MHRE228D Project: Effectiveness and Compensation
Анотация:
In the organizations with a modern style of management compensations and rewards are among the key tools of human resource management whereas the traditional function of compensation administration is no longer of such importance. Human resource management experts need to know in detail the applicable labour and insurance legislation, the labour market trends and the resources available in the organization for motivating its staff. In this way HR experts can support the senior management in designing appropriate policies and reward systems which should appeal to the employees and attract and retain the best of them. At the same time, the compensation system must account for the actual results of the organization activities expressed as productivity of labour.
Compensations and rewards are discussed in the context of effective motivators for the employees as an essential part of the organization’s budgetary policies aligned with the modern concepts of measurable results via performance evaluation. Special attention is paid to different payment systems which allow efficient administration and satisfy the employee expectations for pay justice and opportunities for development.
By working in a comprehensive case study, updated to the problems of the labor market in the year to demonstrate the different stages in the development of a system of incentives, which includes a structured model of pay and a wide range of methods for intangible reasons.
The course aims at:
• Guiding the students to acquire the necessary competencies in labour legislation and develop a mindset which interprets compensation systems within the respective regulatory framework.
• Supporting the students to develop a complete concept of personnel incentives by making appropriate connections among the theories of motivation, the methods of performance evaluation, the pay system models and the relevant actual trends established by labour market surveys.
• Guiding the students into developing practical skills in building compensation & reward systems under the existing conditions in a country such as Bulgaria.
Преподавател(и):
доц. Мария Иванова д-р
Описание на курса:
Компетенции:
Students who successfully complete the course:
1) know:
• The major laws and regulations which set up the framework for pay mechanisms in labour relations.
• Which elements of the pay systems must be aligned with the relevant national legislation.
• What is the role of minimum wages and their levels in the European Union member-states.
• What are the features of the major segments of the Bulgarian labour market concerning pay levels.
• Which are the most popular sources of labour market information.
• Which are the key principles of compensations on which the different pay systems are based.
• Which are the external and internal factors which determine pay levels and methods of pay.
• What is the connection between motivating and demotivating factors, the payment principles and the non-monetary elements of compensation and reward systems.
• What is the compensation structure according to the relevant labour legislation and the compensation policies of the organization.
• Which are the most popular incentive plans and how to apply them efficiently.
• What is the nature and the which are the mechanisms for applying performance-related payment systems.
• Which are the most popular pay systems applied in bog organizations in Bulgaria and elsewhere.
• Which are the key processes in building up a compensation & reward system.
2) be able to:
• Consult the senior management on compensation and reward issues and make grounded proposals for improving the existing pay system in a given organization.
• To apply, in collaboration with competent legal councils and accountants, the requirements of the labour legislation applicable to compensation matters.
• To identify appropriate labour market surveys and to interpret them according to their specific needs for information.
• To analyse all aspects of a compensation & rewards system with a view to make grounded proposals for improving the existing pay system or build a new one.
• To identify and account for all factors relevant to building a compensation & rewards system, including legal, financial and psychological considerations.
• To pinpoint deviations from the established principles in a compensation and rewards system and propose solutions towards a more consistent pay system.
• To set up the framework for a graded pay system by designing the key components of such a system such as pay grades, the steps within a grade, criteria and rules for advancement along the pay grid, and the rules for accepting exceptions to the grid logic.
• To give professional feedback on the performance of an employee in connection with the principles for changing the compensation and rewards system.
Предварителни изисквания:
Students should have knowledge and/ or skills in:
• English reading/ writing skills.
• Computer skills (text-processing, worksheets, Internet and e-mail).
• The training is more effective if the students have a prior bachelor degree in economics, psychology or another relevant subject which could be instrumental in developing a professional attitude.
• Prior knowledge in motivation theories, job evaluation and personnel appraisal contributes significantly to better course outcomes.
Форми на провеждане:
Дистанционен
Учебни форми:
Проект
Език, на който се води курса:
Английски
Теми, които се разглеждат в курса:
- Additional pre-conditions for forming the final score: To study management system of remuneration in a particular subject The survey covers the following issues: 1. What is the strategy of the organization in terms of salary? 2. Who, how and with what methods developed budget for salaries? 3. What documentation (how) is regulated by the control system of remuneration? 4. What are the main characteristics of the Regulation laying down and amending the basic salary? 5. What are the main features of the regulation setting and modification of bonuses? 6. What are the main characteristics of the Regulation to calculate gross pay? 7. What are the main strengths and weaknesses of the management system of remuneration in a particular organization (personal opinion)? 8. What suggestions for changes can be made (personal opinion)? The study must be in writing up to 10 standard pages. Note: figures and data which are official secrets should not be out!
