ENTREPRENEURSHIP

Detailed explanation-1: -Flippo, “The function compensation is defined as adequate and equitable remuneration of personnel for their contributions to the organizational objectives.”

Detailed explanation-2: -Compensation management in human resource management refers to the processes and strategies used by organizations to determine and distribute fair and equitable pay and benefits to employees.

Detailed explanation-3: -Compensation is the reward or remuneration paid to the employees in return for the service rendered. Such compensation package includes both monetary and non-monetary components.

Detailed explanation-4: -A compensation strategy outlines your organization’s approach towards pay and benefits for your employees. This includes your business’ position on the job market, the level of the total cash, the main bonus principles in the organization, rules for the base salary, and employee benefits.

Detailed explanation-5: -Demand and Supply of Labour– It is one of the most important factors that affect the compensation of employees. If the demand is more than the supply, the compensation will be higher. Industry Standards– No employee would like to join a company whose compensation is below the industry standards.