ABSTRACT
The aim of this research
work is on model architecture for staff promotion and remuneration
management system in the private sector. To this end. If tried to trace
the history of remuneration of employee is the public sector in Nigeria.
The old system used to have seven steps within a grade. The reactions
of employees to the new structure and the problems that emanated form
the structure and how it affected those in the private sector of the
economy are all treated. The researcher equally considered the type of
remuneration and fringe benefits available in incomtel Nigeria Limited
and how they are been motivating works to increase productivity. The
instrument used in the study is ten (10) items. This questionnaire
distributed to the employees of incomtel. The questionnaire was divided
into two (2) parts; one part was distribution while the other part
reflected the opinions of the employees on the management level. The
research summed up the information receives from those groups of
employees. The outcome formed the major source of information needed to
preposition.
CHAPTER ONE
1.0 INTRODUCTION
Remuneration is the
compensation that one receives in exchange for the work or services
performed. Typically, this consists of monetary rewards, also referred
to as wage or salary. A promotion is the advancement of an employee''s
rank or position in an organizational hierarchy system. Promotion may be
an employee''s reward for good performance, i.e., positive appraisal.
Before a company promotes an employee to a particular position it
ensures that the person is able to handle the added responsibilities by
screening the employee with interviews and tests and giving them
training or on-the-job experience. A promotion can involve advancement
in terms of designation, salary and benefits, and in some organizations
the type of job activities may change a great deal.
Good remuneration has been found over
the years to be one of the policies the organization can adopt to
increase their workers performance and thereby increase the organization
productivity. Also 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. On the other hand
the performance of employees in an organization is vital not only for
the growth of an organization but also for the growth of individual
employees. An organization must now who are its outstanding workers,
those who need additional training and those not contributing to the
efficiency and welfare of the company.
Throughout the years
production has increased for many reasons in addition to the particular
motivation and has erroneously over simplified a highly complex
phenomenon since the psychologists have been especially concerned with
understanding an individual through his motives and acquired a body of
knowledge in this field that often differs from the Layman‟s knowledge
is necessary to review briefly from the psychologists point of view what
is known about motivation at the present time. In Uganda, effective use
of rewards and motivation to influence workers‟ performance begun in
1970s, since then performance of workers has become important due to the
increasing concern of human recourses and personal expects about the
level of output obtained from the workers due to poor remuneration. This
attitude is also a social concern and is very important to identify
problems that are met in industrial settings due to non-challant
attitude of managers to manage their workers by rewarding them well to
maximize their productivity. All efforts must be geared towards
developing workers interest in their job so as to make them happy in
giving their best to their work and this will ensure industrial harmony.
Vroom (1964) supported the assumption that workers tend to perform more
effectively if their wages are related to performance which is not
based on personal bias or prejudice but on objective evaluation of an
employee on merit. Though several techniques of measuring job
performance have been developed in general, the specific technique
chosen varies on the type of work. All these issues call research
efforts so as to bring focus on how an appropriate reward package can
gear up or influence the workers to develop a positive attitude towards
their job and thereby increase their productivity.
1.1 BACKGROUND OF THE RESEARCH
Remuneration is directly
linked with the time spent or devoted by an employee on the job. The
employees are paid a fixed pre-decided amount hourly, daily, weekly or
monthly irrespective of their output. It is a very simple method of
remuneration. It leads to minimum wastage of resources and lesser
chances of accidents. Time Rate method leads to quality output and this
method is very beneficial to new employees as they can learn their work
without any reduction in their salaries. This method encourages
employees unity as employees of a particular group/cadre get equal
salaries.
There are some drawbacks of Time Rate
Method, such as, it leads to tight supervision, indefinite employee
cost, lesser efficiency of employees as there is no distinction made
between efficient and inefficient employees, and lesser morale of
employees.