Литература по темите:
• Aggarwal, A.K., Samwick, A. (2003) Performance incentives within firms: The effect of managerial responsibility. Journal of Finance, Vol. LVIII, No. 4, p. 1613-1649.
• Aberdeed Group, 2007. Incentive Compensation Management: Aligning Employee Performance with Business Goals. Aberdeed Group: White paper.
• Aberdeed Group, 2008. Total Compensation Management: Taming Costs and Rewarding Employees. Aberdeed Group: White paper.
• Armstrong, M. 1999. A Hanbook of Human Resource Management Practice, 7th ed. London: Kogan Page.
• Armstrong, M. 2007. A Handbook of Employee Reward Management and Practice. 2nd Ed., London: Kogan Page.
• Baker, G.P. at el. (1998) Compensation and incentives: Practice vs. Theory. Journal of Finance, Vol. 43, Issue 3, p. 593-616.
• Ball, C.A. 2003. Take Charge of Your Workers' Compensation Claim: an A-to-Z Guide for Injured Employees. Berkeley, CA: Nolo Press.
• Cichelli, D.J. 2004. Compensating the sales force. NY: McGraw Hill.Anthony, W., Perrewe, P., Kacmar, K. 1993. Strategic Human resource Management. The Dryden Press.
• Chingos, P.T. (Ed.) 2002. Paying for Performance: A Guide to Compensation Management. NY: John Wiley.
• Ball, C.A. (2003) Take charge of workers compensation claim. Nolo Press.
• Bebchuk, L., Khurana, R. (2006) The compensation game. Harvard Business School.
• Cichelli, D.J. (2004) Compensating the sales force. McGraw Hill.
• Crandall, N.F. et al. (2003) The headcount solution: How to cut compensation costs and keep your best people. McGraw Hill.
• Dibachi, F., Dibacji, R.L. (2002) Just add management - Seven steps to creating a productive workplaceand motivating your employees in challenging times. McGraw Hill.
• Fisher, C., Wise, V. (2006) Share-based payment: Emerging issues. Victoria University, Occasional Paper No. 13
• Garvey, G., Milbourn, T. (2003) Incentive compensation when executives can hedge the market: Evidence of relative performance cross section. Journal of Finance, Vol LVIII, No. 4, p. 1557-1581.
• Herzberg, F. (1987) How To Motivate Employees Harvard Business Review, p. 5-16.
• Incentive compensation management: Aligning employee performance with business goals (2007) Aberdeed Group, White paper.
• Jensen, M.C., Murphy, K.J. (1998) Performance pay and top management incentives. In: Foundations of Organizational Strategy, Harvard University Press.
• Laffont, J.J., Martimort, D. (2002) The theory of incentives. The principal-agent model. Princeton University Press.
• Manas, T.M., Graham, M.D. (2003) Creating a total rewards strategy: A toolkit for designing business-based plans. Amacom.
• Milkovich, G.T., Newman, J.M. (2002) Compensation. 7th Edition, McGraw Hill.
• Narayanan, V.G., Raman, A. (2004) Aligning incentives in supply chains. Harvard Business Review, p. 94-102.
• Nicholson, N. (2003) How to motivate your problem people. Harvard Business Review, p. 5-12.
• Reda, J.F. et al. (2005) Compensation Committee Handbook, 2nd Edition, John Wiley.
• Schlegel, J. (2007) The cycle of Excellence. Compensation administration in Pay-for-Performance organizations. Salary.com.
• Senger, J. (2005) Designing A Not-For-Profit Compensation System. John Wiley.
• Sifleet, J. (2004) Beyond 401(k)S for small business owners: A practical guide to incentive, deferred compensation, and retirement plans. John Wiley.
• Smith, G. (2004) Leading the Professionals: How to Inspire & Motivate Professional Service Teams. Kogan Page.
• Stevenson, N. (2000) 10 Minute guide to motivating people. 2nd Edition, Alpha Books.
• Yanadori, Y., Milkovich, G.T. (2002) Origin of CEO and compensation strategy: Differences between insiders and outsiders. CAHRS/Cornell University.
Additional materials supplied by the tutor upon expression of individual interest by any of the students.l