As a result of the powerful force of technology, which is driving the world towards a converging commonality, we have seen various changes in the world’s economic expansion. One of the changes that brings the most challenge not only to the international firm but also the domestic one is the emergence of a global market. In order to be successful in the long term, managing people is one of the most crucial tools for a global business in today’s competitive world. Specifically, for an international organization, human resource becomes a more and more important factor to reach its goal. The word” Human Resource Management (HRM)” has been used widely and increasingly in recent decades as a vital approach to create a successful organization, however the more worldwide the firm, the greater the complexity of the international HR requirement. In order to maximize the benefit from the performance of the employees, the employer must develop strategies to manage and improve their human resources so that they can perform their best. To create an effective strategy, the employer needs to understand that there are many factors that affect the employee’s behavior within the organization. One of the key factors that has an impact on the performance of an individual in the organization is their rewards. Thus, this report will focus on the rewards of the individual within a contemporary organization. This report will enable the employer to answer why it is their responsibility to reward the employees and explain how to improve and maximize the efficiency of their staff’s performance.
1.1 BACKGROUND OF STUDY
Many organization are suffering from lack of good remuneration which is one of the policies an organization can adopt to increase their workers performance and thereby increase the organizations productivity. This could create problems in terms of affecting the growth of the organization. With the present global economic trend, most employers of labour have realized the fact that for their organizations to compete favourably, the performance of their employees goes a long way in determining the success of the organization. The performance of employees in any organization is vital not only for the growth of the organization but also for the growth of individual employee.
1.2 STATEMENT OF PROBLEM
Attempts had been made to solve the problem facing the organizations in terms of how an employer can reward his employees to motivate them within the context of the roles they perform.