Caring, Acting, Knowing, Experiencing
Total Compensation 3255 (S50)
Phase I
Raman & Harveen
Ferhana Chaudhary
Rachit Jain
Daniel Lal
Raman Sidhu
Henry Wang
EXECUTIVE SUMMARY
C.A.K.E. Consulting is a consulting firm that specializes in compensation and rewards system management. Our current client, Duplox Copiers Canada Limited, is experiencing serious performance problems including: * High employee turnover * Decreased employee morale * Increase in customer dissatisfaction and complaints * A constant decrease in revenues and profits
After thorough analysis of Duplox’s organizational structure, policies, current managerial and compensation strategy, we were able to expose the root of the above mentioned issues, which is Duplox’s current compensation strategy.
Duplox’s current compensation strategy has developed conflicting goals for the sales and technical support services departments. These conflicting goals are creating rivalry among the employees, and the compensation system is perceived inequitable.
The current managerial strategy used is the classical managerial strategy “that assumes most employees inherently dislike work but can be induced to work in order to satisfy their economic needs” (Long, 2010, 29). This has caused employees to believe that they are not valued and can be easily replaced at the management’s discretion.
Communication (both vertically and horizontally) is not sufficient enough to provide employees with correct and timely information they require to efficiently serve the customer’s needs.
We recommend that Duplox adopts the human relations managerial strategy that will involve employees in the decision making process to an extent, and satisfy their social needs.
We have redesigned some jobs by combining a few positions, and eliminating a few other ones. A new compensation strategy will be in place, and compensation levels will be decided by performing job evaluations by
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