Question

Which of the following relationships within a pay system is accurate? Pay policies form the compensation strategy of the organization Pay policies determine the objectives of the pay system Compensation objectives shape pay policies. Organization strategies determine employee pay needs.

Answer 1

Answer:

Compensation objectives shape pay policies.

Explanation:

Compensation management software can simplify planning processes to help you achieve all of the objectives listed above without overburdening HR. In addition, you can tailor it to your organization to prioritize the objectives that are most important to you.

The idea is to pay your employees fairly while staying in line with the company budget. However, understanding the ways in which compensation management affects business outcomes can help you leverage your compensation plan to achieve better results for your company.