You have been hired as an expert in Total Compensation to help design a program that will allow your client to attract, motivate, and retain the right employees with the right skills to help achieve the organization's overall objectives. Before you can begin developing a new structure, you need to understand the underlying organizational factors that are causing the problems at your client's firm, as well as identify potential solutions to those problems. Your analysis should include the following elements:

1. Identify the contextual variables impacting this firm.

2. Identify the structural variables.

3. Based on the above, describe what managerial strategy the organization is using.

(the classical managerial strategy/ the human relations managerial strategy/ the high-involvement managerial strategy)

4. Identify the types of problems they are currently experiencing in regards to their employees and the kind of employee behaviors they need to achieve their

goals.

(Membership behaviour/ Task behaviour/ Organizational citizenship behaviour)

5. Describe the various components of your client's existing compensation and benefit systems.

(Base pay/ Performance pay/ Indirect pay)

6. Does their current compensation system support the employee behavior they are looking for? Is it in alignment with their managerial style?

7. Are there any other constraints that might impact your compensation strategy?

(Your report should be no more than 1500 words in length)

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Duplox Copiers Canada Limited Your Client Your client is Duplox Copiers Canada Limited, a wholly owned subsidiary of Duplox Copiers Incorporated, which is a large multinational firm based in the United States. Duplox Copiers Canada Limited (DCCL) is responsible for the sales, installation, and servicing of Duplox-brand copiers, but not their manufacturing, which is carried out in other countries. DCCL has about 1,200 employees, most of them located in branch offices across Canada. The head office for Duplox Canada is located in Toronto. Chart shows the organizational structure at head office. The executive committee consists of the CEO and the two vice presidents. The company has six departments: Marketing: Finance and Administration; Human Resources, Inventory Management, Technical Services, and Technical Training and Support. Chart 1 Drof Markni Duplox Copiers Canada Limited Organization Chart Toronto Head Office Vice Pranden Sirk Adrranitos Ver Direer of Chat Offic Share F Die of He Sands Die of Jay Meniga Nat Nem Vi Fick Servi Di Talakal Se Kary Dicio Heather kete Shana Friggstad, the President and Chief Executive Officer of Duplox Copiers Canada Limited, has requested your consulting services, and she is delighted that your team was assigned to her firm. DCCL is experiencing serious performance problems: employee tumover is up and morale is down, customer satisfaction is down and complaints are up; and, most importantly, revenue and profits are both down. President Friggstad knows that the compensation system used by a firm can contribute to all these problems, and since compensation is a major cost item (currently accounting for about 44 percent of the firm's costs) she suspects that the firm's compensation system may be implicated in these problems. But she can't be sure without your help. BC Region Service (V) SC legion BoOffi Field Servi Mag Model 1900 Som Tacial Service Sp Model 1000 Series Fi Chart 2 Duplox Copiers Canada Limited Technical Services Department Fra Ragion Service Manager (Cr) Beach Offic Region M Model 3000 Technical Service Sp Mod 2000 Spira Dector of Tec Keery Exdem Region O Sev Mange (T) On Bram Offic Chart 3 Technical Services Department Edmonton Branch Service Section B Service Manager ReWhee The S Ma Model 3000 Sem Queberg Serves Marager Masall 1000 Qu Bad Office Teilen Service Service Speci Field Service Max Model 4000 Ser Sp Mad0000 Strits Regi Service Me (a) Suvi Ch A Region Bread Offic Bud leventy Clark Chart 6 Duplox Copiers Canada Limited Technical Training and Support Department Taining Suppe The Trappar Trig Special Mod Spesa del pad De of Tec The Sp Hester Ralkur National Wuch Ma (Head Office) Duplox Copiers Canada Limited Inventory Management Department vary Clas lado Chart 7 Dy Mirag N Marof Book I Head Office) Breach lavery Claa The Manager of Sales Training thinks that part of the sales problem is insufficient sales training for new sales reps. Compensation for the Manager of Sales Training is based partly on the extent of recovery of training costs because Branch Sales Managers are required to charge sales training costs against their sales revenues and "transfer" these amounts to the sales training function. The higher the transfers, the higher the bonus for the Manager of Sales Training, but the lower the bonus for the Branch Sales