HRM 412 Midterm PowerPoint

Question 1

the pay model

Answer 1

internal alignment, competitiveness, contributions, management

Question 2

internal alignment

Answer 2

techniques: work analysis, descriptions, evaluation/certification, internal structure

Question 3

competitiveness

Answer 3

techniques: market definitions, surveys, policy lines, pay structure

Question 4

contributions

Answer 4

techniques: seniority based, incentives, merit guidelines, pay for performance

Question 5

management

Answer 5

techniques: cost, communication, change, evaluation

Question 6

objectives

Answer 6

efficiency (performance, quality, customer and stockholder, cost), fairness, compliance, ethics

Question 7

4 key policy choices

Answer 7

internal alignment, external competitiveness, employee contributions, management/communication

Question 8

internal alignment

Answer 8

INTERNAL ALIGNMENT – internal equity
Relative Value of Jobs (Highest-paid v. Lowest-paid, functions)
Longevity Value (WHYDFML v. Tenure)
Performance Value (see #3 below)

Question 9

external competitiveness

Answer 9

Pay-Level (amount)
Competitor Benchmark
Cost/Product Implications

Question 10

employee contributions

Answer 10

EMPLOYEE CONTRIBUTIONS – p4p
Pay-Mix (forms)
Metrics for Allocation

Question 11

management/communication

Answer 11

MANAGEMENT/COMMUNICATION – offers, benefits, etc.

Question 12

fundamental frameworks (culture creation and change)

Answer 12

see image

Question 13

pay unfairly (compensation philosophies)

Answer 13

LONGEVITY

Seniority basis
COLA raises
Pay scales raised annually
“Santa Claus” bonuses
Retain poor performers

PERFORMANCE

No raises for length of service
No raises for poor performers
Market-adjusted pay structures
Broadbanding
Pay-for-Performance bonuses

Question 14

BUS Basics

Answer 14

Bring the Right People Aboard
Unload the Wrong People
Switch Seats (when necessary)

Question 15

rigorous practices

Answer 15

1 – when in doubt, don’t hire, keep looking

#2 – when you know you need to make a people change, act
#3 – put your best people on your biggest opportunities, not your biggest problems

Question 16

employee value proposition

Answer 16

Exciting Work-challenge, innovation, passion
great company-culture, leadership, managers
Ample Rewards-pay for performance, market equity, wealth opportunities
Growth & Development-tailored plan, mentoring, sabbaticals

(Troy’s 5th proposition) Quality of Life-flexible arrangements, location

Question 17

EVP

Answer 17

Why would a highly talented person
choose to work here?

Question 18

External Competitiveness(Google’s Principles)

Answer 18

1. Pay unfairly
   -Are other companies misguided?
   -Compensation = Contribution
   -Two necessary capabilities (role
   impact, managers who can
   explain it)
2. Celebrate accomplishment, not compensation
   -Failed Founders’ Awards
   (procedural & distributive justice)
   -Shift to experiential rewards
3. Make it easy to spread the love – up to $175!!!
4. Reward thoughtful failure

Question 19

internal fairness-distributive/procedural justice

Answer 19

see image

Question 20

internal fairness-remote work

Answer 20

see image

Question 21

internal fairness-functions/roles

Answer 21

remember U of U pay gaps

Question 22

HIPO programs

Answer 22

high potential employees program that works to develop leadership and get highly talented employees into positions of leadership