A project charter revamping the compensation and benefits package To begin this paper let us first describe what a project charter is and why it is used. A project charter is the deliverable that grants a project team the right to continue into the more detailed planning stage of a project. It is like a contract that is signed by both the project team and the sponsors. It is signed willingly and both sides strive to make the project a success (Kloppenborg, 2015). There are four major reasons for a project charter. One it authorizes the project manager to proceed with the project. It helps the project team and sponsors develop a mutual understanding. It helps all parties commit to the project. It also will help to screen out a poor project …show more content…
Benefits are an important part of the employee compensation package. Like pay, benefits help employers attract, retain, and motivate employees. The variety of possible benefits also helps employers tailor their compensation packages to attract the right kinds of employees. Employees expect at least a minimum level of benefits, and providing more than the minimum helps an organization compete in the labor market (Noe, Hollenbeck, Gerhart, & Wright, 2014). Compensation is the total amount of monetary and non-monetary pay provided to an employee by an employer in return for work performed as required. Compensation is a combination of the value of a person’s pay, vacation, bonuses, health insurance, and any other perk a person may receive, such as free lunches, free events, and parking (Heathfield, 2016). Compensation also includes payments such as bonuses, profit sharing, overtime pay, recognition rewards, and commission. Compensation can also include non-monetary perks such as stock options, company-paid housing, and other non-monetary items (Heathfield, 2016).
Scope
Many employees when looking for a job or deciding whether to stay with their current employment often considers the employee benefits the company offers.
Compensation is made of a base salary (paid by the hour, work or the year; excluding overtime or bonuses), variable pay (bonuses, profit sharing/stock options which work hand and hand with the performance of the company), and benefits (to include health insurance/savings plans – 401(k), or tuition reimbursement). The traditional way of determining base pay for jobs was to compare jobs in the same industry. Now industry and market, no long work by themselves, the current thinking is more person-based that considers knowledge, skills, and competencies of the work. This, however, is best suited for high-performing environments that remain flexible in their deployment of human capital.
Since the baby boomers are aging quite fast, it is not likely that monetary compensation will be first in their lists. This is a different generation from the current young generation who most likely would prefer monetary compensation to other things. The older generations prefer work assignments that may seem to give back to the community as well as learning or researching. Therefore, the benefit packages for the company ought to look for the specific things that make each generation feel
Total compensation is a great incentive to achieve retention and job satisfaction for employees. Gomez-Mejia et al. (2016) describe total compensation as having three components; base compensation, pay incentives, and indirect compensation or benefits. Aflac achieves total compensation by offering the products and services they offer their customer to their employees at little to no cost. This includes “offering employer-paid life insurance, a company-paid cancer policy and company-subsidized accident protection insurance” (Reed, 2009). Aflac has proved to be a leader in the insurance industry so providing their products to their employees at a very low cost has awarded them with a higher rate of job satisfaction on the employee level.
Some of the big concerns people have when thinking about employment is benefits. What can a company provide to the potential employee in terms of insurance, vacations, advancement, and all the extras associated with the perks of certain companies? At the time do these people wonder about the organizations that may have a say in those benefits they so covet. The labor unions
Tomax Corporation has 400 employees and wishes to develop a compensation policy to correspond to its dynamic business strategy. The company wishes to employ a high-quality workforce capable of responding to a competitive business environment. Suggest different compensation objectives to match Tomax’s business goals.
A project is a temporary endeavour undertaken to create a unique product or service. They are goal oriented, have a definite start and finish time, must be done within cost, schedule and quality parameters. Projects involve the coordinated undertaking of interrelated activities (Project Management: Achieving Competitive Advantage). According to Tom Peters, “Projects, rather than repetitive tasks, are now the basis for most value-added in business”. Based on this, it is clear that projects are of utmost importance to businesses in both the service and the manufacturing industries.
