Preface
Even as the last quarter of the twentieth century begins， work-related
problems caused by unsatisfactory levels of productivity and ever-increasing
demands of workers continue to plague American organizations. Although many
experts have been consulted and many solutions proposed， the panacea has still
not been discovered. This text does not pretend to be that panacea. Rather， it is
an attempt to seek solutions to problems in one small facet of our very complex
organizational life--the compensation component of the reward system.
In reality， the concepts underlying the compensation system are simple and
easy to understand. Employers provide money and in-kind payments to
employees in exchange for employee-provided availability， capability， and
performance. Problems arise in systems design when attempts are made to relate
the many and varied concepts that identify and describe what employers can do
to establish motivating workplace environment. It is here that complexity
becomes an issue. Satisfying varying and frequently divergent individual， group，
and organizational demands makes implementation of any system a most
difficult assignment.
A century ago， the rapid expansion of the Industrial Revolution and its
worker-related productivity laid the foundation for a rather simplistic approach
to organizational compensation systems. The basic approach to employer-
provided compensation in the industrial setting was to establish quantitative
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