All of these factors are critical to increasing the effectiveness of the company through increased customer satisfaction, competitive advantage, and stakeholder satisfaction. The Pay Model Guides Strategic Pay Decisions Using the Pay model, the five strategic compensation choices facing Whole Foods managers will be: o Objectives : How should compensation support the business strategy and be adaptive to the cultural and regulatory pressures in a global environment? o Whole Foods objectives: o Increase shareholder value through profits and growth; o Go to extraordinary lengths to satisfy and delight customers; o Seek and engage employees who are going to help the company make money. o Internal Alignment : How differently should the different types and levels of skills and work be paid within the organization? o Whole Foods: o Store operations are organized around self-managed teams; o Executive salaries do not exceed 19 times the average pay of full-time employees; o All full-time employees qualify for stock options and 94 percent of options go to nonexecutive employees. o External Competitiveness : How should total compensation be positioned against competitors? What forms of compensation should be used?
You've reached the end of your free preview.
Want to read all 40 pages?
- Spring '13
- Employment compensation