HRM 898 Compensation Chapter 1 summary
Canadian firms typically spend 40-70% of operating budgets to compensate employees
o Most firms, compensation is the single largest operating expenditure.
A compensation system is one of the most powerful tools to
HRM898 Chapter 4 Summary
In designing any compensation strategy, we must address two key questions:
What role (if any) should each of the three compensation components (base pay, performance
pay, indirect pay) play in the compensation mix, and how should
Types of Reward Problems
3 main categories: 1) failure to produce the desired behaviour, 2) production of the desired behaviour
but with undesirable consequences, and 3) production of reward dissatisfaction
Failure to produce desired behaviour
Explain why the same compensation system may be a success in one firm, but a
failure in another.
Describe an organizational system.
Explain how the strategic framework for compensation can be used as a tool for
designing effective reward and compensation
HRM898 Chapter 9 Summary
Discuss the key considerations in understanding labour markets.
Identify possible sources of compensation data.
Describe the steps for conducting compensation surveys.
Analyze, interpret, and apply compensation survey data.