Assignment 01
Introduction to Business Management & Organizational Behaviour
Bob Wilson-Stereotypes
Fall 2023
Submitted by:
Name: Lammim Rahman
ID: 123758203
Submitted to:
Robert Greene
Submission Date:
Oct 29th,2023
Questions & Answers:
1. Describe the organization’s rewards plans in detail. Include a specific outline of what is
communicated to employees. (10 marks)
I can provide a general outline of what might be included in an organization's rewards plans
and what is typically communicated to employees. However, the specific details and content
of a rewards plan will vary greatly from one organization to another. It's important for
organizations to tailor their rewards plans to their unique needs and goals. Here's a typical
structure and content for a rewards plan:
Components of the Rewards Plan:
Compensation: Details about base salary, bonuses, and other forms of monetary
compensation.
Benefits: Information on healthcare, retirement, and other non-salary benefits.
Recognition and Rewards: Explanation of non-monetary rewards, such as employee
recognition programs, awards, or performance-based incentives.
Professional Development: Opportunities for skill development, training, and career
advancement.
Work-Life Balance: Policies related to flexible work arrangements, time off, and wellness
programs.
Long-Term Incentives: Stock options, equity grants, or other long-term incentive plans, if
applicable.
Perks and Discounts: Any additional perks or discounts offered to employees.
Eligibility and Criteria:
Clearly define who is eligible for each component of the rewards plan.
Specify the criteria, such as performance evaluations, tenure, or other factors, that determine
eligibility and the extent of rewards.
Communication and Transparency:
Describe how the organization communicates the rewards plan to employees.
Provide information on how employees can access detailed information about their
individual compensation and benefits.
Performance Management:
Explain the performance evaluation process and how it links to rewards.
Describe how feedback and performance goals are set and monitored.
Administration and Compliance:
Detail how the organization ensures compliance with laws and regulations related to
compensation and benefits.
Explain how disputes or issues related to rewards are addressed.
Changes and Updates:
Outline how the organization will communicate any changes or updates to the rewards plan.
Frequently Asked Questions (FAQs):
Provide answers to common questions employees may have about the rewards plan.
Appendices:
Include any supplementary materials, such as tables, charts, or legal disclaimers.
In terms of what is specifically communicated to employees, the organization should share a
summarized version of the plan with all employees and may hold meetings or presentations
to explain the key points. They should also provide access to more detailed information,
typically through an employee handbook, a dedicated rewards portal, or direct
communication with HR. The goal is to ensure that employees have a clear understanding of
how they are rewarded, what benefits they are entitled to, and what they need to do to qualify
for these rewards.
2. Describe the purpose of each of the organization’s rewards plans. Include an outline of
the specific behaviour or outcome the plan is designed to achieve. (10 marks)
To describe the purpose of an organization's rewards plans, I'll outline common types of
reward plans and the specific behaviors or outcomes they are designed to achieve:
Salary and Base Pay:
Purpose: The primary purpose of a base salary is to provide employees with a predictable
and stable income.
Outcome: Encourages employees to commit to the organization and perform their job
responsibilities effectively without concerns about financial stability.
Performance Bonuses:
Purpose: Performance bonuses are designed to motivate employees to achieve specific,
short-term goals or exceed performance expectations.
Outcome: Encourages high performance, productivity, and goal attainment by providing
financial incentives for exceptional work.
Commission Plans:
Purpose: Common in sales roles, commission plans are designed to motivate employees to
generate sales and revenue for the organization.
Outcome: Encourages sales representatives to actively pursue and close sales, leading to
increased revenue for the company.
Profit Sharing:
Purpose: Profit-sharing plans aim to align employees with the financial success of the
organization by sharing a portion of company profits.
Outcome: Fosters a sense of ownership and teamwork, as employees work collectively to
improve the company's profitability.
Stock Options and Equity Grants:
Purpose: These plans provide employees with ownership stakes in the company, aligning
their interests with the long-term success of the organization.
Outcome: Encourages employees to contribute to the company's growth and success, as their
financial gain is tied to the company's stock performance.
Employee Recognition Programs:
Purpose: Employee recognition programs are designed to acknowledge and reward
exceptional performance, contributions, and behaviors.
Outcome: Reinforces desired behaviors and motivates employees to consistently perform at
a high level, fostering a positive work culture.
Employee Benefits:
Purpose: Employee benefits, such as health insurance, retirement plans, and paid time off,
aim to enhance the overall well-being and work-life balance of employees.
Outcome: Attracts and retains talent, as well as contributes to employees' job satisfaction
and overall quality of life.
