Bus 409 Assignment 1.docx - RUNNING HEAD COMPENSATION...

This preview shows page 1 - 4 out of 9 pages.

RUNNING HEAD: COMPENSATION PRACTICES Compensation Practices Concheta Askew Dr. Marilyn Fitzpatrick BUS 409: Compensation Management July 27, 2018
COMPENSATION PRACTICES 2 Compensation Practices Introduction Compensation is an essential part of every organization as it ensures that the employees are fully satisfied in that they feel that they are getting value for the services they give the organization. Compensation refers to the items that the employees normally receive in exchange for the various contributions that they make towards an organization ( Gupta, 2014). This is a systemic approach that has been adopted by many organizations to provide monetary value to the employees in exchange for the work that they provide to an organization. There is an increasing prevalence of formal philosophies, written salaries and outlined performance management structures that have dominated the formal compensation programs in most organizations. Google Inc. is an example of a public traded company that has an outlined compensation strategy for its employees. This essay contains an analysis of ways that compensation practices impact an organization and its employees. Briefly describe the company you researched, its compensation strategy, best practices they are applying, and compensation-related challenges they are facing
COMPENSATION PRACTICES 3 Google has been able to provide a competitive compensation strategy for the last few years with a holistic approach to programs that aim at career development. When compared to other similar firms, Google offers a more competitive strategy thus attracting many employees. The company offers high salaries, detailed incentives, and additional benefits. There are a number of financial benefits that are provided to the company including; medical benefits, retirement benefits, free meals, access to gym equipment and other additional incentives that appeal to the employees in the organization. This compensation strategy has been able to appeal to the highly qualified and smart personnel in the company who perceive the company as an excellent employer. There are a number of best practices that have been adopted by Google which improve their effectiveness. One of these practices is the adoption of the pay for performance strategy where the employees are paid for their performance. The employees with the best performances after a given period are usually provided with rewards for their hard work. This motivates them

  • Left Quote Icon

    Student Picture

  • Left Quote Icon

    Student Picture

  • Left Quote Icon

    Student Picture