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reply to the students’ response and not the question  in 150 words minimum and provide 1 reference. Respond to the students response as though you are talking to them, use name 

question

Please answer the following questions:

  1. What are some advantages of a person-focused pay system at Mitron?
  2. What are some disadvantages?
  3. What approach would you recommend for Holly to take in designing a person-focused pay system?

STudents response

 

If Mitron transitioned to a person focused pay the advantages would that they would have more flexible workforce as they would be paying their people for their skills that they can effectively use verse the hourly rate based on the computers that they are building.  Paying for the skills would prompt or enable employees to gain more skills without risking pay being cut.  This gives them job security and enrichment in the job (Martocchio, p110).  As an employer, it helps to create a leaner force as your people will be able to fill in where there are staffing gaps (Martocchio, p110).  The cost and ability to transition to a person focused may not be feasible.  The initial cost of training is sometimes higher for the organization.  The way compensation is currently being done may not work with the person-focused pay so that would have to be evaluated prior to transitioning (Martoccio, p 113).  A good thing would be first to look at would person-focused be possible with current compensation programs.  If it is not then to see if there are things to do that would be cost-effective that can be changed to make it possible.  Then I would also see if others in the market have done this kind of compensation and see if they have transitioned.  Knowing how others were able to do it could be helpful in knowing what they had issues with so you don’t repeat those mistakes.  If the leadership wishes to proceed forward with the transition, I would get employee buy-in and have them be part of the transition.  This will make it smoother and help in troubleshooting any issues that may come up.

Martocchio, J. (2017). Strategic Compensation: A human resource management approach (9th ed.). Upper Saddle River, NJ: Pearson.

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