Compensation Strategies FREE eBooks

We want to share information with you that is timely and valuable for you right now. We have selected a few topics that focus on key areas of Compensation Strategies and are pleased to offer you the ability to download these eBooks for free. Please contact us with questions.

If you are a company leader with ambitions for business growth, your compensation strategy needs to make it easy for your employees to invest in your vision—especially your key performers. It should help build a unified financial vision for growing the business. This means you will need an effective way to share long-term value with those who help create it. The dilemma is finding the value-sharing approach that will best help you drive the sustained performance you seek.
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“I have a key employee who’s asking for some stock in the company or else he may move on—should I give it to him?” This is a question with which many owners of closely held businesses wrestle. It is multilayered in its implications; however, the answer is really pretty simple: “No.” But you should be glad he’s asking for it! This is a great opportunity because one of the talented producers in the company recognizes that the business has a compelling and profitable future.
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Generally, there are two categories of companies that have bonus plans for their employees: (a) those that know they have bad plans, and (b) those that think they have good plans but actually have bad ones. A harsh assessment? Perhaps. But a true one nonetheless. Certainly, there are some good plans out there. But they are pretty hard to find. This report will reveal why. It will then outline the keys to designing a great plan.
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For years, business leaders have struggled to find a formula for paying bonuses and other incentives in a way that actually “works.” Most of their efforts end in frustration. Layered on top of their “real life” experience, heads of companies are keen to the research that suggests incentive plans do not really “motivate” employees. There is no shortage of articles, studies and research that support that premise.
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It is not unusual for a chief executive to rely on HR to manage the compensation programs of the business. The CEO doesn’t want to get involved in the minutia of who is getting a wage increase this year or what salary band that every group of employees falls in. It’s not his role and a focus on such details would divert his attention from more critical strategic priorities. However, there are certain pay issues that only the company’s primary business leader can properly address.
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