The strategic role of a company's reward system is to
A)compensate employees for performing their assigned duties in a diligent fashion.
B)boost employee morale in ways that create widespread job satisfaction.
C)enlist employees' commitment to successful strategy execution by rewarding them, both monetarily and non-monetarily, for their valuable contributions.
D)relieve managers of the burden of closely monitoring each employee's performance.
E)boost labor productivity and help lower the firm's overall labor costs.

Question

Quizplus · Accepted Answer

The strategic role of a company's reward system is to enlist employees' commitment to successful strategy execution by rewarding them for their valuable contributions. A well-designed reward system could help the company to align the employees' focus on the company's critical success factors and motivate them to work towards achieving the company's strategic goals. The rewards could be in the form of monetary or non-monetary benefits, such as bonuses, promotions, recognition, training, and development programs, among others. In this way, a company can create a culture of engagement, loyalty, and high-performance, where employees feel valued, respected, and appreciated, which ultimately leads to higher productivity, better customer service, and profitable growth.

The Strategic Role of a Company's Reward System Is to