Companies Often Find It to Be More Profitable to Use

question 103

Essay

Companies often find it to be more profitable to use a commission or piece-rate system of compensation rather than a salary system, yet many firms continue to pay their workers' salaries.List three reasons why a firm would choose a salary system of compensation.

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Definitions:

Strategic Initiatives

Major actions or programs undertaken by an organization to achieve long-term objectives and competitive advantage.

Internal Processes Perspective

An angle of the Balanced Scorecard framework focusing on optimizing operations and production processes to meet strategic goals.

Automate Warehouse

The application of automation technology within warehouse operations to improve efficiency, accuracy, and productivity.

Performance Target

A specific goal set by a business or organization to measure the effectiveness and efficiency of its operations, employees, or processes.