Management is all about
tackling everything in an appropriate manner to get desired outcomes. When
things come to study management subjects such as compensation management, you
need some extra time and develop a good understanding of the subject. In any
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What is the compensation
management?
Compensation management
is an essential part of every organization. It supports financial and
nonmonetary benefits in order to attract employees, lower turnover, enhance
performance and amplify employee engagement. Before that, you need to know what
compensation is. In simple words, compensation acts as rewards seek by
employees in return for their work that includes payments (bonuses, overtime,
or profit-sharing), rewards recognition and sales commission, etc. It also
consists of non-monetary perquisites such as a company-paid car, stocks, and
company-paid housing.
Compensation is a
significant segment of resource management that encourages employees and
improve the overall effectiveness of an organization. Under this part of
management, employees get assured salaries and bonuses.
Objectives of
compensation management:
The main objective of
compensation management is to improve the effectiveness of the overall
organization by implanting needful efforts. Count the following key-points as
objectives of compensation management:
1.
Attract suitable staff
and keep qualified employees
2.
Create a reward
structure that is justified with logical and proper pay relations among
differently valued jobs.
3.
Proper organization of
pay structure reflecting inflationary effects
4.
Ensure rewards and
salary costs tackle changes in market rate or other industrial changes.
5.
Appraise employees’
praiseworthy work, duty, and loyalty, and offers promotions or progress.
6.
Abide with legal
necessities.
7.
Manage different
levels of compensations and differentials under review and handle wages costs.
Online compensation
management assignment help:
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3.
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4.
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5.
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