Compensation Systems Fit with Business Strategies”
Please respond to the following: first discussion writing produce 200 words about it
- Discuss the relationship between the strategic decisions and compensation practices of your current or former organization (Alternately, you may conduct online research to select an organization of your choice). Next, identify at least two (2) advantages and disadvantages associated with the compensation practices.
- Based on your response from the first part of the discussion, explain whether the organization’s approach to compensation management is a good fit for its business strategies. Provide rationale to support your information.
- Some industries appear to pay higher wages than others, even when measurable labor quality or the type of work they do seems similar. Use the Internet or the Strayer Library database to research one (1) company in a high and another in a low paying industry. Next, examine the key differences in the inter-industry wage differentials (e.g., IT vs. Retail industry). You will then need to summarize your findings within your discussion post.
- Discuss at least two (2) factors that you believe influence inter-industry wage/salary differentials. Support your rationale.
In Addition a response must be given back (100 words) to the other student Sherena Martin.
RE: Week 1 Discussion
Most businesses practice strategic tactics or decisions when they want to put a plan together for the companies future or to reach any goals. When my company notices that their sales are down, they will put together a plan that will attract it’s audiences. It’s usually something that will help them to reach their goal but also accommodate the customers so everyone is happy.
Compensation practices is what employees receive for doing their jobs in an organization. It includes pay, incentives and benefits. The relationship between strategic decisions and compensation practices is good. Usually, when a goal is met, the company will reward their employees for a job well done.
Advantages associated with compensation practices:
1) If an employee is acknowledged and rewarded for doing his/her job, they will continue to work hard, going above and beyond for the company.
2) Compensation practices also encourage employees to want to learn more about the organization so they can move up within the company.
Disadvantages of compensation practices:
1) Employees always looking forward to a getting a reward for doing a good job can be bad because employees are already getting a salary to do their job.
2) Employees can feel discouraged if it feels as if they are in competition with their fellow staff members for incentives and rewards which can lower productivity in the workplace.
I believe my companies approach to compensation management is o,k, but can be better. At times, they do offer you a reward when a job is done well but not always. Pay raises can be improved, most employees only get a .50 raise a-year. And most there are part time workers, so they are not making enough money to pay for the health benefits that the company is offering them. Most just apply for Medicaid assistance from the state and hope they qualify.
The compensation practices in a business organization depends with company’s goals and strategies which dictate the quality of work required from the workers and the total labor hours that each