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Strategic Pay

Make Your Pay System Pay Off A comprehensive look at not only the choices surrounding the development of a pay system but also the pros and cons associated with each choice....Thorough. --HR Magazine In this seminal work, acclaimed compensation expert Edward Lawler III shows companies that the way they pay can be an important source of competitive advantage. He reveals how pay strategies that draw a clear connection between pay and performance can support an organization's strategic objectives by communicating unmistakably what that organization values most. Moreover, he examines a wide range of performance-based pay practices--from piecework incentive systems to merit pay and skill-based pay--to demonstrate how compensation systems can be tailored to fit a variety of business strategies and management styles. Both traditional and nontraditional pay strategies are examined, with special emphasis given to designing pay systems that support participatory management and other innovative practices.
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Table of Contents

Part One: The Impact and Design of Pay Systems. 1. The New Realities of Pay and Organizational Effectiveness. 2. Setting Strategic Objectives for Pay Systems. 3. Establishing Core Principles. Part Two: Paying for Performance. 4. Using Incentive Pay. 5. Using Merit Pay. 6. Using Performance Appraisals to Drive Pay. 7. Paying for Organizational Performance. Part Three: Determining Base Pay. 8. Paying the Job. 9. Paying the Person. Part Four: Administering Pay Systems. 10. Setting Total Compensation Levels. 11. Determining the Total Compensation Mix. 12. Managing Decision-Making and Communication Processes. Part Five: Applying Pay Strategies. 13. A Pay Strategy for Acme Corporation: A Traditional Manufacturing Company. 14. A Pay Strategy for Hi--Tech International: A Global Technology Company. 15. Strategic Pay and Public Policy: The Need for Change.

About the Author

EDWARD E. LAWLER is a leading scholar and author in the area of organization of effectiveness and design. He is founder and director of the Center for Effective Organizations at University of Southern California where he is also professor of management and organization in the Graduate School of Business Administration. Lawler is the author or coauthor of more than twenty books including Organizing for the Future (with J. Galbraith, 1993), The Ultimate Advantage (1992), and Employee Involvement and Total Quality Management (1992), all from Jossey-Bass.


"A comprehensive look at not only the choices surrounding the development of a pay system but also the pros and cons associated with each choice.... Thorough."

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