Effect of Compensation Strategy on Corporate Performance: Evidence from Nigerian Firms

Compensation Strategy is seen as one of the most important strategies in the human resource management function as it influences the productivity and growth of an organization. Recently, numerous special journal issues have emerged on compensation, often focusing on organization differences. Examples include: the "New Economics of Personnel" (Journal of Labor Economics, October 1997), "The Economics of Human Resource Management", (Industrial Relations, Spring 1998) and "Do Compensation Policies Matter? An Industrial and Labor Relations Review, February 1990). The Brookings Institution (Blinder, 1990) has also published series of papers by scholars in the management field that reviewed the effectiveness of pay programs such as profit sharing, employee ownership, and so forth. Despite these research efforts, there is little debate about whether employees’ pay has any significant linkage with performance. (see also Gerhart and Milkovich ,1990). Thus, in the present study, we tried to link compensation with performance using selected firms in Nigeria as a case study. We specifically covered three conglomerates in Nigeria. The choice of this case study was not unconnected with the fact that these companies are among the largest employers of labour in the manufacturing industry in Nigeria. Using the cross-sectional data analysis, we found that compensation strategy has the potential beneficial effects of enhancing workers’ productivity and by extension improving the overall organizational performance. Therefore, the significance of compensation cannot be overemphasized in an organization and is in fact a veritable option for attracting, retaining, and motivating employees for improved organizational productivity. This finding further enriches the literature supporting that a higher pay guarantees a higher productivity and vice-versa. Key Words: Compensation; Job Evaluation; Workers’ Productivity; Competitive Advantage; Organizational Performance

The Impact of Information Technology (IT) on Human Resource Management (HRM): Empirical evidence from Nigeria Banking Sector. Case Study of Selected Banks from Lagos State and Oyo State in South-West Nigeria

Information technology (IT) has become an indispensable part of contemporary world while human resource management globally has equally being affected in a number of ways through its adoption and application. Despite the considerable growth in the use of information technology in human resource management (HRM), the level of impact is still under-researched. Using the descriptive statistics, this study seeks to harness the overall and generalized impact of IT on HRM in the Nigeria Banking Sector by exploring some aspects of HRM that have been affected by IT and the effect of such adoption on HRM activities through primary data collected with a structured questionnaire administered to selected Banks in South-West Nigeria.It was revealed that IT has significantly increase the efficiency of HR management activities and processes through an effective and efficient employee communication and engagement while the roles and skills of HR managers has expand considerable overtime due to their adoption and continuous upgrade of knowledge in the use of IT in the discharge of their primary functions. Hence, it is duty bound for Banks policy formulators to determine the right size of IT required to derived the best result in an organisation. Keywords: Technology, Information Technology (IT), Human Resource (HR), Human Resource Management (HRM), Nigeria Banking Secto

Wages and salaries as a motivational tool for enhancing organizational performance. a survey of selected Nigerian workplace

This study examined how the organisation’s human capital was compensated and see whether the compensation even serves as a motivational tool to enhance organisational performance. Seven research questions and two hypotheses were postulated to find solutions to the problems of the study. One hundred and twenty personnel formed the sample size from six organisations. A self-designed instrument labeled Wages and Salaries as a Motivational Tool Questionnaire 2 (WASAMOTOQ2) containing seven sections was used in the collection of data. The findings of the study revealed those factors that militate against adequate compensation to include labour market conditions, the ability of the organisation to pay adequate compensation and the existing country/nation’s present cost of living; what makes up good and adequate compensation include recognition of individual performance and taking care of individual incentives and it shows the relationship between compensation and motivation. It further established the consequential effect of inadequate compensation and motivation on the organisational development. Based on the findings, the following recommendations were proffered that there should be wages/salaries scale and schedule; such should be based on identified indices in the study; that disparity between two identical workers should not be based purely on ‘paper’ qualification but the ability to ‘deliver’; and that wages/salaries should display equality, no ‘sacred cow’. &nbsp

Impact of Human Resources Management on Entrepreneurship Development

The decisive role played by Human Resources Management (HRM) in the emergence and sustenance of entrepreneurship development in an organisation cannot be misplaced as it ensures optimum deployment and development of personnel towards the actualization of set organisational objectives. Using a primary data sourced through a well-structured and self- administered questionnaires served to sixty HR managers and supervisors, and analyzed with descriptive statistics and Pearson product moment correlation coefficient, this study investigates the role of (HRM) in entrepreneurship development. The tested hypotheses revealed a correlation coefficient of 0.44 which indicate the existence of a moderate positive relationship between Human Resources Management (HRM) and entrepreneurship development. This indicates that HRM can facilitate entrepreneurship development in an organization. Hence HR managers must seek as much as possible measures that will ensure that their human resource are adequately compensated, rewarded and motivated to enhance their performance which will translate to improved performance that will influence the overall performance of the organisation