By the end of this module you should be able to

• Define the concept of total rewards
• Distinguish the difference between tangible, extrinsic financial and nonfinancial rewards (direct and indirect compensation, i.e., pay and benefits) and intrinsic nonfinancial rewards, i.e., intangible rewards that relate to job satisfaction
• Describe the relationship between organizational strategy and compensation strategy
• Explain the process used to develop a compensation philosophy and strategy.

Module Outline

1. Definition of Total Rewards
2. Specific Elements of Total Rewards
3. Strategic Choices and Perspectives in Total Compensation
4. The Total Compensation Philosophy and Strategy
5. Linking Total Compensation to the Business Mission and Strategy
6. Equity Theory
7. The Difference Between Internal Equity and External Competitiveness
8. Key Steps in the Development of the Total Compensation Philosophy and Strategy
9. Tying It All Together

Estimated completion time: 25 minutes