Genentech and Zappos Productivity Case Study

1. Describe the importance of employee benefits as a strategic component of fulfilling the goals of HRM at Genentech and Zappos.

The importance of employee benefits as a strategic component of fulfilling the goals of HRM at Genentech and Zappos boost low turnover rates and high employee rating for satisfaction. With employee benefits, employees will feel more like assets instead of just workers. They will dedicate much time and effort for the wellness of the organization and lead to a greater outcome in the organization that will generate more productivity and profit. Employees tend to be more motivated to work when they feel they are attended to. When they can feel that they have benefited from the organization, they become loyal to the employer and will stay instead of potentially moving to other organizations. Savings due to retention overthrown the benefit costs thus makes the organization a workplace with more income. Through employee benefits, goals to fulfill goals of HRM are achieved in efficient and effective ways.

2. Explain how Genentech and Zappos use employee benefits as a motivating tool.

Genentech and Zappos offer benefits to employees to attract and retain employees. Benefits provide meaning and value to the employee that leads to increased worker morale. With this increased morale, employees become motivated to enhance performance and feel utmost security to its organization leading to low turnover rates and highly satisfied employees. Benefits rewarded the desired behavior. Employees having the freedom to gain their wants provoke in them satisfaction and so they are motivated to perform well having more morale and loyalty. Incentives create greater will for the employees to give back the benefits they received from the organization, making them inspired to do good and to do more of what they can to stimulate good performance for the organization.

3. Do you believe the incentive benefits such as those offered at Genentech and Zappos can be used in other organizations? Why or why not?

The incentive benefits offered at Genentech and Zappos may depend in use of other organizations because many companies would consider the incentive benefit approach to be excessive. If the organization has many resources and utmost respect for the employees, they can use the same offered benefits of the Genentech and Zappos. But other organizations may need full control of employees to generate greater income and give in the best of the employee. It would be a very great risk to give all compensation to the employee with many issues to prioritize more and problems to solve. There are many factors to consider in usage of the incentive benefits because there are many things that influence the selection of benefit components, such as a company's financial condition, culture and workforce demographics.