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Recruitment and Appraisal


             The debate as to whether monetary reward is a motivator can also be assessed from an analysis of the need theories of Maslow, Alderfer and McClelland, which exercise goes beyond the scope of this assignment. Suffice to say however, that evidence from these theorists shows that organisations need to be aware of the employee's needs in order to satisfy them, where not all of these needs are for financial gain. Furthermore, organisations should examine the correlation between job level ascendance and need satisfaction within each of those plateaus.
             There are a number of other implications to take into consideration regarding performance-based remuneration.
             Additional Complexities.
             According to current research, there are a number of complexities surrounding employee performance and work behaviour that makes it impossible to link performance evaluation to remuneration: (Gray, 2002 & de Silva, 1998):.
             They are inconsistent with the manner in which businesses operate today. The focus is on team effort and performance yet reward is based on individual performance. Individual performance based remuneration is actually detrimental to team performance.
             The difference in merit remuneration between poor and high performers is not large enough to merit exceptional performance and derive the expected level of motivation.
             The rating is predominantly average, as the budget process requires this while employees do not perceive their performance as average.
             The timing maybe incorrect e.g. performance based remuneration system at the time of organisational restructures.
             Inadequate criteria to measure performance, or criteria that are not easily understood, communicated and accepted. Performance remuneration should therefore be negotiated.
             Inappropriate performance appraisal systems in that the objectives of the appraisal system (e.g. where it is intended to identify training needs or suitability for promotion) do not match the objectives of the reward system.


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