What is Compensation Management System ?
Compensation management systems are the financial reward structure organizations uses to compensate the employees for the work they perform for the organization. Compensastion strategy consists of Reward system includes anything, that employee may value of desire and that employer is able or willing to offer in exchange of employee’s contribution. The reward form a part of the compensation system.
Different kinds of Rewards can be described as :
- Participative decision making
- More responsibility
- Opportunities for personal growth
- Grater job freedom and direction
- More interesting work.
- Direct compensation
- Basic salary or wage
- Overtime and holiday premiums
- Performance bonus
- Profit sharing
- Protection programs.
- Payment for time not worked
- Services and perquisites
- NON-FINANCIAL COMPENSATION
- Preferred office furnishings
- Impressive designation
- Own secretary