REWARD MANAGEMENT

Reward is outcomes of organization for employees in return of their hard working. Reward consists of a bundle of pay, benefits, services and job related reward received by employees.Each employees performs better seeking some reward from organization.
Reward management is a major and important concern for human resources management.Organization have to establish and manage reward structure to attract, retain and motivate the employees. Reward management is creating, implementing and controlling the reward system that helps, maintains and improves organizational performance by attracting, retaining and motivating quality employees.
According to Michael Armostrong -''reward management is essentially about designing, implementing and maintaining pay systems which helps to improve organizational performance.''
Today's global management concern is to achieve higher employee productivity. This is possible only with reward management.
The qualities of reward management systems.

1. Importance-Each employees eagerly wants reward to their job done. But importance of reward is not equal to all employees. They give different opinion towards reward.On the basis of age, lifestyle, marital status,individuals goals etc, they need different rewards. it is believed that the reward management system can be more effective if it is provided as per importance of employees.
2. Equitable distribution-Not only organization but employees also evaluate their performance with other. So reward system should be perceived equitable. Unequal distribution and unfair distribution leads employees to frustration. Equity consideration can be of three types. They are internal,external and individual.
3. Visibility-In order to satisfy employee's esteem and recognition need, reward should be visible. Visibility of reward can be increased by well published bonuses, lump sum salary increase etc.
4. Flexibility-Reward should be changeable with changes in performances. Rewed should be flexible with respect to time. Reward should be positive to charging environmental forces.It can be maintained with greater frequency in giving reward.
5. Competitive-Reward should match market rates to attract and retain good quality employees. If the reward is lower relative to the current market rates, good employees may leave the organization.
6. Cost effective-Reward should be based on the paying capacity of organization. Benefits from reward must be compared with cost of the rewaed in order to maintain organization effectiveness.