5. Recommendations and Rationale on Motivational and Reward Systems
Two features are observed relative to the motivation and reward system at Alliance and Leicester. First of all, the motivational strategies do not include training programs within the incentives offered to the employees, but treat it as a different category. This approach should be addressed in the meaning that training ought to be presented as an incentive, as an opportunity to gain professional knowledge and set the path for future professional formation. In contrast with being offered training as an exclusive means of promoting organizational goals, this new approach would offer the employee a sense of belonging to the organization, being cherished, while also increasing his sense of stability for his future.
The second recommendation refers to increasing the levels of transparency relative to the reward system. Premiums and bonuses are generally scarce at Alliance & Leicester and even when they are awarded, the criteria used in setting them in undisclosed. This often generates employee frustration, lack of motivation, low morale and, as such, low performances. Additionally, it could easily materialize in high levels of employee turnover rates, which would in turn metamorphose into increased costs with replacing and retaining the employees.
6. Budget and Evaluation Methods
The greatest part about the previously made recommendations is that they stand increased chances of success, while requiring minimal financial investments. In both cases, change comes not as an investment, but as a new approach, a new mentality and a new way of treating the human resource. Specialized assistance could be brought in with the aim of sustaining the company make its transition to higher levels of transparency and a new approach to organizational behavior.
In terms of the methods used to evaluate the efficiency of the proposed measures, it would be advisable to issue questionnaires to inquire about the levels of employee on-the-job satisfaction, their future prospects, the sense of future stability or the levels of appreciation they feel on the part of the employer. Additionally, it would also be useful to assess the HR figures relative to absenteeism and employee...
Lower levels on these indicators reveal the success of the enhanced rewarding and motivation strategies.
Appendix -- Background Information on Alliance & Leicester
Alliance and Leicester has been a constant presence within the English financial sector starting with middle nineteenth century. The organization has undergone a series of changes, but has managed to maintain its position as an undisputable leader of the national market. The financial services organization can trace its roots back to 1852, with the foundation of the Leicester Permanent Benefit Society. The following century, namely in 1985, the company merged with the Alliance Building Society to form a new entity called Alliance & Leicester. The headquarters of the financial organization were set in Narborough, Leicestershire. Five years into this merger, the new organization acquired Girobank, a subsidiary of the United Kingdom Post Office. In more recent times, Alliance & Leicester was itself purchased by the Spanish financial group Santander. The endeavor led to the delisting of the UK organization from the London Stock Exchange. This year, on the 27th of May, Alliance & Leicester announced it would change its name to Santander -- this would be completed starting with 2010 (Official Website of the Alliance & Leicester Group, 2009).
Today, Alliance & Leicester offers its customers a wide array of financial products and services, including loans, mortgages, savings, investments and insurance and employs little fewer than 10,000 individuals. Despite the company's strong commitment to satisfying its vast palette of stakeholders, 2008 has proven a difficult year, due to two elements -- the internationalized economic crisis and the acquisition by the Santander Group. As a result, the financial outcomes of the UK-based company suffered drastic reductions. For instance, the total operating income decreased from £1,426 million in 2007 to £824 million in 2008. Fiscal year 2008 ended with a net loss of £918 million, as opposed to profits of £296 million in 2007 (Alliance & Leicester 2008 Annual Report).
Kanawaty, G., 1992, Introduction to Work Study, 4th Edition, International Labor Organization, ISBN 9221071081
2004, Alliance & Leicester Selects QA for Management Training Service, Training Press Release, http://www.trainingpressreleases.com/newsstory.asp?NewsID=945 last accessed on September 7, 2009
2009, Alliance & Leicester Salaries in United Kingdom, Glass Door, http://www.glassdoor.com/Salary/Alliance-and-Leicester-Salaries-E7754.htm last accessed on September 8, 2009
2009, Leicester Recruitment / HR Jobs, Gumtree, http://leicester.gumtree.com/leicester/54/44436054.html last accessed on September 7, 2009
2009, Official Website of the Alliance & Leicester Group, http://www.alliance-leicester-group.co.uk last accessed on September 7, 2009
Alliance & Leicester 2008 Annual Report, Retrieved from http://www.alliance-leicester-group.co.uk/html/investor/annual_report.asp# on September 7, 2009
Alliance and Leicester Jobs -- Alliance and Leicester Recruitment, Your…
Training Needs Analysis Practices for Managers: A Study of Saudi Arabia Private Firms Training needs analysis (TNA) is defined by Mabey and Salman (1995:158) as a "process of collecting data which allows an organization to identify and compare its actual level with its desired level of performance." The authors also indicate that this performance could be interpreted as meaning the competencies and attitude necessary for the staff to do the
Recruiting Methods on Cultural Diversity The Effects of Recruiting Methods on Cultural Diversity Maintaining cultural diversity in an organization can lead to innovation and an increased competitive advantage in the marketplace. In the past, the term cultural diversity referred to differences in race or religion. Now, the term cultural diversity means much more than that. As the uniqueness of each individual is recognized, the term cultural diversity has grown to encompass many
Long-term vs. Short-term Orientation: Long-term Orientation, because all decisions being made within an organization impact the future, and in order for the company to have a successful outcome it should be oriented towards the future, instead of the past. The seven Sullivan Principles promote equal and fair treatment to all individuals, regardless of race. They were issued in 1977 in South Africa and were aimed to help the aboriginal population that
Human resource management is one of the essential components to the competitiveness of global firms. Corporations that perform exceptionally regarding human resource management tend to integrate strong discipline in their people with attention to strong social capital (developing networks and relationships within the organization). The multiplier impacts of this combination generate inimitable conditions for people management, which in turn drives employee engagement in the global context. The following study focuses
Star Hotels that needs to be addressed and data I used to make this diagnosis There seem to be several problems evident with the Star Hotel. These include decreased customer loyalty; greater shareholder expectation, low levels of job satisfaction and commitment; high turnover and difficulty recruiting talent; and lack of an integrated "people strategy." Reducing to any one single explanatory factor, we may say that perhaps the main problem lies
Government Examine an issue of current relevance to Public Policymaking. As you consider topics, remember that this policy paper should contain a comprehensive assessment of the intended policy and its potential consequences. When you write your paper, you should think of yourself as a staff person who must advise a policy maker facing a problem that must be resolved in the near future. As the staff person, adopt one of the