with business questions, that they can send them employees out of town and disrupt their personal life. But incentive pay or rewards is the price you pay to get employees focused ...