Long-Term Incentive Plans (LTIPs):
Purpose: LTIPs are designed to retain and motivate key executives and employees over an
extended period, typically based on multi-year performance metrics.
Outcome: Encourages long-term commitment to the organization and performance that
contributes to sustained growth and value creation.
Wellness Programs:
Purpose: Wellness programs promote employees' physical and mental health, reducing
absenteeism and improving overall well-being.
Outcome: Encourages healthy lifestyles, reduces healthcare costs, and boosts productivity by
ensuring employees are physically and mentally well.
Tuition Assistance and Professional Development:
Purpose: These programs support employee growth and development by funding
educational opportunities and skill enhancement.
Outcome: Encourages continuous learning, skill development, and employee advancement,
benefiting both the employee and the organization.
The purpose of each rewards plan may vary from one organization to another, depending on
their specific goals, values, and the nature of their industry. Employers often use a
combination of these plans to create a comprehensive rewards package that motivates
employees and aligns their efforts with organizational objectives.
3. Using applicable OB theory, identify the type of rewards offered and outline the
effectiveness of the rewards plans in achieving the intended outcome(s). Make sure to
explain your reasoning and analysis. (10 marks)
To identify the type of rewards offered and outline the effectiveness of reward plans in
achieving their intended outcomes, we can apply various organizational behavior (OB)
theories and frameworks. The choice of theory depends on the specific context and
organization. Here, I'll provide a general analysis using some common OB theories:
1. Expectancy Theory:
 Type of Rewards: Expectancy theory posits that individuals are motivated to act
in a certain way if they believe their efforts will lead to good performance, good
performance will lead to desired rewards, and the rewards are valued. The type of
rewards offered can include financial incentives, promotions, recognition, or
opportunities for skill development.
 Effectiveness Analysis: The effectiveness of this reward plan depends on
whether employees believe there is a clear link between their efforts,
performance, and rewards. If this link is established and understood, the reward
plan can be effective. However, if employees perceive that their efforts won't lead
to better performance or that the rewards aren't valuable, the plan may not be
effective.
2. Self-Determination Theory:
 Type of Rewards: Self-Determination Theory suggests that intrinsic motivation
is driven by autonomy, competence, and relatedness. The rewards offered can be
related to these factors, such as giving employees autonomy over their work,
opportunities to develop new skills (competence), and fostering a sense of
belonging (relatedness).
 Effectiveness Analysis: The effectiveness of this reward plan depends on how
well it supports these basic psychological needs. If employees feel empowered to
make choices, are given opportunities to develop their skills, and have positive
relationships with colleagues and supervisors, they are more likely to be
intrinsically motivated.
3. Goal-Setting Theory:
 Type of Rewards: In the context of goal-setting theory, rewards can be based on
the achievement of specific, challenging goals. These rewards can be bonuses,
promotions, or other tangible incentives.
 Effectiveness Analysis: The effectiveness of the reward plan depends on the
clarity and achievability of the goals, feedback on progress, and the link between
goal attainment and rewards. If goals are unclear or unattainable, or if there is no
correlation between goal achievement and rewards, the plan may not be effective.
4. Equity Theory:
 Type of Rewards: Equity theory suggests that employees compare their inputs
(effort, skills, time) and outputs (rewards) with those of others. Rewards can be
salary, bonuses, benefits, or any tangible or intangible compensation.
 Effectiveness Analysis: The effectiveness of the reward plan relies on the
perception of fairness. If employees believe they are being rewarded equitably
compared to their peers in the organization, they are more likely to be satisfied
and motivated. Inequity can lead to dissatisfaction and reduced performance.
5. Reinforcement Theory:
 Type of Rewards: In reinforcement theory, rewards can be positive
reinforcements like praise, recognition, or bonuses for desired behaviors and
performance.
 Effectiveness Analysis: The effectiveness depends on the consistency and
immediacy of the rewards. Positive reinforcement should be applied promptly and
consistently to strengthen desired behaviors. If rewards are delayed or sporadic,
the desired behavior may not be sustained.
In conclusion, the effectiveness of reward plans in achieving their intended outcomes
depends on the alignment of the reward type with the specific OB theory, as well as the
organization's culture and context. It is important to consider the psychological and
motivational factors that drive employee behavior and tailor the reward plans accordingly to
maximize their impact.
