This presentation provides an overview of compensation at PRAN RFL Company. It discusses the importance of compensation, defines compensation, and outlines the types of compensation including base pay, commissions, bonuses, and profit sharing. It also describes PRAN and RFL's direct and indirect compensation systems. The presentation addresses objectives of compensation, the compensation planning process, legal issues around compensation, strategic issues to consider, and findings from compensation management. It concludes by discussing advantages like ownership and disadvantages like dependency of compensation management.

1. Welcome
To Our
Presentation
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2. Global Asset
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No Name ID Intake Section
1 Tasnim Alom 14153101258 37 6
2 Maliha Tarannum 14152101500 36 12
3 Md. Abdul Naym Joarder 14153101261 37 6
4 Jannat Tania 17182101188 45 5
5 Sibli Sakif 17182101192 45 5
6 Md.Sayad Khan 16173101067 43 2

3. Compensation
Pran RFL Company

4. Company Porfile
• Pran started its journey on 1981.
• RFL started its journey on 1992 .
• Founder of PRAN RFL Group in Major Gen. (Retd.) Amjad Khan
Chowdhury.
• Pran is the largest food & beverage company in Bangladesh.
• RFL is the market leader in cast iron, pvc & plastics.
• Pran has 30,000 employees.
• RFL has over 12,000.
• Combined revenue of BDT 123.2 billion (2012).
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5. COMPENSATION
Importance:
•Attracts top talent
•Increases employee motivation at the
workplace
•Boosts employee loyalty
•Increases productivity and profitability
•Improves job satisfaction and
employee engagement
•Helps in retaining top employee
Defination:
In simpler words, compensation
is the money received by an
employee from an employer as a
salary or wages.
Types of Compensation:
•Base pay (hourly or salary wages)
•Commissions
•Overtime Pay, shift differentials and
longevity pay
•Bonus
•Profit Sharing distributions
•Merit Pay or recognition
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6. Objectives
»To recruit & retain qualified employees.
»To increase or maintain morale.
»To determine basic wage & salary.
»To reward for job performance.
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7. Compensation System
Direct Compensation (PRAN)
•Salary
•Wage
•Savings
• Piece
•Rate
•Commission
Indirect Compensation (RFL)
•Life Insurance
•Pension
•Sick Leave
•Free Meals
•Vacation
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8. Components of Compensation System
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9. Compensation Planning Process
» Developing a Program Outline.
» Designing the Compensation Program.
» Conducting a Job Analysis of All Positions.
» Evaluating Jobs.
» Determining Grades.
» Establishing Grade Pricing and Salary Range
» Determining an Appropriate Salary Structure
» Communicating the Final Program to Employees and Managers
» Monitoring the Program
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10. Legal Issues in Compensation
Title VII of Civil Rights Act of 1964
 Protects workers rights to fair treatment.
 Equal Pay Act of 1963 – Requires equal
pay for equal work.
Comparable Worth
 Argues that standards of equal pay
for equal work should be replaced
with the doctrine of equal pay for
equal value.
 Objective, measurable data to
support an assessment of the value
of different jobs is lacking.
▪ There is no basis in current law
for the arguments of comparable
worth
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11. Legal Issues in Compensation (cont’d)
Fair Labor Standards Act of 1938
▪ Regulates the minimum wage
▪ Sets overtime policy (time and one-half after forty hours)
▪ Establishes exempt classes for managers and other
professional employees.
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12. Key Strategic Issues in Compensation
▪ Determining compensation relative to the market.
▪ Striking a balance between fixed and variable
compensation.
▪ Deciding whether or not to utilize team-based versus
individual pay.
▪ Creating the appropriate mix of financial and nonfinancial
compensation.
▪ Developing a cost-effective compensation program that
results in high performance.
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13. Findings
» Most of the products are low profit giving.
» Many products are still in the growth stage which require huge investment.
» Channel members’ profitability is so low.
» It costs a lot for promotional activities
» The administration division isn't dependable, so client dependability from the
organization is going down.
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14. Advantages and Disadvantages Compensation
Management
Advantages
•Ownership
•Tax-Rebate
•Retirement benefits
Disadvantages
•Dependency
•No Guarantee
•Lost Tax Revenue
•Less Stock Investment
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15. THANKS!
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