The Strategic Dilemma

For most organizations, annual employee reviews and compensation adjustments are processes that are time-consuming, burdensome, and riddled with complexity and inaccuracy. In many cases, merit increases, bonuses, stock options, or other rewards are distributed across an organization's employees based on overall organizational success, some part of an individual worker's performance rating, or criteria so vague as to not effectively motivate and reward employees.

The core issue is that top performers are often under rewarded in proportion to their contributions, while sub-par staffers continue to receive rewards despite their deficiencies. This places companies at financial risk from budget overages, workforce misalignment, reduced morale, productivity loss, and the potential of losing top performing employees.

Motivating, rewarding, and retaining top performers is a key business objective for any business that seeks to successfully maintain or exceed growth expectations. The challenge lies in effectively aligning employee goals with organizational objectives, automating performance appraisal processes, and linking them with complex compensation policies or time-based incentive plans at an enterprise level.

Best-in-class organizations focus on performance-driven rewards systems that compensate individual contributors directly proportionate to what they achieve and what they can contribute to the bottom-line.




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