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Too Big To Fail: Do Teams Give More Support To Higher Paid Team Members?

26/7/2019

 
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Does employee compensation level influence their future treatment by organizations? A recent study examining players in the NFL sought to understand if players in which organizations had made a greater financial commitment received preferential treatment through more game time. The results indicated that higher compensated players did receive more game time but were no more productive on the field that than their lower compensated colleagues, suggesting that their additional game time was related to bias due to the investment the team had made in them.
 
Key Topics: Compensation bias; Employee performance

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Rewarding Success: Barcelona And Real Madrid’s Approach To Rewarding Performance

26/7/2019

 
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Barcelona and Real Madrid are dominant forces in world soccer as well as domestically in Spain, but what role does reward management play in their success and what can organizations learn from their successful team reward strategies? With organizations increasingly utilizing team work in order to increase company performance and competitive advantage there are some key lessons that they can learn from two of the most successful teams in world sport today.
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Key Topics: Team performance; Pay-for-performance; Pay dispersion, Merit pay; Bonuses

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When Employees Own A Piece Of The Pie, The Pie Gets Bigger

21/7/2019

 
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The prevalence of employee ownership in companies has been on the rise in recent years, with companies increasingly using long term incentives and employee stock ownership plans in the belief that it will increase company performance. A comprehensive study across 14 countries looked to examine the validity of this apparent positive link between employee ownership and company performance. The results did indeed find a significant relationship between these two factors, and this positive relationship held across both publicly and privately held companies.
 
Key Topics: Employee ownership; Long term incentives; Company performance

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Share The Wealth And Employees Will Share More With Each Other

20/7/2019

 
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With equity-based compensation becoming increasingly prevalent below senior management level in companies, a recent study looked at the relationship between equity-based employee incentives and cross-business-unit collaboration in multi-business companies. The results indicate that providing more junior level managers with equity incentives, in addition to profit-based incentive compensation, can elicit higher collaboration. The findings also suggest that equity-based incentives are generally of greater benefit to large companies in high-growth sectors, for companies chasing a related diversification strategy, and in stock market growth periods.

Key Topics: Equity; Long term incentives; Collaboration; Teamwork

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Using Reward To Develop A Successful Learning Culture

19/7/2019

 
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​ In modern business, developing a rapidly changing and knowledgable workforce to meet business pressures is crucial for company success, and central to this employee development is workplace learning. A study of the Spanish wine industry examined the types of rewards linked to employee training in the workplace, and the how these rewards differed by job categories and job functions. The findings indicated that multiple types of reward are used by companies in incentivising training, with financial rewards being less common than non-financial rewards. The study also found that training related rewards did not differ based on job type.
  
Key Topics: Training; Rewards; Learning culture

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Do Employee Rewards Lead to Better Company Products?

19/7/2019

 
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Effectively managing new product development is critical to many businesses. A recent study examined the Spanish manufacturing sector for the combined effects of process based rewards and process controls on new product performance and job satisfaction. Results found that both process-based rewards and process controls can have either positive or negative effects depending on the performance considered. Process-based rewards were found to have a positive effect on adherence to budget, adherence to schedule, and team’s job satisfaction, while having a negative effect on new product quality.

Key Topics: New product development; Process-based rewards; Job satisfaction

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