4. Provide recommendations on how you would improve the rewards plans or add new
rewards. Explain the reasoning for your recommendations. (5 marks)
Improving new reward plans can be an effective way to motivate and retain employees, increase
productivity, and foster a positive work environment. Here are some recommendations on how
you can enhance your rewards plans or introduce new ones, along with the reasoning behind
each recommendation:
Flexible Benefits Programs:
Implement flexible benefits programs that allow employees to choose from a variety of perks,
such as additional vacation days, healthcare options, or wellness benefits.This approach
recognizes that employees have diverse needs and preferences. Allowing them to tailor their
rewards package can lead to higher job satisfaction and engagement.
Performance-Based Bonuses:
Establish a structured performance-based bonus system that clearly ties individual or team
achievements to monetary rewards.
Performance-based bonuses can incentivize employees to excel in their roles and help align their
efforts with the company's objectives. It provides a tangible and direct link between performance
and reward.
Professional Development Opportunities:
Invest in employee growth by offering professional development opportunities, such as tuition
reimbursement, workshops, or mentorship programs.
Providing opportunities for skill enhancement and career advancement can enhance employee
loyalty and skillsets, ultimately benefiting the organization.
Recognition and Appreciation Programs:
Create programs to recognize and appreciate outstanding employee contributions through
awards, public acknowledgments, or thank-you notes.
Positive reinforcement and recognition can boost employee morale and motivation, leading to
improved performance and a stronger sense of belonging within the company.
Wellness Initiatives:
Introduce wellness initiatives like gym memberships, on-site fitness classes, or mental health
support services.
Promoting the well-being of employees can reduce absenteeism, increase productivity, and
contribute to a healthier, happier workforce.
Profit-Sharing Plans:
Consider profit-sharing plans that distribute a portion of the company's profits among employees.
This encourages employees to think and act like business owners, aligning their interests with the
financial success of the organization.
Employee Stock Ownership Plans:
Implement ESOPs, which grant employees ownership in the company through shares.
This plan can create a strong sense of ownership and commitment among employees, as their
financial success is tied to the company's overall performance.
Employee of the Month Programs:
Recognize top performers with a dedicated "Employee of the Month" program, including a
special parking spot or a prominent desk plaque.
Such programs provide immediate recognition and motivation to perform well, fostering healthy
competition and a positive work culture.
Team-Building Events:
Organize team-building events, outings, or retreats as rewards for achieving collective goals.
Team-building activities strengthen relationships among employees, improving collaboration,
communication, and overall team dynamics.
Long-Term Incentives:
Introduce long-term incentives like stock options or retirement plans to reward employees for
their commitment to the organization.
Encouraging employees to think about their future with the company can improve retention rates
and foster a sense of loyalty.
When designing or revising rewards plans, it's crucial to consider the unique needs and
preferences of your workforce, align the rewards with your organizational goals, and
communicate them effectively to ensure that employees understand and appreciate the value of
the rewards they receive. Moreover, regular feedback and adjustments to the rewards system are
essential to keep it effective and responsive to changing circumstances and employee
expectations.
5. After reviewing the Wilson Bros Case Scenario what recommendations would you have
for them with respect to their rewards plans? (5 marks)
Stereotyping is when we assume the characteristics of a specific group of people and carry over
the same ideologies of these people if they are categorized under a specific group. As stated in
Canadian Organizational Behavior everyone participates in stereotyping but by doing such leads
to perceptual biases along with improper decisions and behaviors in the workplace. From the
information stated in the text it shows how incorrect assumptions about a group of people can
negatively impact not only the individual but also the company. A large problem with
stereotyping is how it produces stereotype threat. This is when the individuals under a specific
stereotype are actively trying to show they are not what people say but end up showing the
characteristics of their stereotype. When this happens, these individuals divert energy and
attention which makes it harder for some to focus on the task(s) at hand. Another negative
impact of stereotyping is weakening someone’s self-efficacy. It would be hard to be confident in
something you can do when other people are judging you off of a stereotype. For example,
working within an organization but having people expect you to fail because of your stereotype.
Not only does this make the workplace toxic and uninviting but it damages the individual’s
confidence in their abilities. The last thing that I would like to touch on as to why there are no
positives to stereotyping is how it is discrimination against a group of people. For example,
women tend to receive less pay for a job man alsodo at the same level. As stated under the
Canadian Human Rights Act “prohibited grounds of discrimination are race, national or ethnic
origin, colour, religion, age, sex, sexual orientation, gender identity or expression, marital status,
family status, genetic characteristics, disability and conviction for an offence for which a pardon
has been granted or in respect of which a record suspension has been ordered. Although I do
believe that we do not intend to discriminate, we should always have an open mind and to watch
for signs of such. I think being fair and unbiased to everyone is my biggest goal when I start
working in HR.