Compensation Strategy Essay

1091 Words Dec 4th, 2012 5 Pages
To start with, we must first understand what a managerial strategy means and how we can apply the appropriately.
And according to a lay man understanding it simply means how you designs you organization in order to meet your targeted goals and how the managerial strategy links to rewards and compensation.
To choose the appropriate managerial strategy for the multi-products corporation, we must firstly have to understand the five key Contextual variables, which will help identify the best managerial strategy to use.
These variables are:- THE ENVIRONMENT This is the most important aspect to help determine the managerial strategy to use, because it help ask two questions to determine
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THE NATURE OF THE WORK FORCE This help to tell the nature of people employed by the organization. their skills, education characteristic and expectation (Richard, 2009) and it is said to make use of more semiskilled employees, soo the classical managerial strategy will also be appropriate here.
According to the multi-products corporation story, the best managerial strategy to use will be the classical approach because :- It involves very big employees about 600 workers and classical approach is the best way of managing the corporation. the leadership and decision making is also that of a classical approach because of the large base of workers and classical managerial strategy believes that people or workers are inherently lazy, dislikes work and their job arrangement have to be strict, hierrarchical, pyramidal fashion because of the overriding need to accountability and the coordination need to be handled vertically by a common superior because of the largeness of the workers and since unemployment is quite high there wont be stress looking for a replacement for any dismissed worker who neglect work or doesn't follow the code of conduct of the organization. And since employees in the industry are also not unionized, getting ride of them wont be a problem. The demand for the product is also stable and the production process include, readily available materials and there are many

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