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Matching compensation and organizational strategies
Abstract
This study examines the impact of organizational strategies (at both the corporate and business unit level) on pay strategies, and their interactive influence on the effectiveness of the compensation system. The empirical findings are based on the survey responses of 192 human resource management executives in business units of large manufacturing firms. Corporate strategy was a significant predictor of pay package design, pay level relative to the market, and pay administration policies. Business unit strategy was a significant predictor of pay package design and pay level relative to the market. The findings are supportive of congruency notions which suggest that the effectiveness of the compensation system is partly a function of the fit between pay strategies and organizational strategies.
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Citations
Cited by
Greckhamer, T. (2016) · Strategic Management Journal · doi:10.1002/smj.2370 · Cited by 403
Greckhamer, T. (2011) · Organization Studies · doi:10.1177/0170840610380806 · Cited by 200
Metadata
- Authors
- Balkin, D. B., & Gomez‐Mejia, L. R.
- Venue
- Strategic Management Journal
- Publisher
- Wiley
- Published
- 1990-02
- Volume
- 11
- Issue
- 2
- Pages
- 153-169
- ISSN
- 0143-2095 (ISSN-L)
- 1097-0266
- OpenAlex
- W1996173507
- Cited by
- 365
- References
- 0
- FWCI
- 7.35
- Type
- journal article
- Language
- en
- Open access
- closed
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- CoChat. (2026). Citation check: Matching compensation and organizational strategies. https://app.cochat.ai/papers/10.1002/smj.4250110207
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- Balkin, D. B., & Gomez‐Mejia, L. R. (1990). Matching compensation and organizational strategies. Strategic Management Journal. https://doi.org/10.1002/smj.4250110207
Data sources
Bibliographic data: Semantic Scholar, OpenAlex, Crossref.
Contains information from the Semantic Scholar Academic Graph Datasets, made available under the ODC Attribution License (ODC-BY 1.0).
Semantic Scholar’s data is described in: Kinney, R., et al. (2023). The Semantic Scholar Open Data Platform. arXiv:2301.10140.
