Compensation Strategies are developed to promote the goals of attracting, retaining, and motivating employees. Compensations policies at most organizations are based upon one of the following strategies: (1) a market compensation policy; (2) a market plus philosophy, or, (3) a market minus philosophy.
Review the description of each of the three strategies in the chapter on pages 166-169. The organization examples are: University of Arizona, Cisco Systems and Whole Foods. Research the compensation system of one of these organizations. Describe your findings in terms of whether the philosophy is evident and described, the organization makes a policy statement concerning their compensation strategy, and whether you are attracted to this organization based upon the information you discovered.
Consideration of your workforce needs is crucial to any successful compensation plan. The first step in development of a plan is to ask the employees what they care about. Some employees would rather receive more pay with fewer benefits or better benefits with fewer days off. Some may want a benefits package that allows them to choose!
Review the following types of voluntary benefits: Incentive Pay (pp 193-195); Medical Insurance (pp. 195-198); 401(k) (pp. 198-200); and, Paid Time Off (pp. 200-201). Complete the following:
- Identify how you would rank them in order of importance to you, as an employee
- Describe each one in detail
- Select your top-ranked choice and develop a paragraph in which you communicate to the employees in your organization what the benefit is and how it will work for them. Be specific and strategic. Ask for their feedback on the benefit you are considering to offer them.
Please only use the ebook that I attached so you can read the pages. References from other websites or other ebooks are no no.