Manager. Although employee benefits used to be good at Duplox, they have been whittled away in recent years in an attempt to cut costs as competition continues to intensify. (DCCL has a fixed benefits plan.) Right now, benefits are running at about 15 percent of total compensation, compared with the industry average of about 20 percent. Because turnover of TSSs has become a problem, total cash (direct) compensation for them remains above the industry averages. However, total cash compensation for the sales reps has dropped as sales (and therefore sales commissions) have dropped, and turnover among sales reps is becoming a serious problem. Duplox Copiers Canada Limited Your Client Your client is Duplox Copiers Canada Limited, a wholly owned subsidiary of Duplox Copiers Incorporated, which is a large multinational firm based in the United States. Duplox Copiers Canada Limited (DCCL) is responsible for the sales, installation, and servicing of Duplox-brand copiers, but not their manufacturing, which is carried out in other countries. DCCL has about 1,200 employees, most of them located in branch offices across Canada. The head office for Duplox Canada is located in Toronto. Chart shows the organizational structure at head office. The executive committee consists of the CEO and the two vice presidents. The company has six departments: Marketing: Finance and Administration; Human Resources, Inventory Management, Technical Services, and Technical Training and Support. Chart 1 Drof Markni Duplox Copiers Canada Limited Organization Chart Toronto Head Office Vice Pranden Sirk Adrranitos Ver Direer of Chat Offic Share F Die of He Sands Die of Jay Meniga Nat Nem Vi Fick Servi Di Talakal Se Kary Dicio Heather kete Shana Friggstad, the President and Chief Executive Officer of Duplox Copiers Canada Limited, has requested your consulting services, and she is delighted that your team was assigned to her firm. DCCL is experiencing serious performance problems: employee tumover is up and morale is down, customer satisfaction is down and complaints are up; and, most importantly, revenue and profits are both down. President Friggstad knows that the compensation system used by a firm can contribute to all these problems, and since compensation is a major cost item (currently accounting for about 44 percent of the firm's costs) she suspects that the firm's compensation system may be implicated in these problems. But she can't be sure without your help. BC Region Service (V) SC legion BoOffi Field Servi Mag Model 1900 Som Tacial Service Sp Model 1000 Series Fi Chart 2 Duplox Copiers Canada Limited Technical Services Department Fra Ragion Service Manager (Cr) Beach Offic Region M Model 3000 Technical Service Sp Mod 2000 Spira Dector of Tec Keery Exdem Region O Sev Mange (T) On Bram Offic Chart 3 Technical Services Department Edmonton Branch Service Section B Service Manager ReWhee The S Ma Model 3000 Sem Queberg Serves Marager Masall 1000 Qu Bad Office Teilen Service Service Speci Field Service Max Model 4000 Ser Sp Mad0000 Strits Regi Service Me (a) Suvi Ch A Region Bread Offic Bud leventy Clark Chart 6 Duplox Copiers Canada Limited Technical Training and Support Department Taining Suppe The Trappar Trig Special Mod Spesa del pad De of Tec The Sp Hester Ralkur National Wuch Ma (Head Office) Duplox Copiers Canada Limited Inventory Management Department vary Clas lado Chart 7 Dy Mirag N Marof Book I Head Office) Breach lavery Claa The Manager of Sales Training thinks that part of the sales problem is insufficient sales training for new sales reps. Compensation for the Manager of Sales Training is based partly on the extent of recovery of training costs because Branch Sales Managers are required to charge sales training costs against their sales revenues and "transfer" these amounts to the sales training function. The higher the transfers, the higher the bonus for the Manager of Sales Training, but the lower the bonus for the Branch Sales Manager. Although employee benefits used to be good at Duplox, they have been whittled away in recent years in an attempt to cut costs as competition continues to intensify. (DCCL has a fixed benefits plan.) Right now, benefits are running at about 15 percent of total compensation, compared with the industry average of about 20 percent. Because turnover of TSSs has become a problem, total cash (direct) compensation for them remains above the industry averages. However, total cash compensation for the sales reps has dropped as sales (and therefore sales commissions) have dropped, and turnover among sales reps is becoming a serious problem.

Answer rating: 100% (QA)

1The contextual variables impacting this firm include The company workforce Technology business size and business strategy Generally the business environment of the company is not stable For instance ... View the full answer