HRM 3490 Study Guide - Midterm Guide: Design Thinking, Organizational Citizenship Behavior, Cash Flow
16 Dec 2017
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Chapter 1: a road map to effective compensation. Reward systems have powerful effects on behavior, but the behavior we get is not always to behavior we want. Green giant canned vegetables insect example bringing insects from garden. Ibm computer programming, coding example useless lines of code. Total compensation: all aspects of compensation (base pay, pay-for-performance/incentives, and benefits) Canadian firms spend 40-70% of their operating budgets to compensate their employees. When not used correctly compensation systems can promote unproductive or counterproductive behavior such as low employee motivation, poor job performance, high turnover, irresponsible behavior, and employee dishonesty. Purpose of a compensation system is to help create a willingness among qualified persons to join the organization and to perform the tasks the organization needs. Employees must perceive that accepting a job with a given employer will help them satisfy some of their own important needs: security, social interaction, status, achievement, recognition, and growth and development.
