SCHOOL entirely our work. Group Members: Student Name Student

of Management & International Management
– Employee Benefits and Compensation
2017 – 2018
Compensation System
endorsing our signatures, we herein acknowledge and confirm that each of the
following group members equally participated in preparing and completing the
assigned course project and its presentation. We also hereby certify that the
outcome of this report is purely and entirely our work.
Group Members:

Student Name

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Table of Contents
I.        Executive Summary. 3
II.       Introduction. 4
III.     Company profile. 5
IV.          Challenge Description. 6
V.      Affected Stakeholders. 7
VI.          Impact of Organizational / Departmental Performance. 8
VII.         Suggested Cost and Benefit Plan. 9
VIII.       Design of the Cost and Benefit Plan. 10
IX.          Communication Plan. 11
X.      Conclusion, Summary, and Recommendations. 12
XI.          References. 13
XII.         Appendix. 14


Executive Summary


As associations face continuous
pressures and technological breach, it seeks to do further with less and do it
with improved quality. Moreover, Effective administration of human resources is
highly wanted as aims for sales amount; profits, improvement, and quality are
raised.  Typically employee compensation
is the focus of this case study in all efforts to manage human resources better
and motivate employees to improve moral and peak performance.




This paper
studies the compensation and profit practices in SPC Company and the disputes
that face the HR department. Often
times, companies’ think that they are paying workers practically or
competitively. The reality is still that they do not have a strong for this
belief. For this reason this paper plans to identify:

Compensation and Benefit dare in this company

  A structure the optimal Compensation and
Benefit plan

An opening from the design and ending
by a communiqué plan targeting all apprehensive stakeholders.

Designing and running an exceptional worker benefits plan in
an important investment; which is the solution to helping your business recruit
and hold on to excellent talents.



Company profile


Kahalé business was recognized in 1995 by Mr. Fadi Kahalé. After
some years it grew to develop into a nationwide well-known corporation for its considerable
achievement in the Lebanese marketplace.

In year 2007, Kahalé Establishment curved into SPC, which positions
to Synergy Prosales Company.


SPC possess two distributions in Lebanon and have
more than 2700 points of trade. In 2013, SPC acknowledged a new branch in
Dubai. UAE branch was the 2nd branch of the business and changed
SPC to a national company. 


In 2017, SPC added to its global spread of business by opening 2
new branches, a 3rd branch in Muscat-Oman and the 4th one in Casablanca-Morocco.


Due to the continuous efforts in improving, developing, and
innovating products SPC is presenting:

World Class Goods  

World Class Brands  

Experienced And Skilled Teams 

Continuous Customer follow-Up 

5-Star Service 

Challenge Description



Many difficulties were faced by the HR sector in SPC Company, which include:


Protection of
Wages and Salaries

Job analysis
and evaluation

Job evaluation


 Adjustments Incentives  

Services Insurance

general, challenges will face the compensation specialists, so to stay competitive
it’s recommended for them to justify budget increases, which will attract the
high qualified employee candidates.

SPC Company to be profitable and build a business that boasts a high-performing
employee base, the human resources department’s compensation experts are
charged with:

Ensuring paying competitive

Offering an attractive
and comprehensive benefits package

compensation expert works with the human resources leader and sometimes with
the executive leadership to suggest budget recommendations.

 Affected Stakeholders


A stakeholder is a person or a
group associated with an organization that has a stake in the association
output. Stakeholders may contain:






Most companies have
found that employees, shareholders, and customers are the three main important
stakeholders to an association.

An organization’s presentation
has a straight impact on the stakeholders.


operation as a service-based business, it provides its salesperson employees by
consistent service that help attract and retain customers. SPC motivate
employees with fair compensation, proper training and empowerment, to deliver better
customer participation. Empowering SPC salesperson employees at all levels to
make more decisions and take on more responsibilities not only makes them feel
valued and appreciated, but it can also improve their efficiency and
performance in responding to customer needs.


in general and in SPC, who are the highly affected stakeholders, are concerned with
how much and how often they are paid by the company. Moreover, the decisions of
administration that touch these concerns are especially significant for the
stakeholders. Therefore, the sustained economic health of the business is of most
significance to the employees.

