Compensation & Reward Strategy

Component

Marks

Description

Mapped CO

Simulations

20

Sim 1 (10M): The Salary Structuring. Sim 2 (10M): The Bonus Pot Allocation.

CO2, CO3

Case Study

10

"The Pay Gap": Analysis of internal equity and pay transparency issues.

CO1, CO4

Presentation

10

"Total Rewards Pitch": Designing a benefits package for Gen Z talent.

CO5

Mid-Term

10

Internal written exam covering Job Eval and Pay Structures.

CO1

Project

10

"Job Evaluation": Conducting a Point Factor analysis for 3 roles.

CO2

Participation

10

Active involvement in compensation labs.

All

Session

Topic

Pre-Reading (Milkovich et al.)

Assignment / Case Study

1

The Pay Model

Strategy, Objectives, Policy, and Techniques.

Ch 1: The Pay Model

Assignment: Map the compensation objectives of a startup.

2

Strategic Alignment

Aligning pay with business strategy (Cost Leader vs. Innovator).

Ch 2: Strategy

Task: Compare pay strategies of Google vs. Walmart.

3

Internal Alignment: Job Analysis

Collecting job data to determine internal worth.

Ch 4: Job Analysis

Assignment: Create a Job Description for a Comp Analyst.

4

Job Evaluation Methods

Ranking, Classification, and Point Factor Method.

Ch 5: Job Evaluation

Project: Point Factor Evaluation for a Manager role.

5

Person-Based Structures

Skill-based and Competency-based pay systems.

Ch 6: Person-Based Structures

Task: Design a skill block for a software engineer.

6

External Competitiveness

Defining the relevant market and pay policy lines (Lead, Lag, Match).

Ch 7: Defining Competitiveness

Assignment: Conduct a mini "Salary Survey" for a role.

7

Designing Pay Levels & Structures

Pay grades, ranges, and broad-banding.

Ch 8: Designing Pay Levels

Task: Construct a Pay Structure with Min/Mid/Max.

8

Pay-for-Performance: Individual

Merit pay, lump-sum bonuses, and piece-rate plans.

Ch 9: Pay-for-Performance

Case Study: Lincoln Electric’s Incentive System.

9

Mid-Term Internal Exam

Assessment of Job Evaluation and Structure design.

Review: Sessions 1–8

Assessment: Written Exam (10 Marks).

10

Pay-for-Performance: Group & Org

Gain-sharing, Profit-sharing, and ESOPs.

Ch 10: Team Pay

Assignment: Design a Profit-Sharing formula.

11

Simulation Lab 1: Salary Structuring

Designing a CTC breakdown (Basic, HRA, Special Allowance) for tax efficiency.

Manual: Payroll Guide

Assessment: Simulation Performance Score (10 Marks).

12

Employee Benefits & Services

Mandatory (PF, Gratuity) vs. Voluntary benefits.

Ch 12: Benefits Process

Task: Design a "Flexible Benefits" menu.

13

Executive Compensation

Agency theory, stock options, and golden parachutes.

Ch 14: Executive Pay

Case Study: CEO Pay Ratios.

14

Simulation Lab 2: The Bonus Pot

Allocating a fixed bonus pool across a team based on performance ratings.

Manual: Calibration Guide

Assessment: Simulation Performance Score (10 Marks).

15

International Compensation

Balance Sheet approach and localization strategies.

Ch 16: International Pay

Assignment: Calculate an expat package for London.

16

Government & Legal Issues

Minimum Wages, Equal Remuneration, and Code on Wages 2019.

Ch 17: Government & Legal

Task: Audit a salary slip for legal compliance.

17

Budgets & Administration

Managing labor costs and communication of pay.

Ch 18: Mgmt & Communication

Assignment: Draft a "Pay Increase Letter".

18

Pay Transparency & Equity

Managing pay secrecy and the gender pay gap.

Ref: Pay Equity

Case Study: The Pay Gap Analysis.

19

Capstone Presentation

Presenting the "Total Rewards Pitch".

Manual: Presentation Rubric

Assessment: Group Presentation (10 Marks).

20

Course Synthesis

The future of rewards (Gig, Remote, Crypto).

Ref: Future of Rewards

Submission: Final Course Portfolio.