Compensation Essay Example | Topics and Well Written Essays - 750 words - 1

Compensation - Essay Example Each company in every industry across all countries has accountants who similarly have the same qualifications and skills with all the other accountants and thus, accounting is one example of a benchmark job. Once an individual is able to afford all the basic needs then the attainment of these needs seizes to become a motivating factor. However, the individual can become motivated again if he or she focuses on achieving other higher needs such as safety or social needs. If a school administrator sets a target for teacher to achieve for example to ensure that more than 50% of the students achieve grade B and above, if the teacher achieves this target he or she will receive an extra pay that is known as merit pay. According to the writings by (Milkovich, 450-700), broad banding is described as a practice whereby the human resource categories different jobs in ‘bands’ based on a broader classification such responsibilities and skill requirements. Broad banding eliminates small grouping of jobs, which usually result in many jobs groups. (Milkovich, 450-700), noted that among the key advantages of broad banding is that it reduces rivalry between employees in an organisation since it eliminates the emphasis on hierarchy or status within the organisation. Secondly, broad banding is advantageous to an organization because it makes the payment structure to be more flexible and responsive to the vary needs of the evolving environment. (Milkovich, 450-700) stated that it is not possible for certain organisations or countries to adopt the practice of broad banding, this is especially if the organisation or countries gives much regards to status or titles because of social factors and either the country or organization prefers the use of well defined procedures and policies. However, the practice can easily be adopted in organizations that are much flexible and prefer cross or lateral