Management and Organizational Studies 3342A/B Lecture Notes - Lecture 2: Flat Organization

• School: Western University
• Department: Management and Organizational Studies
• Course: Management and Organizational Studies 3342A/B
• Professor: Gail Robertson

Document Summary

Pay models are used to create and examine pay systems. Three basic building blocks: compensation objectives what you want to achieve through your pay system. What is it that you are hoping to achieve: policies that form the foundation of the compensation system. Principles (rules) that will guide pay decisions/ actions to achieve objectives. Generally 4 policies: techniques that make up the compensation system tools that will execute policies in order to achieve objectives. Tools organizations use to put the policies into practice. 3 compensation objectives: efficiency improving performance and quality to delight customers and stakeholders while controlling labour costs, fairness ensure employees are treated fairly, compliance conform to laws and regulations. E. g. , objective to reward employees fairly based on their. Guide the design of the pay system relative contributions translates to a pay-for-performance policy, which will be executed through merit increases. Standard for judging the success of the pay system.