One way to provide clear description of a project is to prepare project charter. A Guide to the Project Management Body Of Knowledge (2008), “it is the process of developing a document that formally authorizes a project or a phase and initial requirements that satisfy the stake holder needs expectations” (pg.71). Preparing a project charter is the initial step for project manager to start any project. In Project charter we can describe different components of the projects. To start any project, preparing a project charter is the initial steps for project manager. Some of the essential components are described below.
Compensation for today 's average worker has always been a highly sensitive topic for any employer. Determining fair compensation can be a overbearing task as there are many contributing factors that make up the general pay scale. When determining pay a company must always consider the hourly amount, the benefits that may be offered, any incentive that could potentially be incurred and ensuring that their employee have an established work life balance. For an employer to be successful in determining compensation for their associate they must remain grounded around 1 key principle. An employees compensation is determined by expertise, education and the daily duties performed by the employee.
Project Procurement Management is defined by the Project Management Institute (PMI) (2013) as a set of defined processes that support the acquisition of products, services, or results. The success or failure of a project is accredited to the project team’s ability to balance scope, schedule, and cost constraints. The need for procurement management increases the project’s level of complexity and likelihood of risks. Moreover, the procurement management processes are a project within a project. This singular knowledge area produces a procurement scope document, contractual agreements, and management plan, which align with the project management plan and objectives. Procurement processes play an essential role in the success of the project. Receipt of procurement deliverables drives the potential for the timely achievement of project objectives and managing costs. Procurement
Holland Enterprises is on a new strategic direction, to attract and retain the most talented employees and to reduce turn over. Human resource department has came up with a new compensation plan. In the propose compensation and benefits system plan , I will explain a new compensation plan for Holland Enterprises, also I will explain the components of the compensation and benefit system plan in order to attract and motivate employees to be productive . In order for the compensation and benefits system plan to be operational, the package should include a necessary level of compensations to fulfill basic needs, equity with the external labor market, equity within the organization (Henderson, 2006).
The organization is able to manage a high coverage of risks at relative low costs owing to the availability of highly skilled personnel in the company’s team of employees. This benefit also brings about another advantage of easing the financial burden of the organization (Johnson, 2016). Besides, effective employee benefit system offered by the organization could improve the general productivity. This benefit is attributed to the fact that employees tent to be more effective when they are given assurance of job security. In addition, workers become more productive when they and their families are given the desired security by the employer. The other benefit to the organization if it employs an effective compensation and benefits system entail benefits from premiums (Wayne, Shore, M., Bommer, & Tetrick, 2002). These premiums are typically tax deductibles as corporate expense. As such, a company that has an effective compensation and benefits system is likely save extra money for other
When planning a new project, how the project will be managed is one of the most important factors. The importance of a managers will determine the success of the project. The success of the project will be determined by how well it is managed. Project management is referred to as the discipline that entails the processes of carefully planning, organizing, controlling, and motivating the organization resources so as to foster and facilitate the achievement of specific established and desired goals and meet the specific criteria of success required in the organization (Larson, 2014). Over the course of this paper I will be discussing and analyzing the importance of project management.
Job satisfaction includes challenging work, interesting job assignments, equitable rewards, competent supervision, and rewarding careers. The quality of work life and psychological rewards from employment are very important. It is doubtful, however, whether many of us would continue working were it not for the money we earn. This paper establishes the definition of compensation, overview of compensation philosophy, critical components of a compensation strategy, and an example of an effective compensation practice. (www.indiana.edu/~busx420/Book.../chap09.doc)
A compensation package includes salary but also includes other non-salary benefits such as: health-care benefits, 401(k) plans, PTO (paid time off) and other perks. Businesses often utilize experienced Human Resources professionals to review, update and create salary scales and compensation packages for new hires. The total compensation package is often used as means of attracting employees who will complement the organization and should be consistently reviewed, acting as an incentive for retaining qualified staff. “Organizations that are not able to develop competitive pay scales along with strong compensation packages, face the risk of a competitor offering a more attractive package, which can result in employee turnover” (Dias, 2011, pg.