NORTH WESTERN MEMORIAL HOSPITAL

North Western Memorial Hospital

North Western Memorial Hospital

PART I

Compensation Strategy

The main objective of compensation strategy is to give proper rewards for the right employee behaviors. Achievement of the desired behaviors is significant in order to enhance your organization's effectiveness. In turn, this increases the opportunity of success (Martin 2001).

For NMH hospital best people has been the strategy to achieve organizational goals so the compensation strategy that can be recommended to NMH hospital for the Nuclear Medicine Radiation therapy and Diagnostic Medical Sonography job position for improving motivation and employee retention are as follows:

Rewards

There are two types of rewards, monetary and non-monetary.

Monetary rewards include salary, bonus, commissions, medical and health benefits, holidays, and sequestration benefits. Among the non-monetary rewards are consequential and challenging works, recognition and career advancement, safe and healthy working environment, and fair treatment (Martin 2001).

Equitable Compensation Strategy

Like employees working elsewhere in other organizations, the people in NMH may be concerned with compensation equity. NMH must take this into consideration in drawing up its compensation strategy. When employees notice inequities, their self-esteem and motivation suffers. Do not make it inferior by maintaining pay secrecy. This indicates that NMH may not have an objective and defensible compensation system (Martin 2001).

As the employee's Decision to leave an organization requires considerations other than or in addition to dissatisfaction with compensation so NMH must make compensation strategy that are comparably better then other organizations.

Pay Rates Determination

Compensation strategy involves considering to adopt any of several ways in setting rates of pay.

Pay increase based on employee's length of time used up on the job. This is seniority-based disburse that is a good motivator in employee retention. But here, NMH is not rewarding performance (Oden 2002).

Performance-based pay is proposed to motivate employees to perform better. Such a plan is becoming more general ...