Job Security

Job safety is important to SPC employees. Risk in business
decisions harm the bottom line of the company put the job security and safety of
employees at risk. Employees need lasting job security and stability to succeed,
in most cases.



culture of SPC Company is special. It has effects on the socialization of employees
within the organization. It perceive them self as part of the organization.
Employees who feel that they are a part of a larger second family, they share
with other employee’s feelings in sense of satisfaction.



SPC Employees who are on hand benefits packages that contain
stock options have an extra stake in the company and its finances. As
shareholders, employees are stakeholders exaggerated by the business decisions
in the way that the decisions affect the company’s bottom line or
profitability. Offering employees these types of benefits in which they have a
stake in the company’s financial well-being can give out as a basis of
motivation and can inspire innovation among workers.

of Organizational / Departmental Performance



A compensation package is

 Monetary Form

·      Flexible Benefits

·      Medical Care

·      Work-Life Balance

·      Employee Perks.

Today’s employees not only work for the
money, but also place equal emphasis on other aspects of compensation.

After analyzing SPC compensation package, it was found that
it ensures:



the other hand, compensation package if absent it causes:

Low job satisfaction  
Low productivity  
High turnover 
Bad Financial outcomes
Bad impact
on HR practices
impact on HR outcomes



Suggested Cost and
Benefit Plan


known that worker benefits stand for a significant price for most employers and
symbolize a competitive gain for those that can pay for high-end benefits.
However, there are some no-cost, low-cost options that employers can offer employees
such as thank you command which will empower and benefit employees.

Moreover, employers must look to the best of employees. Opinions
vary about what is the most essential depending on what values more for


Design of the Cost
and Benefit Plan


Many employers including SPC decide employee benefits by looking
at an annual report published by the U.S. Bureau of Labor Statistics.

Benefits are distributed into the following

Insurance – 8.8%  

Legally Required – 7.7%  

Paid Leave – 6.9%  

Retirement and Savings – 4.5%  

Supplemental Pay – 2.5% 




Communication Plan


   Although paybacks are very important to employees, but many don’t fully appreciate
what they have or how to make the best use of them. Thus, an member of staff
benefit communication helps people make smart decisions about health
check, piece of work /life and other benefits.

Communicating staff paybacks efficiently can help your association
achieve its costs and sharing. It well can also help preserve good staff,
increase their productivity and increase their commitment.

However, keeping your staff happy doesn’t have to mean
increasing the benefits you offer them. It may be as simple as
communicating the benefits you already offer in a better way, so staff
understand them and use them actively. In other words, it’s important to market
staff benefits more effectively.


– A desktop pop-up survey is an effective way to make sure as
many staff as possible take part in important surveys about benefits.

– Brand benefits packages to help capture your staff’s
attention, encourage them to use the benefits and value the benefits you offer

– Use simple language and make communication meaningful.

-Use simple tools like tip sheets and checklists so people can
choose information appropriate to their demographic and interests.

-Interactive FAQ forums let staff ask questions and understand
more about the benefits available to them.

Tools like these can dramatically reduce calls to a benefit
helpdesk and providers, and may reduce confusion. This will have a positive
impact on productivity and encourage staff to take up the benefits available.


Conclusion, Summary,
and Recommendations




Effective communication will improve business
success, teamwork, decision-making, problem solving, and morale. For any form
of communication, the delivery should be memorable, be clear, be brief, be
focused, and be committed. When communicating internally or externally, the
respect for others should be priority and done in fairness and loyalty.
Maintaining professionalism in communication will help for the message to be
effective, informative, and will uphold the company’s image. 


Designing and managing an effective employee compensation
system help organizations to have more outcomes with fewer employees.

Typically the employee compensation
system that was discussed in this case study, plays a major role in efforts to
manage human resources better and motivate employees to improve moral and peak








starting pay and adjustment procedures should be reliant on employee categories
and established with reference to the market. Furthermore, there will be a need
for a compensation omission team and training programs to achieve high
performance. Moreover, structural adjustments such as market, cost of
living, equity, and living ware) are needed as well as performance





Employee Benefit Strategic Planning

Compensation: Summary of Revised Recommendations




Which of the employee must be paid overtime?

Which payment that is consistent from period
to period despite the number of hours worked?

What does direct compensation include?

What does executive typically receive?

Which act deals directly with discrimination
in compensation?