Human Resource Management Research Paper Example | Topics and Well Written Essays - 1000 words

Human Resource Management - Research Paper ExampleIntroduction onward going into the discussion regarding pay and benefits, which is one of the most specialized parts of the man resource management, let us get a better apprehension of the importance of a well-structured compensation plan in maintaining a productive workforce. A compensation plan is a set of those rewards, remuneration, and benefits, which are provided to the employees by the HR department of the company in order to increase employee productivity. Compensation plans not only help the companies retain skilled employees but also assist HR staff in recruitment processes. Obringer (n.d.) asserts, To make your company competitive and attractive to job candidates, you have to offer an exceptional total benefits package. The thesis description for this paper is, Why is it important for a company to offer a well-structured compensation plan to its employees? Importance of Compensation Plans Compensation and benefits play an important situation in making a company achieve increased employee productivity. A well-structured compensation plan is one of the key motivating forces behind increased productivity. If human resource department of a company offers a competitive compensation plan to the employees as a reward for their individual performances, the employees become motivated and they practice their efforts to do more for their company. Employee efficiency and organizational productivity depend directly on the types of compensation that are offered to the employees by the company. It is a common fact that the employees alike to work for such companies, which give value to the employees needs and demands by offering them attractive compensation plans. Keimig (2008) asserts, Generous benefit packages (especially those with an emphasis on health insurance and retirement savings) tend to attract employees who are looking for long-term, stable positions. A well-structured compensation plan needs va rious factors to be considered during development, which entangle type of the compensation plan, conditions for plan implementation, payment calculation method, culture of the organization, and practicalities of the compensation plan. Some of the main reasons behind the need to design and implement a well-structured compensation plan include increasing employees moral, ensuring internal and external equity, reducing the turnover, encouraging employees performance and productivity, increasing employees loyalty, hiring and retaining skilled staff, and making the employees satisfied with their jobs. Dalton (n.d.) states, The employees family can also receive benefits, should the employee die as a result of the injuries or illness sustained at the company. Another reason for implementing an appropriate compensation plan is to succeed in nows competitive markets. It is the 21st century and the level of competition between the companies has reached its heights. Implementation of compens ation plans play a valuable role in making the companies excels in the markets. Therefore, it is extremely important for the companies to hire and retain skilled employees in order to get competitive edge over the competitors. Why Is It Necessary To bring in A Compensation Plan? It is very necessary for a company to implement a compensation plan because it increases productivity of the workforce. We can hardly assure any employee who is not interested in getting higher pays and