ADMS 3490 Chapter Notes - Chapter 1: Reward System
30 Jan 2016
School
Department
Course
Professor
Document Summary
Chapter 1: a road map to effective compensation. Extrinsic rewards: factors that satisfy basic human needs for survival and security, as well as social needs and needs for recognition. Intrinsic rewards: factors that satisfy higher order human needs for self- esteem, achievement, growth, and development. Incentive: a promise that a specified reward will be provided if a specified employee behavior is performed. Reward system: the mix of intrinsic and extrinsic rewards that an organization provides to its members. Compensation system: the economic or monetary part of the reward system. Total rewards: a compensation philosophy that considers the entire spectrum of rewards that an organization may offer to employees. Reward strategy: the plan for the mix of rewards to be provided to member, along with the means through which they will be provided. The compensation strategy is one part of the reward system, the plan for creating the compensation system.
