1 / 3

Compensation Goals and Strategy

Compensation Goals and Strategy. Basic Goals of a Compensation System Attract Employees Retain Employees Motivate Employees Compliance with Pay Laws Administrative Simplicity Cost Effective . Compensation: Strategic Choices (Gomez-Mejia, Balkin & Cardy, 1998).

una
Download Presentation

Compensation Goals and Strategy

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript


  1. Compensation Goals and Strategy Basic Goals of a Compensation System • Attract Employees • Retain Employees • Motivate Employees • Compliance with Pay Laws • Administrative Simplicity • Cost Effective MGMT 4030 - Managing Employee Reward Systems

  2. Compensation: Strategic Choices(Gomez-Mejia, Balkin & Cardy, 1998) • Job-based vs. Individual Pay • Fixed vs. Variable Pay • Internal vs. External Equity • Performance vs. Membership • Egalitarian vs. Elitist System • At Market vs. Above or Below Market • Monetary vs. Non-Monetary Rewards • Open Pay vs. Secret Pay • Centralized vs. Decentralized Pay MGMT 4030 - Managing Employee Reward Systems

  3. Impact of Strategic Pay Choices on the Organization • Strategic Choices can Strengthen or Dilute Organization Culture • Ex. What choices would support a Culture of High Employee Involvement and Empowerment? • Ex. What choices would support a culture of Security and employee Loyalty • Strategic Choices should Support HumanResource and Business Strategies • Ex. What choices would support an HR strategy of Promote from Within? • Ex. What choices would support a Business strategy of Innovation and Growth? MGMT 4030 - Managing Employee Reward Systems

More Related