Tuesday, May 13, 2008

Human Resource Management

Compensation Planning

Providing a competitive compensation package is vital to an organization’s survival as well as to its growth. Employers are frequently vying for the same candidates (especially at higher levels of the organization) and according to the 2000 SHRM Retention Practices Survey, compensation and benefits issues are the second most common reasons for voluntary employee resignations.

Since compensation is clearly an intrinsic part of an organization’s competitive advantage, it is important that you design and evaluate your compensation package in terms of your organization’s vision, mission, strategic direction and corporate culture.

Unfortunately, many businesses fail to do this. To determine if you should take a closer look at the effectiveness of your organization’s compensation system, here are a few questions to ask yourself:

• Do you conduct periodic surveys to assess employee attitudes and current & long-term needs?
• Do you conduct or utilize industry/market pay surveys to determine as a point of reference for your company’s compensation system?
• In relation to your industry/market, does your company’s compensation system

___ match      ___ lag     or     ___ lead your industry/market?


• Do you understand how ERISA, COBRA and HIPPA affect certain aspects of your employee benefit programs?

If you answered “no” to any of the above questions, you will benefit from talking with us about your company’s compensation system. Just email us: HR@dpvb.com.

Consulting Services Group

• Succession Planning
• Financial Management
• Business Success Program
• Human Resource Management