Process of Developing a Competitive Compensation System
Not what you're looking for?
1. Explain how an organization can balance external competitiveness with internal equity to achieve a successful market-based compensation program.
2. Illustrate with actual examples of employers achieving this balance. Also, provide examples of organizations failing to achieve one or both and illustrate what might result.
Purchase this Solution
Solution Summary
This solution explains the process of developing competitive compensation system. The sources used are also included in the solution.
Solution Preview
Step 1
An organization can balance external competitiveness with internal equity to achieve a successful market-based competition program (a). At the beginning the company must begin with studying the jobs in its organization (c). This is job analysis. Next each job needs to be evaluated. This establishes internal equity. After this the company has to identify its pay policy (d). This is determining whether the organization wants to meet the market in competition, lead the market, or be behind the market. After this compensation data collected from other companies should be analyzed. Normally this data is collected through a survey (e). Finally, the internal evaluation should be merged with the market pay rates. This method balances ...
Purchase this Solution
Free BrainMass Quizzes
Academic Reading and Writing: Critical Thinking
Importance of Critical Thinking
Writing Business Plans
This quiz will test your understanding of how to write good business plans, the usual components of a good plan, purposes, terms, and writing style tips.
Learning Lean
This quiz will help you understand the basic concepts of Lean.
Balance Sheet
The Fundamental Classified Balance Sheet. What to know to make it easy.
Change and Resistance within Organizations
This quiz intended to help students understand change and resistance in organizations