Class Today

Today in class we finished discussing chapter 12 and then got in our groups and talked about our chapter 13 topics. Our group discussed optional benefit programs and how they can be a great way for companies to attract people and to motivate employees. Employees that are given more than the minimum from a company feel cared about and that they are respected.

Class Today

Today in our groups we discussed chapter 12. My topic was on Sales commissions. There are a lot of companies that are using commissions now to motivate employees and provide more of an incentive. However, sales commissions can be risky if your wages are 100% commissions. If the economy is at a low and people aren't buying much then you could be in trouble.

Ch. 13: Optional Benefit Programs

Concept and brief description:

Other types of benefits such as various kinds of insurance, retirement plans, and paid leave are optional benefit plans that a company can offer. The most widely offered benefits are paid leave, life and medical insurance, and retirement plans. Additional benefits, or optional benefits, can be a great way to compete in the market to recruit more applicants for positions.

Emotional hook (provocative question/ claim/real-life problem):

My husband just recently got a new job which has wonderful benefits. Our last job did not have any benefits and as a family it created problems and concerns. Being with the present company is a great benefit to us and strengthens our loyalty to the company. A company that not only does the minimum but goes above the normal criteria to take care of its employees creates a stronger work force, more dedicated to the company.

Key points to elicit in discussion:

There are several optional benefit programs: from flexible spending accounts to early retirement. Small gestures, additional benefits, a company makes allows a greater competitive advantage for recruiting and more devoted employees. A company that takes care of its employees has a lower turn over rate and therefore less costs, providing more profit and greater productivity.

Facilitative questions:

In your opinion, how do you feel additional/optional benefits affect a company and its employees?

Ch. 12: Sales Commissions

Concept and brief description:

Sales commissions is a form of incentive pay calculated as a percentage of sales. Salespeople can earn a commission in addition to a base salary or earn only commissions. The nature of salespeople's compensation affects the kinds of people who will want to take and keep sales jobs. Sales commission jobs can be risky for employees but also motivating and beneficial to both the company and employee.

Emotional hook (provocative question/ claim/real-life problem):

I have worked in several positions relating to sales commissions. I wish I could say that I have had a positive experience in these positions, but I cannot. It seemed that the incentive of being able to earn commissions was not motivating to employees. It was very apparent to the employees that managers earned raises and extra bonuses based on sales. The manager would push sales to intensely, not motivating employees and causing bad morale.

Key points to elicit in discussion:

Commissions can be very beneficial to a company and its employees if implemented in a good way. Managers and employees need to work together and really care about the product they are selling in order to really grow. There are different types of commissions that a company can implement. An employee's earnings can be based solely on commissions or an employee can have a base salary plus commissions. Each company will differ but all around sales commissions can be a great way to increase productivity and profit.

Facilitative questions:

Have you ever had a job that provided sales commissions? What was your experience? Negative or positive?

Class This Week

Well, I wasn't in class this week due to being very very sick. I was in the hospital for about 4 days and in bed the other 3. I hope class was good and that I can stay caught up. I am trying to study for the test that I need to take, but have a hard time focusing. We will see what happens next week. :)

Ch. 11: Labor Markets

Concept and brief description:

Labor markets are related to economic influences on pay. Organizations must compete to obtain human resources in labor markets. There are several influences for labor markets, including competitors and cost of living. A company being able to provide strong compensation is more likely to have more applicants for positions in the company.

Emotional hook (provocative question/ claim/real-life problem):

Right now the economny is not strong and companies do not need to offer high compensation rates. There are not many jobs available and those that are will be taken/filled for a very low rate. Most likely the job you have now is being paid atleast 20 percent less than a few years ago. However, you are probably lucky that you even have a job.

Key points to elicit in discussion:

Labor markets are difficult on both ends. The employer needs to be able to compete in the market in order to draw applicants to the company. However, the company has budgets and can only provide so much for a position. If a company cannot financially provide a high compensation for a position than that position will be hard to fill. On the other hand, those looking for a position look at higher paid positions. A person needs a reasonable pay in order to provide for their family and survive. It can be a grueling cycle.

Facilitative questions:

What job is currently in strong demand in the labor market? What does this mean in response to pay rates for those positions?

Class Today

Today we talked about job satisfaction and how important job satisfaction really is. It is important to the employee and the employer. A company should take time to make sure that the employees are feeling some sense of satisfaction in their work. An employee that has some satisfaction is more likely to stay with a company and be more motivated. And as employees stay with the company, the company does not increase costs associated with turnover costs.