According to Armstrong (2003), good
practice requires employers to keep pace with inflation by rewarding
employees with salaries that are market related to avoid strikes and
poor performance by workers. Organizations are under financial strain
with salaries continually rising and becoming a major fixed expense.
According to Livingstone (2009), regardless of basic pay inefficiencies,
it remains a rule that employees should be paid at, or above market
rates as negotiated by labour unions who are concerned with the welfare
of employees. In a competitive market, higher basic pay is used for
attracting and retaining employees. Otherwise contradicting this rule
has negative consequences on the part of the organization. Basic pay
communicates commitment to employees, and is used as the baseline for
assessin
1.3 OBJECTIVES OF THE STUDY
The objectives of this study
were based on the architectural model on staff promotion and
remuneration effect and they included the following:
- To determine current incentive package the model at which staff promotion and remuneration are rewarded.
- To determine the effectiveness of the model architecture on staff promotion and remuneration.
- To discover the factors effecting staff promotion and remuneration management
1.4 SIGNIFICANCE OF THE STUDY
The study will, however, try
to talk on why it is essential to set a model an architectural scheme
for staff promotion and remuneration. This research work will also,
serve as a learning tools an academic material to the students and among
business ventures.
1.5 SCOPE OF THE STUDY
The project work sited here
encompasses the model architecture for staff promotion and remuneration.
It covers the attempts made in the past on this topic, the successful
attempts as well as the failures. Therefore this project research work
only covers the project topic specified only.
1.6 RESEARCH QUESTION
The research questions will be
tailored towards the purpose of the study such that if they are
answered, one will clearly realize why model architecture is necessary
in the management of staff promotion and remuneration. The questions are
the following:
1. What are the current incentive package the model at which staff promotion and remuneration are rewarded?
2. How effective is the model architecture on staff promotion and remuneration?
3. What are the factors effecting staff promotion and remuneration management?
1.7 RESEARCH HYPOTHESIS
This is the tool with which to
test the reliability of the subject matter comparing the two
variables-promotion and remuneration management (independent variable)
and remuneration management (dependent variable). The hypotheses are:
H0- Promotion does not influence remuneration management system
H1- Promotion does influence remuneration management system.
H0- A standard model architecture will help manage the organization remuneration scheme effectively.
H1- A standard model architecture does not help in the management of the organization remuneration scheme effectively.
1.8 LIMITATION OF THE STUDY
During the course of
performing/researching this project work, the researcher encountered a
lot of challenges as well as opposition which ranges from financial
constraints, time factor. this factors in their own ways, slowed down
the speedy progress of this work that resulted to the researcher not
being able to finish the research work on time as is required
Also, within the area of study the
researcher was faced with some other forms of constrains that
contributed to the limitation of this researcher work, like
accessibility to data, information and facts concerning the present
study due to some reasons or the other, some not willing to give out
information that it is to be within the workers.
1.9 DEFINITION OF TERMS
Remuneration is the
compensation that one receives in exchange for the work or services
performed. Typically, this consists of monetary rewards, also referred
to as wage or salary
Promotion is the
advancement of an employee''s rank or position in an organizational
hierarchy system. Promotion may be an employee''s reward for good
performance, i.e., positive appraisal.
Architecture: is a
structural frame work for building a model/basic upon, it is the
foundation of a system or model structurally design to handle and
accommodate the work set of the previous system.
Model: a representation
of a system based on a concrete object, such that the base will be
generally accepted as a standard of operation and code in the system.
1.10 ORGANISATION OF THE STUDY
The arrangement of the research is as follows:
Chapter One:
introduction already explained above, statement of the research
problems, objectives of the research, research questions, research
hypotheses, scope of the study and justification of the study.
Chapter Two: literature review of the study, theoretical framework and empirical research wok.
Chapter Three: research methodology and design that will be used in analysing the data and data populations.
Chapter Four: Data presentation and analysis of the research question from the respondents
Chapter Five: summary and conclusion of the whole research work it’s achievement and delimit of the work