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Strategic Focus On Compensation And Benefits

Strategic Focus On Compensation And Benefits

Strategic Focus On Compensation And Benefits

Incentive pay is one tactical component of compensation and benefits. Employees that partially or fully execute a planned task objectively are rewarded with incentives or variable pay (Martocchio, 2020). Incentives are payments other than base wages or salaries that change per how well people perform against certain benchmarks like predetermined formulas, individual or group goals, or corporate profits, according to Martocchio (2020). These pay structures are predicated on three underlying presumptions: (1) that teams and individuals contribute differently to an organization; (2) that the performance of its employees influences an organization’s performance; and (3) that an organization must reward employees based on performance to recruit, retain, and inspire high performers (Martocchio, 2020).

Many businesses and workplaces, according to Pendleton and Robinson (2017), use a variety of compensation incentives to promote employee success. Numerous studies indicate that having numerous pay incentives may be better than having just one, partly because one incentive’s positive aspects might balance out another’s bad aspects (Pendleton & Robinson, 2017). Additionally, several pay incentives enable employees to focus on various desired tasks rather than just one, as may be the case with a single incentive. According to Long et al. (2012), 15% of organizations offer pay incentives to groups of employees, while 35% of U.S. corporations use some kind of individual financial incentive (Long et al., 2012). It turns out that much research points to the fact that pay incentive programs inside an organization may help boost overall employee productivity and on-task behavior (Long et al., 2012).


Long, R., Wilder, D., Betz, A., & Dutta, A. (2012). Effects of and preference for performance pay: An analog analysis. Journal of Applied Behavior Analysis, 45(4), 821-826.

Martocchio, J. J. (2020). Strategic compensation: A human resources management approach(10th ed). Boston: Pearson.

Pendleton, A., & Robinson, A. (2017). The productivity effects of multiple pay incentives. Economic and Industrial Democracy, 38(4), 588-608.


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Please identify one strategic element of compensation and benefits. Discuss it in depth.

Strategic Focus On Compensation And Benefits

Strategic Focus On Compensation And Benefits

Develop a thread of at least 500 words. You must support your assertions with citations from the textbook’s current APA format, at least 2 scholarly sources, and 1 integrated Bible verse. Any sources cited must be peer-reviewed and have been published within the last five years.

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