Current state evaluation of total reward communication in a case organization
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Total reward communication is in an important role for increasing employees’ understanding and
satisfaction about their total reward programs. The impact of reward communication has also been
linked to job satisfaction and employee engagement. However, communication about reward
programs has become more challenging to organizations because reward programs tend to be more
complex than before. The constant flow of information has also complicated the process of
communicating about total rewards. This study discusses the importance of reward communication
and different ways of implementing it. Previous research for total reward communication is scarce.
Because of that, in addition to literature concerning only reward communication, literature of
organizational communication and total rewards were utilized in this study.
This research was conducted as an assignment for a case organization. The purpose of the research
was to examine and evaluate the current state of the case organization’s reward communication and
give suggestions for improving the communication. This research was conducted as an action
research, because it seeks to improve an organization’s current situation and it encourages
participation in an organization. The current state of the reward communication was studied with a
reward survey that was sent to the case organizations permanent employees in Finland and in
Sweden. In addition six interviews with the case organization’s HR department were made. First the
current state of reward communication in the organization was evaluated based on the interviews
and the reward survey. After that suggestions for improving the communication were made for the
case organization.
As a conclusion it was noticed that reward communication cannot be implemented as ”one-size fits
all”. Organizations should base their reward communication goals on their reward programs’
objectives. Organizations should also survey their employees regularly in order to find out the ways
their employees would like to receive information about total rewards. In the case study remarkable
differences between Finnish and Swedish employees’ reward communication preferences were
noticed. Therefore, the research cannot be generalized to the other countries that the case
organization operates in. Further research in the case organization should be made in order to find
out if there are differences between the other countries as well.