Strategic pay structure | Human Resource Management homework help

Design a pay structure for CapraTek that is commensurate with job classifications. The deliverable is a 3-4 page recommendation memo to upper management.


The challenge in this assessment is to focus on creating a strategic pay structure that should include considering the number of pay structures, market pay line, defined pay grades, and pay ranges (Martocchio, pp. 172–179).  Additionally, analyze merit pay systems, sales-incentive plans, and person-focused programs. Keep in mind the alignment of job classifications and pay structure.


Martocchio, J. J. (2020). Strategic compensation: A human resource management approach (10th ed.). Boston, MA: Pearson.


It is critical to know that a successful compensation strategy will gain more acceptance by senior management when HRM can demonstrate a link between the rewards strategy and the attainment of the organization’s strategic goals.

For your next HR Challenge, your manager has asked you to design a pay structure for CapraTek that is commensurate with job classifications.


CapraTek is a virtual technology company. The assessment is based on the CapraTek scenario.

Assessment Instructions

Building on your work in the previous assessment’s HR Challenge: Internally Consistent and Externally Competitive, design a pay structure for CapraTek that is commensurate with job classifications. The deliverable is a recommendation memo to upper management.

To develop the recommendation memo to upper management, do the following:

  • Create a strategic pay structure for CapraTek using Martocchio’s five-step system, including the number of pay structures, market pay line, defined pay grades, and pay ranges (Martocchio, pp. 172–179).
  • Analyze merit-pay systems and their applicability to CapraTek.
  • Analyze sales-incentive compensation plans and their applicability to CapraTek.
  • Analyze person-focused programs and their applicability to CapraTek.
  • Evaluate the alignment of job classifications to this pay structure.

Note: Your faculty may also use the Writing Feedback Tool to provide feedback on your writing. In the tool, click the linked resources for helpful writing information.


You should consider adding this assessment to your personal ePortfolio. This assessment demonstrates your ability to share a design for a pay structure. This skill is necessary in a professional setting when you are trying to make strategic compensation recommendations. You will want to organize your assessments to easily support future reflection and completion of your HRM capstone project as well as for showcasing your knowledge with employers after graduation. For more information on ePortfolio, visit the Campus ePortfolio page.

Additional Requirements

The deliverable for this assignment applies professional skills in HRM to workplace situations that you will likely encounter in your day-to-day work in HRM. As part of your learning, focus on the development of effective professional communication skills for the workplace.

  • Length: Your 3–4 page memo should be typed, double-spaced pages, including the resources page.
  • Organization: Make sure that your assignment writing is well organized, using headings and subheadings to organize content for the reader.
  • Font and font size: Times New Roman, 12-point.
  • Resources: Use two scholarly, peer-reviewed or academic sources.
  • Evidence: Support your assertions with data and/or in-text citations and create a reference list at the end of your document.
  • APA formatting: Resources and in-text citations are formatted according to current APA Style and Format.
  • Written communication:
    • Adhere to the rules of grammar, usage, and mechanics.
    • Use spell-check and other tools to ensure correct spelling and grammar.
    • Write for a specific audience, using the vernacular of the profession.


By successfully completing this assessment, you will demonstrate your proficiency in the following course competencies and assessment criteria:

  • Competency 1:  Assess the impact of compensation systems on individual and organizational performance.
    • Analyze the applicability of merit pay, sales-incentive plans, and person-focused programs for a given scenario.
  • Competency 2: Apply compensation theories to formulate a total rewards strategy.
    • Propose a strategic pay structure for a scenario including the number of pay structures, market pay line, defined pay grades, and pay ranges.
  • Competency 3: Analyze the influence of job classification systems on compensation programs.
    • Evaluate the alignment of job classifications to the proposed pay structure.
  • Competency 4: Communicate clearly, accurately, and professionally in the Human Resource Management field.
    • Adhere to the rules of grammar, usage, and mechanics.

Martocchio, J. J. (2020). Strategic compensation: A human resource management approach (10th ed.). Hoboken, NJ: Pearson.

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