Holland Enterprises

Employees are driven by a numerous motivators to stay in the company, but the biggest is simply getting a regular paycheck. Ensuring that the compensation system is effective is not just important but critical. A few organizations evaluate their compensation system to identify any shortcomings. It is always important to look at how the organization can improve its compensation strategy to attract the best candidates who can innovate and lead the company in the industry. In order to retain high performing employees, the compensation plan should offer more than just a competitive salary. A good example is Costco and Walmart, on the benefits side, 82% of Costco employees have health-insurance coverage, compared with less than half at Wal-Mart.

This report examines 3 different compensation systems that our company can develop and enforce within our company for our employees. Compensation is the most important and rewarding factor for employees, so a thorough and thoughtful approach should be taken as we think about changing the way in which this company rewards it's employees for the work they do for us each and every day.

The right compensation program will depend on the organization’s business strategy and goals. To achieve these, an organization must recruit and select the best possible employees. To attract such employees, there must be an attractive compensation plan. Competitors will be offering different payment options, this may be based on pay rate or special perks, and a company’s stock options. Organizations must be aggressive yet reasonable to compete with competitors. Retaining and encouraging employees to perform at their best may be achieved through an immediate incentive award

With the constant change in today’s business world, to have a competitive advantage makes it difficult for employers to attract and retain the most talented employees. Identifying the company’s compensation strategy ensures the organization offers the right pay and manages the pay increases to retain top talents. When we hear the word compensation we think about compensating an employee for their work performed, but there

A well-articulated compensation philosophy drives organizational success by aligning pay and other rewards with business strategy. It provides the foundation for plan design and administration and anchors current and future plans to the company's culture and values (Kaplan, 2006, p.32). Recognizing and rewarding achievement is the cornerstone of the company A’s compensation philosophy. The mission of the company is to attract, select, place and promote all individuals based on their qualifications. The company believes that performance-based compensation helps attract, develop and retain talented professionals. In addition to base pay which based upon local market conditions and targeted to be above market, the company provides the following types of potential compensation to reward performance:

Compensation strategies within a company are very important. Companies need to invest in offering compensation benefits to their employees because they enhance an employee’s wiliness to stay long term with the company. They also provide a positive foundation between the employee and employer. If an employee is happy and content with the company they work for then this will benefit the company and the employee. The employee will be motivated to do a good job for the company and in the long run the extra money and work that the employer puts in for the added benefits will pay off. In this report you will see how Paid Time off (PTO) , bonuses and merit pay increases will benefit not only the employee but the business.

The objective of any compensation system is to attract, motivate and retain good employees. The most common bases for pay used in most companies are; Seniority or Longevity Pay and Merit Pay. Seniority and Longevity reward employees with periodic additions to base pay according to employee’s length of service in performing their jobs. There are differences between these two pay systems. For example, seniority rewards employees’ for the amount of time working with the company. In contrast, longevity pay rewards employees who have reached pay grade and who are not likely to move up in the company. Merit pay rewards employees with incentive increases according to their job performance. Rewarding employees for their job performance will motivate them to keep performing at high level and will help employers retain its best employees to a successful company. Campbell soup uses both pay systems. Campbell Soup strives to keep their employee’s; they reward them according to their contributions and job performance giving to the company. For example, employees were rewarded for helping build Soupy Park made of recycled materials. Being a large manufacturer Campbell Soup has several components to its compensation program. These components are as follow; Base salary, performance- based annual incentive compensation, long term equity incentive compensation, pension and

Compensation is the total reward received by an employee in exchange for services performed for an organization, it can include both direct pay (salary and wages) and indirect pay (benefits program) (Siddique, n.d). Compensation management refers to the way or ways the employer takes care of one of the most difficult problems with the employee, the employer wants to save money so that it may be further invested in the company meanwhile the employee wants a good remuneration for his or her services (Siddique, n.d). the objectives in compensation management are: promote fair contributions to the employees, recruit qualified people, retain present employees, ensure equity of compensation, reward smart work, appreciate creativity and innovation,

Pay structures, regardless of the size of the organization, must have two things going for them, which are external and internal equities. In order to give employees purpose to continue to give their loyalty and retention, there must be incentives as paying for education, experience and training, job tenure, demonstrated skills, or a combination of these attributes consistently. Organizations should develop a well written compensation program which includes incentives, and addresses both external and internal equities.

Organizations create compensation and benefits packages in order to attract the best talent. In today’s global economy it is imperative that organizations offer compensation packages that are competitive in order to recruit the very best talent in the world. However, in order to be successful, compensation packages must align with business strategies. Authors “Mathis, Jackson, and Valentine (2014) explain that an effective total rewards approach balances the interests and costs of the company with the needs and expectations of employees” (p. 369). In order to gain a competitive edge, organizations must balance the costs of payroll and benefits with rewarding employees for their contributions. This paper will analyze the construction of a compensation and benefits package that is needed for a new secretary position at the Frye Memorial Hospital in Huntington, WV. The paper will highlight the essential elements of a compensation package. Moreover, the paper will examine how the compensation package aligns the Human Resource (HR) strategy with the Hospital’s business strategy.

What better way to drive people to work harder and more efficiently, you may ask, than to offer them a special carrot: more money for hitting specific company targets? The idea seems perfect. Studies have shown time and again that pay represents one of the most important factors involved in retaining qualified employees, it is little wonder that there has been a great deal of attention focused on how best to compensate employees for their performance in recent years. Moreover, because employee performance and productivity is inextricably related to organizational profitability, these issues have assumed new relevance and importance in the current economic

Increased productivity can lead to an organisation having a more sustainable competitive advantage in the market place (Li et al, 2007; Riemer et al, 2009).

The purpose of this report is to use the compensation system we previously developed in Phases I and II to pay people, develop plans that reward performance, add benefits into the mix, and evaluate these results. First we will look at performance-based-pay as a policy for recognizing employee contributions. Performance-based-pay is a pay plan that varies with some measure of individual or organizational performance, such as merit pay, lump-sum bonus plans, skill-based pay, incentive plans, variable pay plans, risk sharing, and success sharing. It is basically a pay plan that moves away from the traditional base pay and across-the-board increases, and

The purpose of this paper is to highlight the best practices followed by HRM and to acknowledge the importance of compensation and benefit strategies used in organizations all around the world. Compensation and Benefits are used by different organisations globally to attract, motivate and retain their employees. This paper contains a case studies, summary and analysis of academic journals and books to understand the latest trends in compensation and benefits field. The three primary components which are used in designing a strategic compensation plan are listed. During the course of the paper, it discusses how the compensation and benefit strategies can be tailor-made for the different generations joining the workforce,

Compensation is defined as all forms of financial and non-financial rewards, benefits and tangible services that employee receives in return for the work from an organization (Milkovich, Newman & Gerhart, 2010). In recent years, most of the companies in Malaysia are followed the trend of pay increase with productivity gains. This scenario increases the economic development in Malaysia. With the rapid growing of economic in Malaysia, the cost of living is getting higher. People are expected to obtain a job with high pay and good compensation package. From current society perspective, pay is a measure of justice and fairness. Every employee should be treated fairly because they will compare oneself with another individual. Thus, it is important for us to justify the cash and incentive compensation policy of company D from society perspective.