Determinants of managerial compensation: An empirical exploration

Data on managerial compensation, past performance ratings, and human capital variables (specifically education and work experience) from a manufacturing unit in India were explored in order to explain the variation in total and budgeted variable compensation. The results obtained provide support for...

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Main Authors: Rajiv Kumar, Sahadeb Sarkar, Amit Dhiman
Format: Article
Language:English
Published: Elsevier 2019-06-01
Series:IIMB Management Review
Online Access:http://www.sciencedirect.com/science/article/pii/S0970389619301582
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author Rajiv Kumar
Sahadeb Sarkar
Amit Dhiman
author_facet Rajiv Kumar
Sahadeb Sarkar
Amit Dhiman
author_sort Rajiv Kumar
collection DOAJ
description Data on managerial compensation, past performance ratings, and human capital variables (specifically education and work experience) from a manufacturing unit in India were explored in order to explain the variation in total and budgeted variable compensation. The results obtained provide support for the influence of human capital as well as performance variables on compensation. Human capital variable (specifically education) probably impacted compensation structure through market value in a way that could be dubbed elitist. There was some reflection of tournament view also (more differential for higher designation) on compensation. Keywords: Compensation, Incentive design, Pay for performance, Variable pay, Managerial compensation, Compensation management
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spelling doaj.art-f53c69922e35486ebe54a574ab3e55662022-12-21T20:07:44ZengElsevierIIMB Management Review0970-38962019-06-01312105115Determinants of managerial compensation: An empirical explorationRajiv Kumar0Sahadeb Sarkar1Amit Dhiman2Corresponding author: Phone: 033-24678300(Ext. 748).; Indian Institute of Management Calcutta, DH Road, Joka, Kolkata, West Bengal, IndiaIndian Institute of Management Calcutta, DH Road, Joka, Kolkata, West Bengal, IndiaIndian Institute of Management Calcutta, DH Road, Joka, Kolkata, West Bengal, IndiaData on managerial compensation, past performance ratings, and human capital variables (specifically education and work experience) from a manufacturing unit in India were explored in order to explain the variation in total and budgeted variable compensation. The results obtained provide support for the influence of human capital as well as performance variables on compensation. Human capital variable (specifically education) probably impacted compensation structure through market value in a way that could be dubbed elitist. There was some reflection of tournament view also (more differential for higher designation) on compensation. Keywords: Compensation, Incentive design, Pay for performance, Variable pay, Managerial compensation, Compensation managementhttp://www.sciencedirect.com/science/article/pii/S0970389619301582
spellingShingle Rajiv Kumar
Sahadeb Sarkar
Amit Dhiman
Determinants of managerial compensation: An empirical exploration
IIMB Management Review
title Determinants of managerial compensation: An empirical exploration
title_full Determinants of managerial compensation: An empirical exploration
title_fullStr Determinants of managerial compensation: An empirical exploration
title_full_unstemmed Determinants of managerial compensation: An empirical exploration
title_short Determinants of managerial compensation: An empirical exploration
title_sort determinants of managerial compensation an empirical exploration
url http://www.sciencedirect.com/science/article/pii/S0970389619301582
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