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Productivity of labor is critical in any business organization and it’s always the underlying factor for the achievement of goals by any organization. Looking into the employees’ needs is therefore an issue that cannot be subordinated to any other in an organization as a strategic move in the organizations operation. Healthcare industry happens to be among those facing myriads of problems relating to labor (Fried & Fottler, 2008).
Problems relating to labor in healthcare, also specific to this organization include, lack of opportunities for advancement. In this case, employees will always have issues with the minimal chances that exist for their advancement. The problem of shortage of workers is a big issue at a time when the changes in people’s lifestyle have increased the demand for healthcare services. The workload for the health workers, especially for nurses, leads to low motivation. In most cases, poor pay is among factors that inhibits productivity of the health workers. Other factors may include, poor organization culture, inadequate mentoring, poor individual fit with seniors, limited access to relevant technology to contain their day to day challenges and also lack of training, which is relevant in the changing healthcare industry. To leverage labor relations with the aim of improving quality, these are among the challenges that I would attend to in this organization (Fried & Fottler, 2011).
Contract Administration
For this organization to realize maximum benefit from labor, it has to ensure proper administration of the contracts. This cannot be achieved without capacity building to the supervisor and general workers. The basic thing is to come up with an effective system of workers structure and supervisors that comprehends what the labor contracts provides in terms of responsibilities, rights, opportunities and constraints. This will help managers with diverse latitude of effective communications with employees, job assigning and sustaining a conducive working environment. In such an environment, where employees are fully aware of their rights, responsibilities and opportunities that exist for them, productivity will always improve for the healthcare organization.
Dispute Resolution
The challenging environment being experienced by the healthcare workers, have been the main reason why healthcare industry has been characterized with dispute for a long period of time. It’s important to understand that, there do not exist any labor agreement or a perfect contract that is capable of preventing divergence in interpretation, disputes and grievances. Productivity of a healthcare organization, therefore, is pegged on how well the employees concerns are attended to. This is why; I would ensure a well structured body that provides a framework for disputes to be managed efficiently, promptly and fairly. To ensure this is the case, I would come up with a labor relation committee that consults on matters relating to areas and circumstances most vulnerable to disputes and investigate on dispute resolution techniques that lower disruption in healthcare service provisions. A part from being present in the working place, a mechanism that provides a fair attention to employee concerns, motivate them and hence increase productivity (Jensen, 2011). 
Employee Surveys and Assessments
One effective known way of increasing productivity is assessment and conducting surveys of the employees to get the satisfaction levels and opinions in critical activities within an organization. This is an underlying factor in work disruption in healthcare industry. This is how this organization would be run. A system that helps identify and rank employee’s issues that affect their morale, performance and productivity should be implemented. To address the roots of the problems facing the workers, the system should be able to establish how the problems relate to the organization culture. This system should be based on a well organized and detailed information system in the organization.  
One way of ensuring productivity in an organization is through constant trainings for the staff. These help in equipping them with the necessary skills in the dynamic environment, and therefore, keep them at par with the needs of the consumers. Training should be done for workers at all levels including the supervisors. This is what I would ensure in the organization. By training the supervisors, they understand their responsibilities, which eventually ensure efficient use of resources including labor in the service delivery. Training can help in breaking down the complexities that characterize healthcare organizations by ensuring a focused group to the organizational performance. To the managers, training makes them proponents and also advocates to the organization’s vision and goals. Productivity will improve if the managers get to understand labor laws, and by compliance, they would reduce grievances through reduced unfair practices.     
An organization that has a well defined vision and mission is destined to success on condition that, it’s able to maintain a healthy organization culture. Teamwork is a core value that determines how well organizations are able to optimize on the employees synergies. Teamwork is a function of very many variables in an organization embedded in the organization culture and employees themselves. For this reason, I would ensure a well set team building activities for the organization. The effect would be to reduce the distance existing between the employees and the management. Additionally, this will improve bonds among the staff, and hence would help them improve cooperation in their day to day activities that is critical in a healthcare organizational setting.    
Compensation Practices
How productive employee becomes depends on how fair they regard the compensation system to be. Fairness is perceived from both the absolute terms and also the relative terms. In absolute term, the employee is concerned on how much he gets and how well it serves his needs. In relative form, the employee will regard the compensation system to be fair if there do not exist large variances in the amount paid to different employees. The challenge experienced in healthcare organization like this one is that, management cannot be able to project demand for services and hence there are situations when employees may be required to work overtime. In addition, maintaining teamwork is critical. For that reason, I would propose the following compensation practices:
Hourly Pay plus Piece-Rate Bonus
For one, I would like to create certainty to the health workers that they will get their pay. This is why I will ensure that everyone gets an hourly pay for the normal working hours, that is equal or close to the market rate. However, we may not be able to project how the demand for services may fluctuate and for that reason, piece-rate bonus would be provided for any overtime. This should be supported by a well established way of quantifying services rendered. In specific, this fits this organization because, there are times when we will need to call workers in late hours to attend to an emergency and these staff need to get motivated in doing so.
Team Based Compensation Practices
Like any other health organization, this organization need to uphold practices that promotes teamwork. In this case, the entire team is rewarded equally as a result of overall performance. These incentive should accrue to individual in a particular department, wing or for particular services who have shown tremendous improvement or with outstanding performance as measured by the goals of the organization. Specifically, this will help to improve teamwork and collective productivity. In addition, this will promote equal non-team based incentives in a team and also avoid subjectivity in assessing the individual’s performance in a group (Bourke, 1979). 
Guidelines for the Management of Benefits and Variable Pay
In this organization, management of benefits and variable pay will be based on performance appraisal. Performance appraisal will be a function of an individual productivity and compliance and also the group performance. Appraisal will have a scale of 1-4 where 1 is the excellent performance while 4 is poor. To determine how much an individual earns in a variable pay, computation of the overall pay without the variable pay will be done then raised by a percentage that will depend on performance appraisal.
To get an individual scale, there would be a predetermined performance requirement set for different department given the activities dealt with as a team and also performance of employees in individual capacity. The parameters to be considered will include patients’ complaints for services offered in a particular department and also the turnaround time for service delivery. In individual capacity, the parameters will include as simple but crucial things as lateness to job and filing of documents. To enable this, an internal compliance team will be necessary. To ensure that staffs seek to improve on their positions, the proportion of the variable pay will increase as the rank and overall pay increases. This will improve the performance for the organization.      
Guidelines for the Management of Merit Pay
It’s imperative to recognize and reward best performance in an organization. This can be effected through a merit pay system. Developing and managing this system however, is not easy. This is why I will recommend and ensure various considerations in this organization. For one, the success of this system depends on the perception of the employee. Therefore, it would start by sensitizing workers of a need of such a system in the organization. In addition, the pays to the employee should be as close as possible to the prevailing market rate to avoid negative perception of having to work more to get what other gets at ordinary rates. They system in the formulation stage should include staff who are perceived to be performance so as to give their contribution on what should be the standard measurement of performance. This is significant because, individual’s performance in a healthcare organization is intangible.     

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