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Organizations are increasingly facing challenges due to the overall economic slowdown. The prevailing attitude in the face of such challenges is to cut costs without giving due consideration to the impact this will have on the human capital and ultimately on business performance. This is why it is very important for organizations to understand that reward and achievement of business objectives are closely linked, and this is why decision-makers must know how to manage reward spend in a way that reduces overall expense while continuing to drive organizational performance.

WHY IS IT IMPORTANT?
A well‐thought through reward strategy that fits well with the business strategy, that provides a robust pay and a good grading structure, and caters to employees’ needs and promotes employee engagement cannot but generate employee satisfaction and hence increase productivity and positively impact overall business performance.

reward strategy why important

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