Riordan Manufacturing has experienced several strategic changes in its marketing and manufacturing efforts, which have significantly reduced employee retention. In an employee survey, this decrease in retention was attributed to a decrease in overall job satisfaction, particularly in the areas of compensation and benefits. Riordan's current rewards program is not performance-based, but rather recognizes aspects such as cost of living increases, seniority and position, despite recent performance data identifying most of its employees such as mid-level employees and a small group that is not performing well. good at all. Faced with declining morale and work ethic, managers at Riordan want something done about the current system and must keep in mind that "Designing and Implementing a Compensation Program Overall requires a compensation philosophy that creates measurable standards for employees to follow and uses those standards to evaluate employees. performance and awarding rewards (Ulrich & Brockbank 2005, p. 23).” Craegmoor Healthcare is an organization facing a similar problem to Riordan manufacturing. Craegmoor Healthcare had a turnover rate of approximately 60% per year in 2004. This high turnover rate was attributed to poor pay and training, low staff morale, poor leadership and lack of commitment employees. Realizing that something needed to be done, Craegmoor's board created a strategy that outlined its problem areas as well as its approach to addressing three areas that it saw as priorities (Keating, 2007, p. 32). . The Craegmoor Reward System and its Board of Directors made the decision to focus on improving reward and recognition in a more strategic way, adding value to both employees and the company. organization. The three key areas identified by the Craegmoor reward system review were: management development; staff training; and recognition. By developing its managers and training staff, Craegmoor's goal is to provide each individual with the tools necessary to do their job successfully and, ultimately, to reward individuals who have modeled the goals and values ​​of organization with its new "Shining Star Award" (Keating, 2007, p. 33).The success of Craegmoor's recently revamped awards program was attributed to successful interdepartmental communication around the program, which included an email address, regional information sessions, articles submitted in the company magazine, as well as in the local and national press, and the awards ceremony. ceremony that recognized all nominees as well as the winner, who successfully communicated the value of its employees to the organization and promoted the organization as “a great place to work” (Keating, 2007, p..