Scribd Logo
Upload

Welcome to Scribd!

  • 61 views

    Piyoosh Bajoria

    Uploaded by

    PunitVala
    This document summarizes a presentation on compensation management for management staff in service and nonprofit organizations. It provides details on Tata Consultancy Services' (TCS) compensation model, which uses an Economic Value Added (EVA) approach. TCS offers both fixed compensation like wages and pensions, as well as variable pay including bonuses, profit sharing, and stock options. The presentation also outlines the objectives of TCS' employee benefits program and how their compensation practices helped improve employee satisfaction and performance.

    Copyright:

    Attribution Non-Commercial (BY-NC)
    Download as PPT, PDF, TXT or read online from Scribd

    Piyoosh Bajoria

    Uploaded by

    PunitVala
    61 views17 pages
    This document summarizes a presentation on compensation management for management staff in service and nonprofit organizations. It provides details on Tata Consultancy Services' (TCS) compensation model, which uses an Economic Value Added (EVA) approach. TCS offers both fixed compensation like wages and pensions, as well as variable pay including bonuses, profit sharing, and stock options. The presentation also outlines the objectives of TCS' employee benefits program and how their compensation practices helped improve employee satisfaction and performance.

    Original Title

    1473110_634779257210790000

    Copyright

    © Attribution Non-Commercial (BY-NC)

    Available Formats

    PPT, PDF, TXT or read online from Scribd

    Did you find this document useful?

    Is this content inappropriate?

    This document summarizes a presentation on compensation management for management staff in service and nonprofit organizations. It provides details on Tata Consultancy Services' (TCS) compensation model, which uses an Economic Value Added (EVA) approach. TCS offers both fixed compensation like wages and pensions, as well as variable pay including bonuses, profit sharing, and stock options. The presentation also outlines the objectives of TCS' employee benefits program and how their compensation practices helped improve employee satisfaction and performance.

    Copyright:

    Attribution Non-Commercial (BY-NC)
    Download as PPT, PDF, TXT or read online from Scribd
    Download as ppt, pdf, or txt
    61 views17 pages

    Piyoosh Bajoria

    Uploaded by

    PunitVala
    This document summarizes a presentation on compensation management for management staff in service and nonprofit organizations. It provides details on Tata Consultancy Services' (TCS) compensation model, which uses an Economic Value Added (EVA) approach. TCS offers both fixed compensation like wages and pensions, as well as variable pay including bonuses, profit sharing, and stock options. The presentation also outlines the objectives of TCS' employee benefits program and how their compensation practices helped improve employee satisfaction and performance.

    Copyright:

    Attribution Non-Commercial (BY-NC)
    Download as PPT, PDF, TXT or read online from Scribd
    Download as ppt, pdf, or txt
    of 17

    5th module presentation On Compensation for management staff (Service organization and nonprofit organization) Subject: - Management control

    system Guided by: - Ms. Ripal Madhani Mr . Nilesh Movalia

    Prepared by: - Gohil Ajaysinh p. (33) Talaviya yogesh c. (14)


    Academic year: - 2011-2013 K. K. Parekh Institute of Management Studies Amreli.
    Piyoosh Bajoria

    Compensation for management staff


    Introduction: Compensation Management is an integral part of the management of the organization. Compensation Management contributes to the overall success of the organization in several ways. Compensation management helps to determine the relative worth of a job in an organization in a systematic, consistent and accurate manner. It also helps in estimating the basic pay for each job in accordance with the importance of the job in the organizational hierarchy. Definition: Compensation management is a strategic activity that helps an organization improves the effectiveness of its employee reward processes.
    Piyoosh Bajoria

    CONT
    Components of Compensation System Components of a compensation system are as follows:

    Basic Wage and salary plans. Incentives Employee benefits. Performance-based pay Job analysis

    importance of compensation management

    To worker To employer To government


    Piyoosh Bajoria

    SERVICE ORGANISATION TATA CONSULTANCY SERVICES (TCS) Types of Compensation Direct Compensation Wages Salaries Commissions, Bonuses, Gainsharing, Profit Sharing Indirect Compensation Pay for Time Not Worked (vacation, sick leave, holidays, etc.) Insurance Coverage (medical, dental, life, etc.) Income Security (pensions and disability) Services(education assistance, child care, recreation, discounts, etc.)
    Piyoosh Bajoria

    EVA compensation model for TCS


    TCS (Tata consultancy service) adopted EVA aimed at creating economic value by concentrating on long term continuous improvement. This model measured operating and financial performance of the organization.

    Basis for giving compensation to employees.


    To assess employees contribution, at the company.

    Component of fixed and variable pay were determined


    Fixed Pay- wages, pension. Variable Pay- bonus, profit sharing and stock options.
    Piyoosh Bajoria

    Eva model by TCS compenstion management


    FIXED VARIABLE

    BONUS
    WAGE PROFIT SHARING PENSION STOCK OPTION

    Piyoosh Bajoria

    Types of Organizational Rewards Given by TCS


    Organizational Rewards

    Membership & Seniority

    Task Performance

    Competency

    Job Status

    Piyoosh Bajoria

    Membership & Seniority Based Rewards


    Rewards depends upon the firm which he or she joins and the time spent in it. Attract job applicants Reduce turnover May not directly motivate job performance May fail to motivate achievers to perform better

    Piyoosh Bajoria

    Job Status Based Rewards


    Depends upon the Status of the Job which is determined with the help of job evaluation. Maintains the feeling of Equity Fail to motivate achievers to perform better

    Piyoosh Bajoria

    Competency Based Rewards


    Rewards are linked to the competencies of employees. Also called Skill Based Reward System. Motivates employees to acquire additional skills Master of All Trades Improved Service Quality Expensive

    Piyoosh Bajoria

    Performance Based Rewards


    Linked to performance rather than seniority or membership. Organizational Rewards Profit Sharing Stock Options Team Rewards Gain Sharing Special Bonuses Individual Rewards Piece Rate Commission
    Piyoosh Bajoria

    Pay and Performance Relationship

    Feedback to employee

    Employee expects Pay

    Employee performs job

    Performance is evaluated

    Employee considers equity of performance, pay

    Employee sets new expectations based on previous experiences

    Piyoosh Bajoria

    Effective Incentive Plans


    1.Incentive plan should be linked to employee performance. 2.It should be communicated to the employees clearly . 3.Employee suggestions and inputs should be valued and rewarded. 4.The incentive plan should include both monetary and nonmonetary incentives for employees. 5. The incentive plan should be minimally affected by external factors.

    Piyoosh Bajoria

    Objectives of employees benefit program


    Tata consultancy the benefits that company offers to its Employee are: 1. Common benefits: Like Hospitalization insurance, Parivar Raksha Yojna, Employee Referrals, Car lease, Transport etc 2. Performance incentives: Like project completion incentives, Best project award, Outstanding performance bonus & Spot awards 3. Special benefits: Tax planning consultancy, Retrial benefits, Special young genius award for dependent children

    Piyoosh Bajoria

    TCS
    Employee satisfaction Won best employer award by CNBC

    Lowest attrition rate


    Performance Improvement Plans was employed EVA increased transparency

    Piyoosh Bajoria

    ESOPs and EVA


    ESOPs' was offered to only few employees According to TCS ,objective of

    EVA
    Value creation

    ESOP
    Long Term rewards

    Commitment

    Piyoosh Bajoria

    Piyoosh Bajoria

    You might also like