The organization has to be US based. Questions 1 2 4 5

Chapter 2 strategy The Totality of Decisions 61 QUESTIONS war for top brokers? Will most firms benefit? Who will 1. What will be the result of the bidding for brokers. 2, be the winners and losers? a strong relationship between pay and performance Explain why there is such What about the brokers? why isn't this other jobs? 3. Should Bank of America change its compensation strategy to include more subjective have What effect this ments of performance and a greater Describe the on its success in the bidding war top brokers? In chapter 1, we talked about incentive and sorting effects of pay compensation strategy 4. sorting effects at Merrill Lynch and how changes to the incentive and affect them. Still Your Turn Mapping Compensation Strategies Take any organization that you know-current employer, business school, the place you in of Microsoft and S Map terned, friend's employer. Look it to that of Microsoft and SAS. your organization's compensation strategy then compare 1. Summarize the key points of your company's strategy. SAS? 2. What are the key differences compared to the strategies of Microsoft and compensation or ask several managers in the same organization to map that organization's strategy. You may need to assist them. Then the managers' maps. 3. Summarize the key similarities and differences. 4. Why do these similarities and differences occur? leaders? To 5. How can maps be used to clarify and communicate compensation strategies to employees? Summary Managing total compensation strategically means fitting the system to the business and environmental conditions. We believe the best way to proceed is to and start with the pay model the objectives and four policy choices take the steps discussed in the chapter: (i) assess implications for the total compensation of your organization's situation: (2) map out the compensation objectives and four policy choices to achieve them (internal alignment, external competitiveness, employee contributions, and management: 3) translate these policies into the workplace via the compensation system and implement it: and (4) reassess by comparing your