Presentation paper Essay Example | Topics and Well Written Essays - 750 words

Presentation paper - Essay Example However, merit pay has been used to develop the standard payment structure that is common and applicable to all the employees (World at Work 60). Merit pay is as described as pay for performance based on the results set on a standard operative module. It is an approach to compensation that rewards well performing employee. It focuses on offering additional pay for the best performing employees. Despite the challenges, the merit pay system has several advantages. First, it enables the employer to differentiate between high and low performers in the company. Unlike the profit sharing or bonus pay schemes, it allows the employer to differentiate between performances of employees. While there are several programs and schemes are developed to reward overall performance of employees, merit pay offers compensation for strong performers. Merit pay allows the employer to recognize individual performance once meaning to continue benefiting from the scheme the employee must be able to continue the performing perfectly (Jiang, Xiao and Qi 67). Despite the numerous advantages of the scheme, it has been found that it does not offer a better support mechanism to the employees and the employer. The failure to address the essential issues that may affect performance both the group and individual makes the scheme non-effective. The scheme lacks accuracy affecting its ability to differentiate the ability of the individual employees. The success of the scheme has been reduced by the increasing dynamism in human behavior and factors that affect performance. The merit pay structure is different and creates a serious challenge in managing workers. The use of the total reward system has taken over the development of compensation structures. The total reward scheme is a program developed, by employers, to attract, motivate, and retain employees. The main focus of the program is to include everything the employee perceives to be value resulting from the employment relationships. The con cept has been advanced tremendously through evaluation and restructuring of the process of rewarding employees. When developing a total reward system, analyzing the need of every employee in the team (Jiang, Xiao and Qi 112). The development of a total reward scheme involves six steps with the first phase of the process in analyzing. The process of analyzing the needs of the employees includes the examining of the current policies. After analysis, the design process will involve the determination of compensation and the compensation strategies that can be employed in the process. During the design process, all the available approaches in total reward schemes. After the design, of the total reward scheme, the development of the plan and operation strategy involves the use of the various methods (World at Work 45). After the creation of the necessary plan and strategy, the plan must be communicated to the employees, so that they understand the reward scheme. Additionally, communicatio n in the company is vital because of the various reasons. Communication facilitates the development process, and the reasons of promotion and wage level setting. The success of the total reward scheme will depend on the various factors including the management design of the process (World at Work 213). The inclusion of all the factors that affect motivation and employee welfare will ensure that the total reward scheme is perfect. In conclusion, the total reward scheme is based on the inclusion of all

How do UK companies' Mechanisms Affect and Help their Corporate Dissertation

How do UK companies' Mechanisms Affect and Help their Corporate Governance - Dissertation Example Throughout the entire period in fulfilling the objectives of this dissertation, I was greatly blessed with his extensive guidance and supervision over my work. I cannot complete this part without saying ‘thank you, sir’. Subsequent to that, my colleagues and friends who also played their part have extended their hand for my project; the successful culmination of this dissertation has also observed the role of my friends. For such contribution, I am also indebted to them. Abstract The purpose of this paper was to understand and highlight corporate governance mechanisms pursued by the different organizations. For this purpose, the annual reports were used to extract the relevant information. Subsequently, the empirical analysis was carried out the understand interplay between the financial performance and the corporate governance mechanisms. The results indicate that the strongly established corporate governance mechanisms considerably improve the financial performance. Th e results indicate that the companies having strong corporate governance mechanisms were experiencing strong financial performance. However, more focus should be given to cooperation and coordination between executive and non-executive directors. Table of Content Introduction 5 Literature Review 8 Methodology 11 UNILEVER PLC 13 TATE & LYLE PLC 18 TESCO PLC 21 THORNTONS PLC 24 SAINSBURY PLC 27 SABMILLER PLC 32 MORRISON PLC 35 MARKS & SPENCER PLC 38 DIAGEO PLC 41 DIARY CREST GROUP PLC 44 CRANSWICK PLC 47 BRITVIC PLC 51 BOOKER GROUP PLC 55 ASSOCIATED BRITISH FOODS PLC 61 A.G. BARR PLC 65 Conclusion and Recommendation 70 Bibliography 77 Appendices Introduction Board governance mechanism haves experienced the focus of a range of reports in the United Kingdom, especially the Cadbury Report (1992)1 and the Hampel Report (1998)2. However, from these reports along with the support of Green bury Report (1996)3 came the Combined Code of best practice.4 In the United Kingdom, companies are expe cted to understand and implement board structures in accordance with the principles and provisions of the Combined Code. As a prerequisite of listing on the London Stock Exchange, firms are required to include a corporate governance statement in their annual reports. The purpose of this inclusion is to mention the ways in which companies apply the principles and provisions of the Combined Code. Subsequently, this elaborates the concept of the ‘comply or explain’ rule for the companies registered in the United Kingdom. In this regard, it has been provided that the Combined Code mentions three significant corporate governance mechanisms: duality and setting up of board sub-committees and the number of Non-Executive Directors. A considerable amount of literature is available to highlight that boards should include and ensure a balance of Non-Executive and Executive Directors. In this regard, Raheja contended that Executive Directors provide benefit to companies because of the extent of their company-related information.5 In addition to that, various studies provide that Non-Executive Directors have a constructive and positive effect and studies find that boards dominated by the Non-Executive Directors have more tendencies to act in the best interests of the shareholders.6 The UK Combined Code of best practice have recommended that Non-Executive Directors should make up at least one-third of the Board and consequently there have been