Question

For this week's application, think of an organization with which you are familiar. What do you believe this organization's ideal benefits portfolio would be in order to optimize employee recruitment and retention. In a 1-page submission, briefly describe the organization, and then design the voluntary, supplemental, and other benefits that you believe to be the best fit for this organization based on your understanding of its needs and financial abilities. In your submission, be sure to highlight at least two benefits that you believe would be optimal for this organization, as well as two benefits that you believe would be unsuitable, and explain your reasoning.

Answer 1

Louis Allen had defined organization as, “Organization is the process of identifying and grouping work to be performed, defining and delegating responsibility and authority and establishing relationships for the purpose of enabling people to work most effectively together in accomplishing objectives.”

An entrepreneur organizes various factors of production like land, labour, capital, machinery, etc. for channelizing them into productive activities. Various individual efforts must lead to the achievement of common business goals.

Organisation- Ali Baba-With $50,000, they started Alibaba and today their net revenue is US$39.898 billion, use the Internet to help small-business owners sell goods and services and one of the world most influential company.

In the point view of organizational behaviour, it is obvious to see that Ma has applied an effective reward system into his company. it states that employer can motivate employees by rewarding them through several different variable-pay programs. Among these programs, employee stock ownership plan (ESOP) is quite similar to the incentive system in Alibaba. ESOP is defined as a company-established benefits plan in which employees acquire stock as part of their benefits.

In the Voluntary Benefits and Services (VBS) survey, Willis Towers Watson highlighted four critical life needs that voluntary benefits fulfill:

• Health – typically helping employee well-being, while minimizing health risk at a reasonable cost
• Wealth accumulation – protecting income and assets (Willis Towers Watson calls this one Wealth, but arguably a more relevant term is “Lifestyle”)
• Security – protecting our survivors, vulnerable people or even people’s identities
• Personal – products that cover what’s important to the individual interests and needs of the person

Benefits

• Costs and Benefits: The hiring cost which was incurred during the initial phase, training cost that was a part of initial training, on job training and various mid-employment training, exit costs which would include payments, replacements and payouts.All these costs add up to a lot of money for the organization.
• Quality at Work:The work quality is adversely affected when employees who have been trained for a job leave the organization. Immediate replacement of these employees becomes impossible and thus employee retention becomes advantageous to ensure quality of work.

Disadvantages

New opportunities-If you have worked for one of China's major companies in terms of both size and fame, this obviously adds to your market value as an employee. That's why many employees choose to leave once they've achieved a certain position and gained enough experience. They've built up enough experience at Alibaba

Large network-Some members may benefit a great deal while others very little or not at all. Worse, the network may be fractionalized, divided up into groups that benefit only if the network moves in a certain direction. This means that a larger network may not necessarily bring higher benefits to each network group.