Mu0015 Set 1

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Master of Business Administration-MBA Semester 4 Assignment - MU0015 – Compensation Benefits - Set 1 Name || Registration Number || Learning Center Name || Learning Center Code || Course || Semester || Subject || SET No. || D’Souza Pritam Henry 571017160 Halo Technologies, Thane, Mumbai 1976 Master of Business Administration - HR Fourth Semester Compensation Benefits 1 23rd March 2012

Date of Submission at Learning Center || Marks Awarded ||

Directorate of Distance Learning, Sikkim Manipal University, II Floor, Syndicate Building, Manipal – 576 104

Signature of the Coordinator

Signature of the LC

Signature of Evaluator

Halo Technologies and Training Pvt. Ltd. || 65260303 || 9870050750 || academics@halo.co.in
Winter Drive – November 2011 Sikkim Manipal University Submitted By: Pritam D’Souza Registration No. : 571017160 1

Master of Business Administration-MBA Semester 4 Assignment - MU0015 – Compensation Benefits - Set 1

Q1. What are the factors that have to be determined before preparing the salary structure? Ans. The following three factors have to be determined while developing a pay structure: · The proper data for establishing the relative value of a particular job to the organisation. · The proper pay range for a job with the defined value to the organisation. · The value of each job position within the specified pay range. Once the above factors are determined, pay structures can be developed through the following steps: 1. Group the jobs with those that have a similar value in the organisation. 2. Measure these groups to find out the number of pay ranges needed to group the jobs on the basis of their value to the organisation. 3. Create a salary range that has a minimum point, a mid-point and a maximum point for amounts allotted within the range and determine the pay for each job grouping. An organisation’s compensation philosophy and pay strategy determines the approach that should be taken to allocate pay across job ranges.

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