D355 Total Rewards Task 1 Course Guide:

VGM2: Total Rewards Strategy: Compensation

Task 1 Introduction

A competitive total rewards plan is essential to attracting quality talent and personnel who can contribute to the success of an organization. An effective total rewards plan includes both compensation and benefits.

In this task, you will create a market research-based total rewards strategy that includes a detailed compensation plan for a fictional business called The Bravo Center. This will be essential for a revitalizing organization like The Bravo Center, whose new owners have committed their efforts to making the organization a success. Refer to the supporting scenario, market research documents, and the Common Law Test to guide your work.

Scenario:

See the supporting documents: Bravo Center Scenario, Market Research Data, and the Common Law Test.

**Note: Read the task directions and the task rubric. Reference Bravo Center Scenario for scenario details, Market Research Data for a visual to help you determine lead, lag, or match market strategy, and Common Law Test for factors to determine contingent worker status. This guide should be used with Section 1, Section 2, and Section 3 in the course and the corresponding textbook chapters.

**The Bravo Center Scenario, the Market Research Data, and the Common Law Test are the only supporting documents for Task 1.

1. Discuss a total rewards strategy based on a lead, lag, or match approach to the market competition that supports the organizational goals by doing the following (see the attached "The Bravo Center Scenario" for organizational goals):

1. Based on external market research (provided in the attached "Market Research Data" document), internal equity, or the needs of the organization, explain how your total rewards strategy will lead the market, lag the market, or match the market, including a justification for your decision.

• Read the Task Directions, Rubric and the Bravo Center Scenario.
• Reference Section 1: Lesson 1 reading Textbook pages 2-20 and Section 2: Lesson 7 Textbook pages 173-175.
• Determine your Total Reward Strategy. Will you meet, lag, or lead the market? Why? How will this enable the organization to reach their goals based on the task scenario?

1. Explain how your total rewards strategy supports the following two goals:
   • recruitment of understaffed sections of the organization (IT & Marketing)
   • retention of understaffed sections of the organization (IT & Marketing)
   • Review Section 1 in the course and Textbook pages 57-75
2. Provide the total rewards mix of base pay, variable pay, and benefits and explain the factors that influenced your choices.

Compensation including Base Pay and Variable _____%

Benefits including Legally Required and Discretionary _____%

Wellbeing Intangible Rewards (not required) _____%

• Reference Section 1 and Section 2 in the course and the Textbook pages 58-65, 84-101 and 211-231

1. 1. Provide your pay mix for each job category in the organization.

Note: You may provide the pay mix as a written narrative or a chart.

Note: Refer to the table in "The Bravo Center Scenario" for an identification of each job category.

The Bravo Center Pay Mix

Department	Number of Personnel	Base Pay	Variable
Executive*	5	%	%
Administrative	10	%	%
Facilities Management	5	%	%
Grounds	1 manager, 1 supervisor, 18 contingent workers	%	%
Marketing**	3	%	%
IT**	5	%	%

Food Concessions	50	%	%
Operations	20	%	%

* The COO position is within this job category.

** These are identified as the understaffed job categories.

*** Note your Total Compensation Mix must equal 100% for each job category.

1. Justify your pay mix allocations among the various compensation areas and include reward priorities.

• What are the priorities of each department and how does your reward mix align to those priorities?
• Recommend 2-3 sentences for each department justification.

1. Explain how your pay mix from part B1 aligns to the compensation strategy and to the organization's strategy.

• Reference the course Section 1 and the Textbook pages 58-10

1. Describe how your compensation offering would give a competitive advantage in the recruitment of IT and marketing personnel given their unique qualifications and limited market availability.
   • Reference the course Section 2 and the Textbook pages 199-202.
   • What is competitive advantage? What things must you considering your compensation offerings?
   • How will these offerings impact recruiting?

1. Identify and describe one internal equity factor and one other pay factor that you will consider when you build your pay structure, based on your pay mix from part B1 and your job categories.

• Internal equity refers to jobs of similar experience, KSA's are paid similarly - what pay structure will you utilize to create internal equity? Reference the course Section 2 and the Textbook pages 181-190 for pay structures.

1. Describe two specific compensation items you will use to recruit a new chief operations officer (COO) and include an explanation for each of the compensation items you have selected.
   • Reference the course Section 2 and the Textbook pages 264-274.

1. Choose two factors from the attached Common Law Test and explain how each factor is used to determine the employment status of the 18 contingent workers needed for the grounds crew.
   • Reference the Common Law Test and the course Section 2 Textbook pages 304-311
   • Think of the contingent workers as independent contractors, per the task scenario.