Compensation Plan for Non-for Profit Organization

Compensation Plan for Non-for Profit Organization

Introduction

The business community of today's organization has realized the importance of compensation plans and programs in order to maximize the benefits for both the organization as well as the employees. Similar is the case when talking about the compensation plan in a nonprofit organization or a charity organization that does not aim to retain any profit.

The charity organization are opting for a compensation plan due to the reason of keeping the management and the employees with the opportunity of earning awards related to compensation and benefits that are separate from the base salaries. The compensation and incentive are linked together with the performance and achievement of the employees that determines their award (William 2007).

Discussion

The paper aims to prepare a compensation program for a charitable organization that intends to motivate its employees in delivering the same quality under the mission statement of the organization (MacDonald 2007). Moreover, the compensation program will help to dignify the management towards fulfilling the expectations that are to be met in accordance to fulfill the goals of the organization. The compensation plan will deliver the following qualities in the employees:

Compensation plan will attract, retain, and motivate the employees in accordance to the goal and mission of the charity.

Compensation plan will be directed mainly towards the retention of the C.E.O of the charity for his efforts in maintaining the standards and theme of the Non-Profit aims that the organization carries.

The compensation program will be in accordance to the complexities of the charity because of the reason that the non-for profit organization is based on volunteer work and it is not dedicated by any means to retain any profits (Johnson 2007). However, the theme of introducing the compensation program would induct more loyalty in the organization in ...