People Profits case study: In many cases, when I first review compensation I struggle to find the system, structure or even logic in the pay rates. The more I look into it I quickly determine my source of confusion. There was no system, structure or logic to find. That is why I could not understand it. The obvious point is - if I could not understand it then how could the employees?
For a manufacturing/service company I reviewed their Branch Managers, Operations Supervisors and Secretary positions. I then ranked them based on objective values. In many cases, the employees with the best results were the lowest paid and the best results were in the middle or bottom of pay. Once we established a system and structure, including logic, the employees understood and performance increased.