BENEFITS AND

PROBLEMS OF
PROMOTION

PROMOTION
PRINCIPLES
1. INTRODUCTION
2. PURPOSE OF
PROMOTION
3. BENEFITS OF
PROMOTION CONTENTS
4. PROBLEMS OF
PROMOTION
 INTRODUCTION

Promotion is the advancement of

an employee to a higher job
position in an organization,
typically accompanied by
increased pay, greater
responsibilities, and a higher
position in the company
hierarchy. It serves as a source of
motivation for employees, as it
boosts their status and influence
within the organization
 PURPOSE OF PROMOTION
To recognize an employee’s skill and knowledge and utilize it to
improve the organisational effectiveness.
To reward and motivate employees to higher productivity.
To develop competitive spirit and inculcate the zeal in the
employees to acquire skill, knowledge etc.
To promote employees satisfaction and boost their morale.
To build loyalty among the employees toward organisation.
To promote good human relations.
To increase sense of belongingness.
To retain skilled and talented people.
To attract trained, competent and hard working people.
 BENEFITS OF PROMOTION
Benefits to the employees:

Increased Expanded
Increased Job
Compensation Skillset
Stability
Career Increased Job
Leadership
Advancement Satisfaction
Opportunities
Enhanced Job Recognition
Better Benefits
Security and Status
 BENEFITS OF PROMOTION
Benefits to the organization

Increased Improved Improved

Employee Productivity Employee

Engagement
Morale Knowledge
Skill
Retention of Retention Development
Talent Leadership Increased
Organizational
Cost Savings Development
Stability
PROBLEMS OF
PROMOTION
Problems of promotion for
employees:

Increased Stress and

Workload
Lack of Preparation
Adjustment to New Roles
Unrealistic Expectations
Job Insecurity
Problems of promotion for organization

Retention and Turnover

Training and Development Costs
Conflict Management
Performance Expectations
Compensation Issues
Succession Planning