Total reward supports acquisition and mass customisation strategy at RBS

CASE STUDY

Total reward supports acquisition and mass customisation strategy at RBS

The Royal Bank of Scotland believes that in financial services it cannot differentiate itself on the basis of price or its products anyone can cut prices to get business and anyone can easily copy a product. Customer service and the quality of its staff is the only real differentiator. A new case study by e-reward.co.uk uncovers how RBS uses reward to reflect this fundamental acceptance of the importance of people to business success.

Reward at RBS is founded on the twin approaches of:

Mass customisation -- as a means of delivering a pay system focused and motivated at a business unit and employee group level.
Total reward -- as a method of differentiating RBS as an "employer of choice" and incorporating staff from acquired companies into RBS pay and benefits systems.

Documents

Besides the case study report, the latest issue of e-reward.co.uk research report also comprises two original policy documents:

an 11-page personal reward statement setting out the value of three key elements of the RBS total reward package
a copy of an RBS flyer illustrating the benefits on offer.

Company profile: Royal Bank of Scotland

Employees:	71,000 in the UK, 110,000 worldwide.
Location:	Headquarters in Edinburgh, operations throughout Europe, USA and Asia.
Business activities:	RBS is number one in the UK for corporate and commercial banking and number two in retail banking and UK credit cards. It has over 20 million personal customers and eight customer-facing divisions.
Web site:	www.rbs.co.uk
Interviewee:	e-reward.co.uk interviewed Trevor Blackman in January 2004. Trevor is the bank's head of reward.

What you will find in this e-reward.co.uk report
Written and researched by e-reward.co.uk, this 14-page case study (5,300 words) offers an example of an organisation’ s reward strategy making a major contribution to overall business strategies and commercial success.	Page no.
EXECUTIVE SUMMARY	5
Company profile -- overview -- what you will find in this report
BACKGROUND	6
History of acquisitions -- new organisational framework -- employer of choice
OLD AND NEW APPROACHES TO BASIC PAY	6
Bank-wide pay structure -- review of pay arrangements -- job families for IT staff -- call centres -- insurance acquisitions
A COMMON FRAMEWORK	8
Guiding principles of pay plans -- market facing -- rewarding individual performance variable pay -- pay progression
TOTAL REWARD	9
ValueAccount -- total reward statements -- desk calendar
REVIEWING BENEFITS PROVISION	11
Employee involvement -- focus groups -- results of review
RBSelect	11
Salary sacrifice -- benefits menu
OUTSOURCING THE ADMINISTRATION	12
Dealing with administration -- "paperless" enrolment -- communication -- making choices
PROBLEMS AND LESSONS LEARNT	14
Verdict -- a final word
LIST OF BOXES
Box 1: The RBS reward team	8
Box 2: Document extract: Other ways to benefit	13
APPENDICES
8 pages of RBS Documents emailed as separate PDF files: Appendix A: Sample total reward statement Appendix B: Flyer

Want to know more?

Title: Total reward supports acquisition and mass customisation strategy at RBS.

Issue no.: e-research no. 19.

Date: February 2004.

Pages: 14 (5,300 words). Plus 8 pages of original RBS documents.

Availability: Published by e-reward.co.uk. Click on "Research Reports" on the left-hand navigation panel of the e-reward.co.uk web site and complete the simple online subscription form at www.e-reward-data.co.uk/content/ResearchReports.asp

For more details email: paul@e-reward.co.uk

Posted 20 March 2004

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Total reward supports acquisition and mass customisation strategy at RBS